Comparative Study of Pepsi and Coca-cola [pic] The Battle of the Giants Soft Drink Industry The Soft Drink Industry consists of establishments primarily engaged in manufacturing non-alcoholic, carbonated beverages, mineral waters and concentrates and syrups for the manufacture of carbonated beverages - Comparative Study of Pepsi and Coca-Cola India Essay introduction. Establishments primarily engaged in manufacturing fruit juices and non-carbonated fruit drinks are classified in canned and Preserved Fruit and Vegetable Industry.
Product development and product diversification were the other two. Market development is the use of an existing product or service offering to attract new customer market, whereas market penetration is an effort to dig deeper within an existing marketplace.
Market Penetration Opportunities Market penetration is the least risky of the four growth strategies, according to the Quick MBA website. It involves additional marketing or more assertive sales efforts to penetrate more deeply into an existing customer base.
Increased market share is a common marketing objective of companies using this strategy. Adding more convenient business locations or remote locations may also help you access more customers in the existing market. Market Penetration Challenges Market penetration has limitations.
At some point, the marketplace becomes saturated, meaning that almost all customers with interest in your product or service have been satisfied by you or an existing customer.
At some point, the additional customers you gain through more investment in marketing don't provide enough return on investment to justify continuing with this strategy. Aggressive market penetration through competitive advertising methods may help attract some customers, but it can also lead to responsive attacks from competitors and, potentially, legal issues if you make untrue claims in the ads.
Market Development Opportunities Companies often brainstorm multiple target market segments when developing a marketing plan. The first segments targeted with advertising are the ones you feel provide the best potential for profitability.
As long as you have other potential markets, you can grow through market development.
Apr 08, · Coca-Cola's Pricing and Distribution Pricing: I think that Coke chose to use market-penetration pricing for it's price. Here, they set low initial prices in order to attract a large number of buyers quickly, to gain a large market share. which means that customers are purchasing more of the products, and because of this, seem. DCSMAT Business School Page 8 Penetration of Mango Drinks in Siliguri Market INTRODUCTION DCSMAT Business School Page 9 Penetration of Mango Drinks in Siliguri Market INDUSTRY OVERVIEW SOFT DRINKS INDUSTRY “For years the story in the non alcoholic sector centred on the power struggle between Coke and Pepsi. In the mids, the Coca-Cola Company made a decision to introduce a new beverage product (Hartley, , pp. –). The company had evidence that taste was the single most important cause of Coke’s decline in the market share in the late s and early s.
This is especially true when competitors haven't already targeted the new potential market. You could add stores in new geographic regions with little to no competition. A catalog retailer could buy a third-party mailing list targeting new customer types to develop beyond its existing customer mailing list.
Market Development Challenges The major risk of market development is that it typically requires capital investment in expansion, either to build new locations or to expand marketing efforts to new territories. If the new opportunity doesn't pay off, the company wastes capital and resources it could have invested in other strategies.
A company may also spread itself too thin by expanding into new markets. A local lawn service provider, for instance, may struggle to satisfy existing clients if he expands the business too far and has difficulty getting all of the work completed in a timely manner.On the other hand, Pepsi's snack division makes up about 50% of the company's sales volume.
Soda is just 25% of the company's U.S. sales compared to 60% of Coca Cola's. Apr 08, · Coca-Cola's Pricing and Distribution Pricing: I think that Coke chose to use market-penetration pricing for it's price.
Here, they set low initial prices in order to attract a large number of buyers quickly, to gain a large market share. which means that customers are purchasing more of the products, and because of this, seem. The Frito-Lay company is a multi-billion dollar subsidiary of PepsiCo that produces and distributes convenient foods.
The company, which employed 48, people in , makes such well-recognized products as Cheetos, Doritos, Rold Gold Pretzels and Sun Chips, as well as its flagship products Lays potato chips and Fritos corn chips.
Pepsi's New Strategy: Better-For-You Products U.S. Consumption of carbonated soft drinks has steadily declined in the past decade. Part of that comes down to the array of .
The PepsiCo Advantage John Compton. CEO, PepsiCo Americas Foods. Safe Harbor Statement changes in demand for PepsiCo’s products, as a result of changes in consumer preferences and tastes or Penetration. Channel - C-Store Shopper. Fastest Growing CPG Company. Marketing Strategy of Pepsi – Pepsi Marketing Strategy March 2, By Hitesh Bhasin Tagged With: Strategic Marketing Articles Operating in more than countries PepsiCo, the parent company of Pepsi has been the leading company in the food & beverages industry having more than years of experience in the market.