New soft-drink provider

Pepsi has been awarded an exclusive contract to service the Southern Arkansas University campus.

Based on the expiration of a seven-year exclusive soft drink contract with Coca-Cola, the university issued a request for proposals to select a vendor to meet our soft drink requirements. To determine if it could have multiple soft drink vendors on campus, the university requested each bidder to respond to two options. The first option requested proposals for an exclusive contract for all soft drink sales on campus. The second option solicited a contract for all soft drink sales other that through the university selected food service vendor. Coca-Cola and Pepsi both chose to only submit proposals under the first option.

Once proposals had been received, the university used the following selection criteria:

1. Prior experience and performance (75 points)

2. Quality of products offered (175 points)

3. Respondent’s understanding and response to the contract proposal (50 points)

4. Price analysis for merchandise and royalties provided to the university (200 points)

Based on the above criteria, the following total points were awarded to each vendor based on a possible total of 500 points:

-- Coca-Cola 321.2 (65%)

-- Pespi 367.0 (74%)

Pepsi should be installing new machines on campus beginning Tuesday. Coca-Cola has already pulled most of its machines across campus, so there will be some gaps in service until the new machines are installed.

The university expects an expanded line of offerings in the Pepsi soft drink product line, especially in locations that have greater sales numbers. Several possible brand names include: Lipton, Starbucks, Ocean Spray, Gatorade, SoBe, Propel, Tropicana, Polar Shock, Amp, Aquafina and all the standard Pepsi soft drinks such as Pepsi, Sierra Mist, Mountain Dew, and Crush. conducted an on-line poll last month regarding local soft-drink preferences, which revealed that Pepsi isn’t even the most popular Pepsi soft-drink product. Of 198 votes cast, Pepsi was identified as the favorite of only 2.53 percent of respondents. Coca-Cola and Dr Pepper finished in a virtual dead heat, favored by 35.86 and 35.35 percent of the voters, respectively. Pepsi product Mountain Dew got 9.6 percent of the vote. CLICK HERE to see the poll results.


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