On December 1, 1990, Pepsi introduced the “Pepsi Passport” discount card in Fargo, North Dakota, aiming to offer teenagers a unique way to enjoy savings while gaining a sense of “grown-up” status. This innovative program, designed specifically for individuals aged 12 to 18, provides exclusive discounts at various local retailers and events, marking a significant move by the soft drink giant to engage with younger consumers.
Exclusive Access for Fargo Teens
The “Pepsi Passport” functions as a credit-card-style discount card, allowing holders to receive savings at participating businesses in the Fargo-Moorhead area. According to Linden Boyd, a marketing consultant collaborating with Pepsi and local distributor Dakota Beverage Co., the card has quickly gained popularity. In just two weeks, over 3,000 cards have been distributed, highlighting the strong demand among the youth demographic.
The concept arose from research conducted by Pepsi, which revealed that teenagers are often overlooked as a valuable consumer group. Boyd noted, “They like to spend money and they like to party,” emphasizing that the interests of this age group include clothing, food, and entertainment. The “Pepsi Passport” was created to tap into these preferences, offering a tangible way for teenagers to feel valued.
Discounts and Events to Engage Young Consumers
Participating retailers provide discounts ranging from 10 percent off at local Hardees and Taco John’s to 15 percent off at Musicland. Additionally, cardholders can enjoy special deals at stores like Vanity and Young America. Notably, Take 2 Video offers a weekend rental special for cardholders, allowing them to rent three designated movies for just $5.
Boyd emphasized that the card serves as a promotional tool rather than a commercial venture, stating, “I have no revenue objective.” The discounts are meant to encourage participation without requiring a purchase, ensuring the program maintains genuine value for its young users. Retailers provide these perks without reimbursement from Pepsi, viewing it as a way to attract and engage younger customers.
The first event linked to the “Pepsi Passport” will be a “beach bash” scheduled for December 7 at the Red River Valley Fairgrounds, featuring an elaborate setup with six truckloads of sand to create a festive atmosphere. Admission to this event is free for those presenting the passport, further incentivizing participation.
As Fargo serves as the pilot market for this initiative, Boyd anticipates the possibility of expanding the program to other regions, including the Twin Cities, depending on its success. Boyd remarked, “It’s gone over really well, probably better than they thought it would,” reflecting the enthusiastic reception from the community.
The introduction of the “Pepsi Passport” not only facilitates spending among teenagers but also fosters a sense of belonging and recognition. Retailers like Carol Labernik, manager of the Vanity store in West Acres, have observed a positive shift in how young customers perceive themselves. Labernik noted, “They feel important with it. It’s making them feel kind of grown up.”
As this program unfolds, it will be interesting to see how Pepsi continues to engage with the youth market and whether the success in Fargo will pave the way for broader initiatives across the country.
