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Example research essay topic: Taking Into Account Pepsi Cola - 1,115 words

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Launch Strategy To choose the right launch strategy of any new product is very important. In promotion of a product there are two targets: trade customers who stock the product and consumers who buy it. At present the launch strategy includes complex measures which influence a product or service greatly. It can make or break a product. If a launch is successful it makes new customers try it. But before it a great work should be done, including support of future trade customers.

Pepsi-Cola is considered to be one of the biggest companies in the world. The company has represented a great number of new products and package types. Most of all, it has introduced a new stage in advertising. The changes in incomes as well as in exogenous variables affected company greatly. The company had to use pure and mixed strategies to satisfy the growth of costs and demands.

The firm observed the actions and information of their rivals and often it was able to anticipate their rival's actions. Those studies stimulated company to work up new strategies in advertising their products as well as price strategies. It is for sure that there is a close connection between advertising and free markets. The product will not be stoked if the costs of investment are not met. With the purpose to avoid it the product should interest retailers and distributors. It is evident that marketers have to identify the gap in the market, thats why they are closely connected with individuals from research and development as well as other external agencies.

Pepsi-Cola based its strategy taking into account consumer preference. In different periods of time it paid great attention to "appropriate to their own needs" (Mary L. , Azcuenaga). It means that the company directed its forces to regulate the prices on the products and the services according to the needs of customers. The companys specialists took into account political, social and cultural changes in the country. During the period of more then 100 years, Pepsi-Cola has been regarded as the company with one of the best advertising in the world. Pepsi-Cola was invented by Bradham, a young pharmacist from New Bern, North Carolina, in 1893.

It was a mixture of carbonated water, sugar, vanilla, rare oils and kola nuts. 30 s were lucky for the company. Its sales increased. The firm changed its strategy and started to sell a 12 -ounce bottle for five cents while its rivals did the same for six ounces. It was a great step that proved the cost savings in America at the time of the Depression. But the company gained great progress in the launching of its product when it began to use publicity.

Publicity can be defined as a means of communication with potential customers through the media. It is known that it is the most cost effective way to launch a new product. Most of all the success of the action depends on what scale local, national or international the company is going to advertise a product. Pepsi-Cola understood that with the help of publicity it could introduce its new product to thousands of people for a short period of time. Most of all it would help to win public opinion and major economic victory for the company. Thats why before World War II, Pepsi-Cola decided to change it image.

Pepsi-Cola was sold in a 12 -ounce bottle but from nickel. "Pepsi & Pete" cartoon strip appeared in a newspaper. It attracted a lot of consumers and gained the population as the brand with a lot of advantages. In 50 s, Americans paid great attention to their health and weight. Pepsi-Cola established new strategy producing products with lower caloric content, "The Light Refreshment" campaign.

It changed its image and replaced a former straight-sided bottle with a "swirl" bottle. Pepsi-Cola taking into account the increasing role of the new post-war generation. "Now It's Pepsi, For Those Who Think Young" became a new branch of the brand. In 60 s, there was a great demographic growth. It was the beginning of new generation the Pepsi Generation. But to belong to the Pepsi Generation meant not only to be young.

Social and political changes influenced the movement. The Pepsi Generation emphasized that we are one people but with many personalities. Famous people such as Michael Jackson, Shaquille O'Neal, and the Spice Girls advertised the product. The Pepsi-Generation was replaced by the Generation Next, and it was the beginning of long-term partnerships. Lucasfilm and Pepsi signed a contract about their partnership for the Star Wars films. At the same time it started various shows for its customers.

One of them was a live television show on the WB. It was a chance for 1, 000 consumers to win $ 1 billion. All these measures have gained great popularity to the brand. In the 1980 s and 1990 s, Coca-Cola and Pepsi-Cola started Cola Wars. The term is used for the campaign of mutually-targeted television advertisements and marketing campaigns between two cola companies. With the purpose to win the war, Pepsi-Cola launched its most successful long-term strategy Pepsi Stuff, in the mid- 1990 s.

The slogan of that time was: "Drink Pepsi, Get Stuff." Consumers could collect Pepsi Points on billions of packages and cups and redeem them for free, high-quality, Pepsi lifestyle merchandise. The program was successful with consumers; and after two years of researching and testing, it was launched and had a great success. Tens of millions of consumers participated. Nowadays, PepsiCo is a strong and successful business.

More than 153, 000 employees around the world are engaged in it. It is in different divisions and countries. The company gained success because it took into account five factors: proven results, leadership capability, functional excellence, knowing the business cold and key experiences. The popularity of Pepsi-Cola has been constantly increased among the youth. Pepsi-Cola did not simply react to changes in the world; it established their unique strategies and made the new environment to act in its favor. And nowadays, we can say that it is a new product with old traditions but quite new design and new tastes.

Bibliography: Golan, Amos. Estimating Coke's and Pepsi's Price and Advertising Strategies. Journal of Business & Economic Statistics, October, 2000. Launch Strategy. New Product Marketing: Need Help In Marketing A New Product? Publicity Can Be A Profitable New Product Marketing Strategy, June 20, 2006.

web Launching a new product into a developed market. Cadbury Schweppes. The Times 100. web Mary L. , Azcuenaga.

The role of Advertising and advertising regulation in the free market. Turkish Association of Advertising Agencies. Conference on Advertising for Economy and Democracy. Istanbul, Turkey, April 8, 1997. web


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