Pepsico, Inc. · NASDAQ:PEP
Pepsico — Barclays Capital Back to School Conference 2009
37 slides from Pepsico's conference presentation, Sep 10, 2009
Slide 1: PepsiCo's Advantaged Business Model
PepsiCo’s Advantaged Business Model Richard Goodman EVP and Chief Financial Officer – PepsiCo, Inc. Barclays Capital – Back to School Conference Boston, September 10, 2009
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements in this communication that are “forward‐looking statements” are based on currently available information, operating plans and projections about future events and trends. They inherently involve risks and uncertainties that could cause actual results to differ materia
Slide 3: Global Macroeconomic Situation
Global Macroeconomic Situation • Green shoots of recovery • Consumer spending remains tepid • The environment continues to be challenging
Slide 4: Consumers Remain Cautious
Consumers Remain Cautious
Slide 5: PepsiCo's Successful Business Model
PepsiCo’s Successful Business Model • Structural and operational advantages • Successfully navigating uncertain times • Making strategic investments for future growth
Slide 6: PepsiCo Growth
PepsiCo Growth Consistent performance over time 5‐year CAGR 2004‐2008 Constant Currency* YTD Q2 2009 10% 10% 12% 6% 7% 8% 8% 6% 7% Net Core** Division Core** EPS Revenue Operating Profit * Constant currency: Financial results assuming constant foreign currency exchange rates used for translation bas
Slide 7: Meeting Challenges, Investing for the Future: Providing Value to Customers and Consumers
PepsiCo: Meeting Challenges, Investing for the Future Providing Value to Customers and Consumers Exceptional Go‐to‐Market Capability R&D and Innovation
Slide 8: Keeping the Customer with Us
Providing Value to Customers and Consumers Keeping the Customer with Us Price Size Functionality 99¢
Slide 9: Optimal Price Pack Architecture
Providing Value to Customers and Consumers Optimal Price Pack Architecture • Change visible price • Right price points • Adjust • Right margins weight/volume or configuration
Slide 10: Effectively Managing Price Gaps
Providing Value to Customers and Consumers Effectively Managing Price Gaps 20% EXTRA free in take home size corn brands in US
Slide 11: Nimble International Snacks Businesses
Providing Value to Customers and Consumers Nimble International Snacks Businesses Aliva Kurkure with Chili and Masala Price point to drive trials Increased weight to enhance value
Slide 12: Global Advances in Beverage Pack Sizes
Providing Value to Customers and Consumers Global Advances in Beverage Pack Sizes 1.2L 460 mL
Slide 13: Activating the Consumer
Providing Value to Customers and Consumers Activating the Consumer
Slide 14: Engaging the Consumer
Providing Value to Customers and Consumers Engaging the Consumer
Slide 15: Run Videos: Walkers Brit Trips, Do Us A Flavour
Run Videos: 1. Walkers Brit Trips 2. Walkers Do Us A Flavour
Slide 16: Slide 16
Slide 17: Meeting Challenges, Investing for the Future
PepsiCo: Meeting Challenges, Investing for the Future Providing Value to Customers and Consumers Exceptional Go‐to‐Market Capability R&D and Innovation
Slide 18: Working Capital Benefits for Customers
Exceptional Go‐to‐Market Capability Working Capital Benefits for Customers… • High velocity products – Frito‐Lay rotates 3‐4 times per month • Payment terms of 30 days • Retailers hold less inventory Compelling all‐in returns, both profit and ROIC
Slide 19: Exceptional Go-to-Market Capability: ... and to Consumers
Exceptional Go‐to‐Market Capability … and to Consumers
Slide 20: New Offerings at Hot Price Points
Exceptional Go‐to‐Market Capability New Offerings at Hot Price Points
Slide 21: Extending Our Reach
Exceptional Go‐to‐Market Capability Extending Our Reach Different cost models to reach new consumers
Slide 22: Leveraging Best Practices Across Markets
Exceptional Go‐to‐Market Capability Leveraging Best Practices Across Markets
Slide 23: Beverage System Transformation
Exceptional Go‐to‐Market Capability Beverage System Transformation
Slide 24: Optimized Route to Market
Exceptional Go‐to‐Market Capability Optimized Route to Market
Slide 25: Power of One
Exceptional Go‐to‐Market Capability Power of One Cross‐marketing of food and beverage portfolio
Slide 26: Meeting Challenges, Investing for the Future
PepsiCo: Meeting Challenges, Investing for the Future Providing Value to Customers and Consumers Exceptional Go‐to‐Market Capability R&D and Innovation
Slide 27: R&D and Innovation: Appealing to Local Tastes
R&D and Innovation Appealing to Local Tastes
Slide 28: R&D and Innovation: Adapting Local Customs
R&D and Innovation Adapting Local Customs
Slide 29: Run Video: India Beverage Nimbooz
Run Video: “India Beverage Nimbooz”
Slide 30: R&D and Innovation: Providing Functional Benefits
R&D and Innovation Providing Functional Benefits…
Slide 31: R&D and Innovation: Providing Functional Benefits
R&D and Innovation Providing Functional Benefits…
Slide 32: R&D and Innovation: For Different Need States
R&D and Innovation … For Different Need States
Slide 33: R&D and Innovation: For Different Need States
R&D and Innovation … For Different Need States
Slide 34: Run Video: G Athletic Consumer Clip
Run Video: G Athletic Consumer Clip
Slide 35: Meeting Challenges, Investing for the Future
PepsiCo: Meeting Challenges, Investing for the Future • Provide Value to Customers and Consumers • Exceptional Go‐to‐Market Capability • R&D and Innovation Healthy and Consistent Performance
Slide 36: Healthy and Consistent Performance
Healthy and Consistent Performance Structural and operational advantages Successfully navigating uncertain times Making strategic investments for future growth
Slide 37: PepsiCo
2 PEPSICO pepsi.
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