Coca-Cola on Facebook
Coca- Cola is one of the soft drinks manufactured by the Coca- Cola Company. The Coca-Cola Company is a beverage company invented in 1886 manufacturing over 3000 products, which include Dasani, Minute Maid, and Odwalla (Deighton & Kornfeld, 2012). Coca-Cola drink was developed by John Pemberton who as an American pharmacist as a medicine which could be accessed without prescription (Pendergrast, 2013). Coca- Cola Company later adopted the drink and through successful marketing strategies, it dominated over the soft drinks market across the world. The formula of the Coca- Cola drink remain a secret although there many speculations on the components of the drink. This gives the Coca- Cola Company a competitive advantage over other soft drinks companies (Pendergrast, 2013).
Coca-Cola on Facebook
In 2008, Sorg and Jedrzejewski who worked in the entertainment industry decided to create a brand on facebook selecting Coke, as it was the available and easiest idea to come up with at that time. Due to the big brand name that Coke had, there were still other facebook fan pages on the internet about the drink (Deighton & Kornfeld, 2012). The fan page had over 1 million followers within three months, which led to facebook executives informing the Coca- Cola Company management on such as this was in violation of their terms of service (Deighton & Kornfeld, 2012). The Coca- Cola Company was in a fix in deciding what there next steps would be since as the company could either take down the fan created page or still use the page as a marketing platform. The company spends so much in marketing their products all across the world as their products are sold in most of the countries all over the world (Deighton & Kornfeld, 2012).
What Are Coke’s Primary Internet Promotional Objectives? Have Coke’s Objectives Changed Significantly Over The Years And, If So, How?
One of Coke’s primary internet promotional objectives is maintaining a strong reputation, which includes building a strong brand identity with imagery and improving their communication using social media (Hitt, Hoskisson, ; Ireland, 2015). This includes promotional activities intended to impact the consumers using the social media and other internet platforms. This has been achieved through advertisements on online platforms, which include facebook and YouTube (Hitt, Hoskisson, ; Ireland, 2015). Coca-Cola Company has also participated in sponsorship initiatives meant to promote its objectives and brand. This is also meant to enhance and improve its reputation to the customers of their products (Hitt, Hoskisson, ; Ireland, 2015). Another promotional objective for Coca-Cola is to increase sales of the company all across the world by satisfying the needs of the customers by interacting and collecting feedback from the customers through online platforms (Pendergrast, 2013).
As the Coca-Cola Company continues developing new products on its product line, they have the responsibility of satisfying their new customers and promoting their new products to the new markets (Pendergrast, 2013). The Coca-Cola Company has also the objective of expanding their market share through the development of new products, which focus on new markets. The marketing department has the responsibility of targeting new customers to increase their market share (Pendergrast, 2013). Coke’s objectives have changed over time with some of the current objectives including changing and improving consumer perception by promoting their value of their products and more innovation. This is attributed to the growing trend of customers preferring more healthy drinks and drinks, which provide nutritional value (Pendergrast, 2013).
This has led to Coca-Cola Company developing healthier beverage products with high nutritional value and different packaging for their products, which provide information of nutritional value on the packaging of their products (Hitt, Hoskisson, & Ireland, 2015). This is also based on the increase in competition in the beverage market where more companies are coming up with healthier drinks (Hitt, Hoskisson, & Ireland, 2015). Due to the diversity in the beverage market which includes changes in the composition of drinks and social responsibilities expected from big multinational companies, customers have high demands on companies for greener and more sustainable products. The Coca Cola Company has concentrated on other promotional objectives, which include adopting green strategies, which indicate social responsibility of the company (Hitt, Hoskisson, & Ireland, 2015).
What Do You Feel are The Most Valid Measures For Assessing the Success of Coke’s Internet Advertising? Explain Why You Feel That These Are the Best Means of Determining Effectiveness
Valid measures of assessing the success of Coke’s internet advertising include the revenues generated by Coke sales. Revenues include the financial gains through certain efforts or strategies, which are aimed to impact the revenue margins of an organization (Pendergrast, 2013). An increase in the revenue margins is an indication of success of Coke’s internet advertising where else a decrease or constant revenue margin is an indication of no effect on the Coke’s internet advertising (Hitt, Hoskisson, & Ireland, 2015). Another valid measure of assessing the success of Coke’s internet advertising is through the customers of the brand. Customers can provide feedback to the marketing department through an analysis of customer satisfaction and customer loyalty (Hitt, Hoskisson, ; Ireland, 2015).
Customers also impact the revenues for an organization either by increased sales or decreased sales which determine the impact that an advertisement has had on the customers (Pendergrast, 2013). Increased demand is an indication of positive outcomes of an advertisement strategy where else low or constant demand is an indication of low impact of the advertising strategies on the customers (Pendergrast, 2013). The market share is also a measure of the success of advertisement efforts as advertisements are aimed at increasing the market share of an organization’s brand. An increased market share is an indication of a successful marketing plan (Pendergrast, 2013).
Many of Coke’s Competitors Are Attempting To Imitate Aspects of Its Internet Advertising and Integrated Promotional Program. (a) Does This Present A Threat To Coke? (b) Why Or Why Not, And How Should Coke Respond?
This does not present a threat to Coke as Coke has integrated creativity and innovation as one of the main aspects of their production. This is seen in the many products on their product line as well as the marketing strategies (Shrivastava, 2013). Coke will continue to come up with more innovative internet advertising and integrated promotional programs to remain competitive over the other companies (Shrivastava, 2013). A disadvantage that the companies have in copying promotional aspects of Coke’s advertisement and promotional strategies is that customers may actually think about the Coca-Cola Company instead of the other company (Shrivastava, 2013).
This is due to the large influence and market share that Coke has all over the world. It is also difficult for other companies to copy exactly the strategies implemented by coke due to the limitation of resources that the companies may have (Shrivastava, 2013). The Coca-Cola Company is a multinational company with adequate resources to implement uncompetitive advertising and marketing strategies. The Coca-Cola Company has a high control on the market compared to other companies, which gives it an advantage over the other companies (Shrivastava, 2013).
Deighton, J., & Kornfeld, L. (2012). Coca-Cola on Facebook. HBS No. 9-511-110: Boston, MA: Harvard Business School.
Hitt, M. A., Hoskisson, R. E., & Ireland, R. D. (2015). Strategic management: Competitiveness & globalization. Stamford, CT: Cengage Learning.
Pendergrast, M. (2013). For God, country, and Coca-Cola: The definitive history of the great American soft drink and the company that makes it. New York: Basic Books.
Shrivastava, K. M. (2013). Social media in business and governance. New Delhi: Sterling.