Pepsi (PEP.US) is betting big on sports marketing! Reorganize departments to bet on 2026 World Cup between the US, Canada and Mexico

The Zhitong Finance App learned that Pepsi (PEP.US) is increasing its investment in sports marketing cooperation and is targeting the World Cup. The beverage and snack giant is restructuring its sports and entertainment collaboration team to integrate the marketing resources of its brands such as Pepsi, Gatorade, and Lexi into a unified department, hoping to revive growth by making better use of major sporting events and professional leagues.

Brett O'Brien, the company's first chief sports officer, said that employees will focus on specific sports or topics rather than a single Pepsi brand. Since taking office last year, O'Brien has been working to reform the operating model.

In an interview, he said, “You will no longer be a 'Gatorade commissioner',” and “you will be leading the marketing strategy of the NFL (Major League Soccer), MLB (Major League Baseball), or college sports.”

Pepsi and its competitors are facing multiple challenges: increased economic uncertainty is weakening consumer confidence, continuing rising costs, and a shift towards healthier snacks and beverages. The company lowered its full-year profit forecast in April, citing pressure from tariffs and America's unpredictable trade policy.

The company said the newly formed division will be one of the world's largest brand partners, and the business scope will also cover the gaming and music sectors.

Over the years, many brands under Pepsi have been involved in sports sponsorship and entertainment partnerships, including with the NFL and NBA. Gatorade caused a stir when it launched one of its biggest marketing campaigns in April of this year, inviting rapper Kendrick Lamar and top athlete ambassadors such as Kaitlyn Clark to co-star in commercials.

A major opportunity

The new division's top priority is to expand Pepsi's influence in the soccer field. With the 2026 FIFA World Cup landing in North America, the sport is at a critical time to win over the American audience.

Pepsi's Fedori snack business has signed a contract as a global sponsor for next year's tournament and the 2027 Women's World Cup in Brazil. O'Brien said that this will involve snack brands such as Doritos and Cheetos.

O'Brien said, “We are beginning to see soccer play an increasingly important role in audience ratings, and this will be a major bet for us.”