In 2021, PepsiCo and The Coca-Cola Company (TCCC) accounted for 22% and 19%, respectively, of the U.S. liquid soft drink category, based on estimated retail sales in channels measured by Information Resources, Inc.
However, TCCC has a significant carbonated soft drink (CSD) share advantage in many markets outside the United States.
To compare: PepsiCo maintained its same market share in 2020 and 2021, while The Coca-Cola Company reduced its coverage from 21% in 2020 to 19% in 2021.
According to PepsiCo, its beverage and convenience food products are in highly competitive categories and markets and compete with products from international beverage and convenience food companies operating in multiple geographies, as well as regional, local, and private label manufacturers and economy brands and other competitors, including smaller companies that develop and sell micro-brands directly to consumers through e-commerce platforms or through locally sourced-focused retailers.
In many countries where PepsiCo products are sold, including the United States, The Coca-Cola Company is its main beverage competitor.
Other beverage and convenience food competitors include, but are not limited to, Campbell Soup Company, Conagra Brands, Hormel Foods Corporation, Kellogg Company, Keurig Dr Pepper, The Kraft Heinz Company, Link Snacks, Mondelēz International, Monster Beverage Corporation, Nestlé, Red Bull GmbH and Utz Brands.
Many of this company‘s convenience food products occupy significant leadership positions in the food industry in the United States and around the world.
Its beverage and convenience food products compete primarily on the basis of brand recognition and loyalty, taste, price, value, quality, product variety, innovation, distribution, advertising, marketing and activity. promotional (including digital), packaging, convenience, service, and the ability to effectively anticipate and respond to consumer preferences and trends, including an increased consumer focus on health, wellness, and sustainability and the continued acceleration of electronic commerce and other methods of distribution and purchase of products.
Success in this competitive environment depends on the effective promotion of existing products, the effective introduction of new products and reformulations of existing products, greater efficiency in production techniques, the effective incorporation of technology and digital tools in all areas of its business, the effectiveness of its advertising campaigns, marketing programs, product packaging and pricing, new sales and dispensing equipment, and brand and trademark development and protection.
PepsiCo believes that the strength of its brands, innovation and marketing, coupled with the quality of its products and the flexibility of its distribution network, allow it to compete effectively.