Coca-Cola: An Overview
Coca-cola: An Overview
Presented to: Ms. Adila Hussain
Presented by: Sitara Khalid Madiha Bashir Mahmooda Ilyas MT11035 MT11018 MT11133
Date of Subbmission: Sep. 24,2012.
First and foremost, we are grateful to „ALLAH ALMIGHTY‟, most beneficent and the most merciful Who made us able to complete our given project successfully. We would also like to pay tribute to the benefactor of humanity „HOLY PROPHET‟ (P.B.U.H.), Who gave us complete knowledge on every aspect and field of life. In short of words, to express our modest gratitude and recognition to cuddly and loveable „PARENTS‟, who at each and every moment prays for our success. We are also deeply thankful to our „TEACHERS‟ to have taught us from childhood to still.
Thank you all, without you this would have not been possible.
to our parents, friends, and teachers with love and affection.
Dear Ms. Adila:
Attached is the report you requested in June 2012 on Coca-cola. We have tried to meet all the aspects and hope the report is useful.
The data used in the report is mostly taken off the Internet and covers the history, publicity, products, advertisements, market strategies of Coca-Cola Company.
Moreover, the effects of the products on general public along with the recommendations are also mentioned.
Hope this report is acceptable. As a group, we found collecting the data very interesting and challenging.
Sitara Khalid. Madiha Bashir. Mahmooda Ilyas.
TABLE OF CONTENTS
Project objective Executive summary Introduction Mission statement History of Coca Cola History of Bottling Advertising History of Coca Cola History in Pakistan Worldwide Consumption Brands of Coca Cola Competitors Coca Cola And Pepsi Nestle Cadbury Schweppes Other Competitors Sales Promotion Activities Logos of Coca Cola Distribution Channels Facilitating the Product By Infrastructure Effect on General Public Conclusion Recommendation Bibliography
9 10 11 11 12 13 16 23 24 25 27 27 32 33 33 34 38 39 39 40 41 42 43
The objective of this report is to give overview of „Coca Cola‟ to provide a broad selection of the nonalcoholic ready to drink beverages to potential consumers in Pakistan. It includes introduction of the company and the product, its history reputation at national and international level. It also gives its advertisement history and other related products and the competitors analysis.
The scope of this project is to take a closer look at the „Coca Cola‟ company since the time of its creation. It explains the bottling history and the advertisement history of the company. The products manufactured under its name are also stated. It has many rivals which are also mentioned.
We hope you find this project rather interesting and give feedback.
Coca-Cola is a carbonated soft drink sold in stores, restaurants, and vending machines in more than 200 countries. It is produced by The Coca-Cola Company of Atlanta, Georgia, and is often referred to simply as Coke (a registered trademark of The Coca-Cola Company in the United States since March 27, 1944). Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink market throughout the 20th century. The company produces concentrate, which is then sold to licensed Coca-Cola bottlers throughout the world. The bottlers, who hold territorially exclusive contracts with the company, produce finished product in cans and bottles from the concentrate in combination with filtered water and sweeteners. The bottlers then sell, distribute and merchandise Coca-Cola to retail stores and vending machines. Such bottlers include Coca-Cola Enterprises, which is the largest single Coca-Cola bottler in North America and western Europe. The Coca-Cola Company also sells concentrate for soda fountains to major restaurants and food service distributors. The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke brand name. The most common of these is Diet Coke, with others including Caffeine-Free Coca-Cola, Diet Coke Caffeine-Free, Coca-Cola Cherry, Coca-Cola Zero, Coca-Cola Vanilla, and special versions with lemon, lime or coffee. Based on Interbrand's best global brand 2011, Coca-Cola was the world's most valuable brand.
Mission statement is a statement of organization‟s purposes that what it wants to accomplish.In order to achieve mission of increasing market share and maintaining good relations with our customers all over the world, we wish to create value for all the constraints we serve, including our consumers, our bottlers, and our communities. The Coca Cola Company creates value by executing business strategy guided by four key beliefs:
➢ Customer is king; Customer demand drives everything we do.
➢ Brand Coca Cola is the core of our business. ➢ We will serve consumers a broad selection of the nonalcoholic ready-to-drink beverages they want to drink throughout the day. ➢ We will be the best marketers in the world. Everything we do is inspired by our 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 engage.
The History of Coca Cola
In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from Atlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged brass kettle in his backyard. The name was a suggestion given by John Pemberton's bookkeeper Frank Robinson. Birth of Coca Cola Being a bookkeeper, Frank Robinson also had excellent penmanship. It was he who first scripted "Coca Cola" into the flowing letters which has become the famous logo of today. The soft drink was first sold to the public at the soda fountain in Jacob's Pharmacy in Atlanta on May 8, 1886. About nine servings of the soft drink were sold each day. Sales for that first year added up to a total of about $50. The funny thing was that it cost John Pemberton over $70 in expanses, so the first year of sales were a loss. Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as the caffeine-rich kola nut. Asa Candler In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for Coca Cola from inventor John Pemberton for $2,300. By the late 1890s, Coca Cola was one of America's most popular fountain drinks, largely due to Candler's aggressive marketing of the product. With Asa Candler, now at the helm, the Coca Cola Company increased syrup sales by over 4000% between 1890 and 1900. Advertising was an important factor in John Pemberton and Asa Candler's success and by the turn of the century, the drink was sold across the United States and Canada. Around the same time, the company began selling syrup to independent bottling companies licensed to sell the drink. Even today, the US soft drink industry is organized on this principle. Death of the Soda Fountain - Rise of the Bottling Industry Until the 1960s, both small town and big city dwellers enjoyed carbonated beverages at the local soda fountain or ice cream saloon. Often housed in the drug store, the soda fountain counter served as a meeting place for people of all ages. Often combined with lunch counters, the soda fountain declined in popularity as commercial ice cream, bottled soft drinks, and fast food restaurants became popular.
New Coke On April 23, 1985, the trade secret "New Coke" formula was released. Today, products of the Coca Cola Company are consumed at the rate of more than one billion drinks per day.
History of Bottling
Coca-Cola® originated as a soda fountain beverage in 1886 selling for five cents a glass. Early growth was impressive, but it was only when a strong bottling system developed that Coca-Cola became the world-famous brand it is today. 1894 … A modest start for a bold idea In a candy store in Vicksburg, Mississippi, brisk sales of the new fountain beverage called Coca-Cola impressed the store's owner, Joseph A. Biedenharn. He began bottling Coca-Cola to sell, using a common glass bottle called a Hutchinson. Biedenharn sent a case to Asa Griggs Candler, who owned the Company. Candler thanked him but took no action. One of his nephews already had urged that Coca-Cola be bottled, but Candler focused on fountain sales. 1899 … The first bottling agreement Two young attorneys from Chattanooga, Tennessee believed they could build a business around bottling Coca-Cola. In a meeting with Candler, Benjamin F. Thomas and Joseph B. Whitehead obtained exclusive rights to bottle CocaCola across most of the United States (specifically excluding Vicksburg) -- for the sum of one dollar. A third Chattanooga lawyer, John T. Lupton, soon joined their venture. 1900-1909 … Rapid growth The three pioneer bottlers divided the country into territories and sold bottling rights to local entrepreneurs. Their efforts were boosted by major progress in bottling technology, which improved efficiency and product quality. By 1909, nearly 400 Coca-Cola bottling plants were operating, most of them family-owned businesses. Some were open only during hot-weather months when demand was high. 1916 … Birth of the contour bottle Bottlers worried that the straight-sided bottle for Coca-Cola was easily confused with imitators. A group representing the Company and bottlers asked glass manufacturers to offer ideas for a distinctive bottle. A design from the Root Glass Company of Terre Haute, Indiana won enthusiastic approval in 1915 and was introduced in 1916. The contour bottle became one of the few packages ever granted trademark status by the U.S. Patent Office. Today, it's one of the most recognized icons in the world - even in the dark! 1920s … Bottling overtakes fountain sales As the 1920s dawned, more than 1,000 Coca-Cola bottlers were operating in the U.S. Their ideas and zeal fueled steady growth. Six-bottle cartons were a huge hit after their 1923 introduction. A few years later, open-top metal coolers became the forerunners of automated vending machines. By the end of the 1920s, bottle sales of Coca-Cola exceeded fountain sales.
1920s and 30s … International expansion Led by longtime Company leader Robert W. Woodruff, chief executive officer and chairman of the Board, the Company began a major push to establish bottling operations outside the U.S. Plants were opened in France, Guatemala, Honduras, Mexico, Belgium, Italy, Peru, Spain, Australia and South Africa. By the time World War II began, Coca-Cola was being bottled in 44 countries. 1940s … Post-war growth During the war, 64 bottling plants were set up around the world to supply the troops. This followed an urgent request for bottling equipment and materials from General Eisenhower's base in North Africa. Many of these war-time plants were later converted to civilian use, permanently enlarging the bottling system and accelerating the growth of the Company's worldwide business.
1950s … Packaging innovations For the first time, consumers had choices of Coca-Cola package size and type -- the traditional 6.5-ounce contour bottle, or larger servings including 10-, 12- and 26-ounce versions. Cans were also introduced, becoming generally available in 1960. 1960s … New brands introduced Following Fanta® in the 1950s, Sprite®, Minute Maid®, Fresca® and TaB® joined brand Coca-Cola in the 1960s. Mr. Pibb® and Mello Yello® were added in the 1970s. The 1980s brought diet Coke® and Cherry Coke®, followed by POWERADE® and DASANI® in the 1990s. Today hundreds of other brands are offered to meet consumer preferences in local markets around the world. 1970s and 80s … Consolidation to serve customers As technology led to a global economy, the retailers who sold Coca-Cola merged and evolved into international mega-chains. Such customers required a new approach. In response, many small and medium-size bottlers consolidated to better serve giant international customers. The Company encouraged and invested in a number of bottler consolidations to assure that its largest bottling partners would have capacity to lead the system in working with global retailers. 1990s … New and growing markets Political and economic changes opened vast markets that were closed or underdeveloped for decades. After the fall of the Berlin Wall, the Company invested heavily to build plants in Eastern Europe. And as the century closed, more than $1.5 billion was committed to new bottling facilities in Africa. 21st Century … The Coca-Cola bottling system grew up with roots deeply planted in local communities. This heritage serves the Company well today as people seek brands that honor local identity and the distinctiveness of local markets. As was true a century ago, strong locally based relationships between Coca-Cola bottlers, customers and communities are the foundation on which the entire business grows.
In 1969, The Coca Cola Company and its advertising agency, McCann-Erickson, ended their popular "Things Go Better With Coke" campaign, replacing it with a campaign that centered on the slogan "It's the Real Thing." Beginning with a hit song, the new campaign featured what proved to be one of the most popular ads ever created. I'd Like to Buy The World a Coke The song "I'd Like to Buy The World a Coke" had its origins on January 18, 1971, in a fog. Bill Backer, the creative director on the Coca-Cola account for McCann-Erickson, was traveling to London to join two other songwriters, Billy Davis and Roger Cook, to write and arrange several radio commercials for The Coca-Cola Company that would be recorded by the popular singing group the New Seekers. As the plane approached Great Britain, heavy fog at London's Heathrow Airport forced it to land instead at Shannon Airport, Ireland. The irate passengers were obliged to share rooms at the one hotel available in Shannon or to sleep at the airport. Tensions and tempers ran high. The next morning, as the passengers gathered in the airport coffee shop awaiting clearance to fly, Backer noticed that several who had been among the most irate were now laughing and sharing stories over bottles of Coke. They Like It In that moment, I began to see a bottle of Coca Cola as more than a drink. I began to see the familiar words, "Let's have a Coke," as a subtle way of saying, "Let's keep each other company for a little while." And I knew they were being said all over the world as I sat there in Ireland. So that was the basic idea: to see Coke not as it was originally designed to be - a liquid refresher - but as a tiny bit of commonality between all peoples, a universally liked formula that would help to keep them company for a few minutes. - Bill Backer as recalled in his book The Care and Feeding of Ideas (New York: Times Books/Random House, 1993) A Song Is Born Backer's flight never did reach London. Heathrow Airport was still fogged in, so the passengers were redirected to Liverpool and bussed to London, arriving around midnight. At his hotel, Backer immediately met with Billy Davis and Roger Cook, finding that they had completed one song and were working on a second as they prepared to meet the New Seekers' musical arranger the next day. Backer told them he thought they should work through the night on an idea he had had: "I could see and hear a song that treated the whole world as if it were a person—a person the singer would like to help and get to know. I'm not sure how the lyric should start, but I know the last line." With that he pulled out the paper napkin on which he had scribbled the line, "I'd like to buy the world a Coke and keep it company." Lyrics - I'd Like to Buy the World a Coke I'd like to buy the world a home and furnish it with love, Grow apple trees and honey bees, and snow white turtle doves. I'd like to teach the world to sing in perfect harmony,
I'd like to buy the world a Coke and keep it company. (Repeat the last two lines, and in the background) It's the real thing, Coke is what the world wants today. They Don't Like It On February 12, 1971, "I'd Like to Buy the World a Coke" was shipped to radio stations throughout the United States. It promptly flopped. The Coca-Cola bottlers hated the ad and most refused to buy airtime for it. The few times the ad was played, the public paid no attention. Bill Backer's idea that Coke connected people appeared to be dead. Backer persuaded McCann to convince Coca-Cola executives that the ad was still viable but needed a visual dimension. His approach succeeded: the company eventually approved more than $250,000 for filming, at the time one of the largest budgets ever devoted to a television commercial. A Commercial Success The television ad "I'd Like to Buy the World a Coke" was released first in Europe, where it garnered only a tepid response. It was then released in the U.S. in July, 1971, and the response was immediate and dramatic. By November of that year, Coca-Cola and its bottlers had received more than a hundred thousand letters about the ad. At that time the demand for the song was so great that many people were calling radio stations and asking them to play the commercial. "I'd Like to Buy the World a Coke" has had a lasting connection with the viewing public. Advertising surveys consistently identify it as one of the best commercials of all time, and the sheet music continues to sell more than thirty years after the song was written Candler was one of the first people to make advertising pay off in a big way for their company. In a short space of time the drink was being sold and loved all over America. Asa Candler was one of the pioneers of large-scale advertising, which has brought Coke its great success. Coke slogans are much more sophisticated today, compared to the original commercials used by Candler and are usually very short to influence the audience straight away. "Coke is it", 1982 and "Always", 1993 are examples of new campaigns in which the audience are reminded that Coke is the original cola. Today Coca-Cola is the most recognised brand in the world. Most of its success is based on over one hundred years of advertising and a very recognisable logo designed by Frank Robinson, Pemberton's book keeper. Robert Woodruff took over from Candler when he retired, and controlled Coke through the difficult years of the Second World War. Woodruff made sure that every allied soldier could have a Coke for 5 cents wherever they were and at whatever the cost to the company. The decision to maintain Coke supplies near the front line of the war would pay off when the war was over. Coke engineers went to North Africa where the allies were fighting, to set up
several new factories to provide over three million bottles, ordered by General Dwight D Eisenhower. When the war was over these factories carried on producing, enabling Coca-Cola to access new markets. The allied troops other than Americans had also tasted Coke and had liked the taste so the demand for it was there from other nationalities. The war effort also created close links between Coke and the American government. President Eisenhower rewarded Coca-Cola's input into the war by making Coke the official drink of the White House. This helped Coke, as the USA is now a symbol of wealth and freedom so to be associated with the government further reinforced Coke's association with the USA. However, this association came with some drawbacks. Coke was banned in some anti-American states in the Middle East. Despite helping in the Second World War Coke has moved with the times and has helped promote peace when the U.S sentiment suited this approach. It promotes peace in its commercials including the most successful Coke commercial in 1971, "I'd like to buy the world a Coke". This great commercial which featured young people of different races and nationalities united on a hillside in Italy to promote world peace when the Cold War and Vietnam War were at their height. The commercial also shows Coke as an international company that sells its drink to all countries and races. The commercial suggests that Coke links and unites these countries even when war is tearing them apart. In 1993 after some hostility in the Middle East, Coke was served in the Arab-Israeli peace talks. Coke has sponsored the Olympic Games since 1928. This promotes Coke's image across the world. The association with the Olympic Games makes Coke seem like a sporty drink that athletes prefer. This sporty association appeals to active people who participate in physical activity. This is a large market which Coke has conquered by Olympic Games sponsorship and advertising. There have only been one Olympic Games when Coke has not been a sponsor and that was when the Americans boycotted them in 1980. The official games Sponsor was Fanta, which is owned by CocaCola. Coca-Cola has used many slogans and phrases over the years but I will be concentrating on the "You Can't Beat the Feeling", 1989, advertising campaign. Each of the commercials in this campaign shows youthful people having a good time, having a Coke. The commercials share one common feature, a large Coca-Cola logo at the top of the commercial taking up roughly a quarter of the space used. The bright, comforting colours red and white combined with the instantly recognisable and unique Coca-Cola hand-written logo. The logo firstly attracts the attention of the audience and informs them that the picture below the commercial is advertising Coke. This makes the reader associate the great time the people in the commercial are having, with Coke. The colours used in these commercials are predominantly red and white. This is used to remind us that it is a Coke commercial and to help the picture merge in with the Coke logo at the top. In each of the commercials someone is holding the distinctive curved Coke bottle with the label facing the audience. This is used to show us that the people in the commercial are not just drinking any cola but are drinking the original Coca-Cola. In most of the commercials
the bottle is either in the middle of the commercial or at the top of it. This makes the bottle the centre of attention and links it firmly with having a good time. "You Can't Beat the Feeling" is used as the Coca-Cola slogan in commercials where the young people in them are having a great time. The slogan tells the audience that you can't beat the feeling of having a great time with your friends and drinking a Coke. The slogan is not just saying that Coke makes a good time, but makes a good time even better. The Diet Coke commercials are different to the usual Coke commercials because they need to appeal to a different audience. The commercial has the shape of a woman's body mirrored to show the shape of the famous Coke bottle between them. The slogan and pun "Just for the Shape of it" is inside the Coke bottle shape. This slogan is similar to the normal Coke slogan "Just for the Taste of it" and it reminds us that it is a drink commercial and a dietary product. The slogan implies that this product will help you lose weight but Coca-Cola do not directly claim this. In reality the drink simply contains less sugar so may help prevent the drinker from putting on weight. The woman is holding a Diet Coke can half way up the commercial on each side. This central position draws our attention to the Coke can and its logo. The woman in the commercial is wearing an expensive looking red dress and bracelet. These expensive products make Diet Coke seem glamorous, however the reader knows that Coke is priced so everyone can afford it. This gives the reverse effect that if you drink a Diet Coke you will become a glamorous and affluent person. The white Diet Coke can, positioned next to the woman's red dress, creates the original Coke colours which reinforce to the reader that this is a Coca-Cola product. This commercial is obviously posed, unlike the other Coca-Cola commercials that have people in natural positions. The models on the majority of Coke commercials are doing normal things, having a good time with their friends. They do not give the appearance that they are part of a posed commercial. A technique used to give this impression is to have the models looking away from the camera. This gives the commercials a natural and un-posed look. This commercial is predominately aimed at women as they have a greater tendency than men to diet and to be concerned about their weight. The glamorous woman with a very shapely body in the commercial is Diet Coke's image and implies that women who drink Diet Coke will look like the model in the commercial. Young attractive women are usually associated with commercials, which will appeal to men. However this commercial has a woman who is not purposely standing in a sexy position and the commercial does not even contain the woman's face. Coca-Cola's most recent campaign "Life Tastes Good" has a billboard commercial showing approximately one quarter of the Coca-Cola logo on a red background. The Coke advertiser's know that the Coke logo and colours are so recognisable that they do not even have to show the whole logo. The commercial reminds us of Coke and delivers their new message, which is "Life Tastes Good". This slogan is similar to many other Coke slogans like "You Can't Beat
the Feeling" because it associates having a Coke with having a good time. The slogan is saying that if you "taste" a Coke, life will be good. Coke commercials are primarily filmed in the sun, in fun and exciting locations. Many are filmed in large cities such as New York. These locations are used because most people either live in or near a city so can relate to people in the commercials. Cities are also featured on TV and in films. This type of location is also very realistic and recognisable. We can understand why the people in the commercial are in the city as they might be shopping or working, but whatever they are doing, they are having a good time because of Coke. There are other locations used in Coke commercials such as a relaxing setting by a river. This type of setting is used to inform the audience that Coke is not just for young busy people actively having a good time in a location like New York, but can be drunk by people who just want to relax and chill out. This type of commercial is used to show us how Coke can help make a great time even if you are on your own relaxing or reading a book. The people in these commercials do not appear lonely because their expressions tell us that they are enjoying the calm with their Coke. This type of commercial used the "Coke is it" slogan and implies that Coke makes the great time rather than helps it, as in the "You Can't Beat the Feeling" campaign. The Diet Coke commercial is quite different to the others as it was produced in a studio rather than a recognisable location. Special camera effects are used to mirror the woman's body, which is also quite unusual. It is unusual because normal Coke commercials have ordinary people in natural positions drinking Coke. This commercial is more sophisticated because it appeals to a different target audience. The young adults in Coke commercials make them appeal to many different audiences. Teenagers will relate to the commercials because the young adults are symbols of freedom and fun. This is attractive to teenagers, who will associate Coke with an age group and lifestyle that appeals to them. Older people will remember when they had fun and freedom in their early adulthood. This is Coke's nostalgia effect because Coke is one of the few products that most people have tasted in their youth. Coke also produces commercials that are aimed at a wider, more general audience. The billboard commercials for the "Life Tastes Good" campaign shows one half of the Coca-Cola logo on a red background. This illustrates the advertiser's confidence in their audience's ability to immediately recognise the Coca-Cola brand name. Coca-Cola successfully sells their product by producing commercials for every category of audience. They can achieve this by placing commercials in magazines and newspapers targeted at the intended audience. Coca-Cola has been in existence and has commercialised for much longer than most other companies so is able to use the nostalgia value which helps sell a drink associated with youth to people of older generations. This is a big advantage for Coke
because it means they can sell their drink to almost anyone. However, it is possible that this can have a negative effect, because young people don't want to drink something old, so new up to date commercials need to be constantly produced. Over many years, especially since World War Two, Coke has become a symbol of America and the American dream. We associate Coke with freedom, glamour and prosperity. This big association with America does encourage us to buy the product because America has long been the richest and most glamorous country in the world and is now the only remaining superpower. The association with the American dream encourages us to buy Coke because freedom and happiness are things that many people strive to achieve.
Coca-Cola Company advertises its products mainly coke through electronic media that
includes Television, Radio and Internet as well. Moreover leading newspapers of Pakistan are also the targeted by coke for advertising. So we can say that coke not only uses electronic but
print media for advertisement as well. Coca Cola Company use different mediums ➢ Print media ➢ Pos material ➢ TV commercial ➢ Billboards and holdings
History of coca cola in Pakistan
To enhance the quality, availability, and image of Coca-Cola products, The Coca-Cola Company established a new Company in Pakistan in 1996, by the name of “Coca-Cola Beverages Pakistan Limited” (CCBPL or Company). CCBPL is a part of Coca-Cola İçecek which is sixth largest KO bottler in the World. It has a presence in ten countries including Turkey, Kazakhstan, Kyrgyzstan, Azerbaijan, Jordan, Iraq, Turkmenistan, Tajikistan, Syria, and Pakistan. CCI has 48% shares of CCBPL with Management Control. CCBPL started the process of acquiring and investing in locally franchised bottling operations. This process was completed in 2006 and, thereafter, all manufacturing and selling rights of Coca-Cola products are now with CCBPL. CCBPL has 6 plants and 13 warehouses throughout the country and serves a population of more than 170 million with a production capacity of 111 million physical cases. CCBPL is a significant player in the growth of Pakistan’s economy since it is one of the country’s top foreign direct investments in FMCG (Fast Moving Consumer Goods) business and is one of the major tax paying beverages companies of Pakistan.
REGION WISE CONSUMPTION OF COCA COLA
Coca Cola is the world renowned soft drink and the company is currently operating throughout the world. The world wide total is 23.7 Billions. Review according to the regions is as follows:
BRANDS OF COCA COLA
Coca-Cola Zero® has been one of the most successful product launch hes in Coca Cola’s history. In 2007, Coca Cola’s sold nearly 450 million cases globally. Put into perspective, that's roughly the same size as Coca Cola’s total business in the Philippines, one of our top 15 markets. As of September 2008, Coca-Cola Zero is available in more than 100 countries.
ENERGY DRINKS For those with a high-intensity approach to life, Coca Cola’s brands of Energy Drinks contain ingredients such as ginseng extract, guarana extract, caffeine and B vitamins.
JUICES/JUICE DRINKS We bring innovation to the goodness of juice Coca Cola’s more than 20 juice and juice drink brands, offering both adults and children nutritious, refreshing and flavorful beverages.
SOFT DRINKS Coca Cola’s dozens of soft drink brands provide flavor and refreshment in a variety of choices. From the original Coca-Cola to most recent introductions, soft drinks from The Coca-Cola Company are both icons and innovators in the beverage industry.
SPORTS DRINKS Carbohydrates, fluids, and electrolytes team together in Coca Cola’s Sports Drinks, providing rapid hydration and terrific taste for fitnessseekers at any level.
TEA AND COFFEE Bottled and canned teas and coffees provide consumers' favorite drinks in convenient take-anywhere packaging, satisfying both traditional tea drinkers and today's growing coffee culture. WATER Smooth and essential, our Waters and Water Beverages offer hydration in its purest form. OTHER DRINKS So much more than soft drinks. Coca Cola’s brands also include milk products, soup, and more so you can choose a Coca Cola Company product anytime, anywhere for nutrition, refreshment or other needs.
COMPETITORS OF COCA COLA
The competitors to the products of the company mainly lie in the non-alcoholic beverage industry consisting of juices and soft drinks. The key competitors in the industry are as follows: ➢ PepsiCo ➢ Nestle ➢ Cadbury Schweppes PEPSI Caleb Brandhum, a North Caroline Pharmacist, structure Pepsi Cola In2 the 1890’s as cure of dyspepsia (indigestion). In 1902, Bradhum applied for a trade mark, issued ninety seven share of stock and began selling Pepsi syrup in earnest. In his first year of business he spends $1900 on advertising a huge sum that he sold only 8000 gallons of syrup. In 1905 Bradhum built Pepsi’s bottling plant. By 1907 he was selling 10,000 gallons a year, two years later; he hired a New York advertising agency. After passing through many troubles for some period now Pepsi is a market leader in international arence and is available in 187 Nations throughout the world.
COCA COLA V/S PEPSI PRODUCTS
Both the companies Coca Cola and Pepsi have a number of products. Many of these products are innovations but there are also many products which are brought out just as a competitive product for other companies. Some of these products that are brought in the market by both the companies to compete against each other are as follows:
The main dark cola drink of the company major which started the rivalry between these Companies.
Pepsi version of dark cola which is the primary competitor to Coke.
Full Throttle is an energy drink produced by the Coca Cola Company. It deputed in late 2004 in North America.
AMP is and energy drink produced and distributed by Pepsi CO. under the Mountain Dew soft drink brand.
Vault is a carbonated beverage that was released by the Coca Cola Company in June 2005.
Mountain Dew MDX is an energy drink manufactured distributed by PepsiCo. Under Mountain Dew brand in 2005.
PowerAde is a sports drink by Coca Cola Company and currently number two in the sports drink market worldwide.
Gatorade is a non carbonated sports drink marketed by Quaker Oats Company, a division of Pepsi Co. originally made for athletes but now often consumed as a snack beverage.
Sprite is a clear, lemon lime flavored, non caffeinated soft drink, produced by Coca Cola Company.It was introduced in the U.S in 1961.
7 up is a brand of a lemon-lime flavored soft Drink
Minute Maid is a product line of beverages usually associated with orange juice, but now extends to soft drinks of many kinds. The Minute Maid company is now owned by Coca Cola and is world‟ largest marketers of fruit juices and drinks.
Tropicana products are an American company based in Bradenton, Florida, USA, which is one of the world‟s largest producers and marketers of orange juice. It has been owned by Pepsi Co. Inc. since 1998
Nestea is brand of iced tea manufactured and distributed by the Nestle company‟s beverage department in the U.S. and by Coca Cola in several European countries, Brazil and
Lipton Original iced tea is a ready to drink iced tea brand sold by Lipton through a worldwide partnership with Pepsi.
Barq‟s is a brand of root beer notable for being the only major North American root bear to contain caffeine. It has been bottled start of 20th century and is currently sold by Coca Cola Company.
Mug root beer is a brand name of root beer made by the Pepsi Company.
Diet Coke or Diet Coca Cola is a sugar-free soft drink produced and distributed by Coca Cola Company, was introduced in U.S. in 1982
Diet Pepsi is a low calorie carbonated cola. It was introduced in 1964 as a variant of Pepsi Cola with no sugar.
Kinley is a brand of still or carbonated water owned by The Coca Cola Company.
Aquafina is non carbonated bottled water produced by PepsiCo.
Aquarius is a mineral sports drink manufactured by Coca Cola Company. It was first introduced in 1983.
All Sport was a sports drink. It is produced by Pepsi Co.
Fanta is a soft drink brand owned by The Coca Cola Company. It is produced and distributed by Coca Cola Company‟s bottlers.
Mirinda is a brand of soft drink. Mirinda is owned by Pepsi Co.
Sprite Ice was the first flavor extension for Coca Cola Company‟s Sprite brand soft drink.
Pepsi Blue is a soft drink made by Pepsi Co. and launched in mid 2002.
Coca Cola Blak is a coffee flavored soft drink introduced by Coca Cola in 2006. Pepsi Cappuccino is a cappuccino flavored carbonated soft drink produced by Pepsi Co
Maaza is a Coca Cola fruit drink brand marketed in India and Bangladesh. Slice is a line of fruit flavored soft drink manufactured by PepsiCo and introduced in 1984.
Limca is a lemon and lime flavored carbonated soft drink made in India by Coca Cola.
Teem; a lemon lime flavored soft drink produced by the Pepsi Cola Company.
NESTLE Nestle does not give that tough a competition to Coca-Cola as it mainly deals with milk products, Baby foods and Chocolates. But the iced tea that is Nestea which has been introduced into the market by Nestle provides a considerable amount of competition to the products of the Company. Iced tea is one of the closest substitutes to the Colas as it is a thirst quencher and it is healthier when compared to fizz drinks. The flavoured milk products also have become substitutes to the products of the company due to growing health awareness among people.
CADBURY SCHWEPPES Cadbury Schweppes are joined force of Cadbury found in 1824 of U.K. and Schweppes of Ireland founded in 1783. Cadbury Schweppes is unified bussing which manages the relations his with over 240 franchised bottling operation on Zambia and Zimbabwe. Cadbury Schweppes has fottlery ands partnership operations in 14 countries around the world. Other competitors ➢ Mecca Cola ➢ Amrat Cola ➢ RC Cola ➢ Shandy Cola ➢ Qibla Cola ➢ Future Cola ➢ Unilever ➢ Kraft Foods, Inc.
SALES PROMOTION ACTIVITIES
Cricket the most sought after; watched & played game in Pakistan .the game of cricket has been owned by various brands in the industry for the promotion of their products over a period of time. It has ranged from tobacco to lubricants to communication companies to banks to airlines & lately to the beverage industry. The competition has become tougher & tougher as the time has progressed. Coca-Cola signed a sponsorship agreement with eight of Pakistan‟s National cricket
players. Coca-Cola realizing the fact that cricket is a very strong element by which it can reach it
consumers & masses invested in the opportunity and launched a massive campaign on mass media showing all these cricket stars endorsing & complimenting Coca-Cola brand. The CocaCola Company developed three TV commercials & four testimonial ads with the player & ran them on the national net work during various cricket matches. These bold steps taken by the Coca-Cola marketing unit acclaimed them many acknowledgements across the board. This campaign helped Coca-Cola to establish its association with the game & the player.
Abrar-ul-haq‟s distinct style, lyrics & songs have made him an instant hit among the masses in Pakistan. His enormous popularity in the country & abroad is supported by Coca-Cola‟s commitment towards providing healthy & fun-filled entertainment for the youth of Pakistan. Coca-Cola brought Abrar to his fans through holding concerts & featuring Abrar in a much-appreciated TVC & MMT featured throughout the country. The TVC campaign focused on the hectic lifestyle of a pop star who found respite & relief through Coca-Cola in short moments that he had to himself during a concert. Coca-Cola‟s brand positioning of providing deep down refreshment for the body, soul & mind were captured accurately in the TVC & depicted aptly how the drink completes the moment for Abrar.
COCA-COLA FOOD MELA
With a splash of food, fun & prizes to be won, the Coca-Cola food mela treated the people of Karachi, to a festive food festival comprising of 50 restaurants, spread out all over the bustling city‟s map. The promotion saw the avid families & friends enjoying the delicacies at the restaurants; all resiliently upholding the Coca-Cola identity.
COCA-COLA BASANT FESTIVAL
In February the month of basant the parks & horticulture authority in Lahore nominated CocaCola the official sponsor of the basant festival .Coca-Cola added to the carnival atmosphere by making
the festival free to enter & decorating all main roads in Lahore with illuminated kites. Coca-Cola also hosted a concert of pop idol Abrar-ul-haq, had children‟s parade & held the Coca-Cola kite flying championship during the basant festival. Now “where there is basant there is Coca-Cola”, it has been impossible to envisage basant without Coca-Cola. Coca-Cola give the more refreshing flavor to the colors of basant by adding more life to the festival, giving the consumer a unique experience which they had never tasted before.
Quenching the thirst of motorist, pedestrians & passerby‟s during Lahore‟s hottest summer season, Coca-Cola‟s “GO-RED” teams went out into the cities main quadrants to “serve & refresh” on the spot with ice-cold Coca-Colas at discounted prices backed by a heavy FM announcement campaign the “GO-RED” stall, served well to promote the Coca-Cola industry.
COCA-COLA PARTY IN A PARK
In June 2000, Coca-Cola created an experiential musical evening in Lahore, where Junoon performed. This program was recorded and one-hour program shown in the national TV for free.10 million households saw Coca-Cola „Party in a Park‟ while 10 thousand people attended the event.
COCA-COLA SHOPPING FESTIVAL
Coca-Cola hosted “The Coca-Cola Shopping Festival” Lahore‟s first shopping festival, a resounding success with tempting discounts, live music, great prizes & fire works. Liberty marketing Gulberg was a hive of activity during the weeklong shopping extravaganza. The in augural event proved so popular that it is now set to become an annual fixture.
COCA-COLA PET PROMOTION
In 1996, Coca-Cola launched 1.5 liter Pet contour bottle for the first time in Pakistan. Targeting house wives & family home, Coca-Cola‟s 1.5 liter Pet bottle, took the limelight & gained momentum with a campaign promoting the unique packaging and its numerous consumer benefits .A treat for the family, Coca-Cola‟s PET was offered through a “price-off” promotion that said...Go out & get some
COCA-COLA RAMZAN CAMPAIGN
A very special occasion for the people of Pakistan Ramzan saw another very special CocaCola‟s promotion, marketing the popular 1.5 liter PET bottle & the 1 liter bottle with a super price-off promotion. The emphasis on enjoying Coca-Cola at “Iftar” with friends & family.
COCA-COLA WONDER OF THE WORLD PROMOTION
In July 2000, Coca-Cola set the stage of the grand UTC promotion. Coca-Cola went ahead with the idea of giving consumer chances to win fabulous, magical “dream vacation” to numerous “wonder destination” throughout the world on every purchase of a 250 ml RGB bottle of Coca-Cola, Sprite, & Fanta.The promotion gave consumers a chance to win free drink, a trip to PARIS, HOLLYWOOD, NEWYORK, SINGAPORE & CAIRO along with airfare & four nights free stay in these dream lands. The promotion saw avid consumer collecting Coca-Cola „Crown caps‟ & sparked a keen response from the public , rendering an outstanding testimonial campaign in the second phase, highlighting the winners over whelmed in the magical delight of their favorite beverage Coca-Cola.
COCA-COLA & NOKIA
In August 2001, the new under-the-crown promotion “Nikla Kiya?”(What have u won) was
launched in collaboration with Chimera Nokia. The promotion gave consumer a chance to win thousand‟s
of Coca-Cola branded Nokia 3310 cellular phones on every purchase of 750ml RGB bottle of CocaCola ,Sprite, & Fanta. The other highlight of promotion was the “Caught Red Handed” campaign. Branded Coca-Cola with „caught red handed‟ team in them went to Lahore & Karachi for three days, with target that anyone being caught drinking Coca-Cola will be awarded a nokia 3310 mobile phone & if someone is caught talking on a Nokia mobile will win free supply of Coca-Cola. Caught red handed become a huge success among the masses as it was one to one interaction between the Coca-Cola brand & the consumers. This activity helped build confidence and brand loyalty among core consumers.
COCA COLA TV MAZZA
The Coca Cola new campaign is Coca Cola TV mazza, it is a utc scheme in which people are getting television sets of different sizes. These days this scheme is very popular among the people.
COCA-COLA & MC DONALD‟S
Coca-Cola & key account of MC Donald‟s launched the “we go together” joint promotion to reinstate amongst consumers a real sense of the affinity that, both shares globally. The promotion kicked off with pos material (Danglers, Bunting etc) displayed at all MC Donald‟s restaurants along with a special offer for coke & fries.
FANTA & SPRITE LAUNCHED
In November 2000moving on to the Sprite & Fanta brands, the consumers in Pakistan witnessed a soft launch in essence. The Coca-Cola Company declared the new “Non-Returnable” bottles of Sprite & Fanta as the “New, On the Go Packs” flaunting the innovative packaging convenience. Fanta & Sprite are sure to enjoy considerable success in Pakistan.
After the acquisition of the individual local franchise bottling facilities in 1996, the company has successfully launched its first new product, diet coke, for the first time in almost 3 years. The was linked with three fashion shows as Diet Coke is related to fashion & fitness, but the major hit was thematic fashion shows in restaurants, which are the key accounts of the company as this has been never done before in Pakistan.
Coke Studio (Pakistan)
Coke Studio is a Pakistani music television series which features live studio-recorded music performances by various artists. The show is produced by the Coca-Cola Company and Frequency Media. Starting in 2008, Coke Studio has been popular throughout the country, receiving critical acclaim and frequently being rebroadcast on numerous television and radio stations. It is one of the most popular music programmes in Asia and is a local brand product of Coca-Cola. The concept of the show had similarities with the Brazilian show, Estúdio Coca-Cola, although the format of the show is fundamentally different from the original version format, where performances were held on a concert style platform, whereas in the Pakistani version of the series, performances are held in a closed studio. The program focuses on a fusion of the diverse musical influences in Pakistan, including eastern classical, folk, qawwali, bhangra, sufi and contemporary hip hop, rock and pop music. The show provides a platform for renowned as well as upcoming and less mainstream artists, of various genres, regions and languages, to collaborate musically in live studio recording sessions.
LOGO OF COCA COLA
Logo is what establishes a brand name in the consumer mind. It is the brands identify, signature, image and more often it is a logo that makes of breaks a product logo plays a very effective role to improve the product or brand. Coca Colas kept on changing its logo from time to time along with the trade marks.
Coca Cola Company makes two types of selling ➢ Direct selling ➢ Indirect selling
In direct selling they supply their products in shops by using their own transports. They have almost 450 vehicles to supply their bottles. In this type of selling company have more profit margin.
They have their whole sellers and agencies to cover all area. Because it is very difficult for them to cover all area of Pakistan by their own so they have so many whole sellers and agencies to assure their customers for availability of Coca Cola products.
FACILITATING THE PRODUCT BY INFRASTRUCTURE
For providing their product in good manner company has provided infrastructure these includes: ➢ Vizi cooler ➢ Freezers ➢ Display racks ➢ Free empty bottles and shells for bottles
Effect on General Public
The Coca Cola Company exists to satisfy the consumers’ needs. The Coca Cola Company has over 400 brands of drinks designed to satisfy a very wide range of consumers. They are able to provide drinks for many different target markets including, people of all ages, sexes, races, etc. Coca-Cola products are able to sell to a diverse worldwide population and its success is unmatched. In today’s society, people are looking to lead better, healthier lives, Coca Cola seeing this trend has begun to produce, diet drinks that have the same great taste as their regular drinks while still being low fat or low calorie drinks, such as diet coke, or coke zero. Coca Cola products are purchased by all the different classes, but mainly by the middle and high-class citizens, because they have more money to spend on luxury items. Coca Cola is a very successful company; due to their success they are able to spend more money making their factories work more efficiently. They can do this by updating the equipment used to produce their drinks. Although people today are becoming more conscious about their environment, and the damage that has been done in prior years. Many people make their purchase decisions partially based on a company’s ethics, or social responsibility. By contributing to stop pollution both within and outside their factories, they will gain the trust and respect of the potential buyers, who care about saving our environment. In gaining their trust and respect more people will be willing to purchase their products, because the company stands for the same goals that their consumers are trying to protect. The Coca Cola Company tries to be more environmentally aware.
From this report, we conclude that Coca Cola is a well known product of present age and is frequently used worldwide. The brands introduced by it are also very popular. It has a great history and has gone under many problems to maintain its current position. Its history itself is very interesting as well as its bottling and advertising history. It has many branches across 200 countries and providing the best things to their distributors in order to maintain their position in market. It is a non alcoholic beverage and can be used by any person anywhere. It has many competitors in market as well, Pepsi is the biggest rival, therefore Coca Cola must adopt some strategies to capture the market and bring awareness about its product among people, especially in Pakistan.
After completing our project we have come up with following recommendations for the Coca Cola Company, which are following.
➢ Currently in Pakistan there are only two flavor of Coke available, company can extend
their portfolio by introducing new flavors.
➢ According to the survey, conducted by the international firm Pakistani people like less
sweet cola drink. So for this Coca-Cola Company should think about bringing a new product for example new diet flavors, in the market to fulfill the local need. ➢ Marketing team should try to increase the availability of Coke in rural areas. ➢ Coca Cola Company should think about producing Coke Can locally as well because currently coke Cans are only smuggled from abroad and sold at high price. Company can capitalize on this factor.
www.cocacola.com www.thecocacolacompany.com www.wikipedia.com www.google.com Local Newspapers