Pepsi is a well-known brand of carbonated soft drinks that has been enjoyed by people all around the world for decades. As a global brand, Pepsi has a wide range of customers with diverse demographics, and the company uses segmentation to better understand and target these different groups.
Demographic segmentation is a marketing strategy that involves dividing a market into groups based on characteristics such as age, gender, income, education, and geographic location. Pepsi uses demographic segmentation to identify and target specific groups of consumers who are most likely to purchase its products.
One important demographic segment for Pepsi is age. The brand has traditionally been popular among younger consumers, particularly teenagers and young adults. To appeal to this age group, Pepsi often uses celebrities and popular music in its marketing campaigns. For example, the brand has sponsored music festivals and teamed up with artists such as Britney Spears, Beyonce, and Kanye West to create commercials and special edition packaging.
Pepsi also targets different genders with its marketing efforts. While the brand has a strong presence among both male and female consumers, it tends to use slightly different marketing strategies to appeal to each group. For example, Pepsi may use more masculine imagery and messaging to target men, while using more feminine imagery and messaging to target women.
Income is another important demographic segment for Pepsi. The brand offers a wide range of products at different price points, from budget-friendly options to premium choices. This allows Pepsi to appeal to consumers with a range of incomes and spending habits. For example, the brand's budget-friendly options may appeal to low-income consumers, while its premium options may be more appealing to high-income consumers.
Education is another factor that Pepsi considers when segmenting its market. The brand may use different marketing strategies to appeal to consumers with different levels of education. For example, Pepsi may use more technical or scientific language in its marketing efforts to appeal to consumers with higher levels of education, while using simpler language to appeal to consumers with lower levels of education.
Geographic location is also an important factor in Pepsi's demographic segmentation. The brand may use different marketing strategies in different regions to appeal to local tastes and preferences. For example, Pepsi may use more tropical imagery and flavors in its marketing efforts in tropical regions, while using more winter-themed imagery and flavors in colder regions.
In conclusion, Pepsi uses demographic segmentation to better understand and target its diverse customer base. By dividing its market into groups based on characteristics such as age, gender, income, education, and geographic location, the brand is able to create targeted marketing campaigns that appeal to specific groups of consumers.
DEMOGRAPHIC SEGMENTATION Company study PEPSI PERFECT market at the different
PepsiCo deployed the Equitrak brand equity model to track its major brands on a global scale in 1997, following its success in the USA. Demographic Segmentation Study of a demographic segment and its sub segment falling in the age group 18 year to 25 years Saneel Gaonkar IBS Gurgaon Study of a demographic segment and its sub segment falling in the age group 18 year to 25 years Introduction Different kinds of people display different buying patterns even in a segment of age group 18 years to 25 years. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Porter 1985 , Competitive Advantage: Creating and Sustaining Superior Performance New York: Free Press, 1985 Nancy Lee and Philip Kotler 2015 , Social Marketing: Changing Behaviors for Good, 5th ed. In the Cola market, the primary rival of Pepsi has to be Coca-Cola.
The category includes established brands such as Tropicana, Aquafina, and Quaker. There has been a shift in consumer preference from carbonated soft drinks to healthier options such as tea and water. The broad age group of Pepsi consumer demographics tends to exclude young children and elderly individuals, who are less likely to enjoy the caffeine-laden beverage. The strong network of Tingyi helped PepsiCo enhance its business in China. First quarter 2022 results for PepsiCo showed an impressive 6% volume increase for the beverages segment of the business. But later Pepsi-Cola developed fast and became the strongest competitor to the Coca-Cola and now Pepsi shared 40% of the market.
The segment derives its revenues from the sale of beverage concentrates, fountain syrups, and finished goods under brands such as Pepsi, Gatorade, and Tropicana. It was not to be, however, and the failure of New Coke only bolstered consumer demand for the original Coke, which soared once again in sales and restored Pepsi to its typical number two slot. Many marketing experts believe that behavior variables are a good starting point to build consumer segments. Euromonitor International estimates the US sweet and savory snacks market to grow at a compounded annual growth rate or CAGR of 3% and 1% in constant value and volume terms, respectively, over the 2013—2018 period. At present, Pepsi-Cola is being marketed through PepsiCo Beverages International with the help of leading local marketing firms in certain countries that they wish to exploit.
During the past six to eight years, there has been strong growth in the non-carbonated beverage market. Psychographic segmentation People with same demographic factors can have different psychological factors they can have different personalities, class, lifestyle Pepsi understand this and segments its customer in upper and lower class. They have done this because there are clear advantages to concentrating on just one business area. All Answers ltd, 'Market Segmentation Of Pepsi At An International Level' UKEssays. Copy to Clipboard Reference Copied to Clipboard. Pepsi has been playing a decades-long marketing game against Coke and other brands, and the PepsiCo positioning strategy involves an enormous budget for marketing and advertising. So what is your Marketing Strategy for Pepsi? What is Intermarket Cross Market Segmentation A lot of consumers have similar want, needs, and buying behavior even though they are located in different countries, cultures, and political systems.
In order to understand the marketing strategy of one company it is very important to analyse the environment it is operating within. Copy to Clipboard Reference Copied to Clipboard. Finally it has to choose both distribution and promotion channels to effectively and efficiently reach to those customers. Solomon 2014 , Consumer Behavior, 11th ed. Some people are well informed and are interested to buy the product. Their target customers are from different generations: Generation X, Generation Y. Currently, Pepsi-Cola is marketed in North America through its North American division.
Pepsi FAQs What is the target market for Diet Pepsi?. PBG in the U. In the cola war, television commercials have become increasingly important. The responsibility of my agency is to prepare which broadcasting platforms would be leading suitable for the high-tech android mobile phone, advertise for purchasers. Additionally, these are adults that have graduated tertiary education and are now urban professionals.
Technology that makes the drink and the one that makes the drinks containers. The core purpose of Customer Value Driven marketing strategy is to build an engaging, right relationship with the right customer. Given this impressive reach, it follows that the Pepsi target audience is quite broad. The share of NCTDelhi sub-region in total population of NCR has steadily increased from 23. Differentiation Differentiating PepsiCo value proposition from that of the competitors, thus providing a market offering to create superior customer value Positioning Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. The battle for market share of sugar-free cola is evident in a comparison of products developed by both companies. Guth took over the presidency commanding a reformulation of the syrup recipe.
Pepsi-Cola was just a new brand at that time. Psychographic segmentations are effective because people in the same demography can have different psychographic characteristics based on individual life experiences and growing up environment. Market Segmentation Introduction Pepsi-Cola was founded by a druggist, Caleb Bradham in year 1898 Overview, 2008. European and Japanese managers are better trained than Americans to deal with cross-cultural relationships. General Influences In this section, we will focus on four elements: political, economical, socio-cultural and technological environment.