Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Marketing implications of introducing new coke

08/10/2021 Client: muhammad11 Deadline: 2 Day

New Coke Case Study

Let’s assume that among the marketing strategy solutions for Coca-Cola in 1985 was the strong consideration of introducing a new cola product (in some form) in the marketplace. As we know, Coca-Cola did in fact reformulate their flagship Coke product and relaunch it in 1985 – but was that the right decision? Now it’s your turn to determine what would be the best product mix for the Coke brand, given the competitive marketing environment in the soft drink market of 1985.

Recap: Why Coca-Cola Introduced New Coke in 1985

Coke was being outsold by Pepsi in segments where consumers had a choice of the brands, such as supermarkets,
Overall Coke’s market share was steadily declining (down from 24.3% in 1980 to 21.7% in 1984) ,
Coke had increased their advertising and promotional spending from $50m to $200m in recent years. Their $200m promotional budget was 1/3 more than Pepsi’s spend of $150m), but failing to stop Pepsi’s gains in market share,
Coke was having to resort to conducting aggressive sales promotions and discounting in stores (to reduce the impact of the Pepsi Challenge advertising),
Coke’s own market research was indicating that “taste” was the main reason for their erosion of market share,
Pepsi’s “new generation” advertising campaign was designed to position Coke as old and tired and boring,
Pepsi now had Michael Jackson at the height of his career,
Coke’s R&D area has developed a new cola formula that was preferred over both Pepsi and existing Coke in blind taste tests,
Plus the new Coke formula was cheaper to manufacture, which would add up to a $50m pa increase to the bottom line.
The New Coke Strategy

Coca-Cola’s management believed that the introduction of New Coke would completely destroy Pepsi’s competitive strategy. In fact, Pepsi’s own management initially believed that this was a masterstroke by Coke.

Firstly, the New Coke product was to be positioned as new, exciting, modern and young; directly confronting the “Pepsi Generation” campaign and stealing Pepsi’s market positioning.

Secondly, the New Coke product tasted better which would stop the Pepsi Challenge taste-test advertising. In fact, Coke had plans to run their own taste-tests and run their own TV commercials in order to win back lost customers.

Therefore, you can see why Coke’s management was so confident, as they believed that they had boxed Pepsi into a corner and destroyed their competitive strategy, as highlighted in the following perceptual map.

Alternative Product Options to Consider

You need to consider whether if and how Coca-Cola should launch a new product or whether there are better non-product solutions to their competitive battle with Pepsi.

Here are the different approaches to a new product to consider.

A. Develop a NEW product

Launch the new product as a replacement for Coke (as they did first) or
Launch the new product under Coke brand in addition to Coke (as they did later) or
Launch the new product under a new brand name (as a multi-brand strategy) or
Slowly change the Coke formula over time to become New Coke (without consumers noticing) or
Undertake market testing of the new product first (before a full launch)
B. Do NOT develop a new product

Increase promotional activity and spend
Increase in-store promotions and discounting
Increase retailer penetration
Reposition the Coke brand
Attempt to reposition Pepsi
Try something else (your own ideas)
C. Do nothing different

Questions:

From the above list, what would be the best option for Coke to pursue in 1985?
If you decided to introduce some form of new product, how would you position the new product relative to both Pepsi and any remaining Coke products?
If you decided to reposition the Coke brand outline your positioning goals. If you decided NOT to modify the product mix, outline why this approach would be successful given that Coke has already implemented many of these marketing tactics.
Outline why your proposed competitive strategy will be successful in this aggressive period of the Cola Wars.
In what ways, do you think, that Pepsi may respond to your proposed strategy?
attachment
NewCokeCase.docx

CASE LINK: https://www.youtube.com/watch?v=jL_oKq4ddCs

Let’s assume that among the marketing strategy solutions for Coca-Cola in 1985 was the strong consideration of introducing a new cola product (in some form) in the marketplace. As we know, Coca-Cola did in fact reformulate their flagship Coke product and relaunch it in 1985 – but was that the right decision? Now it’s your turn to determine what would be the best product mix for the Coke brand, given the competitive marketing environment in the soft drink market of 1985.

Recap: Why Coca-Cola Introduced New Coke in 1985

· Coke was being outsold by Pepsi in segments where consumers had a choice of the brands, such as supermarkets,

· Overall Coke’s market share was steadily declining (down from 24.3% in 1980 to 21.7% in 1984) ,

· Coke had increased their advertising and promotional spending from $50m to $200m in recent years. Their $200m promotional budget was 1/3 more than Pepsi’s spend of $150m), but failing to stop Pepsi’s gains in market share,

· Coke was having to resort to conducting aggressive sales promotions and discounting in stores (to reduce the impact of the Pepsi Challenge advertising),

· Coke’s own market research was indicating that “taste” was the main reason for their erosion of market share,

· Pepsi’s “new generation” advertising campaign was designed to position Coke as old and tired and boring,

· Pepsi now had Michael Jackson at the height of his career,

· Coke’s R&D area has developed a new cola formula that was preferred over both Pepsi and existing Coke in blind taste tests,

· Plus the new Coke formula was cheaper to manufacture, which would add up to a $50m pa increase to the bottom line.

The New Coke Strategy

Coca-Cola’s management believed that the introduction of New Coke would completely destroy Pepsi’s competitive strategy. In fact, Pepsi’s own management initially believed that this was a masterstroke by Coke.

Firstly, the New Coke product was to be positioned as new, exciting, modern and young; directly confronting the “Pepsi Generation” campaign and stealing Pepsi’s market positioning.

Secondly, the New Coke product tasted better which would stop the Pepsi Challenge taste-test advertising. In fact, Coke had plans to run their own taste-tests and run their own TV commercials in order to win back lost customers.

Therefore, you can see why Coke’s management was so confident, as they believed that they had boxed Pepsi into a corner and destroyed their competitive strategy, as highlighted in the following perceptual map.

Alternative Product Options to Consider

You need to consider whether if and how Coca-Cola should launch a new product or whether there are better non-product solutions to their competitive battle with Pepsi.

Here are the different approaches to a new product to consider.

A. Develop a NEW product

1. Launch the new product as a replacement for Coke (as they did first) or

2. Launch the new product under Coke brand in addition to Coke (as they did later) or

3. Launch the new product under a new brand name (as a multi-brand strategy) or

4. Slowly change the Coke formula over time to become New Coke (without consumers noticing) or

5. Undertake market testing of the new product first (before a full launch)

B. Do NOT develop a new product

1. Increase promotional activity and spend

2. Increase in-store promotions and discounting

3. Increase retailer penetration

4. Reposition the Coke brand

5. Attempt to reposition Pepsi

6. Try something else (your own ideas)

C. Do nothing different

Questions:

1. From the above list, what would be the best option for Coke to pursue in 1985?

2. If you decided to introduce some form of new product, how would you position the new product relative to both Pepsi and any remaining Coke products?

3. If you decided to reposition the Coke brand outline your positioning goals. If you decided NOT to modify the product mix, outline why this approach would be successful given that Coke has already implemented many of these marketing tactics.

4. Outline why your proposed competitive strategy will be successful in this aggressive period of the Cola Wars.

5. In what ways, do you think, that Pepsi may respond to your proposed strategy?

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Assignment Hub
Instant Homework Helper
Helping Engineer
Buy Coursework Help
Quality Assignments
WRITING LAND
Writer Writer Name Offer Chat
Assignment Hub

ONLINE

Assignment Hub

You can award me any time as I am ready to start your project curiously. Waiting for your positive response. Thank you!

$49 Chat With Writer
Instant Homework Helper

ONLINE

Instant Homework Helper

I have read your project details. I can do this within your deadline.

$25 Chat With Writer
Helping Engineer

ONLINE

Helping Engineer

Give me a chance, i will do this with my best efforts

$39 Chat With Writer
Buy Coursework Help

ONLINE

Buy Coursework Help

I have read and understood all your initial requirements, and I am very professional in this task.

$36 Chat With Writer
Quality Assignments

ONLINE

Quality Assignments

I have read your project details. I can do this within your deadline.

$31 Chat With Writer
WRITING LAND

ONLINE

WRITING LAND

You can award me any time as I am ready to start your project curiously. Waiting for your positive response. Thank you!

$29 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

Principles of comparative politics 3rd edition chapter summaries - Sociological theory in the classical era 3rd edition pdf - Neta tap timer instructions - Consonant clusters in english - What is the complement of 60 degrees - Best feed for foundered horse - Jindal family members - Educ 200 quiz 1 - Marketing and distribution channel letter - Institute of internal auditors uk - Ingrian hsm - The ice hockey injury by phil stephens answers - What is mondelez international's corporate strategy - How do informational reports and analytical reports differ - Pci dss compliance project plan - Learning Strategies for Success - Minding the body satterfield - The anatomy coloring book 4th edition answer key - Priority nursing diagnosis for hypoparathyroidism - Christianity Presentation - Ridente la calma accompaniment - 148 townson ave palm beach - Chromogen free hot water system - Bead and button magazine website - 10419 packard dr fishers in 46037 - Trey monson starts a merchandising business on december - Can sohcahtoa be used on non right triangles - Aged care police clearance - Red comparative and superlative - Plan symbols and abbreviations - North walsham town council - A wagner matinee symbols - English - Identifying unknown solutions lab report - JSON object with five elements - 3000 words needs to get A in 25 hrs - Easydriving test citizenship test - Three fears juliet has about taking the potion - Hospitality & Tourism - Db n420 - Inventory coordinator cover letter - Suppose we are analyzing the market for hot chocolate - Laurence shames the more factor - Jaycar wireless fridge thermometer - Devon referral support services - What makes the world go round speech ideas - Aristotle poetics chapter 6 summary - Pres a ply labels 30400 template - Ranchera valseada - Yours truly yours sincerely - Berganza last name origin - Ethics essay - GLOB (U4_RPLx2) - Year 1 - bridging coursework - Turtles at mon repos - Pka of indicators list - Discussion - Assignment cover page format - Australian statistical geography standard - Unikl bmi electrical engineering - Approaches to psychology practice worksheet answers - Course Assignment 2 - International business charles hill 11th edition pdf - Why is training a critical strategic issue for organizations - Aseptic technique nsw health - Value-expressive function of attitudes - Stem Cell. - Pros and cons of pecans - Parable of sadhu case analysis - DISCUSSION - Chapter 1 outline for Ethical Hacking Research Topic - Doing a competitive strength assessment entails - Sophe code of ethics - Literacynet org multiple intelligence test - The positive model of planned change - Two Assignments due tomorrow (Wednesday) before 11:59 pm mountain time - Manor vets edgbaston birmingham - The middle passage documentary by steven spielberg - Psychological assessment powerpoint slides - Discussion post - Skill Builder #5 - How to open cadence in linux - Queen mary's hospital putney - The passing of grandison theme - Hormone harmony happy mammoth - Raa aircraft for sale - The great white hope summary - Sample thesis statement informative speech - Computer science ethical hacking - M3_Microeconomics Assignment - Discussions - Diagram of metallic bonding - Annotated Bibliography - A first look at communication theory 9th edition chapter summaries - Spartan mc limited edition - Paleogenomics, Neanderthals, and Denisovans - Pros and cons of orem's theory - Educare past exam papers - Internal conflict in the story of an hour - 3.1 basic concepts of probability and counting