Coca-Cola Marketing Development Plan
BUS 620 Managerial Marketing
Dr. Thomas Steinhagen
October 22, 2012
Coca-Cola continues to maintain market excellence for over fifty years. The product is an industry leader that continues to enter global markets in today’s global economies. The formula for success for this product has been taste and effective marketing. To remain superior to the other brands on the market Coke will need to continue its aggressive advertising and develop alternative beverage lines to meet today’s market demand.
The red and white Coca-Cola trademark is one of the most recognized symbols in the world. Coca-Cola continues to achieve sustainable, quality growth with its different Cola beverages and other soft drink products.
SWOT is an acronym for Strengths, Weaknesses, Opportunities, and Threats. It involves the scan of the internal and external environment that assist in developing strategy planning process (Finch 2012). SWOT analysis provides information that match the firm’s resources and capabilities to the competitive environment in which it operates. Strengths of Coca-Cola have been holding a large part of world culture for a very long time. Coca-Cola has focused on brand image and brand loyalty along with providing supreme taste and quality. The Coca-Cola image is displayed on T-shirts, hats, and collectible memorabilia. This extremely recognizable branding is one of Coca-Cola's greatest strengths. "Enjoyed more than 685 million times a day around the world Coca-Cola stands as a simple, yet powerful symbol of quality and enjoyment" (Allen, 1995).
Additionally, Coca-Cola's bottling system is one of their greatest strengths. It allows them to conduct business on a global scale while at the same time maintain a local approach. The bottling companies are locally owned and operated by independent business people who are authorized to sell products of the Coca-Cola Company. Because Coke does not have outright ownership of its bottling network, its main source of revenue is the sale of concentrate to its bottlers. A weakness of Coca-Cola may be in the actual product itself in an evolving health conscious world. Coca-Cola contains caffeine and caramel which can adverse effects on the teeth (if prolonged) which is an issue for health care. It also contains sugar by which continuous drinking of Coca-Cola may cause health problems. Being addicted to Coca-Cola also is a health problem, because drinking of Coca-Cola daily has an effect on your body after few years. Opportunities for Coca-Cola are seen in brand recognition as an important factor in affecting Coke's competitive position. Coca-Cola's brand name is known well throughout 94% of the world today. The main concern of Coca-Cola Marketing Strategies has been just to improvise its system and make it even more recognizable. The bottling system of Coca-Cola allows the company to take advantage of its growth opportunities. The biggest threat to Coca-Cola is price and Pepsi products. A small increase in price, let’s say just a few cents will have a drastic effect on sales. Only because consumers people will shop for the next available substitute such as Pepsi when there are price changes. Price is a major factor in affecting Sales of Coca-Cola and marginal profits. Coca-Cola can face major losses if it goes for a sudden increase or decrease in price.
The major competition faced by Coca-Cola International is Pepsi Co. PepsiCo is a world leader...