2. • U.S. Coca-Cola consumption is on a 9 year decline by about 4%
each year. This decrease in sales is brought upon by the new
generation’s trend of consuming organic “natural” foods. In
response to this downward spiral, Coke, along with other soda
makers, are searching for a sugar substitute with half the calories,
but the same taste. Recently, the industry has settled on stevia as
their no-calorie sugar substitute. Coca-Cola uses the stevia variant
rebaudioside A in their new product Coke Life. The problem with
rebaudioside A being used in Cola is the lingering bitter after taste.
In order to lessen this, Coke has mixed some sugar with the stevia
– meaning the zero-calorie soda has not been achieved, though
the sugar content has been cut by a third. Other stevia molecules
have been discovered with a less bitter after taste, but they make
up less than 1% of the leaf meaning production costs will increase
due to the amount of land and water necessary to grow the plant.
As a solution to the supply problem, scientists can create these
stevia molecules by fermentation meaning an unlimited supply of
the product. This raises red flags for consumers who want only
“natural” sweeteners. With this in mind, Coke continues to search
for the perfect sweetener with the same taste as sugar, but none
of the calories.
3. 19th Century
Cured diseases
• Morphine addiction
• Impotence
• Headaches
Didn't become completely cocaine-free until
1929
6. Strategy
Consumer demand
• Natural taste and zero calories
• Reasonable price
Strategy
• Market research
• Working with scientist to
develop soda taste
• Pricing strategy
7. Demand and Supply
• With this being a
major health concern
the consumers are
becoming very
demanding. They are
wanting less calories
and the same taste
but are not willing to
pay more.
8.
9. Conclusion
• As everyone knows the soda
industry is very large,
competitive and has been
declining. Coke, Pepsi, Dr.Pepper
and many more all trying to
distinguish there flavor from one
another with their sweetener to
stay on top. With all the
research that Coke has done
they settled with stevia as their
sweetener.