The Pepsi Refresh Project: A Thirst For Change.
In 2010, for the first time in 23 years, PepsiCo did not invest in Superbowl advertising for its iconic brand. Instead, the company diverted this $20 million to the social media-fueled Pepsi Refresh Project: PepsiCo's innovative cause-marketing program in which consumers submitted ideas for grants for health, environmental, social, educational, and cultural causes. Consumers voted for their favorite ideas, and PepsiCo funded the winners with grants ranging from $5,000 to $250,000. The case highlights the benefits and risks of traditional branding and social media branding, including a discussion of how the Pepsi Refresh Project fits with Pepsi's previous brand positioning. The case discussion focuses on how the brand team should evaluate the initiative's return on investment (from sales to social media engagement), whether they should continue the initiative for 2011, and whether Pepsi is the right brand for this kind of initiative.
The Pepsi Refresh Project case shows how a social mission branding strategy using social/digital/mobile/video media can build brand meaning, and connect the target audience to the brand, by using dialogues with consumers at various levels. Essentially, Pepsi decided to "open up" their brand using consumer involvement through social/digital/mobile/video marketing media while decreasing their spending in traditional media. Answer all of the questions and be sure to include insight on the Technographics Ladder provided for question #2.
1. Overall, was the Pepsi Refresh Project a right fit for the trademark Pepsi brands, and in your opinion, did it build or detract from their brand equity?
2. Based on Pepsi's target audience selection for social media, describe the brand fan category and social Technographics profile (noted below in graphic) used for this project? What groups did the Pepsi Refresh Project attract and learn about from their Refresh campaign?
3. Did the Pepsi Refresh Project's social mission change consumer behavior in the soda category with Pepsi's existing and prospective customers?
4. Is Pepsi the right brand for a cause marketing program like the Pepsi Refresh Project? Why or Why not?