Sample Marketing Paper on The Coca-Cola Company

The Coca-Cola Company

Coca-Cola is a household name in the beverage industry, and its success is owed to the efforts channeled towards marketing and promotion.  Incorporated in 1899, the company’s marketing strategy has largely contributed to the ever increasing revenues and profits. Today, the brand has penetrated the global market, and it is a major threat to myriads of established and new companies in the industry. Its target segmentation is based on age groups, sexes, ethnic groups, and lifestyles. Unlike other brands, Coca-Cola does not target a specific segment but is influenced by the development of new products. First, one of the primary targets of the company is youths of 12-30 years, an age group that covers approximately 40 percent of the company’s total consumers (Lopez 3). Regarding sexes, the company targets both males and females, and this is according to numerous reports indicating that both male and female individuals use and give preference to the brand. Basing on lifestyle, the brand has no specific target although the mobile generation and busy lifestyles form an integral part of its consumers (Lopez 3).

The success that Coca-Cola enjoys today can also be attributed to the various value propositions in place. For instance, to enhance the sale of products in its lifestyle segment, the company has come up with the proposition “The Coke Side of Life” which is a representation of happiness when a consumer opens a bottle of coke. Several consumers, particularly those in the lifestyle and age segment attribute their attraction to the brand to the company’s value proposition. Coca-Cola’s use of the 4Ps marketing mix cannot be ignored. It sells several beverage products including energy drinks, juice drinks, soft drinks, sports drinks, teas, and coffee, as well as bottled water. The brand’s pricing also makes its products affordable to customers, and this has given it a competitive advantage over its competitors (Powell 69). For instance, a one-liter bottle of the Coke brand goes for approximately $1 worldwide.  The company leverages on various promotional strategies such as advertisement, direct marketing, interacting marketing, sales promotion, personal selling, publicity and public relations, and public social responsibility. Regarding place, Coca-Cola Company has numerous distribution channels that include physical stores such as retail shops and supermarkets, as well as virtual stores that are available on the Internet, and are easily accessible to consumers. Arguably, the brand’s virtual stores include e-malls and e-markets.

The Company faces stiff competition from companies such as Pepsi, Dr. Pepper Snapple Group, Cott Corp, and National Beverage Corp (Mooney 112). Moreover, its global operations are affected by macro-environmental factors such as economic, political, and technological factors. First, the political instability of various countries makes it hard for the company to proceed with its operations (Fernando 38). Second, economic factors such as fluctuation in the prices of products, inflation rates, monetary policies, and exchange rates have to a large extent jeopardized the operations of the company. Moreover, technological factors such as the inception of the Internet have helped market the company’s brands, and this has enhanced its profitability making it one of the largest global companies (Fernando 38).

The Coca-Cola Company has enhanced its customer relations in the recent years, and the achievement of this objective is owed to the establishment of numerous platforms on social media networks such as Facebook, Twitter, and LinkedIn. Through social media platforms, the company receives feedback and opinions of its customers, and this has enabled it to understand its customers better. To differentiate itself from stiff competition, the company has come up with a mission and vision that distinguishes it from competitors. Competition being one of its major challenges, the company focuses on the production of quality products as well as advanced marketing strategies, which have played a fundamental role in the efforts to overcome the existing stiff competition.

Works Cited

Fernando, A C. Business Environment. New Delhi: Pearson, 2011. Print.

Lopez, Daniela. Brand Development of Coca-Cola Company (uk). S.l.: Grin Verlag, 2013. Print.

Mooney, Ann. “Core competence, distinctive competence, and competitive advantage: What is the difference?” Journal of education for business 83.2 (2007): 110-115.

Powell, Guy R. Marketing Calculator: Measuring and Managing Return on Marketing Investment. Singapore: John Wiley & Sons (Asia, 2008. Internet resource.