The strategy seeks to leverage market insights that show young consumers trending towards social networking and interactive media through online and mobile channels, and marks a significant move for Pepsi to tap into an evolving youth landscape. The drive is launching with a heavy emphasis on below-the-line activation, with above-the-line — featuring a strong focus on interaction — to roll out in June.
Industry observers note that the push, the brand’s first refresh since 2004, indicates the beverage giant is feeling the heat from a revitalised Coca-Cola, which has been stepping up its Olympic activation through its status as an official sponsor and recently launched Coke Zero globally to provide greater relevance to its male audience segment. “Pepsi and Coke are engaged in a bitter struggle in many markets. It’s fair to say that Coke has pulled its socks up in the last couple of years as far as its communications strategy is involved, so Pepsi can’t be left idling,” said a source.
The global revamp follows last summer’s successful Pepsi Creative Challenge campaign in China, which invited consumers to submit and vote for their own Pepsi TVCs. According to PepsiCo chiefs, the brand’s community-based China strategy will incorporate localised aspects of the global campaign, while also featuring the rollout of a Pepsi credit card to be operated in conjunction with China Merchants Bank (CMB).
The exclusive credit card deal with CMB, thought to be one of the first such alignments, will offer card holders special benefits, access to Pepsi’s fan club and discounts across retail outlets, restaurants and travel brands.
The below-the-line drive also incorporates new packaging developed by Landor, which is aimed at reinforcing the brand’s ‘blue’, POS promotional materials and retail apparel lines. “It is part of a global move, but in China we are taking the move and dimensionalising it with a twist. We wanted to introduce new elements and create a trend,” explained Leo Tsoi, marketing director, beverage unit, PepsiCo China.
