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Who are the main competitors of Pepsico

Who are the competitors of Pepsico?

One of the biggest soda beverages brands and arch rival of Coca Cola, Pepsico was formed after the merger of Pepsi and Frito lay in 1965. The brand has seen growth in organic revenue in 2017. It has 20 billion dollar brands in its product portfolio. US it its largest market where it is engaged in intense competition with Coca Cola. Its Net revenue in 2017 was 63.5 Billion Dollars and Gross Profit 28.8 Billion dollars. Pepsi sells in more than 200 countries and has managed an extensive sales and distribution network globally. Apart from soda beverages, the brand also sells snacks, juice drinks, energy drinks and bottled water.

Pepsi Important Stats 2017:

1. Net Revenue: 63.52 Billion US dollars
2. gross Profit: 28.78 Billion US dollars
3. Number of Employees – 263000 (113000 in US)
4. Marketing Budget – 4.1 Billion US dollars

Major competitors of Pepsico: –

1. Coca Cola
2. Dr Pepper Snapple
3. Red Bull
4. Nestle
5. Parle

  1. Coca Cola: Coca Cola is one of the leading soda beverages company of the world with a very large product portfolio made up of more than 500 sparkling and still brands. The brightest stars in its portfolio are the 21 Billion dollar brands, each of which generates 1 billion USD or more in revenue. Apart from soda beverages in various flavours, the brand also sells energy drinks, bottled water, juices and low calorie soda drinks. Coca Cola is sold in more than 200 countries and is also known for great marketing capabilities apart from high level of popularity. It is the biggest and most formidable competitor of Pepsico. The two brands compete across several product categories including soda beverages, health and energy drinks as well as bottled water and juices. Their rivalry has come to be termed as the Cola wars.
  2. Red Bull – Red Bull despite its limited product portfolio is a major competitor for the energy drink products of Pepsico. It is a famous brand that sells across 171 countries and is now focusing on core markets of western Europe and USA for farther growth. In 2017 the brand sold more than 6.3 Billion cans and its turnover reached 6.282 Billion Euros. Red Bull saw its sales booming in 2017 in five major markets including Turkey, India, Netherlands, Northern Europe and United Kingdom. This has led to better financial figures including operating profit and revenues for Red Bull in 2017. Red Bull is the toughest competitor for the energy drinks by Pepsico including Gatorade.
  3. Dr Pepper Snapple – Pepper Snapple has a portfolio of more than 50 refreshing brands. These brands include carbonated soft drinks, juices, teas, mixers, waters and other beverages. The brand is a major competitor for Pepsico in the US market. Its 2017 revenue was 6.4 billion dollars of which 90% was earned from the US market. Dr Pepper Snapple has made a series of strategic acquisitions over the last three decades to grow its business and customer base.
  4. Nestle – While Nestle is not a direct competitor of Pepsi, still it competes with the brand across some specific product categories like bottled water. Its Nestle Pure life and Poland Spring are two bottled water brands that are quite popular and major competitors for Pepsico’s Aquafina.
    Parle – Parle is an Indian brand and competes with Coca Cola across some specific product categories that include bottled water and juices. Parle’s Frooty, Appy and Bailey are major competitors of Coca Cola’s Miranda, tropicana and other juice products as well as juice drinks and bottled water Aquafina in the Indian market.                                                                                                                                         Sources: