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Working Paper: Case Study

PepsiCo Unlocks Granular Growth Using a Data-Driven Understanding of Shoppers

PEPWORX capabilities supported PepsiCo in transforming the nature of its retail customer relationships from transactional to collaborative.
CASE STUDY

An in-depth description of a firm’s approach to an IT management issue (intended for MBA and executive education)

Abstract

In 2019, PepsiCo was a $65 billion global consumer packaged goods company that offered a suite of data analytics capabilities called PEPWORX. The capabilities enabled PepsiCo and its retail customers to unlock granular growth in the marketplace by helping users of PEPWORX better understand how to optimize store-level assortment and total store space, manage marketing dollars more effectively, and successfully launch and manage innovative marketing programs. PEPWORX was the product of a centralized unit at PepsiCo called the PepsiCo Demand Accelerator, established in early 2015, which helped the company build an advanced analytics platform, a large anonymized shopper-level data set, and an array of information solutions, ultimately packaged as PEPWORX. Over that time, the PEPWORX capabilities supported PepsiCo in transforming the nature of its retail customer relationships from transactional to collaborative.

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This case study was prepared by Barbara H. Wixom of the MIT Sloan Center for Information Systems Research (CISR). The case was written for the purposes of class discussion, rather than to illustrate either effective or ineffective handling of a managerial situation. The author would like to acknowledge and thank the executives at PepsiCo for participating in the case study.

About the Author

MIT CENTER FOR INFORMATION SYSTEMS RESEARCH (CISR)

Founded in 1974 and grounded in MIT's tradition of combining academic knowledge and practical purpose, MIT CISR helps executives meet the challenge of leading increasingly digital and data-driven organizations. We work directly with digital leaders, executives, and boards to develop our insights. Our consortium forms a global community that comprises more than seventy-five organizations.

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Barclays (UK)
BlueScope Steel (Australia)
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Bupa
CarMax
Caterpillar, Inc.
Cemex (Mexico)
Cencora
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Commonwealth Superannuation Corp. (Australia)
Cuscal Limited (Australia)
CVS Health
Dawn Foods
DBS Bank Ltd. (Singapore)
Doosan Corporation (Korea)
Fidelity Investments
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Mercer
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