Coca Cola secret formula is amongst most well guarded secrets with no more than 3 people knowing about it at any time
Investment in distribution and marketing led to rapid advancements in profits
In 1923 Coke forayed into Europe
The present perceived caricature of the Santa clause is the gift of coca cola to the world
In 1937 coke was offered the chance to buy flailing Pepsi cola which they rejected
Coke supported the American forces during the second world war by setting up bottling plants in North Africa and Italy.
Coke started diversifying its product range with the acquisition of Minute maid and Duncan foods in 1964.
Coke distributed in 155 countries and consumed 303 million times a day
ABOUT COCA COLA.. CONT
PEPSI CHALLENGE Aggressive marketing by Pepsi resulted in a decline in cokes market share 1970 1975 1979 1984 Coke 28.4 26.2 23.9 21.7 Pepsi 17 17.4 17.9 18.8
PEPSI CHALLENGE In mid 1970’s Pepsi changed it focus from the Image centric campaign to product centric campaign Preference for Coke Preference for pepsi Pepsi challenge 48% 52% Coke die hard drinker test 52% 48%
THE NEW COKE In early 1985 aided by the biggest consumer preference test ever with responses from nearly 2 lakh people coke zeroed in on its formula for new coke Preference for Coke Preference for pepsi New Coke 55% 45%
STP Market Target Market Segments Target Segment Those who want to quench their thirst & get refreshed People who want to have flavored non alcoholic drinks Demographic- Age Family Size Gender Education SEC Psychographic- Lifestyle Personality Demographic – Age: Teenagers & Youngsters (14 to 30 years) Psychographic – Fun loving Sports freak
PORTERS 5 FORCES
BRAND EQUITY MODEL
HOW THEY CREATED THE BRAND COCA COLA
HOW TO MANAGE BRAND EQUITY
Coca Cola came back as the strong drink that America loved so much
Coca Cola goes back to the fun element to revitalize its brand from time to time
WHAT WAS COKE’S BRAND BUILDING STRATEGY?
WHERE DID COKE’S MEANING COME FROM?
The cocaine was derived from the coca leaf and the caffeine from kola nut, leading to the name Coca-Cola (the "K" in Kola was replaced with a "C" for marketing purposes)
WHAT COKE STOOD FOR THROUGH AGES
““ The Pause that Refreshes” – 1929
“ It's the Refreshing Thing to do” – 1936
"Global High Sign” – 1940
"Sign of Good Taste” & “Go Better Refreshed” – 1950
"Things Go Better with Coke" -1963
“ It’s the real thing” - 1969
“ Coke is it” - 1982
HOW DID COKE’S MEANING MAKE A CONNECTION TO AMERICA AND TO CHRISTMAS?
In 1931 Coke launched a print Ad campaign which gave a popular, uniform and widely accepted image to Santa Claus.
The image of Santa Claus as the jolly old man was propagated by Coca Cola
IS THIS STRATEGY REPLICABLE IN TODAY’S MARKETING ENVIRONMENT?
Yes. Even after 130 years after the launch of Coke this kind of Brand Building strategy is still replicable in today’s market.
However such kind of efforts from the company requires lots of investment in terms of money and time
This will take a lot of effort and time and a lot of imagination by the brand managers of today
WHAT MAJOR FACTOR DO YOU THINK CAUSES THE FAILURE OF NEW COKE?
Failure to recognize the brand loyalty
Did not need to fix something as the taste of coca cola was what was preferred by the consumers The brand of coca cola was more than just a cold drink, it refers to the sentiments
Marketing research ought to have factored in the effect of discontinuation of old coke
WHAT THREATS TO THE CULTIVATION OF BRAND MEANING DOES THE CASE REVEAL?
Organizations not aware of their actual brand equity
Highlighting its unique factors
Tampering with the most important Differentiator(in this case, the taste)