Pepsi's bottleneck

The brand that wants to ‘Change the Game’ is fighting shy of introducing its new global identity in India, although beverages sporting the new brand design hit the U.S. shelves in 2009, and have also been introduced in other markets, including Pakistan.

PepsiCo India insists it’s just a case of staying with what’s working perfectly well. “Our current Pepsi brand identity has great recognition, [and] enjoys great acceptance and resonance with Indian consumers,” says a spokesperson
for the company.

But some believe there are other reasons. Rohit Ohri, managing partner at Pepsi’s advertising agency, JWT India, says the logistical task of changing the branding on India’s preferred mode of cola consumption—the glass bottle—could be a reason. Glass bottles being expensive, the existing stock will have to amortise itself before new ones, sporting the changed identity, can be introduced. Industry sources say each bottle is refilled at least seven or eight times over two to three years, which helps recover the high cost.

Between 55% and 60% of carbonated soft drinks in India is consumed from glass bottles. Unlike markets abroad, where cans or PET bottles are used, the reusable glass bottles ensure that the drink remains affordable to a large section of the population.