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Coke & Pepsi
Transcript of Coke & Pepsi
How marketing was changed!
The percentage or proportion of the total
available market or market segment that
is being serviced by a company.
Sales revenue Sales volume
Soft drink industryAvg gallons/person/year
325 12 oz. soft drinks/person/year
(lowest since 1985)
Markets where the potential consumers face a severely limited amount of competitive suppliers.
The technique by which marketers try to create
an image or identity in the minds of their target
market for its product, brand, or organization.
Who was 1st?
6 oz. for $.05
Penetrate a market
with hopes of grabbing
a large market share
Price product low -
Set price high when introducing
product to take advantage of
An item priced at or below cost
to draw customers into a store.
Promoting the image, or general perception,
of a product or service, rather than
promoting its functional attributes.
#1 shouldn't include #2 in comparative advertising!
Extended to 80% of U.S.
$4 million on research
"Coke is trying to be more like Pepsi!"
90 days --- Coke Classic
Use an established product's brand name
to launch a new, slightly different item
in the same product category.
A fee charged to produce companies or
manufacturers by retailers in order to
have their product placed on their shelves.
$3k - Regional
$300k - National
Done to help balance the risk of
new product failure between
manufacturers and retailers.
Director of Package Innovation
Big Slam - wide mouth
20 oz. resealable, plastic bottle
Distributing a product only in a certain area of the country.
Often accompanied by a strong marketing campaign.
Sales increased 66%
Why doesn't a company roll out a product
to the whole county at once?
Partnering with non-competing organizations
with the same target market and brand strength to achieve a much broader reach and exposure
at a proportion of the usual cost.
Five will get you Ten!
Two companies merging on a product
Other Co-Branding examples?
5 million copies of video
sold with commercial
Who's #1 in U.S. sales/market volume
Other Examples . . .
An advertisement in which a particular product, or service,
specifically mentions a competitor by name for the express
purpose of showing why the competitor is inferior to the product naming it.
Slotting fees originated from a 1970s bidding war for space to locate "branded" in-store cigarette point-of-sale devices called a "merchandiser." These end of aisle cigarette merchandisers place the manufacturer's products at eye level while a competitor's products are placed on the bottom shelves.