According to wall street journal which is mentioned below, Pepsi has overall 65% market share in Pakistan, and coca cola has approximately 30% share in Pakistan. According to multiple sources, in Lahore and Karachi Coca cola enjoying more market share than PepsiCo, approximately coca cola has 65% share in Lahore and Karachi and Pepsi has lower 25% share in same cities.

Pepsi Vs Coca cola general View

Pepsi continue leadership of the market in value term Coca cola beverages looking strong positioning in carbonates Coca cola is major rival of PepsiCo In current economic crisis with inflation at a peak The war in pricing is continue to increased Pepsi target sports in general Coca cola target occasion

The Wall Street JournalJULY 20, 2010

Coke Gains on Pepsi in Pakistan: 15 Bottles Per Person and Counting By TOM WRIGHT

LAHORE, Pakistan—PepsiCo Inc. used cricket to entrench its brand in Pakistan. Coke is fighting back with music.

In the late 1990s, Pepsi held an unassailable 80% share of the carbonated drinks business in Pakistan, making this Muslim-majority nation of 175 million people one of its most important global markets.

Pepsi was able to lock in key sponsorship deals—notably of Pakistan's popular cricket team—that made it a more ubiquitous brand than Coke.

Coca-Cola Co. has been mounting a challenge and clawing back some market share. The company recently bought out its Pakistan bottling operations after years of quality-control problems with local franchisees.

Soft Drink Wars in Pakistan

Earlier this year it announced plans to invest $300 million into the operations, including the retrofitting of a factory in Lahore, a rare bit of good news for investment-starved Pakistan.

Another part of its strategy has been to chip away at Pepsi's dominance of marketing to Pakistan's youth by sponsoring "Coke Studio," a local version of "MTV Unplugged" that has become wildly popular this year, even across the border in India. Appealing to young people is crucial: More than half of Pakistan's population is under 19 years old.

"Coke Studio" fuses traditional and Western styles, allowing artists to reinvent old songs, such as by bringing a sitar player into a rock band. The "Coke Studio" Facebook site has almost 250,000 fans.

"'Coke Studio' has been one of the most popular advertising strategies by anyone in this country," says Pir Saad Ahsanuddin, former chief executive of the investment board in Punjab, the Pakistani province of which Lahore is the capital.

Atlanta-based Coke doesn't break out numbers for individual countries, but says Pakistan is among its 15 fastest-growing markets globally. "We are looking to become market leaders in [the] near future," boasts Kadri Ozen, a spokesman for Coca-Cola in Asia.

In Pakistan, per-capita consumption of eight-ounce Coca-Cola products tripled over the past decade, according to Coke's 2009 annual report. But Pakistan's per-capita consumption was still only 15 bottles a year, meaning there's huge room for growth as incomes rise. In Mexico, which has the largest per capita-consumption of Coke products, the figure was 665 bottles per head in 2009.

Ghazi Akhtar Khan, managing director of Pepsi's local bottler for Lahore, says Pepsi's share of the market for carbonated soft drinks is currently 65% to Coke's 30%. He concedes, though, that a decade ago Pepsi had 80% of the market. Pepsi sold 240 million cases of 24 bottles each in Pakistan last year, while Coke sold around 140 million cases, according to Mr. Khan.

A spokesman for Pepsi, which is based in Purchase, N.Y., confirmed the current market share but declined to comment further. The battle is being most fiercely fought in Lahore, a city of eight million people near Pakistan's eastern border with India. Mr. Khan estimates that Coke is only marginally trailing Pepsi in the city. Both companies are sending out marketing executives to put their branded refrigerators in stores. Pepsi recently introduced Mountain Dew, which has become a hit.

"It's being fought very viciously," Mr. Khan said.

Coke and Pepsi's battle in Pakistan shows how some foreign companies remain committed and are expanding here even as others head for the exits because of concerns over terrorism and the country's struggling fiscal position.

Tetra Pak International SA, the Switzerland-based packaging company, is about to complete a €90 million ($116.5 million) factory in Lahore. Metro AG, the German retailer, has invested $175 million to open a string of outlets in the past two years. Adidas AG of Germany has recently ramped up orders of soccer balls from Pakistan, one of the world's largest suppliers.

Others, like U.S.-based Procter & Gamble Co. and Nestlé SA of Switzerland, continue to make healthy profits here. Nestlé, for instance, operates Asia's largest dairy-processing factory in Punjab, Pakistan's largest province.

An upsurge in terrorist suicide attacks and a balance of payments crisis, which led to an $11 billion International Monetary Fund bailout program in 2008, have scared off other businesses. Foreign direct investment in Pakistan fell 39% to $12 billion in the year to July, according to central bank figures. Still, countries like Pakistan continue to matter for consumer-goods companies because they have young populations and growing economies. The economy is set to grow over 4% this year and

Pakistan regularly beats out nations in the region, including India, in the World Bank's study on ease of doing business.

Coke said sales volumes fell 2% in North America in the first quarter of 2010 but rose 11% in its Eurasia and Africa division, which includes Pakistan.

Pepsi remains bigger in some Middle East nations, where an Arab League boycott of Coke in the 1970s and 1980s—stemming from its investments in Israel—left the playing field open.

In other emerging markets like China, India and Russia, the two rivals are locked in a close race.

Shahnawaz Khan contributed to this articlehttp://online.wsj.com/article/SB10001424052748704720004575377190499667312.html

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