Coca cola and their internation marketing strategies

coca plant plant skunk and their internation marketing strategies coca-Cola is one of the world leading and largest familiarity in the sector of bever shape ups. It was established in 1886 by Dr. John Pemberton who was a pharmacist of Atlanta, Georgia USA. The brand has since become household drink in more than 200 countries across the world. Carbonate drinks argon the single largest component in coca-Cola Compevery which account for more or less 78% of the total volume sold in 2008. The company has more than 3000 crossings of beverages and has nearly 500 brands in its portfolio includes coca-Cola or dieting Coke family, Coca-cola enterprise (CCE). Likewise, wide range of carbonates including Fanta, Lilt, PowerAde and sprite (Coca -Cola, 2008) family profileThe Coca-Cola alliance logo.svgTypePublic (NYSEKO)Dow Jones Industrial Average ComponentIndustrydrinkingFounded1892(1892)HeadquartersAtlanta, Georgia, United StatesArea servedWorldwideKey peopleMuhtar Kent (Chairman and C EO)ProductsCoca-ColaCarbonated Soft DrinksWaterOther Non-alcoholic beveragesRevenue profitUS$35.119 billionOperating incomeincreaseUS$8.449 billion network incomeincreaseUS$11.809 billionTotal assetsincreaseUS$72.921 billionTotal equityincreaseUS$31.317 billionEmployees139,600(Source Coca-Cola Company profile 2010)Coca cola in UKCoca-Cola first introduced in UK in 1900 when Charles Candler, news of The Coca-Cola Company founder Asa Candler, brought a jug of syrup with him on a visit from the US to UK. It was first sold in the UK on 31 sublime 1900. However, sale didnt go on frequently until the early mid-twenties. (http//www.coca-cola.co.uk ).The market of carbonate in the UK is norm aloney dominated by relatively few companies. These be, in the main, subsidiaries of world-wide corporation such as the Coca Cola Company and Pepsi CO. Mainly, the study brand of Coca -Cola Company is coke or simply Coca-Cola. Other major brands of Coca-Cola UK portfolio contains Diet Coca-Cola, Cherry Coca-Cola, Fanta , Lilt, Sprite, Dr peppercorn and Schweppes. Dr Pepper has been on sale in the United Kingdom since 1982, is account to more famous among the unripe and teenagers peoples in the UK.The trading operations of the Company in the UK ar categorized among CCE and Coca-Cola Great Britain (CCGB), where CCE is the manufacturer and distri moreoveror, likewise CCGB belongs to the brands which slang more responsibility in the line of merchandise of marketing (http//www.coca-cola.co.uk ).Coca cola in NepalAt first Coca-Cola was introduced in Nepal in 1973, which was imported from its neighbour country India. Local production of Coca-cola in Nepal was started in 1979, with the establishment of Bottlers Nepal Limited (BNL). Coca-Cola Sabco was provided the adept of bottling from the Coca-Cola Company to Nepal in 2004.BNL has two main distribution channels in Nepal, which are situated in the capital city capital of Nepal and Bharatpur municipality. The Marketing, Sale s and dissemination strategy for BNL is mentioned as Refresh the Market limit and contain a robust Consumer Response System to deal with the concerns, ideas and suggestions of the consumers.BNL is also dedicated to support the community with with(predicate) contrasting programmes, mainly in the sector of health. In relationship with the local community, BNL also support by providing a Free Health Check-up Clinic at Bharatpur municipality (www.cocacolasabco.com).Company StrategyThe Coca-Cola brand has been implemented the orbicular marketing strategy. They are taking into account the whole world into the single market bulge and uniform marketing strategy was introduced by Coca-cola for many years, at present the trend is changing and various marketing campaigns are being prepared for the development of the Company in diametrical regions of the world. Basically, ratiocinations related to the Business are made on a domestic basis to fit in with the culture and needs of the dome stic community. In 1919 Coca-Cola decided to expand its business in the global community. The Coca-Cola Company decided to take its operations around national boundaries and the look of its marketing was started in USA, china and other many countries of the global world. Due to the successful and efficient marketing research of Coca-cola, it was able to expand its business globally in different maneuvers of the global world (Source www.thecoca-colacompany.com)AdvertisementIf we consider on advertising perspective of Coca-Cola Company, advertising has more successful power to increase nodes demand worldwide. Basically, advertising has to be in line with the domestic culture. An adapted marketing mix defines adjusting the mix with the established culture, geographic, cost-effective and other differences in different nations of the globe.Coca-Cola Advertisements in NepalRadio Nepal. (Because it is accessible in around of the area in Nepal.Wall advertisement in rural area.Promotion al activities such as sponsoring in a class football clubs of Nepal and organising world-wide Cricket Tournament.Regional F.M. Station tar progress toing young people in urban area of Nepal.(Source www.cocacola.com.np).Advertisement of Coca Cola in Rural Area of Nepal.Coca Cola Advertisement in Rural Area of Nepal, Wikimedia Commons reckon 1.1Source www.commons.wikimedia.orgAdvertising StrategyCoca-Cola accomplished that the communication media used in cities and urban areas would not work in villages because of low penetration of conventional media.The company ensured that all its rural marketing initiatives were well-supported by mouth to mouth earthly concernity.Coca-Cola Advertise in UKCoca cola follow integrated marketing communication theory in developed and advance country. In UK TV advert carries a cross logo, images and message, then all newspaper adverts and point-of-sale materials should carry the same logo, images or message, or one that fits the same theme. Coca-Col a uses its familiar red and white logos and retains themes of togetherness and manipulation throughout its marketing communications.Don caster R everywheres Coca Cola Advert Piccadilly Circus Londonhttp//farm3.static.flickr.com/2046/2498475157_81d809fede.jpghttp//t2.gstatic.com/images?q=tbnANd9GcRnypilTFEvNz8lmRIDNxCtmxwqa8WXszPAZwr0mIw5bx7BE5uFmAhttp//t2.gstatic.com/images?q=tbnANd9GcRnypilTFEvNz8lmRIDNxCtmxwqa8WXszPAZwr0mIw5bx7BE5uFmAhttp//t2.gstatic.com/images?q=tbnANd9GcRnypilTFEvNz8lmRIDNxCtmxwqa8WXszPAZwr0mIw5bx7BE5uFmAhttp//t2.gstatic.com/images?q=tbnANd9GcRnypilTFEvNz8lmRIDNxCtmxwqa8WXszPAZwr0mIw5bx7BE5uFmAFigure 1.2 (Source www.flickr.com)This govern is the most universal and historical place in the London. More than 100,000 people visit it each day. Marketing affects perception of customer. This type of advertisements has direct effect on customer perception from multinational and multicultural tourist in UK. They have different advertisement and different type of pro duct in the base on different demographic and behaviours people. When we compare the coca cola and other carbonate soft drinks advertisements in this time we can get totally different between each other. Coca cola tho highlight its name quite an than other things, the product promote itself. Coca- Cola brand image and its perception between the competitors helps to mouth publicity all over the world.Marketing Communication theory and Coca-ColaMarketing communication is the systematise relationship between business and its potential market where the marketer assembles a wide and different variety of ideas, massage, designs, forms, media shape and colours both to communicate idea to and to stimulate a particular perception of Coca-Cola Company by individual people who have been aggregated in to their target market Coca-Cola use the number of Marketing communication tools for assemble such as personal selling, sale promotion , public relationship and advertisement.(Source Smith, Berr yet al, 1997)Communication strategy and business process in rural area in NepalCoca Cola lunched simple wall Advertisement in Rural Area of Nepal. This has one of the simple communications strategies of Bottlers Nepal Limited. People who live in the rural area t havent any equipment of media such as TV, FM, net profit and good facilities of transport. Coca cola provides coke freeze to their consumer for selling their admit product and they have strongly motivated to sell only their product.The model of fair communications shows a correspondent sending a message to the receiver who receives and understands that message. Actually, real life is not simpler many messages may very difficult to get sense, fail to arrive or, are simply ignored. By understanding the needs of audience, as well as emotions, interests and activities it is vital to ensure the truthfulness and relevance of any kinds of message.Marketing SystemInputProcessingOutputFeedbackFigure 1.3 Marketing communicates pro cess in rural place of Nepal.Market Segmentation in Nepal In the past the market of Nepal was generally practiced the approach of mass marketing with variety of product. Due to the changes in socio-economic field and developments in transport and communication field Nepalese marketers are conscious in market segmentation. Such type of realization has reinforced by the marketing strategies of global Companies such as Coca Cola.The points which are given below describe the practices of market segmentation in the context of Nepal.1. Non- overbearing generally, segmentation of marketing is not based on the research of systematic market. Previous experiences, counselling feeling and strategy of competitors have inclined marketing segmentation.2. Variables for Segmentation Different types of variables mainly applicable for consumer market segmentation are as follows.GeographicDemographicPsychographicBehavioural3. Lack of Information Generally, Nepalese marketers require complete informa tion approximately the characteristics of consumers. They lean to regard research of marketing as a wasteful cost. This has embarrassed the effective rating of marketing segmentation in terms of their attractiveness and suitability. Risks are not research properly.4 government activity Policy Policy of government in Nepal is not very supportive for marketing. They do not observe businessman as collaborators for development. Limitations for movement of goods and controls have reject the segmentation of market.5 Lack of Ethical Considerations considerations on environmental and welfare are generally disregarded for market segmentation in the context of Nepal.Points which are mention above clearly indicate that the concept of market segmentation is at a preliminary stage in Nepal. The importance of market segmentation is expected to enlarge in the coming years.Target market of Coca-Cola in NepalCoca-cola targets the 15-40 age groups and is consumed by both men and women. It is real ly famous in young generation in Nepal and enormous chance of showing off your coolness attitude towards the opposite sex. It is also famous and widely used in restaurant, parties and kindly occasions.Market deal out and sub product of Coca-Cola in NepalAccording to the Bottlers Nepal, it is planning to make the investment nearly $10m in the next three years to increase its operations of bottling and commence a brand of mineral water for the market. The bottler of Coca-Cola product in Nepal leave alone use the resources to modernise its bottling plants in the capital city Kathmandu and Bharatpur municipality.Coca-Cola Sabco, one of the bottling partners of Coca-Cola Company, has invested nearly $45m in the last five years, and produces more than one million bottles of carbonated soft drinks every year. According to global marketing research firm ACNielsen Coca-Cola has a 67.8% market share in the field of carbonated soft drinks business of Nepal.Market segmentation in UKBeverages items of the coca-cola Companies are generally for all customers. Generally, there are some products, which are targeted to the specific customers. For example, diet coke and soft drinks are targeted to the customers who are older in age, normally between the age of 25 and 39. PowerAde sports water aim those who are fit, healthy and do sport. Winnie the Pooh sipper cap Juice Drink aim to those children whose age is between 5 to12. positionPositioning is the method of generating the image the product holds in the mind of customers, relating to competing products. Coca cola and Pepsi cola both of them make soft drinks, Pepsi cola may try to repugn but they will still be seen as down market from coke.Coke has been situated on the process of positioning by direct evaluation and has located their products to promote their target markets. Most of the people produce an image of a product by comparing it to another product, thus evident through the famous battles between Coca-cola and Pep si cola items.Product life wheelWhile concerning to each and every product or service ever positioned before the consumer i.e. in the long term basis all the existing products and services are quiet. So most of the product may bear, grows, matures and dies. So in the business-related market place products and services are produced, started and introverted in a process which is known as Product Life Cycle.To be able to market its product perfectly, a company should be conscious with the product life cycle of its product. Normally, the standard product life cycle should have five steps which are development, introduction, growth, maturity date and decline. In the cuticle of Coca-Cola presently it is in the stage of maturity, mainly it is supported by the fact that they have a large number of loyal groups of repair customers.Coca-Cola presently in the maturity stage in UK but it has still growth stage in Nepal.CDocuments and SettingspoudelnDesktopimages3.jpgFigure 1.4 Product life c ycleFinancial Market share of Coca -Cola Company in UKCoca-Cola Company has calculated strong second-quarter profits. In 2010 total profits was $2.37 billion up 16 pct from a year ago and closely above forecasts of $2.3billions. The share price of beverage maker was reached 2.3 percent in the first fifteen proceeding of New York trading. Total revenues growth up 4.8 percent to $8.67 billion. Between them the best growth markets was Brazil, where as total sales volumes were up 13 percent, and India, up 22 percent since 2009.(Source bbc.co.uk/news/business, 2010 report)Competitors AnalysisCoca-Cola Enterprise is known as the subsidiaries of the Coca-Cola Company. In 2008carbonate of UK was esteemed nearly 6billion in which Coca-Cola hold nearly 60 percent value in the sector of retail and on-trade. According to mintel (2008), Britvic soft drink recognized as UK subsidiaries of PepsiCo and is known as the main competitor was 2nd place in the field of market shares of 15 percent retail sales. Flagship products of PepsiCo in soft drinks categories are Pepsi, Pepsi Max, Diet Pepsi, Gatorade and Mountain Dew, and the company of Coca-Cola also owns Tropicana and Dole, the worlds leaders in fruit juice. GlaxoSmithKline PLC, a giant in the sector of healthcare brands, is the 3rd largest carbonate drink and is also on a different level from most drinks companies in UK. Likewise, the company also focused in medicines and oral care, also on other three famous drinks items such as Lucozade, Ribena and Horlicks.Coca-Cola Enterprises had a dollar volume of 1.43billion in 2006. Likewise Britvic PLC recorded total branded revenues of 716.3m, up by 5.7 percent on 2006. John Sicher (2009) stated that Coca-Cola was the number one brand with nearly 42.7 percent in 2008. Similarly, PepsiCo was 2nd, with 30.8 percent therefore these market shares for both of them have quietly decreased from the end year 2007 to 2008. The volume of Coca-Cola was also decrease by 1.0 percent since 200 7, whereas the volume of PepsiCo products was increased by 0.3 percent. Zero coke is also one of the most significant products of KOs new innovations. Such types of beverage items are marketed like as calorie-free version of Coca-Cola model, by omitting the label of diet.(Sourcewww.ivythesis.typepad.com)Top ten Companies of Soft Drinks in 2009 by market share are given below.Coca-Cola ( bottling partners)PepsiCo ( bottling partners).Nestle.Suntory.Dr Pepper Snapple.Red Bull.Danone.Kirin.Asahi Breweries.Ito En.(Source www.financenews.co.uk)Coca-Cola Company has taken its spot as No 1 Company in annual ranking of the 100 Best brand of the global world followed by the different Companies like IBM, Microsoft, Google and GE.The report prepared by the Inter brand which was uses by making combination of analysts projections, company financial documents and its own qualitative and quantitative analysis to arrive at a net present value of the year 2010 approximate that Coca-Cola brand value at about $70.5 billion, up by 2% since 2009,Top 5 Global brands in 2010RankingName of the CompaniesTotal Brand Value ($)1Coca-Cola70.452 millions2IBM64,727 millions3Microsoft60,895 millions4Google43,557 millions5GE42,808 millions(Source The Himalaya Times, 2011)Figure Source 1.5 (Top 5 Global brands in 2010)In most of the countries of the global world the market share of Coca Cola and Pepsi cola might be 50-50, but in the case of Nepal, the structure of the market share would be 31. Then the actors which are attribute for this data of the market share of the Coca Cola Company may not be determined easily. As far as we know, those factors should be the management and the quality it has maintained. (Source www.ktm2day.com).In the case of Nepal quantity of production and distribution of Coca-Cola product was not constant before a couple of years because of the political post of the country. Political parties and the workers went on for a strike all over Nepal in Bottlers Company whic h was directly affected to the distribution and production.On the other hand, In the case of United Kingdom the market of the carbonate is dominated by relatively few companies which are subsidiaries of global corporations such as the Coca Cola Company and Pepsi Co. In fact, Coca-Cola, BSD and own label alone report to make fit over two thirds of the carbonates market volume in the United Kingdom.Market share of Coca cola by areaAreaNORTH AMERICALATIN AMERICAEUROPE MIDDLE EASTASIAAFRICAVolume30%25%22%17%6%RANKING12345Figure 1.6(Source Business plan on coca-cola 2010)Financial objectivesCoca Cola Enterprises announced long term financial objectives on 7th September 2010 are given below.Growth of revenue will be 4% to 6 %Operating income growth of 6% to 8 %Income of per share growth will be in a range of high single-digit.Return on invested capital emendment should be on 20 basis points or more per year.Marketing StrategyMarketing strategy of Coca Cola enables to be the responsible c ompany to gain goodwill of the customers of the global spoken language. When we ask anyone who are living at any part of the global word they know and examine coca- cola or not, they will say yes. Coca- Cola products are determined not only to make great drinks, but also to contribute to those peoples who are living around the global world, through its Commitments in the sector of education, health and safety, wellness, and diversity. Coke strives to be a good national, constantly shaping the decisions of business to improve the quality of life in the neighbourhood in which they do their business.Processes of Communication of coca-cola in UK.The processes of communication in Coca-Cola are given belowMessage conceived decision can help to send message and provide reasons why. Message encoded information for notice and what type of layout should be more reliable and most useful and so forth Communications medium selected in this type of notice. Message decoded language and knowl edge should be used to send out the original message. Message interpreted which deals with significance of notice, different ideas of recipients. Feedback supplied feedback should be supplied to sender, for example opinions, response etc.The diagram given below shows the sample of the process of communication of coca-cola.NNMessage . FeedbackFigure 1.7 Process of marketing Communication (source Schramm 1955)Recommendation an online strategy (for promotion)Form the above study and e-market research I would to like recommendation for coca-cola company, which might be delineate point for success on futureWebsite Design E-marketing is the new and important way to build customer perception over the brand, it is important to develop attracting, informatory and encouraging website page to the customers for any brand. While, the use of internet in Nepal is increasing dramatically, it is good idea for Coca-Cola Company to develop their own web site with different kind of information, id eas, promotion tools, and opportunities etc. It has multiple advantages such as E-commerce is available 24 hours and 7 days a week, which can be used for product information and promotion. It is easy to locate merchandise and easy to change its layout in low cost and time.Face book and yahoo in Nepal is being popular day by day, it might be good idea if the Coca-Cola Company Nepal, add there advertisement in Face book web page. It will really helpful to promote their product in Nepalese market.Salesforce.comThe Sales Cloud and the Service Cloud, our applications for sales and customer service (also known as customer relationship management or CRM.Force.com, our cloud platform for building and running business apps ,Chatter, our enterprise collaboration application.Salesforce.com is the website which helps to manage the customer service database by establishing loving and business networking with its stakeholders.E-couponing and group onAddition Recommendation for Coca-ColaCoca Cola Company should try to give more priority on its infrastructure in the market to facilitate their consumers.As the conclusion of the study conducted by the international firm Nepalese peopleCoca Cola Company should produce coca cola product according to the local demand and different age groups.Marketing team who are devoted for the development of Coca Cola Company should focus to increase the availability of Coke in rural areas.Most of the young generation like to drink coke two regular bottles at same time, so to provide more satisfaction to them Coca Cola Company should introduce disposable bottle of half litre.ConclusionCoca-Cola is one of the words famous and largest company in the world, which was established in 1886 by Dr. John Pemberton, More than 200 countries, near about 3000 products of beverages and has nearly 500 brands in its portfolio, includes Coca-Cola or Diet Coke family, Coca-cola enterprise (CCE). Introduced in UK in 31 August 1900, import from US. However sale d idnt go on frequently until the early 1920s Coca-Cola was introduced in Nepal in 1973, which was imported from India. Local production of Coca-cola in Nepal was started in 1979. They are taking into account the whole world into the single market place and uniform marketing strategy was introduced by Coca-cola for many years. Coca Cola lunched simple wall Advertisement in Rural Area of Nepal, Coke realised that the communication media used in cities and urban areas would not work in villages because of low penetration of conventional media. The company ensured that all its rural marketing initiatives were well-supported by mouth to mouth publicity, Coca-Cola has a 67.8% market share in the field of carbonated soft drinks business of Nepal, Face book , yahoo and other online activities as might be helpful to promote their product in Nepalese marketThe marketing communication system is more complicated in Nepal rather than other developed country like UK. Coca cola and Pepsi cola both of them make soft drinks, Pepsi cola may try to compete but they will still be seen as down market from coke