Cola Wars
Cola wars COLA WARS
Commercials and soft drinks have become a part of everyday life The combination of these pop-culture creations has made resisting the temptation of sugar based carbonated beverages virtually impossible for most.
A well-known soft drink war between Pepsi and Coca-Cola keeps new, edgy advertising techniques airing during commercial breaks of popular television viewing. Both companies have successfully sold their products despite different selling techniques used when it comes to advertising on television. The Pepsi Cola Corporation uses excellent marketing strategies, such as celebrity appearances, to sell their product, whereas Coca-Cola’s realistic approach has placed them at the top of the soft drink industry. Not only do these competitive companies use television advertising to sale their beverages, but they also attract their consumers with their distinctive product.
BRAND POSITIONING :
Coca-Cola’s’ brand personality reflects the positioning of its brand. Positioning is in the mind of the consumer and can be described as how the product is considered by that consumer. When researching the positioning of a product, consumers are often asked how they would describe that product if it were a person. The purpose of this is to develop a character statement. This can ensure that consumers have a clear view of the brand values that make up the brand personality, just like the values and beliefs that make up a person. Many people see ‘Coca-Cola’ as a part of their daily life. This affinity between the brand and the consumer leads to a high degree of loyalty and makes the purchasing decision easier. Brand positioning guides ‘what’ will be communicated in the company’s advertising, while the character statement guides ‘how’ a message should be delivered or put across. Coca-Cola’s’ powerful brand personality has become a vehicle for promotion in its own right, sponsoring many events both on a global and local level. The company has long been associated with global events such as The Olympic Games, The FIFA World Cup, Rugby World Cup and Special Olympics. Coke has also been linked to world fairs and national exhibitions since 1905.
Segmentation and Targeting :
Pepsi has always promoted its soft drinks to young people and focused on gaining lifelong customers when they are young. This targeting is different than Coca-Cola who promotes the nostalgic aspect of the cola as well as its association with America. Pepsi has been successful with its strategy in the US because the demographics in the US favored advertising geared to young people. However, some of its failures in foreign markets had more to do with its use of bottlers than with its target market. The newer generations have [next page]