Pellerud played for several clubs, including Vålerenga from 1974 to 1979 and Kongsvinger from 1983 to 1986. He was head coach for the Norway women's national football team from 1989 to 1996, and led the Norway team to silver medal at the inaugural first 1991 Women's World Cup, to world champions at the second in 1995, and to bronze medalists at the 1996 Summer Olympics. In 1997, he was sacked as coach of Lillestrøm, together with Per Brogeland. He had a brief tenure as manager of Danish Superliga club Ikast fS.