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Pepsico
PepsiCo was established in 1965 through the merger of Pepsi-Cola and Frito-Lay. It has grown significantly through strategic acquisitions and now owns popular food and beverage brands like Pepsi, Lay's, Gatorade, Quaker, and Tropicana. PepsiCo operates globally and divides its business into 6 divisions covering the Americas, Europe, Asia, Middle East, and Africa. While it faces competition from Coca-Cola, PepsiCo has achieved financial growth and market share increases. Its "Performance with Purpose" strategy aims to deliver sustainable growth through initiatives promoting health, environmental stewardship, and talent development.
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Pepsico
- 1. Roniel Ungsod MBA: MarketingManagement
- 2. OBJECTIVE • Brief backgroundof the company – Short History – Mission/Vision • Products/Brands • Global Division • Market Shares and Ranking • Competitors • Financial Growth • Local/Global Marketing • Global Strategic Marketing Plan Proposal
- 3. Pepsico’s Beggining • PepsiCo,Inc. was established through the merger of Pepsi-Cola and Frito-Lay • Pepsi-Cola was created in the late 1890s by Caleb Bradham, a New Bern, N.C. pharmacist. • Frito-Lay, Inc. was formed by the 1961 merger of the Frito Company, founded by Elmer Doolin in 1932, and the H. W. Lay Company, founded by Herman W. Lay, also in 1932
- 4. …… • Herman Lay,former chairman and CEO of Frito-Lay, was chairman of the board of directors of the new company • Donald M. Kendall, former president and CEO of Pepsi- Cola, was president and chief executive officer • Pepsi-Cola Company: Pepsi-Cola (formulated in 1898), Diet Pepsi (1964) and Mountain Dew (introduced by Tip Corporation in 1948). • Frito-Lay, Inc.: Fritos brand corn chips (created by Elmer Doolin in 1932), Lay's brand potato chips (created by Herman W. Lay in 1938), Cheetos brand cheese flavored snacks (1948), Ruffles brand potato chips (1958) and Rold Gold brand pretzels (acquired 1961)
- 5. Strategic Acquisition andJoint Venture • 1976 – Pepsco acquires Taco Bell • 1977 – Pepsco acquires Pizza • 1986 – Pepsco acquires Mug Root Beer • 1989 – Pepsco acquires Walk and Crisps • 1990 – Pepsco acquires Gamasa • 1991 – Pepsco joint venture with Unilver • PepsiCo and Starbucks form the North American Coffee Partnership to jointly develop ready-to- drink coffee beverages
- 6. • 1998 –Pepsco acquires Tropicana Products • 2000 -PepsiCo, Inc. reaches agreement to acquire a majority stake in South Beach Beverage Company • 2001 - PepsiCo merges with The Quaker Oats Company. • 2004 - Pepsi acquires IZZE Beverage Company • 2009 - PepsiCo and Calbee Foods Company announce a strategic alliance • PepsiCo and Tingyi Holding engages into strategic alliance in China.
- 7. • Mission “As oneof the largest food and beverage companies in the world, our mission is to provide consumers around the world with delicious, affordable, convenient and complementary foods and beverages from wholesome breakfasts to healthy and fun daytime snacks and beverages to evening treats. We are committed to investing in our people, our company and the communities where we operate to help position the company for long-term, sustainable growth.”
- 8. • Vision "PepsiCo's responsibilityis to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today." “Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.”
- 9. List of Brands/Products •Global Brands • Good – For – You Brands • Fun – For – You Brands • Better – For – You Brands
- 10. Fun – For– You Brands
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- 12. Good – For– You Brands
- 13. Better – For– You Brands
- 14. List of AllBrands/Products • Pepsi-Cola Brands * Pepsi * Caffeine Free Pepsi * Diet Pepsi * Caffeine Free Diet Pepsi * Diet Pepsi Max * Jazz Diet Pepsi * Diet Pepsi Lime * Diet Pepsi Vanilla * Pepsi Wild Cherry * Diet Pepsi Wild Cherry * Pepsi ONE * Mountain Dew * Diet Mountain Dew * Caffeine Free Mountain Dew * Mountain Dew Code Red * Diet Mountain Dew Code Red * Mountain Dew LiveWire * Manzanita Sol * Mirinda * Mug Root Beer * Diet Mug Root Beer * Mug Cream Soda * Diet Mug Cream Soda * Sierra Mist * Sierra Mist Free * Slice * AMP energy drink * Aquafina * Aquafina Alive * Aquafina FlavorSplash * Aquafina Sparkling * Dole juices and juice drinks (License) * Dole Plus fortified juices (License) * Ethos Water (License) * FruitWorks juice drinks * Lipton Brisk (Partnership) * Lipton Iced Tea (Partnership) * Lipton Pure Leaf (Partnership) * No Fear * Sugar Free No Fear •Ocean Spray juices and juice drinks (License) * Frappuccino ready-to-drink coffee (Partnership) * Starbucks DoubleShot (Partnership) * Starbucks DoubleShot Energy (Partnership) * Starbucks Iced Coffee (Partnership) * SoBe juice drinks, dairy, and teas * SoBe Lean diet juice drinks, dairy, and teas * SoBe Life Water * SoBe Synergy * SoBe Adrenaline Rush * TAVA * Tropicana lemonade and punches * Tropicana Light lemonade and punches * Tropicana Twister sodas •Frito Lay Brands * Lay's potato chips * Lays Kettle Cooked potato chips * Wavy Lay's potato chips * Baked Lay's potato crisps * Maui Style potato chips * Ruffles potato chips * Baked Ruffles potato crisps * Ruffles Flavor Rush potato chips * Doritos tortilla chips * Baked Doritos tortilla chips * 3D's snacks * Tostitos tortilla chips * Baked Tostitos tortilla chips * Santitas tortilla chips * Fritos corn chips * Cheetos cheese flavored snacks * Rold Gold pretzels & snack mix * Funyuns onion flavored rings * Go Snacks * Sunchips multigrain snacks •* Sabritones puffed wheat snacks * Cracker Jack candy coated popcorn * Chester's popcorn * Grandma's cookies * Munchos potato crisps * Smartfood popcorn * Baken-ets fried pork skins * Oberto meat snacks * Rustler's meat snacks * Churrumais fried corn strips * Frito-Lay nuts * Frito-Lay, Ruffles, Fritos and Tostitos dips & salsas * Frito-Lay, Doritos and Cheetos snack crackers * Fritos, Tostitos, Ruffles and Doritos snack kits * Hickory Sticks * Hostess Potato * Lay's Stax potato crisps * Doritos Rollitos * Lay's Fries * Natural Lays * Natural Ruffles * Natural Cheetos * Natural Tostitos * Miss Vickie's potato chips * Munchies snack mix •Gatorade Brands •* Gatorade Thirst Quencher * Gatorade Frost Thirst Quencher * Gatorade Ice Thirst Quencher * Gatorade Xtremo Thirst Quencher * Gatorade X-Factor Thirst Quencher * Gatorade Fierce Thirst Quencher * Propel Fitness Water •Tropicana Brands •Tropicana Pure Premium juices * Tropicana Twister juice drinks * Tropicana Smoothies * Tropicana Pure Tropics juices * Dole juices (License) * Tropicana 100 juices * Naked Juice •Quaker Brands * Quaker Oatmeal * Quaker Instant Oatmeal * Quaker Oatmeal Breakfast Squares * Cap'n Crunch cereal * Life cereal * Quaker Oatmeal Brown Sugar Bliss * Quaker Oatmeal Honey Nut Heaven * Quaker 100% Natural cereal * Quaker Squares cereal * Quisp cereal * King...
- 15. 6 Global Divisionof Pepsico • PepsiCo's food and beverage products are sold around the world. Our six global divisions make and distribute diverse product portfolios, drive innovation and deliver Performance with Purpose, our goal to position PepsiCo for long-term, sustainable growth by aligning what is good for our business with what is good for society and the planet 1. PepsiCo Americas Beverages 2. Frito-Lay North America 3. Quaker Foods North America 4. Latin America Foods 5. PepsiCo Europe 6. PepsiCo Asia, Middle East & Africa
- 16. PepsiCo Americas Beverages (PAB) •PAB makes, markets, sells and distributes beverage concentrates, fountain syrups and finished goods under various beverage brands, including Pepsi, Diet Pepsi, Gatorade, Mountain Dew, Diet Mountain Dew, Tropicana Pure Premium, Naked Juice, Sierra Mist, SoBe, Izze, Mug, Mirinda, AMP Energy, Propel, Aquafina and 7UP • PAB offers 14 billion-dollar brands that span carbonated soft drinks, juices and juice drinks, ready-to-drink teas and coffees, sports drinks, and bottled waters – enough choices to satisfy a wide range of consumer taste, occasion, and lifestyle in the Western Hemisphere. -Somers, NY
- 17. Frito-Lay North America (FLNA) •Frito-Lay North America makes some of the most popular snacks in the United States, including Lay’s and Ruffles potato chips and dips, Doritos tortilla chips, Tostitos tortilla chips and dips, Cheetos cheese flavored snacks, Fritos corn chips and dips, Rold Gold pretzels, Sunchips multigrain snacks, and Cracker Jack candy coated popcorn. -Dallas TX
- 18. Quaker Foods NorthAmerica • Quaker Foods North America makes, markets, sells and distributes products spanning several categories such as hot and ready-to-eat cereals, rice, pasta, dairy and other branded products. Some of its best-known and beloved brands include Quaker oatmeal, Quaker Chewy granola bars, Cap’n Crunch cereal, Life cereal and Rice-A- Roni side dishes. -Chicago, IL
- 19. Latin America Foods •PepsiCo’s Latin America Foods (LAF), which includes all PepsiCo food and snack businesses in Latin America, either independently or in conjunction with third parties, makes, markets, sells and distributes a number of snack food brands, including Doritos, Marias Gamesa, Cheetos, Ruffles, Emperador, Saladitas, Sabritas, Elma Chips, Tostitos and Rosquinhas Mabel, as well as many Quaker-branded cereals and snacks. These branded products are sold to independent distributors and retailers. -
- 20. PepsiCo Europe • PepsiCoEurope includes all beverage, food and snack businesses in Europe and South Africa. Either independently or in conjunction with third parties, PepsiCo Europe makes, markets, sells and distributes a number of leading snack food brands including Lay’s, Walkers, Doritos, Cheetos and Ruffles, as well as many Quaker-branded cereals and snacks, beverage concentrates, fountain syrups and finished goods under various beverage brands including Pepsi, Pepsi Max, 7UP, Diet Pepsi and Tropicana. -Geneva, Switzerland
- 21. PepsiCo Asia, MiddleEast & Africa • PepsiCo Asia, Middle East and Africa (AMEA), which includes all beverage, food and snack businesses in AMEA, excluding South Africa, either independently or in conjunction with third parties, makes, markets, sells and distributes a number of leading snack food brands. These brands include Lay’s, Kurkure, Chipsy, Doritos, Cheetos and Smith’s, many Quaker- branded cereals and snacks, beverage concentrates, fountain syrups and finished goods under various beverage brands including Pepsi, Mirinda, 7UP, Mountain Dew, Aquafina and Tropicana. -Dubai, UAE
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- 23. Market Shares andRanking
- 24. • PepsiCo isthe second largest non-alcoholic beverage maker in the US, with an extensive portfolio of carbonated and non-carbonated beverage brands.
- 25. Pepsico’s Revenue PerSegment
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- 27. Financial Performance PerSegment 2nd Quarter in 2015 • PepsiCo Americas Foods (PAF) -Organic revenue grew 4 percent in the quarter, primarily driven by effective net pricing.
- 28. Frito-Lay North America(FLNA) Organic and reported net revenue increased 2 percent in the quarter, reflecting volume growth in an otherwise sluggish period for the U.S. packaged food industry.
- 29. Latin America Foods(LAF) Organic revenue grew 8 percent in the quarter, reflecting 11 percentage points of effective net pricing, partially offset by a 2 percent volume decline. The balance of our Latin America Foods business experienced double-digit organic revenue growth led by Venezuela and Argentina.
- 30. Quaker Foods NorthAmerica (QFNA) • Organic revenue declined 1 percent reflecting even volume versus the prior-year quarter and unfavorable net pricing, partially offset by favorable product mix. Quaker gained value share in the quarter in each of its core categories in the U.S., which include hot cereal, ready-to-eat cereal and snack bars.
- 31. PepsiCo Americas Beverages (PAB) •Organic revenue increased 1 percent in the quarter, reflecting slight organic volume gains and effective net pricing. During the quarter, PAB grew its liquid refreshment beverage value market share position in the U.S. in measured channels. In North America, non- carbonated beverage volume grew 1 percent and carbonated soft drink volume declined 2 percent.
- 32. Pepsico Europe • Organicrevenue grew 5 percent, reflecting 5 percentage points of effective net pricing and volume growth of 1 percent in both snacks and beverages.
- 33. Asia, Middle East& Africa (AMEA) • Organic revenue grew 7 percent in the quarter, lapping double- digit organic revenue growth in the prior-year quarter. Growth was driven by 7 percent volume growth in snacks and 2 percent volume growth in beverages.
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- 36. “Performance with aPurpose” Strategy • Its marketing strategy is mainly to work within the company • Performance -Strive to deliver superior long-term financial performance and sustained shareholder value. • Human Sustainability-Meet the changing consumer needs by reducing sodium, added sugars and saturated fat, and developing a broader portfolio of product choices. • Environment Sustainability - Help protect and conserve global water supplies, especially in water-stressed areas, and provide access to safe water • Talent Sustainability - Create a safe, healthy, diverse and inclusive workplace that reflects the global communities in which we operate.
- 37. Pepsico’s Engagement tostudents on Linkedin • The talent acquisition team partnered with marketing and leveraged LinkedIn to launch a student contest called Meeting of the Minds. This innovative initiative offers students a chance to win a summer internship at the company’s Content Studio in New York City, as well as a face-to-face meeting with PepsiCo CMO. • To enter the contest, students upload a short video pitching their ideas for linking a PepsiCo brand to an up- and-coming musician. Students are encouraged to be creative with their submissions: “Play it straight, or have some fun. Just make sure you find the best, most interesting way to bring your idea to life,” says Cooper.
- 38. Pepsico’s Global Campaigns •Pepsi Max debuts 'Genius', its first ever global brand campaign, with 'Drone Football' video • Mountain Dew is resurrecting “Do the Dew” in its first-ever global marketing campaign • The Pepsi Challenge - Every month, Pepsi “ambassadors” will use social media to issue a new challenge — many of which blend social responsibility with popular culture — that encourages consumers to “do something different.” • Pepsi Launches Global Campaign, "Live For Now“ - Live for Now" will invite and inspire Pepsi fans to live each moment to the fullest through a breadth of global, pop-culture platforms, including relationships with music and entertainment brand evangelists, digital innovation, epic events and unique partnerships.
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- 42. • PepsiCo willshould come out with new or modified products that are liked by the customers. • It will also be able to come out with a promotional campaign (that is key to its success) that will be acceptable to people of different countries. • A campaign should caters to the sentiments of the people is likely to succeed in most countries of the world. • To increase its reach, it is also essential to sponsor more entertainment and sporting events both in the international as well as local levels. • Sponsoring TV shows or movies that cater to the "generation next" image that Pepsi is trying to create would also go a long way in improving its market. It would also improve its prospects of beating its arch rival in the "Cola wars".
- 43. Factors that UnitesUS ALL • Sports • Peace • Occasions • Religion/Equality • Technology • Education • Music • Health • Tragedy
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