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Pepsi Cola Marketing Plan Report

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PepsiCo is a major snack marketer in the world, and it is concentrating on growing market share via precise targeting and innovative marketing. The majority of the company’s revenues come from North and South America, where it has always been a strong competitor. Pepsi drinks, diet Pepsi, Doritos, and Lipton teas are among the goods sold by the company. Coca-Cola and draft foods, both of which are sold in the United States, Europe, and Asia, represent a significant danger to the company. According to William and Robert (2011, p. 89), the company must deal with a wide range of local brands while maintaining customer loyalty. To create the exact marketing mix for the proper market, PepsiCo’s marketer must continue to investigate consumer preferences and examine the effect of environmental factors.

The New Product in the Market

The business has said that the majority of the population suffers from health issues, and as a result, it has created a new product to suit consumers’ better eating habits. The walkers’ snacks are a relatively new product on the market, with a reduced salt content. The product was found in response to a UK campaign warning consumers about the dangers of eating foods with excessive salt content. The business saw an opportunity to provide a product that would meet the growing desire among consumers to switch to a healthier diet on the market.

Pepsi Cola Marketing Plan Report

The Marketing Strategies

To market the Walker’s snacks, PepsiCo Company has reduced the quantity of salt in many other snacks across the world. As a consequence, customers will choose the company’s product, and as a result, they will purchase the new product, among others. Meanwhile, it is discussing the use of fats and sugar, stressing the need of labeling so that customers may make educated choices. According to Justin and Longenecker (2011, 69), this strategy is extremely helpful to the company in terms of marketing the new product since it captures the customer’s confidence in the products on the market. Customers who are satisfied with PepsiCo’s current products are more likely to like and accept the new product. According to Cheverton (2005, p. 57), based on thorough research, the company found that young adults and youth use digital media more often, which would be a large and productive target market for the new product.

As a consequence, the company will engage with customers through the internet, Facebook, and Twitter in order to convince them of the product’s significance. Consumers will be able to vote for the new product online, promoting it as part of the market’s marketing mix. Customers will be invited to make and submit homemade television commercials for a new product on the market, and the company will air promotional material to encourage them to do so. By encouraging customers to submit for prizes that will better their community via the internet, the company has combined digital marketing with social responsibility. The strategy, according to Roberts (2011, P.57), will lead customers to notice and respond to the company’s social responsibility, as well as promote the purchase of a new product on the market due to the company’s earned positive image. Market research on customer tastes and requirements in many countries will guarantee a steady supply of new goods on the market.

Financial Management

The debut of the walkers snack onto the market would be a success thanks to the PepsiCo Company’s outstanding marketing tactics. Within 25 days of the product’s launch, the firm hoped to generate a million dollars in revenue. However, owing to the difficulties faced during marketing, the new product is seldom an instant success. As a result, Pepco marketers will pay close attention to their consumers’ buying habits. The company’s product pricing should be changed on a regular basis. In order to, attract the teenagers those form vital market Segment because they portray greatest desire and ability to purchase the product.  According to Charles and Joseph (2008, P. 209), the initial price of the product should be adjusted and strategies for distribution promotion changed gradually in order to keep sales growth during the inception stage of the product. As the product becomes known in the market, the company should lower the unit cost so that it can handle the competition in the market that will result in lower price of the product.

Pricing Strategy and Marketing Mix

     The lowering of the product price would affect the profit per unit. However, the company will be able to offer a modified version of the product and expands distribution in order to maximize the profit.  According to Chan and Renée (2005, P. 215), the PepsiCo Company’s management objective is to encourage brand royalty in order to maintain and enhance the product’s position. To compete, the business needs use smart entrance tactics that will deter rivals and enable the product to gain traction in the market. As a result, the business would extend its product range in order to appeal to a wider market group. The price of the walker’s snacks is flexible depending on the circumstance in the market. This will enable customers to purchase the product according to their budget.

        For instance, the company will opt to introduce various variations of its walkers snack in a range of favors in order to make the entry easier.  If there is an increase in manufacturing efficiency, the company’s management will compete by reducing prices, which will rescue the company’s position (Jason, 2009, p.67). As the product becomes more appreciable, it is vital the PepsiCo marketers to expand the network of distributors in order to maximize profits.  After the product is accepted in the market, the pricing strategies of the product will be flexible. According to Stone (2001, p. 157), marketers will provide incentives to consumers in order to persuade them to support the product, particularly in the face of competition. New promotional efforts and aggressive personal selling will be used by the PepsiCo Company to promote the sales.

Ansoff Matrix

       This is the method that will assist the PepsiCo Company to decide on the walker’s snacks and market strategy. The company should simply the product line and segment the market more carefully in order to increase price competition (Kristina, 2009, P. 2).

 The company should use the redesigned packing adjustment in order to strengthen the market share in the market. The markers will opt to avoid the incentive and assistance of various forms to dealers to encourage encouraging the growth of the product. Continuous product innovation and product expansion have assisted to expand the walker’s snacks of PepsiCo Company in the market development in the competitive snacks market. In order to promote market penetration, the company will introduce loyalty schemes that will provide reliable information on competitors and customers preferences (Kristina, 2009, P. 2).

       The company will be required to invest wisely in the market development strategy in order to secure dominance of growth markets. The pricing strategy of have flexible prices for the new product and the aggressive promotional campaign will make unattractive for new entrants.  Meanwhile, the market development strategy will enable the company to open new market in Asia and Europe like the competitor Coca-Cola. Dyson (2000) indicate that the diversification strategy will enable the company to establish in the new market of introducing healthier product. The strategy will be risky due to the higher cost involved to prevent new entrant in the market because every company wants to capture the opportunity.

SWOT Analysis

            A SWOT analysis is an instrument that helps in evaluation of the Strengths, Weaknesses, Opportunities, and Threats that occur in any company enterprise. (De Wit and Meyer 2003).Therefore, we will analyze the SWOT involved in the introduction of the new product in the market by summarizing its opportunities, threats, strengths, and weaknesses. The PepsiCo significant strengths include the company will provide high quality, necessary services to the community. Workers are committed, and services and programs offered are qualified, and when the company face economic changes it will handle due to the marketing strategies used.  The weakness that the company will face in introducing the new product into the market is the diversification risk involved in the development of the product.  According to Dyson and Brien (2004, P. 252), the diversity of the pricing policies to attract different customers in order to form new market segment will be extremely costly. Meanwhile, the company will face severe threat from potential entrants in the market because every come will strive to capture the growing demand of the customers. The United Kingdom campaign to warn customers of the risks involved in intake of high contents of salt is an opportunity that has introduced itself in the market. As a result, the PepsiCo Company will benefit from the opportunity because it will capitalize in developing the new product to meet the opportunity in the market.

PEST Analysis

             PEST analysis is an extremely significant that PepsiCo company should consider its environment before it commences marketing of the new product process.  It is a useful tool that can scan the conditions in the market because it comprises economic, political, social and technological factors. According to Henry (2008, P.52), the environmental situations affect the entire strategic management process and PepsiCo should make decisions that will enable actions of marketing the walkers snack to correspond positively with the surrounding environmental conditions.  Babette and Fleisher (2008, P 143) indicate that the company is a worldwide operator, so it should manage the political influences wisely to prevent their impact on the introduction of the product.

            The use of the digital media will help the company to notice trends in the outside environment that will enable them have an entry advantage in the market. A social trend of healthier eating and customer increasing need to change their diet has helped the PepsiCo Company to introduce a new product due to the change of consumer behavior and spending patterns. Oswald (2011, P. 45) indicate that the company’s taxation policy and government stability are controlled well that will allow the new product to withstand the pressures of the competitive market.


            To offer quality and useful product, it is essential to look across the organization, and analyze the resources required to meet these choices and the procedure of marketing. I recommend the company to adhere to its objectives strategies that will include considering the areas of the product development. The PepsiCo Company needs to access the demand for its product and improves marketing mix choices. It should be prepared to search for other opportunities in generating revenue for the growth of the company.

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