Essay about Pepsi Sales Bubble with Limited Edition Carbonated drinks

Week 5 Case Job

MRKT 5000

PepsiCo: " Pepsi Revenue Bubble with Limited-Edition Gentle Drinks” Case Summary:

Soft drink and their spouse, Suntory, are using limited-edition sodas to boost business in the $30 billion Japanese beverage industry and keep product sales bubbling in spite of a diet coke war with Coca-Cola and fierce competition for space on store shelves. No new product is a sure point, but the Japanese people market is particularly challenging. Of the 1, 500 beverages launched there each year, only the smallest percentage survives the initial period as the Japanese online store are small and they make room for the particular products which will sell off the shelves quickly. Another reason is because the Japanese buyers crave novelty limited-editions items that are pertaining to specific periods, regions, or reasons. Presented, the competitive environment, the pressure by retailers to make new products perform, the speed with which consumer likes change, as well as the cost of introducing a new soft drink, Pepsi and Suntory happen to be being very careful not to overuse their limited-edition strategy. Crucial Marketing Problems:

Range extension -- Development of a product that is novelty, but strongly related to their existing product line to meet diverse customer requires, to reach diverse target markets. Aesthetic modification - Becomes the physical appeal of an item. Pepsi changed with berry-flavored Pepsi Blue and Glaciers Cucumber. Product differentiation – Creating and designing goods so that clients perceive these people as not the same as competing items. Pepsi differentiated itself when you are offering the Ice Cucumber just during the summer and by constraining the Soft drink Blue.

Personal Case Research:

Case Questions:

1 . Pepsi and Suntory limit their limited-edition soft drink introductions at four per year. What effect are these claims cap prone to have within the new product creation process? By Pepsi and Suntory supplying their limited edition drink introductions at a cap of 4 per year that...

Cited: Pleasure, W. and Ferrell, To., Marketing, 16th ed. Copyright laws 2012, Cengage Learning

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