Coca-Cola targets everyone in bid to double profits

Coca-Cola is targeting the emerging middle classes, ageing customers and younger, more environmentally-conscious consumers in a bid to double its revenue by 2020.

The soft drinks maker, which already has revenue in the region of £100bn, will also attempt to double daily servings to over three billion and be the ‘number 1’ non-alcoholic ready-to-drink brand in every market and every category within a decade.

The vision was laid out during a two-day investor meeting in Atlanta, where chairman and chief executive, Muhtar Kent, said the company was “laser-focused” on targeting the right consumers with fully integrated global marketing campaigns that work on many levels, across many geographies and cultures, and leverage a “rich variety” of media and channels.

Coca-Cola believes emerging markets will be key to the strategy. In the third quarter, the company’s profit rose less than 1%, though the results were buoyed by stronger performance in emerging markets with unit case volume growth of 15% and 37% in China and India respectively.

By 2020, the company says the world will look very different, hence the “right consumers” will include the increased numbers of middle class people living in urban areas.

Kent says there will also be a renewed focus on older, wealthier consumers. “To target aging and affluent consumer globally, we are actively exploring new ingredients, new functionality and new occasions. At the same time we are creating new strategies that are winning over a massive new generation of teens to drive growth of Trademark Coca-Cola.”

The company will also be upping its game in Brazil ahead of the 2014 World Cup, and plans to open a ‘green’ plant in the country.
Sustainability features strongly in the company’s vision. Its aim is to be “the global leader” in sustainable water use, while leading the industry in terms of energy, climate protection and packaging.

Coke said it expected to have two billion of its “PlantBottle”, which is made partially out of plants, in production by the end of next year.

Meanwhile, PepsiCo recently announced plans to boost its global ad spend next year, putting more weight behind its Gatorade brand.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here