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Coca-Cola Presentation

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Emma Haughton

on 3 November 2016

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Transcript of Coca-Cola Presentation

Coca Cola Marketing Strategies

Marketing Campaigns
Product Differences
Social Media as a Marketing Resource
Overview:
Coca-Cola has strong brand recognition across the globe.
Approximately 94% of the world population is aware of the red and white logo.
How do they do this?
Through their successful marketing strategy.


Looking at the internal analysis, Coca-colas market strategy focus' on engaging their audience and crowd sourcing together information, sharing meaningful content, and creating real brand experiences.
Main Focus
Engage audience on emotional level
Prompt users to respond to content in some way
Build long lasting relationships and loyalty
Taste the happiness:
Enhancing Special moments

'Share a coke':
Created to communicate directly with target audience through social media.
Help customers to start a global trend of self-expressing and celebrating uniqueness.
'Happy Flag':
Partnered with the country of Denmark to spread happiness (named the happiest country in the world by the united nations).
Sales and Market Share
Global operating revenue of $44.2 billion.
Brand valued at $80 billion.
They had a market share of 48.6% of carbonated beverages worldwide.
8.4% of the global market share - in comparison to Pepsi's 3.6%.
Profitability
Organic growth of 4%
Net revenue fell by 4%
Gross Profit of $26,812 million.
5 point plan to increase revenue and create higher margins.
Refranchising of bottling operations will lead to reduced costs.
Shareholder Value
Coca-Cola's share was valued at $42.33 as of October 3rd, 2016.
EPS of $1.67, up 5% from 2014.
Dividend yield of 3.1% or $ .33 per share.
Paid out $5.7 billion in dividend payments in 2015.
What is the difference between these 3?
This is an area that was
not
marketed effectively.
Coca‑Cola Zero delivers the great taste of Coca‑Cola, with zero sugar. While it has the same sweeteners as Diet Coke, it has a different flavour base, though both contain
zero sugar and are calorie free
.
Diet coke:
46mg Caffeine
Coke Zero:
34mg Caffeine
Caffeine-Free Coke:
0 mg Caffeine
Internal analysis is the process of
identifying
and
evaluating
an organization's specific characteristics, including its:
Resources.

Capabilities
.

Core competencies

Founded in 1886, by a pharmacist John Pemberton.
Mission Statement: to refresh the world, to inspire moments of optimism and happiness, and to create value and make a difference
How many servings of Coca Cola are sold
each day?

channel videos recieve 50% more views than
Pepsi. They have become known for their
inspiring video campaigns.
Marketing Campaigns
Unmatched Global system of Bottlers and Distributors
Global Brand Reputation
is Coca-Colas biggest fan base. They have now
reached 82 million followers. They use this to
maintain brand image and to promote various campaigns.
During the share a coke campaign cosumers used twitter to share their experiences and stories by using the hashtag
#shareacoke.
The results were phenominal.
Global Brand Name/Image:
Coca-Cola Company has been operating a
franchised distribution system
since 1889
Global Distribution Network:
Operational reach - 200+ countries worldwide, only two countries in the world where it is not sold
Not a single entity
Operate on a scale, creating global reach with local focus
Most sophisticated and pervasive production/distribution
Bottling partners - 250 and 900 plants
Bottling partner agreements
The franchise model allows the company to
avoid costs
associated with manufacturing, storage, and distribution.
Scale business
much faster.
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Hepburn, M. (2016). It’s simple! Our new “one brand” strategy. [online] Coca-cola.co.uk. Available at: http://www.coca-cola.co.uk/stories/coca-cola-one-brand-marketing-strategy [Accessed 1 Oct. 2016].
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Vij, R. (2015). How Coca-Cola Company Makes Money? Understanding Coca-Cola Business Model - Revenues & Profits. [online] Revenues & Profits. Available at: http://revenuesandprofits.com/how-coca-cola-company-makes-money-understanding-coca-cola-business-model/ [Accessed 3 Oct. 2016].
Buehler, N. (2015). How Does Coca-Cola Actually Make Money? (KO). [online] Investopedia. Available at: http://www.investopedia.com/articles/markets/112515/how-does-cocacola-actually-make-money.asp [Accessed 3 Oct. 2016].
Bhasin, H. (2016). SWOT of Coca Cola - SWOT analysis of Coca cola. [online] Marketing91.com. Available at: http://www.marketing91.com/swot-coca-cola/ [Accessed 3 Oct. 2016].
Create
global reach
with local focus
Possibility of improvement :
Diversify the product offering
Invest in healthier products
Improve the brand image
Reinvigorate the market

World's largest soft-drink company.
Main ingredients of Coca Cola are; water, nutritive and non-nutritive sweeteners and syrups.
The strong brand name of Coca Cola gives them a lot of
bargaining power
94%
of world population is aware of red & white logo
Operations
VRIN analysis of Coca Cola distribution network
‘HR put in place the policies, practises and procedure that ensure we have the right people in the right places to implement our overall business strategy’

Human Resources
Focus on aquisition and retention of highly skilled emplpyees to maintain position in the market.
What Coca-Cola expect from their employees?
Top Reasons to work for Coca-Cola.
Health and Well being.
Investment in Development
Human Rights Policy
Awards and Rankings
2014 U.S. Women's Empowerment Principles Leadership Award.
2014 Best Global Initiative for Women's Economic Empowerment (5 by 20 programme).
FORTUNE: World's best Multinational Workplaces (Great Place to Work) - One of 25
DiversityInc: Top 50 Companies for Diversity - #33
Universum Global: World's Most Attractive
Employers - #23
4 Principles used for their resposible marketing policy
Once we identify the resources, capabilities and core competencies of a firm we can then use them to gain a sustainable competitive advantage
Concentrate Operations
Finished Product Operations
Sell their syrups to bottling partners, who manufacture and sell the finished products
Own their own bottling plants where they manufacture and sell the finished product themselves.
YouTube. (2016). Anthem. [online] Available at: [Accessed 4 Oct. 2016].
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Elmore, B. (2014). How Coca-Cola built a sugary empire, by outsourcing as much as possible. [online] Fortune. Available at: http://fortune.com/2014/11/25/coca-cola-capitalism/ [Accessed 4 Oct. 2016].
Esterl, M. (2016). Coke Tweaks Its Business Model Again. [online] WSJ. Available at: http://www.wsj.com/articles/coke-tweaks-it-business-model-again-1458639001 [Accessed 4 Oct. 2016].
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Amigobulls.com. (2016). Coca Cola stock analysis, NYSE:KO valuation. [online] Available at: http://amigobulls.com/stocks/KO/analysis [Accessed 2 Oct. 2016].
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The Coca-Cola Company. (2016). Coca-Cola Journey Homepage. [online] Available at: http://www.coca-colacompany.com/ [Accessed 1 Oct. 2016].
Marketrealist.com. (2016). Coca-Cola's North America segment finally sees revenue growth - Market Realist. [online] Available at: http://marketrealist.com/2015/02/coca-colas-north-america-segment-finally-sees-revenue-growth/ [Accessed 4 Oct. 2016].
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