Coca-Cola Company: Case Study: Exclusively Available On Ivypanda

Coca-Cola Company: Case Study
Exclusively available on IvyPanda

Updated: Jul 22nd, 2021
Introduction
Coca-Cola Company is one of the most global successful multinational

corporations headquartered in Atlanta, USA. The corporation has branches in
more than 200 countries, which are doing well both in sales and management.
WE WILL WRITE A CUSTOM CASE STUDY ON COCA-COLA

COMPANY: SPECIFICALLY FOR YOU
FOR ONLY $16.05 $11/PAGE
810 CERTIFIED WRITERS ONLINE

LEARN MORE
This case study focuses on the research about Coca-Cola Company and
analyzes its VALS information, Customer Analysis, Product Market,
Segmentation and Targeting, Competition, and Competitive Market Analysis.
VALS Information
Regarding VALS information, the corporation recently used psychographic

procedures in dividing its market. Based on the available information, the buyers
are classified into various categories using psychological traits, depending on the
person’s lifestyle (SRI-BI 1).
Here, the person’s lifestyle determines his/her purchasing behavior and helps in
determining the consumers’ attitude, aspirations, opinions, hopes, desires,
beliefs, fears, prejudice, needs, fears, and desires (SRI-BI 1). Therefore, the
company uses the information received using VALS to develop brand
personalities and images. As a result, the corporation increases the preference
for its product and boosts the overall sales.
Customer Analysis
Since the company provides a range of energy and soft drinks, its customers are
drawn from all categories of people regardless of age, race, sex, culture, and
other social attributes (Perreault 24). The company has numerous brands
specifically to satisfy the needs and tastes of its worldwide consumers (Lagos,
Schirf and Smith 2). Indeed, the global success of the company products results
from the rise in consumer preferences.
Notably, people from all social classes identify with the range of coca-cola soft
drinks available in the market. Those from high, medium and low-class purchase
coca-cola products because the drinks are of different prices to cater for the
financial position of the customers (Lagos, Schirf and Smith 2). As a result of
innovation, the company has been able to meet the consumer needs and
aspirations
Product Market
The company has a range of products, which guarantee the consumers’ health
needs. The products are of great taste and low fats. Furthermore, it has fruit
juices for adults and children to supplement fruits, which people need for health
and refreshment. Other products include energy drinks, mineral water, sport
drinks, soft drinks, tea and coffee drinks.
GET YOUR 100% ORIGINAL PAPER ON ANY TOPIC DONE

IN AS LITTLE AS 3 HOURS
LEARN MORE
Considering the company products, energy drinks include play and rehab among
others. Juices include fuze, acueducto, andina fresh and others. Mineral water
includes vio, acquamist and others. Soft drinks include Coca cola, Fanta, and
Sprite among others. Tea and Coffee include deeppresso and other products.
Segmentation and Targeting

Segmentation
The criteria that the company uses to classify its customers are measurable,
responsive to marketing mix and reasonable (Perreault 42). Therefore, the
segmentation criteria that the company applies include economic, geographic,
demographic, behavioral and psychographic.
Under economic segmentation, the market is divided based of the level of

income (Perreault 55). Therefore, this classification has people contain people
from high-income, medium-income and low-income categories.
Geographic segmentation acknowledges variables climate, population growth,

region, and population density (Perreault 56). The company invests more on
regions with high population growth and density.
Demographic segmentation relies on human variables including age, ethnicity,

gender, occupation, education, family status and others (Perreault 57). These
variables are different aspects and the company applies then only on areas
deemed essential, in the sense that those factors do not affect the consumer
choices and preference.
Behavioral segmentation enables the company to use variables such as price

sensitivity rate of usage; benefit sought, and brand loyalty (Perreault 58). In this
area, the company uses such attributes to improve on the quality of its products.
Psychographic segmentation helps the company determine the consumers’
lifestyle, attitude toward the product and value he/she attaches to it (Perreault
59). Through this segmentation, the company is able to understand the
customers’ preference and desires thus make informed choices during
distribution.
WE WILL WRITE A CUSTOM CASE STUDY ON COCA-COLA

COMPANY: SPECIFICALLY FOR YOU!
GET YOUR FIRST PAPER WITH 15% OFF
LEARN MORE
Targeting
Through enhancing promotion and advertising, the company targets high and
middle class people because this category consists of people with enough
money to purchase such luxury products (Shimp 37). In addition, the company
has innovated economy packs, costing less so that the consumers from low class
do not miss these luxurious products.
Such innovation has made the products and the company popular among the
public. For instance, coca-cola soft drink is one of the most popular brands that
the company has. Furthermore, its cost is reasonable and pocket friendly for all
the consumers drawn from all classes because the product is packed in relatively
small quantities.
Competition
Since there are other companies manufacturing soft drinks and the non-alcoholic
ones, the Coca-Cola Company operates in a very competitive business
environment.
Some of the innovative approaches to encounter competition include product’s
diversification, price reduction, carrying out targeted advertising and promotions
(Lagos, Schirf and Smith 2). Competition is very healthy since it increases
innovation while improving the quality of the products (Blythe 78).
Coca-Cola Company competes in a number of industries including soft drink,

beverage, juice, non-alcoholic beverage, health & nutrition, energy, sports, coffee
& tea manufacturing.
Owing to the steady increase in demand for the above soft drink, the company
faces stiff competition from the other business players in the industry. Perhaps,
the high demand for the luxury drinks led to emergence of other industries in this
field to bridge the gap (Blythe 102).
Competitive Market Analysis
As a business entity, coca-cola company faces a stiff competition from other

players in the soft drink industry. Notably, competition is imminent and the
company is doing enough to minimize its impacts on the consumers through
advertising and promotion (Shimp 44).
The major competitors threatening the operations of coca-cola company include

American Beverage Corporation located at Verona, Aquaterra Corporation
located at Mississauga, Pepsi, National Beverage Company, and Cott
Corporation among others.
NOT SURE IF YOU CAN WRITE A PAPER ON COCA-COLA COMPANY: BY

YOURSELF? WE CAN HELP YOU
FOR ONLY $16.05 $11/PAGE
LEARN MORE
American Beverage Corporation manufactures and distributes its soft drink and
non-carbonated products to different countries around the globe (Blythe 105).
Majorly, the company dominates the sales of its products in the US, Canada,
United Kingdom, but also in other parts of the world. Moreover, the company
products target users from different groups including age, religion, gender,
cultural background and social class.
Aquaterra Corporation is another key competitor to Coca-Cola Company. It

manufactures various soft drink flavors, which are sold in many countries around
the world (Blythe 106). Many of their customers prefer the products due to the
company’s health considerations.
Coca-cola also faces competition from Pepsi Company that is known for its
famous soft drinks, including Mountain View and Pepsi among other products.
Pepsi Company market and distribute a number of products worldwide, with its
niche market in the US (Lagos, Schirf and Smith 2). In addition, the company is
also increasing its non-carbonated beverage production, due to the rising
consumer preferences for the drinks.
National Beverage Co. is another stiff competitor to the company. It

manufactures, markets, develops, and distributes various beverage products in
the US and other parts of the world (Lagos, Schirf and Smith 2). The company
and others take advantage of the growing world population that needs the soft
drinks. Specifically, the company manufactures distinct brands with a variety of
flavor according to the customer demands.
Some of their brands, which have attracted a number of consumers, include

Faygo and Shasta (Lagos, Schirf and Smith 2). It also has cola drinks, VooDoo
Rain for the young consumers, St. Nick’s Holiday and Ohana fruit-flavored drinks
(Lagos, Schirf and Smith 2).
Since the customers are increasingly becoming health conscious, the company
exploit this by producing premium beverages to achieve this, and maintain its
customers.
Cott Corporation is another competitor producing high quality premium drinks

such as juices, high energy and organic beverages among others. The company
sells its products in the US, Canada, United Kingdom, and other parts of the
world (Lagos, Schirf and Smith 2). In addition, the company products target
consumers from different categories including age, religion, gender, cultural
background and social class.
Conclusion
In general, Coca-Cola Company remains the dominant business entity that

provides refreshing soft drinks. Though it has a lot of competitors in the field of
soft drinks, fruit-flavored drinks and other non-carbonated drinks, it uses
innovative techniques such as economy packs, intensified marketing and
informed marketing segmentation to remain competitive.
Since the products are luxury drinks, their users are drawn majorly from the high
and middle classes. This means, competition is very high and the best company
can only survive in this market through innovation and diversification, being
affordable and manufacturing products, which guarantees the consumer of
healthy life. Indeed, Coca-Cola Company has succeeded in its diversification
strategies and in the quality of is products.
Works Cited
Blythe, Jim. Essentials of Marketing Communications, (3rd Ed.). New York:

FT/Prentice Hall, 2006. Print.
Lagos, Theresa. Schirf, Lisa and Smith, Vicente 2001, Analysis of the Coca-Cola
Company. PDF file. Web.
Perreault, William. Basic Marketing: A Marketing Strategy Planning Approach,
(17th Ed.). New York, NY: McGraw-Hill Publishers, 2009. Print.
Shimp, Terence. Advertising, Promotion, and Other Aspects of Integrated

Marketing Communications. (7th Ed.). Mason, Ohio: Thomson South-Western,
2007. Print.
SRI-BI, 2006, The VALS Segments. PDF file. Web.

Coca-Cola Company: Case Study: Exclusively Available On Ivypanda

Uploaded by

Copyright:

Available Formats

Coca-Cola Company: Case Study: Exclusively Available On Ivypanda

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Coca-Cola Company: Case Study: Exclusively Available On Ivypanda

Uploaded by

Copyright:

Available Formats

Coca-Cola Company: Case Study

Exclusively available on IvyPanda

Coca-Cola Company is one of the most global successful multinational

WE WILL WRITE A CUSTOM CASE STUDY ON COCA-COLA

810 CERTIFIED WRITERS ONLINE

Regarding VALS information, the corporation recently used psychographic

GET YOUR 100% ORIGINAL PAPER ON ANY TOPIC DONE

Segmentation and Targeting

Under economic segmentation, the market is divided based of the level of

Geographic segmentation acknowledges variables climate, population growth,

Demographic segmentation relies on human variables including age, ethnicity,

Behavioral segmentation enables the company to use variables such as price

WE WILL WRITE A CUSTOM CASE STUDY ON COCA-COLA

Coca-Cola Company competes in a number of industries including soft drink,

Competitive Market Analysis

As a business entity, coca-cola company faces a stiff competition from other

The major competitors threatening the operations of coca-cola company include

NOT SURE IF YOU CAN WRITE A PAPER ON COCA-COLA COMPANY: BY

Aquaterra Corporation is another key competitor to Coca-Cola Company. It

National Beverage Co. is another stiff competitor to the company. It

Some of their brands, which have attracted a number of consumers, include

Cott Corporation is another competitor producing high quality premium drinks

In general, Coca-Cola Company remains the dominant business entity that

Blythe, Jim. Essentials of Marketing Communications, (3rd Ed.). New York:

Shimp, Terence. Advertising, Promotion, and Other Aspects of Integrated

SRI-BI, 2006, The VALS Segments. PDF file. Web.

You might also like