Coca Cola SWOT Analysis
Coca Cola is one of the leading brands in the food & beverages sector. Coca Cola SWOT analysis evaluates the brand by its strengths & weaknesses which are the internal factors along with opportunities & threats which are the external factors. Let us start the SWOT Analysis of Coca Cola:
Quick Glance:
Coca Cola Strengths
- Coca Cola is one of the biggest beverage brands in terms of reach and sales
- Popular subsidiary brands like Coca Cola, Sprite, Fanta, Kinley, Minute Maid, Schweppes etc. have strengthened the Coca Cola's brand and have diversified the growth across these brands
- Coca Cola which is headquartered in Atlanta, Georgia, USA has a global reach and is present in over 200 countries
- The company has more than 500 brands on offer across various categories like sparkling, water, coffee, tea, dairy etc.
- Coca Cola has employee strength of around 1,50,000 people globally including the US, UK and most of the countries around the globe.
- Strong and efficient supply chain network, ensuring that all the products are available even in the most remote places
- The financial condition of the brand is always consistently strong
- Strong brand recall of all Coca Cola products through advertising and marketing by associating with celebrity brand ambassadors
- CSR activities in the field of water conservation and recycling, education, health etc.
- Effective and efficient packaging technique giving emphasis on recycling and reusing
- Coca Cola has long association with international sports events, sponsorships, theme parks etc.
- Coca Cola has always adapted to changing market conditions e.g. the brand is now moving towards sugar free options, juice, water etc.
- The company is constantly innovating to safeguard the environment by from using 100% recycled material
- The Coca Cola Foundation has been instrumental in developing businesses in many countries as it part of the CPG industry world wide.
- Coca Cola also has diversified into coffee through its acquisition of Costa coffee making it even stronger in its portfolio of beverages
- It also has brands of teas and dairy in its portfolio.
- Coca Cola is also trying to explore healthier options
Above are the strengths in the SWOT Analysis of Coca Cola. The strengths of Coca Cola looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.
Coca Cola Weaknesses
- Strong competition in the aerated drinks segment from PepsiCo means constant fight over market share for Coca Cola
- Coca Cola and related soft drinks brands have been linked now with high sugar content and many health concerns are being raised, this becomes a weakness worth looking at
- Coca Cola does not have a food business unlike its competitors like PepsiCo, it is only limited to beverages as of now
- Overdependence on 4-5 major brands like Coca Cola, Sprite etc.
These were the weaknesses in the Coca Cola SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.
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Coca Cola Opportunities
- Increase its reach in untapped countries and market can boost Coca Cola
- Market and popularize the less known products
- Acquiring other companies can strengthen Coca Cola's place in the industry further
- Diversify its product portfolio by entering into snacks industry to compete with PepsiCo
- Launching a full fledged health drinks line of business
Above we covered the opportunities in Coca Cola SWOT Analysis. The opportunities for any brand can include prospects of future growth.
Coca Cola Threats
- Health consciousness amongst people avoiding aerated drinks can adversely affect Coca Cola
- Difficulty in complying with different government regulations and norms in different countries
- Inflation, economic slowdown and instability
- Strong competition can lead to reduced market share
The threats in the SWOT Analysis of Coca Cola are as mentioned above. The threats for any business can be external factors which can negatively impact its business.
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Hence this concludes the Coca Cola SWOT analysis.
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About Coca Cola
The table below gives the brand overview along with its target market, segmentation, positioning & USP
| Coca Cola Overview | |
|---|---|
| Parent Company |
Coca Cola Ltd |
| Category |
Beverages and foods |
| Sector | |
| Tagline/ Slogan |
Taste the Feeling; Open happiness |
| USP |
Coca Cola is the number one beverage brand in terms of sales with more than 500 products at offer |
| Coca Cola STP | |
| Segmentation |
Anyone who needs a beverage for any occasion |
| Target Market |
All age groups across countries |
| Positioning |
Coca Cola is a beverage brand for the entire family |
| Coca Cola Product Portfolio | |
| Brands |
1. Coca Cola Coke 2. Diet Coke 3. Sprite 4. Fanta 5. Kinley 6. Minute Maid 7. Smartwater 8. Costa Coffee 9. Schweppes The above mentioned brands are the prominent products under the Coca Cola product portfolio. |
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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