PepsiCo's brand image comes across most obviously in the personality that the brand obtains. PepsiCo products are fun, wholesome, classic, and almost friendly. They are the affordable products that everyone has. They are seen as the all-American products.
Soda is not recognized as soda or cola, it's understood as Pepsi. Oatmeal isn't just breakfast, its Quaker Oats. Chips are Fritos and cereal is Captain Crunch. Sports drinks are Gatorade. The producst are so well known that they are called by the product name rather than what the product actually is. The brand sponsors all the favorite pastimes such as sports and the logos and advertisements are everywhere to be seen by the masses.
PepsiCo brand comes across as reliable because the PR people work so hard to get it seen everywhere and used by influential opinion leaders in our society. It is even advertised and used internationally making it not just a well know American product, but also a world wide known product. The PR people put PepsiCo products everywhere so that they are always available to the public and become a familiar tie wherever you may go.
The advertising is always flashy or eye catching, featuring celebrity endorsements to draw in more consumers. For example, Britney Spears once did a series of Pepsi commercials that aired during the Super Bowl then continued to air over the next few months.
I think the PR people do a great job working with PepsiCo. Millions upon millions know about all their products but also use them and continue to come back to the products. This is the mark of successful PR.
Tuesday, April 22, 2008
Tuesday, April 8, 2008
Crisis Communications
In 1993, a couple from Tacoma, Washington claimed that while looking for a prize winning word in their Diet Pepsi, they found a syringe. The couple reported their findings and turned over the product to their lawyer on a Wednesday and the Seattle news had the story running by Friday morning. That day, another needle finding was claimed in the state of Washington causing the FDA to issue a five state alert to have consumers of Diet Pepsi inspecting their products. The advice was to empty the soda into a glass cup before drinking. Soon, claims of finding needles were popping up all over the country and immediately following the story was being run on CNN and by the Associated Press. The crisis soon escalated to reports of findings of needles, screws, pins, a bullet, and a crack cocaine vile. The crisis began to turn into what the country believed to be a hoax or a scam. Arrests were made with charges of causing “hypodermic hysteria.”
The night that the Pepsi story aired on CNN, the PR crisis team met and made a decision to use the media to fight off the media crisis. PepsiCo’s North American CEO, Craig Weatherup, spoke to the FDA Commissioner, David Kessler, on that night and it was agreed that a product recall was unnecessary. A crisis command center was established in the company’s TV room where the CEO worked very closely for the duration of the crisis. Video news releases were created to be distributed through satellite across the country—it was aired on over 400 stations.
Because of the information brewing over false claims of product tampering, both PepsiCo CEO Craig Weatherup and FDA Commissioner David Kessler appeared on “Nightline” and spoke about the potential consequences of making these sorts of claims, which could be five years in prison and/or a $250,000 fine. After their appearance, any following claims that appeared in the news were also paired with terms such as “copycat” or “hoax” which essentially helped to undermine the claim as being false.
Lastly, the PR team released another video news release including statement s from FDA Commissioner David Kessler saying that the FDA had not been able to identify any cases of actual tampering with the product. Also, the CEO Weatherup narrated the piece saying, “PepsiCo Inc. declared that its needle-in-the-can scare was over…As America now knows, those stories about Diet Pepsi were a hoax. Plain and simple, not true.” Blame ended up getting placed not on PepsiCo but on the news sources for helping to spread the rumors and creating the paranoia.
For a couple months following the can tampering crisis, PepsiCo ran ads such as the full page, “Pepsi is pleased to announce…nothing.” Also, on the fourth of July, Pepsi put out ads for their products along with coupons saying, “Thanks, America.” Ultimately, the crisis cost PepsiCo about $35 million due to lost sales and coupon distribution.
I think that the PR crisis communications team for PepsiCo handled the crisis very well. They acted immediately and appointed their CEO as the spokesperson to deal with the media, a strong tactic. They did not hide anything from the public nor did they go right out and accept blame when they didn’t have enough information. The incorporation of new media by using video news releases was a great tactic in reaching the large public. Also, the company had great follow up with their advertisements and giving out coupons to thank the consumers.
http://www.roadsideamerica.com/rant/pepsipanic.html
The night that the Pepsi story aired on CNN, the PR crisis team met and made a decision to use the media to fight off the media crisis. PepsiCo’s North American CEO, Craig Weatherup, spoke to the FDA Commissioner, David Kessler, on that night and it was agreed that a product recall was unnecessary. A crisis command center was established in the company’s TV room where the CEO worked very closely for the duration of the crisis. Video news releases were created to be distributed through satellite across the country—it was aired on over 400 stations.
Because of the information brewing over false claims of product tampering, both PepsiCo CEO Craig Weatherup and FDA Commissioner David Kessler appeared on “Nightline” and spoke about the potential consequences of making these sorts of claims, which could be five years in prison and/or a $250,000 fine. After their appearance, any following claims that appeared in the news were also paired with terms such as “copycat” or “hoax” which essentially helped to undermine the claim as being false.
Lastly, the PR team released another video news release including statement s from FDA Commissioner David Kessler saying that the FDA had not been able to identify any cases of actual tampering with the product. Also, the CEO Weatherup narrated the piece saying, “PepsiCo Inc. declared that its needle-in-the-can scare was over…As America now knows, those stories about Diet Pepsi were a hoax. Plain and simple, not true.” Blame ended up getting placed not on PepsiCo but on the news sources for helping to spread the rumors and creating the paranoia.
For a couple months following the can tampering crisis, PepsiCo ran ads such as the full page, “Pepsi is pleased to announce…nothing.” Also, on the fourth of July, Pepsi put out ads for their products along with coupons saying, “Thanks, America.” Ultimately, the crisis cost PepsiCo about $35 million due to lost sales and coupon distribution.
I think that the PR crisis communications team for PepsiCo handled the crisis very well. They acted immediately and appointed their CEO as the spokesperson to deal with the media, a strong tactic. They did not hide anything from the public nor did they go right out and accept blame when they didn’t have enough information. The incorporation of new media by using video news releases was a great tactic in reaching the large public. Also, the company had great follow up with their advertisements and giving out coupons to thank the consumers.
http://www.roadsideamerica.com/rant/pepsipanic.html
Monday, March 31, 2008
Investor Relations
PepsiCo's annual report is more of a slick marketing piece rather than an economical piece. Aside from providing all the pertinent information for their investors, the annual report is visually appealing as it is full of colorful pictures of PepsiCo products and graphs of the company's progress. The report features a letter to the shareholders, detailing the company's story, recent successes, as well as a picture of the CEO Indra Nooyi, a woman interestingly enough. The goal is clearly not simple compliance but PepsiCo fully taking advantage of the opportunity to push their company and possibly attract more investors.
http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-reportsannual
As previously mentioned, the letter to shareholders appears in the company's annual report. The messages delivered in the letter are very positive--constantly highlighting the company's accomplishments and honors. The letter emphasizes PepsiCo's work to support the company's future growth which should make shareholders feel comfortable in their investment. The tone of the letter is extremely goal oriented and informative. It comes across credible in context but at the same time it is not like a company to feature its set backs or mistakes therefore the whole story may not be there. The idea of the letter is not to turn investors away but to keep them and attract more.
The latest news release on PepsiCo's earnings, I would say, is not very reader friendly and definitely written in technical language. CEO Indra Nooyi is quoted as saying, "Our strong top and bottom line results in 2007 once again demonstrated the balance and strength of our global portfolio. All of our segments posted solid results for the year." The statement is positive but vague, almost unbelievable because of the fact that it is so vague. It would instill confidence in investors because it does make PepsiCo appear strong as a company, but it is not enthralling enough to lure more investors in. I would have the CEO pinpoint a specific achievement that the company had been trying for in the last news release.
http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-financial_releases
http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-reportsannual
As previously mentioned, the letter to shareholders appears in the company's annual report. The messages delivered in the letter are very positive--constantly highlighting the company's accomplishments and honors. The letter emphasizes PepsiCo's work to support the company's future growth which should make shareholders feel comfortable in their investment. The tone of the letter is extremely goal oriented and informative. It comes across credible in context but at the same time it is not like a company to feature its set backs or mistakes therefore the whole story may not be there. The idea of the letter is not to turn investors away but to keep them and attract more.
The latest news release on PepsiCo's earnings, I would say, is not very reader friendly and definitely written in technical language. CEO Indra Nooyi is quoted as saying, "Our strong top and bottom line results in 2007 once again demonstrated the balance and strength of our global portfolio. All of our segments posted solid results for the year." The statement is positive but vague, almost unbelievable because of the fact that it is so vague. It would instill confidence in investors because it does make PepsiCo appear strong as a company, but it is not enthralling enough to lure more investors in. I would have the CEO pinpoint a specific achievement that the company had been trying for in the last news release.
http://phx.corporate-ir.net/phoenix.zhtml?c=78265&p=irol-financial_releases
Thursday, March 20, 2008
Community Relations
To show support for the communtiy, PepsiCo participates in health and wellness conferences, events, and volunteer opportunities to increase the awareness of their commitment to health and wellness in ethnic communities. The company has formed partnerships with community based organizations such as The National Council of La Raza, The National Urban League, and American on the Move, all to promote active lifestyles.
PepsiCo puts a heavy emphasis on the inclusion of diversity. The company strives to promote awareness of recruiting diverse associates and also attends national recruiting conferences. PepsiCo supports the events of organizations such as the U.S. Pan Asian Chamber of Commerce, National Minority Supplier Development Council, U.S. Hispanic Chamber of Commerce, and Women Minority Business Enterprise.
Diversity seems to be the company's main focus within community relations. PepsiCo has donated large sums of money to the National Urban League ($100,000), United Negro College Fund ($150,000), University of Maryland College Park ($150,000), Enterprising Peepul Project ($330,000), and many more.
The company's mission statement mentions their desire to provide "opportunities for growth and enrichment" to the "communities in which we operate" as well as incorporating "honesty, fairness, and integrity." Through the large monetary donations that PepsiCo gives away, especially to the minority organizations, the company is allowing for more opportunities of growth for those people. They are helping in giving fair opportunities to those who deserve it.
PepsiCo says it promotes employee involvement in events however the company itself should host their own events. There would be more employee involvement and it would portray the company as really caring about the causes instead of simply writing out checks to the organizations.
http://www.pepsico.com/
PepsiCo puts a heavy emphasis on the inclusion of diversity. The company strives to promote awareness of recruiting diverse associates and also attends national recruiting conferences. PepsiCo supports the events of organizations such as the U.S. Pan Asian Chamber of Commerce, National Minority Supplier Development Council, U.S. Hispanic Chamber of Commerce, and Women Minority Business Enterprise.
Diversity seems to be the company's main focus within community relations. PepsiCo has donated large sums of money to the National Urban League ($100,000), United Negro College Fund ($150,000), University of Maryland College Park ($150,000), Enterprising Peepul Project ($330,000), and many more.
The company's mission statement mentions their desire to provide "opportunities for growth and enrichment" to the "communities in which we operate" as well as incorporating "honesty, fairness, and integrity." Through the large monetary donations that PepsiCo gives away, especially to the minority organizations, the company is allowing for more opportunities of growth for those people. They are helping in giving fair opportunities to those who deserve it.
PepsiCo says it promotes employee involvement in events however the company itself should host their own events. There would be more employee involvement and it would portray the company as really caring about the causes instead of simply writing out checks to the organizations.
http://www.pepsico.com/
Wednesday, February 20, 2008
Media Relations
On Super Bowl Sunday, PepsiCo released an advertisement featuring model Naomi Campbell dancing and a group of lizards dancing to Michael Jackson's "Thriller." This was to announce their new product Thrillicious SoBe Life Water. The Super Bowl ad was the first step in the product launch, with great success. According to PepsiCo's news release, it received high rankings from USA Today, AOL, and TiVo as part of the best Super Bowl commercial list.
Thrillicious SoBe Life Water is PepsiCo's all new line of SoBe Life Water that are designed to enhance, energize, and the are available in five low calorie flavors (Blackberry Grape, Pomegranate Cherry, Orange Tangerine, Strawberry Kiwi, and Passionfruit Citrus). The name Thrillicious actually is derived from Jackson's song "Thriller" because the Super Bowl was also the night of the album's 25th anniversary. PepsiCo also advertised during the Grammy Awards with more links between the product and the music.
I think that from a PR aspect PepsiCo has done a good job getting their product information out to consumers in a positive aspect. First off, choosing to air their commerical for the first time during the Super Bowl was smart because millions of people are watching that program and paying attention to the commericals. Secondly, linking their product to Michael Jackson's classic song, "Thriller" was good synergy and made it interesting to viewers so that it made a lasting impression. Not only Michael Jackson, but also using celebrity model Naomi Campbell was a good idea because people will link their interest in her to the new beverage.
There is more information on the new product launch on PepsiCo's website under their press releases category. The press release itself appears catchy and interesting, definitely worthy of printing therefore I think the PR professionals did a good job with that as well.
Maybe to make it better I would have also made the link between Thrillicious SoBe Life Water and the 25th anniversary of "Thriller" more obvious to viewers or readers. It is a very interesting concept that most might be unaware of.
http://www.pepsico.com/
Thrillicious SoBe Life Water is PepsiCo's all new line of SoBe Life Water that are designed to enhance, energize, and the are available in five low calorie flavors (Blackberry Grape, Pomegranate Cherry, Orange Tangerine, Strawberry Kiwi, and Passionfruit Citrus). The name Thrillicious actually is derived from Jackson's song "Thriller" because the Super Bowl was also the night of the album's 25th anniversary. PepsiCo also advertised during the Grammy Awards with more links between the product and the music.
I think that from a PR aspect PepsiCo has done a good job getting their product information out to consumers in a positive aspect. First off, choosing to air their commerical for the first time during the Super Bowl was smart because millions of people are watching that program and paying attention to the commericals. Secondly, linking their product to Michael Jackson's classic song, "Thriller" was good synergy and made it interesting to viewers so that it made a lasting impression. Not only Michael Jackson, but also using celebrity model Naomi Campbell was a good idea because people will link their interest in her to the new beverage.
There is more information on the new product launch on PepsiCo's website under their press releases category. The press release itself appears catchy and interesting, definitely worthy of printing therefore I think the PR professionals did a good job with that as well.
Maybe to make it better I would have also made the link between Thrillicious SoBe Life Water and the 25th anniversary of "Thriller" more obvious to viewers or readers. It is a very interesting concept that most might be unaware of.
http://www.pepsico.com/
Friday, February 8, 2008
New Media
PepsiCo features a couple new media techniques on their company website. The main image on the page is of two globes, one of which is in constant rotation. This image represents the companies global status and its efforts to show "performance with a purpose."
Towards the top of the page there is a consistent updated scroll of the PepsiCo stock information. Stock and shareholders are able to access the PepsiCo site and view the changes, highs, lows, and the volume of their company stock. This is a good item to include on their page because it allows easier access for stockholders to track their investments. It shows the PepsiCo values their investors.
Each of the menu items at the top of the page are all mouseover drop lists. It allows visitors to the site to narrow down exactly what they are looking for without being misdirected. It does not include skyscrapers ads or roadblocks which I think is a positive aspect to the website. Sometimes news media such as those can be distracting to the content of the website.
If I were the PR person for PepsiCo, I would incorporate more interactive material on their website. I would make the website seem fun and interesting so that if people came across it then they would want to spend some time on it.
From my experience blogging for this class, I can understand the importance of including it on company websites. If customers and shareholders felt as if the company desired their opinions through blogs it would put the company in a positive light. Virtual tours, pod casting, more flash media, and RSS feeds would also definitely enhance PepsiCo's page.
To visit PepsiCo's website please refer to the link on the right side of the page under "Featured Links."
http://www.pepsico.com/
Towards the top of the page there is a consistent updated scroll of the PepsiCo stock information. Stock and shareholders are able to access the PepsiCo site and view the changes, highs, lows, and the volume of their company stock. This is a good item to include on their page because it allows easier access for stockholders to track their investments. It shows the PepsiCo values their investors.
Each of the menu items at the top of the page are all mouseover drop lists. It allows visitors to the site to narrow down exactly what they are looking for without being misdirected. It does not include skyscrapers ads or roadblocks which I think is a positive aspect to the website. Sometimes news media such as those can be distracting to the content of the website.
If I were the PR person for PepsiCo, I would incorporate more interactive material on their website. I would make the website seem fun and interesting so that if people came across it then they would want to spend some time on it.
From my experience blogging for this class, I can understand the importance of including it on company websites. If customers and shareholders felt as if the company desired their opinions through blogs it would put the company in a positive light. Virtual tours, pod casting, more flash media, and RSS feeds would also definitely enhance PepsiCo's page.
To visit PepsiCo's website please refer to the link on the right side of the page under "Featured Links."
http://www.pepsico.com/
Friday, February 1, 2008
Introduction to PepsiCo
PepsiCo serves 200 countries and is a world leader in providing food and beverage products. Its brands consist of Frito-Lay North America, PepsiCo Beverages North America, PepsiCo International and Quaker Foods North America. Some of PepsiCo's brands are over 100 years old, however the company was only founded in 1965 when Pepsi-Cola merged with Frito-Lay. PepsiCo then attained Tropicana and Gatorade when they merged with the Quaker Oats Company. The combined retail sales average about $92 billion. The company is focused on being the premier producer in supplying the world with convienient foods. They offer a wide variety a food options as well, including healthy options.
PepsiCo stands out as a company because of its sustainable advantage. It includes widely known brands, innovative products, and powerful market skills. The company also tries to benefit the community. To make themselves a sustainable company, they have put a focus on the environment and benefiting society with their business. Recently, PepsiCo released information of their plan to drive sustainable water practices and improve rural water in Africa, China, India, and Brazil.
Public Relations people have great opportunities to improve the company's reputation because of the size and financial stability of the company. PepsiCo is extremely well known in the world as a leading source of food and beverage products with immense revenue. The challenge for the Public Relations people is that if something negative were to effect PepsiCo it would put a damper on all of the products that the company makes. Therefore, the PR people would have a lot of crisis management in their hands.
http://www.pepsico.com/
PepsiCo stands out as a company because of its sustainable advantage. It includes widely known brands, innovative products, and powerful market skills. The company also tries to benefit the community. To make themselves a sustainable company, they have put a focus on the environment and benefiting society with their business. Recently, PepsiCo released information of their plan to drive sustainable water practices and improve rural water in Africa, China, India, and Brazil.
Public Relations people have great opportunities to improve the company's reputation because of the size and financial stability of the company. PepsiCo is extremely well known in the world as a leading source of food and beverage products with immense revenue. The challenge for the Public Relations people is that if something negative were to effect PepsiCo it would put a damper on all of the products that the company makes. Therefore, the PR people would have a lot of crisis management in their hands.
http://www.pepsico.com/
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