Welcome!

Microsoft Cloud Authors: Elizabeth White, Liz McMillan, Mihai Corbuleac, Pat Romanski, David Bermingham

News Feed Item

PepsiCo Opens Food and Beverage R&D Center in Shanghai to Drive Innovation and Growth Across Asia

Expected to significantly increase pace of PepsiCo's innovation throughout the region

SHANGHAI, Nov. 13, 2012 /PRNewswire/ -- PepsiCo, Inc. (NYSE: PEP) today announced the opening of a new food and beverage innovation center in Shanghai, China.  The state-of-the-art facility, which is PepsiCo's largest research and development center outside of North America, will serve as a hub of new product, packaging and equipment innovation for PepsiCo's businesses throughout Asia.

(Logo: http://photos.prnewswire.com/prnh/20120424/NY93895LOGO

The new facility is equipped with an advanced culinary center and test kitchens focused on developing and tailoring PepsiCo food and beverage brands for distinct, locally relevant taste preferences throughout the region.  In addition, the facility will house a pilot manufacturing plant that will allow researchers to quickly test new product ideas and support efforts to significantly accelerate the pace of PepsiCo's innovation in China and other growing Asian markets.   

It is one of PepsiCo's most integrated food and beverage R&D centers anywhere in the world, a combination that is designed to unlock new opportunities for breakthrough innovation across the company's diverse portfolio of complementary brands and enable greater speed and efficiency throughout the entire R&D process.  The new Shanghai facility will also work collaboratively with other PepsiCo R&D locations around the world to share insights and best practices.

"Innovation has always fueled PepsiCo's growth engine and enabled us to build a portfolio of great-tasting, convenient food and beverage brands that are loved by consumers around the globe," said Saad Abdul-Latif, CEO, PepsiCo Asia, Middle East & Africa. "The Shanghai facility is a game-changer for our business that we expect will fast forward our innovation throughout the entire region."

"PepsiCo continues to build global research and development capabilities that are differentiating our brands in the marketplace and driving attractive new growth opportunities," said Mehmood Khan, executive vice president and chief scientific officer, PepsiCo.  "This center will play an important role in our global R&D network by bringing cutting edge technology and innovation to our businesses in China and throughout Asia Pacific and partnering with other PepsiCo locations to achieve new breakthroughs in other parts of the world."

The new R&D center was built in line with the criteria established by Leadership in Energy and Environmental Design (LEED), the world's leading green building standard, and uses advanced technologies and processes to conserve natural resources and reduce operating costs.

The grand opening was attended today by Mr. Abdul-Latif, Dr. Khan, and other PepsiCo leaders.  Mr. Huang Feng, Deputy Director General, Ministry of Commerce; Mr. Dai Hua,Vice Governor of Minhang District, Shanghai and other local officials and industry association senior representatives also attended.

Mr. Dai said: "PepsiCo is one of the world's most successful food and beverage companies, and we're proud that they continue to grow and invest in China. Shanghai is a vibrant business center with a wealth of human capital, informational technology, and commerce that continues to attract great companies like PepsiCo.  Multinational companies are playing an important role in Shanghai's continued development, and we look forward to having PepsiCo as part of the fabric of Shanghai for many years to come."

Tailoring Global Brands for Local Tastes

PepsiCo has a strong portfolio of global food and beverage brands that includes 22 brands that generate more than $1 billion each in annual retail sales.  A key focus of the PepsiCo Asian R&D center will be tailoring these brands for regional consumer taste preferences and developing locally relevant new products.  PepsiCo has developed and launched a number of locally relevant new products in Asian markets in recent years, including:

  • A series of popular new Lay's potato chip flavors, including the successful 'cool range' featuring cucumber and ice lemon tea flavors, as well as regional favorites such as hot and sour fish soup and seaweed. Local flavors have played a key role in making Lay's the world's largest food brand.
  • Popular new flavors across the company's carbonated soft drink portfolio, such as sour plum and peach flavors of Mirinda, one of the world's largest flavored soft drink brands.
  • Quaker Oats for Rice and Quaker Congees, made with whole grain oats and locally relevant ingredients like red dates, wolfberry and white fungus.  These new items have helped drive Quaker's overall growth throughout the region, where it is quickly establishing itself as one of the largest cereal and nutrition brands.
  • Popular juice offerings, such as Tropicana Pulp Sacs juice drinks sold throughout the region that were created to meet the flavor and texture preferences of Chinese and Asian consumers, and Tropicana CoCo Quench, a delicious new coconut water in the Philippines.
  • Smith's Extra Crunchy, a popular line of Australia's top-selling chip brand that comes is a range of locally relevant flavors, including flame grilled steak and honey glazed ham.
  • Quaker NutriGo, a powdered oat-based beverage in the Philippines that offers the nutritional benefits and great taste of Quaker Oats in a package that combines convenience and value for Filipino consumers.

Driving Growth in Emerging Markets

China and the Asia Pacific region are key components of PepsiCo's overall plan to drive growth in emerging and developing markets globally.  PepsiCo nearly tripled its business in emerging and developing markets from $8 billion in annual net revenue in 2006 to $22 billion in 2011.

The opening of the new R&D center and pilot manufacturing plant in Shanghai is the latest in a series of steps PepsiCo has taken to strengthen its business across Asia.  During 2012, PepsiCo has:

  • Completed a strategic beverage alliance with Tingyi to create the number one liquid refreshment beverage system in China.
  • Opened new beverage manufacturing plants in Kunming and Zhengzhou, China. The Tingyi-PepsiCo beverage system now has more than 70 manufacturing plants across China and provides consumers with several of the country's most popular beverage products, including: Pepsi-Cola, China's top-selling cola; Mirinda, China's top-selling flavored carbonated soft drink; Gatorade, one of China's top-selling sports drinks; China's top-selling tea and water brands, sold under the Master Kong brand name; and China's largest juice portfolio. 
  • Opened a new Frito-Lay manufacturing plant in Wuhan, China that is equipped with one of the most advanced potato chip production lines in the world and will support plans to fuel the expansion of PepsiCo's snacks business in China, where Lay's is the top-selling chip brand.
  • Signed an agreement to form a strategic beverage alliance with Suntory in Vietnam, where PepsiCo is one of the leading liquid refreshment beverage companies. The alliance, which is subject to the completion of legal processes, is designed to combine the capabilities of both companies in ways that are mutually beneficial to their businesses, customers and consumers.
  • Signed a distribution agreement with Diamond Star, one of the largest consumer packaged goods distributors in Myanmar, to distribute PepsiCo beverage brands in the market.

About PepsiCo
PepsiCo is a global food and beverage leader with net revenues of more than $65 billion and a product portfolio that includes 22 brands that generate more than $1 billion each in annual retail sales. Our main businesses – Quaker, Tropicana, Gatorade, Frito-Lay and Pepsi-Cola – make hundreds of enjoyable foods and beverages that are loved throughout the world. PepsiCo's people are united by our unique commitment to sustainable growth by investing in a healthier future for people and our planet, which we believe also means a more successful future for PepsiCo. We call this commitment Performance with Purpose: PepsiCo's promise to provide a wide range of foods and beverages for local tastes; to find innovative ways to minimize our impact on the environment by conserving energy and water and reducing packaging volume; to provide a great workplace for our associates; and to respect, support and invest in the local communities where we operate. For more information, please visit www.pepsico.com.

Cautionary Statement
Statements in this communication that are "forward-looking statements" are based on currently available information, operating plans and projections about future events and trends. Terminology such as "believe," "expect," "intend," "estimate," "project," "anticipate," "will" or similar statements or variations of such terms are intended to identify forward-looking statements, although not all forward-looking statements contain such terms. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from those predicted in such forward-looking statements. Such risks and uncertainties include, but are not limited to: changes in demand for PepsiCo's products, as a result of changes in consumer preferences and tastes or otherwise; PepsiCo's ability to compete effectively; unfavorable economic conditions in the countries in which PepsiCo operates; damage to PepsiCo's reputation; PepsiCo's ability to grow its business in developing and emerging markets or unstable political conditions, civil unrest or other developments and risks in the countries where PepsiCo operates; trade consolidation or the loss of any key customer; changes in the legal and regulatory environment; PepsiCo's ability to build and sustain proper information technology infrastructure, successfully implement its ongoing business transformation initiative or outsource certain functions effectively; fluctuations in foreign exchange rates; increased costs, disruption of supply or shortages of raw materials and other supplies; disruption of PepsiCo's supply chain; climate change, or legal, regulatory or market measures to address climate change; PepsiCo's ability to hire or retain key employees or a highly skilled and diverse workforce; failure to successfully renew collective bargaining agreements or strikes or work stoppages; failure to successfully complete or integrate acquisitions and joint ventures into PepsiCo's existing operations; failure to successfully implement PepsiCo's global operating model; failure to realize anticipated benefits from our productivity plan; any downgrade of our credit ratings; and any infringement of or challenge to PepsiCo's intellectual property rights.

For additional information on these and other factors that could cause PepsiCo's actual results to materially differ from those set forth herein, please see PepsiCo's filings with the SEC, including its most recent annual report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. PepsiCo undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE PepsiCo, Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
SYS-CON Events announced today that Tintri Inc., a leading producer of VM-aware storage (VAS) for virtualization and cloud environments, will exhibit at the 18th International CloudExpo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that BMC Software has been named "Siver Sponsor" of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. BMC is a global leader in innovative software solutions that help businesses transform into digital enterprises for the ultimate competitive advantage. BMC Digital Enterprise Management is a set of innovative IT solutions designed to make digital business fast, seamless, and optimized from mainframe to mo...
Customer experience has become a competitive differentiator for companies, and it’s imperative that brands seamlessly connect the customer journey across all platforms. With the continued explosion of IoT, join us for a look at how to build a winning digital foundation in the connected era – today and in the future. In his session at @ThingsExpo, Chris Nguyen, Group Product Marketing Manager at Adobe, will discuss how to successfully leverage mobile, rapidly deploy content, capture real-time d...
SYS-CON Events announced today that EastBanc Technologies will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. EastBanc Technologies has been working at the frontier of technology since 1999. Today, the firm provides full-lifecycle software development delivering flexible technology solutions that seamlessly integrate with existing systems – whether on premise or cloud. EastBanc Technologies partners with p...
SoftLayer operates a global cloud infrastructure platform built for Internet scale. With a global footprint of data centers and network points of presence, SoftLayer provides infrastructure as a service to leading-edge customers ranging from Web startups to global enterprises. SoftLayer's modular architecture, full-featured API, and sophisticated automation provide unparalleled performance and control. Its flexible unified platform seamlessly spans physical and virtual devices linked via a world...
SYS-CON Events announced today that ContentMX, the marketing technology and services company with a singular mission to increase engagement and drive more conversations for enterprise, channel and SMB technology marketers, has been named “Sponsor & Exhibitor Lounge Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York. “CloudExpo is a great opportunity to start a conversation with new prospects, but what happens after the...
Companies can harness IoT and predictive analytics to sustain business continuity; predict and manage site performance during emergencies; minimize expensive reactive maintenance; and forecast equipment and maintenance budgets and expenditures. Providing cost-effective, uninterrupted service is challenging, particularly for organizations with geographically dispersed operations.
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discuss how businesses can gain an edge over competitors by empowering consumers to take control through IoT. We'll cite examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He'll also highlight how IoT can revitalize and restore outdated business models, making them profitable...
IoT generates lots of temporal data. But how do you unlock its value? How do you coordinate the diverse moving parts that must come together when developing your IoT product? What are the key challenges addressed by Data as a Service? How does cloud computing underlie and connect the notions of Digital and DevOps What is the impact of the API economy? What is the business imperative for Cognitive Computing? Get all these questions and hundreds more like them answered at the 18th Cloud Expo...
SYS-CON Events announced today Object Management Group® has been named “Media Sponsor” of SYS-CON's 18th International Cloud Expo, which will take place on June 7–9, 2016, at the Javits Center in New York City, NY, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 18th International Cloud Expo, which will take place on June 7–9, 2016, at the Javits Center in New York City, NY, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management...
In his session at 18th Cloud Expo, Bruce Swann, Senior Product Marketing Manager at Adobe, will discuss how the Adobe Marketing Cloud can help marketers embrace opportunities for personalized, relevant and real-time customer engagement across offline (direct mail, point of sale, call center) and digital (email, website, SMS, mobile apps, social networks, connected objects). Bruce Swann has more than 15 years of experience working with digital marketing disciplines like web analytics, social med...
The IoTs will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm and share the must-have mindsets for removing complexity from the development proc...
What a difference a year makes. Organizations aren’t just talking about IoT possibilities, it is now baked into their core business strategy. With IoT, billions of devices generating data from different companies on different networks around the globe need to interact. From efficiency to better customer insights to completely new business models, IoT will turn traditional business models upside down. In the new customer-centric age, the key to success is delivering critical services and apps wit...
Join us at Cloud Expo | @ThingsExpo 2016 – June 7-9 at the Javits Center in New York City and November 1-3 at the Santa Clara Convention Center in Santa Clara, CA – and deliver your unique message in a way that is striking and unforgettable by taking advantage of SYS-CON's unmatched high-impact, result-driven event / media packages.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, will provide an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life ...
As cloud and storage projections continue to rise, the number of organizations moving to the cloud is escalating and it is clear cloud storage is here to stay. However, is it secure? Data is the lifeblood for government entities, countries, cloud service providers and enterprises alike and losing or exposing that data can have disastrous results. There are new concepts for data storage on the horizon that will deliver secure solutions for storing and moving sensitive data around the world. ...
SYS-CON Events announced today that MobiDev will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business managers to a full-scale mobile software company with over 200 develope...
WebRTC is bringing significant change to the communications landscape that will bridge the worlds of web and telephony, making the Internet the new standard for communications. Cloud9 took the road less traveled and used WebRTC to create a downloadable enterprise-grade communications platform that is changing the communication dynamic in the financial sector. In his session at @ThingsExpo, Leo Papadopoulos, CTO of Cloud9, will discuss the importance of WebRTC and how it enables companies to fo...
SYS-CON Events announced today that MangoApps will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. MangoApps provides modern company intranets and team collaboration software, allowing workers to stay connected and productive from anywhere in the world and from any device. For more information, please visit https://www.mangoapps.com/.