Archive for March, 2009

31
Mar
09

Facebook and Coke

In an article on ajc.com:

If you think your Facebook network is growing, brace yourself for some staggering numbers on a Coca-Cola page. A Facebook page created last year by a Coca-Cola enthusiast in Los Angeles has attracted 3.3 million fans, the second-most of any page. Only President Barack Obama has more supporters. The page, though, also has posed an interesting dilemma for the Atlanta-based beverage giant. As the numbers grew last year, Facebook asked Coca-Cola to take over the site, a change the company feared fans would view as a heavy-handed move by a big corporation. Dusty Sorg, a 29-year-old Los Angeles actor and creator of the page, said he never thought his page would become so popular or create a dilemma for Coca-Cola. All he wanted to do was build a Facebook presence worthy of his favorite beverage. He was disappointed by the quality of other fan sites. “Show some respect for this beautiful product,” Sorg said. So in August, he Googled a high-res picture of a Coca-Cola can. He borrowed some background information on the brand from Wikipedia. And he pulled together a Facebook page: www.facebook.com/coca-cola. He enlisted the help of his friend, Los Angeles writer Michael Jedrzejewski, also 29 years old, to administer the page. Within three or four weeks, the page had hit 750,000 fans. Sorg and Jedrzejewski aren’t sure why their page stood out from other Coke fan sites. It helped that they built the page on Facebook, a social media site rapidly gaining members in the past year. The profile picture, a crisp image of a Coke can, likely caught the attention of Coke fans, they said. But while gaining millions of fans, the page also was attracting the attention of Facebook administrators, who contacted Coca-Cola. It had become so large that Facebook had flagged it for generating objectionable material. High-traffic sites tend to attract obscene language and nude photos that have nothing to do with the topic. Facebook policy called for closing the site or turning the page over to the owners of the brand. Late last year, Michael Donnelly, Coca-Cola director of worldwide interactive marketing, sent an e-mail to the creators explaining that Coca-Cola wanted to work with them on a solution. Sorg was excited to be contacted by Coca-Cola. “I was floored,” he said. “I called my mom before I called Michael [Donnelly].” “I thought we were going to get sued,” Jedrzejewski said. Instead, Donnelly invited the pair to Atlanta. They visited the World of Coca-Cola, attended a Thrashers hockey game and toured the Coke archives on North Avenue. They also talked with Coca-Cola about the Facebook page. Coca-Cola wanted to make sure the page could continue to exist without the company intruding on fans. “It’s a fan club,” Donnelly said. “We don’t necessarily think a fan club should be owned by the company but rather more by the fans.” The two sides have taken a collaborative approach. A small group of Coke employees, including Donnelly, helps monitor the site. They remove obscenities and inappropriate photos. They take a hands-off approach to other comments. Every so often, for example, someone posts “I like Pepsi.” Those comments stay. “There’s constantly people testing it,” Donnelly said. “We think that’s what’s keeping it real and keeping the conversation going.” Coke plans to use the page to direct people to other passionate fans on the Web, Donnelly said. The company has posted some items on the page, such as a behind-the-scenes video tied to a new marketing campaign. But Coke does not want to flood the page with its material, he said. “We will occasionally utilize it to drive traffic to new opportunities and even post those opportunities there,” Donnelly said. “But it will not become an overly commercial repository of Coca-Cola assets.” As for the Los Angeles creators, they hope to use the site as a creative outlet. They’ve posted a video about their Atlanta visit. Sorg said he already appears in commercials. He wants the fan page, which doesn’t provide him a paycheck, to be different. “Being an actor, I don’t want to sell out to a big company and not get paid for it,” he said.

TOP FACEBOOK PAGES:
Name……………………….Number of Fans
1. Barack Obama: ………………..5,998,526
2. Coca-Cola:……………………3,336,512
3. Nutella:……………………..3,097,973
4. Pizza:……………………….3,065,886
5. Cristiano Ronaldo (soccer star):..2,792,785
6. kinder surprise (candy treats): ..2,617,668
7. Facebook (fan page):…………..2,556,539
8. Windows Live Messenger: ……….2,499,924
9. Sid (character from “Ice Age”): ..2,441,875
10. Boo (“Monsters Inc.” character): 2,390,988

We all know that facebook is an important part of millions of peoples lives. Some people spend hours a day on this site. A Coca-Cola enthusiast started a facebook page for the brand. This group now has 3.3 million fans. This is the second largest page on the site. The page was started by two coke fans however it is now a collaboration between these two coke fans and the corporation.

Facebook is a very useful marketing strategy for many corporations today. Even though this is a fan site this is a place where Coca Cola’s fans can come together. It is also a place where you can discuss the brand and make recommendations. The company helps the two adminstrators maintain the site. Even though the company does not have much influence on this site they do receive many benefits from this page. Facebook can be used to market to millions of people. Not only can you market to consumers you can use it to also fine out what your customers want and dont want. These pages on facebook can be very beneficial to the companies or people they are promoting.

30
Mar
09

Delta’s Choice

An article found on Ajc.com states:

As Delta Air Lines integrates its operations with merger partner Northwest Airlines, one of its difficult decisions pits Coca-Cola against rival Pepsi. Delta will continue to serve Coca-Cola drinks on flights while Northwest will still serve Pepsi drinks, “until a final determination has been made on a single beverage provider,” according to a memo last week. “We’re having conversations with both,” Delta vice president of marketing Tim Mapes said Monday. “There are contracts in place with each of the two entities that have got to be addressed… . There definitely will be financial considerations that we will be taking into account.”
Coca-Cola Co. spokesman Ray Crockett declined to comment. While Delta President Ed Bastian said in an interview last year, “It’ll be Coke. That’s not a hard one,” the practical matter of breaking Northwest’s contract with Pepsi may make the decision more difficult than simply a matter of taste —- or hometown connections. Atlanta-based titans Delta and Coca-Cola have close ties as corporate forces in the city. Coca-Cola board member Ron Allen is a former chairman, president and chief executive of Delta. Bastian happens to be a former Pepsi executive. Back in 1993, Northwest became the first major airline to offer passengers a choice between Coke and Pepsi, after Pepsi convinced it to make the move. At the time, Coca-Cola said it thought it would win the in-flight taste test. Coca-Cola is the exclusive soft-drink provider for seven of the 10 largest U.S. airlines. Pepsi is the exclusive provider on one, Northwest. American is supplied by both Coca-Cola and Pepsi. Alaska Airlines carries beverages by Jones Soda.

This decision is going to affect both Coca-Cola and Pepsi. One will lose and one will win. Even though the President of Delta is sure they will continue to sell Coca-Cola on its flight it is still going to cause a great dispute. The first time I ever flew Northwest I loved the service and everything about the company except the fact that they served Pepsi versus Coke. I am a Coke girl. If Coca-Cola does get the account and remains the sole provider of drinks for Delta and the newly acquired Northwest it will be serving drinks on the largest airline in the world. In the end of the article it states that Coke is the exclusive provider of drinks for 10 US airlines while Pepsi is only the exclusive provider to Northwest. If Pepsi loses the contract with Northwest then this could be a big blow for them however a great accomplishment for Coca-Cola!

30
Mar
09

Earth Hour

In an article on Fox Business:

ATLANTA, Mar 26, 2009 (BUSINESS WIRE) —-The Coca-Cola Company announced today that many of its iconic signs will go dark in support of Earth Hour on Saturday, March 28. The Company also is participating in local awareness-raising events in more than 50 countries to support what is expected to be the largest ever, global climate event.

“We are pleased to join thousands of communities, organizations and individuals in raising awareness about actions we all can take to slow, stop and eventually reverse the effects of climate change,” said Muhtar Kent, president and CEO of The Coca-Cola Company. “Earth Hour is a great way to demonstrate that small, simple steps like turning out lights, when taken by people around the world, can drive real momentum in fighting a universal issue like climate change.”

Iconic Coca-Cola signs are scheduled to go dark in Times Square and on top of The Mirage hotel on the Las Vegas strip in the United States, Piccadilly Circus in London, and Kings Cross in Sydney. Other well-known illuminated signs and billboards will go off from Mexico to Cairo to Shanghai. The Company also is helping promote Earth Hour in various markets with radio, movie theater, television and print advertising.

In Atlanta, the Company’s worldwide headquarters and the World of Coca-Cola will go dark as will the Grady Board and Woodruff Park signs. Elsewhere in the United States and Canada, the Company is donating an estimated $300,000 in media support to showcase Earth Hour PSAs, yielding over 5 million daily impressions across more than 197 markets during the two week period leading up to the event.

Coca-Cola employees are being encouraged to participate in Earth Hour activities, along with their families and friends. An Earth Hour reminder will be sent to employees in Spain with an event-branded candle to be lit during the lights out hour, and in Latin America, employees will receive pins and glow worms with key messages to mark the occasion. In addition, dozens of Coca-Cola offices and bottling facilities will go dark, and viewing parties and other special events are planned around the world. Earth Hour also is being promoted on Coca-Cola delivery trucks in some markets.

Coca-Cola system locations involved include: Argentina, Australia, Bahrain, Belgium, Bolivia, Brazil, Chile, China, Colombia, Costa Rica, Denmark, Dominican Republic, Ecuador, Egypt, El Salvador, France, Great Britain, Guatemala, Honduras, Hong Kong, India, Indonesia, Italy, Japan, Kenya, Korea, Malaysia, Mauritius, Mexico, Nicaragua, Norway, Panama, Paraguay, Peru, Philippines, Romania, Russia, Singapore, South Africa, Spain, Sweden, Thailand, Trinidad and Tobago, Turkey, United States, Uruguay, Venezuela, Vietnam and Zambia.

Earth Hour is a symbolic event that raises awareness and provides an opportunity for The Coca-Cola Company to demonstrate its commitment to climate protection. The Company is working to stabilize carbon dioxide emissions in its manufacturing operations system-wide with a goal to grow its business but not its carbon footprint. The Company also has committed to a 5 percent absolute emissions reduction in developed countries by 2015 (based on a 2004 baseline). These global commitments will prevent the release of more than 2 million metric tons of CO2 in 2015.

“World Wildlife Fund is pleased that Coca-Cola is taking part in Earth Hour 2009,” said WWF-US President and CEO Carter Roberts. “The climate crisis is threatening the ability of our planet to support its inhabitants in the future. Not only is energy efficiency good for the bottom line, but smart companies know they must operate in ways that don’t deplete our world’s limited natural resources if they want to stay in business in the long term. Earth Hour is a great time for companies to find ways to reduce their environmental footprint–not only in their own operations, but throughout their supply chain.”

More than 2,700 cities, towns and municipalities in 83 countries are preparing to turn off their lights for one hour, making Earth Hour 2009 the largest climate event in history. Individuals, businesses, governmental organizations, schools and community organizations will come together, demonstrating that it’s possible to take action on global warming.

This article states how important the environment is to Coca Cola. It is very important that large companies such as Coca Cola make an effort to participate and help are environment. This year for Earth Hour that is exactly what Coca Cola has done. Not only did they participate theirselves they also encouraged their employees to participate as well. Also Coca Cola is helping to promote Earth Hour. Consumers look to companies to set paths that they can follow. If large companies help the environment then their consumers will be happy to support these companies. Also Earth Hour is a perfect example of how companies such as Coca Cola can reduce their global footprint.

I believe Coca Cola has made a right step by involving their selves in Earth Hour. It was an important event for millions of people! Coca Cola has not only involved itself but involved their employees, suppliers and various other people they do business with to participate in Earth Hour. Also this event which was important to many individuals will most likely relate to those businesses who also participated in the event. Bottom Line it will Coca Cola’s sales to be involved in such events as Earth Hour.

03
Mar
09

SAB’s Colombian Bottled Water Business Sold to Coca-Cola-Engineering News

In an article on engineeringnews.com on Feb. 27,2009:

The Colombian subsidiary of international brewer SABMiller, Bavaria, on Friday announced that it had completed the sale of its Agua Brisa bottled water business to the Coca-Cola Company and the Mexican Coca-Cola Femsa beverage company for $92-million. The companies announced the deal in August last year, saying that the disposal of the business would allow Bavaria to focus on its core business, namely the brewing and distribution of beer and malted beverages. At the time, it stated that the Panama operations would, however, be excluded from the deal. The business produced still, sparkling and flavoured water at 13 plants spread throughout the South American country. The transfer of the assets and the commercial operation was still subject to a transition arrangement, which would continue for a number of months.During this time, Bavaria would still produce, sell and distribute the Agua Brisa products. SABMiller on Thursday announced that its Chinese joint-venture company with China Resources Enterprise, China Resources Snow Breweries, would acquire three breweries in Anhui, Liaoning and Zhejiang provinces for $110-million.

The article above shows how Coca-Cola is using their opportunities to further their market share in the Global Water market. Coca-Cola has been doing very well with pursuing their opportunities. Coca-Cola’s executives from my point of view are doing everything right. They are continuing to make their shareholders happy. They are pursuing their opportunities and also trying to get around their weaknesses.




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