Coca Cola Marketing Audit: Strategy Evaluation & Recommendations

This report provides a comprehensive evaluation of Coca Cola's marketing mix elements, focusing on the 8Ps (Product, Price, Place, Promotion, Processes, Physical Evidence, People, and Partnership). It analyzes Coca Cola's product strategy, pricing approach, distribution channels, promotional activities, operational processes, physical evidence management, people involvement, and partnership initiatives. The report highlights the effectiveness of Coca Cola's current strategies while also identifying areas for improvement in light of the evolving beverage market and contemporary marketing challenges. Based on the evaluation, the report recommends strategies for Coca Cola to enhance its marketing mix elements, focusing on product innovation based on seasonal preferences and strengthening physical evidence through strategic branding and customer experience initiatives. The analysis leverages industry insights and relevant marketing theories to provide actionable recommendations for Coca Cola to maintain its market leadership and adapt to future trends.

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Executive Summary
The following report includes an in-depth evaluation of the marketing mix elements used by
Coca Cola for its product “Coca Cola”. The marketing mix elements are usually applied to
create marketing exposure, increase customer base, generate sales and do other significant
marketing activities. Nonetheless, the findings of evaluation clarifies that Coca Cola needs to
develop a future strategy for all its marketing elements because the beverage market has
become dynamic with respect to taste and preference, branding and promotion. On the basis
of this findings, the brand has been suggested to develop its products based on season and
physical evidences.

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Table of Content
1.0 Introduction..........................................................................................................................4
1.1 Company..........................................................................................................................4
1.2 Product and location.........................................................................................................4
1.3 Consumer.........................................................................................................................5
2. Analysis..................................................................................................................................6
2.1 Product.............................................................................................................................6
2.2 Price..................................................................................................................................7
2.3 Place:................................................................................................................................7
2.4 Promotion:........................................................................................................................8
2.5 Processes:.......................................................................................................................10
2.6 Physical Evidence..........................................................................................................11
2.7 People.............................................................................................................................12
2.8 Partnership......................................................................................................................13
3. Recommendation..................................................................................................................13
4. Conclusion............................................................................................................................16
References................................................................................................................................17

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1.0 Introduction
The report provides a detailed evaluation of marketing mix and overall marketing strategies
of Coca Cola. The purpose of the report is evaluate how marketing mix elements of Coca
Cola are performing. It is certain that Coca Cola has a wide range of products; however, the
evaluation has only been done for the product –Coca Cola. To perform the evaluation of
marketing mix of Coca Cola, target consumers and locations where the product is being
distributed has also been reviewed in the report. The report ends with providing suitable
enhancement strategies against each marketing mix element with the evaluation of the
contemporary issues impacting the business.
1.1 Company
The Coca Cola Company provides carbonated soft drink products, which is originally
intended as a patient medicine. The product was invented in the 19th century and the firm was
established in 1886, within a few decades, the brand was able to gain a maximum popularity
compared to other brands in that time period. According to the last financial year, the revenue
recorded for 2017 is around USD 35,867 million (The Coca-Cola Company 2018). Coca
Cola’s marketing strategies and packaging have a strong impact on its operation, which is
evidenced by the fact that the brand dove headfirst into the unchartered water of brands
journalism by reconsidering its corporate website as the dynamic digital magazines as well as
owned media channels.
1.2 Product and location
The product Coca Cola is known as the most popular and highest selling soft drink in
Australian’s market history and the most recognizable brand in the world. This product was
patented in 1887 as well as was registered as the trademark in 1893 and then by 1895, the
product was being sold in every state of Australia and some other parts of the world (The

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Coca-Cola Company 2018). This product gained popularity after the franchised bottling
operation in United State and then it started to expand internationally. The major ingredients
of Coca Cola includes Carbonated Water, high fructose, corn syrup, Caramel colour,
phosphoric, caffeine and phosphoric acid. This product was sold in small can containing a
stipulated amount and in a bottle of 200mg.
Figure 1: The product Coca Cola
(Source: The Coca-Cola Company 2018)
1.3 Consumer
As put forward by Weinberg and Pehlivan (2011), segmentation enables the brand to define
the appropriate products for different kinds of consumers. It is observed that Coca Cola does
not target any particular segment but flexibly create its strategy by developing new product.
When it comes to age of the consumers, it is important to note that Coca Cola does not have
any particular target and it is addressed to everyone. However, the main consumers fall
under the age category between 12 to 30 years. Even if there is no particular product or
communication for less than 12 or more than 30 but the brand succeed in approaching them

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with the help if partnership such as restaurants and McDonald (De Mooij 2013). Thus, the
core target audience of Coca Cola is the youth and the youngster.
Figure 2: Target consumers of Coca Cola
(Source: The Coca-Cola Company 2018)
2. Analysis
2.1 Product
The product is an object that an organization produces on a wide scale in a particular volume
of units. According to Mintz and Currim (2013), when marketing a particular product, it is
necessary to think of what customers actually want from the product and what needs does the
product meet or satisfy. Most the most important fact require to considered, is the brand
including any costly feature that the customers will not actually use. In the case of Coca
Cola, no penetrative thought is required to identify the products because Coca Cola has a vast
range of products with the figure around 3300, but Coca Cola is probably the oldest and
highest selling item among all Coca Cola’s products. In this context, Barkay (2013)

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commend that most of the beverage brands, for example, Starbucks first, manufactures the
product and then develop strategy to approach customers while Coca Cola observe people’s
reaction and behaviour and then the product is manufactured. Furthermore, Chen (2012)
commented that the product item should provide a minimum range of performance,
otherwise, the effective work on other elements of the marketing mix will not do well.
However, it is an undeniable fact Coca Cola is the highest selling product in the world due to
its unchangeable and lasting quality.
2.2 Price
The price is usually referred to the value that is usually put or set for particular
product; hence, Yasanallah and Bidram (2012) mentioned that it generally depend on the cost
of production, segmentation, targeting and the capacity of the market to pay. However, some
brands tend to use pricing as demarcation to distinguish itself from others and improve the
image of the product. In the cased of Coca Cola, the pricing is developed in accordance with
the market as well as the geographic segment. As the product is highly demanded by the
young adults and youth such as high school and college goers, the price is less –AU$ 3.36, so
that these unemployed youths can afford. As put forward by Adeyemi and Salami (2010) for
each particular product of Coca cola has competitor’s pricing and PEPSI is the major
competitor of Coca Cola. Here, Karnani (2014) also mentioned that soft drink and beverage is
an oligopoly market; thereby, should be a mutual balance between the sellers in the market.
Thereby, none of the products of Coca Cola charge high price.
2.3 Place:
As put forward by Luan and Sudhir (2010), the place is usually referred to the point of
sale and in every sector attracting the consumers and making it easy for them to buy is the
major aim of good distribution strategy. Hence, Khan (2014) also mentioned that the retailers
tend to pay premium for the appropriate location and even the major strategy of effective

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successful retail business is location. It is identified that Coca Cola is always a step ahead
with respect to distribution of its product. As there is a growing popularity of Coca Cola, the
brand targets small, medium and large size firms selling beverage product. There are
thousands of small corner shops selling Coca Cola in the interior areas of the market. Such
market coverage always helps the brand to lead ahead in the market. It is particularly
observed that the growth of sales of Coca Cola is reflected on the sales generated through the
distribution channel like restaurants and little corner shops. For example, almost 31% of total
sales of Coca Cola in Sydney came from the small and medium size restaurant chain (The
Coca-Cola Company 2018).
2.4 Promotion:
This particular product is referred to all the activities undertaken to make the product
familiar to the buyers. So, this may include advertising, word of mouth, press reports, CSR
and commission award to the business (Cuganesan, Guthrie & Ward, 2010).When it comes to
promotion and advertising, Coca Cola has been observed to be using all available strategies.
Firstly, the brand has a strong and continues involvement in social media channels such as
Facebook, Twitter and YouTube. Apart from the involvement in digital media, Coca Cola
creates other promotional strategies by associating the brand with the life style and behaviour
of people. In the recent time, the brand has observed that people in each nation or market are
fond of music which is culture; thereby, to use this culture as the strategy, the brand launched
Coke Studio music which creates original music and the brand gains exposure from several
markets such Australia, US and other Asian nations (Barkay, 2013).

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Figure 3: A promotional initiative of Coca Cola
(Source: The Coca-Cola Company, 2018)
Coca Cola also leverage the festivals and events to make advertising content, for example, in
Christmas, they include the content of the festival to promote the product.

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Figure 4: Advertising initiative of Coca Cola
(Source: The Coca-Cola Company 2018)
2.5 Processes:
As put forward by Yasanallah and Bidram (2012), the aspect “Process” of marketing
mix usually represent the activities, procedures, protocols and many more through which the
product is eventually to the consumers. Kusumawati et al., (2014) mentioned that as products
and services are the actions for or with the buyers, a process could involve a series of steps
and activities to fulfil its eventual outcome. Coca Cola monitor its product process with the
sophisticated control equipment as well as testing programmes to meet growing the
expectation of the consumers. The technology is applied to each section of product
processing. The production cycle of the product usually starts with sugar, fruit juice, flavour
and concentrate beverage. Thereafter, the finished goods are packaged with PET, glass
bottles, metal cans and bags (De Mooij, 2013). Another significant characteristic in Coca
Cola’s product process is the collection of customers’ feedbacks. This man the feedback from

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customers help the brands clarifies the required tightening in the process with the purpose to
meet customers’ needs and expectation. Coca Cola considers delivery system and the
flexibility of the employees as the significant elements in successful delivery of the product.
The brand uses its broad distributional network to supply its products to all little, small and
medium size shops.
2.6 Physical Evidence
As put forward by Kim and Hyun (2011), the physical evidence within the marketing
mix approach is referred to a particular platform in which the product or the service could
come from the communication between an employee as well as the consumer which is
integrated with a tangible commodity. To enhance its physical evidence, Coca Cola took a
great initiative such as decorating a particular section of a shopping mall where its products
are kept. This cold store place is eye catching because customers get attracted. In addition to
this, Coca Cola provides its own refrigerators with the brand logo and liquid splashing over
the refrigerator to the small corner shops. The long distribution network also plays the role of
creating an effective physical evidence- all its supplier and distribution vehicle are designed
with brand name and logo; thereby, one can easily identify the brand. Furthermore, it is also
identified that people working in the organizations such as employees at the manufacturing
plant wearing the T-shirt of the brand. The people in the supply chain network, especially,
those who are working in the outfield wear T-shirts provided by the brand only.

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Figure 5: An initiative of creating physical evidence
(Source: The Coca-Cola Company 2018)
2.7 People
According to Yasanallah and Bidram (2012), people in marketing mix may include
people who are directly or indirectly involved in the trade of the product. This may include
the customer contact employees who are the major of the organization as they convert the
quality of the product. In the case of Coca Cola, the major key for development of its people
for promoting the brand is quality motivation as well as the rewarding system. For people
development, the brand Coca Cola differentiate both functional and non-financial incentives.
The brand tends to encourage internal promotion such as recognition, education,
achievement, challenges and responsibility. These activities certainly indicates that brand
makes a large investment for people development as their people also act as the promotional
element. On the other side, customers of Coca Cola also plays a great role in forming
“people” element of their marketing mix; because the consumers (not the end users) buying
the products are having a sustainable relationship with the brand. The consumers are using