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These forces allowed Coke and Pepsi to maintain large growth until 1999, and also explain the challenges that each company is currently... On July 6, 2006, a Coca-Cola employee and two other people were arrested and charged with trying to sell trade secrets information to the soft drink maker's competitor, PepsiCo for $1. 5 million. The recipe for Coca-Cola, perhaps the company's most closely guarded secret, was never in jeopardy. Instead, the information was related to a new beverage in development. Coca-Cola executives verified that the documents were valid and proprietary. At least one glass vial containing a sample of a new drink was offered for sale, court documents said. The conspiracy was revealed by PepsiCo, which notified the authorities when they were approached by the conspirators. The company announced a new "negative calorie" green tea drink, Enviga, in 2006, along with trying coffee retail concepts Far Coast and Chaqwa. On May 25, 2007, Coca-Cola announced it would purchase Glaceau, a maker of flavored vitamin-enhanced drinks (vitamin water), flavored waters, and Burn energy drinks, for $4.
Combined, the BIG program is the largest global bottler in the company. In 2004, bottlers in the BIG program took in $11 billion in revenue. In Q3 2018, Coca-Cola completed refranchising company-owned bottling operations in North America, which cost $275 million. The Coca-Cola Company's Finished Product Business The company also manufactures its own fountain syrups, manages several bottling operations, and collects revenue on finished products. This revenue is reported under the finished product operations. In 2018, 36% of Coca-Cola's business was categorized as finished product operations, while 64% was classified as concentrate operations. This was significantly more biased toward concentrates over 2017, when the division was 51% concentrate operations and 49% finished product. Of the roughly 61 billion servings of all beverages consumed worldwide on a daily basis, close to two billion are Coca-Cola products. Future Plans The unique franchise bottling system developed over 100 years ago continues to be a valuable asset for Coca-Cola.
These include inter alia persons with a hectic daily routine those are very concerned about naturalness and sustainability (The Coca-Cola Company 2015; Spaeth 2015). The product policy is one of the four basics of the marketing mix. The aim of the company is to differentiate their own product towards competitors' for their target group and to reach a better identification of potential and existing customers (Kuß & Kleinaltenkamp 2011). The three layers, which identify the consumers' needs and wants of a product, are the core product, actual product and augmented product (Solomon et al. 2014). Figure 2: Layers of the product Coca Cola Life Sources: Journey Redaktion (2015); Davis (n. ); Wallop (2014) Furthermore, marketers have to classify the product with a view to a better understanding of the purchase behaviour of consumers. As Coke Life provides a benefit over a short time it is part of non-durable goods. Moreover, consumers who buy Coke Life are obviously purchasing a convenience product, as customers just spend a little effort on the purchase decision, the product is frequently purchased and widely available (Solomon et al.
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Table of Contents Executive Summary 1 Introduction 1. 1 Authorisation and purpose 1. 2 Limitations 1. 3 Scope 2 Background 2. 1 The Organisation 2. 2 The Product 'Coca-Cola Life' 2. 3 SWOT Analysis 2. 4 Main Target Market of Coca-Cola Life 3 Product 3. 1 Three Layers of Coca-Cola Life 3. 2 Classification of Coca-Cola Life 3. 3 Stage of the Product Life Cycle for Coca-Cola Life 3. 4 The Branding of Coca-Cola Life 4 Price 4. 1 The Price of Coca-Cola Life compared to Competitors' Prices 4. 2 Pricing Objectives 4. 3 Price Elasticity 4. 4 Influencing Factors on the Price 5 Promotion 5. 1 Integrated Marketing Communication (IMC) 5. 2 Advertisement of Coca-Cola Life 6 Conclusion 7 Innovative Recommendations 7. 1 Not Only Look Green - Be Green 7. 2 The Sustainability of the Recycling System References This report was commissioned to examine the marketing of Coca-Cola Life which is distributed by the Coca-Cola Company. The research draws attention to the company's background and evaluates the background of Coca-Cola Life.
These included Minute Maid Juices to Go, Powerade sports beverage, flavored tea Nestea (in a joint venture with Nestle), Fruitopia fruit drink and Dasani water, among others. In 2001, Minute Maid division launched the Simply Orange brand of juices including orange juice. In 2004, perhaps in response to the burgeoning popularity of low-carbohydrate diets such as the Atkins Diet, Coca-Cola announced its intention to develop and sell a low-carbohydrate alternative to Coke Classic, dubbed C2 Cola. C2 contains a mix of high fructose corn syrup, aspartame, sucralose, and Acesulfame potassium. C2 is designed to more closely emulate the taste of Coca-Cola Classic. Even with less than half of the food energy and carbohydrates of standard soft drinks, C2 is not a replacement for zero-calorie soft drinks such as Diet Coke. C2 went on sale in the U. S. on June 11, 2004, and in Canada in August 2004. C2's future is uncertain due to disappointing sales. Coca-Cola is the best-selling soft drink in most countries, and was recognized as the number one global brand in 2010.
Usually the price of a 600ml bottle of Coca-Cola Life is around $3. 50 which is positioned above the price of the direct competitor Pepsi True. Compared to indirect competitors the price is set in the upper margin. With regard to the promotion of Coca-Cola Life the Coca-Cola Company uses different ways to communicate the product whereby campaigns that wake emotions are currently at a premium. Evaluation of this product lead to the following recommendations: A weakness was identified in the ingredients. It is recommended that the ingredients should be mostly organic and the sugar should be completely removed in order to satisfy customer needs and wants. Special attention should be paid to the recycling system. It is recommended that the company target itself on reusable packaging instead of one-way drink packaging. Recommendations have been made to suggest that a more sustainable view of Coca-Cola Life and its environment could potentially increase market share and future profits. This report was authorised at the University of the Sunshine Coast, Australia.