Healthy Pepsi Proposed Change Model

SWOT Highlights

  • Core competencies: brand recognition, product diversification
  • Critical Success Factors: research & development, diversified brand portfolio & adaptability to consumer trends and preferences
  • Weaknesses/Threats: healthy conscious consumers, unhealthy perception of product portfolio, decreased sales
  • Need to improve: product positioning, product development, and adaptability to consumer trends & preferences (healthier options)
  • Current Solutions: Healthy campaigns-"Better Together," "Power of One" and "Hello Goodness" vending machines, production development - reducing sugar & saturated fats in existing product mix
  • Organizational Goals: cost minimization, market penetration (increase top-line), increasing leverage, better the environment

Good-For-You Portfolio

Tropicana, Gatorade, Quaker, Naked, Pepsi Kickstart, Propel

Breakfast bars, rice snacks, nutrition bars, energy drinks, bottled water, coconut water, etc.

Diet Pepsi, "Skinny Can" Pepsi, Pepsi True, etc.

Proposed Change

Our proposed change would be to introduce the "Good-For-You" Portfolio through Pepsi's current "Better Together" campaign (brand exposure and product positioning)

Kotter Change Model

1. Create: Problem - Decreased sales & health concerns/recalls, Solution - promote line of healthier production and cost minimization

2. Build: Develop team with emotional committment, focused on better health, economic budgeting, communicating with health experts, and team building

3. Form: Change values- ingredients, price decrease, and increase in sales; "Better Together" campaign

4. Enlist: Maximize team communication and establish unified goals

5. Enable: Identify change leaders, evaluate organizational structure, and build team to make necessary changes

6. Generate: Short-term goal setting- marketing "Good-For-You" Portfolio, 5% increase in sales (Year 1), promotion of 'Hello Goodness" vending machines

7. Sustain: Analyze "Better Together" campaign and modify to improve and set new goals

8. Institute: Leveraging market segmentation and modifying current strategy- tap into new markets other than breakfast, health conscious, young adults, etc.


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