Case Study Coke
Case Study Coke
Case Study Coke
"Open Happiness". The campaign was launched in the first half of 2009 in markets around the world with the aim of increasing sales of sparkling beverages of the Coca-Cola Company. At a time when the weakened economy was sapping soft drink sales, the "Open Happiness" campaign invited people around the world to refresh themselves with a Coke and continue to enjoy the simple pleasures of life. The case discuses the various campaigns launched by the Coca-Cola Company over the years and the role played by these campaigns in enhancing the brand image of Coca-Cola. The case also focuses on the "Coke Side of Life" launched in 2006 to revive sales of Coca-Cola. The "Coke Side of Life" campaign invited people to choose Coke and live positively. The objective of the campaign was to make Coke more relevant to customers by creating a multi-cultural platform in markets across the world. With the global economic recession and with consumers drifting towards non-carbonated drinks, the company was facing many difficulties. In order to boost its sales, the company decided to create a new campaign and roll it out globally. The case discusses in detail the objectives and various elements of the "Open Happiness" campaign which included new point of sale, promotions, outdoor and print advertising, digital and music components. The case details the launch of the campaign in various countries and how it was adapted in accordance with the tastes and preferences of the people in those countries. The case also discusses the initial reactions to the "Open Happiness" campaign. Some analysts felt that the campaign might be successful in achieving its objective as it was able to extend the reach of Coca-Cola to wider markets while others were apprehensive that it would not succeed.. The case concludes with thoughts on how the global campaign could be made more effective so that it strikes the right chord with its consumers in different countries. Coca-Cola "Open Happiness" Campaign Throughout its history, Coca-Cola has always tried to express a refreshingly positive view of the world. Open Happiness builds on that heritage, recognizing that even with the difficulties and stress of modern-day life there still are opportunities, every day, to find a moment to recognize life's simple pleasures. This new campaign reminds people that Coke is always there to offer that small moment of fun and refreshment when you need it." Introduction On January 21, 2009, Atlanta-based beverage giant The Coca-Cola Company (Coca-Cola Company) launched a global integrated advertising campaign called "Open Happiness" for its iconic drink Coke. The campaign was planned to be an extension of Coca-Cola's earlier campaign "Coke Side of Life," introduced in 2006. The idea
behind the "Open Happiness" campaign was "Enjoying life's simple pleasures". Commenting on the campaign, Joe Tripodi (Tripodi), chief marketing and commercial leadership officer, Coca-Cola Company, said, "It's really a statement about the little simple joys. Our brand isn't here to solve world peace or fix the economy. We represent a small moment or small pleasure in a sometimes very stressful or difficult day for people."2 The campaign which was rolled out throughout the first half of 2009 in markets around the world, included new point of sale, promotions, outdoor and print advertising, and digital and music components. The campaign was launched with the aim of increasing sales of sparkling beverages3 and targeted customers who longed for comfort and optimism at a time when the weakened economy was sapping soft drink sales. The new tag line "Open Happiness" served as a platform for all the integrated marketing for the Coca Cola brand around the world. Established in 1886, Coca-Cola Company is one of the largest beverage companies in the world with nearly 500 brands and 3,000 beverage products. These products include sparkling and still beverages4, such as waters, juices and juice drinks, teas, coffees, sports drinks, energy drinks and soy and value-added dairy. In 2008, carbonated soft drinks accounted for 83% of Coca-Cola Company's portfolio with key brands including Coca-Cola, Sprite and Fanta. Non-carbonated beverages comprised the remaining 17% of its portfolio and included brands such as Powerade, Dasani, and Minute Maid.5... Background Note The Coca-Cola drink was invented by John Smith Pemberton (Pemberton), an Atlantabased pharmacist. The beverage was named Coca-Cola by Frank M. Robinson (Robinson), Pemberton's book-keeper, as it contained extracts of Coca leaves and Kola nuts... "Coke Side of Life" According to Beverage Digest, industry wide sale volume of Coca-Cola Company's carbonated soft drinks particularly Coke Classic slipped by 2% in 2005 in the US for the first time since 1985. It was reported that about 85% of the company's US$4.8 billion revenue in 2005 was from its core drink Coke and other carbonated beverages including Diet Coke, Coke Zero and Coke with Lime...
"Open Happiness" - Enjoying Life's Simple Pleasures On January 21, 2009, Coca-Cola Company came out with a new global integrated marketing campaign called the "Open Happiness" campaign. Built on the lines of the Coca-Cola's earlier campaign, 'Coke Side of Life', the "Open Happiness" campaign invited people around the world to refresh themselves with a Coke and continue to enjoy the simple pleasures of life...
Music and Online Elements Music played a central role in the "Open Happiness" campaign. Coca-Cola Company teamed up with Warner Music Group's Atlantic Records to create a new music track featuring some of the well known artists from the worlds of rock, pop and hip hop... The Global Platform "Open Happiness" considered as the new global platform for all integrated marketing for brand Coca-Cola was rolled out across the US and Western Europe, Middle East as well as India in the first half of 2009 and would continue across the globe... Initial Reactions Over the years Coca-Cola has maintained a strong brand identity in the global market. It is one of the biggest brands in the world with a powerful positive image in the minds of the customers. In many countries, Coca-Cola is the market leader mainly because of its appealing advertising strategies and a highly efficient distribution system... Looking Ahead Experts said that the campaign might gain momentum once it was rolled out in all the key markets globally and might turn out to be more successful than the "Coke Side of Life" campaign. Talking about the key differences between the two campaigns, Drohan said, "It's moved quicker globally. Probably over two-thirds of our volume is now covered after less than six months with over 80 countries... Exhibits Exhibit I: Coca-Cola Slogans Exhibit II: Coca-Cola Company-Timeline Exhibit III: Images from the "Open Happiness" Campaign Exhibit IV: "Open Happiness" Programs for Hispanic Consumers Exhibit V: Best Global Brands 2008 Exhibit VII: A Note on the Global Carbonated Beverages Market Exhibit I: Coca-Cola Slogans Coca-Cola Slogans Through The Years The Coca-Cola Company has had many catchy slogans over the years that they used in their advertising campaigns. Here are just a sample of them. These slogans were used on signs, trays, calendars on other forms of promotion of their product. It's helpfull to refer to them when evaluating the age of a particular Coca-Cola antique.If you know of one that isn't mentioned here, please contact us and we'll add it to the list!
1886 "Coca-Cola-Delicious, Refreshing, Exhilarating" 1886 "Drink Coca-Cola" 1904 "Delicious and Refreshing"
1905 "Coca-Cola Revives and Sustains" 1906 "Great National Temperence Beverage" 1908 "Good To The Last Drop" 1917 "Three Million a Day" 1920 "Drink Coca-Cola With Soda, The hit That Saves The Day" 1922 "Thirst Knows No Season" 1923 "Refresh Yourself, There's Nothing Like It When You're Thirsty" 1924 "Pause and Refresh Yourself" 1925 "Pause and Refresh Yourself" 1926 "Stop At The Red Sign" 1927 "Around The Corner From Anywhere, At The Little Red Sign" 1928 "A Pure Drink Of Natural Flavors" 1929 "The Pause That Refreshes" 1930 "Meet Me At The Soda Fountain" 1932 "Ice Cold Sunshine"/"The Drink That Makes Pause Refreshing" 1933 "Don't Wear A Tired, Thirsty Face" 1934 "When It's Hard To Get Started, Start With A Coca-Cola" 1935 "All Trails Lead To Ice-Cold Coca-Cola" 1936 "Get The Feel Of Wholesome Refreshment" 1936 "It's The Refreshing Thing To Do" 1937 "Stop For A Pause...Go Refreshed" 1938 "The Best Friend Thirst Ever Had"/"Anytime Is The Right Time To Pause and Refresh, Pure As Sunlight" 1939 "Thirst Stops Here. Makes Travel More Pleasant" 1939 "Coca-Cola Goes Along" 1939 "Wherever You Are, Whatever You Do, Wherever You May Be, When You Think Of Refreshment, Think Of Ice Cold Coca-Cola" 1940 "The Package That Gets A Welcome At Home" 1941 "A Stop That Belongs On Your Daily Timetable" 1942 "The Only Thing Like Coca-Cola Is Coca-Cola Itself" 1943 "A Taste All It's Own" 1944 "High Sign Of Friendship" 1945 "Coke Means Coca-Cola" 1947 "Relax With The Pause That Refreshes" 1948 "Where There's A Coke, There's Hospitality" 1948 "It's The Real Thing" (Used first this year) 1949 "Along The Highway To Anywhere" 1950 "Help Yourself To Refreshment" 1951 "Good Food And Coca-Cola Just Naturally Go Together" 1952 "Coke Follows Thirst Everythere" 1952 "What You Want Is A Coke" 1953 "Dependable As Sunshine" 1954 "For People On The Go" 1954 "There's This About Coke" 1955 "Americans Prefer Taste" 1956 "Feel The Difference, Makes Good Things Taste Better"
1957 "Sign of Good Taste" 1957 "There's Nothing Like A Coke" 1958 "Refreshment The Whole World Prefers" 1959 "Be Really Refreshed" 1959 "Make It The Real Meal" 1960 "Relax With A Coke, Revive With A Coke" 1961 "Coke And Food" 1962 "Enjoy That Refreshing New Feeling" 1963 "Things Go Better With Coke" 1964 "You'll Go Better Refreshed" 1965 "Something More Than A Soft Drink" 1966 "Coke...After Coke...After Coke" 1970 "It's The Real Thing" (Used with, "Everyone Welcomes Coca-Cola") 1971 "I'd Like To Buy The World A Coke" 1975 "Look Up America" 1976 "Coke Adds Life" 1979 "Have a Coke and a Smile" 1982 "Coke Is It" 1985 "We've Got A Taste For You" 1986 "Catch the Wave-Red, White and You" 1989 "Can't Beat The Feeling" 1990 "Can't Beat The Real Thing" 1992 "You Can't Beat the Real Thing" 1993 "Always Coca-Cola" 1994 Play Red Hot Summer 1995 Play Red Hot Summer Again 1996 Enjoy 2001 Life is Good 2003 Life tastes good 2003 Real 2005 Make It Real 2005 Welcome to the Coke side of life 2007 Live on the Coke Side of Life 2009 - Open Happiness
1925 "Six Million A Day" 1944 "Global High Sign" 1958 "The Cold, Crisp Taste Of Coke"
Exhibit III: Images from the "Open Happiness" Campaign Open Happiness Press Release 'OPEN HAPPINESS' AND ENJOY LIFE'S SIMPLE PLEASURES WITH COCA-COLA New Global Integrated Marketing Campaign for Coca-Cola Embraces Positive Outlook in Evolution of Award-Winning "Coke Side of Life" Campaign To Launch in U.S. Tonight on "American Idol" And Worldwide Over Next Few Weeks Atlanta, January 21, 2009 Building on the award-winning "Coke Side of Life" campaign, The Coca-Cola Company today invites the billions of people around the world who love to pause and refresh themselves with a Coke to "Open Happiness" and continue to enjoy one of life's simple pleasures. That is the central message for "Open Happiness" -- Coca-Cola's new global integrated marketing campaign that launches in the U.S. this week. Open Happiness will serve as the platform for all integrated marketing for brand CocaCola globally. The first televised spots will break tonight on "American Idol" on FOX in the U.S., with more to air in the following weeks, including during the broadcasts of the Super Bowl on NBC and the Academy Awards on ABC. The fully integrated campaign -- including new point of sale, promotions, outdoor and print advertising, digital and music components and more -- will roll out throughout the first half of 2009 in markets around the world. "Throughout its history, Coca-Cola has always tried to express a refreshingly positive view of the world," said Joe Tripodi, chief marketing and commercial leadership officer, The Coca-Cola Company. "Open Happiness builds on that heritage, recognizing that even with the difficulties and stress of modern-day life there still are opportunities, every day, to find a moment to recognize life's simple pleasures. This new campaign reminds people that Coke is always there to offer that small moment of fun and refreshment when you need it." Open Happiness is an evolution of the Coke Side of Life, a campaign that featured award-winning commercials such as "Video Game," "Happiness Factory," and "It's Mine" and was used as the primary marketing platform in nearly every one of the more than 200 countries around the world where Coca-Cola is sold. The new campaign will continue to invite people to bring positivity, optimism and fun into their lives through engaging creative and an updated message. The campaign also was developed to provide a clear role for Coca-Cola, setting the stage for a rich in-store and shopper experience. "Open Happiness is designed to work at every level -- from national advertising all the way down to coolers and store shelves, with a clear call to action at the point of purchase," continued Tripodi. "The combination of inspirational marketing and in-store execution in collaboration with our bottling partners worldwide will ensure we continue to reinvigorate the sparkling category."
The campaign will break first in the U.S. with print ads and new television commercials airing this week. Outdoor advertising and in-store executions will appear by the end of the month. Music will also play a central role in the new campaign beginning with a new music track featured in one of the ads that will be released as a single. The music is a collaboration featuring the combined talents of Gnarls Barkley's Cee-Lo, Patrick Stump from Fall Out Boy, Brendon Urie from Panic at the Disco, Travis McCoy from Gym Class Heroes and Grammy-nominated Janelle Monae and produced by Polow Da Don and Butch Walker. "Central to Open Happiness is the simple notion of enjoying an ice-cold Coca-Cola and taking a small break from the day to connect with others," said Katie Bayne, chief marketing officer, Coca-Cola North America. "With this new campaign, that's exactly what we're inviting people to do more often -- open a Coke and share a little happiness." In addition to the Open Happiness campaign, the entire Coca-Cola Trademark in North America will have significant advertising and marketing support. Two new Coke Zero ads debuted on the premiere of American Idol last week and later this month, the successful Diet Coke Red Dress program, in conjunction with The Heart Truth, will begin its second year. Coca-Cola will also have new advertising under the "Open Happiness" theme in celebration of Black History Month. Visitors to mycokerewards.com will be able to preview the two new Coca-Cola spots that will air during the broadcast of the Super Bowl on NBC. The global campaign was developed in partnership with Wieden + Kennedy, the global agency for brand Coca-Cola since 2006. Exhibit IV: "Open Happiness" Programs for Hispanic Consumers News Release DESTAPA LA FELICIDAD AND ENJOY LIFE WITH COCA-COLA Unleashing Your Dreams + Coca-Cola = "Open Happiness" for U.S. Hispanic Consumers ATLANTA, March 26, 2009 - Coca-Cola, the #1 sparkling beverage brand among Hispanic Americans, invites the more than 45 million U.S. Hispanics to take a break, open a Coke, unleash their dreams and enjoy one of life's simple pleasures. "Destapa Tus Sueos" or "Unleash Your Dreams" is the central message for 'Destapa La Felicidad,' the Hispanic adaptation of 'Open Happiness' -- the new global integrated marketing campaign for Coca-Cola that launched in January. The fully integrated Hispanic adaptation includes new point of sale, enhanced shopper experiences, consumer promotions, television, radio, print and out of home advertising, mobile, digital and music components. The campaign began airing a new television commercial nationwide on March 20, and will expand its media presence with a strong showing during Univision's highest rated program "Premio Lo Nuestro" music awards, on March 26, at 8:00 P.M. This campaign is Coca-Cola North America's latest step in an
ongoing plan to revitalize sparkling beverages in the U.S. The new ad will run on Spanish language networks including Univision, Telemundo and TeleFutura. "For Hispanics, happiness means pursuing and achieving their dreams, and Coca-Cola has always been there to provide them with the simple pleasure of refreshment during their journey," said Reinaldo Padua, assistant vice president, Hispanic Marketing, CocaCola North America. "For many, achieving their dream means seeing their children graduate from college, owning their own business, learning to speak English or meeting their favorite celebrity or sports figure. This year, our message will inspire Hispanic consumers and our programs will help them achieve some of those dreams." 'Destapa La Felicidad' is an evolution of the 'Coke Side of Life/El Lado Coca-Cola de la Vida' campaign that featured award-winning commercials such as "Video Game," "Happiness Factory", "A la Mesa" and "It's Mine." The new campaign will continue to invite people to bring positivity, optimism and fun into their lives through an engaging creative and an uplifting message. "The combination of inspirational marketing, in-store activation and our unique Hispanic programs will ensure that we continue to strengthen our longstanding consumer relationships and build new ones," said Katie Bayne, chief marketing officer, Coca-Cola North America. "These programs speak to the Company's deep commitment to revitalizing the sparkling beverage category by providing another end-to-end targeted marketing campaign." Coca-Cola's exciting 2009 integrated marketing campaign will include programs that will help make dreams come true for Hispanic consumers, including: Coca-Cola Telenovela Club -- Al Diablo Con Los Guapos Telenovelas are a rich part of Hispanic popular culture, and many people dream of one day meeting their favorite Telenovela star. On March 1, the Coca-Cola Telenovela Club launched its fifth promotion with "Al Diablo con los Guapos." Through this promotion, fans will have the opportunity to win premiums related to the novela, authentic novela memorabilia and enter a sweepstakes for the chance to meet two of the stars. The program is scheduled to run through the end of March through My Coke Reward/Mis Premios Coca-Cola and participating retailers in major Hispanic markets.
Soccer -- Mexican National Team Futbol is a true passion point for Hispanic consumers, and many of them aspire to meet their favorite players. Beginning in May, Coca-Cola will implement a robust national marketing, advertising and public relations campaign featuring the Mexican National Team (MNT) in the U.S., which will offer several memorable opportunities for futbol fans, including a soccer clinic with Guillermo "Memo" Ochoa; attending friendly matches of the MNT in the U.S.; in-game experience as part of Coca-Cola "Ball Kids" program in MNT matches; collectable premiums and more.
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For Hispanics, meals with family are one of the most important times of the day, and Coca-Cola is the preferred beverage brand to celebrate this occasion. Through 2009, Coca-Cola will continue partnering with authentic food brands to bring Hispanic families taste, refreshment and value in this important daily event. Community and Civic Organization Sponsorship Since 1987 Coca-Cola has invested more than $20 million dollars in support of Hispanic organizations and initiatives. In partnership with organizations such as the Hispanic Scholarship Fund (HSF) and LULAC National Educational Service Centers, Inc. (LNESC), the Company has been able to directly impact the lives of many Hispanics including Latino youth. In 2009 the Company will support more than 100 Hispanic initiatives, programs and organizations including the National Hispana Leadership Institute and the National Alliance for Hispanic Health.
"Throughout its history, Coca-Cola has always expressed a refreshingly positive view of the world. 'Destapa Felicidad' is an updated reflection of that perspective expressing the brand's role in bringing moments of pleasure to people," said Padua. The campaign was developed in partnership with Ogilvy & Mather, the Hispanic marketing and advertising agency of record for Coca-Cola North America. Exhibit V: Best Global Brands 2008 You could think of Coca-Cola, GE, and IBM as legendary legacy brands. Despite massive shifts in consumer preferences, changing business environments, and the evolution of marketing from print to electronic and interactive means, these three brands have not only survived for a century, they remain at the top of their global game. Somehow, through a combination of being organized and disciplined, yet being creative and taking risks, these brands have succeeded where others have failed. While Coke, GE, and IBM reside in very different industries, they share common traits that offer some clues to their sustainability. Innovation Each of these three brands was launched because of a new, innovative product. CocaCola was a unique soft drink invented by a pharmacist. GE was the outgrowth of Thomas Edisons breakthrough invention, the incandescent light bulb. IBM was, in part, created as a result of the first time recording company in the world. While many brands are born because of singular products, these brands distinguish themselves by continuing to innovate throughout their corporate lives. Coca-Cola developed a unique bottle, created the six-pack, and has long been a leading innovator in product marketing techniques. Early on, GE established a research laboratory; now called GE Global Research, this capability has helped GE amass thousands of patents and win two Nobel prizes. IBM has been an information technology
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powerhouse, pioneering computers that used interchangeable software, introducing the first commercially successful personal computer, and leading the e-business revolution. Diversity Being a one-trick pony only goes so far. Coca-Cola may have started with a single product, but today, the company sells over 400 brands in 200 countries. Coca-Cola markets four of the worlds top five nonalcoholic sparkling beverage brands, as well as waters, juices, teas, coffees, and energy/sports drinks. GE has six diverse businesses and sells products and services in more than 100 countries. GE Industrial sells consumer and industrial products, plastics, equipment services, and security. GE Healthcares offerings include diagnostic imaging and clinical systems. GE Infrastructure is involved in energy, aviation, transportation and process technologies. GE Commercial Finance handles corporate financial services and real estate. GE Money offers consumer finance. NBC Universal includes television and film production and distribution. IBM has gone beyond its early days of building machines to providing fully integrated business solutions that include hardware, software and networking products, services, and technologies. By acquiring such product companies as Lotus, Tivoli, and Rational, as well as PriceWaterhouseCoopers global business consulting unit, IBM has broadened its offerings and continued to innovate and diversify in a rapidly changing business. Leadership Behind every great brand story is also the story of one or more leaders who had the vision to push that brand to greatness. Coca-Cola says perhaps no person had more impact on its company than Robert Woodruff. Woodruff became president in 1923. According to Coca-Cola, it was his marketing genius that led to the expansion of the company overseas, the presence of Coca-Cola at the 1928 Olympics, and the development of numerous packaging and distribution innovations. While Thomas Edison himself was one of GEs great leaders, many would agree that it was Jack Welchs twenty-year tenure that turned GE into a modern-day megacorporation. Through streamlining operations, acquiring new businesses, and ensuring that each business under the GE umbrella was one of the best in its field, Welch helped the company expand dramatically. Company revenues grew from about $27 billion before his arrival to nearly $130 billion the year before Welch left. IBMs version of Jack Welch was Lou Gerstner. Gerstner joined IBM as the first leader from outside the company in 1993, when IBM was struggling with a loss of direction and declining profits. Gerstner made a controversial but prophetic decision to retain the companys unified corporate structure rather than divide it into separate, independent companies. He is credited with reinventing IBM and reviving its brand.
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Resiliency Great brands can make big mistakes, but they are still able to check themselves, get both hands back on the wheel, and move forward. Coca-Cola, GE, and IBM have all stumbled at some point, but it hasnt stopped them from achieving success. For example, one of the most notorious and now legendary brand blunders was the introduction of New Coke in 1985. Executives at Coca-Cola decided to update the Coca-Cola product, tampering with a secret formula that was, at the time, a century old. The resulting negative publicity and public outcry doomed New Coke. Only three months after New Cokes introduction, Coca-Cola admitted its error and brought back the original Coke under the name Coca-Cola Classic. The original formulation eventually became the preferred brand again, and Coca-Cola relentlessly promoted it. In 1994, according to Constance Hays in her book The Real Thing, Coke was pursuing such concepts as a 360-degree landscape of Coke, where Coke ads, products, and vending machines would assert themselves everywhere a person looked, making you buy a Coke even if you hadnt known thats what you wanted. Coca-Cola, GE, and IBM have benefited from innovation, diversity, leadership, and resiliency. It is because of these attributes that, even after 100 years, they stand out as the most valuable global brands. If they maintain their focus and consistency, chances are good these legendary legacy brands will be a lasting presence on brand lists for a long time to come. Issues: Study the branding strategies adopted by of Coca-Cola Company over the years and how the campaign has evolved over the years. Understand the role played by its advertising campaigns in 'Coca-Cola' consistently maintaining its No.1 position among global brands. Understand issues and challenges in creating and rolling out a global advertising campaign. Analyze the "Coke Side of Life" and "Open Happiness" campaigns. Discuss and debate whether the "Open Happiness" campaign would be able to achieve its objectives. Explore ways in which the company could make its "Open Happiness" campaign more effective.
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