In 1985 Coca Cola chosen to terminate their flagship brand Coca Cola and release a formula sweeter than it. To understand why, let’s go back a few years. Soft Drink Wholesale
In the 60s Pepsi repositioned itself as a youth brand, though it was losing out the elderly customers to Cola. This move brought them enormous success, it properly complimented the rivals ‘old and classic’ look. Using a narrowed focus, it got become seen as a ‘drink of the youth’.
In the 70s Cokes rival started the Coke challenge which was a blind test between it is own product and the Coke. For the companies fear almost all of the participants preferred Pepsi to Coke.
In the 80s Pepsi launched the challenge globally, it promoted the arrival of the ‘Pepsi generation’. Additionally, it signed up celebrities like MJ and Britney Asparagus spears. Now Coke’s numero alcuni position seemed to be vulnerable. It lost the market share not only to Pepsi, but to its own brand Diet plan Coke. In 1983 Cokes market share came down to a new low of 24%.
1n 1984 coke launched a marketing campaign praising itself for being less sweet than Pepsi. They roped in Billy as the brand name legate. These efforts were berries less. They could make it through only because of their effective distribution chain.
Cola perceived that the condition was with the item. So, they began working away at a new satisfying formula. They finally came up up with a formulation which they taste analyzed, the results were gratifying. It fared better than Pepsi. But having both the formulae in the market had not been logical as it would associated with numero uno position weak.
Coke had badly glossed over the power of it is brand. After hearing the news, a sizable part of US decided to bannissement the item. On 23, The spring 1985 New Coke was launched and few days and nights later Coke was halted. New Cokes sales were low, public was upset by the fact that Coke was no much longer available.
Things were very clear, Coca Cola got to bring back the ‘real thing’.
The first very big mistake they were doing was under estimating its brand. That they took people for approved. We all know that Coca Cola is the ‘real thing’. They simply thought that they can convince us by showing that, the real thing was obviously an oversight. So, they have create a ‘new real thing’. The truth is their mistake was first discovered by Pepsi, so they came up with an ad criticizing their move. And while inspecting, why their sales were going down, they got only taste into account. Its a blunder not merely done by Coke. the same little blunder is carried out by many major companies while analyzing their decline in sales. The main goal of the launching Fresh Coke was going to retain their numero distinto position. But history has repeatedly told us that no new product in an old product collection can become number one overnight. But this is what they wished to do. These mistakes sound small I know, bu they are the varieties of blunder such huge companies do.