Amid declining beverage sales, PepsiCo is embarking on a global campaign to introduce its Pepsi rebranding to consumers. The company, known for brands like Mountain Dew and Gatorade, saw a 1% decrease in its drinks portfolio sales in 2023, particularly in North America and Europe, a report shared.
However, with a proven track record of successful marketing strategies, PepsiCo is confident in its ability to reverse this trend and enhance household penetration, leveraging its cultural connections to drive its marketing efforts for Pepsi rebranding 2024.
PepsiCo’s VP of global brand marketing, Erica Melis, emphasized the company’s historical role as a ‘believer and driver of culture.’ Beyond traditional associations with live music, video and soccer, PepsiCo is embracing innovative approaches that will captivate younger audiences. These include drone installations in Dubai, towering CG cans in London, and experiential marketing with creator partnerships, all of which are set to revolutionize the marketing landscape.
Like other significant advertisers, PepsiCo is refocusing on brand-building activities amidst a crowded advertising landscape. With a diverse media strategy tailored to different markets, PepsiCo prioritizes linear TV spend, paid social, and creator partnerships via Pepsi Influencer marketing efforts. Melis highlighted the importance of “retailtainment,” where PepsiCo aims to disrupt stores with unique and engaging experiences.
In the UK, PepsiCo transformed a Manchester corner shop into a Pepsi MAX-branded nightspot, showcasing live DJ sets and nostalgic candy. Such activations, landmark installations, and soccer sponsorships are part of PepsiCo’s ongoing effort to stay culturally relevant.
PepsiCo’s influencer marketing and marketing media budget, up by 20% between 2018 and 2023, underscores its commitment to these initiatives. Melis emphasized the alignment between marketing and business goals, citing KPIs such as purchase intent and brand love to justify investments. According to Evan Horowitz of the agency Movers+Shakers, building cultural relevance is crucial for brands like PepsiCo to connect with younger consumers and foster emotional connections. Melis emphasized the importance of human-centric content grounded in solving consumer problems to drive brand equity and long-term business performance.
As PepsiCo prepares for its next annual general meeting, its increased marketing spend and global rebranding campaign will likely be in the spotlight. Focusing on driving cultural relevance and fostering emotional connections with consumers, PepsiCo aims to demonstrate the impact of its marketing investments on brand equity and long-term business performance. PepsiCo seeks to maintain its iconic brand status and drive growth in an evolving market landscape by aligning marketing strategies with consumer preferences and leveraging innovative approaches to engage audiences.
