How to build a growth “flywheel”? PepsiCo’s China head, Anne Tse, discusses her strategies and tactics.

As the leader of PepsiCo in the Greater China region, Anne Tse has a few personal "little secrets."

"On weekends or holidays, I really enjoy visiting exhibitions." She also likes to relax by watching cooking videos on her phone during commute times: "I don't cook, but I especially enjoy watching videos of others preparing delicious food. I find this process very stress-relieving, and it also inspires me in packaging food products well.”

Two years have passed, and Anne Tse, the exhibition enthusiast who enjoys watching others cook, continues to lead the local team, delivering a resilient growth performance. From last year to the first nine months of this year, PepsiCo's Greater China region has achieved "seven consecutive increases" in quarterly organic revenue, securing more market share in the snacks and beverage market.

In an interview lasting over an hour, the CEO, twice recognized by Fortune as one of the "Most Influential Businesswomen in China," exhibited impressive keen insights and forward-thinking vision. She is not only a highly proactive "doer" but also a leader adept at empowering her team.

She mentioned that the greatest source of work passion is to "build something great" together with the team.

"If I were to reveal the growth secret of these two years, I think it's primarily attributed to the team; people have always been PepsiCo's 'secret sauce.' Secondly, it's having a clear strategic direction and maintaining strategic focus. Finally, it's about being tactically flexible and agile, ensuring efficient execution," said Anne.

Anne pointed out to Foodinc, "being consumer-centric is important. This means consumer goods companies need to create value for them, preferably a differentiated value that is hard to be replaced by other players."

Good innovation should maintain competitiveness by creating value. Anne said that what companies need to do is strive to build products and brands that provide differentiated value. This is how they can establish a moat and create a growth "flywheel effect.”

"In terms of tactics, one thing that pleases me is that as such a large organization, we not only have the scale advantages of a big company but also possess the agility to turn like a small company," said Anne.

Now, with the pandemic behind, facing the present and the future, PepsiCo's Greater China region still needs to seize opportunities through rapid and agile actions. To this end, the food and beverage giant has identified three major consumer trends. Firstly, there is a continuous trend towards premiumization and healthification of products. Secondly, there is increased consumer attention on local and regional cuisines in China. Lastly, the emotional connection between brands and consumers has become even more crucial.

She also mentioned that some initiatives may not yield immediate dividends in the short term, but if they align with the company's long-term plans and values, they should be embraced with a long-term perspective, regardless of whether it's a current trend or not. This includes investment in sustainable development.