Pepsi jumped into a Big Gulp-sized controversy last week when it aired a commercial that featured Kendall Jenner giving a Pepsi can to a police officer in the middle of a protest.
Many criticized the ad for trivializing protests and the Black Lives Matter movement to sell soda, and lo and behold, Pepsi pulled the ad the next day. In the days since, Saturday Night Live lampooned the ad and the San Francisco City Attorney’s office has debated taking legal action.
But Pepsi’s mentions on social media were up more than 7,000% the day the ad debuted, according to Brandwatch, a social media analytics company. One brand management expert even went as far as saying Pepsi has gotten somewhere between $300 million and $400 million in free media coverage out of the controversy.
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The RTP team discusses what lessons retailers can take from the Pepsi ad, especially given the polarized nature of today’s politics. Is this a good time for brands to wade into the fray, given that consumers’ awareness about these issues is heightened? Or more cynically, has Pepsi hedged its bets by getting tons of free publicity for an ad that it isn’t even running anymore?
Debbie Hauss, Editor-in-Chief: Since the United Airlines blunder yesterday, I hardly remember this bad ad. That said, these things do tend to fade into the past pretty quickly. I always wonder when this type of controversial ad is proposed — is there no one in the entire Pepsi organization that raised a red flag? I watched the commercial closely and nervously to see what was going to happen. When the end arrived, I really couldn’t figure out how Pepsi thought that was a good message. I think Entrepreneur.com did a good job of assessing the problems and addressing a better go-forward plan: 1. Ask yourself what your customers value; 2. Can you attach those values directly to your brand?; and 3. Can you legitimately help with the issue?
Adam Blair, Executive Editor: Oh, Pepsi. What were you thinking? Were you thinking? The idea that handing a Pepsi to a police officer will magically soothe the anger and anguish that is motivating millions of people to protest seems designed to be mocked by the Twittersphere and late-night comedians. But wait a minute — maybe that was the idea all along! Think about it: “Pepsi” has been top-of-mind for several days now, garnering millions in free publicity from an ad that isn’t even running any longer. Sure, it’s bad publicity — but in the blur of today’s media environment, perhaps the brand is gambling that people will remember the name and forget the controversy. Maybe this lemon was always meant to be squeezed into lemonade.
Glenn Taylor, Senior Editor: It’s easy to tell a brand to stay out of political issues, and I’ve said in a prior Q&A that it can be annoying to see politics injected into all forms of life, but I get why businesses make those decisions. If a company feels strongly about something, taking a stand can rally a consumer base if it hits the right notes. In the case of Pepsi, I can’t even imagine what went into the thought process there. I should assume the execs involved had to know how much backlash there was going to be, but you never really know how tone-deaf a group of people can be until they actually go through with something and the whole world responds. Given the natural state of retail right now, I’m not sure taking advertising “risks” in the vein that Pepsi has is the right idea. While PepsiCo is a massive CPG corporation, most retailers don’t have the disposable income to bank on free publicity to drive more revenue. Struggling brands would likely see more declines, considering that their pool of most frequent, ardent shoppers continues to shrink. At this point, I would advise retailers to stay away from controversy-driven campaigns and focus on social campaigns with more levity.
Klaudia Tirico, Features Editor: While the Pepsi ad is unfortunate — to say the least — and everything that has been said about it has been said, there is still a learning opportunity for Pepsi and other CPG brands. Just because there is a social issue affecting the world doesn’t mean you have to make a campaign about it to win over consumers. I’m sure Pepsi’s heart was in the right place. And to be honest, the first few seconds of the ad had the potential be inspiring. But in the end, it still missed the mark. I also can’t help but wonder whether the fact that Kendall Jenner was the face of the campaign took the backlash to another level. Because, you know, a lot of people have a lot of problems with something when a Kardashian/Jenner is involved. After all is said and done, Pepsi will be fine. It’s Pepsi, after all. I actually question why people still drink this stuff in today’s health-conscious world. But that’s a whole other conversation. Finally, like Debbie said, you can always rely on United Airlines to make the world completely forget about your botched campaign.
