30 years of association with WPP ends for PepsiCo India
Beverage, snack, and food company PepsiCo India has decided to end its 30 years of ties with WPP Group-owned agencies including Mindshare and Wunderman Thompson, after competitor brand Coca-Cola has associated with WPP, as its advertising partner, according to media reports. India is among the few countries where PepsiCo is represented by WPP.
The decision has taken place ahead of an important soft drink season, as, after two successive summers in the midst of Covid-19, companies are gearing up for their marketing and advertising campaigns for the upcoming summer. PepsiCo, which offers Lays snacks, Mountain Dew, Pepsi, among others, spends a huge amount of money in advertising. It spends around Rs 350 crore on advertising and has issued directives for pitches from advertising agencies.
”PepsiCo India follows a re-pitching cycle every few years for agencies and partners working on our brand mandates. This year Wunderman Thompson and Mindshare will not be participating in the process. We value our partnership and thank them for what we have achieved together over the years,” said PepsiCo India Spokesperson
Coca-cola has announced WPP as its global advertising and marketing partner, for its business valued at $4 billion. Coca-Cola said that the WPP team will be operating under the OpenX and will be managing the marketing, technology, creative, data, media for all of its brands including Costa Coffee.
The Covid-19 restrictions have been lifted partially; however, consumers’ consumption habits have changed. Advertising has to be aligned to suit both out-of-home consumption and driving in-home consumption, according to an industry executive.