PepsiCo is a global consumption goods company with a focus on beverages and “junk” food. The total revenue in 2013 underlines its global significance. Compared to Coca-Cola Company, PepsiCo is stronger in North America and around the globe, but that is a direct result of PepsiCo’s diversified portfolio. When it comes to brand value and numbers of sold cola beverages, Coca-Cola Co has a unique market share. Especially on the cola-market, both companies are the most successful competitors worldwide.
Pepsi-Cola has a very long history, but had only been a domestic product in the United States until the late 1940s. Therefore, Coca-Cola has an advantage regard-ing international distribution. In Germany, Pepsi-Cola entered the market almost 30 years after Coca-Cola. Nonetheless, Pepsi proved to be strong opponent by initiat-ing clever marketing campaigns. After the so-called “Pepsi-Challenge” in the 1970s PepsiCo could succeed temporarily in winning the consumers’ hearts. However, the German market for cola products is much more competitive behind Coca-Cola than the US-market.
Traditionally, Coca-Cola is the main producer of cola in Germany followed by local products from dicount markets. Next to the big international players, the German beverage industry is very diversified and oriented locally. Pepsi-Cola is available in nearly every German supermarket. It is also very present due to PepsiCo’s strong focus on advertising and sponsorship. But among German consumers Coca-Cola still maintains its pole position supported by a dominent brand image.
This turns out to be one of the most obvious threat to Pepsi-Cola’s market position. Addtionally, Pepsi-Cola’s image as a cheap cola drink is firmed, because of PepsiCo’s focus on distribution through discount markets. The development on the German beverage market shows the importance of sustainable packaging and ingredients. Therefore, Pepsi-Cola has to rely on its niche position in order to offer an alternative meeting consumers’ requirements in the future.
Table of Contents
- Executive Summary
- Table of Contents
- 1 Introduction
- 1.1 Problem definition
- 1.2 Aim of the Assignment
- 1.3 Scope of Work
- 2 PepsiCo and its products
- 2.1 Company profile
- 2.2 Pepsi-Cola
- 3 Market definition for Pepsi-Cola
- 3.1 Beverages in Germany
- 3.2 Competitors
- 3.3 Customers
- 3.4 Positioning map
- 4 Market analysis
- 4.1 Strengths and Weaknesses
- 4.2 Opportunities and Threats
- 4.3 Unique Selling Proposition (USP)
- 5 Conclusion
Objectives and Key Themes
This assignment defines and analyzes the market for Pepsi-Cola in Germany from 2000 to 2013, comparing its performance to Coca-Cola. The analysis focuses on the cola segment of the German beverage market, considering consumer needs and long-term strategic marketing approaches. The goal is to identify approaches for Pepsi-Cola to improve its market position.
- Market analysis of Pepsi-Cola in Germany compared to Coca-Cola.
- Competitive landscape of the German cola beverage market.
- Consumer behavior and preferences within the German cola market.
- Strategic marketing implications for Pepsi-Cola's future in Germany.
- Analysis of PepsiCo's company profile and its impact on Pepsi-Cola's market position.
Chapter Summaries
1 Introduction: This introductory chapter sets the stage by highlighting the significance of the global food and beverage market, particularly focusing on the intense competition within the cola beverage industry. It establishes the problem of Coca-Cola's dominance and Pepsi-Cola's need to improve its market share in Germany. The chapter defines the assignment's aim—to analyze Pepsi-Cola's market performance and identify strategic approaches for future growth—and outlines the scope of the work, which includes a company profile, market definition, and market analysis. The chapter emphasizes the importance of considering consumer needs and long-term planning within a highly competitive and legally regulated market.
2 PepsiCo and its products: This chapter provides a detailed profile of PepsiCo, highlighting its global reach and diversified product portfolio. The chapter specifically examines Pepsi-Cola, its history, and its global presence, particularly contrasting its market penetration with that of Coca-Cola, which had a significant head start in international markets. It lays the groundwork for understanding Pepsi-Cola's strengths and weaknesses within the competitive landscape.
3 Market definition for Pepsi-Cola: This chapter comprehensively defines the market for Pepsi-Cola in Germany. It analyzes the broader German beverage market, identifies key competitors (both global and local), and profiles the target customer base. A crucial element is the creation of a positioning map that visually represents Pepsi-Cola's standing relative to its competitors, considering factors like brand image and pricing. This forms the foundation for the subsequent market analysis.
4 Market analysis: This chapter undertakes a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of Pepsi-Cola’s position in the German market. It dissects the internal strengths and weaknesses of Pepsi-Cola, potentially including aspects like branding, distribution channels (discount market focus), and pricing. It then evaluates external opportunities and threats, likely encompassing market trends (e.g., consumer preferences for healthier options, sustainable packaging), competitive actions, and regulatory changes. This culminates in an evaluation of Pepsi-Cola’s unique selling proposition (USP) and strategies to enhance its competitive standing.
Keywords
Pepsi-Cola, Coca-Cola, German beverage market, market analysis, competitive landscape, consumer behavior, brand image, strategic marketing, SWOT analysis, pricing, distribution, sustainable packaging.
Frequently Asked Questions: PepsiCo and Pepsi-Cola Market Analysis in Germany (2000-2013)
What is the overall purpose of this document?
This document provides a comprehensive preview of a market analysis report focusing on Pepsi-Cola's performance in the German market from 2000 to 2013. It compares Pepsi-Cola to its main competitor, Coca-Cola, and explores strategic marketing approaches for Pepsi-Cola to improve its market position.
What topics are covered in the report?
The report covers various aspects of Pepsi-Cola's market position in Germany, including a company profile of PepsiCo, a detailed market definition for Pepsi-Cola in Germany, a comprehensive market analysis with SWOT analysis, an examination of the competitive landscape, and an assessment of consumer behavior and preferences. The report also aims to identify Pepsi-Cola’s unique selling proposition (USP).
What is the scope of the market analysis?
The market analysis specifically focuses on the cola segment of the German beverage market. It considers consumer needs and long-term strategic marketing approaches to identify opportunities for Pepsi-Cola to improve its market share against Coca-Cola's dominance.
What key themes are explored in the report?
Key themes include a comparison of Pepsi-Cola and Coca-Cola's performance in the German market, analysis of the competitive landscape, understanding consumer behavior and preferences, strategic marketing implications for Pepsi-Cola's future, and the impact of PepsiCo's company profile on Pepsi-Cola's market standing.
What methodology is used in the analysis?
The analysis employs a SWOT analysis to evaluate Pepsi-Cola's internal strengths and weaknesses and external opportunities and threats. It also utilizes a positioning map to visually represent Pepsi-Cola's position relative to its competitors.
What are the key findings or conclusions expected?
The report aims to identify strategic approaches for Pepsi-Cola to enhance its competitive standing in the German market, potentially including recommendations related to branding, distribution channels, pricing, and addressing consumer preferences.
What are the key chapters of the report and what do they cover?
The report includes an introduction outlining the problem and objectives, a chapter on PepsiCo and its products, a chapter defining the market for Pepsi-Cola in Germany, a chapter dedicated to market analysis including a SWOT analysis, and a conclusion summarizing the findings and recommendations. Each chapter provides a detailed breakdown of its specific focus area.
What are the key words associated with this report?
Key words include Pepsi-Cola, Coca-Cola, German beverage market, market analysis, competitive landscape, consumer behavior, brand image, strategic marketing, SWOT analysis, pricing, distribution, and sustainable packaging.
- Arbeit zitieren
- M.A. Benjamin Pommer (Autor:in), 2014, Market definition and analysis of Pepsi-Cola, München, GRIN Verlag, https://www.grin.com/document/279083