The company sells their syrups to authorized bottling and canning operations, who, after their job is finished, deliver us with the Coca Cola we all know. Since the bottlers also distribute and market Coca Cola, they are essential in for the company to gain a place on the market. Outbound Logistics: Since Coca Cola uses their bottlers for distribution, it is important to manage these bottlers in this process. Ways of doing this include
3. Market development growth strategy by expanding to different global markets. Coca-Cola is sold in vending machines. Expand by acquiring products that appeal to different customers sold in vending machines. Bottled iced coffees as an alternative to a carbonated drink.
My primary choice out of these two would be Coke; I think it tastes better than Pepsi but I would drink either. Coca-Cola and PepsiCo have been competing with each other for over one hundred years. The Coca-Cola Company’s mission is “to refresh the world, to inspire moments of optimism and happiness, and to create value and make a difference” (http://www.thecoca-colacompany.com). This statement shows a lot about Coca-Cola, it shows that they are not just concerned about selling their products but they are concerned about making the world a better place. Although that sounds corny it is nice to know that they think past the concept or making money.
Today, a lot of customers are starting to become more health conscious and now Frito Lays may be lacking in their ‘power sellers’ such as Doritos however they are continuing to enhance Frito Lays sales by buying Sunchips instead. The alternative to the issue would be to create a new flavor to existing products. This could have been done by making Doritos a whole new line instead of creating a different chip with a different title. This would not be as effective because customers already have a sense of what the original product should taste like, and if the new chip wasn’t similar in taste by making it multi-grain the new product flavor would not get the sales it would prefer to see. The case states that they only placed this new product in a small town for a test market.
Specifically for Starbucks, they have built success of the franchise by developing a name brand and image that connects with the world. As Starbucks began to enter different markets, coffee remained the core product. Variations of the types of coffee offered in different parts of the world is what the management controls. This is based on research of the culture or region and the promotion of new products to engage consumers. For example, in Tokyo, a consumer stated that they wanted the coffee to taste sweet.
Marketing objectives: • To create awareness to the consumers in order to increase their confidence level towards Crush beverage brand. • To establish point of difference in every new product launch, creating a unique selling proposition (USP). Environmental Opportunity One of the sources of environmental opportunity for Crush is the changing of consumer preferences towards soft drinks. The American consumers drink more soft drink than tap water. In 1989, the average American consumed 46.7 gallons of carbonated soft drinks compared to 23 gallons consumed in 1969.
Many of the brands that the two companies have are intended to be direct competition of each other. The chart below gives a better view: Pepsi | Coke | Pepsi | Coca-Cola | Diet Pepsi / Pepsi Light Pepsi ONE Pepsi Max | Diet Coke / Coca-Cola Light Coca-Cola Zero | Sierra Mist | Sprite | Mountain Dew Kas Izze | Mello Yello Vault Fresca | Tropicana Dole | Minute Maid Fruitopia Simply Orange | Gatorade Propel | Powerade Aquarius Vitamin Water | AMP | Full Throttle NOS, Monster | The chart gives an illustration of how when one company introduces a new sports drink, or a new tea line the other competitor does the same thing as well but with a different name for the product. The way that Pepsi making their stamp in the market is to continue coming out with brands those customers may like and that’s in line with Coke. Pepsi wants to stay ahead and also wants to continue to make and gain revenue from their product. Pepsi wants to expand their growth and to take advantage of potential opportunities, they will be able to do this my expanding their
They develop promotions and advertisement that will target their customers. A major part of Coca-Cola being successful is the ownership and the ability to partner up with bottling and canning factories throughout the globe. They contribute assets that are up to 28%. Coca-Cola has relationships with three separate types of bottlers. Anchor Bottlers, Independently owned bottlers, and Coca-Cola invested bottlers.
For example, a customer may choose to buy a premium cup of coffee from a national coffee chain instead of buying coffee at a local corner store. The reason is that the national coffee chain has built its brand and established in the minds of customers that the premium cup of coffee is worth the price because of the quality offered to the customer. Loyal Customers A company with a strong brand establishes loyal customers throughout the years. A company also can increase its income by introducing new products to the market. Customers who are loyal to a name-brand company are more likely to try the new product, as opposed to someone who is not loyal.