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26 2012 PEPSICO ANNUAL REPORT
Innovation
Accelerating innovation is a key pri-
ority for PepsiCo. We have invested
in Research & Development and
built new capabilities to help us de-
velop breakthrough innovation that
delivers sustainable incremental
growth. Innovation from products
launched in the past three years
accounted for approximately eight
percent of our net revenue in 2012.
MEETING CONS UMER DEMAND
Innovation enables us to meet
growing consumer demand for
tasty and convenient nutrition
with Good-for-You choices such
as Quaker Real Medleys, Gatorade
Prime Energy Chews for athletes,
Tropicana Farmstand and Chudo
Kasha cereal (in Russia). Through
innovation, we provide Better-for-
You choices with reduced sugar,
salt and saturated fat, without
compromising on taste. Better-
for-You choices launched in 2012
included Pepsi NEXT, Lay’s Forno
(in Saudi Arabia) and Starbucks
Refreshers. Innovation also means
new Fun-for-You tastes, textures
and experiences, with oerings
such as Doritos JACKED and
Walkers Deep Ridged (in the U.K.
and Ireland).
Good-for-You
Innovation
Better-for-You
Innovation
Fun-for-You
Innovation