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PepsiCo Incorporated

PepsiCo Incorporated. Adriane Payn Aimee Renfro Clinton Eastman Scott Blankenship. PepsiCo Inc.

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PepsiCo Incorporated

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  1. PepsiCo Incorporated Adriane Payn Aimee Renfro Clinton Eastman Scott Blankenship

  2. PepsiCo Inc. • Mission:“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” www.pepsico.com

  3. PepsiCoInc. Marketing Concept Customer Orientation

  4. PepsiCo Inc. Marketing Concept Customer Orientation Organization’s Performance Objectives

  5. PepsiCo Inc. Marketing Concept Customer Orientation Coordinated Market Activities Organization’s Performance Objectives

  6. PepsiCo Inc. Marketing Concept Customer Orientation Coordinated Market Activities Consumer Satisfaction Organization’s Performance Objectives

  7. PepsiCo Inc. Marketing Concept Customer Orientation Coordinated Market Activities Consumer Satisfaction Organizational Success Organization’s Performance Objectives

  8. PepsiCo Inc. Economic Conditions Competition Demo- graphics Company’s Marketing Program Social And Cultural Forces Technology Political And legal Forces

  9. Gatorade is it in you?

  10. Market • Non Alcoholic Beverages • Soft Drinks • Sports Drinks Beverage Industry - 2006 State of the Industry

  11. Market Beverage Industry - 2006 State of the Industry

  12. Competition • Monopolistic Competition • Main Competitors • Coca Cola (PowerAde) – 13.2% market share • Cadbury Schweppes – less than 2% • Smaller brands • Strength of PowerAde • New Ads with Lebron James • Partnership with DC Comics • Weaknesses of PowerAde • Entered Market too late • Can’t sway Gatorade’s loyal Customers • NHL recently changed to Gatorade

  13. The Science of Sweat • Target Markets • Athletes • 2 types • Casually Active Individuals • Those who participate in a range of activities and want something to help them • Casual Drinkers • Those who want something other than water or soda

  14. Target Market • Aspiring young athletes • Younger audience interested in sports looking to be like their favorite professional athletes. • Uses for image and perceived benefit • Doesn’t necessarily use product for its added physical benefits • (if I drink it I will be more like them) • Uses product outside of the sports field

  15. Target Market • Serious Athlete • Looking for a real and scientifically proven competitive edge • Sole worry is benefits added in performance • Taste isn’t as important

  16. Target Market • Casual physically active people • People of all ages that enjoy staying physically active • People looking for a good tasting way to rehydrate themselves • Not looking for a competitive edge

  17. Market Segmentation • Aspiring young athletes • Age • Pre-competitive youth • Lifestyle • Active in a variety of sports both physically and/or socially • Casual physically active people • Age • High school and older • Lifestyle • Active in non-competitive athletics of all types • Benefits Desired • Rehydration and taste • Serious Athlete • Benefits Desired • Looking for a real and scientifically proven competitive edge

  18. Market Segmentation Scheme • Multiple single segmentations • Many different ads geared at a specific segment. • Big head commercial for younger athletes http://www.youtube.com/watch?v=POxjF8iyV3w • It commercials for the serious athlete • Endurance commercials for casual thirsty consumer

  19. Market Segmentation Scheme • Multiple segmentation • Commercials portray characteristics of all segments • Colored sweat commercials • Casual and Youth • Sport affiliated commercials • Youth and Serious • Website caters to all segments

  20. Example

  21. Product Positioning • Ultimate thirst quencher • Category founder with proven scientific advantage • Drink that gives physical and mental competitive edge • If you want to perform like the best, you must drink what the best drink

  22. Perceptual Map Popular Taste Powerade Gatorade Highly Studied Unresearched Accelerade Cytomax Ultima Acquired Taste

  23. FACTS ON CONSUMER BEHAVIOR • The majority of the target market for Gatorade contains those with active lifestyles • The age range of use is growing with several factors that are leading to prolonged active lifestyles in the later generations • Greatest market is younger generation of athletes • Gatorade is most commonly bought in bulk in order to induce lower cost for consumer • Holds 85% of market for sports drinks • Has been the consistent leader in the market through out its 40 year history

  24. REASONS FOR PURCHASE • Gatorade has a huge association with professional role models • Psychological slogan “#1 thirst quencher” • Gatorade sponsors many professional and amateur events and athlete teams in order to increase exposure and credibility

  25. REASONS FOR PURCHASE • The popular Gatorade cooler has made a name for itself…”the Gatorade Dunk” • Gatorade is sold in a variety of settings which makes it very accessible for those who seek the product, and allows for high volumes of impulse buys

  26. MARKET RESEARCH • Primary Data-Gathering: -Surveys: conduct a survey with the intent on finding out who the younger generation idolizes in each of the “big 4” sports -Experimental method: sponsor an event, have booths set up for free Gatorade…have multiple product design to see which design is more accepted by the consumers

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