Why is Coca Cola such a successful company?
Why is Coca Cola such a successful company? Most companies become successful in the first place due to a successful marketing campaign. The factors of whether or not, it becomes successful depends upon the marketing mix. Some of the dynamics to the marketing mix are endorsement, merchandising, product placement, exhibitions, public relations, sponsorship and of course one of the biggest parts to marketing advertising. Here are some facts about Coca-Cola. It is a well-known beverage company since a pharmacist, Dr. John Stith Pemberton, founded Coca-Cola in 1886 in Georgia, U.S.A. Today, the Coca-Cola is sold in near 200 countries all over the world, and becomes a kind of world wide brand-named beverages. It was the 41st on the list of the 100 Largest Economic Entities in 2001.Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as the caffeine-rich kola nut. By the late 1890s, Coca-Cola was one of America's most popular fountain drinks. With another Atlanta pharmacist, Asa Griggs Candler, at the helm, the Coca-Cola Company increased syrup sales by over 4000% between 1890 and 1900. Around the same time, the company began selling syrup to independent bottling companies licensed to sell the drink. Even today, the US soft drink industry is organized on this principle. Until the 1960s, both small town and big city dwellers enjoyed carbonated beverages at the local or ice cream saloon. Often housed in the drug store, the soda fountain counter served as a meeting place for people of all ages. Often combined with lunch counters, the soda fountain declined in popularity as commercial ice cream, bottled soft drinks, and fast food restaurants came to the fore on April 23, 1985, the "New Coke" formula was released. Today, products of the Coca Cola Company are consumed at the rate of more than one billion drinks per day. One of the most famous examples of a trade secret is the formula for Coca-Cola. The formula, also referred to by the code name "Merchandise 7X," is known to only a few people within the company and kept in the vault of a bank in Atlanta, Georgia. The individuals who know the secret formula have signed non-disclosure agreements, and it is rumoured that they are not allowed to travel together. In the past, you could not buy Coca-Cola in India because Indian law required that trade-secret information be disclosed. In 1991, India changed its laws regarding trademarks, and Coca-Cola can now be sold in that country. Coca-Cola was originally used as a nerve and brain tonic and a medical elixir. The Coca-Cola Company started out as an insignificant one man business and over the last one hundred and ten years it has grown into one of the largest companies in the world. But how has Coca-cola lasted over a hundred years? Naturally advertising makes Coca-Cola as successful as it is today. You can’t escape the world famous logo. We know that Coca-Cola is a successful business as it’s one of the largest economic entities in the world. I believe that Coca-Cola’s target audience is rather diverse and large scaled. It aims at the male and female. The young, adolescents, young adults and the middle aged to the early elderly. But I think the majority of coca cola’s target audience is 11+ year olds to late 20s, early 30s. How it does this is by different methods. Coca Cola sponsors a lot of companies. They quote, We believe in supporting the organizations that you care about. All around the world, our consumers tell us that they are passionate about sports. That's why we have been involved with the Olympic Games since 1928. That's why we sponsor the FIFA World Cup. And that's why we support hundreds of sports activities in local markets around the world. Sports and Coca-Cola is a great match. But our sponsorships extend beyond the playing fields into other areas that captivate our consumers. Notice how it says, Our Consumers tell us that they are passionate about sports.?? So they sponsor companies so their consumers see their logo around a football pitch or of some sort and subconsciously the audience takes in their images. The world eagerly anticipates each summer and winter Olympic Games. Coca-Cola has been a supporter of the Olympic Movement beginning in 1928; The Coca-Cola Company has sponsored each Olympic Games since then, something no other company anywhere in the world has done. Our worldwide partnership with the International Olympic Committee has been extended through 2008, demonstrating our commitment to the Olympic Movement. Many Coca-Cola divisions around the world sponsor individual athletes or teams as well, so sponsorship has been a big part of advertising from as early as 1928. Merchandising is also a huge part of Coca-Cola’s early, fast success which is still extremely, if not more popular. Some of the early merchandising is worth a lot of money and would be extremely expensive to buy in this day and age. It first promoted itself with a large distribution of Coca-Cola clocks and urns in 1896. Now there is anything from toys, lighters to watches and even owns its own clothing brand in Europe and that you can buy in New York.? They also do thousands of tie-ins. Most famous ones are with MacDonald’s when you can get a toy with a happy meal, like a cuddly polar bear. Most recent tie-in they have used was where you buy a bottle of Coca-Cola and you can use your code under the wrapper to download music off the internet legally. This encourages their target audience (12 years old to approximately late 20s) to buy the bottle of Coke, so they can get free music. The brand image of Coca-Cola is very important. As it was once a one man business, the company prides itself with its heritage and citizenship. From adverts you see the product as very friendly or family based. It likes to believe that the Coca-Cola Company helps out society and gives what its consumers need and want. It targets Education by giving less fortunate a chance to succeed. They quote, ?The Coca-Cola Company has always believed that education is a powerful force in improving the quality of life and creating opportunity for people and their families around the world. The Coca-Cola Company is committed to helping people make their dreams come true. All over the world, we are involved in innovative programs that give hard-working, knowledge-hungry students books, supplies, places to study and scholarships. From youth in Brazil to first generation scholars, educational programs in local communities are our priority.o
