From small-town drugstore to global FMCG giant, how Pepsi captured soft-drink market in 200 countries after…
GH News March 06, 2025 09:06 PM
Coca Cola and Pepsi are the two most prominent that come to mind when we talk about non-alcoholic beverages or carbonated soft drinks. But did you know that Pepsi the second largest market leader in the global soft-drink industry started out as a homemade concoction made by pharmacist who sold it at his smalltime drugstore in New Bern a sleepy little town in California United States? Let us delve into the humble beginnings of Pepsi and its phenomenal rise to become a global leader in the Fast-Moving Consumer Goods (FMCG) market in over 200 countries worldwide. Pepsi: History and origins Pepsi humble beginnings are rooted in New Bern California where Caleb Bradham a pharmacist by profession first concocted what would later become the refreshing cola loved by billions across the globe as a medicinal drink to cure indigestion. In 1893 Caleb prepared the concoction by mixing sugar caramel nutmeg lemon and cola nuts in water and started selling it at his drugstore under the name Brads Drink. The pharmacist touted his homemade blend as a medicinal drink which improves digestion however the drink soon became immensely popular and with sales going through the roof Bradham mulled the idea of coming up with a catchy name for his concoction. In 1898 Caleb Bradham settled on the name Pepsi-Cola after the digestive enzyme pepsin and introduced the beverage in the market as a healthy cola that he claimed had digestive benefits. Notably despite its name being derived from pepsin the beverages initial formula did not include the digestive enzyme but was made from sugar and vanilla. Bankruptcy and revival During its formative years Pepsi could not replicate its initial success and eventually went bankrupt in 1923. However Charles Guth purchased the company and revived it by reformulating the beverage. During the Great Depression Guth introduced a 12-ounce Pepsi bottle which made the drink immensely popular. He also employed clever marketing strategies like the Nickel Nickel jingle that doubled Pepsis sales in a short period. The iconic Pepsi logo Akin to its formula Pepsis iconic logo has undergone sweeping changes since its launch initially featuring the same red color as that of its competitor Coca Cola. In 1940 the Pepsi Cola logo was designed with a strange font but the ultimately in 1950 the company came up with the first variation of Pepsis modern-day logo by adding the blue and white on the bottle cap. Over time this logo evolved into the iconic Pepsi logo even as the beverages name was officially shortened to Pepsi in 1961 ditching the cola part in order to stand out from rival brand Coca Cola. The rise of PepsiCo PepsiCo the company that own Pepsi is a global leader in the FMCG sector boasting a market cap of $211.12 billion and spread globally across over 200 countries. Primarily known for its carbonated and non-carbonated beverages that includes beloved drinks like Mirinda Ocean Spray Mountain Dew Aquafina Lipton 7up Tropicana AMP energy PepsiCo has expanded its portfolio with its popular snack brands such as Ruffles Fritos Cheetos Cracker Jack Sun Chips Tostitos and Lays. Today PepsiCo is global powerhouse in the FMCG space with presence in Latin America Europe Asia Pacific Australia New Zealand China Africa India Middle East and South East Asia among other countries.
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