Pepsi's Aquafina Water Nears Full US Distribution
Pepsi's Aquafina "mainstream" bottled water nears completion of national rollout. Brand is now in "about 75%" of Pepsi US system, according to Pepsi senior marketing manager Katie Lacey. Purified, non-spring-sourced Aquafina produced at 11 sites in US: 8 COBO plus 3 co-ops. Sold in 20-oz Pepsi swirl plus 1-liter and 1.5-liter proprietary PET bottles similar to swirl; also 20-oz 6-packs. Market share. In IRI convenience/gas channel data for bottled water in under 64-oz packages, Aquafina ranks #2 with 7.7 share year-to-date through 5/18/97; brand's share up +3.7 vs same period last year (see table).
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Yoffie, D. B., 2002. Cola Wars Continue: Coke and Pepsi in the Twenty-First Century. HBS No 9-702-442. Boston, MA: Harvard Business School Publishing.
Evian’s U.S. market share has continually decreased since the emergence of the cola giants’ bottled water brands because Evian failed to foresee competition from the likes of Coca-Cola in the bottled industry. Evian also failed to realize that selling bottled water in the U.S. is completely different from selling bottled water in Europe. In Europe, consumers are more knowledgeable of the differences between purified and glacial spring water, prefer the glacial spring water and are willing to pay more for glacial spring water brands like Evian. In the U.S. consumers are indifferent to the types of bottled water and make purchase decisions based solely on price. Evian ‘s average cost per case is about 80% higher than that of Aquafina and Dasani because of the additional handling and transportation costs of bottling water from Evian’s French/Swiss Alps glacier source. Because purified water is cheaper than imported glacial spring water, consumers in the U.S. prefer purified water brands like Aquafina and Dasani.
WO strategies aim at improving internal weaknesses by taking advantage of external opportunities. Laws and governmental regulations require companies such as L’Oreal to maintain certain standard in quality and responsibility for their product. Rules may vary depending on the country. L’Oreal also have it own set of regulations that are very strict on quality. Whatever product is put on the market, one can be sure that it has gone through a very thorough and scienti...
The case to consider is L'Oreal Nederland B.V. The birth of the L'Oreal began back in 1907 when, a young French chemist, Eugène Schueller, developed a new hair-color formula that was considered to be safe for hair. The new hair dye was named Auréole. "Eugène Schueller formulated and manufactured his own products, which he then sold to Parisian hairdressers. In 1909, Schueller registered his company, the Société Française de Teintures Inoffensives pour Cheveux ("Safe Hair Dye Company of France"), the future L'Oréal. The guiding principles of the company that would become L'Oréal were put into place from the start: research and innovation in the interest of beauty."(Wikipedia, L'Oreal) By 1920, this developing company employed 3 chemists and by 1950, the research team had grown to a 100 and has continued to grow to nearly 2,000 today. "L'Oréal got its start in the hair-color business, but the company soon branched out into other cleansing/beauty products. L'Oréal now markets over 50 brands and many thousands of individual products in all sectors of the beauty business: hair color, permanents, styling aids, body and skin care, cleansers and fragrances. They are found in all distribution channels, from hair salons and perfumeries to hyper- and supermarkets, health/beauty outlets, pharmacies and direct mail." (Wikipedia, L'Oreal) From the very beginning L'Oreal was founded on strong research and development techniques and today it has five worldwide research and development centers. "Two in France: Aulnay and Chevilly. One in U.S.: Clark, New Jersey. One in Japan: Kawasaki, Kanagawa. In 2005, one established in China: Shanghai." (Wikipedia, L'Oreal)
Every day , Puerto Rico is slowly adapting into the American way of life and is gradually losing what is left of their culture. Perhaps this is because Puerto Rico is a commonwealth of the United States. The poem “ Coca Cola and Coco Frio” by Martin Espada is a great example of someone who encounters the Americanized culture of Puerto Rico. Puerto Rico is struggling to preserve their own identity.
Pepsi is one of the world’s most beloved soft drink. It is a product of pepsi co, the brand that has other products like Gatorade, Lays, Mountain dew and many...
Pepsi’s 2003 Advertising Campaign Nowadays PepsiCo Inc. is among the most successful consumer product companies in the world. It divides into two major domestic and international businesses, beverages and snack foods. In order to attract the broadest number of customers, advertising plays a significant role. In this essay, the advertising campaign of Pepsi in 2003, which was unveiled not only on TV, but outdoor advertising as well, will be analyzed. The aim for this campaign is about combine consumption of food and Pepsi.
PepsiCo is the world 's #2 carbonated soft drink maker behind the Coca-Cola company. Its soft drink brands include Pepsi, Mountain Dew, their diet alternatives, as well as Mug Root Beer and Sierra Mist. Soda pop is not the company 's only beverage either: Pepsi also sells Tropicana orange juice, SoBe Tea. Aquafina water as well as Gatorade sports drink. The company owns Frito-Lay, the world 's #1 snack maker aswell with it’s brands including those such as Lay 's, Ruffles, Doritos, and Cheetos. PepsiCo’s Quaker Foods unit makes breakfast cereals such as Life, and Quaker oatmeal. Rice-A-Roni rice, and Near East side dishes are also made by the company aswell. Pepsi products are available in 200-plus countries; with the US accounting for over 50% of it’s total sales. The company owns its own bottling plants and distribution facilities unlike Coca-Cola who to maximize profits makes the syrup which is distributed by bottlers from outside the company. For their most recent quarter ending
Pepsi Company (PepsiCo) owns many brands of beverages, snacks and other foods. Its major product, Pepsi Cola, is one of the most popular carbonated beverages. Besides that, PepsiCo owns the brands Quaker Oats, Gatorade, Frito-Lay, Tropicana, Mountain Dew, Naked, Mirinda and SoBe. In order to maintain, or preferable expand, its market share, PepsiCo constantly introduced new products under its brands. This is a marketing strategy known as Product Development. By modifying the formulas and ingredients, PepsiCo had invented and marketed more than 50 types of carbonated beverages under the brand of Pepsi. To name a few, Pepsi Free introduced in 1982, Pepsi AM introduced in 1989, Pepsi Tropical introduced in 1994, Pepsi Blue introduced in 2003, Pepsi Edge introduce in 2004, Pepsi Lime introduced in 2005, and Pepsi Ice introduced in 2007. Some of the products survive and being accepted by consumers, however large number of the new formula Pepsi had failed and been removed from the market shelves in as short as 6 months.
With the times changing PepsiCo and other soft drink companies realized that when people go to have a snack they look for a drink as well, and with consumers looking for the healthy option soda company’s like PepsiCo were losing customers” (p.1). This is a creative and effective marketing strategies by the Pepsi Company since, they could realize the wants and thought of providing the need. In this case, the want was a drink with a snack, and their plan was to provide the most suitable drink with the snack, so that more people will buy their product, and their brand will promote. Since the consumers were looking for healthy soda drink instead of any kind of soda, this strategy didn’t work so well because they were losing customers like some other companies. However, it didn’t stop Pepsi Company to use this strategy, rather the company came up with a new strategy provide the healthy soda drink with the snack and be profitable at the same time. According to Ryder (2013), “PepsiCo introduced the “Power of One” in which PepsiCo purchased the two largest bottling groups, New York based Somers Pepsi Bottling Group (PBG) and Minneapolis based Pepsi-Americas. This merge gave PepsiCo direct control over 80% of its bottling network” (p.1), their new strategy
The Coca-Cola Company is the largest non-alcoholic beverage company in the world who owns, sells and distributes more than 600 different non-alcoholic beverages in 200 countries and more. “The amount of product Coca-Cola sells equates to 1.9 billion or 3.2% of the total amount of non-alcoholic beverages served worldwide” (Jurevicius, 2017). Additionally, they have a large/dominant market share, enormous brand recognition and a huge advantage in the number of consumers they can reach. Not to mention the Coca-Cola Company also owns other reputable brands such as Sprite, Fanta, Minute Maid and even Powerade to name a few that combine to earn the company, approximately, an additional $1 billion dollars annually. Because Coca-Cola are a huge presence in this industry, the company has the ability to beat out its competitors by underpricing some of its items and can exercise market power over its suppliers. Like Coca-Cola, Snapple has a strong foothold in their diverse brands they offer as well.
Strom, Stephanie. "Bottled Water Sales Rising as Soda Ebbs." New York Times 25 Oct. 2013. Web. 8 Mar. 2014. .
PepsiCo has a food and beverage portfolio that includes 22 brands that each generates more than $1 billion in estimated annual sales. The primary product brand categories include Pepsi-Cola, Frito-Lay snacks, Gatorade sports beverages, Quaker Oats products, and Tropicana fruit juices. As of 2012 PepsiCo’s product mix consisted of 63 percent foods and 37 percent beverages. The worldwide product lines include several hundred brands that have been estimated to produce nearly $108 billion in cumulative annual retail sales. To be designated as a food and beverage industry main brand PepsiCo had to reach annual sales of over $1 billion which it achieved in 2009.