Marketing Strategy of Coca-Cola: A Critical Report Essay

This critical report essay analyzes the marketing strategy of Coca-Cola, including segmentation, targeting, positioning, marketing mix, SWOT analysis, and hierarchy of needs. It also discusses the company's global presence and globalization strategy.

Critical Report Essay

Table of Contents
INTRODUCTION...........................................................................................................................3
MARKETING STRATEGY OF THE COMPANY........................................................................3
Segmentation, targeting and positioning of the company...........................................................3
Company’s Marketing Mix:........................................................................................................4
SWOT analysis of the company..................................................................................................5
Hierarchy of Needs at Coca-Cola................................................................................................6
GLOBALISATION STARTEGY...................................................................................................7
Global Presence...........................................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Marketing refers to that aspect of a company which will help to promote the products into the
customers. There are certain activities that are to be undertook by the company like that of
buying and selling products. The service is based on the product delivery as well as taking them
into the customers upon increasing the customer base. There said to be different components that
are associated with every business management (Deepak and Jeyakumar, 2019). Marketing will
enhance the growth of the company to a very next level to which the company is aiming at.
Marketing is the sole purpose of a company to deal with the myth of accomplishment. The entire
report deals with the aspects of marketing and the analysis that is required for the company in
order to improve the marketing measures as well as factors that contribute to the growth of the
company. The organisation that is chosen in this regard is Coca-Cola. The company Coca-Cola is
the beverages industry which is most famous for the carbonated soft drinks. This idea of
establishing the company was brought about by John Stith Pemberton. The report brings forth
the marketing ideologies that are being used by the company Coca-Cola and the measures that
were taken in order to go in to the people.
MARKETING STRATEGY OF THE COMPANY
One of the world's leading soft drink manufacturer Coca Cola is said to be operating in more
than 200 countries globally. It is mostly known for its soft drink manufacturing and is the best
conqueror of the beverages industry. The revenue that is generated by Coca-Cola is assumed to
be more than 80 % of the amount that it gains on profit from the different countries. It has also
been regarded as one of the strongest brand and this reputation is evolved because of the quality
and the taste it maintains (Schwartz and Woloshin, 2019). This recognition has brought the
company Coca-Cola a global reputation which has approximately increased its business to 94%
of the total population of the world. The logo with which the company operates is said to gain
most popularity based on the different strategies that are adopted by the company.
Segmentation, targeting and positioning of the company
The segmentation of the company Coca-Cola is of the following stages. They are as follows:
Determining the need: The company would first determine the need of the society as well as the
restaurant upon which they will have to consume soft drinks and half our customers are able to
take the product. This will help them to identify the process upon which the company can focus.

Segment identification: This is very important in order to identify that how far and which
community can accept the product upon entering into market. For this particular identification it
is required to know the geographic, demographic, physiographic feature which falls under
segmentation. Upon differentiating who will be able to consume the product the company can
target the commodities as well as the communities (Appel and et.al, 2020).
Profits attainability: the company will ensure the profitability standard upon the different
segmentation that are being targeted upon. This segment will have to drive profitable measures
upon the decisions. Mostly the beverages are consumed by the youngsters and therefore the
company's major target was and is the youngsters.
Company’s Marketing Mix:
Product mix: The Coca-Cola company is occupying a greater part in the beverages industry. It
is said to be manufacturing almost 3300 product that falls under this company. There are also
sub-categories in the beverages that fall upon diet category, fruit juices, energy drinks etc. The
product quality that is manufactured by the company Coca-Cola is said to be one of the best
competitors in the beverages industry and it is also the formula that made it one of the world's
number one brand in beverages (Mothersbaugh and et.al, 2019).
Price mix: Based on the segmentation of the company the prices are decided and the products
are made available. the geographic segmentation is mainly targeted upon determining the prices
of this product. There are some brands that comes under the company Coca-Cola which will vary
from different pricing strategy. The competitors are said to be immense in this industry and
therefore based on the competition in the market the prices are determined. The major competitor
for Coca Cola is Pepsi which is said to be a direct competitor. Therefore, based on the balance
that is obtained in the market the pricing strategy is determined. All these differential factors
determine the product and the price of the product is said to be negotiable which is consumed by
everybody.
Place mix: There is not just a place where the company is confined to be. Coca-Cola is said to be
a favourite brand to everybody all over the globe and therefore it is available in almost all the
countries (Grewal, 2020). There is a process of distribution system which will help the product to
reach remote areas and the network is immense. It is available in all countries as well as the rural
market.

Promotion mix: Promotion is considered to be the integral part of the organisation and it will
draw the eye of the user. The company Coca-Cola is said to be adopting various promotional
Strategies and the major source is advertising. There is a greater demand for the advertisements
that are produced by the company and is said to be one of the market lead just because of the
value that is gained from advertisement. Mostly the advertisements are oriented with the positive
message and the advertisements are majorly seen during the festival seasons. The company also
used as CSR marketing tool that will help it to gain benefits and consumer mindsets. Promotions
are almost done through CSR will also benefit the campaigns that are done by different brand
ambassadors (Morgan and et.al, 2019).
SWOT analysis of the company
The swot analysis of any industry deals with the strengths, weaknesses, opportunities and threats
that exist internally. These will have to be identified at regular intervals and will have to be
triggered and understood in order to sort them at times. Swot analysis will act like a tool in order
to identify and put forth the activities that will brings about profits and also the disadvantages
that are associated.
Strengths: the strength of the company coca cola is it brand equity. Its company valuation is
said to be around 9.2 million dollars and it also includes different factories that work under the
company. It has a vast global presence of more than 200 countries where it is present in almost
bigger to smaller market. There is a lot of market share for this company and its revenue
generations is considered to be immense. The different marketing strategies are considered to be
the biggest strengths for this companies which will help it to sustain the competition in the
marketing.
Weaknesses: the weaknesses of the company Coca-Cola is the competition that is existing in the
market. There seem to be different beverages industries that are arising every now and then
which seriously impose a good amount of competition to the company. The product
diversification is considered to be a little law where there are different other industries that are
conquering. The absence of health beverages is considered to be one of the weak point for the
company and therefore many communities do not encourage consumption of the beverages
manufactured by Coca-Cola company. The water management is the biggest drawback for the
company since there are many management issues till date that are prevailing.

Opportunities: the developing nations are the major opportunity maker for the industry since
there is a huge requirement for the ages that is to be introduced in the countries like those that
contain hot and humid climate. People feel like consuming more of these beverages when the
climate is considered to be hot. The packaged drinking water is said to be mostly consumed and
therefore it has a presence of packaged drinking water segment which will bring in more
opportunities. The supply chain improvement is said to be good and it will raise the cost of
transportation (Chaffey and Smith, 2017). The transportation and distribution will further be
improved in the areas that are remote. The less selling products are in the market will take Coca-
Cola as their reference such that there will be a brand improvement that is at end for the
company.
Threats: The major threat for the Coca-Cola company is water. Since there is a scarcity of water
the company will soon be finding water as its major threat. The indirect competitor will severely
impact the growth trajectory of the company.
Hierarchy of Needs at Coca-Cola
The hierarchy of needs that are in regard to the company Coca-Cola are as follows:
Physiological needs: the physiological needs are mostly associated with the employees of the
firm who will make income and profit that are generated with the company. The employee is
said to be incorporated with the values that are associated to develop strategies and therefore
their physiological needs are met in order to make them survive. The company Coca-Cola values
its work for and therefore it often benefits its employees with the annual incentives and long-
term performance packages.
Security and safety needs: The Coca-Cola company is always at its best in order to provide
security and ensuring safety to its employees. This is the best feature that is being followed by
the company and so the work for pasting dedicated for over a long run. In order to keep the work
for safe while they are at work the company has provided security guards such that no amount of
discrepancy can meet them. The one thing that is to be employed in the company Coca-Cola is to
provide the pension schemes for the employees who have tirelessly worked for the company and
took retirement. This will provide security for their future and will also serve their existence.
Social needs: there is a kind of friendly atmosphere in the organisation and this provides workers
to promote healthy working culture. The workforce in the company accept all the norms and
policies and that create harmonious environment in the company. There is a enjoyment that is

associated with the work in the form and therefore the employees state dedicated to the working
hours. There is a diversifying work culture in the organisation with people from all over the
world which aim at creating strategies that are nowhere found.
Esteem needs: the kind of respect that is maintained in the organisation which will help
employees to develop their skills and sharpen their goals. Whatever kind of position that is there
in the organisation will be provided with equal respect and that helps in promoting higher
positions in the company (Alalwan, 2017). It is said that there is a global system of workforce
that is usually aimed at creating opportunities in the company and that derives all the
motivational factors that are associated.
Self-actualization needs: the self-actualization needs are so much concerned by the company
and therefore there is a kind of training that is offered to the employees by the management in
order to increase the performance. This will also develop a circle-oriented programming that will
incorporate all the basic amenities that are required for the employees in order to sustain the
negativity in the company.
GLOBALISATION STARTEGY
Globalisation refers to the art of expansion of a particular business and two other countries upon
the decision of making more profit and to reach the growth prospects. Every organisation at
times believe in the prospect of expansion and will find means of expanding its operations
overseas. The same with the Coca-Cola company. The different entry measures into the global
market are as follows:
Joint venture: In this particular method the ownership is like shared between and the percentage
is decided upon the various norms of the organisation. There seems to be different benefits on
the international joint venture market since the local markets are already prevailing and are said
to be having more market share. Therefore, in a country where there is a heavy culture and
competitiveness the joint venture system will help the organisation to withstand the pressures
and to learn on an instance. If at all there is a chance for risk then the risk can also be shared
between the local partner.
Acquisition: Acquisition is considered to be another method that will be helpful upon expanding
globally it is said that the international market once acquired can bring users that are
accompanied with finance or any help the company requires. Therefore, in this prospect it is
required that the organisation will have to go through terms and conditions in order to determine

the profit over a long run. The economic benefits of the country will also be included upon the
organisational performance.
Global Presence
Marketing word is considered to be at a pace where any industry that is involved in making
profit is gaining lot of importance upon the economy of the world. Any operation that is done by
the industries for the organisations that hasn't for a particular formula to multiply and going to
the greatest ideas based on the economy as well as the revenues that are generated. Whatever be
the cost that is initially put forth for a company is development will later have to gain profits
without going bankrupt. This is the aim of every industry. The coca cola industries considered to
be one of the largest beverages company where there are multiple products that are manufactured
and are being sold. Its presence is almost around everywhere and in every country minute remote
villages are also provided with the product. the gross domestic product is said to be expanding at
an immense rate and the rate of exchange is also reliable. The retail market is expanding day-to-
day and there said to be nearly Billion estimated retail market annually. The Coca-Cola
Company nearly takes up all the global activities and is a global promoter with its products
reaching every corner. Since the establishment of the company it gradually rose its graph to
certain extent that now it has attained the point of being the leading competitor in the beverages
industry. Globalisation brings about great changes in the organisation. The company policies that
are once habit created in the parent country will soon be changed upon the country where the
company is going to expand. This indeed is regarded as a centralised move and that is being
adopted and incorporated by the management. There are times when the company will have to
stay motivated upon the global expansion since there will be challenges that are being faced by
the geographical segment of the countries where the business is going to be inhibited. Many
companies all around the globe will not be maintaining harmonious work culture that is followed
by the country where the company is going to expand (Kamps and Schetter, 2018). This
represents that globalisation will force changes to happen in the company as a result of which the
company will have to mould to the circumstances in order to reach the point where it has
targeted. There seems to be different connections which will appear to be triggering at regular
intervals of time and the company's management will have to do with flexibility and the
responsiveness will have to be maintained. every company that focuses on globalisation is in a
hustle to achieve the culture identity as well as to resemble their home culture in the areas of

expansion. The formula that is being adopted by the company when it was in the air and country
is said to be more flexible such that it can face the challenges and the responsiveness of the
country where the company is going to expand. When the company is less sensitive to challenge
then it is not recommended to go globally on lesson until it attains a graph of being the strongest
competitor. The Coca-Cola company is said to be pertaining to its strength from ages since its
formula of maintaining multi local businesses. It is seen travelling through many stages of its
development by maintaining local bottling partners wherever it is planning to expand. Therefore,
the Global strategy of Coca Cola is not such a hectic one for the company since it has attained a
good reputation and is now able to adhere challenges that come along its way. Its presence is
seen in more than 200 countries and the company has a grip of all the local laws and culture that
is prevailing in different parts of the world. Upon this global expansion the company has attained
complete knowledge on the geographic marketing plan. The Global strategy of Coca Cola lies in
the application of this strategy by thinking globally. The entire point of globalisation lies in its
workforce who is always in a face of dedication and their work is a result of its achievements.
The sales of the company which has crossed billions shares in the hands of the colleague that are
dealing with. The colleagues of Coca-Cola Company are said to be involved in bringing out the
outcomes and the ideas that will turn up the greatest strategy for global development. The
consumer adaptations are thoroughly learnt by the company and therefore it helped in the
business prosperous activities. Promotion is said to be one of the crucial tool for the company
upon expanding globally (Moorman and et.al, 2019). The different advertisements that are
designed in order to meet the local people of where the country is expanding has impacted so
much and it has increase the sales to such an extent that it has become the part of people's daily
life. Most of the time The Coca-Cola company release as its advertisement on special festive
seasons as well as per basis of promoting campaigning activities for themes. This said to be
favourable demanding the consciousness of its customers and they are attracted to the framework
of the company. The local manufacturers are in the Coca-Cola company which is a major asset
of the company in order to expand globally. The response the company end up on the local
manufacturing bottling companies is immense and therefore it has contributed towards a peaceful
expansion. Marketing process is said to be the backbone for this particular industry and therefore
the competitors are differentiated upon the marketing plans that are adopted by the company
Coca-Cola. The formula that was adopted by the company Coca-Cola upon using the marketing

strategy is the three A's which are the availability, affordability and acceptability. Recognition
here is said to be a typical task and it is not done by many industries. The Coca-Cola Company
upon its consistent operation has attained a proper recognition that even a remote corner of the
world can recognise this brand as one of the best ruling one. In the beverages industry the
strategies that are used by the rural markets are also immense and that has contributed to the
growth of the company. There are a number of outlets from which the product can reach its
customers. Upon expanding globally the major target of the company Coca-Cola is the
youngsters that participate in events as well as the gatherings. It is said that most of the
youngsters are prone to be using this beverage as a satisfactory one for their events. Therefore,
the company majorly focuses upon targeting the youngsters in order to penetrate into the market.
CONCLUSION
The entire report concludes upon explaining the importance of marketing strategy in the
company Coca-Cola. The report explains the importance of marketing as the basic measure that
is undertook by all the companies that are surviving in the market race. The report explains the
need for marketing and determined it to be the sole purpose of accomplishment. The marketing
that is associated with the Coca-Cola beverages company is put forth in the report along with the
marketing strategy that will help to understand the strategies that are associated with the
company. The segmentation, targeting and positioning of the company are being depicted in this
report which helps to identify the determining need as well as the segment identification. There
are different profits off attainability that are mentioned in the reports which will highlight the
most consumed aspect of the product. The marketing mix of coca cola company will put forth all
the four stages of marketing mix which are product, price, place and promotion mix. The swot
analysis will bring forth the internal factors that affect the company and how the company is
being able to sustain. The strategies that are associated with globalisation are also explained in
the report with the different ways of globalisation measures that are joint venture and acquisition.
The global presence of the companies is also highlighted in the report bringing forth the
measures that are undertook by the organisation.

REFERENCES
Books and journals
Deepak and Jeyakumar, 2019. Marketing management. Educreation Publishing.
Schwartz and Woloshin, 2019. Medical marketing in the United States, 1997-2016. Jama.
321(1). pp.80-96.
Appel and et.al, 2020. The future of social media in marketing. Journal of the Academy of
Marketing Science. 48(1). pp.79-95.
Mothersbaugh and et.al, 2019. Consumer behavior: Building marketing strategy. McGraw-Hill
Higher Education.
Grewal, 2020. The future of technology and marketing: a multidisciplinary perspective.
Morgan and et.al, 2019. Research in marketing strategy. Journal of the Academy of Marketing
Science. 47(1). pp.4-29.
Chaffey and Smith, 2017. Digital marketing excellence: planning, optimizing and integrating
online marketing. Taylor & Francis.
Alalwan, 2017. Social media in marketing: A review and analysis of the existing literature.
Telematics and Informatics. 34(7). pp.1177-1190.
Kamps and Schetter, 2018. Performance marketing. Springer Fachmedien Wiesbaden.
Moorman and et.al, 2019. Challenging the boundaries of marketing.
Online
Marketing Strategy of Coca-Cola: [Online]. Available through: < Marketing strategy of Coca
cola - Coca cola strategy (marketing91.com) >
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