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    Group No. 2: Introducing New Coke

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    AbhishekSingh
    This document provides a history of Coca-Cola and its rivalry with Pepsi. It describes how Coca-Cola was founded in 1886 and established dominance in the early 20th century. However, Pepsi launched campaigns targeting younger consumers in the 1960s and 1970s that shrank Coca-Cola's market share. In response, Coca-Cola's new chairman launched "New Coke" in 1985 in an attempt to beat Pepsi on taste, though consumer reactions were mixed. The document outlines the back-and-forth between the two companies as they sought to gain dominance in the cola market over more than a century.

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    Group No. 2: Introducing New Coke

    Uploaded by

    AbhishekSingh
    76 views10 pages
    This document provides a history of Coca-Cola and its rivalry with Pepsi. It describes how Coca-Cola was founded in 1886 and established dominance in the early 20th century. However, Pepsi launched campaigns targeting younger consumers in the 1960s and 1970s that shrank Coca-Cola's market share. In response, Coca-Cola's new chairman launched "New Coke" in 1985 in an attempt to beat Pepsi on taste, though consumer reactions were mixed. The document outlines the back-and-forth between the two companies as they sought to gain dominance in the cola market over more than a century.

    Original Description:

    The introduction of New Coke

    Original Title

    Introducing New Coke

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    This document provides a history of Coca-Cola and its rivalry with Pepsi. It describes how Coca-Cola was founded in 1886 and established dominance in the early 20th century. However, Pepsi launched campaigns targeting younger consumers in the 1960s and 1970s that shrank Coca-Cola's market share. In response, Coca-Cola's new chairman launched "New Coke" in 1985 in an attempt to beat Pepsi on taste, though consumer reactions were mixed. The document outlines the back-and-forth between the two companies as they sought to gain dominance in the cola market over more than a century.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    76 views10 pages

    Group No. 2: Introducing New Coke

    Uploaded by

    AbhishekSingh
    This document provides a history of Coca-Cola and its rivalry with Pepsi. It describes how Coca-Cola was founded in 1886 and established dominance in the early 20th century. However, Pepsi launched campaigns targeting younger consumers in the 1960s and 1970s that shrank Coca-Cola's market share. In response, Coca-Cola's new chairman launched "New Coke" in 1985 in an attempt to beat Pepsi on taste, though consumer reactions were mixed. The document outlines the back-and-forth between the two companies as they sought to gain dominance in the cola market over more than a century.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 10

    INTRODUCING

    NEW COKE

    A RIVALRY BORN IN SUGAR : COCA-COLA V/S PEPSI

    GROUP NO. 2
    PRAVIN ROY
    ABHISHEK SINGH
    BHARTI TUDU
    CHINTHU DAS
    SHRUTI VINYAS

    COKE: THE HISTORY SO FAR..


    In 1886 , an Atlanta pharmacist, Dr. John S. Pemberton started it as a
    flavoured syrup
    Pembertons partner and bookkeeper, Frank M. Robinson, is credited with
    naming the beverage CocaCola as well as designing the trademarked,
    distinct script, still used today
    Pemberton then sold the rights to Griggs Candler , who organized the
    company ( The Coca-Cola Company ) in 1892

    THE COMPANY UNDER CANDLER

    Created a network of independent bottlers


    Introduced the Secret Formula , which became their USP forever, also
    known as Companys Sacred Cow.
    Introduced selling Coca-Cola in shapely glass bottles
    Finally handing over the company to Earnest Woodruf

    DEVELOPMENTS UNDER
    WOODRUFF
    Taking over reigns
    in 1923 , The
    Boss Woodruf
    had to initially
    undergo a stif
    financial strife
    Untimely
    purchase of Sugar
    led to
    developments
    causing a drop of
    Share Prices from
    $40 to $18

    Under the Repair


    Process:
    Gas Stations as New
    Major Distribution Outlets
    Taking Brand to Europe
    Coming up Taglines
    the Pause that
    Refreshes
    in 1923
    In 1931 , came up with
    Coca-Cola Santa Claus,
    thereby driving the
    American Youth crazy

    IN THE ERA OF WORLD WAR 2


    1940s marked its continuous expansion
    Special Bottling Plants establishments during
    World War for serving the soldiers of the U.S
    Army
    This led to a sense of response and gratitude
    among U.S soldiers, multiplying the Cokes
    popularity in the nation immensely
    The soldiers thought of it as an invaluable
    entity to them , having emotional value during
    war-time , so much so they created a Theme
    Song for Coca-Cola

    DEVELOPMENTS POST WAR


    EXPANSIONS IN 50S TO 70S

    The impact created by Coke during War-time fetched them an unexpected


    expansion among the masses, with as many as 64 bottling plants
    worldwide, not costing them a penny
    In the 50s , it outpaced its nearest rival Pepsi by more then 2:1
    Their expansion included:
    1. Buying out Minute Maid Corp. & Duncan Foods in 1964:Coca-Cola Food
    Division
    2. Launching Sprite & Tab in 1961 and 63 respectively
    3. Launching Grapefruit Flavoured Fresca in 1969

    PERIOD OF TURMOIL
    With expansion in full swing, an internal turmoil built-up in the Marketing
    and Sales Divisions
    Failures of many diversification attempts
    This led to fall of CAGR from 15% to just 2% by late 70s
    This made Pepsi rush ahead of Coke

    THE PEPSI GENERATION


    This campaign , launched in mid 60s , focused attention from product to
    the user
    The consumption drove the image of the consumer
    By targeting the Youth through this campaign , they had deterred the
    brand of Coke quite a bit
    Approaching (poaching) customers through the The Pepsi Challenge in
    1975 over taste
    Coke reaction : Charging Pepsi of Misleading Advertisement

    MOVES FOR DOMINATION


    Coke hiring Bill Coshy through The Rat-Pack commercials targeting Pepsi
    Reports suggest downfall of Coke Market Share worsened matters
    Pepsi Challenge impacted Cokes Market badly, except for Atlanta
    Amidst this, in 1980, Gouizueta took over as Chairman, calling for :
    Doing things differently, or do different things , or both..
    Questioning their position and approach, he called out for The Change

    THE RADICAL CHANGE


    For Gouizueta, there were no Sacred Cows , for
    he advocated giving no room to competitors to
    slither away
    On the other hand , Pepsi gave way to The Pepsi
    Challenge and delivered Pepsi , the Choice of
    New Generation through the famous MJ- Ad
    With their US Market shrinking , Coke under
    Gouizueta decided to talk about The taste
    factor , saying they need to beat the rivals in
    terms of the Taste
    They researched under Project Kansas ,wherein
    they interviewed 2000 people, who were willing
    to try the New Coke , while a focused groupstudy showed mixed reactions , making them
    believe the change was needed, which came in
    1985

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