New Microsoft Word Document

Download as doc, pdf, or txt
Download as doc, pdf, or txt
You are on page 1of 31

REPORT ON : MARKETING MANAGEMENT TOPIC: Pepsi Cola Presented to: Mam Amara Presented by: Nasir ali Haris

is Farooq 072116 Saima Razzaq 072124 Qura-Tul-Ain 072109

ABSTRACT
Purpose of this project is to study the MARKETING strategies which Pepsi is doing in Pakistani market for its product Pepsi cola. Pepsi International is a world renowned brand. It is a very well organized multinational company, which operates almost all over the world. In Pakistan It also has proved itself to be the No.1 soft drink. Pepsi is operating in Pakistan, through its 12 bottlers all over Pakistan. These bottlers are Pepsi's strength. Pepsi has given franchise to these bottlers. Bottlers, produce, distribute and help in promoting the brand. Pepsi also launched its fast food chain KFC i.e. "Kentucky Fried Chicken.

ACKNOWLEDGEMENT
We owe our gratitude to Allah Almighty whose shower of blessings and kindness has been on us through out the working on these pages. It is His help that we finally able to compile this document. We are indebted to our respected teacher Mam AMMARA AKRAM whos indispensable and intricate comments on various aspects conjoined with motivation made us come forth holding such as project.

Table of Contents

1. Introduction 2. Mission and vision statement 3. Facts about company 4. Pepsi in Pakistan 5. Product in spot light 6. Market analysis of soft drink 7. Pakistani soft drink industry 8. Industrial SWOT analysis 9. External Environmental factors 10. Internal Environmental factors 11. Consumer buying Behavior 12. Pre-marketing Mix 13. Marketing Mix strategies 14. Conclusion 15. Suggestions

INTRODUCTION TO THE COMPANY


The recipe for Pepsi, the soft drink, was first developed in the 1890s by a North Carolina pharmacist and industrialist, Caleb Bradham, who named it "Pepsi-Cola" in 1898. As the cola developed in popularity, he created the Pepsi-Cola Company in 1902 and registered a patent for his recipe in 1903. The Pepsi-Cola Company was first incorporated in the state of Delaware in 1919. Ownership of this company traded hands several times throughout the 1920s and 1930s, and in the early 1960s its product line expanded with the creation of Diet Pepsi and Mountain Dew. In 1965, the Pepsi-Cola Company merged with Frito-Lay, Inc. to become PepsiCo, Inc., the company it is known as at present. At the time of its foundation, PepsiCo was incorporated in the state of Delaware and headquartered in Manhattan, New York. The company's headquarters were relocated to their present location of Purchase, New York in 1970, and in 1986 PepsiCo was reincorporated in the state of North Carolina.

MISSION STATEMENT
To be the world's premier consumer Products Company focused on convenient foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.

VISION STATEMENT
PepsiCo's responsibility is 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.

FACTS ABOUT THE COMPANY


Pepsi is a USA based public company whose stocks are available in New York. Mountain Dew, acquired by Pepsi-Cola in 1964, switches its advertising and package graphics room hillbillies to action-oriented scenes. The third Mountain Dew slogan appeared in 1973 "Put A Little Yahoo in Your Life." PepsiCo acquired Pizza Hut, Inc. Pizza Hut was founded in 1958 by Dan and Frank Carney. Taco Bell was established in the mid 1960s by Glen Bell & was acquired by Pepsi. PepsiCo purchased Kentucky Fried Chicken, the leader in the quick service chicken market. KFC was founded by Colonel Harland Sanders. Colonel Sanders began franchising the company in 1952. KFC was spun off along with Pizza Hut and Taco Bell businesses as Tricon Global Restaurants, Inc. in 1997. PepsiCo purchases Seven-Up International, the third largest franchise soft drink operation outside the United States

PEPSI IN PAKISTAN
Now days Pepsi is recognized as Pakistanis National drink. In 1971, first plant of Pepsi was constructed in Multan, and from their after Pepsi is going higher and higher. It is consumed by all age groups because of its distinctive taste. Compared with other Cola in the market, it is a bit sweeter and it contributes greatly to its liking by all. Pepsi's greatest rival is Coca Cola. Coca Cola has an international recognized brand. Cokes basic strength is its brand name. But Pepsi with its aggressive marketing planning and quick diversification in creating and promoting new ideas and product packaging, is successfully maintaining is No.1 position in Pakistan. In coming future Pepsi is also planning to enter into the field of fruit drinks. For this purpose it has test marketed its mango juice in Karachi for the first time. When Pepsi was introduced in Pakistan, it faced fierce competition with 7up, lemon and lime drinks, which was established during 1968, in Multan. Pepsi introduced its lemon and lime, "Teem" to compete with 7up. It successfully, after some years, took over 7up, and this enhanced Pepsi's profits and market share. In Pakistan, Pepsi with 7up enjoys 70% of the market share where as the coke just has 20% markets share.

FOUNDERS OF THE COMPANY


The company was initially owned by late Nawab Saddiq Hussain Qureshi & family till 1989. The Pepsi International franchise declared the management incompetent, thus, the company was handed over to a new set of personnel. The factory set up was reorganized & re-established with expansion in various sectors. The Pepsi International did this by offering it to Mr. Jehangir Tareen, who formed up his new team. Mr. Jahangir Tareen is Nephew of General (late) Akhtar Abd-ur-Rehman.

EXECUTIVES
Board of Directors:
Mr. Akbar Akhtar Khan (Chairman) Mr. Haroon Akhtar Khan (Chief Executive) Mr. Gazi Akhtar Khan Mst. Rasheeda Begum Mrs. Mudina Akbar Khar Mr. Saifullah Khan Paracha Mr. Saeedullah Khan Paracha

Company Secretary;
Mr. Amjad Jhanzeb Khan

Bankers;
Allied Bank of Pakistan Ltd. Citibank N.A. MCB NDFC The Bank of Punjab UBL

Legal Advisor;
Cornehus, Lane & Mufti, Nawa-i-Waqat Building, 4-Shahrah-e-Fatima Jinnah, LHR.

Auditor;
Taseer Hadi Khalid & Co. Chartered Accountants. Mill Kanjawani, Tehsil Samundri, District Faisalabad.

REGISTERED OFFICE;
31 N, Gulberg II, Lahore, Pakistan. UAN: 111-724-725

VARIOUS PRODUCTS IN PAKISTANI MARKET


PEPSI COLA, DIET 7UP, DIET PEPSI, MIRINDA, TEEM, PEPSI TWIST, 7UP, MOUNTAIN DEW, LAYS, KURKURE, AQUAFINA, TROPICANA JUICES

PAKISTANI SOFT DRINK INDUSTRY


About 75 million cases a year for Pepsi alone; the total beverage market is about 120 million cases of which 65% per cent are Pepsi products; about 20 to 22 per cent are CocaCola products and Zum Zum cola and Gourmet Cola and Muslim Cola... there are so many colas; there is RC and Double Cola which are franchised products. Altogether they have around 5 per cent of the market. Total annual sale of soft drink in Pakistan 120 million cases Pepsi annual sales in Pakistan 75 million Market share of Pepsi 65% Consumption growth 1.7 % per year

SWOT ANALYSIS of PEPSI COLA


Strength Pepsi has a broader product line and outstanding reputation. Record revenues and increasing market share. Lack of capital constraints (availability of large free cash flow). Great brands, strong distribution, innovative capabilities Number one maker of snacks, such as corn chips and potato chips

PepsiCo sells three products through the same distribution channel.

Weakness
Pepsi hard to inspire vision and direction for large global company. Not all PepsiCo products bear the company name PepsiCo is far away from leader Coca-cola in the international market - demand is highly elastic.

Opportunity
Food division should expand internationally Noncarbonated drinks are the fastest-growing part of the industry There are increasing trend toward healthy foods Focus on most important customer trend - "Convenience".

Threats
Pepsi is blamed for pesticide residues in their products in one of their most promising emerging market e.g. in India Over 50 percent of the company's sales come from Frito-Lay; this is a threat if the market takes a downturn PepsiCo now competes with Cadbury Schweppes, Coca-Cola, and Kraft foods (because of broader product line) which are well-run and financially sound competitors.

Size of company will demand a varied marketing program; Social, cultural, economic, political and governmental constrains.

HOW Internal and External factors affecting the strategies?


A companys environment consists of forces outside marketing that affect marketing managements ability to build and maintain successful relationship with the target customers. Every company should know the vital importance of constantly watching and adapting to the changing environment Some of the external and internal environmental factors that affect the marketing trend of the company are as follows:

EXTERNAL ENVIRONMENT
The macro environment consists of the larger societal forces that affect the microenvironment. Some of these factors are given below:

Demographic Factors:
Followings are some important demographic factors considered by pepsi while making marketing strategies

Age Education Population Distribution Population Density

Age
Pepsi should target that age group that consumes it the most and make promotional strategies according to their behavior. So their main target is the young generation.

Education
A company has to make promotional strategies keeping in view the customer education level Promotion and education has a direct relationship.

Population Distribution
Population distribution means how much [population lives in urban areas and rural areas. In Pakistan 35 % population resides in urban areas and 65% population lives in rural areas. Pepsi is focusing on urban areas as people there are more inclined towards such beverage while people in rural areas are more inclined drinking lassi and desi drinks.

Population Density
Pepsi sales are more in Karachi as compared to the sales in Islamabad.

ECONOMIC FACTORS:
Pepsi is responding to these economic factors in market : Income Inflation Consumption Behavior Income Distribution Price Policy

Income
If the income level or per capita income of the people increases, it will have a positive effect on the consumption of Pepsi. Income per capita in Pakistan is increasing so it is a +ive sign for PCI.

Inflation
If the country faces inflationary trend in the market, the price of the Pepsi will ultimately increase which will lower its demand. So inflation in Pakistan is against PCI.

Consumption Behavior

Pakistan is a consumption oriented society. So the people of Pakistan spent heavily on food items. Hence Pepsi has a good market share in the present circumstances.

Income Distribution
Fair distribution of wealth is beneficial for PCI. But In Pakistan 10% rich people posses 93% of wealth and 90% people posses 7% of wealth. So this situation is not in favor.

Price Policy
If price of Pepsi is increased its demand will decrease and vice versa.

TECHNOLOGICAL FACTORS: Research and Development


Through research and development quality of the product can be improved or better techniques or machinery can be developed which can increase the production. When technology is advance the supply of the product increase hence the company experiences growth in their business.

POLITICAL AND LEGAL FACTORS:


Laws Formulation Social Responsibility Political stability:

Political stability: Whenever the government is considered to be stable, the business will flourish. If there is political stability in the country the policies and strategies made by Pepsi can be consistent to be implemented. PCI and political stability are related +ively. Laws Formulation

Government has given copy rights to Pepsi so that another company cannot sell their product by the name of Pepsi. The countries where laws are formulated, the strategies and activities of the company are different. Social Responsibility Pepsis social responsibility is to provide its customers with clean and hygienic product so to do this they have increased the use of disposable bottles.

SOCIAL AND CULTURAL FACTORS:


Psychographic Religious Media Social Status

Psychographic
It is a combination of demographic and psychological factors. Psychological attributes mean how you perceive things. The company will focus on the behavior of consumers and make different changes in their product quantity or quality and in promoting their product so that they can attract the customers. Pakistan is a prompt and showy economy. So it is beneficial for a company like Pepsi cola.

Religious
Religious factors can influence the market sales of Pepsi as it happened in 2003 when the U.S-led attack on Iraq, wide sections of society in Pakistan has banned American multinationals Coke and Pepsi.

Social Status
Pepsi is famous brand. People who are brand conscious will not drink beverages of lesser known brands such as Gourmet Cola. Socially Pepsi is a brand of status.

Media

It is a very important factor for marketing. Pepsi is using media for marketing it as a social and cultural brand. Media these days is a very effective way of inspiring people to buy a specific product. A good promotion can boast up sales to a great extent.

INTERNAL ENVIRONMENT
CUSTOMERS:
There are three types of customers Consumer Business Government Pepsi main focus is the consumers which are the end users. Pepsi has to make its marketing strategies keeping in view the consumer buying behavior. To forecast the behavior of the consumer is a business problem. Physical aspect of the consumer can be satisfied but it is difficult to satisfy the consumer psychologically. Consumer buying behavior is affected by certain factors like Cultural factors, Social factors, Personal factors and Psychological factors. So the producer should keep these factors in Mind while promoting their product so that they can acquire the customer and increase their market share. There are different consumers in a society whose behavior is not the same. Every consumer has a different perception of different products. Some consumers are impressed by one quality of the product which may be in the view of other consumer not that impressive. So to deal with different consumers in a society one should know about the consumer buying behavior process which may help in making a true picture of their product in the mind of the consumers.

SUPPLIER:
PepsiCo International provides raw materials to Pepsi franchises in Pakistan. Supplier problems can seriously affect marketing

Serial no. Name(material)


1 2 3 4 5 Pepsi Concentrate Caps & Closures Plastic Bottles Glass Bottles Carbonated Water

Suppliers

Approved from

PepsiCo Inc. Ireland & at the factory PepsiCo Factory in Hattar Estate. Gatron Pakistan Limited PepsiCo China. Galtron Pakistan Limited Balochistan Glass Mills Tariq Glass Limited Pakistan Bottlers (Pvt) Ltd. PepsiCo China PepsiCo China PepsiCo Dubai U.A.E,

COMPETITOR:
Pepsi has a tough competition with Coca Cola and Gourmet Cola (a new competitor). The local producers hardly affect the sales of Pepsi in the market. There are different types of competitor in the market. Some of them in which our product lies are discussed below:

Close Vs Distant Competitor


Pepsi and Coke are close competitors. It means that both have direct competition in the market, their products are close substitutes for one another. Both the products can

influence the market share of one another through effective strategies made to cope up with their competitors. Pepsi cola and Nestle juice are distant competitors of one another. It means that their products satisfy the same want but they are in indirect competition with one another.

Strong Vs Weak: Coca Cola and Pepsi are strong competitors. In Pakistan Pepsi is the market leader and Coca Cola is its competitor. The Pepsi makes defense strategies so that it can maintain its position in the market. While Coca Cola is a challenger and it makes attack strategies so that it can become the market leader. Pepsi and Gourmet Cola are weak competitors. Pepsi is the market leader and Gourmet Cola is the follower. Pepsi is not in direct competition with the Gourmet Cola. It means that Gourmet Cola has little effect on the sales of Pepsi especially in upper Punjab.

DISTRIBUTOR:
Distributor maintains the image of the product and the sales in the market. If items are not properly placed by the distributor, it will disperse the market.

CHANNELS OF DISTRIBUTION
The Pepsi uses the following two channels for the distribution of their products.

Indirect Distribution
Indirect distribution involves agency holders e.g. Shamim and co. ltd. divided its area into 5 regions (Multan, Muzaffargarh, Alipur, D.G Khan and Bahawalpur) with 160 distributors.

Local Zone
These are 33 agencies distributing Pepsi Products (250ml STD) only around Multan in their respective allocated sub zones.

Out Station Zone

17 dealers have been appointed by the bottlers for far distant places and in out skirts of Multan and DG Khan Regions the dealers involved in direct distribution are only authorized to sell 250 ml (STD) bottle of Pepsi, Team and Miranda.

Direct Distribution
The factory vehicles operate on 45 direct routes and 160 distributors

CONSUMER BUYING BEHAVIOUR PROCESS:


Consumer buying behavior process is explained in some steps which are discussed below:

Need Identification
The consumer is thirsty and he wants to quench his thirst.

Information Search
He will search as to what will satisfy his thirst the most.

Evaluation of Alternatives
He will now evaluate from the wide range of beverages available to him that which one of them is suitable to him in terms of quality, taste and is pocket friendly.

Selection
After evaluating the product he will select a product.

Purchase
The consumer will buy the selected product. Post-Purchase Behavior:

It is the experience that the consumer gets after using the product. He will use the product again if he feels that his satisfaction after use is more or equal to the price of the product. After looking at above mentioned example, we can get an understanding that a product should be so desirable that whenever a person identifies his need, he selects our product among various substitute products and he feel satisfies so that he retains the use of that product.

PRE-MARKETING MIX
SEGMENTATION
It means that you divide the target market in to different groups. Market consists of buyers and buyers differ in one or more ways. They may differ in wants, resources, locations and buying practices. Through market segmentation companies divide large, heterogeneous markets into smaller segments that can be reached more efficiently and effectively with products and services that match their unique needs. Segmentation is done on basis of the previously mentioned external factors and the following:

Behavioral Base
It is how people perceive a specific product, in short psychological analysis of a product. Pepsi all over the world is recognized as a quality drink and therefore people drink it without any hesitation whenever they are thirsty or otherwise. So marketers of Pepsi have made it a drink for all people and for diabetic people they introduced diet Pepsi.

Cognitive Base
It pushes and pulls the consumer. If the outlook of Pepsi bottle is desirable and it attracts the consumer, he will buy it even if he isnt thirsty.

TARGET MARKET

The market which is focused by the producer is called the target market. Targeting is to focus on the target market to attract the customers. Rural area is the next target of Pepsi.

CHARACTERISTICS OF TARGET MARKET


The target market should have some following features.

Accessible
It means that the target market which is focused should be accessible or easily approachable.

Substantial
The target Market should be substantial. It should have a specific size where strategies can be made and implemented.

Measurable
One should be able to measure the demand in the market.

Comparable
The producer should identify that needs of different customers are different.

Profitable
The target market should be profitable for the producer.

MARKETING STRATEGIES
There are different marketing strategies which are applied in targeting. Some of these strategies which Pepsi follows are discussed below:

Mass Marketing
Big firms or companies say that everyone is their buyer whether they belong to rural or urban area, big or small country, rich or poor, adults and small children etc. Pepsi is mostly used by the young generation but it claims that it is moving towards mass marketing.

POSITIONING STRATEGY
It means that you try to give image to your product in the mind of the customers. To give a true and positive picture of the product is the best positioning. The company should promote comparative advantage which it has over its competitors

DIFFERENTIATION STRATEGY
In order to serve your target market you introduce different things to your product so that your product can be differentiated from other products.

Basis of Differentiation
There are many bases on which a product can be differentiated but Pepsi has differentiated its product on the following base:

Product Differentiation
Pepsi differentiate its product from its competitors on the basis of brand, quality and taste (bit sweater).

Image Differentiation
Logo is used for image differentiation. Logo is what establishes a brand name in the consumer mind. It is the brands identification, signature and image. Pepsi has kept on changing its logo from time to time.

Marketing Mix Strategies

PRODUCT
Carbonated drinks have become part of the culture in Pakistan and multinational companies have maintained standards over the years to provide the nation with highquality drinks. In marketing, a product is anything that can be offered to a market that might satisfy a want or need. Until unless the product of the company is not strong in the market it can not survive in the longer run. Pepsi has a product line comprised up of carbohydrate drinks, Lays and many other products in Pakistan. Pepsis product line satisfies consumer needs because Pepsi produces different types of soft drinks for different consumers. The most popular product of Pepsi is Pepsi Cola. Due to its good taste Pepsi is a wellknown product. Thus Pepsi Cola satisfies the consumers needs efficiently by launching a desired product.

New product development by Pepsi


Pepsi is doing new product development on frequent interval of times. The purpose of which is to refresh the brand. By new products and innovative ideas consumers can easily be attracted. In following ways Pepsi is doing new product development.

New product category


Pepsi which is mainly a company of soft drinks After establishing a brand in Pakistan Pepsi came into several new product category. Lays, kurkuray and aquafina

Product line extension


Mountain dew is the most recent addition in the product line of soft drinks which is very popular especially among the youngsters. However Pepsi launch its several variants with a minor difference on frequent interval of time. There have been many Pepsi variants produced over the years since 1903, including Diet Pepsi, Crystal Pepsi, Pepsi Twist, Pepsi Max, Pepsi Samba, Pepsi Blue, Pepsi Gold, Pepsi Holiday Spice, Pepsi Jazz, Pepsi X (available in Finland and Brazil), Pepsi Next (available in Japan and South Korea),

Pepsi Raw, Pepsi Retro in Mexico, Pepsi One, Pepsi Ice Cucumber and Pepsi White in Japan. Line Filling

Pepsi claims that they are doing mass marketing but there was an unfilled gap in the consumers. The diabetic patient cant use the regular Pepsi because of the sugar. So Pepsi had introduced diet Pepsi to fill the gap in their drinks as of then onwards even diabetic people became their consumers.

Line Extension
Pepsi jumbo is an example of incremental improvement made by Pepsi. It was 2.25 litter bottle introduced few years ago in Pakistan. The purpose of this packing is to offer the Pepsi to a family for one or two time meals. Price of this pack is also kept low so that is can be affordable easily by the consumers.

Analysis of the product in Pakistani market


According to a survey conducted by brand award association availability has been declared as the second best contributing factor in the success of Pepsi and it simply indicates that effectiveness of its distribution network which ensures its availability in every far off corner of the country. Affordability has been rated as the third best option and indicates consumers sensitivity to prices of daily consumption items. Quality has been considered as the lowest rated criterion and it is unusual. It indicates that counterfeit product is getting prevalent in the market. There are more than ten COLAS in the market and the popular acceptance of Pepsi is creating problems in its way of success. Pepsi will have to make a strong drive to close all illegal manufacturing and packing of cola carbonated drinks which has become common now-a-days and counterfeit cola replacements can be seen in every market.

PRICE

The price of Pepsi Cola, despite being market leader is the same as that of its competitor Coca cola. Following factors Pepsi kept in mind while determining the pricing strategy. Price should be set according to demand of public. Price should be that which gives the company maximum revenue. Price should not be too low or too high than the price competitor is charging from their customers otherwise nobody will buy your product. Price must be keeping the view of your target market.

Some times, Pepsi places its customers into some psychological pricing strategies by reducing a high priced bottle and consumers think that they save a lot of money from this.

Prices of different bottles


Regular bottle e= rupees 15 Non Returnable/disposable= rupees 25 Liter Bottle=rupees 40 1.5 Liter Bottle= rupees 70 2.25 Liter Bottle= rupees 90

PRICING STRATEGIES

Competition based pricing approach


Pepsi has intense competition with the coca cola the largest soft drink company world wide. So its pricing cant exceed too much nor decrease too much as compared to the

price of coca cola. If price of the Pepsi exceed too much from the coke people will shift to the coca cola and on the other hand if the price of Pepsi decreases people might get the impression that quality of the Pepsi is also low. So Pepsi sets its price according to market and competitors.

Promotional Pricing Policy


Pepsi has offered promotional prices very frequently. Especially on some occasion Pepsi reduces its rates. Like in Ramadan Pepsi reduces its rate unto Rs5 on 1.5 litter bottle.

Market Penetration Pricing Policy

Prices in beverage industry are determined by the consumer. In an economy like that of Pakistan, consumers tend to switch towards a low priced product. Pepsi objective is to target every consumer of the country so Pepsi has to set its prices at such a level which no one can offer to its consumers. That is why Pepsi Cola charges the same prices as are being charged by its competitors. Otherwise, consumers may go for Coca Cola in case of availability of Pepsi at relatively high price.

DISCOUNTS
Pepsi Cola offers various discounts to those retailers who have the maximum sales of Pepsi products on daily, monthly and on seasonal basis. Same of the main discounts given to the retailers are as follows: Following are discounts offered by Pepsi.

1/10 Discount

(I.e. one case of Pepsi is free on buying 10 cases of Pepsi at one time.)

2/20 Discount

I.e. two cases of Pepsi are free on buying 20 cases of Pepsi at one time.

Seasonal Discount

Following are discounts offered by Pepsi. Pepsi also offers seasonal discounts schemes by reducing price in Ramadan and on Eid. Pepsi also offers trade in allowance for retailers.

3 B F Discount

I.e. some times, especially in the off-season duration, in order to increase the sale of Miranda and Teem, 3-BF discount is given (i.e.) 3 bottles free on purchasing every case of Teem and Miranda.

INCENTIVES
Mainly two types of incentives are given by the Pepsi Cola: Incentive to Retailers Pepsi Cola provide various incentives to retailers on the best sales and achieving the predetermined sales targets. These incentives are in the shape of: Deep Freezers Return Tickets Free Transportation Services. Incentive to Dealers The best dealer of the year is awarded with a brand new Suzuki Pickup. The second best is awarded with Motor Cycle. The third best is awarded with Return Ticket to Middle East. Credit

There is no credit system in the beverage industry. Every single bottle is sold on the cash basis. But bottlers like Shamim and co. give credit to its distributors according to certain terms and conditions. Special Offers

Pepsi Cola gives special offers to consumers on special occasions like Ramadan and Eid days instead of decreasing the price of the products, some special packs like Pakkora Mix, Chat Massala, or Free Drinks with Liter Bottles are offered.

PRODUCT OUTFLOW Pepsi Cola International has given franchises all over Pakistan. These companies have installed their plants in different parts of Pakistan with these specified areas and names e.g. City Karachi Lahore Faisalabad Multan Name of Franchise Pakistan Bottlers Riaz Bottlers Punjab Beverage Shamim and co.

Pepsi Cola provides consumers place utility which is, where ever and when ever you want it, you get it! Pepsis channel of distribution is very aggressive according to the consumers, manufacturers and distributors. Pepsi has 12 different units in different areas of Pakistan, which make the Pepsi easily available all over the country. The cities in which the Pepsi units are: a) Lahore b) Sukkur c) Karachi d) Multan e) Dera Ghazi Khan f) Islamabad g) Faisalabad

h) Quetta i) Hyderabad j) Sahiwal k) Hattar Pepsi is an international brand so it also has other units in other countries of the world like America, Europe, Afghanistan, Middle East and Central Asia. The big advantage for Pepsi in Pakistan is that it distributes the product through bottlers. So bottlers effort also contributes in the promotion of Pepsi.

CONCLUSION
Pepsi is a well renowned company and it has maintained its position well by understanding the client psychology, by ensuring quality, by introducing ingenuity in products, by enlarging its product base, by keeping economic factors in view and by intense and jazzy advertisements. Whenever and where ever there is a spotlight event, Pepsi must figure in, like the one day international cricket matches between India and Pakistan many other such occasions. The key word for success in the Marketing World is to remain in the spotlight and that is what Pepsi is doing.

SUGGESTIONS
The marketing world is full of surprises. Who could imagine that Coca Cola would be overtaken by Pepsi? If Coke could be overrun by Pepsi, it would be no wonder that Pepsi might be overtaken by some other beverage. The need then is to combine quality with ingenuity. Along with that, the reputation of the company has to be kept robust. Today we live in a fast moving world where novelty and newness count a lot. One cannot rest on ones laurels. Fresh efforts, newness of approach must remain the cardinal principles of a well orchestrated marketing strategy and the campaign must be relentless. A continuous bombardment in advertisement would convince the clients that Pepsi is a part of their lives. In order to live with style, Pepsi ought to be an essential ingredient of ones life.

The Pepsi is at its maturity stage and the sales of company are not growing very rapidly. Company is doing a lot of promotional activities to let the product remain in the market. It holds a large share of the market and whenever the sales state declining, the company can improve it by different promotional activities. Marketers of Pepsi can try to improve sales by improving one or more marketing mix elements. They can cut prices to attract new users and competitors customers. They can also launch a better advertising campaign or use aggressive sales promotion to improve the sales. Thus, Pepsi is at its maturity stage.

You might also like