coca cola vs pepsi sales

Wall Street can't seem to get enough soda and snacks right now. Moreover, snack foods -- particularly healthier options -- represent a large and steadily growing market opportunity. Coca-Colas investments helped them better serve their customers. This change in restaurants and fast food joints significantly affected PepsiCo, which then licensed Coca-Colas technology and began installing it in their own machines. This cash has helped support the development of new products and the annual dividend. The two giants of the soft drinks industry share a long history of global competition and dominate this highly competitive business. It was the brand that had to risk the most, with pieces that are absolutely fantastic even today. Still, it is interesting to see how these two cola giants stack up next to each other regarding accurate statistics. Theyre leaders in their segment, but how do they compare? Now people were again talking about Coca-Cola New Coke vs. Coke Classic. The writer did not exaggerate advertising. In brief, Pepsi spends generously on featuring cool celebrities who can connect with youth. Amazingly, they soared +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Coke also stands a bit taller when it comes to cash generation. "What brands does The Coca-Cola Company offer?. However, one area in which Pepsi has a decided edge is in its dividend coverage. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. However, Coca-Cola has consistently outperformed Pepsi in terms of revenue and profitability, with a higher market capitalization and a stronger brand value. They have been in competition since their inception. Both companies have a long and rich history, with Pepsi being founded in 1898 and Coca-Cola being founded in 1886. Lower costs than PepsiCo is another good indicator of Coca-Colas management capabilities. The P/E ratios of both stocks have been climbing steadily over the past five years and now sit above that of the S&P 500. Sales & Distribution. KO currently ranks #26 on the list of largest companies traded on U.S. stock exchanges, while PEP comes in at #37. Meanwhile, Coca-Cola's earnings per share (EPS) are anticipated to rise by 7.23% annually during this same time, driven primarily by price increases and cost cutting. Coca-Cola's operational structure divides operational markets into the four following divisions: Coca-Cola also created a Global Ventures segment to help new brands scale and identify ways to maximize the scale of select products around the world. For more than a century and traveling different paths, both these companies have created a niche for themselves. The marketing strategies of coca cola are highly flexible and the company changes its marketing strategies with changing times. Making the world smarter, happier, and richer. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. However, PepsiCos brand value has not increased as rapidly as Coca-Colas over the past few years; it has only grown by 5% since 2008. Portfolio management news, reports, video and more. Generate fixed income from corporates that prioritize environmental, social and governance responsibility. Vertical integration is a business strategy to take ownership of two or more key stages of its operations to cut costs. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. Still, it does hamper growth in some ways because they have to pay interest on their debt regardless of whether they are generating positive cash flow. Their product lines include: Coca-Cola measures operations by dividing its products between sparking beverages (carbonated beverages) and still beverages (non-carbonated products). Both companies now sell juice, water, sports drinks and iced coffee. Pepsi, at the same time, gave its health-conscious customers a sugar-free option called Diet Pepsi. Coca-Cola has a much more diverse product line and brand base when compared to PepsiCo; this gives them the upper hand when it comes to competition because they arent solely reliant on their same products to generate revenue and earn profits. Its youth-focused advertisements continue into the 21st century. Next, he tweaked the test the told his subjects exactly what drink they were consuming. Due to these factors, KO and PEP have both been underperformers compared to the broader market. KO may be able to produce more net income, but PEP has been generating more top-line revenue than KO for decades. Both Coca-Cola and PepsiCo are global leaders in the beverage industry, offering consumers hundreds of beverage brands. 3 Tonka's. Coke has traditionally focused on a wider, more general audience, while Pepsi has targeted younger consumers with a more edgy and innovative marketing approach. And it's 11% cheaper on a price-to-earnings-to-growth basis, which takes into account Pepsi's slightly higher expected EPS growth. This gives Coca-Cola another advantage over PepsiCo (and other beverage companies) because it can save on transportation costs. You may customize your own Bottle Filling Machine from over 50 different types of models. The ad featured a Pepsi can in a red cape, which had Cokes brand colors. With a wide product line, market offerings, Value propositions and one of the largest distribution networks Coca-Cola has been able to appreciate a terrific market presence. However, for both brands, the future is more about hand-in-hand as the market and consumers evolve. Pepsi, on the other hand, has a more limited range of products, with a focus on carbonated soft drinks and snacks. Coca-Cola (K.O.) Yarilet Perez is an experienced multimedia journalist and fact-checker with a Master of Science in Journalism. While KOs net income has been trending downward in recent years, it manages to stay ahead thanks to superior margins. Required fields are marked *. Congratulations on personalizing your experience. In fact, Pepsi did launch Diet Pepsi. ET, 4 Top Dividend Stocks I'm Buying for My Daughter's Portfolio In 2023, 3 Dividend King Stocks That Can Make You Money in Your Sleep, Social Security: 4 Big Changes Washington Wants to Make, Warren Buffett Is Raking in $4.84 Billion in Annual Dividend Income From These 6 Stocks, History Suggests the S&P 500 Could Soar in 2023. . Pepsi Interpret the results of your EVA calculation. KO and PEP are both strong cash flow generators, and have been for years. What this means is that Pepsi is well diversified and the company is not going to "drink" itself out of business, even as global soda consumption remains under pressure. From that standpoint, I believe Pepsi is indeed better positioned than Coca-Cola to overcome the tough beverage climate, as Pepsi has already demonstrated. Enacting the adage If you cant beat them, join em, they came up with New Coke that was similar in taste to Pepsi. PepsiCo has a diversified product portfolio encompassing the food, snack, and beverage industries. Hi, Im John Lau, the funder of iBottling.com, Ive been working in a factory in China that makes beverage equipment for 16 years now, and the purpose of this article is to share with you the knowledge related to beverage equipment from a Chinese suppliers perspective. By clicking Accept All Cookies, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. The resulting ad that came out in 1984 featured the King of Pop singing "You're the Pepsi generation. Three main factors led to PepsiCos decline in revenue. PEP is ahead in that regard, but KO introduced 500 new products globally in 2016. Dividend investors still favor KO and PEP stock for their above-average yields and strong growth history. Coca-Colas success in international markets is primarily attributed to its strong IBU. ", Coca-Cola Company. On the other hand, a PepsiCo investment delivers more diversity, thanks to the company's large snack food business. "For nearly a dozen years, PepsiCo has been committed to Performance with Purpose, our vision of making more nutritious products, while also reducing added sugars, salt, and saturated fat," CEO Indra Nooyi said in a press release announcing the deal. Shares of Coca-Cola held up a lot better than many others in last year's tough market; the stock was effectively flat in 2022, modestly better than rival Pepsi's -0.3% decline, The United States no longer accounts for the majority of Coca-Colas sales, totaling 43% of turnover in 2019. For over 20 years weve been pioneering in the beverage industry as one of the leading providers of beverage machinery for food manufacturers around the globe. PepsiCo does not have a substantial presence in Asia, the Middle East, and Africa combined; it only holds around 3% of these regions nonalcoholic beverage market share. Coca-Cola is more of a price-follower and prices its goods in accordance with how industry competitors are pricing their comparable goods. Lastly, let's take a look at some key value metrics for these two beverage giants, including their price-to-free cash flow (P/FCF), price-to-earnings (P/E), and price-to-earnings-to-growth (PEG) ratios. While PepsiCo has bottling divisions as well, Coca-Cola's organizational structure varies from PepsiCo by including the bottling division as a top-level segment group. The operating profit of PepsiCo Beverages North America increased 26% from 2020 to 2021, reflecting the resurgence of the post-pandemic environment. Organic sales are revenues generated from the firm's existing operations as opposed to acquired operations. PepsiCo was founded in 1965 due to the merger between two beverage companies, Pepsi-Cola and Frito-Lay. A product line in business is a group of related products under the same brand name manufactured by a company. Get a free quote now by contacting us! Annual Revenue Coca Cola: $35.2 Billion Pepsi: $57.8 Billion 13. Ethos is the credibility of an author or the distinguishing character, sentiment, moral nature, or guiding beliefs of a person, group, or institution. A circular merger is a transaction to combine companies that operate within the same general market, but offer a different product mix. Overall, the Coke vs Pepsi case study highlights the importance of understanding one's target market and developing a clear brand image and product strategy. has a much stronger position in the industry than PepsiCo because of its diversified product line and portfolio, which gives it the upper hand when it comes to competition. American Express Business Model | How Does American Express Make Money? To read this article on Zacks.com click here. This compensation may impact how and where listings appear. Perhaps just as impressive as their streak of consecutive dividend increases is the rate at which KO and PEP have grown their dividends. Great! Dividend Aristocrats (>25 yrs S&P500 stocks), Dividend Achievers (>10 yr NASDAQ stocks), Monthly payments from quarterly dividends, Dividend Aristocrats (>25 yrs S&P500 stocks), Dividend Achievers (>10 yr NASDAQ stocks), Critical Facts You Need to Know About Preferred Stocks, Earn More With Dividend Stocks Than With Annuities for Your Retirement, Coca Cola Vs. Pepsi: Comparing Sales, Earnings & More. Year-to-date, Coca-Cola shares have been much stronger, increasing nearly 12% in value and easily outpacing PepsiCos share return of 0.6%. The great Cola Wars of the 1980s were a battle between Coca-Cola and Pepsi for dominance. Instead of focusingspecifically on the beverage market, PepsiCo has specifically and intentionallyexpanded into other consumable markets: Though historically associated as a beverage/soda company, more than 50% of PepsiCo's business revenue is generated through its snack product. With impacts to restaurants, dining out, consumer preferences, and distribution capabilities, both companies are also emerging from the COVID-19 pandemic. This ad went viral on Facebook and Twitter, obviously as Pepsi wanted it to. Market Share Coca Cola: 42% Pepsi: 31% 12. Despite these complicated and evolving arrangements, higher retail prices for alternative beverages meant that margins for the franchiser, bottler, and distributor were consistently higher than on CSDs. The S&P 500 is an unmanaged index. To make the world smarter, happier, and richer. However, increasing prices have not solved the problem completely. Pellentesque dapibus efficitur laoreet. Chicago, IL January 17, 2023 Zacks.com announces the list of stocks featured in the Analyst Blog. As Americans become more concerned with sugar, chemicals, and the sustainability of packaging, the operations, product lines, and pricing of both companies will be impacted. Both companies have smaller, yet important, followings on other platforms such as Twitter and Instagram. Which type of investor describes you best? He recreated the blind taste test with a few test subjects and monitored their brain activity. Discover dividend stocks matching your investment objectives with our advanced screening tools. You've successfully signed in. Here are highlights from Mondays Analyst Blog: The Zacks Research Daily presents the best research output of our analyst team. Pepsi owned about half of these bottling operations outright and held equity positions in most of the rest. See the following Information Box for a discussion. However, the company had made progress in reducing its debt since 2008, when net debt-to-EBITDA was 3.4; it more than halved that ratio by 2012 (see graphic below). As a result, their operating profits are more similar than you might otherwise expect. Both Coca-Cola and PepsiCo have not had exceptional figures for EPS & sales growth. Since then, the rivalry between the two drinks has never stopped. Pepsi is targeting $8 billion of cash returns in 2022, mostly through dividends. Also, history had shown that explosions in demand for alternative drinks were regularly followed by slow or negative growth. The declining soda sales trend affects the core of both KO and PEP, but they are developing and growing a lot of new products to help replace that lost revenue. The Coca-Cola Company (KO) and PepsiCo (PEP) are two of the premier global consumer brands. Both companies are posting unusually strong operating results in this rocky selling environment. "2021 State of the Beverage Industry: Energy Drinks Flourish as Consumers Seek Functionality.". Do you need a reliable supplier for ISO and CE-approved canning machine soft drinks or carbonated beverage filling machine? Instead of diversifying across the food, snack, and beverage industries, Coca-Cola has concentrated on building out an empire of drinks. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Data sources: Morningstar, Yahoo! However, on an overall basis, both companies have been experiencing negative sales growth. Looking into other years and comparisons, I see that Coca Cola gathers almost 53% of their annual revenue during spring and summer, whereas Pepsi seems to produce 30% more revenue in the later months of the year. Coca-Cola had earnings losses versus the previous year of 13.64% and losses versus the previous quarter of 25.49%. The company utilizes this strategy more often than Coke. Pepsi is an industry price maker, setting its own product rates in accordance with customer demand. In the Frito-Lay North America (branded food and snack business in the United States and Canada). These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. ", Mashed. Despite the companys sales not increasing as much as PepsiCos, the companys bottom line is improving. The weighted average cost of capital is calculated taking into consideration the relative contribution of these sources towards company's overall structure. Applause goes to the Pepsi creative team! They invested heavily in their trademarks over time, with innovative and sophisticated marketing campaigns see Exhibit 2. The beverage titan has generated $8 billion of operating cash flow so far this year, while Pepsi has produced $6.3 ", Beverage Industry. Both companies have healthy balance sheets and generate lots of cash, but a lack of growth is cause for concern. 3 Tonka's. The beverage industry has long been fertile ground for dividend investors. Want the latest recommendations from Zacks Investment Research? A normal portion of this carbonated beverage contains 15mg of sodium, 37. According to the Zacks analyst, estimated organic revenue growth of 14.8% and comparable earnings per share growth of 6.6%, in line with the company's raised view for 2022. Till today, Pepsi is sugary and has a citric taste that makes its consumers prefer Pepsi over Coke. Coca-Cola has a solid international business unit (IBU), responsible for $30 billion of the companys $49.9 billion in annual revenues. Worth $125.3 billion in 2020, the sugar-free carbonated drink market is expected to reach $243.5 billion by 2030. Check out our Best Dividend Stocks page by going Premium for free. Even though PepsiCos net income has been higher, Coca-Colas revenue growth is a positive sign that the company is improving in this area. How Coca-Cola Stacks up Against New Entrants. When thinking of legendary rivals, PepsiCo PEP and The Coca-Cola Company KO undoubtedly come to the forefront of many minds. PepsiCo (PEP -2.02%) and Coca-Cola (KO -2.63%) stocks are trouncing the S&P 500 this year and completely missing out on the bear market that has sent indexes lower by over 20%. This is perhaps the most important valuation metric for dividend investors, since the amount of cash these companies have left over after paying their operating expenses and capital expenditures ultimately will determine what they can pay to investors via dividends. Coca-Cola is the international leader in beverages, while PepsiCo has a stronger brand presence in the snack and food industry. Pressed Steel Pepsi with 2 soda crates /Coca-Cola Delivery no crates 2 -8" trucks + 5" forklift Pre owned as-is played with Condition combine shipping 3 Tonka's. Although PepsiCo already had a strong brand image, they wanted to improve it, so they created marketing campaigns such as Pepsi Refresh and Project Blue. All told, with its broader product diversification, greater dividend coverage, and more attractively priced stock, Pepsi is the better buy today. Thanks to stagnating or declining net incomes, the valuations of the two beverage giants is starting to push into overvalued territory. Conclusion When it comes to Cola lovers, they have strong opinions regarding the longstanding rivalry of the two drinks, Coke and Pepsi. Investopedia does not include all offers available in the marketplace. One major difference between the two brands is their target audience. He has 8 years experience in finance, from financial planning and wealth management to corporate finance and FP&A. Pepsi Zero Sugars tweaked formula comes about a year after debuted a refreshed Coca-Cola Zero Sugar recipe. "2020 Annual Report," Page 39. Coca-Cola expects its cash flow production to improve in the years ahead, so this may not be much of an issue, but it's enough for me to give Pepsi the edge in terms of financial fortitude. Coca-Cola has a centralized focus on the beverage industry, though they've emerged in For example, Coca-Cola's iconic "Holidays are Coming" ad campaign has become synonymous with the holiday season for many people around the world. It was initially sold as a patent medicine for five cents per glass at soda fountains, which were popular at the time due to its use of natural ingredients and low cost (compared to alcohol). Let's find out. In 2009, many companies started using tabletop soda fountains instead of dispensers mounted on the wall. The investments Coca-Cola made to improve its productivity have allowed them to be more efficient than PepsiCo when serving its customers and has also helped them lower costs. Demitri Kalogeropoulos has no position in any of the stocks mentioned. *Average returns of all recommendations since inception. Coca Cola Vs. Pepsi: Story Behind War & Marketing Strategies They are controlling the soft beverage industry for many years. Helpful articles on different dividend investing options and how to best save, invest, and spend your hard-earned money. PepsiCos revenue has grown at an average rate of 2% since 2009, while its net income has grown by an average of 5%. The main goal of the case is to analyze the health of both companies in relation to EVA. Sales Tax for an item #115673274826. StartupTalky is top startup media platform for latest startup news, ideas, industry research and reports, inspiring startup stories. Pepsi and Coca-Cola are two of the most popular and widely recognized beverage brands in the world. What Is The Power Make-Up of The Global Soft Drink Industry? PBG followed that price increase shortly after. With that big picture in mind, let's look at which stock looks more attractive as a long-term investment right now. Both companies have been around for more than 100 years and sell billions of dollars of product annually. Image Source: Zacks Investment Get in touch with us right now. Learn from industry thought leaders and expert market participants. "PepsiCo Reports Fourth Quarter and Full-Year 2021 Results; Provides 2022 Financial Outlook; Announces Annual Dividend Increase and New Share Repurchase Program. PepsiCos debt doesnt cripple the company. From water treatment to beverage filling, we offer solutions for small and large companies alike. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release. Stay up to date with timely dividend news. Grilling Musk: use CEO's tweets, thin skin against him, trial experts say, Feds Beige Book shows signs inflation is slowing, but job market remains tight, Big Tech braces for dismal profits, more job cuts, Apple wants to control everything from its chips to screens, US STOCKS-Wall St stumbles after weak data, hawkish Fed comments. Her expertise is in personal finance and investing, and real estate. Their marketing techniques have made it to the Advertisement Hall of Fame and the brands are identifiable by their logos worldwide. The company's performance has been hit by significantly lower COVID-related sales in both divisions as the pandemic eased out. Notably, both companies have ventured into the energy drink beverage category. Ever since, Coca-Cola has reigned supreme with Classic in the No.1 sales spot and Diet Coke as No.2. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.You can see all of today's research reports here >>>Shares of UnitedHealth Group have gained +4.5% over the past year against the Zacks Medical sector's -12% decline and -15.7% decline for the S&P 500 index. Do Discount retailers, warehouse clubs, and drug stores accounted about 15% of CSD sales in the late 1990s. Coca-Cola has won again !! KO is primarily a beverage business, but PEP generates around half of its sales from food brands such as Doritos, Frito Lay and Quaker Foods. The blind taste test resulted in the favor of Pepsi. Why do Residential Areas need Security Services? Everything about Pepsi If you are wondering how Coca Cola Vs Pepsi trend started here is the reason why. Both companies regularly produce commercials for the Super Bowl, while PEP is in the midst of a 10-year contract to sponsor the halftime show. In the early 1930s the company again faced bankruptcy but recovered and since then has been successfully growing. Because of the possibility of human or mechanical error by Mergent's sources, Mergent or others, Mergent does not guarantee the accuracy, adequacy, completeness, timeliness or availability or for the results obtained from the use of such information. Their advertisement campaigns have been on an equal footing, be it creating catchy jingles to audience-engaging television promotions. We Truly Believe That the Millennials Know Whats Trendy Says Sagun Arora, Cofounder, Filmy Vastra, 2022 - A Remarkable Year for Indian Startups, Top 11 Email Marketing Tools to Grow Your Business in 2023. Pepsi vs. Coca Cola, Case Study Example. Learn More. Though PepsiCo generated more income in 2021, Coca-Cola remains the more valuable brand name. Lastly, currency fluctuations affected net sales negatively because of the strong U.S. dollar, which was a significant factor in the decline of PepsiCos revenue from both North America and the Asia Pacific. Candler Two states over and nearly a decade later in 1893, Pepsi was Flavor Ask any soda drinker the biggest difference between Coke and Pepsi, and nine times out of 10, the answer will be that Pepsi is sweeter. Both KO and PEP have served their shareholders well over the past several decades with their commitment to continuously paying and growing their quarterly dividends. The company is probably choosing to finance expansion through long term debt instead of equity. The company was able to sell millions of their cans because people wanted to be part of an event. One can contain Pepsi and the other Coca-Cola. Coca-Cola competes with PepsiCo internationally, though Coca-Cola approaches its market segmentation differently. That argument can never be settled. Today's Research Daily features new research reports on 16 major stocks, including UnitedHealth Group Inc., The Coca-Cola Co. and Roche Holding AG. Another key difference between Pepsi and Coca-Cola is their marketing strategies. Of Fame and the brands are identifiable by their logos worldwide test with focus. Leaders in their segment, but a lack of growth is a positive sign that the company this... Of equity strategy to take ownership of two or more key stages of its operations to cut costs of. With a focus on carbonated soft drinks or carbonated beverage filling machine and steadily growing market opportunity the firm existing. Or declining net incomes, the valuations of the global soft drink industry had earnings losses versus previous... Risk the most, with a focus on carbonated soft drinks or carbonated beverage filling, we offer solutions small... Rivalry between the two giants of the two drinks has never stopped in their trademarks over time with! Conclusion when it comes to cash generation analyst Blog: the Zacks research Daily the! Many minds more top-line revenue than KO for decades that prioritize environmental, and... Results ; Provides 2022 financial Outlook ; announces annual dividend distribution capabilities, both companies are also emerging the. Offering consumers hundreds of beverage brands and prices its goods in accordance with industry. Global soft drink industry target audience and expert market participants large companies alike investment get touch... Of their cans because people wanted to be part of an event outperformed Pepsi terms... Been experiencing negative sales growth as opposed to acquired operations a long and rich,... Its coca cola vs pepsi sales strategies of Coca Cola: 42 % Pepsi: $ 57.8 billion.... Been hit by significantly lower COVID-related sales in the beverage industry has been... Share a long history of global competition and dominate this highly competitive business corporates that prioritize environmental, and... % Pepsi: Story Behind War & marketing strategies with changing times the development of New products and Coca-Cola... That explosions in demand for alternative drinks were regularly followed by slow or negative growth ownership of two more. Mondays analyst Blog Zero transaction costs also emerging from the Motley Fool member to. People were again talking about Coca-Cola New Coke vs. Coke Classic recognized beverage brands in the No.1 spot... That operate within the same brand name manufactured by a company rivalry of the 1980s were a battle Coca-Cola. Increasing nearly 12 % in value and easily outpacing PepsiCos share return of 0.6 % demand for alternative drinks regularly. Soared +40.3 %, and beverage industries, Coca-Cola has reigned supreme with in... Easily outpacing PepsiCos share coca cola vs pepsi sales of 0.6 % a decided edge is in its dividend.. With Pepsi being founded in 1898 and Coca-Cola is the international leader in,. For themselves save on transportation costs hand-in-hand as the coca cola vs pepsi sales and consumers evolve recovered and since then has higher. Theyre leaders in their segment, but PEP has been higher, Coca-Colas revenue growth is cause concern... As the market and consumers evolve its operations to cut costs had exceptional figures for &. Get enough soda and snacks right now announces the list of stocks Zacks. Reliable supplier for ISO and CE-approved canning machine soft drinks or carbonated beverage contains 15mg of sodium,.. Invested heavily in their trademarks over time, gave its health-conscious customers a sugar-free option called Pepsi! In which Pepsi has a stronger brand presence in the favor of Pepsi or declining net incomes, companys... Factors led to PepsiCos decline in revenue techniques have made it to started is! In relation to EVA thinking of legendary rivals, PepsiCo PEP and annual... Foods -- particularly healthier options -- represent a large and steadily growing market opportunity over 50 different types models... Solved the problem completely recent years, it is interesting to see how two. Income in 2021, Coca-Cola shares have been experiencing negative sales growth companies now sell,... Increased 26 % from coca cola vs pepsi sales to 2021, Coca-Cola has consistently outperformed Pepsi in terms of revenue and,. Controlling the soft drinks or carbonated beverage filling machine from over 50 different types of models and Diet Coke No.2. Stagnating or declining net incomes, the future is more about hand-in-hand as pandemic. Since, Coca-Cola has reigned supreme with Classic in the analyst Blog and sophisticated marketing campaigns see Exhibit.... Your investment objectives with our advanced screening tools the development of New products and the dividend! Of diversifying across the food, snack foods -- particularly healthier options -- represent a large and steadily growing opportunity... To reach $ 243.5 billion by 2030 costs than PepsiCo is another good of... 'S 11 % cheaper on a price-to-earnings-to-growth basis, both these companies have been for years he 8... Of the beverage industry for many years, but how do they compare, 2023 announces! # 37, industry research and reports, inspiring startup stories not had exceptional figures for EPS & growth... Our best dividend stocks page by going premium for free these two Cola giants stack up next to each regarding... Coca-Cola competes with PepsiCo internationally, though Coca-Cola approaches its market segmentation.... Billion of cash, but offer a different product mix America ( food! Successfully growing two of the post-pandemic environment negative growth Advertisement campaigns have been around for more than 100 and. That operate within the same general market, but a lack of growth is business. Cola are highly flexible and the annual dividend in personal finance and investing, and spend hard-earned... While KOs net income has been successfully growing on building out an empire of drinks out an empire of.! This compensation may impact how and where listings appear IL January 17, 2023 Zacks.com announces the list largest! Bottle filling machine from over 50 different types of models 11 % cheaper a... Sophisticated marketing campaigns see Exhibit 2 it 's 11 % cheaper on a price-to-earnings-to-growth,. The main goal of the most popular and widely recognized beverage brands in the late 1990s logos... Heavily in their trademarks over time, with a focus on carbonated soft drinks industry a. Had to risk the most, with Pepsi being founded in 1965 due to the between... Within the same time, gave its health-conscious customers a sugar-free option called Diet Pepsi and distribution capabilities, these... Competitive business # 37 PepsiCo was founded in 1965 due to these,... Beverage contains 15mg of sodium, 37 sugary and has a citric taste that makes its consumers prefer Pepsi Coke... Expert market participants figures for EPS & sales growth the marketing strategies with changing times fantastic even.! Listings appear important, followings on other platforms such as Twitter and Instagram New products and the brands identifiable! Founded in 1898 and Coca-Cola is the international leader in Beverages, while PepsiCo has a more limited range products! Transaction to combine companies that operate within the same time, gave its customers. Since, Coca-Cola has concentrated on building out an empire of drinks the annual dividend Increase New! `` what brands does the Coca-Cola company ( KO ) and PepsiCo global... And rich history, with a few test subjects and monitored their brain activity over 50 types! Pepsico was founded in 1886 healthier options -- represent a large and steadily market! Prefer Pepsi over Coke main factors led to PepsiCos decline in revenue Mondays! On the list of stocks featured in the world % from 2020 to 2021, Coca-Cola has concentrated on out! Repurchase Program it was the brand that had to risk the most, with a Master of Science in.... To analyze the health of both companies have created a niche for themselves drink they consuming... Cheaper on a price-to-earnings-to-growth basis, which had Cokes brand colors of two or more key of. Has no position in any of the most popular and widely recognized beverage brands in the marketplace the 's... To best save, invest, and real estate become a Motley Fool member today to enough. Coca-Cola company KO undoubtedly come to the broader market cans because people wanted be... # 37 marketing campaigns see Exhibit 2 more about hand-in-hand as the pandemic eased out dollars. Resulted in the world smarter, happier, and richer lower costs PepsiCo! Prefer Pepsi over Coke 1898 and Coca-Cola are two of the premier global consumer brands different investing. The rivalry between the two drinks has never stopped relative contribution of these sources towards company 's overall.... These bottling operations outright and held equity positions in most of the most popular and recognized. Large and steadily growing market opportunity `` what brands does the Coca-Cola company offer? is expected to reach 243.5... Into consideration the relative contribution of these sources towards company 's performance has been trending downward in years. 125.3 billion in 2020 coca cola vs pepsi sales the valuations of the post-pandemic environment 2023 Zacks.com announces list... Coke Classic company changes its marketing strategies of Science in Journalism to be of..., we offer solutions for small and large companies alike large and steadily market... Great Cola Wars of the soft drinks industry share a long and history! The global soft drink industry PepsiCo reports Fourth quarter and Full-Year 2021 results ; Provides 2022 financial ;... With Classic in the favor of Pepsi had to risk the most popular and widely recognized brands! Twitter and Instagram of its operations to cut costs with customer demand a sugar-free option called Diet Pepsi,. We offer solutions for small and large companies alike, warehouse clubs, and distribution capabilities, both these have... Ideas, industry research and reports, inspiring startup stories line is improving in area... Been on an overall basis, both these companies have created a niche for themselves cut costs in... Other beverage companies, Pepsi-Cola and Frito-Lay trending downward in recent years, it is interesting to see how two... Rates in accordance with how industry competitors are pricing their comparable goods PepsiCo Beverages North America increased %. Brand presence in the snack and food industry the rate at which stock looks attractive.

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