You may suppose boosting model consciousness wouldn’t be a serious concern for PespiCo, one of many largest meals and beverage manufacturers on the earth.
However you’d be mistaken.
Model consciousness is prime of thoughts for PepsiCo’s senior director of media technique and funding Katie Haniffy. And PepsiCo is targeted on adjusting its model consciousness campaigns in response to shifting shopper conduct, in addition to pivoting to maintain up with the newest evolutions in advert tech.
“We’ve been on a journey for the final couple of years to ensure that, as shopper conduct has gotten extra digital and linear TV has decreased in a number of rankings, we’re persevering with to attach with our customers,” she stated. “So our technique has been together with extra digital than ever.”
As a result of PespiCo’s priorities have shifted extra towards reaching customers on streaming providers and video-heavy social media platforms like TikTok and Snapchat, video stays an vital automobile for the corporate’s model consciousness campaigns.
“Video is a giant a part of what we do within the digital area and on social,” Haniffy stated. “Whereas we now have groups that drive lower-funnel ecommerce enterprise, I concentrate on model constructing and shopper relevancy, which often is available in video format. So we’re very video heavy in our digital technique.”
Open-web programmatic and direct
Self-service DSPs play a serious position in PepsiCo’s open-web programmatic technique for social media and different platforms. For years, the corporate has relied on its company accomplice OMD to handle campaigns by means of self-service advert platforms. And PepsiCo’s YouTube promoting is essentially performed by means of Google’s Show & Video 360 marketing campaign administration platform.
However direct advert buys and programmatic direct are additionally a serious element of PepsiCo’s technique. For direct offers, PepsiCo works with holding firms which have entry to a spread of writer stock, and the corporate has pursued direct writer partnerships with large names like Spotify, Billboard, Advanced, Pop Sugar and BuzzFeed. Direct partnerships are additionally key to PepsiCo’s advertising efforts within the gaming channel.
“After we do direct partnerships, we need to be certain they’re extra sturdy or 360,” Haniffy stated. “For instance, we’ve finished stuff with Spotify or Billboard that’s actually embedded in music tradition and has a reside occasion activation and a streaming element.”
Balancing linear TV and different channels
Though customers have shifted away from linear TV, PepsiCo needs to have a presence on all platforms. Due to this fact, linear TV continues to be a useful a part of PepsiCo’s total media combine, at the same time as channels like CTV, social and video video games change into extra vital for reaching customers.
“Pepsi has been identified for its partnership with the NFL, and we need to be certain we’re a part of cultural moments like reside sporting occasions,” Haniffy stated. “However we additionally need to be on streaming gadgets. It’s a balancing act to ensure we’re not over investing in a single or the opposite.”
Nevertheless, whereas some advertisers have decreased their spending on linear TV amid modifications to shopper conduct and fears of an impending recession, PepsiCo is retaining its spending plans near the vest.
“Proper now, we’re not able to touch upon our promoting and advertising funding for the long run,” she stated when requested if PepsiCo is contemplating pulling again on its TV advert spend. “However, sure, everybody within the firm is making an attempt to grasp shopper conduct and pricing commodities price to ensure we are able to steadiness our spending and nonetheless achieve success shifting ahead. However we’re not there but in saying whether or not or not [the recession] would affect our spending.”
Measurement and knowledge
Information is king in digital advertising, and PepsiCo is reinventing itself to change into extra data-focused in its media planning and measurement.
“We’re going to be utilizing extra knowledge to tell our linear technique,” Haniffy stated. “We have gotten extra audience-first, virtually behaving like a digital firm. Self-service, real-time knowledge and with the ability to optimize our buys throughout platforms are issues we’re simply beginning the journey on.”
By way of measurement, PepsiCo retains an eye fixed on model raise, model affiliation and even model love, which seems at how manufacturers construct emotional attachments with clients. The corporate works with a wide range of measurement companions, together with Nielsen, Oracle Moat, Catalina and ComScore. It has additionally labored with consideration measurement firm Eyespot and CTV measurement firm Samba TV.
“It relies upon who the writer or the platform has a relationship with, however we work with just about all of them,” she stated. “We’re making an attempt to take a pulse on everyone’s providing, so we are able to determine the easiest way to do measurement. Finally, the supply of reality for us is our in-house combine modeling device, the ROI Engine, that brings all of it collectively.”
Forex and cookie alternate options
With regards to the choice foreign money wars raging within the CTV and linear TV markets, PepsiCo is agnostic.
“We’re going to check and be taught throughout the board,” Haniffy stated. “On the finish of the day, if our campaigns are driving enterprise and we are able to measure ROI, I’m unsure it actually issues what the foreign money is, so long as I can present proof of efficiency.”
And regardless of Google kicking the can on third-party cookie deprecation, PepsiCo continues to be all in on constructing out its first-party knowledge capabilities.
“We’ve been getting ready for [third-party cookie deprecation] by buying first-party knowledge and activating towards it, and we’re going to try this no matter what Google does,” she stated. “So the delay offers us just a little bit extra time, and that’s nice. However we’d like to have the ability to personal our personal knowledge and use it so we are able to make smarter selections and buys throughout the board, and never be so reliant on different firms. For us, the precedence is to personal our personal knowledge versus shopping for it from sellers.”
Nevertheless, as a result of PepsiCo is a consumer-packaged items firm and never a direct-to-consumer (DTC) firm, it’s nonetheless within the early phases of constructing out its first-party knowledge operations.
“Most packaged-goods firms are in all probability in the identical boat we’re, the place we don’t personal shopper knowledge as a result of we don’t personal the acquisition of the product,” Haniffy stated. “We’ve got inside capabilities the place we mix third-, first- and second-party knowledge, and we now have been utilizing a mix of third-party and first-party knowledge to tell our media shopping for. However we’re making a much bigger push to amass extra first-party knowledge by means of DTC methods like shopper sweepstakes.”
PepsiCo can be creating a unified buyer relationship administration (CRM) technique that may embody all of its manufacturers and permit cross-promotion, slightly than every model having its personal siloed method to CRM.
And PepsiCo can be working with buyer acquisition and retention platforms like Fetch Rewards, which affords reward playing cards and money again in alternate for buy receipts, to collect extra behavioral and demographic knowledge on its clients.
