PepsiCo369 Allegheny Blvd, Franklin, PA 16323

1 (800) 433-2652www.pepsico.com

Company Overview

PepsiCo is a leading global food and beverage company with numerous brands that are respected household names throughout the world, including Pepsi, Frito-Lay and Tropicana. PepsiCo’s brands generate more than $1 billion and spread across 200 countries throughout the entire world. PepsiCo believes that acting ethically and responsibly is not just the right thing to do, but the right thing to do for its business. PepsiCo has also been recognized for leadership and performance, diversity and inclusion, environmental stewardship and supporting the communities in which we live and work” (PepsiCo, 2016).

Organization Stock

PepsiCo’s ticker symbol is PEP and current trading price as of 9 p.m. September 29, 2016 is $108.19, and has  a current 60% increase (PepsiCo, 2016). This information can be found housed under Stock Quotes under the Investors tab on PepsiCo’s website.

Assessment of the Organization’s Investor Relations

Public Relations Tactics Controlled media

o Website Pepsico has a website consisted of a ton of valuable information for their consumers and their investors.  When you go onto the website, it is nicely designed and easy to navigate. There are four tabs at the top: Who We Are, What We Believe, Brands You Love, Newsroom, and Investors.  Under the “Who We Are” tab, it allows you to read the history, search through the global brands, and meet the Board of Directors and Committees.   Under the “What We Believe” tab, one will find the overview of the company, mission and values, goals, letter from the CEO, global citizenship, policies, partnerships, awards, and information about their sustainability.  Under the “Brands You Love” tab, there is an overview of all the brands that PepsiCo is consisted of.  Under the “Newsroom” tab, there are videos one can watch and read press releases.  Under the “Investors” tab, information about earnings, events, annual reports, investor contacts, stocks, and shareholding can be found.

Investors tabWhen you first click on the investors tab, the first headline/box that appears is “PepsiCo Earnings Q3 2016.”  When you click on it, a PDF pops up of a twenty-seven page in depth paper about everything one needs to know about the third quarter

earnings results.  Under the headline news, there is a title called “Featured Events.” These are different events that have happened and are happening in the future.  For example, one event that is happening at PepsiCo is today, September 29th.  One was able to click on the title “Q3 2016 PepsiCo Earnings.”  Three things popup: webcast, press release, GAAP/Non-GAAP Reconciliation, and transcript.  The webcast is available to anyone who would like to join and attain more information about PepsiCo’s earnings.  When you click the link “Webcast,” it will bring you to a page to sign up in order to participate.  It asks you for your first and last name, e-mail, company (if there is one), country, and occupation.  There is also a sentence after submit that says “Submitting this form indicates your acceptance of the Privacy Statement.  There is information about the Investors Contacts, it includes overseas contact as well as contacts in the United States.  PepsiCo also includes on their website the SEC Filings.  These are reviews of PepsiCo’s filings with the U.S. Securities and Exchange Commission.  

    o Annual Shareholders’ Meeting

PepsiCo holds annual shareholders’ meetings for their shareholders.  There is a press release and a transcript that is available for the publics to read.  

o Social media PepsiCo utilizes three main social media platforms which are Instagram, Twitter, and Facebook.  PepsiCo promotes their brands on social media platforms by sharing recipes about their products, using hashtags to engage their followers, and using creative ways to inform their publics on what PepsiCo is doing in their company.  After researching about their social media, PepsiCo includes tweets on their twitter about the about the Quarterly Earnings.  The tweet read “$PEP CEO @IndraNooyi on Q3 #PEPearnings: image attached.”

o Videos (digital media)PepsiCo also takes advantage of creating fun animated videos for the publics to understand more about their quarterly earnings.  The videos are easy to read, short, and informational. The videos are posted on their website and also on their social media.  Since it is on their social media, it will direct more traffic to their website.  Overall, having the videos posted everywhere, it is more convenient.  

Uncontrolled Media and Media Relations o Press Releases and news

On PepsiCo’s website, there is a tab “Newsroom.”  Newsroom is made up of “PepsiCo Live” and Media Resources.  PepsiCo Live are stories about the company that

PepsiCo has shared or news coverage on the company.  Media Resources consist of press releases, media contacts, and media downloads.  However, under the investors tab, there are only press releases that are related to financial news.  

Community Relations o Corporate Citizenship/Strategic Grants

“Since 2005, PepsiCo, through its Foundation and divisions, has donated more than $900 million USD in cash and product to agencies” (PepsiCo **).  

Sustainability Under strategic grants, there are three areas of focus which include human sustainability, environmental sustainability, and talent sustainability. Human sustainability encourages a healthy lifestyle and improves availability for affordable nutrition.  Environmental sustainability focuses on access to water and enhancing sustainable agriculture capability.  Talent sustainability focuses on enabling job readiness and empowering women and girls.  The PepsiCo foundation has continued to support “Spark-a-Future.”  This is a non-profit organization that enables people to lend money to entrepreneurs in need.  PepsiCo has given them a donation of $1 million.  

Los Angeles Plaza de la Cultura y ArtesPepsiCo is also partners with the Los Angeles Plaza de la Cultura y Artes. The PepsiCo also granted them $1 in order to support and develop an “Editable Teaching Garden” and Culinary Arts Program.  Mexican and Mexican-American are able to learn about nutritional values of fruits and vegetables.  

The Earth Institute Columbia Water Center The PepsiCo Foundation donated $6 million to The Earth Institute Columbia Water Center.  This program helps design water initiatives to bring safe water to underserved communities that has little water.   

Diplomas NowPepsiCo “is the founding private-sector investor in Diplomas Now” (PepsiCo, 2016).  The program was developed in order to help middle and high schoolers located in the city so that they are ready to graduate ready or college or a career.   

o Community Service and Volunteering PepsiCorps

PepsiCo started a volunteer program called “PepsiCorps.”  PepsiCorps “is a skill-based volunteer program in which associated from around the world form teams that are deployed to help local communities address societal challenges” (PepsiCo, 2016).

Mother Water Cellar Project in Greater China RegionPepsiCo employees volunteered their hours to help construct a water purification tower for a rural school in China in order to support and benefit over 700 students and volunteers.  The employees also offered and provided a sanitation and health training.  

Food for GoodThis program was developed by PepsiCo employees to make nutritious foods more accessible in inner city communities in order to support their mission.  Since the program was started in 2009, there has been 1.6 million meals served to the children in the inner city.

o Disaster Relief and Humanitarian SupportThroughout the years, natural disasters occur all around the world. However, PepsiCo is there to support the ones that lost everything and need a little help getting back on their feet.  PepsiCo Foundation donate money in order to fund for food and donated supplies like Aquafina water.  

o Partnerships o 2030 Water Resources Group o American Beverage Association o Beverage Industry Environmental Roundtableo Consumer Goods Forum o FoodDrinkEuropeo Food Industry Asia o International Council of Beverage Associationso International Food & Beverage Alliance o International Life Sciences Instituteo Latin America Conservation Councilo Mexican Council of Consumer Goods Products (ConMexico)o Snack Food Association o The Grocery Manufacturers Association o U.S. Council for International Businesso World Business Council for Sustainable Developmento World Economic Forum

Three Main Investor Relations Concerns

Financially profitable

    PepsiCo has a tab for investors that leads to financial news, investor contacts, stock information and more. Each quarter a press release is provided that shows a summary of that quarter's financial performance, statement of income and cash flows charts, and more. Even provided is a glossary for those who are unfamiliar with words PepsiCo uses throughout the press release. PepsiCo has

another unique way of informing potential and current investors by creating a quarterly performance comic, which provides a quote from the CEO and easy to read statistics.

Well-managed        PepsiCo’s leadership information provided to the public is vast, just under the leadership tab there are 28 bios and headshots of the executive officers of the Company...from PepsiCo CEO Indra K. Nooyl to PepsiCo President and Chief Executive Officer of the greater China Region Mike Spanos, the company provides a plethora of information about who is behind the name. CEO Indra K. Nooyl doesn’t hide, her photo, information, and quotes are scattered all throughout PepsiCo.com. “In a world that is being radically reshaped by sweeping forces of change — from technological innovation and globalization to resource scarcity, climate change and public health challenges — how companies make money is just as important as how much money they make” Nooyl said. This quote is important because it shows where the CEO’s priorities are and it’s not only in “how much” but “how” PepsiCo makes it money and are they are viewed as a brand.

Ethical

    PepsiCo strives for honesty within the corporation. The company’s website has a letter from CEO Indra K. Nooyl, where she discusses the 3 pillars of sustainability PepsiCo focuses on, Human, Environmental and Talent. PepsiCo has a way for not only associates, but consumers to report potential violations of the PepsiCo Global Code of Conduct, Speak Up, which is a 24/7 hotline. Speak Up is a way for PepsiCo to show independence, proving PepsiCo is accountable for their actions. Advocacy is big for PepsiCo, shown through their stance on Human Sustainability. The company doesn’t just want to be known for treats but also for nutritional options as well and is continuing to create healthier choices for consumers.   

Recommendations     One of my recommendations for PepsiCo is to make their information about investing and investors easier to understand.  Under the “Investors” tab, there is so much information that you don’t know where to start.  Not a lot of people know or understand about investing, PepsiCo could offer a page of definitions and goals on where they want the company to be in order for more people to understand their investor relations.  

    To make the page easier to navigate, PepsiCo could create separate webpages for each of the tabs, filled with information in a less cluttered manner and easier for the user to use the site and take in the overwhelming amount of information.

    Under the Goals tab, PepsiCo talks about Performance with Purpose. Each goal performance, human, environmental and talent is discussed and shown where the company is on track or not to completing the goal. The picture provided with all of this information is slightly blurry making it hard to read. I would like to see a picture with clear text.  Also I would’ve liked to have been able to click on each goal to find the links to more information about each goal instead of having to navigate through each tab for more information.

    PepsiCo does an outstanding job with managing its social media platforms. One improvement that could be made is to engage more with their followers; it seems that a lot of comments and questions don’t always seem to be addressed, and it is important for your publics to know that your organization is always listening.

Proven Maxims

An appeal to an audience self-interest is most likely to be effective.

For an audience to invest in PepsiCo, it is important to cater to their self-interests. A member of a public must already be interested in investing with PepsiCo or other brands and products beforehand, therefore it makes more sense to market the PepsiCo investor relations plan toward those who are already interested in investments.

Explicitly stated messages and appeals tend to produce more behavior or opinion change than explanations of concepts or theories.

    By explicitly stating the goals of the organization to potential and current investors, it is more likely that they will be willing to invest their money with PepsiCo. The more informed about the company’s goals and hearing their messages makes it more likely for them to be willing to work with PepsiCo and invest in the brand. The more they trust what the brand is saying the more likely they are to trust it financially.

ReferencesPepsiCo. (n.d.). Retrieved September 30, 2016, from http://www.pepsico.com/