Coke & Pepsi staying ahead of the curve
I thought it would be interesting to talk about an article on health drinks and how Coke& Pepsi and other companies are introducing new drink products "promising weight loss, cell-damage-reducing antioxidants and natural energy." Since consumers are becoming more and more health conscious, brands such as Coke& Pepsi cant just stick to diet drinks that are made with fake sugar, high carbs, and corn syrup. People are becoming more aware of the toxic ingredients in food and drinks that go into their bodies. So if Coke& Pepsi don't want to lag behind, they have to find.
People are now more concerned about organic food and staying away from certain ingredients in products (such as corn starch and corn syrup). So do you think the Coke and Pepsi brand value is slowly diminishing because of the new health trends in todays culture??
Article- Everything Old is New: Health Drinks Flood Market
-Shauny Lamba
posted by Brand007 @ 7:46 AM
2 Comments:
I do not think they are only focusing on selling drinks. They are both in the entertainment business to emphasize their entertaining coke images. In other words, I think they will lose their brand value when they start to produce healthy and organic products-there are no fun in healthy and organic.
I don’t think Coke’s and Pepsi’s brand value is diminishing because they are both strong Masterbrands, social and cultural icons of our society worldwide. But what I do think is these changes in trends and perceptions are affecting their sales, and that’s why they need to be able to adapt to consumer’s preferences, launching healthier subbrands to capture the part of the market highly concerned about this.
For example, the case of Aquarius in Spain. Aquarius is a mineral sport drink, launched by Coke and present in many European and Asian countries. Actually, it surprised me the fact you don’t have it in the US... because in Spain it has been a complete revolution. Its main competitor is Gatorade.
Since it was designed to help your body rehydrate and recover the minerals lost during exercise and intense activities, (obviously targeting sportive people) it is perceived as a more natural and healthier drink than soft drinks. In the last six years, with the concern about healthy lifestyle you mention, sales increased exponentially, without a single commercial campaign!!!!! After that, they launched a campaign whose tagline claimed “People do whatever they want”, and showed people of all ages drinking Aquarius at schools, office, home, cafeterias,...everywhere!
And actually it is this way. Aquarius is seriously cannibalizing regular Coke’s sales. What Coke is doing to prevent the loss of equity is carefully linking the brand Coke to all Aquarius campaigns. And last summer, “Aquarius Version3” was launched; Coke-flavored Aquarius.
-Lorena Roque
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