Coca Cola and Pepsi are the two most prominent that come to mind when we talk about non-alcoholic beverages or carbonated soft drinks. But did you know that Pepsi, the second largest market leader in the global soft-drink industry, started out as a homemade concoction made by pharmacist who sold it at his smalltime drugstore in New Bern, a sleepy little town in California, United States?
Let us delve into the humble beginnings of Pepsi and its phenomenal rise to become a global leader in the Fast-Moving Consumer Goods (FMCG) market in over 200 countries worldwide.
Pepsi humble beginnings are rooted in New Bern, California, where Caleb Bradham, a pharmacist by profession, first concocted what would later become the refreshing cola loved by billions across the globe, as a medicinal drink to cure indigestion. In 1893, Caleb prepared the concoction by mixing sugar, caramel, nutmeg, lemon and cola nuts in water and started selling it at his drugstore under the name ‘Brad’s Drink’.
The pharmacist touted his homemade blend as a ‘medicinal’ drink which improves digestion, however, the drink soon became immensely popular and with sales going through the roof, Bradham mulled the idea of coming up with a catchy name for his concoction.
In 1898, Caleb Bradham settled on the name ‘Pepsi-Cola’, after the digestive enzyme pepsin, and introduced the beverage in the market as a “healthy cola”, that he claimed had digestive benefits. Notably, despite its name being derived from pepsin, the beverage’s initial formula did not include the digestive enzyme, but was made from sugar and vanilla.
During its formative years, Pepsi could not replicate its initial success, and eventually went bankrupt in 1923. However, Charles Guth purchased the company and revived it by reformulating the beverage. During the Great Depression, Guth introduced a 12-ounce Pepsi bottle which made the drink immensely popular. He also employed clever marketing strategies like the “Nickel, Nickel” jingle, that doubled Pepsi’s sales in a short period.
Akin to its formula, Pepsi’s iconic logo, has undergone sweeping changes since its launch, initially featuring the same red color as that of its competitor, Coca Cola. In 1940, the Pepsi Cola logo was designed with a strange font, but the ultimately in 1950, the company came up with the first variation of Pepsi’s modern-day logo by adding the blue and white on the bottle cap.
Over time, this logo evolved into the iconic Pepsi logo even as the beverage’s name was officially shortened to Pepsi in 1961, ditching the cola part, in order to stand out from rival brand Coca Cola.
PepsiCo, the company that own Pepsi, is a global leader in the FMCG sector, boasting a market cap of $211.12 billion, and spread globally across over 200 countries.
Primarily known for its carbonated and non-carbonated beverages, that includes beloved drinks like Mirinda, Ocean Spray, Mountain Dew, Aquafina, Lipton, 7up, Tropicana, AMP energy, PepsiCo has expanded its portfolio with its popular snack brands such as Ruffles, Fritos, Cheetos, Cracker Jack, Sun Chips, Tostitos, and Lays.
Today, PepsiCo is global powerhouse in the FMCG space, with presence in Latin America, Europe, Asia Pacific, Australia, New Zealand, China, Africa, India, Middle East and South East Asia, among other countries.
For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest Business News on India.com.