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WHY SHOULD A COMPANY LIKE COCA COLA CONTINUE TO ADVERTISE?

Coca Cola Bottling Company was first established by an American pharmacist Dr. John Pemberton on 8^th May 1886. On the said date, he carried a jug of coca cola syrup to Jacob’s

Pharmacy in downtown Atlanta – Georgia where it was mixed with carbonated water and sold for five Cents a glass.

From the humble beginning 126 years ago, the company has evolved from one product (Coca Cola) to more than 500 brands in 2011. It has moved from selling a modest nine (9) drinks a day in 1886 to about 1.8 billion a day. Coca Cola Company has expanded from one city in one country to availability in more than 200 countries around the world. Having made this tremendous expansion, the company continues to advertise its products. somebody might think a company that sells about 1.8 billion of its products a day does not need advertisement but Coca Cola Company continues to advertise because of the following reasons.

It must be noted that advertising a paid form of non-personal presentation and promotion of ideas, good and services through the mass media with an identifiable sponsor.

 In the first place, Coca Cola Company continues to advertise in order to Create Awareness. In 1982, Company launched a campaign (advert) “coke is it!” with an emphasis on the product’s quality of taste and refreshment. This was done in order to make their customers aware of the unique taste of the product hence creating awareness.

 Secondly, the company continues to advertise in order to Inform their existing and potential customers about what the product can do when it is taken. For instance, in May 1976 the company introduced a campaign “coke adds life to…” This was designed to inform and show viewers (customers) that Coca Cola added simple enjoyment to life. The campaign emphasized refreshment and tried to show coke as the perfect accompaniment to food, fun and leisure. Therefore, Coca-Cola Company always makes attempts to inform and educate customers on their product and they do that through advertisement.

 Another reason why a company like Coca-Cola continues to advertise notwithstanding the larger number of its customers is to Persuade people to purchase their products. Some of the customers are not gullible and they are naturally difficult to be convinced. Therefore, the company designs adverts that are persuasive in order to convince such people to patronize the products. “Things Go Better With Coke” that was designed in 1963 for instance, was to persuade people to take coke wherever they are, and whatever they are doing ; since it (coke) would help them do “things better”.

A big company like coca cola would continue to advertise in order to Compete its competitors. It is a well-known fact that any rational company always wants to be ahead of its competitors. Therefore, as rational as Coca-Cola is, it strengthens advertisement to be ahead of its competitors such as Pepsi Cola and others. For instance, Coca-Cola Company which is famous for producing soft drinks competed in the Water Producing Industry by introducing Bonaqua Mineral Water. People got to know the product (Bonaqua Mineral Water) through advertisement hence the company has successfully competed in water producing industry through advertisement.

 Again, Coca Cola continues to advertise in order to Launch a product. About five to seven years ago, the company launched “Cokelight” (which was sugar free). The company wanted to expand its tentacles by reaching out to people who are diabetic and do not take sugar. Therefore, they came out with Cokelight, which contained no sugar. Through the advert of cokelight, diabetic patients started patronizing cokelight since they know the product would not affect them in any way.

The company continues to advertise so that it can Announce a Change. The change can be a change in prices, change in product quality, packaging, brand and many more. In 2008, Coca Cola Company through vigorous advertisement announced that a bottle of coke was 60p. In the product content, the Company also announced the addition of caffeine (the “BRRRRRRRRRRRR” campaign). In that advert, consumers were told to drink coke since it would energize them in all their activities. The refreshing nature of the drink would make them say “BRRRRRRRRRR” which means energizing the body. In other development, anytime the company changes the packaging of any of their products, it announces that particular change through advertisement.

 In addition, Coca Cola Company whose mission is to refresh the world continues to advertise in order to Invite Inquiries.

 One of the main reasons why Coca Cola Company continues to advertise is to Increase Awareness. Sometimes it takes time for customers to take a decision on patronizing a product. Therefore, the company increases product awareness in order to convince customers to purchase the product. Hence, advertisement creates a fertile grand for the company to increase awareness.

In sum, the Company has used Advertisement as a tool to achieve a lot of successes and from all indications; it would continue advertising its products notwithstanding the large number of its customers.

Reference

Cocacola.com

NAME: OKAI SAMPAH DAVID

IND. NO: TOPW2014129