Company
PepsiCo
TL;DR
American multinational food, snack, and beverage corporation.
American multinational food, snack, and beverage corporation. Case study demonstrating challenger satellite strategy against Coca-Cola's entrenched fountain territory. Unable to match Coca-Cola's relationship depth everywhere, Pepsi targeted specific niches: pizza chains (sweeter soda pairing), younger-skewing fast food (Taco Bell, KFC), and regional chains where Coke relationships were weaker.
The Pepsi Challenge (1975-1983) represented mobile intrusions into Coke territory through blind taste tests, forcing defensive responses. By 1990, Pepsi captured 31% of fountain accounts including Pizza Hut, Domino's, Taco Bell, KFC, and Subway.