Pepsi To Intro Geo-Based Loyalty Program

Pepsi Co. iPhone app/Pepsi loot

PepsiCo is looking to match consumers with its foodservice partners (i.e., companies and restaurants that serve Pepsi products in their establishments) with a marketing program that combines a mobile application and a loyalty program.

"It's all about how you engage with consumers, and it's all about how consumers are living their lives," Margery Schelling, chief marketing officer for PepsiCo Foodservice, tells Marketing Daily . "I don't know any consumers who aren't traveling around with their phones."

In mid-May, PepsiCo will launch Pepsi Loot, an iPhone app that uses geotargeting for people to find nearby restaurants that serve Pepsi beverages, ranging from chains Taco Bell, Pizza Hut, Arby's and Panda Express to individual restaurants that have Pepsi contracts, Schelling says. "It's a big equalizer," she says. "It's bringing a lot of awareness to some of our smaller partners."



Once people go to one of the so-called "Pop spots" (which can be narrowed by cuisine and other criteria), they are encouraged to check in via the app. Checking in will allow them to earn loyalty "Loot" points, which can be used to obtain downloadable songs from Universal Music Group, exclusive behind-the-scenes content from artists such as Keane, Katherine McPhee and Jamie Cullum, and offers from participating Pop Spots (like a free drink with an entrée purchase).

"This is the first geo-based loyalty program that's out there," Schelling says. She described the program as a "learning lab" for the company to explore new ways to use social media, but she added that the company may look for ways to expand it beyond beverages and restaurants into retail outlets and convenience stores.

PepsiCo also recently became the exclusive non-alcoholic beverage partner with Foursquare, which will customize programs and retailer-specific experiments for the company beginning in June.

The company will promote the program through its customer database, as well as digital and mobile marketing initiatives, Schelling says, adding that PepsiCo will also tout Pepsi Loot through point-of-sale materials.

2 comments about "Pepsi To Intro Geo-Based Loyalty Program ".
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  1. Ben Miyares, May 3, 2010 at 7:11 a.m.

    Is this promotion program being established globally or just in the U.S.?

  2. Howie Goldfarb from Blue Star Strategic Marketing, May 3, 2010 at 9:12 a.m.

    I LOVE PEPSI! But sorry choice of soft drinks won't make my food choice. Their reward or bribe is going to be pretty damn big to steer me that way. And the forget if you have an IPhone you have $$. Which means rewards have to be even bigger because these folks can eat anywhere they want.

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