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Frenette: Coca-Cola Co Aims to Double
Size in 10 Years.
Coca-Cola Co chief marketing officer Charlie Frenette says company aims to double size of business over next 10 years. Declares: "We see it as a reasonable and responsible goal." As company readies new packaging graphics and advertising for brand Coca-Cola (BD 10/8/99), Frenette -- in interview with BD -- describes views on marketing, but does not reveal details of new ads.
Basis of marketing. Frenette says success "for us (means) that we go to market with a portfolio of premium brands which are positioned as 'more for more.' That's the business we're in." Declares: "The idea of 'more for more' is the basis of our overall marketing plan." Frenette explains, "we're going to move even further away from being price-driven to being value-driven, so consumers will pay more and feel good about our brands, given their quality and taste and packaging and the image associated with them."
Research. Frenette asserts Coke's marketing research differs from other companies. Says Coke undertakes intensive studies to identify "what's important to people." Research uses "network of anthropologists, sociologists and ethnographic researchers." Says many other companies just "look for trends." But for Coke, "we need to be more substantive (and) go deeper." Specifics. Frenette says research in US, for example, showed "Coke has to be small. Coke is big, because it's small ... We have to connect with people on the small moments ... (We) don't create special moments in people's lives, we just add a little magic to them." Asserts, "the minute we take ourselves too seriously and become too corporate -- or if Coca-Cola means the company instead of the brand -- then we're not as close to them as we should be." Local business. Frenette says, "one of my key beliefs is that it's a local business. We need to make connections to consumers that are personally relevant to them." Notes investment in and creation of Coke's huge anchor bottlers actually provides Coke system with ability to be local and get close to consumers.
New package graphics. Coke plans change in packaging graphics for brand Coca-Cola starting early next year (picture). Cans and labels will show neck of contour bottle, with bottle cap popped off and soda fizzing out. For US (not shown), bottle cap displays line: "Enjoy Coca-Cola Classic." Asked about new "Sensation" graphics, Frenette says research shows Coke "formula produces a unique sensory experience" and claims new graphics "depict something that's unique about Coca-Cola." Adds, graphics "not only depict those attributes more clearly, but purchase intent was also significantly higher than the existing graphics."
Note. BD previously reported as part of change, word, "Classic," would be in lower case. But BD now learns Coke makes revision so "Classic" will be in all capital letters. 'Always.' Though Frenette doesn't discuss details of new ads, his remarks make clear new campaign will be dramatically different. Says shooting of new ads hasn't started yet. Re seven-year "Always" ad campaign, Frenette says it "served a very specific purpose ... It gave us news value." But adds, "the world is changing, and we want to be sure we're fresh."
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