COLA WAR

ays w i t ho u t
D
coke
HISTORY • Coca-Cola was formulated in
1886 by John Pemberton
• Pepsi-Cola was invented
in 1893 in New Bern,
OF SOFT • Robert Woodruff, who
became CEO in 1923
North Carolina by
pharmacist Caleb
DRINK Bradham.
• In 1950, Alfred Steele, a
GIANTS former Coca-Cola
marketing executive,
became Pepsi’s CEO.
• Pepsi introduced 12-ounce bottle to a nickel
• Pepsi sold concentrate to its bottlers at a price
approximately 20% lower than Coke
• The Pepsi Challenge
• New CSD brands proliferated in 1980s
• Coke came with its 6.5-ounce bottle.
• Coke’s bottling network remained fragmented, with more
than 800 independent franchised bottlers
• Diet coke(1982) - phenomenal success
PROFIT, PROFIT
AND PROFIT
COMPARISON OF
CONCENTRATE BUSINESS
TO BOTTLING BUSINESS

•Less capital intensive than bottling

•Concentrate producers required fewer raw
materials in comparison to bottlers
•Number of bottlers is much greater than
the number of concentrate producers
•Concentrate producers are responsible for
brand promotion and invest heavily in
trademark to stimulate sales
•Bottlers were always very dependent on
concentrate producers, suppliers of
packaging, flavours and sweeteners. All
these factors contributed to lower returns
in bottling business
DECREASING
DEMAND OF CSD
DIVERSIFICATI
ON OF
PRODUCTS
 GROUP 1

THANK •Abhinav Wuyyuru

•Aditi bala Pandey

YOU
•Aditi Goel
•Akanksha Soni
•Anukriti Singh