Product development on frequent interval of times

Contents

ACKNOWLEDGEMENT 3

EXECUTIVE SUMMARY 4

CHALLENGE 5

New product category 5

Product line extension 5

Incremental Improvement 5

INTRODUCTION TO THE COMPANY 5

SIGTUATION ANALYSIS 7

COMPANY ANALYSIS 7

MISSION STATEMENT 7

VISION STATEMENT 7

MARKET SHARE 8

CUSTOMER ANALYSIS 8

CUSTOMERS: 8

CONSUMER DECISION PROCESS: 9

COMPETITORS 10

COLLABORATORS 11

CLIMATE: 12

ECONOMIC EFFECT ANALYSIS 12

POLITICAL EFFECT ANALYSIS 13

TECHNOLOGICAL FACTORS: 14

SOCIAL AND CULTURAL ANALYSIS 14

SWOT ANALYSIS OF PEPSI 15

STRENGTHS 15

WEAKNESSES 15

OPPORTUNITIES 16

THREATS 16

MARKET SEGMENTATION 16

BEHAVIORAL BASE 16

CONGNITIVE BASE 17

SELECTED MARKET STRATEGY 17

PRODUCT 17

BRANDING: 17

LOGO 18

PEPSI SLOGAN 18

PRODUCT LINE 19

PACKAGING 19

PRICE 20

PRICES OF DIFFERENT BOTTLES 21

DISCOUNTS 21

PLACEMENT/DISTRIBUTION CHANNEL 22

INDIRECT DISTRIBUTION 22

DIRECT DISTRIBUTION 22

PROMOTIONS 22

CONCLUSION 23

SUGGESTIONS 23

BIBLIOGRAPHY 24

REFERENCES 24

EVIDENCES 24

VISITING CARDS 24

ACKNOWLEDGEMENT

We owe our gratitude to Allah Almighty whose shower of blessings and kindness has been on us throughout the working on these pages. It is His help that we finally able to compile this document.

We are indebted to our respected teacher Miss Fiaza Rehman who’s indispensable and intricate comments on various aspects conjoined with motivation made us come forth holding such as project.

EXECUTIVE SUMMARY

Purpose of this project is to study the 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.

Now days Pepsi is recognized as Pakistanis National drink Pepsi's greatest rival is Coca Cola. Coca Cola has an international recognized brand. Coke’s 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. 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.”

We also did analysis of the soft drink industry in Pakistan and worldwide. The soft drinks set to become world's leading beverage sector. Global consumption of soft drinks is rising by 5% a year.

CHALLENGE

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 aqua fina, fast food restaurants are the examples of new product category.

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 can’t 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.

Incremental Improvement

Pepsi jumbo is an example of incremental improvement made by Pepsi. It was 2.25 liter 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.

INTRODUCTION TO THE COMPANY

Pepsi International is a world renowned brand. It is a very well organized multinational company, which operates almost all over the world. They produce, one of best carbonated drinks in the world. Pepsi is a symbol of hygiene, quality and service, all over the world. Pepsi is producing Cola for more than 100 years and it has dominated the world market for a long time. Its head office is in New York.

HISTORY OF PEPSI COLA

It was first introduced as "Brad's Drink" in New Bern, North Carolina in 1898 by Caleb Bradham, who made it at his pharmacy where the drink was sold. It was later named Pepsi Cola, possibly due to the digestive enzyme pepsin and kola nuts used in the recipe. Bradham sought to create a fountain drink that was delicious and would aid in digestion and boost energy.

In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore to a rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848 gallons. In 1909, automobile race pioneer Barney Oldfield was the first celebrity to endorse Pepsi-Cola, describing it as "A bully drink...refreshing, invigorating, a fine bracer before a race". The advertising theme "Delicious and Healthful" was then used over the next two decades. In 1926, Pepsi received its first logo redesign since the original design of 1905. In the year 1929, the logo was changed again.

In 1931, at the depth of the Great Depression, the Pepsi-Cola Company entered bankruptcy - in large part due to financial losses incurred by speculating on wildly fluctuating sugar prices as a result of

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