Brand Extension: Marketing & Launch Strategy for FRESCOKE by Coca-Cola in India

Coca-Cola is launching Pressurized Fresh Fruit Juice in India under the name FRESCOKE. The article discusses the extension idea, rationale, target market, marketing & launch strategy, pricing strategy, channel strategy, and ethical considerations. The target market is young, health-conscious, and social media users. The pricing strategy is premium, and the product will be available in supermarkets, e-commerce platforms, and big retail outlets. Ethical considerations include complying with CCI and being honest and transparent with consumers.

Running Head: Brand Extension
Marketing Paper
Brand Extension

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Table of Content
Brand-Brief Background............................................................................................................................................... 2
Extension Idea................................................................................................................................................................... 3
Rationale for the idea..................................................................................................................................................... 3
Target Market.................................................................................................................................................................... 3
Marketing & Launch Strategy..................................................................................................................................... 4
Pricing Strategy............................................................................................................................................................ 4
Channel Strategy......................................................................................................................................................... 5
Ethical Consideration in Brand Extension............................................................................................................. 5
References.......................................................................................................................................................................... 6

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Brand-Brief Background
Coca-Cola is the world’s largest beverage company which has a market offering of over 500
brands which are distributed in over 200 countries (Gillespie & Riddle, 2015). The company has
almost 19 brands out of its 21 billion-dollar brands which are available in less or no sugar
options which help the people to bring down the intake of added sugar(Flint, 2018).. Some of
the leading brands of Coca –Cola include Dasani Waters, Fanta, Georgia Coffee, Gold Peak teas
and Minute main juices. Coca –Cola as a company is serious about making positive contributions
to the world, which starts with reducing the sugar intake and working on new products with
added benefits (Sinha & Sheth, 2017).
Based on the above mentioned preamble for doing good for the community, Coca-Cola is getting
into the market of providing Pressurized Fresh Fruit Juice in one of the largest consumer market
India. The product will go by the Name “FRESCOKE”

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Extension Idea
The growing importance of freshly pressed fruit juice is owed to its manufacturing, storing and
packing process. The juice is packed with live enzymes, chlorophyll and organic water which
have the ability to give deep hydration and oxygen to the cells and bloodstream of the body,
which gives individual an instant energy and competitive edge over bottled juice. The idea for
the pressed juice is derived from the rationale of giving a consumer instant energy filled with
required nutrient and natural sugar (Pulizzi, 2014). FRESCOKE is a great combination of fresh
fruits in a pressed manufacturing process to give the customers a drink to quench their innate
thirst. Coca-Cola has been thinking for quite some time over the brand name, positioning,
perceived benefits and the right target market, FRESCOKE ably fulfils all the criteria and is a
comprehensive product.
Rationale for the idea
Over the years it has been seen that the market for Cola drinks is declining and it has been taken
over by Pressed Fresh Fruit Juice and Bottled Juice. Coca-Cola in a bid to respond to the
declining market share is coming up with the concept of Pressed Fresh fruit juice which has the
essential nutrient and the right formulae to make it a successful product.
People in the present day are becoming more and more health-conscious, they are reducing
their intake of sugar in their drinks and going for the drinks which have high nutritional value
and have a low added sugar. FRESCOKE stands tall for all the condition and makes it highly
suitable for the health conscious consumers who are looking for a product to not only quench
their thirst but also provide them with high nutritional value. Fresh quality farm picked fruits
combined with the hundreds of year formulae of Coca-Cola will create a product especially
targeted towards the health conscious individuals and people who want to cut down on their
sugar while still having all the benefits of a great drink. Thus, the rationale of the drink has been
inspired from the changing consumer behaviour on the Cola drinks and also the mission
statement of Coca-Cola which is “Refresh the world in mind, body and Spirit” . Thus, in true
sense it is a 100 percent brand extension of the mission statement of Coca-Cola (Steffen, 2018).

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Target Market
Target market can be understood as the market towards which the companies marketing and
promotional activities are directed. It is the group which is most likely to engage with the
company’s product offering and make a purchase. Thus, it becomes very important to identify
the target market and create strategies to cater to that market (Reddy, Reddy & Venketesulu,
2016).
USA is a saturated market in terms of pressed fresh fruit juices and already has a number of
companies catering to the audience; India on the other hand is one of the fastest emerging
economics which serves as a good target market for the brand’s new product offering. India has
a population of 1.32 Billion and has 27 years as its median age, makes the country extremely
young (Karnani, 2014). It gives the brand endless opportunity in the Indian market, due to the
highest number of millennial (18-35) makes it a promising market for the launch of FRESCOKE.
Target Market Description
Demographics Urban Population- Male & Female Population
Geographic Tier 1 & Tier 2 market Of India, metro cities
and smart cities
Age Group 18-35
Behaviour Social media users, Health conscious, fitness
enthusiasts, Low sugar intake, reliability of
fresh juices, working professional or sports
persons.
Marketing & Launch Strategy
Marketing is integral to a product promotion strategy, and to most extent it determines the fate
of any product. FRESCOKE which is a brand extension of Coca-Cola into a category the company
has never experienced in the past, thus it wants to come up with a full blown promotion of the
company’s new offering using both the traditional and contemporary tools of marketing.
With over a billion population India is still a price sensitive market, despite the increasing
purchasing power parity of the country and its increasing economy, the country is still very
price conscious (Ghosh et. al., 2016).India as a country compares price in tandem to the
perceived value of the product, thus FRESCOKA has to outsmart not only in terms of its price,
but also in terms of its pricing strategy.
Pricing Strategy- Coca-Cola is delivering great product which has plethora of value addition
which makes FRESCOKE an ultimate product for the health conscious customers. The company

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is launching in the Tier 1& 2 cities of India which has higher purchasing power parity, thus the
company is going forward with a premium pricing model. The price of 300 ml of Pressed Fresh
Fruit Juice will be INR 100 Rupees (1.46 Dollar). The packaging of the juice will be in 100%
recyclable Tinned can, and the recyclable dispensers will be available at all big retail outlets in
India.
Channel Strategy-The channel strategy of FRESCOKE will be same as that of its any other
product offering. However, the product will not be available in small pop and carry shops and
will only be available at hundreds of supermarkets chains in India, e-commerce platform and
big retail outlets. The distribution strategy is as follows:
 Wholesales/Retailers
 Retail/Super markets
 Restaurants/Café/Clubs
 Fuel Pumps
The product will go from the bottling plant to its thousands of distributers who will further
make the product visible in the market for the end consumers.
Ethical Consideration in Brand Extension
Coca-Cola is most definitely one of the world’s largest well-loved brands and has brand
recognition of 98% in the world. With such high brand recognition, the responsibilities for Coca-
Cola to function ethically increases manifold. Some of the ethical consideration for the brand is:
 Complying with CCI-Coca Cola has to ensure that it does not use its brand recognition
and deep pockets to moot out the existing competition in India. The company has to be a
good corporate citizen by complying with the competition commission of India and co-
create the product in the country. It certainly has to not think in terms of rooting out the
competition by reducing the price of the product for mass penetration hurting the
sentiments of domestic companies.
 Honesty- Honesty is what translates into strong brand association and leads to
sustainability in the business momentum. As the largest beverage company in the world,
the onus is on Coca-Cola to not hide anything from its consumers, in terms of its product
offering, ingredients, packaging and the potential harmful effects of the product. The
company has to be honest and transparent with its consumers to establish the new

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brand of FRESCOKE and keep the trust intact with its market audience (Shaw, McMaster
& Newholm, 2016).
References
Flint, S. W. (2018). In response to ‘Are Big Food’s corporate social responsibility strategies
valuable to communities? A qualitative study with parents and children’by Richards and
Phillipson. Public Health Nutrition, 1-2.
Ghosh, M. M., Ghosh, A., & Ghosh, M. (2016). Impact and Influence of Culture on Brands in Indian
Market. IOSR Journal of Business and Management (IOSR-JBM), 18(7), 54-60.
Gillespie, K., & Riddle, L. (2015). Global marketing. Routledge.
Karnani, A. (2014). Corporate social responsibility does not avert the tragedy of the commons.
Case study: Coca-Cola India. Economics, Management and Financial Markets, 9(3), 11.
Pulizzi, J. (2014). Epic content marketing: How to tell a different story, break through the clutter,
and win more customers by marketing less (p. 5). McGraw-Hill Education.
Reddy, S. K., Reddy, U. M., & Venkatesulu, K. (2016). Brand revitalization. International journal of
science technology and management, 5(1), 321-326.
Shaw, D., McMaster, R., & Newholm, T. (2016). Care and commitment in ethical consumption: An
exploration of the ‘attitude–behaviour gap’. Journal of Business Ethics, 136(2), 251-265.
Sinha, M., & Sheth, J. (2017). Growing the pie in emerging markets: Marketing strategies for
increasing the ratio of non-users to users. Journal of Business Research.
Steffen, A. (2018). Exploring the Benefits of Employing Market Insights and Consumer Trends in
Food Product Innovation: A Case Study from Germany. In Case Studies in the Traditional
Food Sector (pp. 209-237).

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