COMMUNICATIONS AND THE MARKETING Mix OF THE COCA-COLA COMPANY
Scope of The Coca Cola Company
The coca-cola company continues to be one of the major leading soft drink company in the world. Consequently, to be one of the major leading soft drink companies globally, the company also operates in more than two hundred countries all over the globe (Baah & Bohaker, 2015, pp4). The company is also made up of a rich product portfolio that constitutes both still and sparkling beverages. Ultimately, with the current market situations, the soft drink company is essentially feeling a pinch of the economy slow down. These slowdowns have primarily led to the fall in margin profits made by major soft drink brands in the beverage market.
Additionally, the popularity of soft drinks is significantly threatened by the upcoming health-related beverages, among other significant health trends. The coca-cola company is also widely recognized concerning its strong brand image and never-ending customer loyalty worldwide. Therefore, the company always makes sure to invest the most substantial sum of money on developing its brand recognition and customer engagement through promotions and marketing. Even though the company has an effective marketing mix strategy consisting of the 7Ps, which are product, place, price, process, people, promotion, and physical evidence, there are serval improvements that can be made on some aspects based on the current situation of the market.
The 7Ps Of the Coca Cola Marketing Mix
Product
As mention earlier, the coca-cola company has a well-developed product portfolio that consists of five hundred still and sparkling brands (Arab, 2018, pp23). Consequently, to have a rich product portfolio, the company currently provides its customers with about three thousand nine hundred beverage choices. Ultimately, coca-cola which it’s the main product that is recognized worldwide as the most valuable brand. Additionally, there is over twenty billion dollars brand in the given product portfolio with nineteen of the brands made up of low and no calories soft drink choices. The given brand of products includes Coca-cola, which is mainly known worldwide as the best-selling brand.
Additionally, other brands include sprite, which is a leno flavoured soft drink, coca-cola zero sugar, Minute maid, Powerade Zero, and Simply orange, among other significant products (Menaria, 2015). Since the market is moving toward the direction of health drinks and other health trends, the company will have to work towards integrating health-related aspects in their product manufacture to ensures that they meet the changing trend (Wu & Li, 2018). For instance, the company may develop organic products, as many of the people currently prefer organic products.
Price
When it comes to pricing, Pepsi exists as the most significant competitor of Coca-cola company in the beverage industry (Abbasi, 2017, pp194). The two companies always make to set the product prices competitively, ensuring that the price is not set too high going beyond the customers’ needs. Additionally, the two companies often ensure that their products are not low priced as they may give the customers an impression of a lower quality product. Consequently, to the given aspect, the coca-cola company also always sets its product prices towards developing brand loyalty. This aspect significantly implies that the company always provides its customers with a high-quality product at the most affordable price to the customers (Rey-López & Gonzalez, 2019, pp 810). However, with the changing situations in the market and economy, the company will have to lower the prices of bigger products for bulk buyers compared to those buying single Coca-cola products. Moreover, the point to note is that the demand for soda products has significantly dropped in the past few months.
Place
The coca-cola company has one of the most developed and extensive distribution systems for beverage products. Additionally, as mentioned earlier, the company sells its products in more than two hundred countries. Consequently, to have a larger selling place, the company sells approximately two billion serving each given day. Ultimately, the company’s mode of operation relies primarily on its bolting and packing partners for the distribution of their products. Appoint also note is that the company also operates with the use of several local channels whereby the company manufactures, syrups, concentrates and beverage bases and then sell them to bottling and packaging companies (Serôdio, McKee & Stuckler, 2018, pp1594). Even with the given initiative, the coca-cola company still owns the brands and carries out brand marketing initiatives. Therefore, the packaging and bottling partners are only responsible for distributing the final branded products to the customers in conjunction with vending partners. Nonetheless, this given does not require significant improvements as the bottling and vending partners work closely with several places such as restaurants, convenience, movies, theatres, and other significant places to reach the final customers or consumers.
Promotion
There exists an intense competition when it comes to the beverage or soda industry. This is an aspect that makes many top brands focus their efforts in marking and advertisements to ensure that they achieve higher sales and profits (Padhy & Vishnoi, 2015, pp17). Currently, the Coca-Cola company spends more than four billion on marketing to ensures that it achieves the maximum profit and sales. Consequently, to put a lot of investment in marketing, the company also uses both modern and traditional channels to promote its products. One of its major known initiatives that still stands is the taste of the feeling marketing campaign established in 2016. Ultimately with the growing technology, the company has shifted its marketing strategy more on online platforms through its social media accounts that make it easier to connect with fans and customers. For instance, there are many promotional youtube videos concerning its products (Jackson & Ahuja, 2016, pp12).
Additionally, the company also has an effective corporate social responsibility system and sustained development with the supply chain and manufacturing network. Additionally, the company has also made a good move by investing in socially beneficial programs that are important in establishing and strengthening its image globally. Therefore, the company needs to futhark expand and handsomely fund the given projects for an even better outcome.
People
Cocoa cola company also exits as a significant employer in the world that significantly focuses on effective and strategic human resources management. Additionally, the given management is often effective when it comes to finding both career growth and satisfaction. Back in the year 2019, the company managed to employ a significant number of workers growing the number of employees to eighty-six thousand and two hundred with ten thousand and one hundred working for working in the united states of America (Rey-López & Gonzalez, 2019, pp 816). A point to note is that workers are often the building block for competition in these changing times. The company also treats it, employees with a lot of respect and love to ensure that they effectively work towards achieving the company’s goals. However, the company should work more on employee empowerment and job maximization. Additionally, the company should establish a more satisfactory system of rewards and recognition for its employees to make good recommendations.
Physical evidence and processes
In conclusion, the coca-cola company’s physical operations are primarily distributed across the globe. Consequently, to being distributed globally, the company’s physical infrastructure consists of regional offices, headquarters, and concentrate manufacturing operations all over the world. According to Steenkamp (2017, pp76), there are also other numerous pieces of evidence related to coca-cola company such as the promotional materials, products among other merchandise that too amount to physical evidence. Additionally, the company logo is also visible and recognized form any given point ranging from small indoor to larger outdoor bottles. Consequently, to the physical evidence, the processes involve Coca-Cola’s more than two hundred and twenty-five bottling partners who support international operations in conjunction with a well-developed distribution network. Ultimately, the company also sells concentrates and syrups to the bottling partner who alters sell the fully complete products on different platforms. Appoint to note is that this is the general ay in which the company manages to generate revenues. Additionally, the final products are often including the company’s-controlled bottling, sales, and own distribution operations. However, concerning the process, the company should make efforts to set up its bottling platforms in the associated countries across the globe to maximize the distributions and sales.
Reference List
Abbasi, H., 2017. Marketing Strategies of Coke: An Overview. Kaav International Journal of Economics, Commerce & Business Management, 4, pp.194-199.
Arab, N., 2018. Relationship between dimensions of Brand Equity and 4Ps of Marketing Mix-Place, Product, Promotion, & Price: Coca Cola-Consumer Based Qualitative Survey.
Baah, S., and Bohaker, L., 2015. The Coca-Cola Company. Culture, 16, p.17.
Jackson, G., and Ahuja, V., 2016. Dawn of the digital age and the evolution of the marketing mix. Journal of Direct, Data, and Digital Marketing Practice, 17(3), pp.170-186.
Menaria, P.S., 2015. Analyzing the brand loyalty of soft drink companies in the U.K.: A case study of Coca-Cola, U.K. (Doctoral dissertation, Dublin Business School).
Padhy, N., and Vishnoi, P., 2015. Green Marketing Mix and Sustainable Development. Clear International Journal of Research in Commerce & Management, 6(7).
Rey-López, J.P., and Gonzalez, C.A., 2019. Research partnerships between Coca-Cola and health organizations in Spain. European journal of public health, 29(5), pp.810-815.
Serôdio, P.M., McKee, M., and Stuckler, D., 2018. Coca-Cola–a model of transparency in research partnerships? A network analysis of Coca-Cola’s research funding (2008–2016). Public health nutrition, 21(9), pp.1594-1607.
Steenkamp, J.B., 2017. Global marketing mix decisions: global integration, not standardization. In Global Brand Strategy (pp. 75-109). Palgrave Macmillan, London.
Wu, Y.L., and Li, E.Y., 2018. The marketing mix, customer value, and customer loyalty in social commerce. Internet Research.