However, if we look at how much both the companies spend on advertising and marketing (A&M), it would give a completely different picture. Additionally, compared to Coca-Cola, PepsiCo focuses much more on digital marketing. With most of its refranchising already done, Coca-Cola is expected to find it very tough to further reduce its advertising expenditure if it sticks to its current strategy. This is likely to help Coca-Cola decrease its advertising and marketing expenditure over the next two years. Additionally, such a focused strategy could increase revenue by 1.5%-2.0% during this period, as against a revenue decline over the last 3 years.

Source: Forbes March 13, 2019 17:15 UTC