KISSIMMEE, FL: PepsiCo, the food and beverage giant, is encouraging consumers to pair its products when eating and drinking throughout the day, in the belief many of its brands really can work "better together".
Brian Cornell, ceo/PepsiCo Americas Foods, discussed this strategy while speaking at the IRI Summit 2014, a conference organised by research and consulting group IR and held in Kissimmee, Florida.
Research revealed that huge revenue-generating opportunities existed for PepsiCo due to the "significant interactions" observable across the snacks, beverage and breakfast segments.
In order to fully tap the growth possibilities, the firm is exploiting specific gaps in the market – or what it terms "demand spaces" – that have been uncovered via in-depth analysis. (For more, including how PepsiCo fuels the "morning jump start" and "fun times", read Warc's exclusive report: Why Pepsi's drinks and snacks are "better together".)
"The promise of 'Better together' comes to life when we position our brands in these common demand spaces [and] work closely with our partners to drive co-merchandising and co-promotion," said Cornell.
Combining its uniquely broad portfolio – which includes Doritos, Mountain Dew, Tropicana and Quaker – with knowledge that is exclusive to the company is paying off for handsomely PepsiCo, according to Cornell.
"At PepsiCo, we're using these proprietary insights to grow our business by addressing the distinct, common and – importantly – complementary consumer needs," he said.
"We call them 'demand spaces'. They are proprietary insights, first piloted at Frito-Lay North America, but now we use them across our total portfolio."
The power of these insights is only magnified at a time when demand in various parts of the food and beverage industry is soft, and shoppers are frequently looking for enhanced value.
"Growth is challenging in this economy; we're all looking for new ways, and new pockets, of growth," said Cornell.
"I believe, for all of us, it's critically important that we leverage insights to find these new growth terrains."
Data sourced from Warc