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  • Essay / Pepsi Case Study - 906

    The Pepsi Ultimate Taste Challenge 2012: Social enough? Pepsi was created and developed in 1893 by Caleb Bradham in New Bern, North Carolina. It was originally called Brad's Drink, but in 1898 the drink's name was changed to Pepsi-Cola. Finally, in 1961, it was called Pepsi. Bradham wanted to create a fountain drink that would aid digestion and provide an energy boost. It was during the Great Depression that fountain drinking became increasingly popular. PepsiCo Inc., founded by Donald Kendall and Herman Lay, is the company where Pepsi is produced. It was first introduced to the Canadian market in 1934 and is currently the market leader due to its strong heritage in the community. PepsiCo's main competitors are Coca Cola. Competition for soft drinks in Canada is very strong; PepsiCo and Coca Cola share the majority of the market. Most Pepsi consumers are loyal and maintain their fountain drink consumption. PepsiCo produces most of the popular beverage names: Pepsi, Diet Pepsi, Pepsi Max, Tropicana, Gatorade, 7up, Mountain Dew, Lipton Brisk, Aquafina, Amp, SoBe, and Starbucks bottled drinks. But in 2012, PepsiCo's main goal was to attract more attention to its Pepsi, Diet Pepsi and Pepsi Max products. Through the marketing campaign, they designed ways for consumers to win prizes by interacting with PepsiCo's social media components and promotion. Additionally, the Ultimate Taste Challenge is where PepsiCo sends street teams to attract consumers; this is another promotional strategy. Real cost was not a priority for PepsiCo in 2012; their main goal was to reach a larger share of their market and increase their sales. The only "price" mentioned in the deal is the time the buyer will have in the middle of the paper to direct people to Facebook, where the bulk of the campaign will take place. Facebook will provide people with news, new videos and photos, prices and coupons, and many other aspects. BBDO has developed a campaign strategy that allows targeting the segmented group chosen by PepsiCo. This campaign will also attract other people to Facebook and/or Twitter, as BBDO realized that another campaign involving outside promotions was needed to attract people to Facebook and/or Twitter. Hadley should follow through on this proposal since it includes everything he wanted in a social campaign. Marketing a product will not always reach all potential consumers, but if a campaign has the ability to attract the greatest number, it should be implemented. BBDO's proposal will indeed reach most of the targeted segmented group, which is why Hadley should implement this proposal.