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Case Study Coca Cola
Case Study Coca Cola
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Coca Cola is the largest beverage company of the world, and it provides consumers with more than
five hundred different brands. Coca Cola is the most valuable company of the world and it includes as
products Fanta, Coca Cola Zero, Powerade, and Minute Maid. At the moment the company focuses on
the having sustainable community protecting environment and having good economical development.
Company is also called an organization and it is consist of structure, policies, corporate culture which
all can become dysfunction in extremely changing business environment. Manager can make changes
in structure and policies which are difficult to change but the companys culture is extremely hard to
change. Yet adapting to the culture is often a key to successful implementation of companys new
strategies (Kotler & Keller, 2009).
Coca Cola is a carbonated drink which is used by many worldwide. The Coca Cola is Coke and it was
invented in nineteenth century by John Pemberton. The marketing strategy of Coca Cola has made it
dominant soft drink of the world. The Coca Cola is the most popular, best selling soft drink in history
and best known product of the world. Today you can find Coca Cola in any part of the world.
Mission statement
Mission statement is developed by a company which states to share managers, workers, and
customers. A clear and obviously thoughtful mission statement gives the worker with a shared sense of
reason, course and prospect(Kotler & Keller, 2009).
Coca Colas mission is to declare the purpose of Coca Cola. Coca Cola want to refresh the world and
inspire the moment of happiness and cheerfulness. Coca Cola want to create its value and make a
difference in the world.
As economic advance or develop the growing proportion of there activities get focus on production of
services, for instant USA economy consist of seventy-thirty services to good mix. Services for instant
include working in airlines, hotels, banks, doctors, and software programmers. Many market consist of
both offering of service and goods for instant fast food company offer both service and goods(Kotler &
Keller, 2009).
The physical characteristic of Coca Cola is to focus on the needs of the customers, and get into the
market to listen or observe the customers. Coca Cola wants to process the world view and focus on its
place in market every day.
Coca Cola is the winning culture of todays world and it is about the attitude of customer it wants to
capture. Coca Cola want to become a leader of market by having excellent quality and brand. Brand
image of Coca Cola is widely known and it is made up of creativity, excitement, hopefulness and
fun.Coca Cola want to be a brand which is known to the world for example if in blind test people prefer
Pepsi, however if the test is not blindthen they must prefer Coca Cola over Pepsi.
Coca Cola has well known trademark and it is recognized by many around the world. The Coca Cola
has very good business standing and it has very good status. The trademark of Coca Cola is very
simple yet bold and known to many.
Product packaging
Packaging of a brand is of course the container that protects and sells the product. Products which are
available in the store on the selves are always enclosed, boxed or packed in some way. The term
package is used in present context a soft drink bottle is a package or jewel box of a CD (Shimp, 2003).
Coca Cola is the number one brand in the world and its shape was first registered as Coca Cola bottle.
Packaging is considering least expensive type of advertising and every package is five second
commercial, we can think package as a silent sales man. Package tends to draw attention of the
customer, break through the competitor untidiness, and justify the price and value for the customer.The
company use varies packaging technique to target the customers one such mechanism is show in the
diagram below.
Packaging must insure that the product has best quality and the beverage or the soft drink remains
fresh at the time of consumption. Uniformity and reliability in the product are critical to achieve for a
company. Coca Cola should have highest standard of quality and safety of the product.
Benefit of goods
Coca Cola is a brand which promises, and it promises to achieve certain result to deliver certain
experience in certain way. This is promise is conveyed to people by everything they see, touch, or
hear.
Coca Cola as a brand touches millions of peoples heart everyday. At special occasion to formal
meeting Coca Cola is part of our life. Coca Cola brand is the special part of peoples lives. Coca Cola
as a good has cherished in many lives and given exceptional childhood memories to army action.
Thousands of people share their stories of Coca Cola with Coca Cola. The goal of the Coca should be
to provide people with active and healthy lives by offering quality beverages.
Competitive advantage
Competitive advantage, an advantage over the competitor which is gained by offering consumer the
greater value, by either lower price or by providing more benefit that justify higher price(Kotler &
Armstrong, 2008).
Competitive advantage is an ability of a company to perform in one or more ways that the competitors
cannot or will not match. A company must have a sustainable competitive advantage because it
benefits the company in longer runs. Competitive advantage gives customer advantage for example if
Coca Cola deliver its product better than any other competitors then customers will choose Coca Cola
over other companies.
Target Market
Target marketing for a brand advertising strategy and related marketing program is define in term of
demographics, geo-demographic, psychographic, or product usage characteristic for instant for a
flower shop the target market will be all customer who rarely or often purchase flower(Shimp, 2003).
Coca Cola applies the demographic factor to achieve its target market for example it advertise for
youths to like the Coca Cola in new generation terms. Coca Cola need to better understand the impact
of Coca Cola business and its value for the customer. Coca Cola works in large international chain of
retailers and other type of business to create mutual benefits. Customer look forward cost reduction of
Coca Cola and improvement of sales to give better quality for diverse group of consumers.
The Coca Colas soft drinks are essentially for all consumers but there are some areas where Coca
Cola target specific consumers. For instants Coca Cola diet is targeting the consumer whole are older
and between the age of twenty five to thirty nine. PowerAde is targeting the people who are very fit and
conduct healthy sports. Winnie the Pooh sipper cap is a Juice which is targeting children of small age
such as five to twelve. Coca Cola company advertising target primary market of age between thirteen
to twenty four, and secondary market is between ten and thirty nine of age.
Buy habits
Due to the large scale of Coca Cola buying habit of people are diverse for instant younger generation
want to drink it when they are with friends, and in family orientation in people celebrations Coca Cola is
widely use.
Media preferences
Coca Cola is widely advertising TV, radio, and newspapers and mostly it capture the attitude of
customers and bring a statement about life style of people. The price of Coca Cola is widely known
thus it only needs to advertise life style.
Coca Cola has different price of different product and basically depends upon brand and size. For
example Coca Cola classic, Sprite, Fanta, is AED 1 of can and bottle 375ml. Coca Cola product are
sold in petrol stations, retail stores and grocery stores. Pricing is set by those the company sells to
petrol station and grocery stores usually sell Coca Cola at a fixed price, and in retail stores different
stores apply different pricing strategy for instant with pack of six Coca Cola one Pringles free.
Industry
Coca Cola operates in soft drink industry or beverage industry. Coca have large share of the industry
and it operates around the world.
Competition
Coca Colas main competitor is Pepsi which almost sell the similar product and it is in direct
competition with us. Indirect competitors are Red Bull, Vitamin C, Energy drinksetc.
It is important fact that Coca Cola products have been stable through the economic cycle for instant the
price of Coca Cola didnt change when recession hit the economy.
Personal selling involves person to person communication by the sale person to inform, educate and
pursue the consumer to buy the companies product or service (Shimp, 2003).
Sales promotion is collection of all marketing activities that try to stimulate quick buyer action or quick
sale of the product and service. Sale promotions are directed at trade, consumer or both (Shimp,
2003).
Publicity is like advertising and involves non personal communication to mass people, but unlike
advertising, the companies dont pay for media time or space. Publicity is usually assuming form of
news item or article comment about companies product and services.
AdvertisingThe Coca-Cola Company uses advertising as its main source of increasing consumer
awareness. It mainly uses the television. There are many television advertisements on Coca-Cola
products. This source allows the company's products to reach a large audience.The latest television
advertisement for Coca-Cola soft drinks was the 'You know you want it' advertisement. One of the older
one are ' If you drink it, you get better of life' The company also uses the radio as another source of
advertisement. This is a cheaper source of approach compared to the television.Recently, the company
benefited from its involvement in the world's celebrated games such as the Olympics and the FIFA
World Cup. Where millions were watching these games, the business had substantial advertising and
promotions of the company's brands.Thecost of advertising over the past 3 years is shown in Fig.
(11).Cost ($ mil) YearFig. (11) The Coca-Cola Company's advertising costs
Personal sellingEvery year, The Coca-Cola Company has a highly trained sales team, which acts as a
representative of the company to the retailers. This strategy helps to maintain service and product
loyalty. It has been demonstrated by the business to be highly effective.
Publicity In February 2003, Vanilla Coke was released to the media as a news brief outlining the huge
profit achieved by the business (from the Sydney Morning Herald 14th February 2003). This helped
The Coca-Cola Company to strengthen the image of the business's products.