The Pepsi Loot iPhone application rewards consumers with Loot – free songs, including tracks provided exclusively for Pepsi Loot users from artists such as the Neon Trees, Tamar Kaprelian and Semi Precious Weapons.

“The strategic reason is we are always looking to connect with consumers and customers in ways that allow us to create better engaging experiences,” said Margery Schelling, chief marketing officer of PepsiCo Foodservice, Purchase, NY.

“Providing an engaging experience for consumers is our strategy for everything we do,” she said. “If you look at how consumers live today, no one is without a mobile device.”

That was precisely why Pepsi chose to use mobile in this particular initiative. The Pepsi Loot application was created by Zumobi.

Using location-based technology, Pepsi Loot features a map of nearby restaurants that serve Pepsi beverages, called Pop Spots, along with information such as address, cuisine type and introductions to the restaurant’s Facebook and Twitter pages.

In addition, restaurants can deliver a value offer directly through Pepsi Loot, such as a free Pepsi with purchase of an entrée.

“Pepsi Loot is a platform for Pepsi to provide added value for all of its restaurant customers,” Ms. Schelling said. “The app creates awareness and drives traffic to restaurants that serve Pepsi and serves as a vehicle to deliver customized offers.”

Once the consumer has arrived at a Pop Spot, the geolocation technology of the iPhone enables the consumer to “check in” to earn Loot.

After the first check-in, and every three check-ins thereafter, the consumer earns a free digital song download at the Pepsi Loot Store, http://www.PepsiLootStore.com.

The Pepsi Loot Store includes more than 250,000 songs from a catalog of chart-topping artists.

In addition to providing free exclusive tracks, Pepsi Loot artists contributed behind-the-scenes personal videos, available at the Pepsi Loot YouTube channel, http://www.youtube.com/pepsiloot.

“Mobile is very important to Pepsi’s overall marketing strategy and it is becoming increasingly important for Pepsi Food Service,” Ms. Schelling said. “Mobile is the way that consumers are living their lives.”

Pepsi is using mobile and online advertising to drive consumers to download the Pepsi Loot application.

The company is also using social media and internal communication channels to spread the word about the application.

“Our strategy is to surround the consumer to let them know this exists,” Ms. Schelling said. “We believe we need to build and engage with consumers wherever they live their lives.

“We launched Pepsi Loot about a month ago and it is really starting to build momentum,” she said. “We are seeing great feedback from customers.”