PepsiCo is one of the biggest and famous companies which recognize snack, food and beverages cooperation widely that divides its products in five major class namely Pepsi Cola, Quaker, Gatorade, Tropicana and Frito-Lay, whereby each category has different brands.
The firm employs a different form of technology to improve its marketing and also increase its competitive advantage. For instance, they use a lot of display system/unit and vending machines patents on both pie charts. These machines enable buyers to compete in the random game which is displayed on the screen and win a free 20-ounce bottled beverage (Hafiz, 2015).). This free ounce may be redeemed after that at Pepsi Interactive Vending machine. Buyers can also have their phone charged as they enjoy participating in the game, through the USB ports connected directly to the devices. This is one way of attracting more customers. There is also an invention which mentions US20150053715 A1. The code provides various methods and system which are used in dispensing fluids like beverages with the use of wireless technology. The price of Pepsi products differs from different countries. For instance, the cost of a 0.33-liter bottle in Switzerland is 4.11$, In South Africa 1.01$, Egypt 0.28$. There is no fixed price.
When it comes to competing, Pepsi pays most of its attention on marketing. The use of advertisements on televisions enables it prove to the world that their high priority lies in the customer’s taste and preference. This is important since many people nowadays prefer taking stuff which are good for their health. This has enabled Pepsi to extend its business line with products such as Diet Pepsi. Pepsi Company has also expanded a new line of product of water which has health benefits. Aquafina contains spackling and flavored water which appeals those who dislikes the taste of pure water.
In monopolistic competition, there exist many sellers. This makes Pepsi sell products of different varieties, which are perceived to be different even if they serve the same purpose. The difference is created in these products regarding quality, the name of the brand, location, and convenience. Some people prefer Coca-Cola to Pepsi. Lowering the price of Pepsi was used as a strategy to win Coca-Cola, and this attracts more customers since the brand is cheaper (Noronha & Aithal 2017). Advertising is also another way used in convincing customers that their Pepsi products are better than other products.
In an oligopolistic competition where we have few sellers, Pepsi firm supplies large amounts of its products in the market. This is to increase the probability of its product being bought by buyers since the few suppliers in the market provide their products in large amounts. Lowering the price of Pepsi products also helps it in competing in such areas.
The above competitive factors are used to ensure that Pepsi products are being purchased at a higher rate as compared to its competitors, and also ensuring that the product is well known widely all over the world, together with its benefits. This attracts more customers making which in turn increases the profit made by the company. Through competition, the firm comes up with better and different ways of marketing the products in a faster and convenient way.
Pepsi can enhance recycling efforts as a strategy to minimize the cost. This will reduce the number of bottles or containers being purchased. This will reduce the cost required for buying the new ones.
What will happen if the offers of Pepsi Company terminates? The company is recommended to have plans in case of shortage such as offer depletion. Saving some cash for this purpose may be of use such that there will be a creation of another kind of offers immediately when one ends. This is important since most people are more attracted to products which give offers. It’s a way of maintaining the customers.
Hafiz, R. (2015). Rethinking Brand Identity to Become an Iconic Brand-A Study on Pepsi. Asian Business Review, 5(3), 97-102.
Noronha, S. D., & Aithal, P. S. (2017). Organizational Strategic Approach towards Work-Life Balance of Women in India.