Reference no: EM133287653

Case: Pepsi Kick

Pepsi-Cola Jamaica Bottling Company are launching the new Pepsi Kick in Jamaica, a refreshing cola with a kick of ginseng and caffeine. PepsiCo is spending more than a billion dollars on a new line for a product that will hit retail shelves by year end, adding Jamaica to a limited number of markets for the largely unknown drink. Pepsi Kick comes to complement Pepsi's portfolio in Jamaica, taking into account the local consumers preferences for the unique ginseng flavor.

Pepsi Kick was developed as an alternative for people who want a beverage that provides an extra boost through caffeine and ginseng while still maintaining the classic Pepsi taste that they have come to love. The beverage's introduction to the Jamaican market follows several years of successful sales in Mexico and Europe, where its unique formula made it an instant classic. "We are thrilled to offer our consumers an energizing option for times when they need to have all senses awake to win the day. The inclusion of ginseng and the boost of caffeine makes for a Pepsi that provides a refreshing wake-up call", said Mario Acevedo, Marketing Manager Pepsi Cola Jamaica.

With added caffeine and ginseng, Pepsi Kick sounds like an energy drink, but the company says it's not aimed at that market segment, nor do its ingredients fit the profile. "We're not really positioning this drink as an energy drink. we are positioning this drink as a boost to your day," Brand Manager for Carbonated Beverages at Pepsi Jamaica, Elizabeth Allen told the Financial Gleaner. "Pepsi Kick has caffeine and ginseng while the energy drinks have other additives such as taurene, guarana, and so on," she said. Kick has zero sugar and zero calories and uses the artificial sweetener aspartame.

"By this introduction, we want to expand the cola market even more by getting in a whole new flavour or even a whole new genre of cola drinks," said Allen, who says that Pepsi Jamaica controls about 80 per cent of the local market for colas. Pepsi Kick will be bottled at the company's Kingston, Jamaica plant. The beverage maker will also be introducing other soft drinks with an eye on the opportunities arising from the government's campaign to reduce the amount of sugar that Jamaicans consume.

"We have two other innovations coming up that we think will do very well. They will be in the 'zero calories zero sugar' category as well. We understand that people are becoming more health conscious, and with sugar regulations coming in place, we are adjusting to the market," said Allen.

Case Questions

As Brand Manager for Carbonated Beverages at Pepsi Jamaica, you are responsible for leading the planning and execution of an IMC campaign to launch Pepsi Kick in Jamaica. Using this case as a background:

Write three (3) marketing communications objectives for this campaign.

Develop a positioning statement for the campaign.

Propose an appropriate marketing communications mix for achieving the campaign objectives you have outlined in (a) above. Explain how the Marketing Manager should use these tools and why they are most appropriate for this campaign