Branding, Pricing and Distribution Strategy



Branding, Pricing and Distribution Strategy

Create the domestic and global product branding strategy

Pepsi has the second largest share in the Global beverages market. It deals in lot brands, though its major brand is yet Pepsi Cola.The domestic branding strategy of Pepsi should be different from that of the global. In the domestic market Pepsi should try to increase its sales by emphasizing more on its other brands like snacks and ready to drink beverages which includes juices like Tropicana. Similarly, in the domestic market Pepsi should try to maintain its market share by advertising and by engaging in some social service projects. Furthermore, most of the people in United Sates and most of the European nations do not prefer much of the soft drinks as they believe that it increases fat ( Jobber, & Ellis-Chadwick,1995).Therefore, Pepsi should also focus more on the diet products in the domestic market.

The global strategy should however be different from the domestic strategy; it should emphasize more on the Pepsi Cola, rather than the other brands such as snacks or the ready to drink beverages including the juices. The product should also be present in various packaging according to the classification of different customers. The advertising will also be different as far as the global and the domestic branding strategy is concerned. The global advertising strategy will vary from country to country whereas the domestic advertising strategy will be entirely different which will take into account celebrity endorsements.

Determine and detail the optimum pricing strategy

The Optimum pricing strategy actually sets the pricing of any product according to the need and demand of the consumers (Hiebing, & Cooper, 1997). The optimum pricing for Pepsi Cola in United Sates should be around 0.5 cents for 500 ml. and 1 dollar for 100 ml. this is the optimum pricing for the domestic market whereas the global optimum pricing strategy should be similar to this one but it may fluctuate according to the income level and other general economic conditions of the country in which the product is sold or the company operates. The optimum pricing strategy for other brands of Pepsi, apart from Pepsi cola should vary both in the domestic and the global market. There should be moderate pricing of the Snack products and the ready to drink beverages like juices. The optimum price for the snack products of Pepsi should be around 0.20 cents in the domestic market and almost 0.15 cents in the global markets. Similarly, the optimum price of the ready to drink beverages should be approximately 0.40 cents in the domestic market and almost 0.25 cents in the global markets. However, the optimum prices in the global markets might vary depending upon the income level and the general economic conditions of that country.

Examine how your pricing strategy supports your branding strategy

The pricing strategy represents the branding strategy (Desai, & Keller 2002). As discussed in the branding strategy that the different brands of Pepsi should be treated differently both ...