Diet CokeBrand Extension Analysis
Shahbaz|PGP30379|Section A|[email protected]|+91-9910791305
SOFT DRINKS INDUSTRY
Volume Global
Carbonates, Fruit/vegetable juice, Bottled water, Functional drinks, Concentrates, RTD tea, RTD coffee and Asian speciality drinks.
2011 2012 2013 2014 2015420440460480500520540560
Total Vol. Sold (In Bil-lion Litres)
Vol.
in b
illio
n lit
res
CAGR 7.8%
India Vietnam Cameroon Nigeria Georgia05
101520253035404550
CAG
R Vo
l. 20
11-1
5
Fastest Growing Markets
Source: GMID
SOFT DRINK CATEGORY METRICS: USA
Volume USA
2011201220132014201579
79.580
80.581
81.582
82.583
83.584
Total Vol. Sold (In Bil-lion Litres)
Vol.
in b
illio
n lit
res
CAGR 1.6%
2011 2012 2013 2014 201519.619.8
2020.220.420.620.8
2121.2
Value (Bilion Dollars)
Valu
e. in
bill
ion
dolla
rs
CAGR 2.27%
Value USA
Source: GMID
SOFT DRINK CATEGORY METRICS: USA
23%
20%
9%1%
48%
Manufacturer Revenue Share 2014
Coca ColaPepsiCoNestle SADr PepperOthers
6% 4%4%
4%3%3%
76%
Brand Revenue Share 2014
Coca Cola
Gatorade
Pepsi
Nestle Pure Life
Mountain Dew
Diet Coke
Rest
Source: GMID
The COCA COLA Co.
Total Revenue 2014
46 Billion
2009 2010 2011 2012 2013 20142122232425
Revenue Share in %
Reve
nue
Shar
e in
%
COCA COLA BRANDS
2009 2010 2011 2012 2013 20140246
Diet CokeRevenue Share in %
Reve
nue
Shar
e in
%
Source: Coca Cola Website
Source: GMID
TIMELINE
1886 1892 1912 1915 1919
COCA COLA CREATED
COCA COLA INCORPORATED
Expands into Asia
Iconic Contour Bottle
Launched
Expands to Europe
Source: Coca Cola Website
TIMELINE
1938 1945 1955 1982 2011
125 Year Celebrations
Diet Coke: 1st Brand
Extension
Fanta: 1st new product by Coca Cola
“Coke” Registered as a
trademark
Enters Australia & Africa
Source: Coca Cola Website
PRODUCTAlso known as Coca-Cola light in some markets |
Mainly Can 330 ML SKU
Sugar and calorie-free soft drink|Same taste as Coca Cola
4 Variants of Diet Coke
Legacy of Coca-Cola signified by the pop culture term “Coke” for Coca Cola
Use of the term Diet to emphasize zero calories
Site as a product’s extension: Engages with consumers
www.dietcoke.com|www.coca-colaproductfacts.com
PLACESold in over 150 countries
Intensive Distribution
Manufacture, sells syrups,
concenterates| Marketing
VENDORSTouch base with
the consumer
BOTTLERSManufacture, package and merchandise
CONSUMERSatisfied
http://www.coca-colacompany.com/brands/product-descriptions#diet-coke|http://www.coca-colacompany.com/our-company/the-coca-cola-system
PROMOTIONSMany channels | Heavy media spending
TV/Online Media Print
Guerilla Marketing Campaigns Out-of-Home promotions
PRICINGBrand $ per litre Value Share in
% Vol Share in %
Dr Pepper 1.40 7.40 6.00
Coca-Cola Zero 1.22 2.80 2.60
Fanta 1.20 1.90 1.80
Sprite 1.18 5.30 5.10
Coca-Cola 1.16 14.70 14.40
Mountain Dew 1.15 8.10 8.00
Shasta 1.13 2.50 2.50
Diet Coke 1.12 7.80 7.90
Diet Dr Pepper 1.08 1.90 2.00
Diet Mountain Dew 1.02 2.80 3.10
Diet Pepsi 1.02 4.50 5.00
Pepsi 0.97 9.30 10.90
Source: GMID
Competitive frame of reference
Carbonated Drinks Category
MAJOR COMPETITORS BY VALUE SHARE OF THE USA MARKET
STRENGTHVery High Brand Equity
Wide Distribution NetworkMarketing
WEAKNESSPerception of a feminine drink
Not high on innovationHealth Aspects of cola
consumption on bones etc.
OPPORTUNITIESIncrease in health awareness
among peopleGeographical expansion
Falling Oil prices= smaller distribution cost
THREATSCoke-Zero
Stagnating core market (USA)Increasing zero calorie
carbonated drinks
SWOT ANALYSIS
TARGET CONSUMER20-40 Yr old Health Conscious
Aspirational Impulsive
SEGMENTATIONMulti Segmentation Strategy
POPULATIONADULTS20-40years
HealthConscious+ Impulsive+
Aspirational
Demographic(20-40) + Behavioural (Health Conscious) + Attitude (Impulsive+ Aspirational)
Diet Coke- Economy Class Adhttps://www.youtube.com/watch?v=B8--HRraGck
POP & PODPOP
Carbonated DrinkLow Sugar
Moderate Caffeine
POD*Brand Equity
*Classic Coca Cola Taste(Slogan: Just for the taste of it)
Packaging
Via: www.perceptualmaps.com
Positioning: For aspirational adults, Diet
Coke is the smart solution that helps keep them at the
top of their game.
Communicated via: Commercials