Coca colas objective is to target every consumer of the country so coco cola has to set its prices at such a level which no one can offer to its consumers. Despite being a leader in its industry, its fierce rivalry with pepsi has forced cocacola to maintain affordable price points to appeal to its vast middle class market. Because of this, coca cola has come up with long term objectives. The effective marketing plan talks about generic strategies and strategies about pricing, distribution, promotion, advertising and market segmentation.
Pdf coco cola marketing strategy and market plan ekin. Coca cola is the worlds largest beverages company which. The 4 ps of coca cola include the product, the price, the place and the promotions. Coca cola is a truly global brand selling across more than 200 countries with a large and varied product portfolio and obviously an excellent presence in the world of marketing.
Pdf on feb 1, 2019, naama al tunaiji and others published coca cola strategy project find, read and cite all the research you need on researchgate. The below essay is about cocacola company which is a beverage manufacturer established in the year 1892. An evaluation of marketing strategies undertaken by coca. The brand is familiar to people all around the world, and is available in many different varieties. The company s primary product is coca cola which was invented in the year 1886 and was first bottled in 1894. Poduct strategy calls for making co ordinate decisions on product mixes of coca cola. Marketing mix of coca cola 4ps of marketing mix of coca cola. This was the first extension of the coca cola and coke trademark. Cocacola has effects on the teeth which is an issue for health care. Steal cokes pricing strategy based on value created. Coca colas objective is to target every consumer of the country so coca cola has to set its prices at such a level which no one can offer to its consumers. It also has got sugar by which continuous drinking of cocacola may cause health problems.
Here, different types of strategy analysis tools have been used and we try to find out the actual position or environment of the coca cola company. The focus of this essay will be on developing a marketing strategy for classic coca cola or coke for first half of. The article talks about the marketing mix of coca cola and the. Product is the first and most important element of the marketing mix. Cocacola working its way through price increases 2019. In 1985 the formula for coca cola was transformed and the coca cola company free a new coke. At the coca cola company, innovation continues to be an integral part of our growth strategy. Coca cola position its products as refreshing and thirst quenching.
To judge the effectiveness of the strategy that coca cola employed in brazil, it is relevant to see the current consumption of the drinks under the coca cola umbrella. Moreover, due to the decreasing demand for soda products, price competition. Dec 11, 2017 pricing strategy used by pepsi vs coca cola. There are three different pricing strategies which a company can primarily follow. Today cocacola sells products in over 300 countries worldwide, and has over 3,000 different beverages. Objectives of cocacola, and pepsi are reflected in their. Cocacola started with a pricing strategy based on the basis of competition. The coca cola company branding strategies cocacola is one of the most recognizable brands around the globe.
It has reliably used its valuing technique as an encouragement to test, expecting to transform trial into habit. An evaluation of marketing strategies undertaken by coca cola. Pdf coco cola marketing strategy and market plan ekin duran. It was first sold as a patent medicine at drugstore soda fountains for 5 cents a glass. Being addicted to cocacola also is a health problem, because drinking of cocacola daily has an effect on your body after few years. The impact of pricing actions taken across the total sparkling soft drink portfolio offset high singledigit growth in cocacola zero sugar and a strong performance from the sprite brand. Psychological pricing in 2009, cocacola uses the psychological pricing strategy for their original coke. Coca cola, or coke is a carbonated soft drink manufactured by the coca cola company. Analysis of brandlevel strategic pricing between cocacola company and pepsico.
Heres how cocacola keeps its marketing strategy focused. It has the ability to improve the performance and profitability of a company. Companies in this industry are able to integrate technology into their production system. Despite being a leader in its industry, its fierce rivalry with pepsi has forced coca cola to maintain affordable price points to appeal to its vast middle class market.
Our integrated strategy is oriented to generate value to all our stakeholders considering our priorities, capitals and risks. Mar 21, 2014 pricing strategy in some economies consumers tend to switch towards a low priced product. Cocacola has defended its strategy in the us amid questions from investors about whether it was acting as a spoiler in the soft drinks industry by keeping prices low in its home market. It has consistently wielded its pricing strategy as an invitation to sample, aiming to turn trial into addiction. Each subbrand of coca cola has different pricing strategy. It was also awarded highest brand equity award in 2011 by interbrand.
The company has a large product portfolio of sparkling and still beverages. Cocacolas brand reputation or brand violations could adversely affect our business. For example, an incidence approach to pricing was used more often, whereby both cocacola and the bottler shared in the profit made by the combined system, rather than a fixed price per unit. Pemberton, an atlanta pharmacist, when he tried to. May 10, 2019 the marketing mix of coca cola has been changing over time with more and more products being added such that today it has 3300 products. According to one brand marketing campaign coca cola advertising via various channels will feature all four different brands of coca cola as illustrated in. The longterm pricing strategy of coca cola can be best described as value oriented. Companies in the beverage industry are able to use several technological advances such. Marketing strategy of coca cola coca cola strategy. Their pricing strategy is based on the competitors pricing, pepsi is the direct competitor to coke. The below essay is about coca cola company which is a beverage manufacturer established in the year 1892. The cocacola company has been under the leadership of kent muhtar, as its chairman and ceo since april 23, 2009. Strong brand identity cocacola is a highly popular brand with a unique brand identity.
However, the world of soda is also marked by intense competition. Discussion and analysis of the marketing strategy of coke zero in. Beverage market is said to be a oligopoly market few sellers and large buyers, hence they form into cartel contract to ensure a mutual balance in pricing between the sellers. Coca cola is one of the two leading brands in the soda industry and the largest brand of nonalcoholic beverages in the world. In coca cola marketing mix, promotions and place plays a major role in building the brand.
Aug 03, 2015 coca cola company report contains more detailed analysis of coca cola marketing strategy covering issues of coca colas public relations, events and experiences and direct selling. The product strategy and mix in coca cola marketing. It contributes to the highest sales of soft drinks globally. To fully understand how they act, lets discuss the components of their marketing strategy. Cocacola marketing strategy is one of the most complete and diverse strategies today. This strategy gives coke the opportunity to service a large geographic, diverse area. The coca cola company introduced diet coke in 1982.
Coca cola started with a pricing strategy based on the basis of competition. Over the past few years, we have accelerated the pace of our innovation agenda through global success stories such as coca cola zero sugar which are creating sustained momentum in the majority of our markets. Steal cokes pricing strategy based on value created instead. Moreover, due to the decreasing demand for soda products, price competition between coca cola and pepsi has gotten even intense. Coke has brought in a revolution especially in indian markets with the rs. An example for such successful implementation of marketing strategy is coca cola. Cocacola working its way through price increases 201902. From the late 1800s until today, the cocacolas brand has evolved into a top contender in the beverage industry, which ignited the cola wars with the companys top competition pepsico.
Project report marketing management product strategy of. Due to the availability of wide range products, the pricing is done according to the market and geographic segment. Pricing strategy in some economies consumers tend to switch towards a low priced product. Coca cola advertising strategy is boldly experiential with innovative design of posters and print and media advertising. The coca cola brand is globally valued and recognized.
A product mix classified according to width, length depth and consistency. Pdf strategic marketing plan for cocacola 2016 researchgate. The products are said to bring joy, as apparent from coca colas latest tagline little drops of joy. The focus of this essay will be on developing a marketing strategy for classic cocacola or coke for first half of.
Coca cola offering different pricing strategies as per their rivals. The impact of pricing actions taken across the total sparkling soft drink portfolio offset high singledigit growth in coca cola zero sugar and a strong performance from the sprite brand. Pricing strategy used by cocacola there are three different pricing strategies which a company can primarily follow. A study of nigeria bottling company kaduna, including production strategy, pricing strategy, promotion strategy and place strategy, that eventually influences marketing strategies on performance. The international empire of coca cola spans more than 200 countries. Coca cola and its social responsibility 1093 words 5 pages. Over the past decade, coca cola has been experiencing a decline in sales due to increasing health and obesity concerns. Coca cola has intense competition with pepsi so its pricing cant exceed too much nor decrease too much as compared to the price of pepsi cola. However, based on global operations and the specifics of its distribution strategy, the company employs an operationsoriented pricing strategy in which the objective is to uses price variations to match the supply and demand in a particular regional market, as well as some. Charging premium prices initially to earn maximum revenue.
The products are associated with having a good time with friends and family and enjoying everyday life. The coca cola company has been under the leadership of kent muhtar, as its chairman and ceo since april 23, 2009. Coca cola is one of the most leading company in soft drink beverage industry. Pricing strategy today, it became quite popular for startups, for a day or two, to offer their service or a product for free, and then increase their prices. According to coca colas own figures, last years consumption for brazil was 229 per capita, an increase from the 144 of 2005. Aug 18, 2018 coca cola, or coke is a carbonated soft drink manufactured by the coca cola company. Heres how coca cola keeps its marketing strategy focused. That is why coca cola charges the same prices as are being charged by its competitors. Coca colas pricing strategy is aimed at driving brand loyalty. Its soft drinks are the mostselling drinks in history. Nowadays more expenses are spent on advertising by soft drink companies rather than on manufacturing. Pdf as a chandler founded the coca cola company back in 1886 and it is headquarter in atlanta.
Throughout many years the coca cola company has been trying to adopt the pricing decisions for reaching the main goal that has to be withstanding as a greater shareholder value. The history of cocacola began over a century ago since 1886. As price gives us the profit so this p is very important for business price of product should be that which gives maximum benefit to the company and which gives maximum satisfaction to the customer. Like any company who has successfully been existing for more than a century, coca cola has had to remain tremendously fluent and consistent with their pricing strategy. In this report, an inner view of coca cola company has been revealed. Marketing mix of coca cola 4 ps of coca cola coca cola 4. Cocacolas bottling system also allows the company to take advantage of infinite growth opportunities around the world. Recognized as the worlds most valuable brand, coca cola is often associated with happiness. In two years time, diet coke was the top selling diet soft drink in the world. Coca cola has had to remain tremendously fluent and consistent with their pricing strategy.
Jun 03, 2011 cocacola has defended its strategy in the us amid questions from investors about whether it was acting as a spoiler in the soft drinks industry by keeping prices low in its home market. Leadership strategy of cocacola company limited premium. Coca cola s pricing strategy is aimed at driving brand loyalty. Market skimming pricing, penetration pricing, loss leaders, price points and discounts. The prices lower as the size of the package grows bigger. Project report marketing management product strategy of coca cola. Over the past few years, we have accelerated the pace of our innovation agenda through global success stories such as cocacola zero sugar which are creating sustained momentum in the majority of our markets. Highest brand equity cocacola is undoubtedly one of the most renowned brands with the highest brand equity. Offer affordable prices, returnable packaging, effective promotions, access to retail. Cocacola has defended its strategy in the us amid questions from investors about whether it was acting as a spoiler in the soft drinks industry by keeping prices lowin its home market.
Discussion and analysis of the marketing strategy of coke zero in analysis of brandlevel strategic pricing between cocacola company and. Sep 08, 2018 distribution strategy in the marketing strategy of coca cola it uses several sales and distribution models depending on market, geographic conditions and the customers profile. An analysis of price, product and communication julia anders research paper undergraduate communications public relations, advertising, marketing, social media publish your bachelors or masters thesis, dissertation, term paper or essay. Even though the company has some weakness in term of product, if company give a look in product then it can perform better than present. At the cocacola company, innovation continues to be an integral part of our growth strategy. The longterm pricing strategy of cocacola can be best described as value oriented. The solid presence of pepsi and coke in india has introduced the new bottles with new marketing strategies. Jan 19, 2011 for example, an incidence approach to pricing was used more often, whereby both cocacola and the bottler shared in the profit made by the combined system, rather than a fixed price per unit. Aug 10, 2018 the coca cola company does not explicitly states its pricing strategy. The report also comprises application of swot, pestel, porters five forces and valuechain analyses on coca cola company, along with analysis of companys. The products are also marketed as consistent and of high quality.
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