Pepsi is a carbonated soft drink that is produced and manufactured by PepsiCo.

Invented in 1893
and introduced as "Brad's Drink", it was later renamed as Pepsi-Cola on June 16, 1903.

History

The pharmacy of Caleb Bradham, with a Pepsi dispenser, as portrayed in a New Bern exhibition
in the Historical Museum of Bern.

Pepsi was first introduced as "Brad's Drink" in New Bern, North Carolina, in 1893 by Caleb
Bradham, who made it at his pharmacy where the drink was sold. It was later named Pepsi Cola,
possibly due to the digestive enzyme pepsin and kola nuts used in the recipe.[1] Bradham sought
to create a fountain drink that was delicious and would aid in digestion and boost energy.[2]

In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore to a rented warehouse.
That year, Bradham sold 7,968 gallons of syrup. The next year, Pepsi was sold in six-ounce
bottles, and sales increased to 19,848 gallons. In 1909, automobile race pioneer Barney Oldfield
was the first celebrity to endorse Pepsi-Cola, describing it as "A bully drink...refreshing,
invigorating, a fine bracer before a race." The advertising theme "Delicious and Healthful" was
then used over the next two decades.[3] In 1926, Pepsi received its first logo redesign since the
original design of 1905. In 1929, the logo was changed again.

In 1931, at the depth of the Great Depression, the Pepsi-Cola Company entered bankruptcy - in
large part due to financial losses incurred by speculating on wildly fluctuating sugar prices as a
result of World War I. Assets were sold and Roy C. Megargel bought the Pepsi trademark.[4]
Eight years later, the company went bankrupt again. Pepsi's assets were then purchased by
Charles Guth, the President of Loft Inc. Loft was a candy manufacturer with retail stores that
contained soda fountains. He sought to replace Coca-Cola at his stores' fountains after Coke
refused to give him a discount on syrup. Guth then had Loft's chemists reformulate the Pepsi-
Cola syrup formula.
On three separate occasions between 1922 and 1933, the Coca-Cola Company was offered the
opportunity to purchase the Pepsi-Cola company and it declined on each occasion.[5]

[edit] Pepsi-Cola trademark

The original stylized Pepsi-Cola logo

The second stylized Pepsi-Cola logo

The original trademark application for Pepsi-Cola was filed on September 23, 1902 with
registration approved on June 16, 1903. In the application's statement, Caleb Bradham describes
the trademark as an, "arbitrary hyphenated word "PEPSI-COLA," and indicated that the mark
was in continuous use for his business since August 1, 1901. The Pepsi-Cola's description is a
flavoring-syrup for soda water. The trademark expired on April 15, 1994.

A second Pepsi-Cola trademark is on record with the USPTO. The application date submitted by
Caleb Bradham for the second trademark is Saturday, April 15, 1905 with the successful
registration date of April 15, 1906, over three years after the original date. Curiously, in this
application, Caleb Bradham states that the trademark had been continuously used in his business
"and those from whom title is derived since in the 1905 application the description submitted to
the USPTO was for a tonic beverage. The federal status for the 1905 trademark is registered and
renewed and is owned by Pepsico, Inc. of Purchase, New York.

[edit] Rise

During the Great Depression, Pepsi gained popularity following the introduction in 1936 of a 12-
ounce bottle. Initially priced at 10 cents, sales were slow, but when the price was slashed to five
cents, sales increased substantially. With a radio advertising campaign featuring the jingle
"Pepsi-Cola hits the spot / Twelve full ounces, that's a lot / Twice as much for a nickel, too /
Pepsi-Cola is the drink for you," arranged in such a way that the jingle never ends. Pepsi
encouraged price-watching consumers to switch, obliquely referring to the Coca-Cola standard
of six ounces per bottle for the price of five cents (a nickel), instead of the 12 ounces Pepsi sold
at the same price.[6] Coming at a time of economic crisis, the campaign succeeded in boosting
Pepsi's status. From 1936 to 1938, Pepsi-Cola's profits doubled.[7]

Pepsi's success under Guth came while the Loft Candy business was faltering. Since he had
initially used Loft's finances and facilities to establish the new Pepsi success, the near-bankrupt
Loft Company sued Guth for possession of the Pepsi-Cola company. A long legal battle, Guth v.
Loft, then ensued, with the case reaching the Delaware Supreme Court and ultimately ending in a
loss for Guth.
[edit] Niche marketing

1940s advertisement specifically targeting African Americans

Walter Mack was named the new President of Pepsi-Cola and guided the company through the
1940s. Mack, who supported progressive causes, noticed that the company's strategy of using
advertising for a general audience either ignored African Americans or used ethnic stereotypes in
portraying blacks. He realized African Americans were an untapped niche market and that Pepsi
stood to gain market share by targeting its advertising directly towards them.[8] To this end, he
hired Hennan Smith, an advertising executive "from the Negro newspaper field"[9] to lead an all-
black sales team, which had to be cut due to the onset of World War II. In 1947, Mack resumed
his efforts, hiring Edward F. Boyd to lead a twelve-man team. They came up with advertising
portraying black Americans in a positive light, such as one with a smiling mother holding a six
pack of Pepsi while her son (a young Ron Brown, who grew up to be Secretary of Commerce)[10]
reaches up for one. Another ad campaign, titled "Leaders in Their Fields", profiled twenty
prominent African Americans such as Nobel Peace Prize winner Ralph Bunche and photographer
Gordon Parks.

Boyd also led a sales team composed entirely of blacks around the country to promote Pepsi.
Racial segregation and Jim Crow laws were still in place throughout much of the U.S.; Boyd's
team faced a great deal of discrimination as a result,[9] from insults by Pepsi co-workers to threats
by the Ku Klux Klan.[10] On the other hand, they were able to use racism as a selling point,
attacking Coke's reluctance to hire blacks and support by the chairman of Coke for segregationist
Governor of Georgia Herman Talmadge.[8] As a result, Pepsi's market share as compared to
Coke's shot up dramatically. After the sales team visited Chicago, Pepsi's share in the city
overtook that of Coke for the first time.[8]

This focus on the market for black people caused some consternation within the company and
among its affiliates. They did not want to seem focused on black customers for fear white
customers would be pushed away.[8] In a meeting at the Waldorf-Astoria Hotel, Mack tried to
assuage the 500 bottlers in attendance by pandering to them, saying, "We don't want it to become
known as a nigger drink."[11] After Mack left the company in 1950, support for the black sales
team faded and it was cut.

[edit] Marketing

Pepsi logo (1970-87). In 1987, the font was modified slightly to a more rounded version which
was used until 1991. This logo was used for Pepsi Throwback in 2010.

Pepsi logo (2003-2008). Pepsi Wild Cherry and Pepsi ONE continued to use this design through
March 2010. It was outside of the U.S. until 2010. The original version had the Pepsi wording on
the top left of the Pepsi Globe. In 2007, the Pepsi wording was moved to the bottom of the globe.
Photo of a Pepsi can with the current logo and labeling (2008 - present.)

Pepsi bottle in Mexico. This logo was still in use in Mexico and most countries through early
2010. This Pepsi logo was last used in Canada in May 2009.

From the 1930s through the late 1950s, "Pepsi-Cola Hits The Spot" was the most commonly
used slogan in the days of old radio, classic motion pictures, and later television. Its jingle
(conceived in the days when Pepsi cost only five cents) was used in many different forms with
different lyrics.

With the rise of television, Pepsi utilized the services of a young, up-and-coming actress named
Polly Bergen to promote products, oftentimes lending her singing talents to the classic "...Hits
The Spot" jingle. Some of these Bergen spots can be seen on ClassicTVAds.com.

Through the intervening decades, there have been many different Pepsi theme songs sung on
television by a variety of artists, from Joanie Summers to The Jacksons to Britney Spears. (See
Slogans)

In 1975, Pepsi introduced the Pepsi Challenge marketing campaign where PepsiCo set up a blind
tasting between Pepsi-Cola and rival Coca-Cola. During these blind taste tests the majority of
participants picked Pepsi as the better tasting of the two soft drinks. PepsiCo took great
advantage of the campaign with television commercials reporting the results to the public.[12]

In 1976 Pepsi, RKO Bottlers in Toledo, Ohio hired the first female Pepsi salesperson, Denise
Muck, to coincide with the United States bicentennial celebration.

In 1996, PepsiCo launched the highly successful Pepsi Stuff marketing strategy. By 2002, the
strategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helped redefine
promotion marketing."[13]

In 2007, PepsiCo redesigned their cans for the fourteenth time, and for the first time, included
more than thirty different backgrounds on each can, introducing a new background every three
weeks.[14] One of their background designs includes a string of repetitive numbers, "73774". This
is a numerical expression from a telephone keypad of the word "Pepsi."

In late 2008, Pepsi overhauled their entire brand, simultaneously introducing a new logo and a
minimalist label design. The redesign was comparable to Coca-Cola's earlier simplification of
their can and bottle designs. Also in 2008 Pepsi teamed up with Google/YouTube to produce the
first daily entertainment show on Youtube, Poptub. This daily show deals with pop culture,
internet viral videos, and celebrity gossip. Poptub is updated daily from Pepsi.

In 2009, "Bring Home the Cup," changed to "Team Up and Bring Home the Cup." The new
installment of the campaign asks for team involvement and an advocate to submit content on
behalf of their team for the chance to have the Stanley Cup delivered to the team's hometown by
Mark Messier.

Pepsi has official sponsorship deals with three of the four major North American professional
sports leagues: the National Football League, National Hockey League and Major League
Baseball. Pepsi also sponsors Major League Soccer.

Pepsi also has sponsorship deals in international cricket teams. The Pakistan cricket team is one
of the teams that the brand sponsors. The team wears the Pepsi logo on the front of their test and
ODI test match clothing.

On July 6, 2009, Pepsi announced it would make a $1 billion investment in Russia over three
years, bringing the total Pepsi investment in the country to $4 billion.[15]

In July 2009, Pepsi started marketing itself as Pecsi in Argentina in response to its name being
mispronounced by 25% of the population and as a way to connect more with all of the
population.[16]

In October 2008, Pepsi announced that it would be redesigning its logo and re-branding many of
its products by early 2009. In 2009, Pepsi, Diet Pepsi and Pepsi Max began using all lower-case
fonts for name brands, and Diet Pepsi Max was re-branded as Pepsi Max. The brand's blue and
red globe trademark became a series of "smiles," with the central white band arcing at different
angles depending on the product until 2010. Pepsi released this logo in U.S. in late 2008, and
later it was released in 2009 in Canada (the first country outside of the United States for Pepsi's
new logo), Brazil, Bolivia, Guatemala, Nicaragua, Honduras, El Salvador, Colombia, Argentina,
Puerto Rico, Costa Rica, Panama, Chile, Dominican Republic, the Philippines and Australia; in
the rest of the world the new logo has been released in 2010, meaning the old logo has been
phased out entirely (most recently, France and Mexico switched to Pepsi's current logo). The UK
started to use the new Pepsi logo on cans in an order different from the US can. In mid-2010, all
Pepsi variants, regular, diet, and Pepsi Max, have started using only the medium-sized "smile"
Pepsi Globe.

Pepsi and Pepsi Max cans and bottles in Australia now carry the localized version of the new
Pepsi Logo. The word Pepsi and the logo are in the new style, while the word "Max" is still in
the previous style. Pepsi Wild Cherry finally received the 2008 Pepsi design in March 2010.

[edit] Rivalry with Coca-Cola

Main article: Cola Wars

According to Consumer Reports, in the 1970s, the rivalry continued to heat up the market. Pepsi
conducted blind taste tests in stores, in what was called the "Pepsi Challenge". These tests
suggested that more consumers preferred the taste of Pepsi (which is believed to have more
lemon oil, less orange oil, and uses vanillin rather than vanilla) to Coke. The sales of Pepsi
started to climb, and Pepsi kicked off the "Challenge" across the nation. This became known as
the "Cola Wars".

In 1985, The Coca-Cola Company, amid much publicity, changed its formula. The theory has
been advanced that New Coke, as the reformulated drink came to be known, was invented
specifically in response to the Pepsi Challenge. However, a consumer backlash led to Coca-Cola
quickly reintroducing the original formula as Coke "Classic".

According to Beverage Digest's 2008 report on carbonated soft drinks, PepsiCo's U.S. market
share is 30.8 percent, while The Coca-Cola Company's is 42.7 percent.[17] Coca-Cola outsells
Pepsi in most parts of the U.S., notable exceptions being central Appalachia, North Dakota, and
Utah. In the city of Buffalo, New York, Pepsi outsells Coca-Cola by a two-to-one margin.[18]

Overall, Coca-Cola continues to outsell Pepsi in almost all areas of the world. However,
exceptions include India; Saudi Arabia; Pakistan (Pepsi has been a dominant sponsor of the
Pakistan cricket team since the 1990s); the Dominican Republic; Guatemala the Canadian
provinces of Quebec, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island; and
Northern Ontario.[19]

Pepsi had long been the drink of Canadian Francophones and it continues to hold its dominance
by relying on local Québécois celebrities (especially Claude Meunier, of La Petite Vie fame) to
sell its product.[20] PepsiCo use the slogan "here, it's Pepsi" (Ici, c'est Pepsi) to answer to Coca-
cola publicity "Everywhere in the world, it's Coke" (Partout dans le monde, c'est Coke).
By most accounts, Coca-Cola was India's leading soft drink until 1977 when it left India after a
new government ordered The Coca-Cola Company to turn over its secret formula for Coke and
dilute its stake in its Indian unit as required by the Foreign Exchange Regulation Act (FERA). In
1988, PepsiCo gained entry to India by creating a joint venture with the Punjab government-
owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. This joint venture
marketed and sold Lehar Pepsi until 1991 when the use of foreign brands was allowed; PepsiCo
bought out its partners and ended the joint venture in 1994. In 1993, The Coca-Cola Company
returned in pursuance of India's Liberalization policy.[21] In 2005, The Coca-Cola Company and
PepsiCo together held 95% market share of soft-drink sales in India. Coca-Cola India's market
share was 52.5%.[22]

In Russia, Pepsi initially had a larger market share than Coke but it was undercut once the Cold
War ended. In 1972, PepsiCo company struck a barter agreement with the then government of
the Soviet Union, in which PepsiCo was granted exportation and Western marketing rights to
Stolichnaya vodka in exchange for importation and Soviet marketing of Pepsi-Cola.[23] [24] This
exchange led to Pepsi-Cola being the first foreign product sanctioned for sale in the U.S.S.R.[25]

Reminiscent of the way that Coca-Cola became a cultural icon and its global spread spawned
words like "coca colonization", Pepsi-Cola and its relation to the Soviet system turned it into an
icon. In the early 1990s, the term "Pepsi-stroika" began appearing as a pun on "perestroika", the
reform policy of the Soviet Union under Mikhail Gorbachev. Critics viewed the policy as a lot of
fizz without substance and as an attempt to usher in Western products in deals there with the old
elites. Pepsi, as one of the first American products in the Soviet Union, became a symbol of that
relationship and the Soviet policy.[26] This was reflected in Russian author Victor Pelevin's book
"Generation P".

In 1989, Billy Joel mentioned the rivalry between the two companies in the song "We Didn't
Start The Fire". The line "Rock & Roll and Cola Wars" refers to Pepsi and Coke's usage of
various musicians in their advertising campaigns. Coke used Paula Abdul, while Pepsi used
Michael Jackson. They then continued to try to get other musicians to advertise their beverages.

In 1992, following the Soviet collapse, Coca-Cola was introduced to the Russian market. As it
came to be associated with the new system, and Pepsi to the old, Coca-Cola rapidly captured a
significant market share that might otherwise have required years to achieve. By July 2005,
Coca-Cola enjoyed a market share of 19.4 percent, followed by Pepsi with 13 percent.[27]

Pepsi did not sell soft drinks in Israel until 1991. Many Israelis and some American Jewish
organizations attributed Pepsi's previous reluctance to do battle to the Arab boycott. Pepsi, which
has a large and lucrative business in the Arab world, denied that, saying that economic, rather
than political, reasons kept it out of Israel
Brief Pepsi History

Born in the Carolinas in 1898, Pepsi-Cola has a long and rich history. The drink is the
invention of Caleb Bradham (left), a pharmacist and drugstore owner in New Bern, North
Carolina.

The information published here is provided by PepsiCo, Inc. and may

be accessed at their site: www.pepsi.com.

The summer of 1898, as usual, was hot and humid in New Bern, North
Carolina. So a young pharmacist named Caleb Bradham began
experimenting with combinations of spices, juices, and syrups trying to
create a refreshing new drink to serve his customers. He succeeded
beyond all expectations because he invented the beverage known around
the world as Pepsi-Cola.

Caleb Bradham knew that to keep people returning to his pharmacy, he

would have to turn it into a gathering place. He did so by concocting his
own special beverage, a soft drink. His creation, a unique mixture of kola nut extract,
vanilla and rareoils, became so popular his customers named it "Brad's Drink." Caleb
decided to rename it "Pepsi-Cola," and advertised his new soft drink. People responded,
and sales of Pepsi-Cola started to grow, convincing him that he should form a company to
market the new beverage.

In 1902, he launched the Pepsi-Cola Company in the back room of his pharmacy, and
applied to the U.S. Patent Office for a trademark. At first, he mixed the syrup himself and
sold it exclusively through soda fountains. But soon Caleb recognized that a greater
opportunity existed to bottle Pepsi so that people could drink it anywhere.

The business began to grow, and on June 16, 1903, "Pepsi-Cola" was officially registered
with the U.S. Patent Office. That year, Caleb sold 7,968 gallons of syrup, using the theme
line "Exhilarating, Invigorating, Aids Digestion." He also began awarding franchises to
bottle Pepsi to independent investors, whose number grew from just two in 1905, in the
cities of Charlotte and Durham, North Carolina, to 15 the following year, and 40 by 1907.
By the end of 1910, there were Pepsi-Cola franchises in 24 states.

Pepsi-Cola's first bottling line resulted from some less-than-sophisticated engineering in the
back room of Caleb's pharmacy. Building a strong franchise system was one of Caleb's
greatest achievements. Local Pepsi-Cola bottlers, entrepreneurial in spirit and dedicated to
the product's success, provided a sturdy foundation. They were the cornerstone of the
Pepsi-Cola enterprise. By 1907, the new company was selling more than 100,000 gallons of
syrup per year.
Growth was phenomenal, and in 1909 Caleb erected a headquarters so spectacular that the
town of New Bern pictured it on a postcard. Famous racing car driver Barney Oldfield
endorsed Pepsi in newspaper ads as "A bully drink...refreshing, invigorating, a fine bracer
before a race."

The previous year, Pepsi had been one of the first companies in the United States to switch
from horse-drawn transport to motor vehicles, and Caleb's business expertise captured
widespread attention. He was even mentioned as a possible candidate for Governor. A 1913
editorial in the Greensboro Patriot praised him for his "keen and energetic business
sense."

Pepsi-Cola enjoyed 17 unbroken years of success. Caleb now

promoted Pepsi sales with the slogan, "Drink Pepsi-Cola. It
will satisfy you." Then cameWorld War I, and the cost of
doing business increased drastically. Sugar prices see sawed
between record highs and disastrous lows, and so did the price
of producing Pepsi-Cola. Caleb was forced into a series of
business gambles just to survive, until finally, after three
exhausting years, his luck ran out and he was bankrupted. By
1921, only two plants remained open. It wasn't until a successful candy manufacturer,
Charles G. Guth, appeared on the scene that the future of Pepsi-Cola was assured. Guth
was president of Loft Incorporated, a large chain of candy stores and soda fountains along
the eastern seaboard. He saw Pepsi-Cola as an opportunity to discontinue an unsatisfactory
business relationship with the Coca-Cola Company, and at the same time to add an
attractive drawing card to Loft's soda fountains. He was right. After five owners and 15
unprofitable years, Pepsi-Cola was once again a thriving national brand.

One oddity of the time, for a number of years, all of Pepsi-Cola's sales were actually
administered from a Baltimore building apparently owned by Coca-Cola, and named for
its president. Within two years, Pepsi would earn $1 million for its new owner. With the
resurgence came new confidence, a rarity in those days because the nation was in the early
stages of a severe economic decline that came
to be known as the Great Depression.             

 1898 Caleb Bradham, a New Bern, North

Carolina, pharmacist, renames "Brad's
Drink," a carbonated soft drink he created to
serve his drugstore's fountain customers. The
new name, Pepsi-Cola, is derived from two of
the principal ingredients, pepsin and kola nuts.
It is first used on August 28.

1902 Bradham applies to the U.S. Patent Office

for a trademark for the Pepsi-Cola name.
1903 In keeping with its origin as a pharmacist's concoction, Bradham's advertising praises
his drink as "Exhilarating, invigorating, aids digestion."

1905 A new logo appears, the first change from the original created in 1898.

1906 The logo is redesigned and a new slogan added: "The original pure food drink." The
trademark is registered in Canada.

1907 The Pepsi trademark is registered in Mexico.

1909 Automobile racing pioneer Barney Oldfield becomes Pepsi's first celebrity endorser
when he appears in newspaper ads describing Pepsi-Cola as "A bully drink...refreshing,
invigorating, a fine bracer before a race." The theme "Delicious and Healthful" appears,
and will be used intermittently over the next two decades.

1920 Pepsi appeals to consumers with, "Drink Pepsi-Cola. It will satisfy you."

1932 The trademark is registered in Argentina.

1934 Pepsi begins selling a 12-ounce bottle for five cents, the same price charged by its
competitors for six ounces.

1938 The trademark is registered in the Soviet Union.

1939 A newspaper cartoon strip, "Pepsi & Pete," introduces the theme "Twice as Much for
a Nickel" to increase consumer awareness of Pepsi's value advantage.

1940 Pepsi makes advertising history with the first advertising jingle ever broadcast
nationwide. "Nickel, Nickel" will eventually become a hit record and will be translated into
55 languages. A new, more modern logo is adopted.

1941 In support of America's war effort, Pepsi changes the color of its bottle crowns to red,
white and blue. A Pepsi canteen in Times Square, New York, operates throughout the war,
enabling more than a million families to record messages for armed services personnel
overseas.

1943 The "Twice as Much" advertising strategy expands to include the theme, "Bigger
Drink, Better Taste."

1949 "Why take less when Pepsi's best?" is added to "Twice as Much" advertising.

1950 "More Bounce to the Ounce" becomes Pepsi's new theme as changing soft drink
economics force Pepsi to raise prices to competitive levels. The logo is again updated.

1953 Americans become more weight conscious, and a new strategy based on Pepsi's lower
caloric content is implemented with "The Light Refreshment" campaign.
1954 "The Light Refreshment" evolves to incorporate "Refreshing Without Filling."

1958 Pepsi struggles to enhance its brand image. Sometimes referred to as "the kitchen
cola," as a consequence of its long-time positioning as a bargain brand, Pepsi now identifies
itself with young, fashionable consumers with the "Be Sociable, Have a Pepsi" theme. A
distinctive "swirl" bottle replaces Pepsi's earlier straight-sided bottle.

1959 Soviet Premier Nikita Khrushchev and U.S. Vice-President Richard Nixon meet in the
soon-to-be-famous "kitchen debate" at an international trade fair. The meeting, over Pepsi,
is photo-captioned in the U.S. as "Khrushchev Gets Sociable."

1961 Pepsi further refines its target audience, recognizing the increasing importance of the
younger, post-war generation. "Now it's Pepsi, for Those who think Young" defines youth
as a state of mind as much as a chronological age, maintaining the brand's appeal to all
market segments.

1963 In one of the most significant demographic events in commercial history, the post-war
baby boom emerges as a social and marketplace phenomenon. Pepsi recognizes the change,
and positions Pepsi as the brand belonging to the new generation-The Pepsi Generation.
"Come alive! You're in the Pepsi Generation" makes advertising history. It is the first time
a product is identified, not so much by its attributes, as by its consumers' lifestyles and
attitudes.

1964 A new product, Diet Pepsi, is introduced into Pepsi-Cola advertising.

1966 Diet Pepsi's first independent campaign, "Girlwatchers," focuses on the cosmetic
benefits of the low-calorie cola. The "Girlwatchers" musical theme becomes a Top 40 hit.
Advertising for another new product, Mountain Dew, a regional brand acquired in 1964,
airs for the first time, built around the instantly recognizable tag line, "Ya-Hoo, Mountain
Dew!"

1967 When research indicates that consumers place a premium on Pepsi's superior taste
when chilled, "Taste that beats the others cold. Pepsi pours it on" emphasizes Pepsi's
product superiority. The campaign, while product-oriented, adheres closely to the
energetic, youthful, lifestyle imagery established in the initial Pepsi Generation campaign.

1969 "You've got a lot to live. Pepsi's got a lot to give" marks a shift in Pepsi Generation
advertising strategy. Youth and lifestyle are still the campaign's driving forces, but with
"Live/Give," a new awareness and a reflection of contemporary events and mood become
integral parts of the advertising's texture.

1973 Pepsi Generation advertising continues to evolve. "Join the Pepsi People, Feelin'
Free" captures the mood of a nation involved in massive social and political change. It
pictures us the way we are-one people, but many personalities.
1975 The Pepsi Challenge, a landmark marketing strategy, convinces millions of consumers
that Pepsi's taste is superior.

1976 "Have a Pepsi Day" is the Pepsi Generation's upbeat reflection of an improving
national mood. "Puppies," a 30-second snapshot of an encounter between a very small boy
and some even smaller dogs, becomes an instant commercial classic.

1979 With the end of the '70s comes the end of a national malaise. Patriotism has been
restored by an exuberant celebration of the U.S. bicentennial, and Americans are looking
to the future with renewed optimism. "Catch that Pepsi Spirit!" catches the mood and the
Pepsi Generation carries it forward into the '80s.

1982 With all the evidence showing that Pepsi's taste is superior, the only question
remaining is how to add that message to Pepsi Generation advertising. The answer?
"Pepsi's got your Taste for Life!," a triumphant celebration of great times and great taste.

1983 The soft drink market grows more competitive, but for Pepsi drinkers, the battle is
won. The time is right and so is their soft drink. It's got to be "Pepsi Now!"

1984 A new generation has emerged-in the United States, around the world and in Pepsi
advertising, too. "Pepsi. The Choice of a New Generation" announces the change, and the
most popular entertainer of the time, Michael Jackson, stars in the first two commercials of
the new campaign. The two spots quickly become "the most eagerly awaited advertising of
all time."

1985 Lionel Richie leads a star-studded parade into "New Generation" advertising
followed by pop music icons Tina Turner and Gloria Estefan. Sports heroes Joe Montana
and Dan Marino are part of it, as are film and television stars Teri Garr and Billy Crystal.
Geraldine Ferraro, the first woman nominated to be vice president of the U.S., stars in a
Diet Pepsi spot. And the irrepressible Michael J. Fox brings a special talent, style and spirit
to a series of Pepsi and Diet Pepsi commercials, including a classic, "Apartment 10G."

1987 After an absence of 27 years, Pepsi returns to Times Square, New York, with a
spectacular 850-square foot electronic display billboard declaring Pepsi to be "America's
Choice."

1988 Michael Jackson returns to "New Generation" advertising to star in a four-part

"episodic" commercial named "Chase." "Chase" airs during the Grammy
Awards program and is immediately hailed by the media as "the most-
watched commercial in advertising history."

1989 "The Choice of a New Generation" theme expands to categorize Pepsi

users as "A Generation Ahead!"

1990 Teen stars Fred Savage and Kirk Cameron join the "New Generation"
campaign, and football legend Joe Montana returns in a spot challenging
other celebrities to taste test their colas against Pepsi. Music legend Ray Charles stars in a
new Diet Pepsi campaign, "You got the right one baby."

1991 "You got the Right one Baby" is modified to "You got the Right one Baby, Uh-Huh!"
The "Uh-Huh Girls" join Ray Charles as back-up singers and a campaign soon to become
the most popular advertising in America is on its way. Supermodel Cindy Crawford stars
in an award-winning commercial made to introduce Pepsi's updated logo and package
graphics.

1992 Celebrities join consumers, declaring that they "Gotta Have It." The interim
campaign supplants "Choice of a New Generation" as work proceeds on new Pepsi
advertising for the '90s. Mountain Dew growth continues, supported by the antics of an
outrageous new Dew Crew whose claim to fame is that, except for the unique great taste of
Dew, they've "Been there, Done that, Tried that."

1993 "Be Young, Have fun, Drink Pepsi" advertising starring basketball superstar
Shaquille O'Neal is rated as best in U.S.

1994 New advertising introducing Diet Pepsi's freshness dating initiative features Pepsi
CEO Craig Weatherup explaining the relationship between freshness and superior taste to
consumers.

1995 In a new campaign, the company declares "Nothing else is a Pepsi" and takes top
honors in the year's national advertising championship.