PRICING OF COCA COLA

Pricing strategy Explanation of pricing strategy,”Meet-the-competition pricing”. The Coca-Cola products pricing are set around the same level as its competitors.

Most of the Coca-Cola products use this method of pricing. For example, for a pack of 250 ml of Coca-Cola it is priced at Rp. 2500,00. This pricing strategy makes consumers perceive the products to be affordable.

Like any company who has successfully endured a century of existence, Coca Cola has had to remain tremendously fluent with their pricing strategy. They have had the privilege of a worthy competitor constantly driving them to be smarter, faster, and better. A quote from Pepsi Co's CEO "The more successful they are, the sharper we have to be. If the Coca Cola Company didn't exist, we'd pray for someone to invent them." The relationship between Coca Cola & Pepsi is a healthy one that each corporation has learned to appreciate.

Throughout the years Coca Cola has made many pricing decisions but one might say that their ultimate goal has always been to maximize shareholder value. In order to grab market share most of time Pepsi began to drop prices (even with summer approaching). Shortly thereafter, Coca Cola decided to drop their prices slightly, but focused on the reduced price point of their 200mL container.

Coca Cola planned to use the lower price point to penetrate new cities that were especially price sensitive. The carbonated soft drink market in Pakistan is nearly 57% of the total beverage market there. Coca Cola’s first used low-price strategy in the early 1990s. After annihilating the low price store brands, Coke chose to reposition itself as a "Premium" brand and then raise prices. They are sticking with this strategy as it is working. They are positioning themselves as premium product for having fun in life.

Position support Pricing

Coca Cola has been doing continuous focus on its price related positioned. With the help of experience of over the years coca cola has finally emerged with the best marketing strategy of its time and successfully maintained its position as an affordable enjoyment of life. 

COCA COLA PRODUCT

Coca-Cola, also known as Coke, is a carbonated, sweetened soft drink that is sold in most countries, and is the world's best-selling soft drink.

It is produced by The Coca-Cola Company of Atlanta, Georgia, and is often referred to simply as Coke (a registered trademark of The Coca-Cola Company in the United States since March 27, 1944). Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink market throughout the 20th century. Coca-Cola's main rival is Pepsi.

The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke brand name. The most common of these is Diet Coke, with others including Caffeine-Free Coca-Cola, Diet Coke Caffeine-Free, Coca-Cola Cherry, Coca-Cola Zero, Coca-Cola Vanilla, and special editions with lemon, lime or coffee.

The drink is called "Coca-Cola" because of the coca leaves and kola fruits that were used to add flavor. Dr. Pemberton's partner and bookkeeper, Frank Robinson, suggested the name "Coca Cola" because he thought using the letter C twice would look better than if they used a K in the word "Cola". He then wrote down the name to use as a logo that is now very famous.

Coca Cola was first made in Atlanta, USA, on May 8, 1886. Dr. John S. Pemberton, a local pharmacist, made the first syrup for Coca-Cola and carried a jug of it down the street to Jacobs' Pharmacy, where people tasted it and said it was "excellent". Coca-Cola was first sold in bottles on March 12, 1894 with actual cocaine content. It was first sold in cans in 1955. During the first year, sales were about only nine drinks per day. Dr. Pemberton did not think he could make a lot of money with the drink he invented, so he sold parts of his business to different people. Just before he died in 1888, he sold the rest of his Coca-Cola business to Asa G. Candler. Mr Candler, together with some other businessmen, started the Coca-Cola Company.