Greanmaster

Pepsi

1. Distribution

Since PepsiCo is established, it attached a lot of importance to its distribution operations. Each day, the company's products such as snack foods and beverages, which were distributed through various retail channels in the US and around the world. PepsiCo's distribution system was aimed at making available all or most of the products in its portfolio within a distance easily reachable by consumers. PepsiCo was aware of the need to adapt its distribution systems base on needs and preferences of global customers. In order to connect and satisfy customer’s needs, Pepsi distribution channel decisions try to make their products available in customers’ popular shopping areas. These included the Direct Store Delivery (DSD), Broker Warehouse Distribution (BWD) and Vending & Food Service (V&FS) systems.

The key accounts are different wholesalers, restaurants and hotels like Pizza Hut, KFC, Metro which serve as a place for key sale.

Pepsi have exclusive contracts with franchise bottlers, independent/online distributors and retailers( Tesco, Walmart).

Pepsi have also refrigerated vending machines at various locations and workplaces. Service the right pack size at the right price, in the right place at the right time.

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http://softdrinkcolawar.blogspot.com/2012/12/pepsis-distribution.html

http://www.icmrindia.org/casestudies/catalogue/Operations/PepsiCo%20Distribution%20and%20Logistics%20Operations-Management%20Case%20Studies.htm

1. Communication

The Pepsi Corporation mainly uses four types of marketing strategies to effectively communicate its brand value to its consumers. They are:

1. Media Commercials

2. Sponsorships

3. Community Activities (CSR)

4. Product diversification

Media Commercials

Pepsi Corporation mainly uses media such as TV commercials, Billboards, Newspapers, YouTube, Face book and Twitter to advertise its brands. According to the Pepsi Annual report 2009, they have budgeted to spend 1.4 billion US dollars on advertising in year 2011.

Pepsi has more than 100 TV commercials, 50 YouTube Ads and 1000s of face book and Twitter fan pages with more than 5 million online fans. Pepsi cola has more than 10,000 missive billboards

Pepsi uses Famous celebrities such as Britney Spears, Beyonce, Priyanka Chopra and Sachin Thendulkar for their Commercials in Western and Asian countries. Each year they spend millions of dollars to create commercials.

Advantage of media commercials

* Can Deliver the brand to a wide range of consumers

* Has a higher impact on the consumers