PepsiCo India 2010

Brand Activation: When the Brands Walk the Talk

Prepared By – Shail Gaurav (Innovations)

Introduction

• Project done in Foods division of PepsiCo which is “Fritolay”.• Products worked on Lay’sLay’s BakedKurkureUncle ChippsAlivaQuaker Oats• The first part of my project is to open up new Accounts for

these products On-Premises.• On-Premises are the accounts where products are purchased

and consumed on the spot.

Targets and Priorities

Before Execution• Before Execution of the targets they are forwarded to all the distributors

where they plan it monthly and prepare a Beat Plan.• Monthly Sales Plan(MSP): This months sales plan is made based on last

3months average and last year’s same month sales plus growth percentage.

• The RSA divides his targets into 30days a month.• Territory Score Board(TSB): It is a chart where the RSA’s and PSR’s fill

their daily met targets and compare with their actual targets as per the MSP.

• Beat Plan: 1. It is normally day wise and fixed to every customer.2. It is the frequency at which we supply the stock to the customer.3. It depends on the average off take at a particular customer.4. Average sale and closing stock are noted regularly and at the end of every

month a review is carried out.

PepsiCo India 2010

Appointing a Distributor

• First the distributor has to submit a DAF(Distributor Appointment Form).• The DAF consists of the data regarding the distributor’s1. Manpower2. Ware house3. Infrastructure4. Financial Position5. Market ServiceRequirements:• DAF• Distributor agreement on Rs.100 bond paper• Photocopy of TIN No• Tax return copyThen he will be given a SAP code from PepsiCo.

ROI of a Distributor

GTM Model

PepsiCo India 2010

1. What it means?2. At RSU Level3. At Distributor Level4. Prices at which Distributor sells to the customers5. Profits and Margins-What happens if reduced?

ROLE OF CE

Stand Alone Modern Trade(SAMT)

• It consist of National Chains like Big Bazaar, Reliance etc.• Difference between SAMT and TT is that in SAMT the customer can touch and feel the product whereas in TT

he cannot.• In short all organized retail comes under MT and unorganized retail comes under TT.5 Pillars of SAMT

PepsiCo India 2010

MERCHANDISING:It can be done throughVisibility in the category should be proper.End Caps (Those racks which are at the end of any aisle in the outlet which is filled entirely with our products).Promo Bins Special Bins at the cash counter which is the best place to grab a customer’s attention.Cut Case- where the case itself is cut into a proper shape and is put for display.Parasite racks- small cases of the products are cut and hanged to any of the rack.Calculation of TLSD and LPSC.

FIELD WORK

• Accounts Visited and Opened

Approach Followed:

1. Visited the hospital

2. Enquired about a canteen/ kitchen

3. Met the owner of that particular canteen and showed him our products especially Insti packs, Quaker flavored oats and Aliva.

4. Either he wanted to conduct a sampling or he gave a small order in the beginning.

5. I would inform the CE about the account and he would follow up for the next refills.

• As far as the Hospitals are concerned the important products for that segment are Quaker and Lays.

• The procedure for the Hotels is similar to that of Hospitals.

• Main products for this segment are Lays and Aliva( Mini Bars), Quaker oats (Breakfast cereal).

Difficulties faced:

• Some of the customers have already worked with our current distributor in Gurgaon and they were not satisfied with the supplies done.

• When I visited them, they have raised the same concern.

• Customers are buying the products from a wholesale market rather than from a distributor.

• Payment terms of both the parties did not match.

• Samples were given but there was no response from them.

• If a deal has been cracked and they place an order for the next day sometimes there was unavailability of stock.

PepsiCo India 2010

Contd..

My Approach:• Distributor issue: I convinced the dissatisfied customers that whenever

they want to place any order they can do it by mailing it to the CE rather than to the distributor.

• I have explained them that they don’t have to take the stock from the wholesale market instead we would be supplying it to them through a proper distributor channel.

• In case of any issues regarding the payment terms I made both the parties to talk and settle the issue closing the deal.

• When there was no response from the customers after taking the samples I called them back and followed up.

• In case of unavailability of stock, I convinced the customer that it would be delivered in a couple of days after confirming it from the distributor.

PepsiCo India 2010

PepsiCo India 2010

The Neo – Consumer…

Increasing Skepticism

Do you have what

I want?

I need to eat the pudding!

Evolved Individualism

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Key Drivers of Change

“One Brand – Many Products”

“One Product – Many Brands”

Offering Proliferation

PepsiCo India 2010

Key Drivers of Change

Conventional Media

Regulatory Influences

Social Networks

InternetGlobal Trends

Information Deluge

PepsiCo India 2010

Hence the Changing Role of Brand Equity

Role of Equity

Consumer

Key Objective Maintenance Differentiatio

n

Sustainable Competitive Advantage

Previously Today

Quality Assurance provider

Lifestyle statement provider

Personalised relationship

provider

Mass Demographics

Mass Demographics

Mass Psychographics

Mass Psychographics IndividualsIndividuals

PepsiCo India 2010

Brands Adapting to Change

Classic Brand Marketing Brand Activation

Passive Communication Experience & Engagement

One Way Messaging Two way Connect

Create Awareness Create Demand

PepsiCo India 2010

From One Way to Two Way

Campaign Prompting Consumer -> Brand Communication

Then Now

Then Now

Brands are striking up conversations with consumers.

Conventional Mass Media & VFM Promotions (Free Qty / Price Off)

Campaign Prompting Consumer -> Brand Communication

Conventional Mass Media, Celebrities & VFM Promotions (Free Qty / Price Off)

PepsiCo India 2010

Creating a Rich Brand Experience Then Now

Then Now

Goes a long way in establishing your RTB

Conventional Mass Media TV Advertising for TVs!

Conventional Mass Media to communicate Proposition & Claim

3D TVs launched via “Mini Theatre 3D World” in Malls & Big Complexes

No.1 Toilet

Cleaner5X

Cleaning

Home 2 Home Toilet Cleaning Promotion supported by Mass Media

Buy 2 Packs, Get Free Toilet Makeover

PepsiCo India 2010

Planning your Brand Activation

Create Brand / Product Experience

Create Brand / Product Experience

Build Associations & Imagery

Build Associations & Imagery

Focus on Word of Mouth & Claim Validation

Focus on Word of Mouth & Claim Validation

Build Community Connect

Build Community Connect

Revisit Offering & Plan same as

“Introduction Stage”

Revisit Offering & Plan same as

“Introduction Stage”

Maintain Equity by Reinforcing Msg via

Updated Touch points / Media

Maintain Equity by Reinforcing Msg via

Updated Touch points / Media

Dominant Brand Payoff

Bra

nd

Lif

e C

ycle

Sta

ge

Functional

Introduction

Growth

Maturity

Emotional

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Brand Activation: MUST DOs

Measurement In Absence of Syndicated Measures Build In Metric into Activation

Consistency of Msg

Optimal Touch Point Mix

Firm Mooring in Core Brand Message

Change Metric Process Element

Interest EOI + Sweepstakes

Preference Feedback Form + Gratification

Trial Promotional Sales Offer

Gratification Element

PepsiCo India 2010

PepsiCo India: Case Studies

PepsiCo India 2010

PepsiCo India 2010

Maturity Stage + Emotional Payoff

Activation Objective

• Jumpstart flat Imagery scores in the weak market of Andhra Pradesh (AP) by Reinforcement of the Brand Positioning

Activity Core• Bring Alive the Brand Associations with Fun, Energy & Verve via a Potent 360°Activation

Brand Message• 7Up uplifts your mood & gives you a fun break from the humdrum routine

Key Challenges• Mass & Mature Brand; needed scale• Needed Innovative Touch Point to break clutter

PepsiCo India 2010

Activity Design 360° Activation designed

around Allu Arjun –AP film star + great dancer

Augmented Reality + Social Network + On-Ground

(Surrounded by mass media)

Allu Dance Clips seeded online, viewable via Web Cam scan of the On Pack AR code

Out of the Total Entries, top rated Dancers Get a chance to

Co-Star with Allu in a Video

Fans could upload their Dance Clips, comment/rate on others & win daily prizes

Augmented Reality • Integrated Product with Campaign• Created buzz, was clutter breaking

TG could view Allu clips + Upload theirs online

• Brand became source of Fun & Refreshment!

TV + Outdoor + On Ground Campaign

“Now Everyone can make Allu Dance”

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Results

Considerable Increase in Key Imagery Scores

31

4036

45

32

43

Refreshing FSLM Mood Lift

PrePost

Achieved Highest Scores Ever on Key Brand Measures

Salience

T2B

P4W

PepsiCo India 2010

Spirit of Sport – Powered by You

PepsiCo India 2010

Introduction Stage + Functional Payoff

Activation Objective

• Create Brand + Product Experience

Activity Core• Put the Consumer into the Need State first; Followed by Product Sampling

Brand Message• Gatorade replenishes ALL that you lose when you Sweat & is the World’s No.1 Sports Drink

Key Challenges• Points of Sweat offer Low Reach• Make the Consumer Sweat yet Engage him!

PepsiCo India 2010

Execution & Results

Unique, Attractive Set-Up cuing Sport

Top End Malls selected as Touch Points for Reach

“Show Spirit by Powering the Gatorade Torch”

(innovative cycle-dynamo set up)

Prizes + Feedback + Sales Promotion (15% Discount)

Once Consumer is Active & Sweating; Sample the product

Torch lights up when participant

cycles

Sampling Zone

Sales Promo Counter

6,00,000 impressions

Delivered

70,000 Participants

10,000 bought (15%

acceptance)

PepsiCo India 2010

Activate!