In pursuit of purity

A case in study with focus on brand identity & brand elements

presented by: kanika,62022

&

shourya,62055

Brief History
Pepsi-Cola is one of the few soft drinks that is consumed worldwide manufactured and marketed by PepsiCo was first developed and produced in the early 1890s by Caleb Bradham, a pharmacist in New Bern, North Carolina, USA initially labeled as Brads drink. in 1898, Bradham renamed his drink to Pepsi-Cola on June 16, 1903, the title Pepsi-Cola was trademarked and had since remained unchanged

What is the case about?

early 90s saw a prevalence of a marketing fad which equated clarity with purity initiated by the remake of Ivory soap from its classic milky solution at P&G 1992, Pepsi spotted this trend concluded that the world was waiting for a clear cola

Crystal Pepsi launched after much research and testing in 1993

was marketed as a caffeine-free "clear alternative" to normal colas, equating clearness with purity and health also produced a diet version called Diet Crystal Pepsi Pepsi believed, that they had answered the new consumer demand for purity

What is the case about? contd.

Pepsi has had trouble differentiating its brand identity from Coca-Cola as it wasnt the first to market the cola category, Pepsi was never going to be the generic name People rarely say, Im going to have a Pepsi, even when they have a Pepsi bottle in their fridge they would be more likely to say, Im going to have a coke

Intensity of Competitive rivalry very high

competitive pressure from rival sellers is the greatest in the soft drink industry. Coca-Cola and Pepsi Co,are the largest competitors in this industry, and they are all globally established which creates a great amount of competition. PepsiCo is the main competitor for Coca-Cola and these two brands have been in a power struggle for years. brand name loyalty is another competitive pressure.

The new competition between rival sellers is to create new varieties of soft drinks, such as vanilla and cherry, in order to keep increasing sales and enticing new customers.

Threats from substitute products is strong

substitutes for Pepsi are bottled water, sports drinks, coffee, and tea bottled water and sports drinks are increasingly popular with the trend to be a more health conscious consumer. There are progressively more varieties in the water and sports drinks that appeal to different consumers tastes, but also appear healthier than soft drinks. In addition, coffee and tea are competitive substitutes because they provide caffeine.

specialty blend coffees are also becoming more popular with the increasing number of Starbucks stores that offer many different flavors to appeal to all consumer markets.
cheap for consumers to switch to these substitutes making the threat of substitute products very strong.

Threats from substitute products is strong

substitutes for Pepsi are bottled water, sports drinks, coffee, and tea bottled water and sports drinks are increasingly popular with the trend to be a more health conscious consumer. There are progressively more varieties in the water and sports drinks that appeal to different consumers tastes, but also appear healthier than soft drinks. In addition, coffee and tea are competitive substitutes because they provide caffeine.

specialty blend coffees are also becoming more popular with the increasing number of Starbucks stores that offer many different flavors to appeal to all consumer markets.
cheap for consumers to switch to these substitutes making the threat of substitute products very strong.

Differentiation Dilemma
Pepsi as a brand had failed to figure out a POD for itself from its competitor Coca Cola it has became more difficult for Pepsi as it has, almost similar performance as a Coca Cola and the marketer has not been able to create a distinct imagery in the consumers mind hence the judgment of the brand Pepsi, has always been blurred, and overlapped with COKE, which has had a first movers advantage topped with its legacy post 1950s with the baby boomers, Pepsi re-discovered itself as a brand which was youthful and full of energy, whilst Coca Cola has been focusing on joy and celebration as its central theme

The evolution of the PEPSI logo

company tends to noodle with its logo much more frequently than Coke because of its strategy to focus on youth and innovation

The new face of PEPSI

The brands blue and red globe trademark will become a series of smiles, with the central white band arcing at different angles depending on the product

The PEPSI smile

Failure of Crystal Pepsi

Crystal Pepsi after the initial test success, did not take off consumers were confused with the taste of Crystal Pepsi product with the word Pepsi in its name was expected to taste like, Pepsi, but it didnt in fact, nobody seemed to know what it tasted of in 1994, it reworked on the product and it appeared on the shelves, branded simply as Crystal however, the negative associations persisted and Crystal did even worse than its unpopular predecessor Pepsi eventually admitted defeat and scrapped the whole concept of clear cola

Why did Crystal Pepsi fail

it failed because, it sought to be a solution to a wrong problem in the early 1990s 7-Up already existed, and there were, in addition, other clear colas introduced at the time, including Tab Clear soda. Crystal Pepsi was a cola, and thus suggestive of all that is symbolized by cola. unlike a cola, Crystal Pepsi was clear, and thus suggestive of all the attributes of "the Uncola." in other words, it possessed the virtues of consciousness: light and clarity Crystal Pepsi failed because it ended up as a confusing mixture of opposites

consequently, those consumers who wanted all that dark cola symbolizes, rejected Crystal
and those consumers who wanted the Uncola rejected Crystal.

Launch of AQUA FINA

Pepsi was aware of the new consumer demand for purity, courtesy its sojourns with CRYSTAL PEPSI

Pepsi wanted a piece of the growing bottled water market, which was evident with increase in sales of Evian and Perrier
Launched its own bottled water product, entitled Aquafina

Considerably got more success for AQUA FINA.

Pepsis brand identity

brand Identity is a combination of visual, auditory, and other sensory components that create recognition, represent the brand promise, provide differentiation, create communications synergy, and are proprietary. research shows that there are very few differences around the world in how consumers feel about Pepsi it has a fun and effervescent brand image "The brand equity is really consistent," says James Miller, marketing director, Pepsi-Cola North America. research also found many consistencies in youth cultures around the world it also highlighted today's youth is preoccupied with newness, discovery, and personalization of their possessions

Pepsis brand element

Pepsi-lovers need to see three elements for sure: 1)the Pepsi globe 2)the iconic Pepsi blue 3)the word Pepsi

Pepsis brand element contd.

Criteria Memorability Brand names & URL PEPSI is a coined word with no obvious meaning Logos & symbols Has a red and blue color globe, which differentiates it from Coca Cola Characters Uses movie stars, cricketers and footballers for brand recognition Slogans & Jingles changes frequently, but revolves around the central theme of youthfulness Packaging & Signage -

Meaningfulness

Not much

Energy and youth

Brand essence based on whats new, whats hot and whats trendy
Character Should have personality, such that user can relate Can be somewhat limited Is changed as per the trend

"every generation refreshes the world"

Like-ability

Has failed to evoke much verbal imagery

Can provoke visual appeal

Evokes visual imagery

Transferability

Not limited at all

Excellent

Can be somewhat limited Can be modified

Adaptability

Difficult, as has a legacy to the brand name

Has been changed many a times, keepin in mind the trends

Advertising strategies of Pepsi

PEPSI has relied on advertisements featuring film stars,pop stars and cricket players. Pepsi's current and past advertising campaigns have been successful in targeting 12 to 21 year olds through music,humor,sex appeal and the Internet By doing so it attempts to establish a loyal Pepsi drinker for life and the largest group of soft drink consumers

Recommendations
For a mainstream consumer brand to vary its packaging so often is a striking departure from marketing convention, which says that brands should strive for consistency. Health-conscious consumers are cutting back on purchases of sugary, fizzy beverages, particularly in developed markets Attention spans are getting shorter The future of branding is about recognizing cultural movements, not just creating marks Pepsi should focus on Lifestyle segmentation strategy, the Pepsi Generation Campaign was able to easily connect with the youngsters Needs to focus on reinforcing Pepsi's "consumer-centric" approach in a subtle way