Pepsi’s Marketing Strategy: 5 Things We Can Learn From Pepsi

Nearly everyone around the globe recognizes the name Pepsi or Pepsico. Because of the merger between Pepsi and Frito Lay in 1965, the world now has this powerful brand of carbonated soft drinks. Although many soda companies struggled during the Great Recession due to global shifts in the sector, Pepsi’s marketing strategy continued to do well and even grew during that period.

Pepsi has demonstrated its marketing prowess through creative and effective strategies over the years. Businesses can gain valuable insights into successful marketing techniques by analyzing Pepsi’s approach.

Five key takeaways to help you learn from Pepsi’s marketing successes and failures are:

  • Find a comfortable stance
  • Place your money in the proper avenues
  • One cannot overstate the significance of internet advertising
  • Do something different and take a chance
  • Choose good sponsorships

Let’s decode these strategies one by one.

Pepsi’s Marketing Strategy: Elements of the Advertising Strategy

Below are the various elements of Pepsi’s marketing strategy.


Since merging with Frito Lay, PepsiCo has expanded its product line beyond carbonated drinks. Everything from salty snacks to sweet drinks and herbal teas is included here.



However, Pepsi-Cola will serve as the principal example in this case study.


Pepsi considers market conditions and consumer preferences when setting prices. Pepsi offers a discount per unit for purchases of larger quantities, and the business actively promotes this practice.

The current distribution channels will benefit from this tactic.


PepsiCo’s headquarters may be in New York, but the company’s goods can be found in more than 200 nations worldwide. Additionally, Pepsi operates 36 bottling operations in different parts of the globe.

Pepsi is the world’s third most popular carbonated soft drink and the most popular in India.

Brand-name items can be found at stores and supermarkets across the country. Contrarily, they have agreements with major fast food restaurants, including Wendy’s, Pizza Hut, and Taco Bell.


Pepsico’s marketing strategy is predicated on the company’s storied brand name and the support of notable people.


Michael Jackson, Britney Spears, and Beyoncé, to name a few, have all made public statements in support of the company and its flagship soda.

5 Marketing Strategies of Pepsi

Here are five key takeaways to help you learn from Pepsi’s marketing successes and failures.

Find a comfortable stance

The market is a good fit for the Pepsi brand and its wares. Pepsico’s 22-brand portfolio now includes low-calorie, nutrient-dense snack and drink options.


Pepsi’s advertising portrays the brand as representing youthful vigor. Pepsi targets busy, modern 13-35-year-olds. Their prices have stayed affordable for many millennials. Even smaller amounts of their soft drinks have been produced to fulfill consumers’ thirst and desires.

Place your money in the proper avenues

Advertising has always been Pepsi’s growth and revenue strategy. According to the company’s annual report, 2019, global advertising and sales expenditures rose by more than 12%. Online promotion and publicity are expensive. Pepsi’s budget includes TV ads. Pepsi should increase digital advertising as technology becomes more widespread.

Pepsi has implemented in-the-moment marketing since social media’s rise. Since then, millions have watched. Companies prioritize customer satisfaction and product quality due to social media.

One cannot overstate the significance of internet advertising

A solid digital marketing plan is as critical as establishing a robust online presence and communicating with customers. The success of Pepsi’s digital advertising is a critical factor in the brand’s continued recognition among its core consumers. For instance, their 20-minute ‘Bring Home Happiness’ campaign was viewed over a billion times online.

bring home happiness campaign

Pepsi doesn’t just use social media to communicate with its customers; they also use the platform’s considerable resources to good use in its marketing efforts. Fostering loyalty and participation from customers is crucial nowadays.

Do something different and take a chance

Pepsi’s packaging and quality remain critical priorities. Health-conscious clients have more nutritional options. Their broad product line includes a variety of delectable and healthful alternatives and flavors.

As Pepsi evolves, watch its packaging and quality. Regular design revisions keep existing clients happy and attract new ones. They do it because packages and options boost sales. Since people’s demands and needs change, Pepsi must adapt.

Choose good sponsorships

Pepsi boosts brand recognition through partnerships and sponsorships. They partnered with sporting groups globally to sell themselves. That year, they joined the NBA. They joined Indian Cricket in 2016. They renewed their UEFA Champions League advertising partnership in 2017.


Market competition is fierce. New exploration and development are needed. Pepsi adapts its products to each generation’s needs and budgets. Planning and hoping won’t work. To develop like Pepsi, be competitive and daring.

How can these techniques help Marketers advance their methods?

These techniques can help marketers advance their marketing strategies in the following ways.

Make sure your brand is strong

Building a solid brand takes effort, but it pays off in the long run by helping you keep a good reputation among your customers. The two are both aided by a unified brand’s presentation and message.

It’s possible to experiment with various logos, slogans, jingles, and other visual components to create a distinctive brand.

Foster Collaborations

You may expand your audience by forming strategic alliances as Pepsi did with sponsorship deals and celebrity promotions. Associating with people and companies that share your brand’s ethos is essential.


If your company isn’t on par with PepsiCo, you should work with micro-influencers or local companies to spread your message.

Find unusual approaches to reach your targets

The public’s expectations of social media platforms are constantly changing, and the platforms themselves do so as well. Use those platforms in your marketing to communicate effectively with your audience.

Similar to how Pepsi’s “Bring Happiness Home” campaign was driven mainly by social media, your efforts can have the same effect. Get out there and use the platforms that will get the most significant traction with your target demographic.

Taking risks (and benefiting from your mistakes) can help

Rome wasn’t built overnight; Pepsi and your firm are alike. Making mistakes is part of building a thick skin; what is essential is analyzing them and trying again. PepsiCo’s early tenacity is apparent.

taking risks

Pepsi bought a sugar plantation to prevent going bankrupt from sugar shortages. They invested in avoiding repeating past mistakes. PepsiCo revived Crystal Pepsi and remarketed the product. Scarcity gave it value despite not being the best product.

Change your brand’s strategy if it’s not working.

See Also: Full Marketing Strategy of Coca-Cola (4Ps)

Frequently Asked Questions

What are the marketing strategies of Pepsi that you would say?

Pepsi's marketing strategy has changed substantially over the years. It continues to evolve to reach health-conscious Generation Z customers and improve brand awareness, from Mountain Dew and Gatorade to Doritos.

How about the three cornerstones of Pepsi?

The various elements make up PepsiCo's marketing strategy in great detail. Product, pricing, place, and publicity are the 4Ps of marketing.

How about the three cornerstones of Pepsi?

Publishing its first-ever Sustainable Report, 'Win as One!' based on the tenets of 'Inclusive Business', 'Water Stewardship', and 'Circular Economy' (PCPPI) further solidifies its dedication to serving the Filipino people.

So, what makes Pepsi so successful?

Customer loyalty is essential to Pepsico's marketing strategy. The company spends extensively on advertising and marketing to build brand loyalty. Building the company's brand took time and resources. Lie, Pepsi, Mountain Dew, etc.


You’ve witnessed the company’s humble beginnings in this case study of Pepsi’s marketing strategy. They persevered through adversity to establish their name as a household name.

Pepsi is a multibillion-dollar firm that isn’t slowing down despite a few missteps in the past. PepsiCo has been successful because of its commitment to branding, openness to endorsements, focus on building consumer relationships, and willingness to learn from its mistakes.

You will also find success if you model your marketing like Pepsi’s. Apply what you’ve learned here to develop a new brand that will excite the next generation.

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