Batman vs Superman. Lionel Messi vs Cristiano Ronaldo. Coke vs Pepsi. Iconic rivalries that sparked debates all over the world. And in the case of the latter, reshaped the marketing arena. Coke vs Pepsi is a rivalry that spans decades and is now firmly a part of pop culture. It is a war being waged on constantly changing battlefields. And the scene was vastly different in the 20th century when the rivalry was emerging.
Marketing and advertising in those periods were much more straightforward, and it was all about huge ads – both in size and impact (guess size mattered even then). For the bigger part of the rivalry, Pepsi was the underdog. Metaphorically, if you wanted to compare their advertising styles, Coke was the classy man playing by the rules and Pepsi was the rebel who knew how to put on a show. Both brands had iconic adverts and catchphrases in the past (The Coke adverts illustrated by Norman Rockwell and the viral radio jingle Pepsi came up with) but what gave Coke the initial edge? It shared its name with one of the most notorious drugs available on the market (that was a joke. Kids, don’t do drugs). In 1939, Coke had a marketing budget of millions of dollars while Pepsi’s stood at $600,000. But things changed with time, as Pepsi began pumping more money into marketing. But the innovation is what really gave Pepsi the edge. And the 60s provided just the right platform for innovation – TV ads. Pepsi invested $36 million in a marketing campaign called ‘Think Young’ targeting the youth. And this move propelled Pepsi towards global success.
Coke, which didn’t treat Pepsi as a major threat up to this point, had to finally acknowledge the looming danger. They stepped up their game. They meant business. The result? The infamous ‘Hilltop’ advert showcasing diversity. To be honest, the word ‘infamous’ doesn’t do the ad justice. ‘Legendary’ is more like it. So, was Pepsi left in the dust? Not really. Pepsi had an ace up its sleeve. And when that dropped, well, let’s just say Pepsi gave Coke a good spanking (we know some of you out there enjoy it, and this wasn’t written in that context. Now stop smiling). Enter – ‘The Pepsi challenge’. What was it? Well, Pepsi invited consumers to take blind taste tests and most of the participants preferred the taste of Pepsi over Coke. The impact of this challenge lasted for years, with Coke reeling from the effects. Coke made desperate moves to topple Pepsi, but in vain. The ‘New Coke’ introduced by the company in 1985 was a major flop and was shelved just a few months later. This back and forth has been going on ever since, and both companies have made their fair share of blunders. To err is human, to err catastrophically is business. Pepsi, for instance, shot itself in the foot with a shoddy, insensitive ad trying to force itself into the ‘Black Lives Matter’ movement. But in recent times, Pepsi has seen consistent success due to its flamboyance and showmanship. The NFL deal worth billions is a prime example. Eminem, Snoop Dogg, Dr. Dre, and Kendrick Lamar on the same show? That’s basically ‘avengers assemble’ in the rap industry!
But all good things must come to an end. This notorious rivalry filled with drama and entertainment is no exception. With the raising awareness around climate change and sustainability, brands have to re-evaluate their strategies. Both these companies have been called out for producing enormous amounts of plastic waste every year. The brands are leaning towards collaboration and away from competition. The battlefield changes yet again; this time it’s all about positivity and sustainability. But make no mistake, this rivalry shook the marketing world unlike any other, and has schooled brands on marketing.