brand vs. brand
Posted by Dale Buss on February 13, 2012 06:06 PM
As it implements a global re-set of its Pepsi brand and corporate priorities, PepsiCo is girding for even more pitched battle with a re-energized Coca-Cola. And if only because PepsiCo plans to boost spending on its major brands by at least a half-billion dollars this year, the competition between the two giants should be the sharpest in some time.
PepsiCo CEO Indra Nooyi and the company's board announced strategic investments during their business review last week that are aimed at the major pressure points being applied lately by restive PepsiCo investors and others. In the meantime, Coca-Cola also announced massive overall cost cuts as well as a decision to use the savings of up to $650 million in extra marketing and brand buildling.
The boost in marketing outlays announced by PepsiCo will be devoted to the largest beverage brands, especially struggling Pepsi, as well as snack brands. But many of the agencies that have been serving the brands to date are being swept out in a massive 65% reduction in the number of partners used by the beverages business. And Pepsi will be culling many of the non-performers from its 400-plus global brands.Continue reading...
chew on this
Posted by Sheila Shayon on January 6, 2011 04:00 PM
Guilt-free snacking? No. Less guilt? Yes!
BC's Dale Buss noted that PepsiCo's Frito-Lay division had unloaded its True North snack brand, an indication that the PepsiCo-owned Frito-Lay group was struggling to wrap its labels around health snacks.
While it's not exactly donning Birkenstocks, Frito-Lay tells brandchannel that its new year resolution is to go on a health kick, with a cross-brand commitment to produce more than half its products from all-natural ingredients by the end of this year. The move is motivated by consumer demand, with taste the top consideration, a spokesperson comments.
Frito-Lay North America is remaking more than six dozen varieties of product with all natural ingredients. Affected brands include all the flavors of Lay’s potato chips, Tostitos tortilla chips, Sun Chips multigrain snacks (which made headlines with its noisy compostable bags last year), Baked! snacks, and Rold Gold pretzels. Continue reading...