Pepsi Marketing Strategy & Marketing Mix (4Ps)

Published in Products category by MBA Skool Team, Last Updated: June 01, 2023

Here is the marketing strategy of Pepsi which analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).

Pepsi Product Strategy:

The product strategy and mix in Pepsi marketing strategy can be explained as follows:

Pepsi cold drink is the main product of the company Pepsi Co is the Carbonated Soft Drinks. Pepsi is the leading product in this field. The brand started in 1898 as Pepsi-Cola and the new brand came into existence in 1961. The products in the Pepsi marketing mix are mainly carbonated beverages, along with fruit juices, snacks etc. The other soft drinks apart from Pepsi are the ones like Mountain Dew & 7up. They have a different targeted customers.

The company has also ventured in the areas of chips and wafers like Lays, Cheetos and Kurkure which carter to the various sections of the people. They have stringed up a lot of variety of products within these products like Diet Pepsi, 7Up Revive to name among a few. The company has further ventured into the products like Lipton tea and the Tropicana juices. Pepsi Co are catering to a wide variety of markets and are making their presence felt in almost all the kind of food and beverage sectors.

Image: flickr-photos/jeepersmedia/

Pepsi Price/Pricing Strategy:

Below is the pricing strategy in Pepsi marketing strategy:

Pepsi products are priced according to the demand of the customers. The price in the Pepsi marketing mix would be complete only after studying beverages, snacks and other products offered by the company.

The CSD are priced at different rates depends on the competition and the customers pocket. They have various sizes of bottles offered at various rates. This are priced according to the quantity of the drinks supplied. The promotion is also done keeping in mind the targeted customers. The Tropicana beverages offered by Pepsi Co are priced a bit high as they are targeted to the health conscious people. They are promoted in the same way, showing the health conscious people and the people are made to relate this drink to the people who work out or the people who are concerned to with the healthiness of a drink. Lipton is also a bifurcation of this segment but they are mainly targeted to the niche customers. They are priced accordingly, a bit high as a reason of that. The chips and other things are priced accordingly, depending on the quantity one wants to buy. The marketing mix pricing strategy of Pepsi is mostly driven by its most important competitor Coca Cola and the demand from customers.

Pepsi Place & Distribution Strategy:

Following is the distribution strategy in the Pepsi marketing mix:

Pepsi and its products are available in more than 200 countries worldwide. The places where Pepsi products are sold are mainly the areas where they find the targeted customers are available. The CSD are available all over the places. The distribution strategy in Pepsi marketing mix is focuses through distributor relationships and the extensive network of retailers, grocery stores, restaurants, supermarkets etc spread globally. With the growing presence of ecommerce & food delivery apps, the beverage is available for customers. Pepsi products are easily available to all the people and very easily. Same goes for the chips like lays and kurkure as they are demanded by each kind of people and are a kind of substitute of the food they have. Tropicana are available at selected outlets as they have a specific kind of customers. Lipton also gave a specific kind of customer base thus they are available at selected outlets. These outlets are mainly the supermarkets or the stores where the targeted customers are visiting the most.

This is selected based on the surveys conducted and a careful selection of the stores.

Pepsi Promotion & Advertising Strategy:

The promotional and advertising strategy in the Pepsi marketing strategy is as follows:

Pepsi mainly targeted its food products to the youth and family. The branded CSD is targeted to the youth. The promotion is also done in that format. They are promoted using the famous movie stars or the well-known faces so that the people can easily relate. The promotional strategy in the marketing mix of Pepsi uses all possible media channels like TV, print, outdoor, online ads etc for a 360 degree branding. The brand has a strong presence on Facebook with more than 35 million followers. Pepsi has sponsored global events like world cups of football, cricket etc across the world apart from sponsoring global lifestyle, music etc events. They also have a high and powerful promotion policy for all the chips they have like Lays and Kurkure. As a global beverage & snack brand, Pepsi mainly targets the media to make their presence felt in the market. Lipton is marketed to the higher end of the customer. The Tropicana brand is also targeted to the fitness oriented people. The people who are also preferring the healthy options of drinking also prefer this products. Thus they promote in a way which attracts the people who are health conscious and the ones who are interested in having the healthy food. Pepsi has also been involved with global brand ambassadors who are film stars, famous sports personalities etc. This summarizes the Pepsi marketing mix.

About Pepsi:

Pepsi Co, being a huge company has a lot of brands under its hat. There are various products of Pepsi Co, like Pepsi, Mountain Dew, Lays, Tropicana beverages, 7Ups, Cheetos, Lipton Tea, Aquafina, etc. Pepsi are mainly targeting the food and beverages market. We find that the company has a lot of products which are catering to the various needs of the people. They have entered into a lot of segments like CSD, Chips, Wafers, Tea, etc. Pepsi Co has a huge consumer base and one of the leading players in the carbonated soft drink (CSD) industry.

We also find that the chips industry also does not lag behind. They are now venturing into new kind of markets where they are making a strong impact.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing strategy and 4Ps analysis of more brands similar to Pepsi. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.

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