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COKE- A SAGA NOT A BRAND

SOME OF THE KEY SUCCESS FACTORS FOR COCA –COLA

Brand image
There are two schools of thoughts one says a brand can be built and other says a brand is evolved.whats right is not our issue now however a brand signifies one word called “trust” the consumer have on that brand. A trust can’t be built over night. It’s a saga. Coke has its history of about more than a century and this prolonged sustenance has definitely added to the brand image in the minds of the consumers and to its wallet.
Brand associations.
Throughout its history it was really excellent in associating the brand with right celebrities, right personality, right colour etc.the campaigns like “tanda mat lab coca cola” best describes the intangibles associated with that in India.
Brand extensions:
It capitalized on its brand equity by extending into mineral waters and other flavors of coca-cola at right time. It acquired a company called minute maid corp. and introduced Fanta (1960), sprite (1961) and tab in 1963.it broke through the concept of “marketing myopia” by describing itself not as just cool-drink but as a beverage. It introduced “kinley” in India in mineral water segment when Pepsi launced “aquafina” and “bisleri” (parle later acquired by Pepsi)
Perceived quality
As said in the book “brands in the balance” the second most spoken word in the world after o.k. Is coke. This is clearly visible in the case of introduction of “new coke” by then Roberto goizuetta in 1983s, which was an utter failure for them though the product was superior in taste. The consumers saw the coke not only in its functional and product attributes but also in their minds. They wanted their old cola back. The company reintroduced old cola with the name cola classic. This strongly shows the impact the cola has in the minds of its consumers. In response to this situation frenette, once chief of coke Europe “what we learned is that we don’t own this brand, the consumer does”

Brand awareness
Starting from its inception we can see the intense promotional strategies adapted by coke brand recognition by clocks, calendars, free coupons etc.knowing the congestion in TV commercials its now shifting its focus more in event sponsorship, lounges offering music videos and video games exclusive site for song downloads etc.
Quality –corporate culture and values:
It started standardization of its bottlers, strict quality adherence in supply and deliverance. It was ready to listen to consumers when controversy rose in Belgium when the customers wanted to take back the coke from shelves after several kids vomited and fainted in 1999.


WHERE IS COCA-COLA VULNERABLE?

 The dilemma between global brand strategy and local:
As per Theodore levitte 1983 “the impact of globalization is that to come out with inescapable standardization of products, manufacturing and the institutions of trade and commerce”. This narrows down to a global brand strategy, which suits for all regions. But still it is a double-edged sword. Imagine a company like coke where it is in beverage industry where it caters to different culture, demography and psychography how far it is feasible to adopt a global strategy. It has to think global and act local. Coke did this mistake with Belgium issue already discussed in 1999 and recent controversies if pesticides issue in India. It still has to work on this dilemma. After the Belgium incident Douglas daft, CEO coca cola said, “I am not sure we understood the world as much as we thought we did”.
The brand image itself
Being so famous is as bad as good. Considering the same Belgium example the brand has done more problems for the issue than giving solutions. It took pains for the company to relaunch once again.

Flight ads
Flight ads are that ad, which temporarily attracts the customers but doesn’t say much about core values of the company or the product. An ad should describe a brands personality and value driver, which drives the personality. Most of the recent ads just endorsed by celebrities don’t much explain about cokes value, in long run this may make people to forget what coke stand for.(recent world cup performance of India)
Recommendations:

 Penetration of coke so that it appeals the bottom of the pyramid consumers. (India)
 Think global but act local.
 CELEBRITY endorsement is not the only strategy to promote. It’s very sensitive to market of the celebrity.
 Don’t repeat mistakes like new coke. Consumer owns your brand.
 Come out innovative promotions that best fits the region may be event sponsorship in small scale for villages. (For bottom of the pyramid consumers, BOP)
 Position it differently for example like refresher for a farmer/ who is doing hard work in farmland to penetrate deep into BOP.

Comments

Anonymous said…
nice work done!
keep it up....
can you please share your views om branding strategy of indian telecom companies like airtel, i think it would make a very intresting topic for readers.
Regards
mehul Sharma
Anonymous said…
ur article helped me a lot in my company's branding proj, thnak you n keep it up, keep writing

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