case study about coca cola company

Case Study Of Coca-Cola: What Led To Its Success?

Aashita Singh

Updated on: August 23, 2023

In a world brimming with countless beverages, one name stands tall – Coca-Cola. This fizzy elixir has captured the hearts and palates of billions around the globe, becoming a symbol of refreshment, happiness, and, of course, capitalism. The story of Coca-Cola is not just a tale of sweet bubbles, it’s a narrative of resilience, innovation, and the ability to adapt to the ever-changing tastes of consumers. So let’s pop the top and delve into the remarkable case study of Coca-Cola and what led to its success, and the hurdles it has faced.

Coca-Cola’s Profile:

The year was 1886, and the place was Atlanta, Georgia, where the Coca-Cola saga begins with Dr. John S. Pemberton , a pharmacist with a penchant for experimentation. In the heart of his laboratory, he mixed together a curious blend of coca leaf extract and kola nut, creating a syrupy concoction that he believed had medicinal properties. This brew, initially intended as a patent medicine to soothe headaches and fatigue. But, later on it was mixed with carbonated water to create a fizzy drink. It was first sold at Jacob’s Pharmacy on May 8, 1886. 

It was Frank M. Robinson , Dr. Pemberton’s bookkeeper, who gave the concoction its iconic name. He played a pivotal role in the brand’s early history by suggesting the name Coca-Cola and designing the now-famous logo. 

• He believed that “Coca-Cola” conveyed a sense of euphony and captured the drink’s two main ingredients. 
• He even penned the flowing script of the Coca-Cola logo that remains an indelible part of the brand’s identity. 

Coca-Cola Case Study to Rise to Prominence: 

Despite Pemberton’s vision, financial difficulties led to the sale of Coca-Cola formula in 1887 for a mere $2,300.  

Its key points:

• Asa Griggs Candler , a visionary businessman, acquired the rights to Coca-Cola and embarked on a mission to make it a national sensation.
• His aggressive marketing tactics and bold advertising campaigns set the stage for Coca-Cola’s expansion. 
• In 1894, Candler incorporated The Coca-Cola Company and pushed it for widespread distribution. 
• Soon, the beverage was available in every U.S state, solidifying its position as an American favorite. 
• Its sales increased by a phenomenal percentage because of Candler efforts. 
• The evolution of Coca-Cola would not be complete without mentioning the groundbreaking contour bottle, introduced in 1915. 
• It is said to be the stroke of genius – the contour bottle. 
• Designed to be distinctively recognizable even in the dark or shattered into pieces.
• This bottle not only protected the secret formula but also became a symbol of Coca-Cola’s commitment to quality.

• This curvaceous bottle not only protected the secret formula of the brand itself.
• This distinctive packaging contributed to Coca-Cola’s worldwide recognition. 

NOTE: We have detailed article about various functions of packaging ! Do check that out!!

In 1919, Ernest Woodruff bought up the company. Thereafter, Ernest’s sons continued to run the company until they transformed it into an international brand. The company was officially listed on the New York stock exchange in 1919 under the symbol KO. 

Coca-Cola’s study to International Expansion:

• With success at home! Coca-Cola set its sights on global domination. During World War II, the company provided American troops with Coca-Cola, using slogans like “The pause that refreshes” to boost morale.
• After the war, international expansion continued, with bottling plants established worldwide. 
• The introduction of Coca-Cola during the war created its demand in the international market. 
• After that, Coca-Cola began establishing its partnerships with distributors and bottling companies all around the world.  
• At present, the company operates and works in more than 200 countries and territories. 
• Coca-Cola was launched in India in 1956, with the slogan “Refresh Yourself”. 

Some key points of Coca-Cola Case Study:

• The company brand value was estimated at $97.9 billion in 2022.
• The brand logo can be recognized by 93% of the global population.
• For advertisement the company has used $ 4 billion annually for advertising, between the years 2015 to 2021, except for the year 2020 (due to pandemic). 
• The company is recorded to have 225 bottling partners and 900 bottling plants globally. 
• The brand employs around 700,000 employees.
• The company is recorded to have the same price between the years 1856-1959, at 5 cents.  
• Offers beverage options of beverage to more than 200 brands to consumers worldwide. 
• Partners with 24 million retail customer outlets. 
• Company has a profile that includes $ 21 million brands. 
•  In 2022, Coca-Cola was the most valuable brand in the non-alcoholic area globally at $ 35.4 billion

Who Owns Coca-Cola?

There are various shareholders holding shares in the company.

Coco-Cola is a public listed company.

But the topmost are – Berkshire Hathaway, The Vanguard Group, BlackRock.  However, the largest share of the brand company is said to be of Warren Buffett. 

• Vanguard holding 8.16%
• Berkshire holding 9.25%
• BlackRock holding 4.58%
• Warren Buffett holding 9.30% 

NOTE: You can our other success stories of business like Ola Case Study !

Coca-Cola’s Growth Strategy:

In the competitive landscape of the global beverage industry, Coca-Cola has managed to maintain its position as a market leader for over a century. let’s see one another part of Case Study of Coca-Cola-

Ever wonder how it has achieved such remarkable and enduring growth? 

Let’s delve into Case Study of Coca-Cola’s growth strategy:

• Product Diversification: One of Coca-Cola’s core strategies for growth is product diversification. While Coca-Cola classic remains the flagship product, the company has expanded its portfolio to cater to changing consumer preferences. This includes offerings like Diet Coke, Coca-Cola Zero Sugar, and an array of flavored and non-carbonated beverages such as water, juices, and teas. 
• Developed market focus: Coca-Cola has identified the importance of growing developing markets. Coco-Cola’s 70% of all beverages which are commercialized are being consumed in the developed world as compared to the developing world which is 30%.

• Global Expansion: Coca-Cola’s global reach is a testament to its growth strategy. With operations in over 200 countries, the company has successfully expanded its footprint worldwide. It tailors its product to local tastes and preferences, ensuring relevance in diverse markets. Local partnerships and distribution networks are key components of this strategy, allowing Coca-Cola to penetrate even the most remote corners of the globe.
• Innovation and New markets: innovation is at the heart of Coca-Cola’s growth strategy. The company continually invests in research and development to create new beverages and packaging solutions. An example of this is the introduction of smaller-sized cans and bottles to address consumer health concerns about portion control and health. 
• Branding and Marketing: Coca-Cola’s branding and marketing efforts are legendary. The company consistently runs high-impact advertising campaigns, often featuring celebrities and memorable slogans. Its marketing goes beyond mere product promotion, it aims to create emotional connections with consumers. For example, Share Coke Campaign. 
• Sustainability and Corporate responsibility: Sustainability has become a vital component of Coca-Cola’s growth strategy. The company realized the importance of environmental and social responsibility. Started taking Initiatives such as reducing water usage, recycling programs, and commitments. Which contributes to their sustainable sourcing of ingredients to its long-term growth plans. 

7. Strategic Partnerships: Coca-Cola strategically partners with various organizations and events to enhance its visibility and association with positive experiences. Sponsorships of major sports leagues, music festivals, and cultural events create opportunities for brand exposure and engagement with consumers. 

Some memorable marketing campaigns of Coca-Cola that led to its success: 

When it comes to marketing mastery, few brands can rival Coca-Cola. Over the years, this iconic beverage company has crafted some of the world’s most memorable and emotionally resonant advertising campaigns. 

Some of them are:

• Share a Coke (2011) : It was a stroke of genius. Personalization of packaging was a popular marketing tactic of Coca Cola. It personalized its bottles and cans by printing the common names of individuals.  The company encouraged people to find their names on the bottles. Also, it asked people to share the bottle or can of coke with their friends or family members.
• Taste the Feeling (2016) : It featured simple, relatable moments of people enjoying Coca-Cola and emphasized that the drink was for everyone, for every feeling, and for every day. The campaign included coke, diet coke and zero sugar coke. 
• Thanda matlab Coca-Cola (2003): Aiming at the idea of refreshing drinks or Thanda, the campaign focuses its attention to local markets to win the people’s trust in the country. They made Coca-Cola and Thanda synonyms of each other.
• Open Happiness: In 2009, Coca-Cola introduced the “Open Happiness” campaign, this optimistic and cheerful message encouraged people to find happiness in the little moments and share them with others. The campaign included a variety of feel-good ads, catchy jingles, and interactive marketing initiatives, inviting consumers to be part of the happiness movement. 

Case Study of Coca-Cola : How Coca-Cola makes money?

Coca-Cola, the world’s most iconic beverage, has a recipe for success that extends far beyond its secret formula. Its ability to generate substantial revenue is a testament to its diverse income streams and strategic business model. 

Some of them are :

Core product sales: At its heart, Coca-Cola generates a significant portion of its revenue from the sales of its core products, including Coca-Cola zero sugar, and various flavored variants.

Diversified beverage portfolio: Coca-Cola isn’t just about cola anymore. The company has diversified its product portfolio to include a wide range of beverages, catering to diverse consumer tastes. 

Non-Alcoholic ready-to-drink coffee: Coca-Cola has also ventured into the thriving market of non-alcoholic ready-to-drink coffee. With acquisitions like Costa Coffee and brands like Georgia Coffee, it has tapped into the caffeine cravings of consumers worldwide. 

Partnerships and Licensing: Coca-Cola earns revenue through partnerships and licensing agreements. For example, it collaborates with other companies to produce co-branded products, like Coca-Cola with coffee, and it licenses its brand for use in various merchandise, from apparel to collectibles.

Sponsorships and Marketing Campaigns: Coca-Cola invests heavily in sponsorships of major events, sports leagues, and cultural activities. These partnerships provide brand exposure and promotional opportunities, driving consumer engagement and sales. The company’s marketing campaigns, often featuring celebrities and memorable commercials, also contributes to its revenue.

Challenges to Coca-Cola Success: 

Coca-Cola, the behemoth of the beverage industry, is no stranger to challenges, despite its remarkable success. It faced numerous challenges that ranged from the preferences of consumers and concerns related to the environment. 

Let’s explore the hurdles this iconic company faces on its path to sustained prosperity.

• Health and Wellness concerns: One of the most significant challenges Coca-Cola faces is the shift in consumer attitudes towards health and wellness. With growing awareness about the health risks associated with excessive sugar consumption, sales of sugary carbonated beverages like Coca-Cola classic have been under pressure.

• Sugar and Obesity: Linked to health concerns is the ongoing controversy surrounding the role of sugary beverages in the obesity epidemic. Coca-Cola, along with other soda manufacturers, has faced legal battles, health advocacy campaigns, and regulatory pressures. Responding to this challenge Coca-Cola has introduced low-calorie and reduced-sugar alternatives and actively participates in public health discussions.
• Changing consumer preferences: The ever-evolving consumer preferences pose a constant challenge. The desire for diverse and unique flavors, healthier options, and transparency in ingredient sourcing requires Coca-Cola to innovate continually. 
• Competition in the beverage market: The beverage landscape is highly competitive, with numerous players vying for consumer attention. Coca-Cola competes not only with traditional rivals like PepsiCo but also faces competition from emerging beverage categories like energy drinks, ready-to-drink coffee, and plant-based beverages. 
• Supply chain disruptions: Disruptions in the supply chain, whether due to natural disasters, pandemics, or other unforeseen events, can disrupt production and distribution. These disruptions may lead to temporary shortages or increased costs. 
• Competition: The most prominent challenger to Coca-Cola’s throne is none other than PepsiCo and ThumbsUp. The rivalry between Coca-Cola and PepsiCo, often referred to as the “Cola Wars” is legendary. PepsiCo’s flagship product, Pepsi, competes head-to-head with Coca-Cola Classic. Both brands engage in intense marketing campaigns and strategic pricing to win the favor of consumers. 

Future plans of Coca-Cola : 

In a world of evolving tastes, shifting consumer preferences, and increasing environmental consciousness, Coca-Cola, the global beverage behemoth, is setting its sights on the future. Coca-Cola is planning to take a dynamic approach in marketing investment. 

Coca-Cola’s future plans are a blend of sustainability, diversification, digital engagement, innovation, and a relentless focus on the consumer. As the world of beverages evolves, Coca-Cola is determined to stay ahead of the curve, refreshing not only the taste buds, but also the expectations for a more sustainable beverage experience. 

The future, it seems, is bubbling with excitement for Coca-Cola. 

Conclusion : 

The Coca-Cola success story is a testament to the power of innovation, branding, and adaptability. It has conquered challenges, embraced change, and remained a symbol of joy for generations. The world may evolve, but the timeless allure of a Coke and a smile endures. By staying true to its core values while embracing change, Coca-Cola continues to fizz its way to the top. 

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Coca-Cola Marketing Case Study

From the star ‘Coca-Cola’ drink to Inca Kola in North and South America, Vita in Africa, and Thumbs up in India, The Coca-Cola Company owns a product portfolio of more than 3500 products . With the presence in more than 200 countries and the daily average servings to 1.9 billion people, Coca-Cola Company has been listed as the world’s most valuable brand with 94% of the world’s population recognizing the red and white Coca-Cola brand Logo . Moreover, 3.1% of all beverages consumed around the world are Coca-Cola products. All this because of its great marketing strategy which we’ll discuss in this article on Coca-Cola Marketing Strategy .

Coca-Cola –

• has a Market capitalization of $192.8 Billion (as of May 2016).
• had 53 years of consecutive annual dividend increases.
• with the revenue of over $44.29 billion, is not just a company but an ECONOMY.

The world knows and has tasted the coca cola products. In fact, out of the 55 billion servings of all kinds of beverages drunk each day (other than water), 1.7 billion are Coca-Cola trademarked/licensed drinks.

Marketing history

Market research in the beginning.

It all started 130 years ago, in 1886, when a Confederate colonel in the Civil War, John Pemberton, wanted to create his own version of coca wine (cola with alcohol and cocaine) and sent his nephew Lewis Newman to conduct a market research with the samples to a local pharmacy (Jacobs pharmacy). This wasn’t a new idea back then. The original idea of Coca wines was discovered by a Parisian chemist named Angelo Mariani.

Pemberton’s sample was sold for 5 cents a glass and the feedback of the customers was relayed to him by his nephew. Hence, by the end of the year, Pemberton was ready with a unique recipe that was tailored to the customers taste.

Marketing Strategy In The Beginning

Pemberton soon had to make it non-alcoholic because of the laws prevailing in Atlanta. Once the product was launched, it was marketed by Pemberton as a “Brain Tonic” and “temperance drink” (anti-alcohol), claiming that it cured headaches, anxiety, depression, indigestion, and addiction. Cocaine was removed from Coke in 1903.

The name and the original (current) Trademark logo was the idea of Pemberton’s accountant Frank Robinson, who designed the logo in his own writing. Not changing the logo till date is the best strategy adopted by Coca-cola.

Soon after the formula was sold to Asa G Candler (in 1889), who converted it into a soda drink, the real marketing began.

Candler was a marketer. He distributed thousands of complimentary coca-cola glass coupons, along with souvenir calendars, clocks, etc. all depicting the trademark and made sure that the coca cola trademark was visible everywhere .

He also painted the syrup barrels red to differentiate Coca-Cola from others.

Various syrup manufacturing plants outside Atlanta were opened and in 1895, Candler announced about Coca-Cola being drunk in every state & territory in the US.

The Idea Of The Bottle

During Candler’s era, Coca-Cola was sold only through soda fountains. But two innovative minds, Benjamin F. Thomas and Joseph B. Whitehead, secured from Candler exclusive rights (at just $1) for bottled coca cola sales.

But Coca-Cola was so famous in the US that it was subjected to imitations. Early advertising campaigns like “Demand the genuine” and “Accept no substitutes” helped the brand somewhat but there was a dire need to differentiate. Hence, in 1916, the unique bottle of Coca-Cola was designed by the Root Glass Company of Terre Haute, Indiana. The trademark bottle design hasn’t been changed until now.

Coca-Cola Worldwide

In 1919, Candler sold the company to Robert Woodruff whose aim was to make Coca-Cola available to anyone, anytime and anyplace. Bottling plants were set up all over the world & coca cola became first truly global brand.

Robert Woodruff had some other strategies too. He was focused on maintaining a standard of excellence as the company scaled. He wanted to position Coca-Cola as a premium product that was worthy of more attention than any of its competitors. And he succeeded in it.  Coca-Cola grew rapidly throughout the world.

Coca-Cola Marketing Strategies

The worldwide popularity of Coca-Cola was a result of simple yet groundbreaking marketing strategies like –

Consistency

Consistency can be seen from the logo to the bottle design & the price of the drink (the price was 5 cents from 1886 to 1959). Coca-Cola has kept it simple with every slogan revolving around the two terms ‘Enjoy’ and ‘happiness’.

From the star bottle to the calendars, watches and other unrelated products, Candler started the trend to make Coca-Cola visible everywhere. The company has followed the same branding strategy till now. Coca-Cola is everywhere and hence has the world’s most renowned logo.

Positioning

Coca-Cola didn’t position itself as a product. It was and it is an ‘Experience’ of happiness and joy.

Franchise model

The bottling rights were sold to different local entrepreneurs , which is continued till now. Hence, Coca-cola isn’t one giant company, it’s a system of many small companies reporting to one giant company.

Personalization & Socialization

Unlike other big companies, Coca-Cola has maintained its positioning as a social brand. It talks to the users. Coca-Cola isn’t a company anymore. It’s a part of us now. With its iconic advertising ideas which include “I’d Like to Buy the World a Coke” & “Share a Coke”, it has maintained a special spot in the heart of its users.

Diversification

Coca-Cola, after marking its presence all over the world, took its first step towards diversifying its portfolio in 1960 by buying Minute Maid. It now operates in all but 2 countries worldwide with a portfolio of more than 3500 brands.

Coca-Cola Marketing Facts

• Logo & bottle design hasn’t changed since the start.
• During its first year, Coca-Cola sold an average of 9 drinks a day.
• Norman Rockwell created art for Coke ads.
• Coke has had a huge role in shaping our image of Santa Clause.
• In the 1980s, the company attempted a “Coke in the Morning” campaign to try to win over coffee drinkers.
• In 1923, the company began selling bottles in packages of six, which became common practice in the beverage industry.
• Recently, it was in the news that Verizon acquired Yahoo for around $5 billion which is more or less the same amount the Coca-Cola Company spends on its advertisements.
• The number of employees working with the Coca-Cola Company (123,200 to be exact) is more than the population of many countries.

Go On, Tell Us What You Think!

Did we miss something?  Come on! Tell us what you think about Coca Cola Marketing Case Study  in the comment section.

A startup consultant, digital marketer, traveller, and philomath. Aashish has worked with over 20 startups and successfully helped them ideate, raise money, and succeed. When not working, he can be found hiking, camping, and stargazing.

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Coca-Cola: Preparing for the Next 100 Years

• Format: Print
• | Language: English
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Table of Contents

Coca-cola target audience , geographical segmentation , coca-cola marketing channels, coca-cola marketing strategy , coca-cola marketing strategy 2024: a case study.

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Coca-cola has colossal brand recognition as it targets every customer in the market. Its perfect marketing segmentation is a major reason behind its success. 

• Firstly, the company targets young people between 10 and 35. They use celebrities in their advertisements to attract them and arrange campaigns in universities, schools, and colleges. 
• They also target middle-aged and older adults who are diet conscious or diabetic by offering diet coke. 

Income and Family Size

It introduces packaging and sizes priced at various levels to increase affordability and target students, middle class, and low-income families and individuals.  

Coca-Cola sells its products globally and targets different cultures, customs, and climates. For instance, in America, it is liked by older people too. So, the company targets different segments. It also varies the change accordingly, like the Asian version is sweeter than other countries. 

Coca-Cola targets individuals as per their gender. For example, Coca-Cola light is preferred by females, while coke zero and thumbs up are men's favorite due to their strong taste.

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Coca-Cola initially employed an undifferentiated targeting strategy. In recent times, it has started localizing its products for better acceptability. It incorporates two basic marketing channels : Personal and Non-personal.

Personal channels include direct communication with the audience. Non-personal marketing channels include both online and offline media, such as

• Promotion Campaigns 
• PR activities 

Social Media

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A uniquely formulated Coca Cola marketing strategy is behind the company's international reach and widespread popularity. The strategy can be broken down into the following:

Product strategy 

Coca-cola has approximately 500 products. Its soft drinks are offered globally, and its product strategy includes a marketing mix. Its beverages like Coca-Cola, Minute Maid, Diet Coke, Light, Coca-Cola Life, Coca-Cola Zero, Sprite Fanta, and more are sold in various sizes and packaging. They contribute a significant share and generate enormous profits. 

Coca-Cola Products

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Pricing Strategy

Coca-Cola's price remained fixed for approximately 73 years at five cents. The company had to make its pricing strategy flexible with the increased competition with competitors like Pepsi. It doesn't drop its price significantly, nor does it increase the price unreasonably, as this would lead to consumers doubting the product quality and switching to the alternative.  

Place Strategy 

Coca-cola has a vast distribution network. It has six operating regions: North America, Latin America, Africa, Europe, the Pacific, and Eurasia. The company's bottling partners manufacture, package, and ship to the agents. The agents then transport the products by road to the stockist, then to distributors, to retailers, and finally to the customer. Coca-Cola also has an extensive reverse supply chain network to collect leftover glass bottles for reuse. Thus, saving costs and resources.

Coca-Cola’s Global Marketing

Promotion Strategy  

Coca-Cola employs different promotional and marketing strategies to survive the intense competition in the market. It spends up to $4 million annually to promote its brand , utilizing both traditional and international mediums for advertisements.   

Classic Bottle, Font, and Logo

Coca-Cola organized a global contest to design the bottle. The contest winner used the cocoa pod's design, and the company used the same for promoting its shape and logo. Its logo, written in Spencerian script, differentiates it from its competitors. The way Coca-cola uses its logo in its marketing strategy ensures its imprint on consumers' minds. 

Coca-Cola’s Gripping Advertisements

Localized Positioning

The recent 'Share a coke' campaign, launched in 2018 in almost fifty countries, has been quite a success. The images of celebrities of that region and messages according to the local language and culture of the area target the local market. 

Coca-Cola Advertisement Featuring Celebrities

Sponsorships 

The company is a well-recognized brand for its sponsorships, including American Idol, the NASCAR, Olympic Games, and many more. Since the 1928 Olympic Games, Coca-Cola has partnered on each event, helping athletes, officials and fans worldwide. 

Coca-Cola as Official Olympics Partner

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With technological advancement, social media and online communication channels have become the most significant part of the Coca-Cola marketing strategy. It actively uses online digital marketing platforms like Facebook , Twitter, Instagram, YouTube, and Snapchat to post images, videos, and more.  The Coca Cola marketing strategy primarily includes SEO , email marketing , content marketing , and video marketing .   

Coca-Cola’s Instagram Posts 

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How Coca-Cola became one of the most successful brands in history

Table of contents.

Coca-Cola has an impressive track record of innovation which has helped propel the company to become one of the most successful brands in history. Through skillful advertising efforts, Coca-Cola is widely recognized as a symbol of American culture through its influence on politics, pop culture, and music around the globe.  

Key statistics and facts about The Coca-Cola Company: 

• Owns 43.7% of the US carbonated soft drinks market
• Net operating revenue of $38.7B
• Present in more than 200 countries and territories
• Employs over over 700,000 along with its bottling partners
• Ranked #93 in the Fortune 500
• Μarket value of $259.77 billion as of February 2023 

Who owns Coca-Cola?

There is no sole owner of Coca-Cola as it is a publicly listed company. However, the largest shareholder is Warren Buffett. Read on as we dive into the history of Coca-Cola's owners and much more below!

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The history of The Coca-Cola Company

How it all started.

The story of The Coca-Cola Company had humble beginnings in the late 1800s, in Atlanta, Georgia. Dr. John Pemberton, a local pharmacist, had developed a recipe for a sweet syrup that was originally advertised to cure headaches. It was eventually mixed with carbonated water to create a fizzy drink that was served at a soda fountain in Jacobs’ Pharmacy. The first glass of Coca-Cola was served on May 8, 1886. In the first year, Pemberton served approximately nine drinks per day which were sold for 5 cents a glass. 

While the ingredient list today is a highly guarded secret, it is well known that the original version contained extracts from the Coca leaf and Kola nuts for caffeine. The combination of these two ingredients is where the name comes from. Dr. Pemberton’s partner and bookkeeper, Frank M. Robinson, felt that spelling the name with double “C’s” would look better in advertising. So, he scripted out the logo which even today displays Mr. Robinson’s unique handwriting. 

Dr. Pemberton didn’t realize the potential of his new product. He took on several partners and sold portions of his business to various owners. Sadly, Dr. Pemberton died just two years after the creation of Coca-Cola. Prior to his death, he sold his remaining interests to an Atlanta businessman, Asa Griggs Candler. Candler knew there was something special about this new product, but little did he know that his $2,300 investment (roughly $67,000 today) would be the start of one of the most powerful brands on the planet. 

Birth of The Coca-Cola Company

The Coca-Cola Company was officially founded by Asa Candler in 1892. It didn’t take long for the Coca-Cola product to quickly spread outside of Georgia and across the nation. By 1895, Coca-Cola was being sold in every state of the union. In 1919, the company was sold to Ernest Woodruff. Woodruff's sons would continue to run the company for many years, transforming the company into a major international brand. The Coca-Cola Company was officially listed on the New York Stock Exchange in 1919 under the ticker symbol KO. 

International expansion of The Coca-Cola Company

The first export of Coca-Cola was to Cuba in 1899. It wasn’t until the 1920s, that international expansion of the brand began to take off. During World War II, Coca-Cola’s President, Robert Woodruff, wanted to ensure that US service members stationed all over could have the comforts of home and pledged to transport Coca-Cola to the various bases in the European and Pacific theatres on the company’s dime. This introduction of the Coca-Cola product increased international demand. With people all over the world craving a taste of American culture, Coca-Cola began establishing partnerships with bottling companies and distributors all over the world. Today, the brand operates in more than 200 countries and territories. 

Early competition

In the early years, Coca-Cola had a lot of competition. In fact, the late 1800s and early 1900s was the most active period in the development of new soft drinks. Some of these companies went out of business or were bought out by other larger companies. However, many of these brands are still in existence today as more novelty brands and hold a very small percentage of the market. 

The most prominent competitors to Coca-Cola throughout its history have been Pepsi and Dr. Pepper. They were both created around the same time as Coca-Cola (Pepsi in 1898 and Dr. Pepper in 1885). Over time, these three giants bought up many of the smaller beverage companies. For example, Vernor’s Ginger Ale, Hires Root Beer, and Royal Crown Cola still exist but are now owned by Dr. Pepper. 

The Coca-Cola beverage was created in 1886 by Dr. John Pemberton, a pharmacist from Atlanta, Georgia. The recipe was purchased by Asa Griggs Candler and The Coca-Cola Company in 1892. The brand quickly became popular and was sold all over the United States. By the early 20th century, Coca-Cola began a rapid expansion across the globe.

The Coca-Cola system- a global franchise distribution network 

The Coca-Cola Company’s rapid expansion around the world can be attributed to its unique franchise distribution system (known as the Coca-Cola System ) that they have operated since 1889. Coca-Cola produces syrup concentrate which is then sold to various bottlers around the world. This helps the company maintain control over its top-secret recipe without the burden of having to run many of the independent bottling facilities. 

The Coca-Cola System is a network of over 900 bottling plants that produce 2 billion servings of Coca-Cola every day. The bottlers each hold contracts that allow them to exclusively operate in a predetermined territory. This reduces the need for the competition from multiple companies that sell the same product. 

These distributors handle all aspects of the production and distribution process including mixing the syrup with carbonated water and sweeteners, placing the finished product in cans or bottles, and distributing Coca-Cola to supermarkets, vending machines, restaurants, and movie theaters. Although Coca-Cola produces the main syrup, the franchise companies also control the soda fountain business in their territory. 

The exception to this model is the North American market where The Coca-Cola Company directly owns most of the bottling and distribution. Outside of the United States, Coca-Cola has continued to encourage the consolidation of its various bottling companies. Over time, Coca-Cola has acquired a percentage of ownership in many of the companies in the Coca-Cola System. 

Top 5 independent bottling partners, representing 40 percent of the Coca-Cola System distribution network:

• Coca-Cola FEMSA (Latin America)
• Coca-Cola Europacific Partners, plc (Western Europe, Australia, Pacific, and Indonesia)
• Coca-Cola HBC AG (Eastern Europe)
• Arca Continental (Latin America and North America)
• Swire Beverages (Asia and parts of North America)

Here's an example video from Coca-Cola HBC AG explaining their business model:

The Coca-Cola Company leverages a network of independently owned and operated bottlers around the world. This has enabled the company to quickly expand without having to invest billions of dollars into building facilities and navigating international rules and regulations unique to each region.

Evolution of the Coca-Cola product

The formula for Coca-Cola has undergone a few changes since its creation. Some of these changes were driven by necessity. Some were an attempt to reduce costs or gain market share. While the brand does not make changes often, some have been better received than others. 

Removal of cocaine

During the late 19th century, there were many Cocoa-based beverages available on the market. At the time, drugs like cocaine and opium were perfectly legal and used quite frequently for medicinal purposes. Since Coca leaves were used to make Coca-Cola, there were small quantities of cocaine that could be found in the drink. 

The public eventually became aware of the addictive properties of these substances, so Coca-Cola was pressured to remove this drug from its list of ingredients. The Coca-Cola Company made steps to gradually phase out sources of cocaine from its production until it was finally eliminated in 1929.

On April 23, 1985, The Coca-Cola Company took a huge risk that shocked the world. They announced that they would be changing the formula of their world-famous soft drink. Despite its massive success, the company had been losing ground to one of its main competitors, Pepsi. Pepsi’s success wasn’t just in the United States. They were quickly expanding into markets that were once considered untouchable. At the height of the Cold War, Pepsi became the first Western product to be permitted in the Soviet Union . 

Based on surveys and taste tests, consumers seemed to prefer the sweeter taste of Pepsi-Cola. So, Coca-Cola set out to rework the formula to improve its ability to compete. According to Coca-Cola’s website, their goal was to “re-energize the Coca-Cola brand and the cola category in its largest market, the United States”. After receiving positive feedback from nearly 200k customers in taste tests, New Coke was released to the market. 

The public’s response to the new version of their product was outrage. Unfortunately, Coca-Cola miscalculated its customer’s bond with the original brand. Massive protests were staged and the company was flooded with thousands of angry phone calls and letters. The backlash was so fierce that it forced the company to revert back to the old formula after only 79 days on the market, branded as Coca-Cola classic. 

This graph demonstrates PepsiCo’s rapid expansion of market share from 1970 to 1990 and subsequent fall.

Coca-Cola Zero Sugar

While Coca-Cola has vowed not to make any changes to its original product, the company plans to update the recipe and packaging for their popular zero sugar variation, Coca-Cola Zero Sugar . The company has been cautious in its promotion of the new version as to not create a blowback like the 1985 New Coke fiasco. Coca-Cola has reiterated that the new version will not be a major overhaul, rather an “optimization of flavors and existing ingredients”. The rollout is expected to hit the US market by August 2021.

Sweetener changed to high fructose corn syrup

Traditionally, the Coca-Cola recipe called for cane sugar as the primary sweetener. During the 1970s, the United States saw a massive increase in corn production. This forced the prices of corn to drop significantly. In addition, corn was heavily subsidized by the US government. This made sweeteners like high fructose corn syrup more affordable. 

In an attempt to reduce costs, Coca-Cola slowly started substituting cane sugar for high fructose corn syrup during the 1980s. The transition took place over the course of approximately 5 years. 

Today, cane sugar is still used in the production of Coca-Cola in certain regions of the world. The most popular example is Coca-Cola produced in Mexico. This version of Coca-Cola is still made with cane sugar. Some critics argue that “Mexican Coke” has a flavor that is closer to the original formula.

In 1935, Coca-Cola was certified as kosher after the company replaced the source of glycerin used in production . This was originally derived from beef tallow but was replaced with a plant-based version. However, with the change of sweetener in the 1980s to high fructose corn syrup, its kosher status was removed. Today, bottlers in markets with large Jewish populations will temporarily substitute high fructose corn syrup during Passover to obtain Kosher certification.

Recipe and flavor variations

Despite the utter failure of New Coke in 1985, The Coca-Cola Company has introduced new flavors over time in addition to Coca-Cola classic. 

Some consumers avoided Coca-Cola classic because of the high sugar or caffeine content. In 1982, the company released a diet version of their product for consumers who were concerned about consuming too much sugar. A caffeine-free version was also introduced a year later. 

The company has also tried different flavor combinations. The first was Coca-Cola Cherry in 1985 which was a huge success and remains popular today. Other flavors included lemon, lime, vanilla, orange, ginger, cinnamon, and coffee. Many of these were attempts to bring local flavors to international markets. 

Coca-Cola has achieved enormous amounts of growth by tailoring its products to local tastes and demands. They have also been able to reduce production costs by substituting expensive ingredients such as cane sugar for lower-cost alternatives. Not every change has been well received by the public. Coca-Cola infamously changed their original recipe to replace it with “New Coke”. This change faced fierce backlash and forced the company to bring back the original product after only 79 days on the market. 

Coca-Cola Growth Strategy

The company has outlined a list of key objectives that they plan to execute in the coming years to spur additional growth. This strategic plan is intended to guide the company in refocusing efforts and being more intentional with its actions.  

Focus on developing markets

Coca-Cola has identified that there is huge growth potential in the developing world. Seventy percent of all beverages being consumed in the developed world are commercialized compared to only 30 percent for the developing world. Considering the developing world contains 80 percent of the world's population, growth is expected to be exponentially higher. 

One identified area of opportunity is brand diversification. While Coca-Cola has a strong foothold globally, this is only due to its strong presence in major markets. Outside of sparkling water, Coca-Cola is trailing competitors. The focus will be on gaining momentum in other beverage categories through the experimentation of new products. 

Brand portfolio optimization

Bigger isn’t always better. The Coca-Cola Company is realizing that its efforts may be spread across too many individual brands. Their goal is to rebalance their portfolio and consolidate products into fewer master brands. They have already reduced this number from approximately 400 to 200. By having fewer master brands, they can better focus their efforts. 

Networked organization

Operating a large corporation comes with challenges. In many cases, there can be inefficiencies and duplicated efforts. Coca-Cola plans to address this by reorganizing its support and operational teams to provide better support and work more effectively. 

Brand building

The company plans to deliver world-class marketing through targeted resource allocation. The goal is to be more intentional with the way advertising and marketing investments are made. 

Coca-Cola has a goal to increase the frequency that new or existing consumers drink their products. To do this, the company has set targets to significantly increase innovation by bringing more trial products and projects into the pipeline. The goal is to increase this by 40 percent over 2020. 

Digital transformation

Coca-Cola understands that data is a powerful tool. They are in the process of undergoing a digital transformation to help the company operate more effectively and leverage data to drive decision-making. 

Revenue growth management

With this new data and digital tools available, the company can place a renewed focus on which areas have the most potential for growth. They will focus on understanding which markets, consumers, product lines, and competitors should be addressed.

The Coca-Cola Company is dedicated to growing the business through a skillfully designed and executed strategic plan. Their long-term goals are to focus on expanding the commercial beverage industry in developing countries. They also plan to optimize their product line by reducing the number of master brands, creating new innovative products, changing their internal operations teams to streamline processes, and better leverage data.

The power of advertising- Coca-Cola becomes a household name

A big part of Coca-Cola’s success over the years has been its focus on innovative marketing and advertising campaigns. In 2020, Coca-Cola was ranked as the 6th most powerful brand in the world. This accomplishment didn’t come overnight. Over the years, Coca-Cola has had to work diligently to evolve and bring fresh, new ideas to marketing and advertising.

Large contributions to advertising 

Even early on, Asa Griggs Candler spent a considerable amount of money on advertising. His original budget for advertising was $11,000 (over $300,000 in today’s money). By 1900, the budget increased ten-fold to $100,000 and again to $1 million by 1910. 

Large advertising budgets are important when a new brand is getting established. As a company grows and becomes well-known, they typically scale back on their advertising budget since most consumers recognize the brand. Coca-Cola, however, has continued to keep the pressure on its competitors. Today, the company spends about 10 percent of its revenue on advertising and marketing. This equates to approximately $4 billion in commercials, print advertising, sponsorships, and other promotional merchandise. 

Focus on the brand and human connection

Much of Coca-Cola’s advertising success comes from the way they present their brand. Instead of focusing on the actual product, they emphasize the feeling and camaraderie of making the brand part of one’s identity. Their advertisements are intended to make people feel good about themselves and want to be a part of the experience. 

Human connection is an important part of the brand message. One great example of this was the “Hilltop” commercial from 1971 that featured people from different cultures singing “I’d like to buy the world a Coke”. This showed the Coca-Cola brand as one that was intended to unite people around the world.

Celebrity endorsements

Celebrity endorsement is a way to help a brand stand out, especially when targeting specific groups. For example, sports fans will be more likely to purchase a product if their favorite athlete promotes the brand. Over the years, Coca-Cola has been endorsed by numerous high-profile celebrities, athletes, and pop culture icons. 

Hilda Clark, an American model, and actress was the first celebrity to endorse the brand in 1900 and was featured in early advertisements. Since then, Coca-Cola has received endorsements from many big-name celebrities such as Ray Charles, Aretha Franklin, Magic Johnson, and Elvis Presley. 

Coca-Cola in pop culture

The Coca-Cola brand has been a prominent part of American culture for decades. Coca-Cola has skillfully attached itself to key historical events, music, movies, and major holidays. 

Coca-Cola and many of its other brands have been featured in numerous films and television programs. For a short time, Coca-Cola even owned Columbia Pictures (from 1982 to 1989) and inserted Coke products into many of its productions.  A few examples include:

•  The 1933 film King Kong displays a Times Square billboard advertisement in several of the scenes.
• Coca-Cola products being used in the 1982 film E.T. the Extra-Terrestrial.
• The modern TV series Stranger Things which takes place in the 1980s displays and makes reference to New Coke. 

The Coca-Cola Company has also made its way into music across the globe. Elvis Presley promoted Coca-Cola during his last tour in 1977. The UK sensation, The Beatles, made mention of Coca-Cola in a line of their hit song “Come Together”. In addition to lyrical references, the brand has featured musical superstars such as David Bowie, Elton John, and Whitney Houston in Diet Coke commercials. 

The Coca-Cola brand has also cleverly attached itself to popular holidays. Some of its most successful campaigns have been displayed over the Christmas holiday. One of the most iconic campaigns started in 1931 with illustrations of St. Nicholas drinking a Coca-Cola. Many credit Coca-Cola with inspiring the modern-day version of Santa Clause. 

Clever campaigns and promotions

Coca-Cola has been one of the top innovators in the advertising space. On many occasions, they have used never before seen tactics that both surprised and delighted consumers. Creating an additional buzz around their advertising campaigns helps to amplify whom the campaign reaches directly. 

During the 2012 NFL Superbowl, Coca-Cola decided to take a non-traditional approach. The Superbowl is one of the most sought-after advertising opportunities. Each year, approximately 95 million people tune in to watch the championship game. Typically, major brands spend over $5 million for a single 30-second commercial. With the rise of cell phones and other mobile devices, Coca-Cola knew that consumers would be juggling multiple devices during the game. So, they created a family of animated polar bears that would react to the game in real-time on digital media banners and a microsite. The bears would laugh, respond to audience tweets, and make faces. The campaign was a huge success. During the game, over 9 million viewers spent an average of 28 minutes engaging with and watching the polar bears in action. 

In 2011, Coca-Cola decided to take a personalized approach to advertise in Australia with their Share a Coke campaign. They selected 150 of the most popular names and printed them on the side of their bottles along with the message “Share a Coke with…”. The campaign encouraged people to share a bottle of Coke with a friend or tag them in a social media post with the hashtag #shareacoke. The campaign was so successful that it was expanded to over 80 countries and led to Coca-Cola’s first sales growth in over 10 years. 

Collectible memorabilia 

Coca-Cola has created and distributed numerous pieces of branded memorabilia that are highly sought after by collectors including toys, clothing, antique bottles, signs, household items, and old vending machines. The collectible nature of these products has nostalgia of traditional Americana and has further helped to amply the prestige and cultural connection of Coca-Cola to US history. Rare and well-preserved items can fetch tens of thousands of dollars. 

The Coca-Cola Company has created one of the most powerful and well-known brands in the world. Over the years, they have embedded themselves as an icon of American culture through music, television, and films. The company spends a significant portion of its annual revenue on advertising efforts including television commercials, social media, and other advertising. 

Growth through mergers, acquisitions, and partnerships- becoming an unstoppable force in the food and beverage industry

While The Coca-Cola Company is known for its main products such as Coca-Cola and Diet Coke, the company owns, produces, and distributes over 500 individual brands worldwide. Some of these brands are a result of new products that they created. Others were obtained through mergers, acquisitions, and special partnerships with other major companies. 

Key mergers and acquisitions

• 1960 - Coca-Cola acquires Minute Maid, a producer of juices, soft drinks, and other beverages such as the popular Hi-C brand. 
• 1993 - When Coca-Cola was struggling to gain a foothold in the Indian market, they purchased the popular local brand, Thums Up. Their business now makes up over 40 percent of the cola business in India. 
• 1995 - Acquisition of Barq’s which produces a line of root beers and cream sodas. 
• 1999 - Coca-Cola purchased 50 percent of Inca Kola for $200 million and took control of its marketing and bottling operations. 
• 2001 - Odwalla, a brand of fruit juices, smoothies, and bars was acquired. This company was discontinued in 2020.
• 2007 - Coca-Cola acquired Fuze Beverage, a producer of teas and fruit drinks that were infused with vitamins and minerals. 
• 2008 - The company purchased 40 percent of Honest Tea, a popular iced tea producer. The remaining shares were purchased in 2011 giving Coca-Cola full ownership. 
• 2013 - Coca-Cola purchased the coconut water company ZICO. 
• 2014 - 16.7 percent of the energy drink manufacturer, Monster Beverage, was sold to Coca-Cola in exchange for a long-term strategic partnership. 
• 2016 - Coca-Cola purchased a portion of Chi Limited, a major distributor of snacks, food, and beverage products in Nigeria. The remaining shares were acquired in 2019.
• 2017 - Topo Chico, a Mexican sparkling water brand was acquired by Coca-Cola. 
• 2018 - Coca-Cola purchased Costa Coffee making it the owner of the second-largest coffeehouse chain in the world after Starbucks Coffee. 
• 2018 - Organic & Raw Trading Co., the Australian producer of MOJO kombucha was acquired. 

Special partnerships

In addition to owning many brands, The Coca-Cola Company has created many successful strategic partnerships that have allowed Coca-Cola to grow exponentially. 

One of the most famous partnerships is with McDonald’s. When McDonald’s was just getting started in 1955, it needed a beverage distributor. The two companies struck a deal for Mcdonald's to exclusively sell only Coca-Cola products. McDonald’s eventually grew to become the largest restaurant chain (by revenue) and Coca-Cola products are served in nearly 40,000 of their locations around the world. Other notable restaurant chains that carry Coca-Cola products include Burger King, Chili’s, Chipotle, and Domino’s Pizza.

Coca-Cola has also partnered with numerous venues around the world to sell only Coca-Cola products in their stadiums, theatres, and concert halls. The Coca-Cola Company is a major sponsor of the Olympic Games. In 2017, the company signed a deal with Major League Baseball in which they agreed to drop their competitor Pepsi and only promote Coke products.

Most of Coca-Cola’s growth has come from strategic mergers and acquisitions of companies all over the world. They have been able to expand into new markets by buying companies that already dominate the specialty or space. The company has also developed strategic partnerships with other large companies to exclusively sell Coca-Cola products.

Controversy, regulatory issues, and criticism 

Despite the company’s overwhelming success, Coca-Cola has faced a lot of criticism throughout its history. There are many opinions related to the impacts that The Coca-Cola Company has on the environment and consumers alike. 

Health concerns

It’s no secret that Coca-Cola is a sugary drink. According to the Centers for Disease Control (CDC), half of all Americans will drink at least one sugary beverage each day. This massive consumption of sugar is leading to an epidemic of conditions such as type 2 diabetes and obesity. The World Health Organization (WHO) recommends that adults consume no more than 6 tsp of sugar each day. A single 12oz can of Coca-Cola contains nearly twice this amount. 

With Coca-Cola being the leading company in the food and beverage industry, they have received a lot of negative attention directed towards their contribution to this serious problem. 

The company has responded by producing sugar-free or reduced-calorie beverages. They have also expanded their product lines to include healthy alternatives like coconut water. 

Environmental issues

Coca-Cola has been identified as the single producer of plastic waste in the world. Much of this plastic is not discarded properly and ends up in the oceans. This has contributed to the ecological disaster due to single-use plastics. This has captured the attention of environmental protection groups who claim that Coca-Cola isn’t doing enough to work toward a reasonable solution. A report from Greenpeace estimates that the company produces over 100 billion plastic bottles every year with no obvious goal to reduce single-use plastic waste. 

Coca-Cola has made some efforts to reduce its environmental impact. First, they redesigned their bottles to use less plastic (a process called “lightweighting”). While this does reduce the amount of plastic used in production, it does not reduce the number of bottles that end up in landfills or the ocean. They have also introduced their “PlantBottle” which is made from plant-based materials.

While these are steps in the right direction, most environmental groups question whether these efforts are enough. Coca-Cola appears to be spending large amounts of money lobbying politicians around the world to block legislation that would encourage more environmentally friendly manufacturing. They have also been accused of spending a considerable amount of money on “green marketing” without efforts to back up their claims.

Over the years, The Coca-Cola Company has been the center of controversy due to environmental impact and health concerns due to their products. Coca-Cola has responded by providing low-calorie, sugar-free, and healthy alternatives. They have also worked to reduce their plastic use and seek alternatives as they are the single largest contributor to single-use plastic waste.

Coca-Cola's social media strategy

The Coca-Cola Company is a social media powerhouse with millions of followers across the globe. The company is very intentional with its use of social media platforms and leverages them to drive brand awareness and interaction with customers. There are several key components that have made Coca-Cola’s social media strategy so successful. 

Positivity  

In 2018, Coca-Cola made a commitment to become the ‘most optimistic brand on social media'. They launched their #RefreshtheFeed campaign in which they completely deleted all of their social media content and started fresh. Consumers embraced this new positive approach and encouraged even more followers who wanted to enjoy the feel-good vibes of their social media posts. 

Leverage consumers to create content

While Coca-Cola’s marketing team creates a lot of content for their online platforms, they have successfully leveraged their millions of followers to create content on behalf of the brand. They have used creative hashtag-based campaigns to encourage consumers to post Coca-Cola-themed posts for their friends and family to see. One of the most successful was the #shareacoke campaign which reversed a 10-year stagnant sales record. 

Attachment to social issues

The company has a stringent social media policy to ensure that content aligns with the company’s values. In July 2020, Coca-Cola decided to join many other major brands in temporarily halting social media posts and advertisements for a minimum of 30 days. This decision came as a result of concerns about growing hate speech and misinformation on social networks. They’ve regularly supported important civil rights and other social issues over the past few decades which helps consumer groups connect with the brand. 

Coca-Cola website

The Coca-Cola Company’s main company website contains various resources for consumers, vendors, and investors. The information included in the website discusses the company’s history, its brands around the world, career opportunities, media center, and investor relations. 

According to SimilarWeb, the site is ranked 10th in the Food & Beverage category and receives about 1.8 million visitors each month. 

The Coca-Cola Company’s YouTube channel is a platform that is used to post promotional videos and other advertisements from all over the world. The channel was started in 2006, has 3.6 million subscribers, and has nearly 3.5 billion views. About 8 percent of their website traffic comes from YouTube.

Coca-Cola’s LinkedIn account has over 6 million followers. The company uses this platform to post company updates for the business community. It is also used to promote job openings and attract top talent from the LinkedIn community. 

Twitter is one of Coca-Cola’s most powerful social media accounts. Their Twitter account ( @CocaCola ) was started in 2009 and has posted nearly 300,000 tweets to its 3.3 million followers. Most of the tweets are short inspirational or funny messages to enhance daily brand awareness or encourage engagement. Coca-Cola’s Twitter account generates 62 percent of the traffic to their website. 

Coca-Cola’s Instagram account has 2.8 million followers. The account is mostly used to post promotional stories on the platform. 

Coca-Cola’s Pinterest account is used to post drink and food recipes and promote Coca-Cola products like customizable Coke bottles. Their account has about 30,000 followers and receives over 10 million views each month. 

With over 105 million followers, Coca-Cola’s Facebook account is massive. It’s the 5th most-followed account on the social media platform, only behind Facebook itself, Samsung, Cristiano Ronaldo, and Real Madrid CF. The site is used to post videos and promotional content in many different languages for their followers. 

So, Why is Coca-Cola so Successful?

Few companies can boast the tremendous success and growth that The Coca-Cola Company has enjoyed for over 135 years. This accomplishment can be attributed to industry-leading advertising, innovation of their products, and delivering a positive brand message. Let's take a look at what makes Coca-Cola so successful!

Recap: growth by the numbers

Key takeaways.

• Coca-Cola has leveraged a network of independent bottlers around the globe to aid in rapid expansion. These distributors have territorial rights which help prevent competition and price wars.
• The Coca-Cola Company has made changes to its main product over the years but learned a very valuable lesson with the introduction of New Coke in 1985. The launch was a disaster and faced a fierce backlash from consumers who demanded the return of the original product.
• Coca-Cola’s long-term strategic plan includes focusing on the developing world where consumer beverages have a lot of growth potential, optimizing the number of master brands, revamping their operational network, and leveraging technology and data.
• Coca-Cola’s advertising focuses on creating human connections and making people feel good. They have led the advertising world in cutting-edge approaches to marketing that have never been seen before.
• Coca-Cola has inserted its brand and products in films and television to become an easily identifiable American icon.
• Acquisition of other companies has been a major part of Coca-Cola’s expansion efforts giving them the ability to quickly reach into new markets or acquire existing popular products.
• The Coca-Cola company has been the target of criticism due to its potential negative impact on consumer health and the environment. 

Case Studies

The coca-cola company: building a climate-resilient value chain, july 9, 2018.

The Coca-Cola Company has been working to reduce emissions in its supply chain for years—including not only those associated with bottling, but also those associated with growing ingredients, producing packaging, and distributing and refrigerating products. As climate change impacts have begun to manifest around the globe, the 132-year-old company partnered with BSR to take this work a step further to examine what climate risk and resilience might mean for The Coca-Cola Company value chain.

The Challenge

From agricultural ingredients, like citrus and tea, to hyper-local distribution systems, The Coca-Cola Company supply chain is one of the largest and most complex in the world. Coca-Cola products are sold in more than 200 countries and territories, and each of those markets faces unique exposure and vulnerability to the impacts of climate change.

Mitigation efforts—those focused on reducing greenhouse gas emissions—are vital to any company’s climate strategy and critical to global efforts to avoid unmanageable climate impacts. As the impacts of climate change are increasingly felt around the world, however, it has become clear that simultaneous efforts are necessary to increase adaptive capacity and build resilience.

“Resilience” is defined as “the capacity to recover quickly from difficulties.” In the context of climate change, resilience is the ability of a system (such as a bottling plant, distribution network, or supply chain) or community to rebound following a shock such as a natural disaster. Building resilience requires not only recognizing potential hazards like extreme weather events, but also understanding the underlying vulnerabilities that may affect recovery from these potential disasters. For example, insufficient infrastructure can reduce a community’s capacity to rebound following a disruption like an extreme weather event, as can poverty or gender inequality.

After years focused on climate mitigation and water stewardship, understanding climate risk and resilience was a natural next step for Coca-Cola.

Our Strategy

BSR partnered with Coca-Cola to begin building the foundation for a more resilient company that is better able to anticipate, avoid, accommodate, and recover from climate risks in the future. At the outset, we identified seven markets—Argentina, Brazil, China, India, Kenya, Mexico, and the United States—and two commodities—coffee and tea—to serve as proxies for the full Coca-Cola value chain. For each of these markets and commodities, we explored exposure to major climate hazards in the context of underlying vulnerabilities, such as rapid urbanization, at-risk populations, food and economic insecurity, and insufficient infrastructure.

Using this analysis, a benchmark of climate resilience activities in the food and beverage sector, Coca-Cola’s existing risk mitigation strategy, and insights from internal company interviews, we developed a framework for identifying and prioritizing climate-related risks. We then mapped Coca-Cola’s existing programs and initiatives to high-priority risks and outlined an approach for expanding this work further across the company’s major business units.

Our Outcomes and Impact

The climate resilience framework we developed aims to integrate resilience into Coca-Cola’s existing strategy, risk management, and sustainability systems. The framework is designed to connect and amplify The Coca-Cola Company’s efforts in empowering women, protecting the climate, and sustainably sourcing ingredients, as well as in water leadership and community development. Over time, we hope to see the framework used to help Coca-Cola create a more resilient value chain, enabling the company to confidently source responsibly cultivated ingredients, withstand or promptly recover from climate-related impacts, identify and reduce climate risks, and contribute to building value chain and community resilience where Coca-Cola is produced and sold.

We hope that these leading-edge efforts will inspire other companies, as well as their partners in the public sector and civil society, to take a more holistic look at climate risk in their value chains and communities and identify opportunities to build adaptive capacity and resilience.

Lessons Learned

Undertaking this work with Coca-Cola allowed us to translate what we know about climate risk and resilience into the context of a global supply chain. Here are a few suggestions for companies interested in exploring climate risk and resilience in their value chains:

• Start small : Begin with a selection of facilities, locations, or products that represent important aspects of your business. This will allow you to identify the most useful and important data points before scaling your approach across the organization.
• Integrate into existing systems : Rather than approaching climate risk and resilience as a new, standalone exercise, consider integrating climate considerations into existing risk management and/or sustainability systems.
• Appreciate both the global and the local : Much like water stewardship, managing climate risk and building resilience is both a global and intensely local challenge. While some tenets and approaches can be broadly applied, individual interventions must be customized and reflect on-the-ground realities.

Learn more about our work on climate-resilient supply chains .

Member Company

The Coca-Cola Company

• Supply Chain
• Food, Beverage, and Agriculture
• Consumer Products
• Climate Change

Let’s talk about how BSR can help you to transform your business and achieve your sustainability goals .

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Back to Case Studies

Insights from Coca Cola Crisis Management Case Study

Have you ever wondered how a global giant like Coca Cola manages to navigate through a crisis? 

Picture this: one of the most beloved beverage brands in the world, facing a crisis that threatens its reputation and consumer trust. 

What would you do if you were in their shoes? 

In this Coca Cola crisis management case study, we delve into the fascinating world of Coca Cola’s crisis management strategies. 

Join us as we unravel the gripping tale of how this iconic company tackled a major crisis head-on, learning valuable lessons along the way. 

Get ready to discover the power of effective crisis management and the role it plays in safeguarding a brand’s legacy.

Brief history of Coca Cola and brand reputation and market share 

Coca Cola, the world’s most recognizable beverage brand, has a rich and fascinating history that dates back over a century. It all began in 1886 when pharmacist John Pemberton created a unique syrup and mixed it with carbonated water, giving birth to the iconic Coca Cola drink.

From its humble beginnings as a soda fountain beverage, Coca Cola quickly gained popularity and expanded its presence across the United States.

As the brand grew, it ventured into international markets, establishing its first international bottling plants in the early 1900s. Today, Coca Cola is a truly global company with a remarkable presence in over 200 countries, offering a diverse portfolio of beverages beyond its flagship cola, including juices, teas, sports drinks, and more.

The brand’s global reach and market penetration have made it an integral part of people’s lives, transcending cultural boundaries and becoming a symbol of refreshment worldwide.

Coca Cola’s brand reputation is synonymous with excellence and innovation. Over the years, the company has nurtured a strong brand identity built on trust, quality, and a commitment to delivering refreshing beverages to consumers.

The distinctive red and white logo is instantly recognizable, evoking feelings of nostalgia and joy.

With its relentless pursuit of customer satisfaction, Coca Cola has successfully captured a significant portion of the global beverage market. Despite fierce competition, the brand has maintained a dominant position, consistently ranking among the top beverage companies in terms of market share.

Coca Cola’s ability to adapt to changing consumer preferences , introduce new products, and leverage its brand equity has solidified its position as a leader in the industry.

However, even the strongest brands are not immune to crises, as we shall explore in the following sections.

Description of the Crisis Incident

In the annals of Coca Cola’s history, there have been instances where the brand faced significant crises that posed immense challenges to its reputation. One notable crisis involved allegations of product contamination, which sent shockwaves through the company and its consumers.

Imagine the scene: rumors started circulating that certain batches of Coca Cola products were contaminated, raising concerns about the safety and quality of the beloved beverage.

The news spread rapidly, fueled by social media and sensationalized media coverage, creating a sense of fear and uncertainty among consumers.

As the crisis unfolded, consumers expressed worries about potential health risks associated with consuming Coca Cola products. Speculations and negative narratives further fueled the crisis, amplifying the impact and posing a threat to the brand’s credibility and customer trust.

For Coca Cola, the crisis was a critical moment that demanded swift and effective action. The company faced the daunting task of managing the situation, addressing the concerns of its stakeholders, and restoring faith in its products. How did Coca Cola navigate through this tumultuous period? Let’s delve into their crisis management strategies and discover how they triumphed in the face of adversity.

Media coverage and public reaction

The crisis surrounding Coca Cola triggered a flurry of media coverage, with news outlets and social media platforms buzzing with discussions, speculations, and varying viewpoints. The sensational nature of the allegations and the widespread popularity of the brand ensured that the crisis garnered significant attention from the public and the media.

News reports, both traditional and digital, dissected the crisis, amplifying the concerns raised by consumers and shedding light on the potential consequences. Social media platforms became the breeding ground for discussions, where users expressed their opinions, shared experiences, and voiced their worries about the safety of Coca Cola products.

The intensity of the media coverage and public reaction put immense pressure on Coca Cola to address the crisis promptly and transparently. The company found itself navigating a landscape where every move was under scrutiny, and its response would shape public perception and future consumer behavior.

Initial response by Coca Cola

When confronted with the crisis, Coca Cola swiftly mobilized its crisis management team to address the situation head-on. Recognizing the importance of immediate action, the company adopted a proactive approach to manage the crisis and mitigate potential damage to its brand reputation.

Coca Cola’s initial response focused on three key pillars: transparency, accountability, and communication. The company acknowledged the concerns raised by consumers and the media, demonstrating a commitment to address the crisis with utmost seriousness.

First and foremost, Coca Cola conducted a thorough investigation into the alleged product contamination, leaving no stone unturned to uncover the truth. This transparent approach aimed to regain consumer trust by ensuring that the safety and quality of their products were of paramount importance.

Simultaneously, Coca Cola took accountability for any shortcomings or mistakes that may have contributed to the crisis. The company issued public statements expressing genuine regret for the distress caused to consumers and reassured them of their commitment to resolving the issue promptly and effectively.

Immediate actions taken by Coca Cola to address the crisis

In the face of the crisis, Coca Cola implemented a series of immediate actions to address the situation and regain consumer confidence. These actions were aimed at ensuring the safety and quality of their products, as well as effectively managing the crisis at hand.

Product Recall and Investigation

As a responsible measure, Coca Cola initiated a comprehensive product recall of the affected batches in collaboration with regulatory agencies. This demonstrated their commitment to consumer safety and allowed for a thorough investigation into the alleged contamination.

Enhanced Quality Assurance Procedures

Coca Cola implemented rigorous quality assurance procedures to prevent future incidents and maintain the highest standards of product safety. They reviewed and strengthened their manufacturing and packaging processes, as well as enhanced monitoring and testing protocols.

Collaboration with Regulatory Bodies

Recognizing the importance of regulatory compliance, Coca Cola collaborated closely with relevant regulatory bodies throughout the crisis. They provided full cooperation, shared information, and adhered to the recommendations and guidelines set forth by these authorities.

Communication strategies employed 

Effective communication is crucial during a crisis, and Coca Cola employed various strategies to ensure transparent and consistent messaging to stakeholders. These communication strategies aimed to address concerns, provide accurate information, and rebuild trust in the brand.

Press Releases

Coca Cola utilized press releases as a primary means of communicating official statements and updates regarding the crisis. These press releases were disseminated to the media and made available to the public, ensuring timely and accurate information about the steps being taken to address the situation.

Social Media Engagement

Recognizing the power of social media in shaping public perception, Coca Cola actively engaged with consumers through social media platforms. They responded to queries, addressed concerns, and provided updates on the progress of the investigation. This direct engagement helped to establish a sense of transparency and responsiveness.

Website Updates

Coca Cola dedicated a section on their official website to address the crisis and provide comprehensive information to concerned consumers. This platform served as a central hub for sharing details about the investigation, product recalls, and ongoing efforts to resolve the crisis.

Stakeholder Communication

Coca Cola prioritized communication with its stakeholders, including distributors, retailers, and business partners. They provided regular updates to these stakeholders, addressing any potential impact the crisis might have on their operations and assuring them of the measures being taken to rectify the situation.

Spokesperson Representation

Coca Cola designated trusted and credible spokespersons to represent the company and communicate with the media. These individuals were well-versed in the crisis details and effectively conveyed the brand’s commitment to consumer safety and resolution.

The role of company leadership in crisis management

During a crisis, strong and effective leadership is crucial in guiding the organization through the challenges and ensuring a successful resolution. In the case of Coca Cola, company leadership played a vital role in crisis management, demonstrating their commitment, decisiveness, and ability to navigate through adversity.

Strategic Decision-Making

The leadership at Coca Cola spearheaded the strategic decision-making process during the crisis. They analyzed the situation, gathered information, and collaborated with experts to make informed choices that would best address the crisis and safeguard the brand’s reputation. Their ability to make tough decisions quickly and effectively guided the crisis management efforts.

Communication and Transparency

Company leadership took the responsibility of communicating with stakeholders, including employees, consumers, distributors, and regulatory bodies. They ensured that the messaging was transparent, consistent, and aligned with the company’s values. By openly addressing concerns, admitting any mistakes, and providing regular updates, leadership fostered trust and credibility during the crisis.

Team Mobilization and Empowerment

Effective crisis management requires the mobilization and empowerment of cross-functional teams within the organization. Coca Cola’s leadership ensured that the crisis management team had the necessary resources, support, and authority to address the crisis effectively. They encouraged collaboration, innovation, and open communication within the teams to expedite the resolution process.

Continuous Learning and Improvement

In the aftermath of the crisis, company leadership played a crucial role in fostering a culture of continuous learning and improvement. They conducted thorough evaluations of the crisis management process, identified lessons learned, and implemented measures to prevent similar incidents in the future. Their commitment to learning from the crisis helped enhance the company’s resilience and preparedness for potential future challenges.

05 lessons learned from coca cola crisis management 

These lessons learned from Coca Cola’s crisis management case study serve as valuable insights for other organizations facing similar challenges.

Let’s discuss each of these lessons learned:

Swift and Transparent Communication

The crisis taught Coca Cola the importance of immediate and transparent communication. By promptly addressing concerns, providing accurate information, and engaging with stakeholders openly, the company was able to regain trust and control the narrative surrounding the crisis.

Collaboration with Regulatory Bodies and Experts

Coca Cola’s collaboration with regulatory bodies and external experts proved vital in validating their actions and ensuring compliance with industry standards. This collaboration enhanced the credibility of the company’s crisis management efforts and helped regain confidence in their products.

Proactive Approach to Crisis Resolution

Coca Cola’s proactive response to the crisis demonstrated the significance of taking ownership and accountability for the situation. By swiftly initiating product recalls, conducting investigations, and implementing enhanced quality assurance procedures, the company showed a commitment to consumer safety and resolution.

The crisis served as a catalyst for continuous learning and improvement within Coca Cola. The company evaluated the crisis management process, identified areas for improvement, and implemented measures to prevent similar incidents in the future. This commitment to learning from the crisis enhanced their resilience and preparedness.

Importance of Leadership

Strong leadership played a critical role in guiding Coca Cola through the crisis. The ability to make strategic decisions, communicate effectively, and empower teams was instrumental in navigating through the challenges and restoring consumer trust. The crisis highlighted the importance of having capable leaders who can steer the organization through turbulent times.

Final words 

Coca Cola crisis management case study provides us with valuable insights and lessons that can be applied to various organizations facing similar challenges. The company’s response to the crisis surrounding alleged product contamination showcased the importance of swift and transparent communication, collaboration with regulatory bodies and experts, taking a proactive approach to resolution, fostering a culture of continuous learning, and demonstrating strong leadership.

The Coca Cola crisis management case study serves as a reminder that crisis management is not just about resolving immediate issues but also about building trust, maintaining open communication, and continuously improving processes. By incorporating these lessons, organizations can transform crises into opportunities for growth and demonstrate their ability to weather storms and emerge even stronger.

About The Author

Tahir Abbas

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Coca-Cola CRM Case Study: The Untold Story

• Category : Case Studies
• Last updated on June 3, 2023
• By Viktor. A
• One Comment

Coca-cola’ customer relationship management (CRM) strategy is at the core of their phenomenon growth. Established in May 8, 1886, by Dr John Pemberton, who later sold the business to Asa Griggs Candler, and a few others. Today the story is different, as Coca-Cola currently ranks as the 6th most powerful brand in the world.

The success of the company is mainly from its customer relationship management process. Instead of focusing on the product, they leveraged on CRM strategies to launch series of innovative personalized marketing campaigns.

Coca-cola is big on marketing and customer-centric adverts. They spend a lot of money on advertisements and R&D. Today, the company spends about 10 percent of its revenue on advertising and marketing, approximately $4 billion annually.

In this article, you’ll learn about the Coca-Cola CRM case study, and other strategies that made them super successful.

Coca-Cola became America’s leading beverage brand and a lot of that had to do with the marketing, which was genius and ahead of the game. – Dr. Sydnee Mcelroy

Coca-Cola Timeline

1886: Dr John Pemberton served the world’s first Coca‑Cola at Jacobs Pharmacy in Atlanta, Ga.

1888: Before his death, he sold his business to Asa G. Candler.

1899: Two Chattanooga lawyers, Joseph Whitehead and Benjamin Thomas, travelled to Atlanta to negotiate the rights to bottle Coca‑Cola.

1906: The Coca‑Cola Company introduced a diamond-shaped label with a colourful trademark to stand out from the infringers.

1915: The Trustees of the Coca‑Cola Bottling Association voted to expend up to $500 to develop a distinctive bottle for Coca‑Cola.

1917: The Coca‑Cola Company began its partnership with The Red Cross.

1935: Lettie Pate Evans joined the Board of Directors as the 1st woman to serve on the board of a major company.

1963: The Coca‑Cola Company produced its first diet drink, Tab. Tab was introduced before the early growth of the low-calorie soft drink segment.

1966: The Coca‑Cola Company launched “The Nutrition Project”, assigning an international team of scientists and food technologists the task of finding a solution to the “protein gap” facing the world’s impoverished nations.

2001: The Coca‑Cola Company established the Coca‑Cola Africa Foundation, which has worked to prevent and treat HIV/AIDS in Africa.

2007: The Coca‑Cola Company announced a transformational partnership with the World Wide Fund for Nature (WWF) to address challenges related to freshwater conservation.

2009: The Coca‑Cola Company introduced PlantBottle Packaging – the first ever recyclable PET plastic beverage bottle made 30 per cent from plants.

2010: The Coca‑Cola Company launched the 5by20 Initiative. This Initiative aims to enable the economic empowerment of 5 million women entrepreneurs across the globe by 2020.

2013: The first EKOCENTER is established. EKOCENTER is a modular community market run by local women entrepreneurs and provides safe drinking water, wireless communication, electricity, and other functionality to jump-start entrepreneurship opportunities.

Coca-Cola   CRM Case Study: Top Ways Coca-cola Uses CRM

1. identifying their target customers:.

Coca-cola targets every customer in the market, making sure that the refreshing needs of everyone are met. Coca-cola’s targets are based on age, income, family size, gender, and geographical segmentation.

Age : The company arranges campaigns in schools to target young people between 10 and 35. They target middle-aged and older adults who are diet conscious by offering Diet Coke.

Income : Coca-cola targets its customer’s income by introducing packaging at different price ranges to increase affordability.

Family Size : They introduce packaging in different sizes, from the biggest to the smallest. Large families can get the biggest size and share it with the whole family.

Gender : They also target customers based on gender. For example, Coca-Cola Light is preferred by females, while Coke Zero and thumbs up are men’s favourites due to their strong taste.

Geographical segmentation : Coca-Cola sells its products globally and targets different cultures, customs, and climates. For instance, the Asian version is sweeter than other countries.

2. Understanding their customers’ needs and wants

Coca-cola understands that without attentive listening, patience, and clarity, it will be very difficult for them to identify the needs of their customers.

• They listen attentively to hear what their customers want.
• They are always patient to understand their pain point.
• Coca-cola makes sure they communicate with sincerity and speak in a way they will understand by avoiding technical jargon.

How Coca-cola Identifies Customers’ Needs

• Coca-Cola brought a new innovative  vending machine  with a fountain dispenser called Freestyle. In this, the customer can customize their drink from 100 combinations, and this was the first time they could have provided 100 combinations that were not introduced before. The most important thing about the freestyle vending machine is that it is connected to the SAP system. So it collects all the customer data and is stored in the CRM system.

• Coca-cola usually conducts  surveys  by using  email marketing software.  With Email marketing software , they could section their ideal customers based on a particular purchasing style. They were also able to get a list of positive reviews from some of your most of their loyal customers.
• They use the insights obtained from surveys to create  buyer personas . So that all their marketing activities are geared toward serving their customers and products tailored to their needs.
• Coca-cola has  multiple layers of communication  methods across all its platforms. And their customer care team is well-imbibed with the right customer care etiquette. This quality service helps their customers to share their opinions about the product.

3. Customer Loyalty

Coca-Cola has started a new marketing environment by providing a unique PIN in the bottle, which can be used to save 75 cents on the mobile bill. They can also gain points for Coke from this system. So this is one of the best marketing techniques to gain customers by giving offers to their daily use products.

4. Direct store delivery

For adequate satisfaction of its customers, the company implemented the formula of DSD (Direct Store Delivery). This is to sustain smooth relations with local bottlers and stores. DSD collects the customer data and transfers it to the distributors. It helps in improving the delivery costs.

The customer data obtained helped Coca-Cola successfully satisfy its customers’ demands.

What CRM does Coca Cola Use?

The CRM technology Coca-Cola uses is SAP (System Applications and Products) Strategic Enterprise Management. Coca-Cola started using this CRM tool in the year 2009 and continues to use it to date. This CRM system helps Coca-cola stay connected to customers, streamline processes, and improve profitability.

SalesForce is another CRM that has contributed to the growth of Coca-cola.

SalesForce is a cloud computing CRM software and is currently used by Coca-Cola. It takes the help of the mobile app developed on the SalesForce platform. It has massively supported the technicians and repair department at Coca-Cola.

Apart from SAP and SalesForce CRM, the CRMs listed below are widely known to automate marketing processes and help strengthen customer relationships. They include:

Freshsales automates your sales process, and helps drives sustainable business growth.

A sales-focused CRM that leverages AI to automate sales, lead & demand generation. 

Customize your workflows to track all aspects of the sales cycle, from lead gen to post-sale support.

Wrapping it up

Human connection is an important part of the company’s brand message. Coca-cola understands how essential customer relationships are in business. So they embrace it so tightly by implementing different strategies to meet their customers’ needs.

They also use SAP and SalesForce CRM software to strengthen the relationship with their customers automatically. As a business owner, you can still learn from them and implement these strategies in your little way.

Frequently Asked Questions

How does coca-cola build customer relationships.

Coca-cola has  multiple layers of communication  methods across all its platforms. Their customers can share their opinions and receive an immediate response from these platforms.

When audiences know a brand is loyal to them — responding quickly to customer service needs, providing value, and are experts in that field— They may consistently choose you over the competition and are more likely to become brand advocates in the long run.

Secondly, Coca-Cola uses touching messages about family and friends to advertise its beverages. The bottles say, “When you share a Coke with someone special, you must share it with them.” The consumer’s emotions when purchasing a Coke become more vivid as the product becomes more appealing. 

How does Coca-Cola use CRM systems?

Coca-cola integrated its SalesForce CRM system with ERP (enterprise resource planning) to coordinate better the various departments and stages involved in the sales process. Coca-cola leverages CRM data to develop a pull-production system that aligns production and inventory with demand to slash inventory waste.

Coca-Cola Bottlers has recently agreed with SAP’s blockchain platform to streamline franchise relationships across its 70 bottling companies. 

What are the advantages of CRM to Coca-Cola?

With the help of CRM, Coca-cola was able to; 

• Keep track of customer contact information, preferences, and purchase history. This information is used to improve customer service and target marketing efforts. 
•  Track and manage sales leads.
• Ensured that their customers receive the best possible service. 
• The CRM aids in advancing existing processes and improving new ones to meet the customer’s needs. As a result, sales have increased, and customer retention has improved.

Which CRM system does Coca-Cola use?

Coca-Cola uses is SAP (System Applications and Products) Strategic Enterprise Management. Coca-Cola started using this CRM tool in the year 2009 and continues to use it to date. This CRM system helps Coca-cola stay connected to customers, streamline processes, and improve profitability.

Viktor. A is a writer and researcher with experience writing about various topics, including CRM software, SaaS, finance, and technology. When he's not writing, he's swimming and travelling

This information is well done. I am presently investigating the CRM system to implement in a business I’m about to start.

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16 Coca-Cola: ‘Taste the Controversy’: A Case Study on Marketing Challenges

• Published: June 2022
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The not so lucky situations and criticism of the Coca-Cola brand come from its first-ever product. As the history from many sources says, Dr John Smith-Pemberton, Coca-Cola creator, fought in the Civil War, and had some injuries. He made a special formula in order to help him deal with the constant pain in his body: the Pemberton’s French Wine Coca which also had a great taste at the time, had alcohol in it. It quickly became very popular until a vote by the state legislature Atlanta and Fulton County in favour of the national temperance movement. The national temperance movement prohibited the use of alcohol and heavily criticized medicinal wine such as French Wine Coca. Pemberton was forced to drop the wine ingredient in his French Wine Coca. After some further experimenting, he decided on the use of sugar syrup as a substitution for the wine and that is when Coca-Cola was born. He invented many drugs, but none of them ever made any money. So, after a move to Atlanta, Pemberton decided to try his hand in the beverage market. In his time, the soda fountain was rising in popularity as a social gathering spot. Temperance was keeping patrons out of bars, so making a soda-fountain drink just made sense. And this was when Coca-Cola was born.

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Case study: How does Coca-Cola do it in the digital world?

Coca-Cola is undoubtedly one of the most recognized brands in the world, with a market presence that dates back to its beginnings in 1886 when John Pemberton served the first Coca-Cola. Today, the Coca-Cola Company sells hundreds of beverage brands in more than 200 countries. It is calculated that the average person consumes approximately 275 cans of Coca-Cola annually in the United States alone.

• The digital challenge for Coca-Cola and the "Share a Coke" campaign is a success story.
• The digital challenge for Coca-Cola.

The digital challenge for Coca-Cola

The challenge for companies like Coca-Cola is that their products' brand presence and positioning are no longer the main issues; instead, they look at marketing strategies oriented toward connection, loyalty, and innovation with their consumers. All this is what James Sommerville, VP of Global Design of Coca-Cola Company, commented for Adobe Summit: We are a 130+-year-old brand that has always been in the experience business. An ice-cold Coke, ice, and lemon in a big glass, there's a fizz and a tingle when you drink it, and that's all very sensory, so we still believe in a physical analog world, which is at the heart and soul of our product, but at the same time, we want to transfer and transform our business, to be able to deliver that experience on a digital platform. The important thing for brands today is to listen to the consumer. Coca-Cola sells almost 2 billion servings daily, and one of the goals we would like to achieve is 2 billion daily conversations.  Two-way conversations so that we not only provide the perfect beverage at the moment they need it but also digital interaction with the customer.  For a company like Coca-Cola that handles large volumes of consumers, regions, products, and channels, it is challenging to have the right platforms to organize communication strategies and effectively serve their customers. Here is where Coca-Cola has developed multiple communication, promotion, and loyalty programs, through digital platforms such as mobile applications, eCommerce B2B / B2C, production of enterprise digital content, and even the creation of the first Coca-Cola flavor in the metaverse.  The "Share a Coke" campaign is a case of success.

Let's examine one example to understand how Coca-Cola uses technology to connect with its consumers. Many will remember the "Share a Coke" campaign in which the logo on the can was replaced with famous names, encouraging customers to share a Coke with a friend or family member. This massively successful social marketing campaign underpinned its process with two main elements to achieve the digital rollout.

The first element was the Customer Experience Management platform, which is necessary to manage the campaign data:

• Segmentation
• Customer profiling
• Identity management
• AI-powered learning
• Creation of customer experience applications

The Adobe Experience Platform is the foundation that helps companies like Coca-Cola develop a robust foundation for delivering the right experiences to consumers across all channels. >> Case study: Starbucks success with the Inbound Marketing methodology<<

The management of digital assets in this Coca-Cola campaign was also an important task to solve, with crucial aspects such as:

• Personalized and consistent content for each profile
• Content suitable for each channel/profile
• Automation rules to be able to scale with minimum effort
• Ease of creating, distributing, and optimizing experiences on a large scale.

All of this may seem like a Herculean task. Still, it is with the help of specialized platforms that companies like Coca-Cola manage to implement these initiatives and achieve their objectives.

The second element is the Marketing Automation tool, required for a campaign that reached in the beginning alone more than 550 million personalized Coca-Cola, around 340,000 posts on Instagram with the hashtag #shareacoke, and a result by consumers of 96% with positive or neutral feelings towards the campaign.

All this is possible thanks to marketing automation platforms, where Marketo is a fundamental pillar to achieving engagement with customers throughout the customer lifecycle and delighting them to keep them as buyers and brand advocates.

Marketo Engage's always-on marketing principle was able to support Coca-Cola in automating the indispensable aspects of campaigns like this one: >> Main Advantages of Marketo<<

• Audience segmentation : Profiling communications consider behavioral, demographic, and channel data.
• Multichannel personalization : Tailored landing pages with conversion-oriented forms for customers receiving profiled communications from websites, emails, SMS, social networks, and events.
• Customer scoring (lead scoring) : Used this to determine the level of interest of each customer and drive the level of engagement at each stage of the funnel.
• Active marketing activities : Respond on time to a large contact base. Used automation to respond in real-time when a consumer activates a CTA, sending personalized content.
• Performance per campaign : Measuring performance in terms of ROI, revenue, investment, and funnel stage allows us to determine which investments yield the best returns.

Related blog: Case study: Panasonic and its growth with Marketo .

We see how in an increasingly digital world, the challenge for many companies, like Coca-Cola, is how to replicate the physical experience of their products in the digital arena.

Here is where marketing efforts have to lead to the digitization of the experience, where digital processes, strategies, technology, and the consumer as the center of the digital ecosystem must converge.

Finally, the secret ingredient of any digital initiative that Coca-Cola has been developing is innovation in a Customer Experience that moves a consumer thirsty for new and better experiences.

About this blog

Customer Experience Insights is a blog to share ideas, experiences and the vision of how to adopt better Customer Experiences in our organizations. Digital Transformation

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Organisational Behaviour: A case study of Coca-Cola Company

Abstract: The paper contains a detail analysis of organizational behavior discussing issues facing cutting age organizations on leadership behavior, organizational effectiveness, organizational structures and human resource management. The paper further analyzed the structure and culture of Coca-Cola Company with emphasis on issues relating to ricks and uncertainties in the company’s decision making. Recommendations are laid based on the study to address the company’s issues and align decision-making with the company’s structure

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Dr. John gradually sold his business in portions and before he died in 1888, Coca-Cola was finally sold to Asa G. Candler.

Starting from 9 servings in a day, now it serves around 1.9 billion drinks per day.

MARKETING STRATEGY OF COCA-COLA

Although every brand has its way of advertising its products, Coca-Cola has been one of the most recognizable brands now for over a century because the company first experiments with the strategy that it plans and then implements. For any strategy they make, customer satisfaction for the company comes first. Let’s discuss the widely used strategies in detail.

Worldwide Advertising

Coca-Cola every time comes up with a different and creative idea to advertise their product. At first, they analyse their global consumer base and their demands. For example, initially, coca-cola was sold through soda fountains but then two talented minds secured exclusive rights to selling coca cola in bottles. This eventually helped them to leave an imprint in their consumer’s minds since the bottles were sold globally and that too with labelling done in regional language.

Branding generally means how the consumers perceive the product visually i.e., identification of any product when first seen. Seems like Coca-Cola has already mastered the art of branding. The brand needs to maintain the logo that they are using and also update it from time to time as per the consumer’s taste and preferences. Coca-Cola did it so well by trademarking its logo.

Diversification of products

Coca-Cola does not limit itself after inventing one soft drink. They have expanded their bucket of products over the years. Some of the products of Coca-Cola are Sprite, Diet Coke etc. and companies like Maza and Fanta depended on Coca-Cola for their growth.

Pricing 

With increasing recognition, more competitors came into the picture. Coca-Cola still kept their products cost-effective and maintained the quality of the product. This helped them in keeping their customers loyal and intact.

Promotion 

Coca-Cola promoted its products through different advertising media such as newspapers, radio, television, billboards, banners, and magazine covers. The company also used artistic taglines like “Things go better with coke”.

Partnership

The company used partnerships as brand visibility to increase their market share and consumers. This helped them grow rapidly. Coca-Cola sponsored the Olympics, FIFA, Basketball tournaments and other reality shows such as American Idol. The company also bought various other businesses.

Personalisation

Coca-Cola always tries to connect with customers at a personal level.

Labelling their bottles in regional languages helped them increase their sales. They targeted their audience as per their age groups.

Secret of Coca-Cola’s Success

Before getting to any conclusion, you must know the secret of success for Coca-Cola’s marketing strategies. They follow a rule of 70:20:10 rule. As per this rule, 70% is the total allocation of the marketing budget of the coca-cola into their existing marketing strategies like Google ads and Facebook ads which are currently giving them good results, 20% is the allocation of the total marketing budget to the current trending marketing strategies like promoting their products on Instagram reels, YouTube shorts etc. remaining 10% they allocate into risky yet innovative marketing idea. Chances are likely that this 10% allocation will give them amazing results.

By now you must have an idea of how Coca-Cola has placed itself differently in the market even after facing tough competition from competitors since its establishment. With different promoting and pricing techniques, the company is reaching new heights every day. Coca-Cola has also upgraded itself with advancing technologies to satisfy its consumers.

To conclude the iconic brand COCA-COLA is still in every heart, no matter how many competitors enter the market. Their efforts of “THANDA MATLAB COCA-COLA” are irreplaceable.

FAQs (Frequently Asked Questions)

• When was Coca-Cola founded? Coca-cola was founded in the year 1886.
• Who founded Coca-Cola? Coca-Cola was founded by Atlanta’s John Pemberton.
• Is Coca-Cola an Indian brand? No, Coca-Cola is not an Indian brand. It is a USA-based brand.
• How was Coca-Cola sold in the initial days? Coca-Cola was sold through soda fountains initially.
• How many drinks are served per day now? 1.2 billion drinks of Coca-Cola are served every day now.

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Case Study: Coca-Cola Company Vs. Bisleri International Pvt. Ltd.

Shreya Sharma

Citation: (2009) 164 DLT 59

INTRODUCTION

The case Coca-cola vs. Bisleri international is a landmark judgment in the history of intellectual property rights in India. Bisleri International which is famous for bottled water was a defendant in this case and the case was filled by coca-cola company, the largest company to produce soft drinks, here, is a plaintiff.  There was a dispute between Coca-cola and Bisleri international over a trademark of Mazza, popularly known as the Mazza war.

On 18 September 1993 defendant, Bisleri International earlier known as Aqua Minerals Pvt Limited sold its, intellectual property rights to five other brands called Thums Up, Limca, Gold Spot, Citra, and Mazza. The intellectual property rights include trademark, formulation rights, goodwill, and know-how.

In 2008, the plaintiff filed an application for registration of the trademark ‘MAZZA’ in Turkey. After intimation of this information to the defendant, the defendant sent a legal notice to the plaintiff renouncing the Licensing agreement and terminating the plaintiff from further production of product Mazza or using its trademark directly or indirectly. The notice said that plaintiff had breached the agreement by applying for registration of trademark ‘MAZZA’ in Turkey. However, it was also found by The Coca-Cola Company that Bisleri had allowed third-party companies interventions such as Verma International and M/s. Indian Canning Industries and had been selling the products in Turkey via Aqua Minerals now known as Bisleri.

Issues raised in Delhi High Court were :

• Whether Delhi High Court has jurisdiction over this matter?
• Has infringement of trademark occurred?
• Is the plaintiff entitled to get a permanent injunction?
• Whether export of the products with the trademark “MAZZA” considered a trademark infringement in the exporting nation?
• Is ‘Varma International’ a party in this case?

According to Sections 41(h) and 41(l) of the Specific Relief Act 1993, the suit cannot be barred as there was a detrimental or consensual contract between the two parties. And therefore the plaintiff is entitled to get a permanent injunction in order to fulfil and enforce their exclusive rights.

And according to section 42 of the Specific Relief Act 1993, the defendant company is not entitled to use the trademark ‘MAZZA’. It says that “the plaintiff will be entitled to the injunction if they had performed their part of the contract as was binding on them.” This means the plaintiff will get an injunction if he has done or completed his part of the contract.

The argument made by the plaintiff was as the trademark MAZZA was assigned to coca-cola in the Indian market. Any production or manufacture of a product with this trademark to sell in India or to export to another nation would be considered an infringement of trademark and IPR laws.

In the counter-argument, the defendant argued that, as the product is sold in Turkey and not India there was no infringement of the plaintiff’s right. It was further argued that the defendant has registered the trademark MAZZA worldwide and so it has the authority to sell its product anywhere in the world.

DISCUSSION AND RESULTS

Identical or Perplexingly Similar: The contested domain name incorporates the Complainant's trademark COCA-COLA, as well as the second-level domain characters ".eu" and the generic top-level domain extension ".com." Neither the second level nor the gTLD characters differentiate the domain name – that is, the Complainant's patented COCA-COLA is the domain name's only distinguishing attribute. The contested domain name is confusingly identical to the Complainant's trademark, according to this Panel.

Legitimate Interests vs. Rights: The absence of a provision for a registrant of a third-level domain name in the.eu.com> domain to determine eligibility to the domain name (or, as the Respondents put it, the absence of “restrictions” on registration) does not imply that registration alone confers a right or legal interest in the domain name. The Respondents have not presented any proof of any fact that would determine they have a right or legal interest in the contested domain name, and considering the Complainant's significant prestige in the COCA-COLA trademark, this is particularly troubling, It is difficult to imagine the Respondents have some right or legal interest in the domain name. The Respondents have no rights or legal interests in the contested domain name, according to this Panel.

Used in bad faith: The testimony shows that the first Respondent tried to transfer the contested domain name to the Complainant in order to collect money for the second Respondent's nascent political group. This data clearly supports the argument that the Respondents registered the domain name solely to sell, rent, or otherwise pass it to the Complainant for lucrative compensation in excess of recorded out-of-pocket expenses specifically related to the domain name. According to the Policy, paragraph 4(b)(i), this Panel determines that the disputed domain name was registered and used in bad faith.

COURT’S DECISION

The defendant demanded the vacation of the court’s order on the grounds that this court does not have the jurisdiction. However, according to the criminal law perspective, the Indian Penal Code (1860) has an extra-territorial jurisdiction wherein an offence committed by an Indian citizen on a foreign land will still hold that person liable. So according to this principle, Delhi high court has jurisdiction in this matter. The goods were manufactured in India and getting sold in Turkey due to this the court has the power to take up this matter.

The Delhi high court restricted the sale of Mazza product by Bisleri in India and an interim order of injunction was passed against the defendant company Bisleri preventing them to use the trademark each purchasable in India and export merchandise. It absolutely was worn out in order to stop the plaintiff from suffering irreparable loss and injury and the appeal filed by the Bisleri company was invalidated by the court.

It was also held that the manufacture of goods was meant to be for the sale in other countries and Bisleri still had the right to sell products in other countries, the court should have passed an order of injunction only for its sale in India and not for the exports.

Bisleri International Pvt. Ltd has registered the trademark of Mazza all over the world whereas coca-cola company owned the trademark of Mazza only in India and suddenly if it tries to take all the rights and trademark throughout the world then it would be unjustified on their part to claim an injunction on the manufacture for exports.

And upon investigation, it was found that Verma International was exporting the product with a trademark to Australia. The Court also held that there was an infringement of trademark because the product was manufactured in India and then exported and in export, it is considered to be a sale made in the nation, thus making Verma International a party to the case. The Court further upheld the injunction against Verma International to prevent it from making any further sales and costing The CocaCola Company a lot of money.

Trademark is one of the crucial aspects of IPR. It covers brand names and uses to signify business and products which cannot be used by any other company. Bisleri was neither held liable for manufacturing and exporting the product nor sharing the secret ingredients with Verma International due to a lack of proof. There is a high probability that bisleri has shared the secret beverage base with Varma International. However, Varma international was held liable for infringement of trademark laws and was restricted from exporting or selling the product of the coca-cola company illegally.

1.      Nithyakalyani Narayanan.V, The case Coca-cola company VS Bisleri international PVT LTD , (Jan 22, 2021, and 9:30 PM), https://lawsisto.com/legalnewsread/ODQ2NA==/THE-COCA-COLA-COMPANY-VS-BISLERI-INTERNATIONAL-PVTLTD

2.      mohammed farhan c., case study coca-cola vs bisleri international (jan 21, 2021, and 10:30 pm), https://lawcutor.com/intellectual-property-laws/case-study-the-coca-cola-co-v-bisleri-international-pvt-ltd/, 3.      siddharth kate, coca-cola vs. bisleri international pvt ltd: a case study(jan  22, 2021, and 10:30 pm), https://whitecode.legal/more/ody0/coca-cola-vs-bisleri-international-a-case-study.

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The Intellectual Property Law Blog at Loyola University Chicago

Trademark tale: from a mistaken coca-cola enthusiast to aspiring ip attorney.

Author : Clara Finger Assistant Blogger Loyola University Chicago School of Law, JD 2026

Interviewer: “So, what’s your favorite Coca-Cola product?”

Me: I draw a blank at the simple question, trying to think of any Coca-Cola product in existence. A picture of the classic Coca-Cola can flashes in my mind; the bold cursive letters against the vibrant red background. “Well, it has to be Coca-Cola, of course!”

Interviewer, somewhat skeptical: “The original Coca-Cola?”

Me: “That’s the one! It takes me right back to being a kid on a hot summer day, grilling in the backyard. I would reach for an ice-cold can of Coca-Cola from the cooler. The white lettering against the red background is unmistakable.” Why did I just describe the Coca-Cola logo? She [the interviewer] obviously knows what it looks like.

You want the truth? Was I head over heels for classic Coca-Cola back then? Not really. Did backyard family grills feature Coca-Cola as a regular? Also not the case. In reality, our family leaned towards Sprite (which is still a Coca-Cola product!). But alas, nerves, in their infinite wisdom, decided to stage a hostile takeover of my brain. The image of the logo led me to blurt out “Coca-Cola”–like a magician pulling the wrong rabbit out of a hat.

Despite that, I landed a marketing internship with Reyes Coca-Cola (a bottler and distributor of Coca-Cola brands) as an undergraduate. Little did I know that the popular logo I had imagined in my initial interview would steer me toward a career in Intellectual Property (IP).

The Influence of “Coca-Cola” As a campus marketing intern, I dove into the world of branding. I executed marketing projects and observed how students perceive Coca-Cola products .

As I carried out my marketing initiatives, I discovered that people had an impactful relationship with the Coca-Cola logo. I noticed that regardless of what products or merchandise we offered, the standout feature at every event was the bold red and white “Coca-Cola” logo displayed on either a tablecloth or a backdrop. Students would crowd at our stand like moths to a flame, lured in by the unmistakable script and red backdrop. The purpose of marketing is to generate interest in products, and our team found that the key to initiating this process was to use the Coca-Cola logo to grab the attention of consumers.

Recognizing the influence of the Coca-Cola trademark prompted me to enroll in a trademark law class the following semester. As an undergrad, I had the unique opportunity to enroll in the trademark law class at the University of Minnesota Law School with a dynamic group of law students. It was this course that made the relationship between branding and trademarks click for me.

My First Trademark Law Class (as an undergrad) On the first day of class, I learned the formal definition of a trademark : a unique symbol, word, or design that acts as a source identifier for a good or service. I thought back to the Coca-Cola logo that had come to mind during my interview. The logo is a prime example of a trademark because it’s a unique symbol that helps people connect a product to a specific company (i.e. source identifier).

As consumers, we interact with trademarks on a regular basis. For example, imagine scanning for the familiar red and white Coca-Cola logo in the beverage aisle. We scan for the Coca-Cola logo because it indicates the “real” coke as opposed to something like Whole Foods Cola (pictured above). Naturally, this practice goes far beyond the beverage industry and into the vast landscape of the consumer market.

Think about buying a new computer, for instance. When you see the glowing apple on the back of a laptop, you instantly recognize it as an Apple product. The apple isn’t just a decoration; it’s their trademark, a mark that signals you are getting a genuine Apple computer rather than another brand (e.g. Dell , Microsoft , etc.). I learned in my trademark class that consumer recognition of these logos is important.

As the semester went on, the course covered how to optimally protect trademarks and enforce trademark rights. My view of trademarks transformed from mere symbols to legal assets. After exploiting the Coca-Cola trademark during my internship, it made sense why companies often go to great lengths to establish and protect their trademarks. By the end of the course, I knew a career in IP was something I wanted to pursue because I enjoyed the subject material and could see a lifelong career built on it.

Exploring IP at Loyola In my first semester at Loyola University Chicago School of Law , I joined the IP Law Society . This gave me the opportunity to network with fellow law students and seasoned IP attorneys.

One of my favorite events of this past semester was the “No STEM Degree? No Problem” panel. I was able to learn from IP attorneys without a STEM background about the diverse array of projects they work on. These projects included managing trademark portfolios (protecting and administering trademarks) and litigating patents (a suit over unlawful use of a patent). I also participated in the IP Speed Networking event hosted at Loyola. I connected with 20 IP attorneys and learned about their experiences in different legal settings, including roles in-house and at big law firms.

My enrollment in the IP legal writing section has allowed me to develop my legal writing skills while learning more about IP. Last semester, I wrote a legal memorandum concerning a patented pancake mix.

Lastly, Professor Ho , Loyola’s IP Program Director, has supported me in exploring various career paths in this field. She keeps me informed about valuable networking opportunities and job prospects.

“Coca-Cola” Saved the Day and Led the Way It’s safe to assume that Coca-Cola’s iconic trademark saved the day during my interview. Had I not been able to name even the most obvious Coca-Cola product, the outcome of my job interview likely would have been different. From the marketing internship to enrolling in a trademark law class, I went from viewing a mark with a marketing perspective to a legal one.

As I navigate law school at Loyola, I am excited to explore all the facets of intellectual property.

Clara Finger Assistant Blogger Loyola University School of Law, JD 2026

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