Akwesi Boateng’s Post

Price is arbitrary, value is fundamental. Price is made up by a lot of rational and irrational components: cost of labor, taxes, positioning, scarcity,etc.. while value is fundamental. Let's use sodas as an example: you have a huge selection of COLAs on the market, but there is only one Coca Cola and one Pepsi. For many consumers, the other brands and their price point don't even register, because they want the value associated with the brand name. Focusing on value is a winning strategy, whereas competing on price is a deadly race to the bottom.

Do you really listen to what your customers want? Showing customers that you care about what they want can be key to your business success. On this day, July 11th, 1985, the Coca-Cola company did just that. In April, 1985, the Coca-Cola Company announced that they were changing the formula of its signature soft drink for the first time in 99 years. Coca-Cola, which had been the world’s bestselling soft drink, had been facing increasing competition from rival cola Pepsi, and the company wanted to re-energize the brand. In blind taste tests, consumers generally preferred New Coke over Pepsi and the original Coke. But, consumers had a sentimental attachment to their beloved brand and reacted very negatively to New Coke. The company was flooded with up to 8,000 calls a day from dissatisfied consumers and received some 40,000 complaint letters. CEO Roberto Goizueta even got a letter addressed to “Chief Dodo, The Coca-Cola Company.” The soda company quickly got the message and brought back the original formula less than three months after New Coke launched. It quickly regained its status as the dominant cola. Coca-Cola found out just how key it is to listen to what customers want with one of the biggest product flops in history. https://lnkd.in/eGXWdWG8 #cocacola #rebranding #advertisingstrategy #businessfail #customerisking #onthisday #productflop

Market research is an essential component of achieving success in marketing endeavours. However, undertaking it without a clear objective can lead to erroneous decisions, which may have catastrophic consequences. A prime example of this is the New Coke fiasco of 1985. In an effort to boost sales and compete with the rising popularity of Pepsi, Coca-Cola decided to alter the formula of its flagship product, introducing "New Coke." This decision was primarily influenced by market research indicating that consumers preferred the taste of Pepsi in blind taste tests. Consequently, Coca-Cola's management prioritized taste over the emotional connection consumers had with the brand, leading them to reformulate the iconic beverage. However, the introduction of New Coke sparked significant controversy and faced widespread backlash from consumers, who were deeply attached to the original Coca-Cola. The company encountered vehement public outcry and boycotts, as many loyal customers expressed their dissatisfaction and disappointment with the change. Ultimately, in response to the overwhelming negative response, Coca-Cola swiftly reverted to the original formula, reintroducing it as "Coca-Cola Classic" just a few months after the launch of New Coke. #imtghaziabad #pgdmexp #coke #cocacola #marketingresearch #marketing #consumerinsights #1980s

Went to the supermarket the other day and saw this beverage. (See picture below). At first glance, I thought it was Coke... because of the familiar colours and design. Later I realised it is NOT Coke. It isn't even from the Coca Cola company. Then I wonder if... this particular cola company deliberately used this design to make us think it is associated with Coke? Is it smart? Maybe. Did it work? Not for me. (Singaporeans or even Malaysians might know that "salt cola" is nothing new. Many of us have tried coke + salt at kopitiam when we want to reduce heatiness, right?) #axlplanner #marketing #strategy #tactics #lessonsfromreallife

Introduction to Business The Coca Cola Supply Chain Large beverage companies like Coca-Cola and Pepsico use a very large and complex indirect channel system to distribute their drink products. The Coca-Cola company has a very large and complex channel distribution system. After studying the content in Section 12.1, and watching the video be prepared to discuss the Coca Cola supply chain. Amazing! Let´s go?!

In the mid-1980s, Coca-Cola, the iconic soft drink company, faced stiff competition from rival Pepsi. In an attempt to revitalize its brand and regain market share, Coca-Cola introduced "New Coke" in April 1985. However, the decision to replace the original Coca-Cola recipe was met with intense backlash from loyal customers who cherished the traditional flavor. The public outcry was so severe that Coca-Cola was forced to reintroduce the original formula as "Coca-Cola Classic" just three months later. Ultimately, New Coke's launch was widely regarded as a marketing disaster, tarnishing the company's image and leading to financial losses. Despite this setback, Coca-Cola Classic continued to dominate the market. This historic blunder serves as a timeless reminder that while innovation is crucial, it must always be balanced with a deep understanding of and respect for customer preferences. As we navigate today's ever-changing business landscape, let's remember the invaluable lesson: customer loyalty is the cornerstone of enduring success. Reflecting on Coca-Cola's 'New Coke' fiasco reminds us of the power of customer loyalty and brand heritage. #customerloyalty #brandheritage #businesslessons #cocacola

 Why Did Coca-Cola & Pepsi Stop Using Glass Bottles? 🤔 Ever wondered why Coca-Cola and Pepsi ditched glass bottles even though it costs them thousands of crores every year? 🧐 Understanding business strategies reveals that making a glass bottle costs ₹15-18, and each can be reused up to 30 times! ♻️ After washing and reusing, a single bottle's cost drops to just 7 paise! 💡 Is it just about cost, or is there a bigger strategy at play? Find out in our latest video! 🎥 #BusinessStrategy #CocaCola #Pepsi #GlassBottles #BusinessInsights #Sustainability #Recycle #EcoFriendly #BusinessTips #Marketing #PawanMaduriya

The recent kidnapping of the Next Cola's owner and the disturbing news about Pakola water and Kolson chips being declared unfit for consumption are really troubling. It feels like there's a push to favor big multinational brands like Pepsi and Coca-Cola, making it harder for local producers and investors to compete fairly. This isn't just about a few brands, it's about protecting the reputation of our local businesses and fostering innovation and growth in our economy. When we target local companies, we lose market diversity and limit consumer choices. Now more than ever, we need to support our local brands and ensure a fair playing field for everyone. #SupportLocal #FairCompetition #EconomicGrowth #LocalBusiness #Innovation #FreePalestine

"After 87 years of going at it eyeball to eyeball, the other guy just blinked." - Statement made by Pepsi in late 1980's. The story was that Coca-Cola launched a just more sweetened "New Coke" as a New Product "smoother, rounder, yet bolder—a more harmonious flavor." when Pepsi was gaining more market confidence. The data from the New Coke showed that taste tests were great! but were not the ones that the people wanted. Hence the people were in disbelief and angry. The price of shares dropped for Coca-Cola. It applies to the concept name "The incongruity" which I learned in my college coursework on Innovation Management. How they re-established the supremacy:- wait for the next post! #Buisness #Product #innovation

A Bold Move That Backfired In 1985, Coca-Cola introduced New Coke, aiming to refresh its brand and compete with Pepsi. Instead, it became one of the biggest product flops in history. Let's explore what went wrong with New Coke and the lessons learned. Coca-Cola's new, sweeter formula was designed to appeal to younger consumers. However, the change sparked outrage among loyal drinkers. The public backlash was swift and intense, with protests and demands for the original Coke's return. Despite extensive market research, Coca-Cola underestimated the emotional connection customers had with the original formula. Just 79 days after its launch, New Coke was pulled from shelves, and Coca-Cola Classic returned. The failure of New Coke highlights the risks of altering a beloved brand and underscores the importance of respecting customer loyalty. Coca-Cola's quick response helped restore its reputation and strengthened its bond with consumers. Swipe through to delve deeper into the New Coke fiasco. #BrandLoyalty #NewCoke #MarketingFail #CaseStudy #BusinessLessons #ProdLeader #ProductMarketing #ProductManagement #ProductLeadership