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CB Project Report

The document summarizes a student group project relaunching the Pepsi product "Pepsi Twist" in Pakistan. Pepsi Twist was a lemon-flavored soda originally launched in 2000 in the US and other countries. It failed to gain popularity in Pakistan when initially launched in 2006 due to lack of advertising, unfamiliar taste, and other factors. The group aims to analyze reasons for the product's failure and make recommendations for a successful relaunch in Pakistan, focusing on taste, marketing strategies, availability and competition in the Pakistani market.

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AnasAhmed
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101 views

CB Project Report

The document summarizes a student group project relaunching the Pepsi product "Pepsi Twist" in Pakistan. Pepsi Twist was a lemon-flavored soda originally launched in 2000 in the US and other countries. It failed to gain popularity in Pakistan when initially launched in 2006 due to lack of advertising, unfamiliar taste, and other factors. The group aims to analyze reasons for the product's failure and make recommendations for a successful relaunch in Pakistan, focusing on taste, marketing strategies, availability and competition in the Pakistani market.

Uploaded by

AnasAhmed
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 12

Group Members:

Luqman Khan (10971)


Sheraz Ahmed (11426)
Mohsin Raza (11235)
Abdul Moiz (11891)
Syed Adil Shah (11071)

Executive Summary
In this report, we discussed product preferences, choices, and failures from
the perspective of the consumer. We are stepping into the digital market and
can expect major rivalries among two organizations selling the same product
and with the same kind of taste but one seems always be winning due to a lot
of factors. On the flip side, consumer behavior in Pakistan has changed due to
the massive rise in population, according to a report by thinkwithgoogle,
Pakistan’s population growth has grown by 68% in these past three years.
And because of that, marketers are relying on digital tactics to target them.
People here are more than empowered to see, think, and buy on their own.

It has been hard for marketers to target and aware 74 million online
consumers, all at once, unless the brand is wealthy enough to afford big
billboards, digital campaigns, advertisement, media attention, the right
marketing approach, has 23 companies working under and has operations in
200 countries and territories. Pepsi Co is a successful dynasty and has made
a reputation that today no one ceases to break. The ultimate target value and
huge masses make this company worth billion dollars. Yet Pepsi Co with
almost all the selling and branding powers failed to make a successful product
in the marketplace. Some of them launched and vanished in a blink, some
products never made it to the eyes and some products stayed limited. If we
take an example from Pakistan, Pepsi Cola has so many variations but are
only available in first world countries like United States, Dubai, UAE, and
countries in Europe. In this research report, we are “re-launching” a failed
product by Pepsi-Cola, this product luckily made it to Pakistan (unlike the
others we mentioned) but disappeared in few months.

Overview & Objective


We are relaunching “Pepsi Twist, in a lemon flavor”.
Pepsi Lunched a new lemon flavor called "Pepsi Twist" which was introduced
in the market in 2006. It got failed there was a lack of advertisements and the
market was large and people didn't accept that flavor. In this report, we are
going to debate the fact that “influential and giant companies” do fail. The
reason could be; their newly launched product is not competing with the
consumer’s perception, the brand is failed to create a market understanding,
the product is sold to the other buyer and the supply is not directed to the
product line itself, the product is too new. Being new does not mean that it is
launched just yesterday, Apple took years to finally made an impact. They first
invented Newton; a digital personal assistant device that since the market was
not used to such applications and ended up “not” using it after all.

Introduction to Pepsi
Pepsi-Cola, known as Pepsi, is one of the world-renowned brands. Needless
to say that it is admired, loved, and valued by billions of people out there, it is
been said that Pepsi is serving its beverages and products for more than 100
years now especially Cola. Cola is a soft drink (in Pakistan, we call it cold
drink) produced by PepsiCo which sells everywhere around the globe from
airports to organizations to streets to small towns, not to forget that it is
worldwide available in restaurants, vending machines, and stores and even
hospitals. The brand was created on June 16, 1903, and the first drink was
made on August 28, 1898, by pharmacist Caleb Bradham. However, we must
not forget that it is coming from a long journey, many decades took them to
reach here. The reason why it stays on top is because of its high standards of
performance, competitiveness, commitment, marketing strategies,
determination, and the personal and professional integrity of its people,
business practices, and products.

Product line
Pepsi Co operates in beverages, restaurants and, snack foods.
Pepsi Co purchased seven-up international and became the third-largest
soft drink supplier outside the United States.

A lot of people don’t know but Kentucky Fried Chicken (KFC) is bought
by Pepsi Co in 1986.

Taco Bell was too acquired by Pepsi in 1978 worth about $128 Million.

In 1964, Pepsi Co purchased Mountain Dew.

Marketing:
1- The brand needs to maintain taste (not the one they like, but the one
consumer likes). Better to say, experiments are good but if they are
limited to fashion. Food is divine and shouldn’t be mixed with any
science. For example, the new trend of having pineapple on pizza is
nothing but a mockery of the divine.

2- Today, some brand ambassadors pay popular faces to promote


themselves. Such as celebrities, sportsmen, bloggers, and influencers
(TikTokers, Instagrammers, YouTubers) to create a brand identity. The
latest example is from SnackVideo (not a product, but paid promotions
are bombarding our YouTube and Instagram). In beverages, this new
ad video from Mountain Dew including Fahad Mustafa and Ahad Raza
Mir is quite eye-grabbing and is currently promoted on all the digital
channels (through influencers and Search Engine Ads).

3- The brand must aware of the target market, competition, and


consumer’s behavior before targeting them.
4- Investment in the advertisement is necessary, perhaps the amount does
matter (with correct marketing strategy).
5- Stalls and franchises should be places outside the cinema, shopping
malls, streets, and parks (any public place).
6- Companies push their teams (PR) to visit places such as, schools,
institutes, local areas, homes to promote and sell memberships.
7- Testers and free samples were often given to consumers to try and then
buy. This increases the chance by 90% of purchases.
8- Packaging is the major appealing factor for the audience.
9- Interactive campaigning, QA sessions, feedback, and sponsorship are
what bring the consumer to the brand.

Availability:

Pepsi has 12 units in Pakistan, which makes it even easier to reach every
area of the country i.e. Lahore, Karachi, Dera Ghazi Khan, Hyderabad,
Multan, Hyderabad, Hattar, Sahiwal, Islamabad, Faisalabad, and Quetta.

Market Analysis of Pepsi Cola

Pepsi’s biggest competitors are Coca-Cola.

According to Consumers, Pepsi is one of the most loved drinks in the US


however last year, in Pakistan, coke sold 140 million cans whereas Pepsi
sold over 240 million, which is a lead by almost 80%.

The market share of Pepsi is 65% while Coca-Cola has 35% shares in
Pakistan.

Pepsi has recently launched their music show named: Pepsi Battle of The
Bands where youth take participates and showcase their talent.

There are almost 29,500,000 search results on Google for Pepsi but less
than 1,490,000 search research on Google for Pepsi Lemon Twist.

The total annual sale of Pepsi has increased by 4.3% crossed over $17.9
billion. A few years back it was at 75 million.

Consumption of Pepsi is over $1.7 and rapidly rising.

Youth is lately taking interests in musical groups, fashion, cultural shows, and
sports which has provided an opportunity for Pepsi to increase its sales
through them. For example Pepsi Rap Battle, Pepsi Food Festival, Pepsi
#Millionsofmeals campaign, and more.

The company has started entering rural areas too. People in villages and
small towns prefer sodas with milk, it helps them indigestion.

Pepsi Statistics from 2012-2020

Pepsi Twist Ad:

(Starring Fawad Khan & Ainy 13 years back)


Pepsi Lemon Twist
Pepsi Co has bought big brands like Pepsi Cola, Teem, 7UP, Mountain Dew,
Tropicana Juices, Diet 7UP, Lipton, KFC, Pizza Hut, Mirinda, Taco Bell, Diet
Pepsi, Lays, Kurkure, Aquafina, Pepsi Max, Pepsi Twist, diet Pepsi, but Pepsi
Twist was the product which failed to capture market how, a brief look of Pepsi
twist and its failure is as follows:

 Pepsi Twist was introduced in the summer of 2000 (21 years back in the
US)

 Though the production of lemon-twist was not new, Pepsi produced


lemon-flavored diet coke and was named Pepsi Light in the 1970s and
1980s in the US.

 In 2002, India, Pepsi introduced Pepsi A-ha, in a lemon flavor.


 Pepsi Twist came in 2006 in Pakistan. And was unloved by consumers.
According to them, the taste was not any different from the actual Pepsi
taste however a bit of sour was making the flavor of lemon.

Sales, Survey & Competiton

47.62

Only 47.62 females and 52.38 males knew


about
52.38 Pepsi Twist.

60% had voted that


It's availability was
the Pepsi Lemon
only 26.8 in
Twist is poor in
Pakistan.
taste.

Reasons for failure:


1- Incorrect positioning.
2- High price.
3- Poor Advertising.
4- Taste was not according to the consumer’s taste bud.
The biggest mistake:
Pepsi Twist is said to be produced with a key ingredient which was lemon but
it later came out that they did not add lemon exactly but lime. And lime is a bit
bitter.

Why should consumers chose Pepsi Twist but did not because of
the taste?

Pepsi Twist contained lime which has zinc extracts and vitamin c. Vitamin C
makes skin brighter, helps with tendons, tanning, ligaments, blood vessels,
heal wounds, and form scar tissue and dark skin due to hyperpigmentation
and dehydration but it almost had 110 calories which can only be burnt out by
walking 20 mph.

Price Distribution:
The price of Pepsi lemon twist was between 25 Rs, 50 Rs, 60 Rs, 85 Rs, and
30 Rs

It was available in all the below-mentioned sizes:

 250 ml Regular bottle.


 330 ml tin.
 500 ml disposable bottle.
 1500 ml disposable bottle.
 Special 250 ml bottle.
The material they used in a bottle was plant-based hydro-biodegradable
plastic means polylactic acid (PLA), a plastic made corn, decomposes into
water and carbon dioxide in 47 to 90 days.

The Pepsi Twist had all basic


ingredients and the recipe was not
unique including corn syrup sugar
colorings phosphoric acid caffeine,
carbonated water high fructose, and
natural flavors. We doubt that it
barely had original lime. Pepsi
decided its price based on
competition (coca-cola) however
that shouldn’t be that high, but it is
2006 and we can expect major marketing blunders. They claimed that it was
fat-free but still was dangerous to health. A person could increase 140lbs by
drinking it.

Lastly, Feedback about Pepsi Twist Lemon from Consumers:


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