Mountain Dew Essay Example | Topics and Well Written Essays - 2000 words

Mountain Dew - Essay vitrineIt has gained the position of No. 1 competitor of Coke, which stands for kinship and a brand that nation cares for. Come yr 2000 and Pepsi Co, along with BBDO, its advertising agency for decades are facing a challenge to change it advertising outline to suit the market needs. Close rivals in CSD and non CSD segment are increasing their advertising bumdgets, which Pepsi Co. is reluctant to. perfect sports and alternative sports have been over used and left with less fizz to be continued as an advertising strategy. The decision becomes even more crucial in light of decreasing sales of Pepsi and sustenance Pepsi, partly due to increase in prices of 5% across market segment and partly due to the increasing awareness of the consumer base of what marketing strategies are and why brands are popular. On the other side, useable drinks market is fast picking up with brands ilk Redbull creating a niche for itself. The board of senior members of Pepsi Co and BBDO are brooding over the decision of selecting and producing adverts which will convey that idea of Mountain Dew standing for an thrill experience without overexposing extreme sports. riseBefore analyzing the situation in deep it is important to keep in mind what Mountain dew as a brand and as a product stands for. Following is the SWOT for Mountain Dew which will be considered while making the final decisions StrengthsMountain Dew is a product offered by Pepsi Co., a company with very strong market presence and very high brand honourBrand can be identified with terms like advernturous, exciting ,cool, Daring, dauntless due to which it has a niche in the market segment of 18 29 year olds... s The teen KPIs are encouraging & an opportunity to create a better brand awareness exists Its a product in flavored drink segment which is growing unlike the CSD cola market Threats opposite companies have used the Extreme sports as a communication medium and increasing their budgets fo r advertising and communication Introduction of functional and non CSD drinks which todays consumer is drifting to provide its health benefits and current ethos Other assume cat flavored drinks More stress on the managerial judgment for selecting the best communication strategy instead than relying on hard data. Though it has worked in part, this decision might or might not make it to desired results and is risky. Issues 1) Eight years of puzzle outing the theme of Extreme sports has left it with no juice. Other companies have started to exploit it, even those who are not in the beverages industry like GE, Mars and FedEX. Mountain due is as well as in need of broadening its consumer base from 18 - 29 years olds to overlap with 20 39 year olds. It needs a more generic appeal and hence use of extreme sports is alleged(prenominal) 2) Pepsi Co. since ages have believed in keeping the content right rather than flooding the media with its ads. They believe in blue of content rathe r than volume. This means Mountain Dew has a limited budget to spend on its media communication theory as compared to nearest competitors who are ramping up their spends on the same. 3) When Mountain Dew was bought in 1964 by Pepsi Co. it had its own niche of flavored soft drink. Today not only has it lost its niche, but also is facing competition from non CSD drinks like Getorage and functional highly caffeinated and sugary drinks like Redbull. It is hence crucial to take this brand to a neighboring level by broadening the target market