This report analyzes the branding strategies of Coca-Cola and their impact on consumer behavior and decision making. It explores the identification of consumers, marketing and branding strategies, and analysis of consumer behavior. Recommendations are provided for effective marketing and meeting organizational goals.
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Branding and Consumer Behaviour
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Table of Contents Introduction.....................................................................................................................................3 Identification of Consumers.......................................................................................................3 Marketing and Branding Strategies............................................................................................4 Analysis of Consumer Behaviour..............................................................................................5 Strategies along with its impact on consumers and decision making process............................7 Recommendations......................................................................................................................8 Conclusion.......................................................................................................................................9 References......................................................................................................................................10
Introduction Consumer Behaviour refers to a study in which analysis of consumers along with various methods they use to dispose their income towards various products and services is assessed. It includes various factors such as mental, emotional and behavioural responses of a customer towards the products. On the other hand branding refers to the practices in marketing under which creation of name, symbol as well as designs of different products that are differentiate it from others in market. Effective branding is helping a business in providing competitive advantages to business(Eggers, Eggers and Kraus, 2016). The following report analyses branding strategies of Coca-Cola Company which a successful American multinational brand that manufactures beverages. It is headquartered in Atlanta, Georgia. Company is indulged into manufacturing, marketing and retailing of non-alcoholic beverages concentrates as well as syrups. The following report discusses about a number of branding strategies that are used by Coca-Cola and the degree to which these strategies are affecting decision making of a consumer. Along with this some recommendations for company are also discussed which will effectively help the organisation to influence more customers and also meet all the goals and objectives of organisation. Identification of Consumers Coca-Cola strategically analyses its target market in order to identify the potential customers of company. Company however does not focus on certain segment of consumers but adaptsthemarketingstrategybydevelopingandinnovatingnewproducts.Thishelps organisation to continuously increase their consumer base. The major age group which Coca Cola focuses on ranges from 13-30 years of age. However there are a number of partnership joints through which company reaches other age groups as well. They have linked up with a number of fast food restaurants such as Mc Donald's and Domino z through which it reaches out to customers. However the major customers of company are youngsters. When studying about gender company does not focus on any specific gender as their products are gender neutral. Coca cola successfully operates in more than 200 countries. Even if there are no manufacturers present in country for Coca-Cola the entrepreneurs import it from other countries and sell. It is hard to look out for name of countries which do not sell coke. Company is effectively advertising in order to
increase their customer base and look for real customers. McDonald is one of the biggest customer of Coca Cola. McDonald's is important for Coke as it is the only consumer or business partner of Coke with its own division in company(Keller, 2020). Marketing and Branding Strategies Branding and marketing are two of the important functions which are to be use by companies in order to make sure that the customers are effectively attracted towards the brand. It is necessary for companies to increase their customer base and develop a competitive edge which is made possible by marketing and branding. When taking Coca-Cola into consideration the company is turning into a synonym for “Happiness and Sharing”. Digital marketing is a great medium with the help of which companies are reaching out to mass consumers from a single effort. With the help of internet revolution brands are effectively expressingwhat are they and how can they make difference in lives of consumers.UsingdisruptiveinnovationandvariousconstantchangesCoca-Colahave successfully developed its personal visual change, language and iconography from the energy that is used through digital playground. There are various branding strategies used by Coca cola which are mentioned below:Focus on Individuals and not towards organisation:Coca-Cola have successfully developed its communications, packaging in order to meet the promises that it had made to its customers that are “Happiness and Sharing”. When analysing an advertisement of Coca-Cola it can be seen that every add only speaks about people and volume. Only at the end of each advertisement there is a glimpse of the iconic bottle along with the brand name(Stephenson, Heckert and Yerger, 2016). This helps in branding through a number of visual effects and company tries to create various stories which often keep their focus upon the only philosophy that is followed by organisation of “Happiness and Sharing” .Look for uniqueness of consumers:They are focusing upon their audience while crating advertisements. They keep in mind that there is no age bar attached to it. They focus upon huge segments at a time in order to do justice to all of them at a time. Examples can be taken from the advertisement that was created by Coke for Australians as they knew that they have less customer base n Australia so a video was created to let people know how important they are for company. The company have evolved adapting customs and cultures at different regions as it has its brand name written in Chinese for China, also in
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Australia company have individuals name rather than the whole brand name altogether. In this way company keeps on surprising its customer to enhance its brand value.Focuson great content:The advertisementsand branding used by Coca-Cola is specifically focusing on content. They make sure that they have creative content which can support their vision. These content is successfully connecting with the target audience of company at a different level.Right form of visuals:The brand majorly focuses on creating stories rather than just creating advertisements(Das, 2016). They are involved in bringing in creativity and planning in order to leave customers engaged. They focus on statement ” It is not about a bottle of coke, they say, its about how we change lives.” Focus on Vision Statement:The vision statement of Coca-Cola says “ Happiness and sharing”. Since 1970 there have been creation of a number of different advertisements and campaigns. Still all of these are majorly focusing on the vision of company. They have effectively been in par with their vision statement. In this way Coca-Cola tries to engage its customers and become participatory as well as transparent at market place. The branding strategy of Coca-Cola creates a void in the minds of consumers and fills it with a glimpse of bottle along with the heartfelt story. Analysis of Consumer Behaviour Consumer behaviour is the study which includes analysing various processeswhich are used by consumer to choose a product or service is evaluated. Emotional, mental and behavioural responses of consumers are also studied in this. There are a number of concepts which helps organisation in understanding behaviour of customers. It can be divided into Psychological Concepts:Psychological concepts include the study of complex human behaviour. It helps in understanding mental processes with the help of inspection of perception, memory,emotionandcognitivedevelopment(Viardot,2017).Evaluationofconsumer behaviour using various psychological concepts are: Trio of Needs:This includes three major motivators which will influence the buying behaviour of customers by an organisation. The first need is referring toneed for power.This is the desire of an individual with the help of which one can effectively control their environment. The second need isneed for affiliation.The need for affiliation says that buying behaviour of a consumer is often strongly influenced with the help of desire for acceptance, friendship or belongingness. The
third need for an individual which might change their decision making process includes the regards towards the personal accomplishment which is called theneed for achievement. According to David Mclelland every consumer has three needs(Reynolds and Phillips, 2019). Whatever their gender, age, or cultural background is the consumer decision making can be effectively influenced using these tools. Coca-Cola can also fulfil these needs of their consumers and with the help of it they can effectively attract customers, increasing their customers base, revenues as well as profits for organisation.