Why PepsiCo's Rebrand Failed?

PepsiCo's first big company meeting since 2006, CEO Indra Nooyi admitted the company learned it's lessons from some of the recent controversies regarding the sudden design overhaul of it's key brands.  She stated, "2009 was not a good year for North American beverages. We didn't like the North American beverage results" Really? You didn't, oh we're glad because we thought it was just us. I mean who really liked the so called, "refresh everything" campaign? I found myself asking, why fix a problem that wasn't broken? Was this iconic brand really in need of such a drastic change, but I'll save the design critique for another time, but the fact that Ms. Nooyi has acknowledge that the company made a mistake and quite frankly realized it's too late to "sweat the details" thus moving forward, is an even bigger letdown than it is "refreshing."

What's the rush?

Ms. Nooyi said the first lesson learned from the beverage portfolio overhaul is that the organization has to buy into the program. Realizing that it couldn't overhaul only two brands or drag out the revamp for several years, the company made a lot of changes in a short period of time. A task that was too big for itself... let's look at the key failures.

Remember Tropicana

Arnell Group's dramatic Tropicana rebrand at the beginning of 2009 was immediately scrutinized by consumers, media and the advertising industry, resulting in a replacement of the old product packaging and positioning. The "squeeze" campaign all together was a failure, including Arnell's advertising campaign which was missing essential clarity. But how cute was that squeeze cap at the top.

What's G?

Most Gatorade loyals only drink the popular 3 or 4 flavors that Gatorade has been known for. For years they've remained the No. 1 brand in their category of sport beverages, but recently they embarked on a massive rebrand during the economic recession of 09. The rebrand included redesign of more than a thousand packages, national advertising campaign and an increase in product line. As a result, Gatorade saw a decline in shares and criticism among media and analysts who have decried the brand's decline. Just ask yourself, how many flavors can you name? They've become overcomplicated and over saturated, forgetting their "core values" and simplicity that made them a success.