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COCA-COLA

RESEARCH AND
STRATEGIES
HISTORY OF COCA-COLA

• The product that has given the world its best-


known taste was born in Atlanta, Georgia, on
May 8, 1886. Dr. John Stith Pemberton, a local
pharmacist, produced the syrup for Coca-
Cola®, and carried a jug of the new product
down the street to Jacobs' Pharmacy, where it
was sampled, pronounced "excellent" and
placed on sale for five cents a glass as a soda
fountain drink. Carbonated water was teamed
with the new syrup to produce a drink that was
at once "Delicious and Refreshing," a theme
that continues to echo today wherever Coca-
Cola is enjoyed.
• Thinking that "the two Cs would look well in
advertising," Dr. Pemberton's partner and
bookkeeper, Frank M. Robinson, suggested the
name and penned the now famous trademark "Coca-
Cola" in his unique script. The first newspaper ad
for Coca-Cola soon appeared in The Atlanta Journal,
inviting thirsty citizens to try "the new and popular
soda fountain drink." Hand-painted oilcloth signs
reading "Coca-Cola" appeared on store awnings,
with the suggestion "Drink" added to inform
passersby that the new beverage was for soda
fountain refreshment. During the first year, sales
averaged a modest nine drinks per day.
Dr. Pemberton never realized the potential of the
beverage he created. He gradually sold portions of
his business to various partners and, just prior to
his death in 1888, sold his remaining interest in
Coca-Cola to Asa G. Candler. An Atlantan with
great business acumen, Mr. Candler proceeded to
buy additional rights and acquire complete

control.
JOURNEY OF COCA-
COLA
• Entering the last quarter of the 20th century, the
deep emotional bond between Coca-Cola and its
consumers grew even more powerful and more
global. In 1971, young people from around the
world gathered on a hilltop in Italy to sing
"I'd Like to Buy the World a Coke," a counterpoint
to turbulent times. This was also a glimpse into the
Company's future: an expanding global presence
and an even closer attachment to the world's most
cherished trademark.
• The power and prestige of Coca-Cola were
exemplified in 1988, when three independent
worldwide surveys conducted by Landor &
Associates confirmed Coca-Cola as the best-known,
most-admired trademark in the world.
• Perhaps a more human assessment of
consumers' loyalty to Coca-Cola had come
in 1985. The Company startled the
American public by announcing a
new taste for Coke, the first change in the
secret formula since Coca-Cola was
created in 1886. The new taste was
overwhelmingly preferred in taste tests,
but all the testing and research could not
measure the emotional attachment
Americans had for the original formula.
That original taste had become more than
just a soft drink, and consumers' deep
feelings, memories and loyalties to it came
alive. The Company listened to its
consumers and quickly responded by
returning the original formula to the
market as Coca-Cola classic®.
• The Company's global strategy during the 1980s
continued to bring consumers on every continent
refreshing products for every occasion and every
lifestyle. In 1982, soft-drink history was made
with the introduction of Diet Coke®, the first
extension of the trademarks Coca-Cola and Coke,
and the most successful new soft drink since Coca-
Cola itself. Within two years, Diet Coke had
become the top low-calorie soft drink in the world.

• Advertising during the 1970s and 1980s continued


a long tradition that presented Coca-Cola as one
of life's simple pleasures, distinctive and
acceptable anywhere. In 1976, the "Coke Adds
Life" campaign was introduced, laying the
foundation for the 1979 introduction of "Have a
Coke and a Smile," a campaign of heart-warming
emotion best captured by the famous television
commercial featuring Pittsburgh Steelers tackle
"Mean" Joe Greene.
• Coca-Cola" campaign debuted in 1993, followed
by "Coca-Cola … Real" in 2003 and "The Coke
Side of In early 1982, the theme "Coke Is It!" was
launched around the world to reflect the
resurgent, positive spirit of the 1980s and to
reaffirm the leadership of Coca-Cola. "Can't Beat
the Feeling" wrapped up the 1980s, while "Can't
Beat the Real Thing" led the way into the 1990s,
and the innovative "Always Life" in 2006.
• Established: 1886
• Ranking: We own 4 of the world's top 5
nonalcoholic sparkling beverage brands
• Associates: 90,500 worldwide
• Operational Reach: 200+ countries
• Consumer Servings (per day): 1.5 billion
• Beverage Variety: more than 2,800
BRANDS OF COCA-
COLA
MISSION
Everything done is inspired by
enduring Mission:

• To Refresh
: the World... In
body, mind, and spirit.
• To Inspire Moments of
Optimism... Through our
brands and our actions.
• To Create Value and Make a
Difference... Everywhere we
VISION
• To achieve sustainable growth, have
established a Vision with clear goals:

People: Being a great place to work where people


are inspired to be
the best they can be.
Planet: Being a responsible global citizen that
makes a difference.
Portfolio: Bringing to the world a portfolio of
beverage brands that anticipate and satisfy peoples'
desires and needs.
• Partners: Nurturing a winning network of
partners and building mutual loyalty.
• Profit: Maximizing return to shareowners while
being mindful of our overall responsibilities.
Bringing Vision to Life
• Our vision to become truly sustainable
and achieve long-term growth is
changing the way we think and operate.
• You’ll see evidence of our progress every
day as we work closely with our
bottling partners in achieving our goals:
• We will be in the top three for total
return to shareowners among a set of
comparable global companies, while
ensuring the long-term health of our
system.
• We will be the employer of choice, where
people create extraordinary results
every day, in every country where we
operate.
We will double the value of our most
recognized brand, Coca-Cola®, and grow the
rest of our portfolio so it is comparable in
size.
We will be the world's most respected,
preferred and trusted global partner, as
measured by superior satisfaction scores and
innovations that ignite the categories in
which we choose to compete.
We will be the recognized global leader in
corporate social responsibility.
It’s in our very nature to innovate, create and
excel. The more we grow, the greater the
opportunity for you to grow with us.
VALUES
• Guided by shared Values that we will live
by as a company and as individuals:

Leadership: “The courage to shape a better


future”
Passion: “Committed in heart and mind”
Integrity: “Be real”
Accountability: “If it is to be, it's up
to me”
Collaboration: “Leverage collective
Innovation:
genius” “Seek, imagine, create,
Quality:
delight” “What we do, we do
well”
THE GOALS ARE SIMPLE::

•We Will
Reinvigorate
Growth , Of Our
Company , And We
Will Inspire Our
People….
STATEGIES
• What will drive our success in the future? Not
just growth, but sustainable growth --
meeting our short-term commitments while
investing to meet our long-term goals. And we
have a vision and clear goals to guide our
journey to achieve long-term growth -- the
kind of long-term growth that allows careers
to flourish.
We are building on our fundamental
strengths in marketing and innovation,
driving increased efficiency and effectiveness
in interactions with our system and
generating new energy through core brands
that focus on health and wellness.
We are poised to capture the opportunity in so many ways. Here
are just a few:
With the world's most recognized family of brands, we deliver
more than 2,800 products to 200 countries around the world -- not
just soft drinks, but juice and juice drinks, sports drinks, water,
even coffee and milk. And every day we explore new ways to create
and share beverages to energize, relax, nourish, hydrate and enjoy.
As the world's largest distributor of non-alcoholic beverages, we
maintain a trusted local presence in every community we serve. We
are constantly looking ahead to anticipate what our communities
may need and gathering resources to support them.
We've increased our annual marketing budget substantially,
launched many new products, and developed a model to help our
retail customers maximize their sales while we continue to plan for
the next one, five and ten years in business.

We need highly skilled, ambitious, innovative people who think


entrepreneurially and thrive on teamwork.
MARKETING STRTEGIES
• The Coca-Cola Company is the world’s leading
manufacturer, marketer, and distributor of
nonalcoholic beverage concentrates and syrups. Its
world headquarters is based in Atlanta, Georgia.
The company and its subsidiaries employ nearly
31,000 people around the world. The Coca-Cola
Company manufactures syrups, concentrates and
beverage bases for Coca-Cola, the company’s
flagship brand, and also produces over 230 other
soft-drink brands sold by and its subsidiaries in
nearly 200 countries around the world.Some of
Coca-Cola’s latest domestic marketing strategies
include Coke dominating fountain sales. Thousands
of consumers visit fast-food restaurants every day
and Coke feels that it is very important to have the
consumer see and drink their product at such chains
as McDonalds, Burger King, and Domino’s Pizza.
• Coca-Cola is also testing a new plastic cup in the
famous Coca-Cola contou….
They are also coming out with a new curved can.
Coca-Cola and One 2 One are teaming up for a
promotion called, “Collect and Connect. According
to consumer specialist, Robert Bertini, “the cans
stand out on the shelves and are fun to hold. Cokes’
logo has become a widely known at music and
sports events. They will reintroduce its’ winning
commemorative Coca-Cola classic bottles featuring
the members of the Coca-Cola Racing Team. The
phone and service can be altered but Coke will use
the text messaging service to inform customers of
new promotions.
Coca-Cola has also signed a three year deal with
AOL valued at 100 million dollars linking
packaging and promotional activities from the
retail shelves to cyberspace.
COMMITMENT IN
ACTION
Improving the quality of life in the communities where
we operate has always been an integral part of our
business: promoting active lifestyles and well-being,
minimizing our environmental impact, driving
economic growth and more. From our early years, we
have promoted active living, sponsoring sports
programs on a local basis and a global scale. Our
environmental commitment began long ago with water
quality and waste reduction, and we continue to work
to lessen our environmental footprint. In the
communities we serve, our presence means increased
opportunities in terms of jobs, tax income and economic
growth, as well as support for community programs.
These are just a few of the ways we strive to make life
better for our customers, consumers and communities
around the world. Learn more about our initiatives
around the world by visiting the links to the left.
STRENGTH
One of our greatest strengths is our ability to
conduct business on a worldwide scale while
maintaining a local approach. At the heart of this
approach is the Coca-Cola bottling system. The Coca-
Cola system comprises our Company and our
bottling partners -- more than 300 worldwide. Many
consumers do not realize this, but there is a
distinction between our Company and our bottling
partners. Our Company manufactures and sells
concentrates, beverage bases and syrups to bottling
operations, which then produce a wide array of
Coca-Cola beverages. Our Company owns the brands
and is responsible for consumer brand marketing
initiatives. Our bottling partners, in addition to
manufacturing the final branded beverages, also
handle merchandising and distribution.
Bottlers work closely with customers -- grocery
stores, restaurants, street vendors, convenience
stores, movie theaters and amusement parks,
among many others -- to execute localized strategies
developed in partnership with the Company.
Customers then sell our products to consumers at a
rate of 1.5 billion servings a day.
The Coca-Cola system is not a single entity from a
legal or managerial perspective, and the Company
does not own or control most of our bottlers. In
2006, bottling partners in which our Company had
no ownership interest or a noncontrolling equity
interest produced and distributed approximately 83
percent of our worldwide unit case volume. In
January 2006, our Company owned bottling
operations were brought together to form the
Bottling Investments operating group, now the
second-largest bottler in the Coca-Cola system in
WEEKNESSES
• Weaknesses are the current
problem of the company. To
determine the weaknesses of the
company the things that should be
known includes the products that
are least profitable, the areas of
the company that is not able to
recover cost, the weak brands, the
ability of the company to raise
money when it needs to, the
ability of the company to stand
product is partaken. The product
they have can cause health
problems when taken many times.
Young children who might acquire
health problems from taking their
product are not restricted. one of
the examples can be given by
the report that said COCA COLA
contains PESTICIDES. The major
problem of this company is that it is
not been able to separate itself
from PEPSI.. They both have strong
brand name but they don’t have
one thing which can give them
OPPERTUNITIES
• Meaningful change on a global scale requires
collaboration and mutual commitment. Together, the
small steps we take will lead to something bigger. We
are working with our bottling partners, suppliers,
governments, NGOs and community leaders, to
develop and implement innovative solutions to global
challenges. Solutions to these complex issues -- clean
water access and availability, climate change, raw
material scarcity and the spread of infectious
diseases -- will positively impact communities we
serve, as well as the sustainable growth of our
business.
• We have an obligation to conduct our business
ethically and responsibly and to contribute to the
well-being of the people our business touches. This
starts with the men and women of The Coca-Cola
Company. We have a responsibility to provide a safe,
inclusive work environment where our associates are
valued and fulfilled.
Our commitment to the safety and quality of our
beverages is of the highest importance to us. We
never forget that we are invited into people's lives
1.5 billion times each day through our beverages.
We also have an obligation to ensure our consumers
can make well-informed beverage choices. We
continue to provide more nutrition information on
our packaging, and we encourage and support well-
being and active lifestyles around the world.
Additionally, we work to protect and preserve the
environment through our water stewardship,
sustainable packaging, and energy and climate
protection initiatives. We believe the public and
private sectors can and should contribute to
improving the shape of our world. Individuals also
play a vital role in improving the economic, social
and environmental condition of our planet.
Working together, we can make a meaningful
difference.
THREATS
Currently, the threat of new viable
competitors in the carbonated soft
drink industry is not very substantial.
The threat of substitutes, however, is a
very real threat. The soft drink industry
is very strong, but consumers are not
necessarily married to it. Possible
substitutes that continuously put
pressure on both Pepsi and Coke
include tea, coffee, juices, milk, and hot
chocolate (“Cola Wars”, 1991).
Even though Coca-Cola and Pepsi control nearly
40% of the entire beverage market, the changing
health-consciousness of the market could have a
serious affect. Of course, both Coke and Pepsi have
already diversified into these markets, allowing
them to have further significant market shares and
offset any losses incurred due to fluctuations in the
market (“Cola Wars”, 1991).

Consumer buying power also represents a key threat


in the industry. The rivalry between Pepsi and Coke
has produce a very slow moving industry in which
management must continuously respond to the
changing attitudes and demands of their consumers
or face losing market share to the competition.
Furthermore, consumers can easily switch to other
beverages with little cost or consequence (“Cola
Wars”, 1991).
THANK YOU

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