Introduction Frucor and Coca-Cola Amatil are constantly butting heads in the New Zealand Soft-Drink Duopoly, an industry worth $1.2 Billion. Frucor has a tentative lead with a market share of 37.2%, while Coca-Cola Amatil holds 36.9%, in an industry worth $1.2 billion a year. Frucor, a previously New Zealand owned distributor and bottler, is a leading employer in New Zealand and the distributor of the focal brand, Mountain Dew. Mountain Dew is a citrus flavoured soft-drink with a unique marketing campaign that sees it treated as an energy drink. Frucor is also a socially aware and responsible company, “whether it’s thinking improved nutrition, looking after the community or protecting our environment, we take social responsibility seriously. (Frucor, 2015). Both companies are ultimately competing for the same consumer dollar in the food and beverage market, and it is thusly important for the companies to be able to distinguish themselves from the other. Purpose The objective of this report is to investigate past and present operations of Mountain Dew within the New Zealand market and the relationship between brand performance and market trends; this will be compared to the performance of notable competitors such as Sprite, and Lift+; brands of Coca-Cola Amatil LTD. This report emphasises, particularly, how Mountain Dew distinguishes itself from these competitors, and how it can further do so. Identification of Frucor’s strengths, weaknesses, threats and opportunities will
A. 180 years of operation. This is one of their most compelling strengths. Being in operation for almost 200 years show the dedication the family has for the beer they produce and shows the amazing level of management they have. Just the fact that they have overcome hardships such as the great depression and the prohibition shows how powerful their management is.
When Coca cola bring refreshment, value, joy and fun to their stakeholders, then they successfully nurture and protect their brands, particularly Coca-Cola that is the key to fulfilling our ultimate obligation to provide consistently attractive returns to the owners of our business. Marketing positioning Local marketing strategy enables Coke to listen to all the voices around the world asking for beverage that span the entire spectrum of tastes and occasions. What people want in a beverage is a reflection of who they are, where they live, how they work and play, and how they relax and recharge. Whether you’re a student in the United States enjoying are freshing Coca –Cola a woman in Italy taking a tea break , a child in Peru asking for a juices drink, or a couple in Korea buying bottled water after a run together, “Coca cola is there for you. Coca cola are determined not only to make great drinks, but also to contribute to communities around the world through our commitments to education, health, well ness, and diversity. Coke Strives to be a good neighbor, consistently shaping business decisions to improve the quality of life in the communities in which coke does business. It’s a special thing to have billions of friends around the world, and coke never forgets it.
The existing concentrate business is largely controlled by Coca-Cola Company (Coca-Cola) and PepsiCo (Pepsi), together claiming a combined 72% of the U.S. carbonated soft drink (CSD) market sales volume in 2009. Refer to Exhibit 1 for an illustration of the CSD industry value chain. For more than a century, Coca-Cola and Pepsi have maintained growth and large market shares through mastering five competitive forces, shown in Exhibit 2, that drive profitability and shape the industry structure.
The reason why I choose these two companies is because both of them have extraordinary marketing strategy that we can never guess. Plus, they are the biggest rivals in the soft drink field so they have lots of marketing campaign that relates strongly to each other. Therefore, analyzing these companies will give us not only a clear and detail examples of marketing strategy but also an example of how they observe carefully about the other’s move.
The Coca-Cola Company has enjoyed a long and successful history; however, it has made mistakes. Though success has not always come easy or cheap, Coca-Cola has maintained a large loyal consumer base. As an icon in America and around the world, the company can be credited for listening to and catering to the requests and needs of its consumers. This is why its attempt to launch new flavors must be carefully considered to ensure not only acceptance by the target market, but continued loyalty to the brand.
In an industry dominated by two heavyweight contenders, Coke and Pepsi, in fact, between 1996 and 2004 per capita consumption of carbonated soft drinks (CSD) remained between 52 to 54 gallons per year. Consumption grew by an average of 3% per year over the next three decades. Fueling this growth were the increasing availability of CSD, the introduction of diet and flavored varieties, and brand extensions. There is couple of reasons why the industry is so profitable such as market share, availability and diversity and brand name and world class marketing.
The history of Coca Cola began in 1886 when Dr. John S Pemberton, an Atlanta pharmacist created a tasty soft drink which could sell at soda fountains. Since then, Coca Cola grew to be a global brand and touched great heights. Today, it sells across 200 countries and is just as popular across all the markets and nations. The company today, owns or licenses and markets more than 500 non alcoholic beverage brands. The brand has only few major competitors in the global market. The daily servings of coca cola are estimated to be at 1.9 billion globally. (Coca-Colahellenic, n.d.) This is just another proof of the popularity of the brand which has a very large and diversified
These two-company’s economic characteristic include their market size and growth rate from the early 2000’s to 2010. Coke and Pepsi have struggled for years in the carbonated and non-alcoholic sector. According to Barbara Murray (2006c) "But as the pop fight has topped out, the industry 's giants have begun relying on new product flavors and looking to noncarbonated beverages for growth.” (Murry, 2006). For instance, Coke boasts in the advertisement as the king of the soft drink; as a consumer of both products, I agree. About 15 years ago, I was selected to participate in a critiquing of Coke and Pepsi products. Additionally, my travel to Africa in 2007 and 2010 provided the same raving review for the Coke Cola products. Apparently, Coke and Pepsi have been rivals for ages locally, regionally, nationally, multinational, and globally, therefore, one expects them to have an on-going rivalry when marketing the high-energy beverages.
This paper focuses on global business strategy of The Coca-Cola Company, who is the leader in the beverage industry as well as, the world?s leading soft drink maker that operates in more than 200 countries and owns or licenses 400 brands of nonalcoholic beverages. The paper will concentrate on the PESTEL analysis of the organization focusing on the external factors of the business and the environment where it operates. All of the following environments will be discusses in the research; Political, Economic, Sociological, Technological, Legal, and Environmental as they the changes in the market segment. Within this paper it will discuss some of thr
The interactions between the two major players allows for the creation of a level of competition, where both companies are consistently seeking to improve their businesses processes to remain competitive with the other. Each company also has a set of pricing and output decisions that not only effect their organization but the entire industry in general. One of the most pressing trends for both companies is that consumers are generally becoming more health conscious and beginning to shun carbonated beverages.
Strengths: The biggest strength of the Coca-Cola Company is that, for more than a century, Coca-Cola has reigned as the supreme soft drink market leader. In retrospect, Coca-Cola would seem to be doing very well in Brazil. According to the Thunderbird case, Brazil was Coca-Cola’s third largest operation and, after Mexico, the company’s second largest international market. As of 2003, the Coca-Cola brand (regular and diet) was the leader in the Brazilian soft drink market with 35.6% of market share (Thunderbird School of Global Management).
“Coca-Cola brands are available to consumers throughout the world. Today they account for 1.7 billion servings of all beverages consumed worldwide daily. Coca-Cola has the edge in the market and because they are first to capitalize on new consumer trends. They continue to focus on continuous operating improvements, and they are ever changing to meet market demands. Pepsi Co satisfies the needs of its customers with the wide variety of products offered. They also have the different type of beverage or snack and its brands can substitute for each other. Coco-Cola and Pepsi Co is known as the top 100 most valuable brands in the world.
Coca-Cola has been around for generations with the same iconic taste, logo and symbolism. Its brand has represented family and the memories of good times, celebrations and comfort of being with those we love. Unfortunately, the company has not made good marketing decisions in the recent past and has lost relevancy. The purpose of this essay is to assess the conditions that created Coca-Colas marketing problems, evaluate the future of healthy beverages and non-carb drink brand extensions, and provide recommendations to the management.
According to PepsiCo SWOT, “it is better equipped to satisfy the needs of customers with a wide variety of successful products” (2008). PepsiCo managed to present almost every type of drink and food brands. The merchandise that is earned is the majority of their revenue. This makes them extremely at risk to change any of their marketing products. However
When it comes to Monsters Energy there are a few threats they have like competitors, government regulations, people learning about the harm from energy drinks, and people moving to healthier alternatives. Monsters biggest threat to their business it would be one of their competitors, Red Bull. In 2015, Red Bull had a market share of about 43%, while Monster in a close second had 39% of the market, allowing them to have that slight advantage (“Packing a punch”, 2016). With them each having two of the top four energy drinks sold in the United States the competition is fierce ("2017 State of the Industry", 2017). However even though there are none at the moment, Monster will have