The Marketing Mix Strategy of Pepsico from 2019 to 2021
Pepsico is a multinational food and beverage corporation that is known for producing some of the most popular brands in the world, including Pepsi, Gatorade, Frito-Lay, Quaker Oats, and Tropicana.
Welcome to this blog post where we will be discussing Pepsico's Marketing Mix Strategy from 2019 to 2021. Pepsico is a multinational food and beverage corporation that is known for producing some of the most popular brands in the world, including Pepsi, Gatorade, Frito-Lay, Quaker Oats, and Tropicana. In this post, we will take a closer look at Pepsico's marketing mix strategy and how it has evolved over the past few years in response to the changing market conditions.
We will start by examining the context of the carbonated beverage market from a global perspective in 2019 to 2021. This will help us understand the challenges and opportunities that Pepsico faced during this period. Then, we will dive into the typical highlights of Pepsico's marketing mix strategy and how each element contributed to the company's success. Specifically, we will analyze the product, price, place, and promotion strategies that Pepsico implemented during this period.
By the end of this blog post, you will have a better understanding of Pepsico's Marketing Mix Strategy from 2019 to 2021, and how it has helped the company stay competitive in the ever-changing food and beverage industry. So, grab a cup of coffee, sit back, and let's get started!
Pepsico at a glance
PepsiCo is one of the largest food and beverage companies in the world, with a diverse portfolio of brands that includes Pepsi, Tropicana, Quaker Oats, Gatorade, and Frito-Lay. The company was founded in 1965 and is headquartered in New York City. Today, PepsiCo operates in over 200 countries and territories, employs over 290,000 people, and generates more than $70 billion in annual revenue.
Over the years, PepsiCo has evolved from a primarily carbonated soft drink company to a more diversified food and beverage company. The company has made significant investments in healthier beverages, snacks, and other products to appeal to changing consumer tastes and preferences.
PepsiCo's mission is to "create more smiles with every sip and bite." The company's core values include customer focus, integrity, and respect for people and the environment. PepsiCo is also committed to sustainability and has set ambitious goals to reduce its environmental footprint and create a positive social impact.
In recent years, PepsiCo has faced stiff competition from other beverage companies and changing consumer trends, particularly a shift away from sugary beverages. Despite these challenges, the company has continued to innovate and adapt its marketing mix strategy to stay ahead in the marketplace.
The context of carbonated beverage market 2019 - 2021 in terms of global scale
The carbonated beverage market has been a highly competitive space in the food and beverage industry. According to a report by Statista, the global carbonated soft drinks market was valued at approximately $392 billion in 2019 and is expected to reach $412 billion in 2021. This indicates a stable growth rate of 5.5% over the two-year period.
The market has been dominated by key players such as Coca-Cola, PepsiCo, and Dr. Pepper Snapple Group. However, there has been a shift in consumer preferences towards healthier alternatives such as juices, energy drinks, and bottled water. This has led to a decline in demand for carbonated soft drinks.
In response to this trend, PepsiCo has diversified its product portfolio to include non-carbonated beverages such as Gatorade, Tropicana, and Aquafina. This has helped the company to maintain its market share in the beverage industry.
Moreover, the COVID-19 pandemic has had a significant impact on the carbonated beverage market. With the closure of restaurants, bars, and movie theaters, the demand for carbonated soft drinks has decreased. Consumers have shifted towards purchasing beverages from grocery stores and online platforms.
In conclusion, the carbonated beverage market has undergone significant changes from 2019 to 2021. PepsiCo has adapted to these changes by expanding its product range and diversifying its offerings. The company's Marketing Mix Strategy has played a crucial role in helping it maintain a strong position in the market.
Typical highlights in Pepsico's Marketing Mix Strategy 2019 - 2021
Pepsico is a global food and beverage company that operates in more than 200 countries. Over the years, the company has implemented a variety of marketing strategies to stay competitive in the market, with a particular focus on the marketing mix. Here are some of the typical highlights in Pepsico's marketing mix strategy from 2019 to 2021.
1. Diversification of product portfolio
Pepsico has been actively working on diversifying its product portfolio to cater to changing consumer preferences. The company has expanded its product range to include healthier options, such as low-calorie and organic beverages, as well as snacks made with natural ingredients. This strategy has helped Pepsico to reach a wider audience and increase its market share.
2. Focus on sustainability
In recent years, Pepsico has been placing increasing emphasis on sustainability in its marketing mix strategy. The company has set ambitious goals to reduce its carbon footprint and water usage, and has been actively promoting its efforts to consumers. This strategy has helped Pepsico to differentiate itself from competitors and appeal to environmentally conscious consumers.
3. Digital marketing
Pepsico has been investing heavily in digital marketing to reach a younger, tech-savvy audience. The company has been leveraging social media platforms, such as Facebook, Instagram, and Twitter, to promote its products and engage with consumers. Pepsico has also been using data analytics to better understand consumer behavior and tailor its marketing messages accordingly.
4. Partnership with celebrities and influencers
Pepsico has been partnering with celebrities and influencers to promote its products and increase brand awareness. The company has collaborated with popular musicians, such as Beyoncé and Cardi B, to launch new products and campaigns. Pepsico has also been working with social media influencers to reach younger audiences and increase engagement.
Overall, Pepsico's marketing mix strategy from 2019 to 2021 has been characterized by diversification, sustainability, digital marketing, and celebrity partnerships. These strategies have helped the company to stay competitive in the market and appeal to a wide range of consumers.
Product in Pepsico's Marketing Mix Strategy 2019 - 2021
Pepsico's product strategy has been one of the key drivers of its success in the carbonated beverage market. The company has been focusing on innovation and diversification to keep up with changing consumer preferences and to stay ahead of its competitors.
One of the key products in Pepsico's portfolio is Pepsi, which has been a flagship brand for the company for decades. In recent years, the company has introduced various new flavors of Pepsi, such as Pepsi Mango and Pepsi Lime, to cater to the changing tastes of consumers.
Another important product in Pepsico's marketing mix strategy is Gatorade, which is a sports drink that has been popular among athletes and fitness enthusiasts for years. The company has been leveraging the growing trend of health and wellness by introducing new variants of Gatorade, such as Gatorade Zero, which has zero sugar and calories.
In addition to these products, Pepsico has also been investing in the non-carbonated beverage category. The company has been expanding its portfolio of juices, teas, and energy drinks to cater to the changing preferences of consumers who are looking for healthier and more functional beverages.
Pepsico's product strategy has also been focused on sustainability and environmental responsibility. The company has been working on reducing its carbon footprint and has introduced various eco-friendly packaging options, such as the use of plant-based materials for its bottles.
In conclusion, Pepsico's product strategy has been a key driver of its success in the carbonated beverage market. The company has been focusing on innovation, diversification, and sustainability to cater to the changing preferences of consumers and to stay ahead of its competitors.
Price in Pepsico's Marketing Mix Strategy 2019 - 2021
Pricing is one of the crucial elements in Pepsico's marketing mix strategy from 2019 to 2021. The company focuses on offering competitive prices that meet the market's demand while maintaining profitability. Pepsico has implemented various pricing strategies to achieve its goals.
Firstly, Pepsico uses penetration pricing strategy to enter new markets or increase market share. This strategy involves offering products at lower prices than competitors to attract customers. For instance, Pepsico introduced a new line of low-calorie beverages in 2019, which were priced lower than other similar products in the market.
Secondly, Pepsico uses skimming pricing strategy to introduce new products to the market. This strategy involves offering products at a higher price in the initial stage to maximize profits. Later on, the company lowers the prices to maintain market share. For example, Pepsico introduced a new line of premium snacks in 2020, which were priced higher than other snacks in the market.
Thirdly, Pepsico uses value-based pricing strategy to price its products. This strategy involves setting prices based on the perceived value of the product to the customer. Pepsico has invested heavily in research and development to create products that meet customers' needs and preferences. This has enabled the company to charge premium prices for its products.
Lastly, Pepsico uses promotional pricing strategy to increase sales during specific periods. This strategy involves offering discounts or special offers to customers to encourage them to make purchases. For example, Pepsico offers discounts during festive seasons to increase sales of its products.
In conclusion, Pepsico's pricing strategy is an integral part of its marketing mix strategy from 2019 to 2021. The company uses various pricing strategies to achieve its goals, including penetration pricing, skimming pricing, value-based pricing, and promotional pricing. Pepsico's pricing strategy has enabled the company to maintain a competitive edge in the market while meeting customers' needs and preferences.
Place in Pepsico's Marketing Mix Strategy 2019 - 2021
Pepsico's place strategy involves the distribution and availability of its products in the market. The company has a global presence with operations in more than 200 countries, which enables it to reach a wide range of consumers. In addition, Pepsico has a well-established distribution network that allows it to efficiently deliver its products to retailers, supermarkets, and other sales outlets.
One of the key initiatives in Pepsico's place strategy is its focus on e-commerce. The company has been investing heavily in building its online presence through partnerships with e-commerce giants such as Amazon and Walmart. This has enabled Pepsico to reach consumers who prefer to shop online and also provides a convenient way for consumers to purchase its products.
Another important aspect of Pepsico's place strategy is its focus on sustainability. The company is committed to reducing its environmental impact and has implemented various initiatives to achieve this goal. For example, Pepsico has been working to reduce its carbon footprint by optimizing its distribution network and using more efficient transportation methods.
Overall, Pepsico's place strategy is geared towards ensuring that its products are widely available to consumers while also minimizing its environmental impact. By focusing on e-commerce and sustainability, Pepsico is well-positioned to continue to grow its market share in the highly competitive carbonated beverage market.
Promotion in Pepsico's Marketing Mix Strategy 2019 - 2021
Pepsico's promotion strategy from 2019 to 2021 focused on building brand awareness, increasing customer engagement, and boosting sales. The company used various promotional tactics to achieve these goals.
One of the key promotional strategies used by Pepsico was advertising. The company invested heavily in advertising campaigns across various media channels such as television, radio, print, and digital. Pepsico's advertising campaigns were designed to be creative, memorable, and engaging to capture the attention of the target audience.
In addition to advertising, Pepsico also used social media as a promotional tool. The company leveraged social media platforms such as Facebook, Instagram, and Twitter to connect with customers and build a community around its brands. Pepsico's social media campaigns were designed to be interactive, engaging, and shareable to generate buzz and increase brand awareness.
Another promotional tactic used by Pepsico was experiential marketing. The company organized various events and activations to provide customers with a unique and memorable brand experience. For example, Pepsico organized the "Pepsi Generations" campaign to celebrate the brand's 120th anniversary. The campaign included pop-up shops, limited edition packaging, and a retro-themed ad campaign to connect with customers on an emotional level.
In conclusion, Pepsico's promotional strategy from 2019 to 2021 was focused on building brand awareness, increasing customer engagement, and boosting sales. The company used various promotional tactics such as advertising, social media, and experiential marketing to achieve these goals. These tactics helped Pepsico to maintain its position as one of the leading carbonated beverage brands in the global market.
Summary
In conclusion, Pepsico has demonstrated a strong marketing mix strategy from 2019 to 2021. The company has managed to adapt to the changing trends in the carbonated beverage market, while still maintaining its brand identity and offering a diverse range of products to consumers. Pepsico's focus on product innovation, competitive pricing, strategic placement, and effective promotion has enabled it to remain a top player in the global beverage industry. Moving forward, Pepsico will likely continue to evolve its marketing mix to stay ahead of the competition and meet the evolving needs of consumers.
