Pepsi, Coca-Cola and Lucozade are all carbonated soft drinks which are categorised as goods. Each individual products goes through a process of segmentation, targeting and positioning in relation to the aimed consumer. The segmentation identifies the characteristic of each product and the consumer needs in order to determined the segment. The targeting then addresses the appropriate product to the particular segment identified. Finally, the product positioning heightens what is on offer to the individual segment and here a marketing mix for the segment is developed (Hanlon, 2018). With all of these products the consumer’s lifestyle is a main characteristic. Segmenting each of these products can be done by following simple methodology as below.
(Claessens, 2016).
Pepsi and Coca-Cola have similar segmentation criteria as they tend to be targeted towards the same markets with them being main competitors and both being consumed at dinner parties, social events and family functions. The two companies aim to benefit the customer by offering an enjoyable refreshment. Their targeting however can appear to differ as Pepsi target their advertisements towards the youth market segment of 14-35 year olds (Chawla, 2014). When comparing this to Coca-Cola they do not appear to have a specific target market with the product being focused more to all ages. Coca Cola do however have very strict values on targeting any consumer with marketing under the age of 12. They don’t place advertisements in any media in which 35% or above of the audience is under 12 (Coca-Cola, 2016). Both companies use a core product and adapt it in reference to local preferences to try and achieve global awareness. Pepsi have especially captured this with the introduction of the Pepsi Spire; a digital drink fountain which lets consumers create drinks by choosing a base and adding flavor shots. This machine then collects data on the most popular combinations geographically (PepsiCo, 2019). By using strategic positioning, they both have a reputable worldwide image.
Lucozades segmentation is the sports demographic. As a product it is consumed to benefit the customer energy levels in situations such as training, sporting events or competitions. The typical Lucozade consumer is active and requires additional energy to achieve their specific goal. This is a fairly niche market and Lucozade have been trying to reposition their product to a wider target market. They are advertising the product to the everyday hard worker who needs that extra energy as opposed to a sports person. This strategy is evident in their 2015 advertisement below.
Soft Drink Marketing 