Streamlining the Process for a Marketing Giant

PepsiCo is one of the largest foods and beverage producers of many of the world’s most iconic and loved brands like Pepsi, Gatorade and Mountain Dew.

PepsiCo Latin America sells beverages, foods and snacks all over the region; having more than 70,000 employees in 34 countries and produces more than $7.2 million in sales. In Latin America, their portfolio includes important brands such as Quaker, Lays, Gatorade, 7Up, Tropicana, Doritos, Cheetos, SoBe, Ruffles, Mafer and Mirinda.

PepsiCo has always been a Marketing driven company, having continuously produced best in class marketing efforts over time.

Valtech’s relation with PepsiCo started back in 2015, a time in which PepsiCo was operating in a very competitive market with consumers adopting digital platforms rapidly. So, for PepsiCo, it was important to really connect with their consumers and also to evolve internally in order to be ahead in this continuously changing environment.

Before Valtech’s involvement, the brands were marketed in a more traditional, not very interactive way. As customer expectations continued to shift with the changing times, this method was proven to not be in keeping with best practices.

After an assessment in which all digital assets, internal and external organizational structure, capabilities and daily operation were analysed, Valtech helped PepsiCo establish a Digital Transformation strategy for marketing their beverage brands. This transformation involved enabling consumer engagement through new brand strategies for digital communications, the creation of new internal capabilities and change of operating model, as well as a heavy focus in optimization of marketing ROI.

Valtech redefined digital brand strategies, including insights generation, brand essence, business goals, communication, digital assets, media and Key Performance Indicators.

This also required the creation and operation of the Consumer Engagement department, with a new internal and external way of working definition, in terms of structure, roles and responsibilities, processes, recruitment, provider management and execution.

But not only a new structure was needed. In order to improve continuously, Valtech helped with developing new capabilities and managing the internal cultural change.

In order to speed up the creation of digital capabilities, we established a digital HUB, consisting of a multi-functional team of 20 people that execute creativity, campaigns, community management and all digital efforts for the main brands.

PepsiCo Latam achieved outstanding results, including:

• Increase of market participation for four consecutive years
• Becoming a global point of reference in PepsiCo
• Reduction of 35% on operating costs
• ROI optimization up to a 1,200%
• 600% optimization in ROI regarding content creation
• 35% decrease in agency fees
• Media buying ROI increased up to 35%
• Improved communication processes

Currently, PepsiCo has a better understanding of their consumers. This enables a better communication with them and also by counting on a specialized internal team that successfully meets all the brands’ operating requirements.