Pepsico Market Segmentation

1129 WordsNov 2, 20085 Pages
PepsiCo vs. Market Segmentation Introduction Pepsi-Cola was founded by a druggist, Caleb Bradham in year 1898 (Overview, 2008). He came from New Bern, North Carolina (Overview, 2008). In year 1965, Pepsi-Cola merged with Frito-Lay in a new company named PepsiCo (Overview, 2008). Then, PepsiCo merged with Tropicana in year 1998 and also Quaker Oats Company in year 2001 (Overview, 2008). Those mergers have been divided in categories such as food, beverage and snacks. Now, Pepsi Brand is part of a group of beverage brands which consists of carbonated soft drinks, mineral water, ready-to-drink teas and coffees, juices as well as isotonic sport drinks. Market segmentation Market segmentation is the process of dividing markets…show more content…
In year 2007, PepsiCo has engaged with golfer Tiger Woods who is famous on playing golf to advertise this product (Amore, M 2007). After signed the contract, the product name has changed to Gatorade Tiger where this product is mainly for athletes. With the cooperation from Tiger Wood, the first product in the new market has hit store shelves in March 2008. This is one of the strategies of PepsiCo to attract the consumers. Besides, David Beckham is also one of the soccer superstar engaged with PepsiCo in the year of 2004 (David Beckham – Beckham’s Pepsi AD Hits Screens, 2004). He is football’s idol where can attracts those fans to purchase Pepsi products especially when he won the soccer competitions. Mostly, health experts will not encourage consumers to consume soft drink due to caffeine component inside soft drinks. PepsiCo has done researches on some countries’ population such as Canadians, Australians and etc. They are always treat health as their main concern, so PepsiCo targets those countries by manufacturing new and healthier products such as Diet Pepsi and Pepsi Free in order to enter the market easily. Diet Pepsi is a beverage with low calories and sugar free while Pepsi Free is caffeine free (List of Pepsi Types). These products are more suitable for on-diet and health concern people. Besides, PepsiCo provides other beverages such as juice, fruit flavored energy drinks and mineral water to fulfill the consumers’
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