In-housing or outsourcing? PepsiCo, VaynerMedia turn to ‘co-sourcing’

Core Insights - The modern production demands driven by social media platforms like TikTok are prompting organizations to reconsider their approach to third-party marketing services partnerships, moving away from an all-or-nothing strategy [1] Group 1: PepsiCo's Marketing Strategy - PepsiCo has expanded its long-term partnership with VaynerMedia by integrating the agency more closely with its internal teams to enhance agility and cultural relevance for its beverage brands [2] - The relationship between PepsiCo and VaynerMedia is characterized as "co-sourcing," which emphasizes shared business KPIs and streamlined processes to improve speed and efficiency [2][3] - PepsiCo acknowledges the challenges of navigating social media marketing, recognizing its importance for engaging consumers and driving sales [3] Group 2: Marketing Dynamics - The Chief Marketing Officer of PepsiCo Beverages U.S. highlighted the need for agility and creative flexibility in response to the fast-moving nature of social media marketing [4] - Success in modern marketing is increasingly influenced by platform algorithms, necessitating expertise in creating content that resonates with audiences [5] - VaynerMedia emphasizes that effective content will gain traction based on its merit rather than solely on media spending, suggesting a shift in how marketing effectiveness is evaluated [5][6]