Share A Coke - Portfolios - The University of Kansas

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Share A Coke
Orr and Thongkham
JOUR 304
(Image: “Coca-Cola,” n.d.)
The following research was conducted by Madison Orr and Sookie Thongkham to
analyze the Coca-Cola brand. Orr and Thongkham’s mission was to survey Coca-Cola’s current brand and target market, how it had developed and how it can maintain
its dominating position in the soft drink industry.
All secondary research was found through the use of databases such as IBISWorld,
Market Share Reporter, Gale, Business Insights: Essentials, the Coca-Cola company
website and other online resources. Ethnographic research of six consumers and the
researchers was conducted to gain brand insight.
This creative brief includes the target audience, features and benefits, current and
desired brand images, direct and indirect competitors, ethnographic research, an
advertising goal and a strategic message for Coca-Cola.
Coca-Cola has the top-of-mind consideration, high consumer loyalty, and largest
market share in the soft drink industry. Orr and Thongkham suggest Coca-Cola
works to maintain its current brand image and product stance while taking advantage of new opportunities and target markets in the soft drink industry.
Orr and Thongkham conclude Coca-Cola is designed for teenagers and young adults
ages 13 to 25. The key features include refreshment, caffeine, brand recognition,
convenience and consumer trust. This creative brief explores various topics that
lead to a better understanding of Coca-Cola.
(Image: “Coca-Cola,” n.d.)
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Cover page......................................................................1
Executive Summary.........................................................2
Table of Contents............................................................3
Background Information..................................................4
Target Audience...............................................................5
Features and Benefits......................................................6
Current Brand Image........................................................7
Desired Brand Image........................................................8
Direct Competitors...........................................................9
Indirect Competitors........................................................10
Ethnographic Research Summary.....................................11-12
Advertising Goal...............................................................13
Strategic Message.............................................................14
References........................................................................15-16
Image References..............................................................17
(Image: “Coca-Cola,” n.d.)
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Coca-Cola was found in 1886 as a nonalcoholic substitute of French Wine Coca (“Dr.
John S. Pemberton,” 1996). The first sales were at Jacob’s Pharmacy in Atlanta,
Georgia (“The Chronicle of Coca-Cola,” n.d.). John Pemberton is the inventor of Coca-Cola while the Coca-Cola Company was founded by Asa Candler (“Who Invented
Coca Cola?” n.d.).
The Coca-Cola Company is a soft drink manufacturer and distributor of nonalcoholic
beverage concentrates and syrups (“Coca-Cola Co.,” n.d.). The company sells over
500 beverage brands in over 200 countries and had an operating revenue of $45.9
billion in 2014 (“Coca-Cola Co.,” n.d.).
In 2013, the Coca-Cola Company held 42.4% of market shares for Top Soft Drink
Makers (“Top Soft Drink Makers, 2013,” 2014). The company also held 22.7% of
market shares for Top Soft Drink Makers Worldwide in 2013 (“Top Soft Drink Makers
Worldwide, 2013,” 2014).
In 2014, the Coca-Cola Company was ranked by Interbrand as the world’s third most
valuable brand with a value of $81.6 billion. The company is partnered with over 23
million retail customer outlets. (“Coca-Cola At A Glance,” 2014). Other brands under
the Coca-Cola Company include Sprite, Fanta, Minute Maid, Powerade and Dasani.
(“Coca-Cola Co.,” n.d.).
(Image: “Coca-Cola,” n.d.)
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Considering Coca-Cola’s value of diversity and unity, the company aims to cover all
markets (Morse, 2014, Feb. 7).
Demographics
The demographics are primarily adults ages 18 to 34, male and female (“Non-alcoholic beverages: The Consumer,” 2010, March.). Coca-Cola focuses on middle-class
consumers with a household of 3 or more (“Non-alcoholic beverages: The Consumer,” 2010, March). These consumers include teenagers, young professionals, multicultural consumers and families (“The Private Label Food and Drink Consumer,”
2010, December).
Psychographics
The psychographics include the values of unity, diversity and happiness (Morse,
2014, Feb. 7). Coca-Cola targets consumers with a busy and mobile lifestyle to promote its convenience feature (“Coca-Cola At A Glance,” 2014). At the top-of-mind
awareness, Coca-Cola takes advantage of brand conscious consumers (“The Private
Label Food and Drink Consumer,” 2010, December). Coca-Cola seeks consumers
who are self-expressive and utilize inspiration (“The Coca-Cola Company,” n.d.).
(Image: “Coca-Cola,” n.d.)
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Refreshment
The sensation of Coca-Cola provides an uplifting refreshment
with great taste and complements well with food (“Coca-Cola,” n.d.).
Convenience
Coca-Cola is partnered with over 23 million retail customer
outlets and sells products in over 200 countries (“Coca-Cola
At A Glance,” 2014). Availability offers convenience worldwide.
Top-of-Mind
According to Market Share Reporter, Coca-Cola holds the
number one spot for top soft drink makers in the United
States and worldwide for 2013 (“Top Soft Drink Makers
2013,” and “Top Soft Drink Maker Worldwide 2013,” 2014).
Consumer trust derives from top-of-mind awareness.
Caffeine
Caffeine is a natural stimulant that increases performance
with attentiveness. A 12-ounce can of Coca-Cola contains
34 milligrams of caffeine, less than coffee, which contains 85
milligrams of caffeine (“What Are Benefits of Drinking Coke?”
2011).
Recognition
Coca-Cola was ranked in 2014 by CoreBrand as America’s #1
Most Respected Brand (“Coca-Cola At A Glance,” 2014). Coca-Cola was also ranked by Forbes as the World’s Fourth Most
Valuable Brand and by Interbrand as the world’s third most
valuable brand with a 2014 value of $81.6 billion (“Coca-Cola
At A Glance,” 2014). Top rankings give Coca-Cola credibility as
a trustworthy brand.
(Image: “Coca-Cola,” n.d.)
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The Coca-Cola Company’s mission is to refresh the world, inspire happiness, create
value and make a difference in the world (“The Coca-Cola Company,” n.d.). Coca-Cola released a global campaign in 2009 titled “Open Happiness” to coincide with their
mission (Corporate, 2011, Sept. 28). The company’s vision is to continue achieving
sustainable, quality growth (“The Coca-Cola Company,” n.d.).
Coca-Cola is upfront with its total market by applying multicultural unity (Morse,
2014, Feb. 7). Coca-Cola’s 2014 Super Bowl Commercial of “America the Beautiful”
is an example of how they value not only multicultural aspects but also education,
health and different income-levels (Morse, 2014, Feb. 7). Coca-Cola transcends diversity boundaries (Monllos, 2015, March 27).
Coca-Cola rolled out the “Share a Coke” campaign in 2013 and 2014, providing personalized cans with consumers’ names (Fisher, 2013, Aug. 6). Coca-Cola encouraged
consumers to find names of their friends to share with, spreading brand awareness
(Fisher, 2013, Aug. 6).
Coca-Cola’s end-goal is to inspire happiness while promoting values of unity and
diversity.
(Image: “Coca-Cola,” n.d.)
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Our desired brand image for Coca-Cola is to keep its current brand image and continue expanding to new target markets in the soft drink industry. Coca-Cola is at the
top-of-mind awareness, according to our ethnographic research. Coca-Cola satisfies
physiological, belongingness and self-actualization needs. Coca-Cola fulfills thirst
and promotes unity and happiness. By focusing on the unity and diversity aspect,
Coca-Cola will continue to refresh the world and inspire happiness.
(Image: “Coca-Cola,” n.d.)
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Pepsi is a direct competitor of Coca-Cola because the prices
are comparable and the products are similar. PepsiCo Inc.
is an American company that sells soft drinks, juices, sports
drinks, tea, water, snacks and breakfast cereals. PepsiCo is
ranked second in the world for soft drink makers. (“PepsiCo, Inc. Company Profile,” n.d.).
Dr. Pepper is a direct competitor of Coca-Cola because of
the similarities between the products. Dr. Pepper Snapple
Group Inc. is an American company that bottles and distributes soft drinks, tea, juices, juice drinks and mixers. Dr.
Pepper Snapple Group Inc. is ranked third in North America for soft drink makers. (“Dr. Pepper Snapple Group, Inc.
Company Profile,” n.d.).
Monster energy drinks are a direct competitor of Coca-Cola
because of the caffeine similarities in the products. Monster Beverage Corporation is ranked second in the energy
drink category. Monster Beverage Corporation produces
energy drinks, coffee drinks, fruit juices, smoothies and dry
juice mixes. (“Monster Beverage Corporation,” n.d.).
(Image: “Coca-Cola,” n.d.)
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Gatorade is an indirect competitor of Coca-Cola because its
signature line of sports drinks and nutrition bars offer all
the protein needed daily into one serving. The beverages
are used for energy, hydration and recovery. Gatorade is a
product of PepsiCo. (“Thirst Quencher,” 2015).
Nestlé is an indirect competitor of Coca-Cola because it’s
an alternative to the soft drink. Nestlé is a production
company from Switzerland. Nestlé produces instant coffee,
baby food, bottled water, chocolate, frozen pizza and pet
food. Nestlé is ranked number one in the food and drinks
company in terms of sales. (“Nestlé S.A. Company Profile,”
n.d.).
(Image: “Coca-Cola,” n.d.)
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Findings
First, Orr and Thongkham each had consume a cold can of Coca-Cola, observed each
other and discussed their findings. Testing revealed that the carbonation of the soft
drink contributed to, not only the taste but, the experience of Coca-Cola. The immediate-taste and after-taste being the same was a key feature that was found. If
consumed too fast, it was difficult to swallow the Coca-Cola because of the combination of the carbonation fizz and the cold temperature. However, the fizz from the
carbonation and the cold temperature contributed to the refresh stimulation. (M.
Orr, S. Thongkham, observation, July 24, 2015).
Participants
Ethnographic research included observing and interviewing six participants which
included a mother and her two teenagers, and three young adults ages 18 to 25.
Participants were selected based on the demographic household of three or more
people and young adults in college. Participants were selected also based on the
psychographic lifestyles that were busy and brand conscious. Orr and Thongkham
observed the participants and interviewed them about their consumption. (M. Orr,
S. Thongkham, observation, July 24, 2015).
Product Usage
Participants were given the option to choose the form of which their Coca-Cola was
to be consumed. Participants were observed in the comfort of their own home.
All participants were offered 12 ounces of Coca-Cola. Participants were observed
until each of them completely consumed their 12 ounces of Coca-Cola. (M. Orr, S.
Thongkham, observation, July 24, 2015).
The mother and her two teenagers chose to consume their Coca-Cola in the form of
a two liter bottle with their dinner. Oi Seuady, is a 44-year-old mother of two teenagers, Giovanni Raharja, a 13-year-old son and Geena Raharja, a 16-year-old daughter. After every three bites, the two teenagers took a sip of Coca-Cola. The family
drank Coca-Cola faster than the young adult participants, finishing their 12 ounces in
under 20 minutes. (M. Orr, S. Thongkham, observation, July 24, 2015).
The young adults gathered outside their home and consumed cans of Coca-Cola
without any food. The young adults included Emily Derrick, 18-years-old, Hillary
Woods, 24-years-old and Casey Cole, 21-years-old. Derrick chose Diet Coke while
Woods and Cole chose the regular Coca-Cola. All three participants agree that
Coca-Cola is highly favored by friends. Coca-Cola is the chosen drink to share for
gatherings. The young adults consumed their 12 ounces of Coca-Cola in 40 minutes,
twice as long as the family of participants.(M. Orr, S. Thongkham, observation, July
24, 2015).
(Image: “Coca-Cola,” n.d.)
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Discussion
Observations found that participants preferred Coca-Cola because it was already
available to them. Brand influence brings Coca-Cola to top-of-mind awareness generating brand loyalty. All participants were brand conscious of Coca-Cola. A favorable
taste was a key feature found by all participants.(M. Orr, S. Thongkham, observation,
July 24, 2015).
The two teenagers mentioned that they consumed Coca-Cola because their mother consumed it. The mother inspired the two teenagers’ brand loyalty. The family
of three commented that each taste felt more refreshing. Coca-Cola satisfies the
physiological need of thirst and complements well with food. (M. Orr, S. Thongkham,
observation, July 24, 2015).
The young adults mentioned that they had a preference of Coca-Cola flavors. Derrick likes the diet form because it is healthier, but it still has great flavor and satisfies
her sweet tooth. Derrick mentions Diet Coke is what her mom drinks. Woods does
not usually drink soda, but prefers Coca-Cola for its robust flavors. Cole also chose
Coca-Cola because of its taste. Cole enjoys the carbonation of the Coca-Cola. He
thinks it tastes even better when it is right out of the cooler. Woods and Cole started
drinking Coca-Cola when they came to the University of Kansas. It is the only soft
drink brand on campus, so Woods and Cole had to adjust. They both learned to
really enjoy the flavor of Coca-Cola. The young adults did not drink as fast because
of the socializing atmosphere. Coca-Cola satisfies a sense of belonging with family
or friends and gathers people together in unity (M. Orr, S. Thongkham, observation,
July 24, 2015).
All participants commented that price was not the issue but brand recognition or
preference and taste were. All participants purchased Coca-Cola because they knew
the people they share it with prefer Coca-Cola. (M. Orr, S. Thongkham, observation,
July 24, 2015).
(Image: “Coca-Cola,” n.d.)
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The advertising goal for Coca-Cola changed in 1971 when Bill Backer thought of the
idea for “I’d Like to Buy the World a Coke.” Backer saw how a bottle of Coca-Cola was able to bring people together. The people from Backer’s earlier plane ride
that were irate from being delayed were now able to laugh and share stories while
having a Coca-Cola. Backer saw Coca-Cola as a tiny bit of commonality between all
people. (“The Making of ‘I’d Like to Buy the World a Coke,’” 2012). The advertising
goal of Coca-Cola is to inspire happiness.
(Image: “Coca-Cola,” n.d.)
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Coca-Cola maintains a top-of-mind awareness while providing a clear message
that appeals globally. The company’s mission to refresh the world, inspire happiness, create value and make a difference, is understood worldwide. The mission
inspires consumers to be the brand. (“Coca-Cola At A Glance,” 2014).
(Image: “Coca-Cola,” n.d.)
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