Pepsico wants to grow beyond the drinks

In a deal that goes far beyond traditional war of soft drinks and also includes the food Division, the giant Pepsico announced this week would replace Coca-Cola as official supplier of the American fast food chain Buffalo Wild Wings.
The agreement, which will begin with the introduction of drinks such as Pepsi and Mountain Dew in jail, is the largest ever signed by Pepsi and marks the opening of a new market for the company's food Division-which includes brands such as Doritos chips and Quaker Oats. This is precisely what else grows inside of Pepsico, while the soft drink sector faces challenges.
"The entrance door is with the drinks," explained Kirk Tanner, President of the food Division of Pepsico. "The difference is that, this time, the agreement with Buffalo Wild Wings gives the company access to all of our products."
This means that the restaurant menus may one day include a chicken wing with a twist of Doritos or a cocktail made of Mountain Dew. Although the details of the agreement are still being discussed, the agreement opens up a new space for the food Division of Pepsico. The experience can be replicated in other restaurants.
The clientele of Buffalo Wild Wings, a grill bar which is frequented by sports fans, would have great adherence to various products of Pepsico, says the company. The network is especially popular among young males-just the main customers of Mountain Dew, one of the few sodas that still have growth in the American market.
The agreement also allows the Buffalo Wild Wings to benefit from Pepsico's relationship with the domestic leagues of American football and baseball. "We might be able to display some of the films produced by these alloys in our restaurants," said Sally j. Smith, President of the company. "Pepsico also has relationships with artists and sportsmen, which can eventually make promotional appearances in restaurants."
Pepsico refused to comment on the amounts involved in partnership with Buffalo Wild Wings.
But the President of Pepsico, Indra k. Nooyi, stressed the importance of the strategy of reducing dependence on the soft drink business, because there is no market forecast to grow back.
"We see tremendous opportunities to use our portfolio of food and beverages for the benefit of both companies," said Indra in a release about the partnership with Buffalo Wild Wings. "We have a chance to innovate and create customer engagement with activations associated with sports and entertainment."
Recipes. The official chef of Pepsico, Stephen Kalil, accompanied Tanner and other executives on a visit to a store of Buffalo Wild Wings and helped explain how the food business would fit in the partnership.
Executives at Buffalo Wild Wings visited the Pepsico's Innovation Center in New York. There were introduced to some combinations of dishes with the use of the company's food products.
"They have an incredible culinary innovation with the use of Doritos, Ruffles and Fritos, which are related to our primary audience," said Smith. "We can include new flavors and sauces to our menu."