Pepsi is one of the leading soda beverage brands with a huge customer base that sells its
products in more than 200 countries. Coca Cola is its only major rival. Pepsi has a global sales
and distribution network. Its large product portfolio consists of various flavors, and this makes it
the favorite of billions around the globe. This paper discusses the three leverages that give Pepsi
a competitive advantage against its competitors:
Brand Equity
Pepsi has a strong image and a huge customer base, and hence brand equity is one of its
major strengths. This leverage does not only help Pepsi in marketing its products but also helps
in retaining its customers. Trust and Equity are important factors that are key to strengthening a
brand image in the market (Keller & Brexendorf, 2019). Therefore, the company is investing in
efforts that help it build a better brand image and create a higher level of equity as well as
loyalty. The company is also investing in sustainability and working to reduce its environmental
footmark.
Pricing Strategy
The company’s pricing strategy is also a major strength. Since Pepsi has priced its
products affordably, it has been able to achieve higher sales and revenue as well as popularity.
This strategy has helped it reach a large customer base throughout the globe (Kienzler &
Kowalkowski, 2017). The company’s strategy of making its products available in all corners of
the world in various packs and sizes that suit customer’s varying needs is a major strength
against its rivals.
Global Presence
Pepsi has a huge network of suppliers and distributors, which has helped it maintain its
global presence. It sells across more than 200 countries; hence it is a global brand (Levine,
MARKETING 3
2017). Independent distributors and retailers have been key factors to helping the company to
reach every corner of the globe. This leverage is a significant strength that helps Pepsi survive
against its competitors.
Conclusion
Pepsi has grown into a renowned soda beverages company with its leading rival being
Coca Cola. The company’s several sources of competitive advantage it has employed have
helped it achieve an edge and made it the leading marketer and employer. It enjoys a large and
loyal base of customers all around the globe. These strengths have hugely helped the brand
become the leading soda brand
References
Keller, K. L., & Brexendorf, T. O. (2019). Measuring brand equity. In Handbuch
Markenführung (pp. 1409-1439). Springer Gabler, Wiesbaden.
Kienzler, M. & Kowalkowski, C. (2017). Pricing strategy: A review of 22 years of marketing
research. Journal of Business Research, 78, 101-110.
Levine, W. N. (2017). JAAOS: A Global Presence.
MARKETING