Marketing Strategy for Coca-Cola Company - Case Study Example

?Running Head: Marketing Strategy for Coca-Cola Marketing Strategy for Coca-Cola Introduction When discussing the dynamics ofmarkets, it is prudent to identify a platform on to which one can implicitly make conclusive judgment. As such, this paper will look into the Coca-Cola Company to answer the questions that have been posed. About 30 years ago, the company was the sole maker of soft drinks worldwide although some small companies existed. However, the company’s competitive advantage has been greatly diminished with the advent of the Cola Wars in which Pepsi-Cola was involved. This means that a rethink of the strategies of yesteryears was the main focus so as to remain strong despite the competition. Discussion The major focus was on how consumers choose what to buy so that the company could use the information to customize the products so that they conform to the needs of these customers. There are a myriad of reasons that drive consumption that are going to be assessed in this paper. Marketers generally concede that the most difficult thing to analyze is what drives specific customers to make specific purchases (Thackston, 2005). There are two major reasons that drive these purchases. The first is for personal reasons whereas the second is mostly on external factors in the business market. Perhaps the greatest influence of consumer behavior is how the products are perceived. The perception filter is the conscious and subconscious view of the products drawn from the information sourced from a myriad of stimuli. The process of filtering perception is four-stepped. The first thing is exposure to the stimuli, followed by attention to the stimuli, third is the awareness of the stimuli and finally, there is the retention of the tenets of the stimuli (Christ, 2011). All the steps are generally pegged on how people learn as this is diverse. The Coca-Cola Company is a multinational company that has the services of the best marketers at its disposal. These marketers therefore know how to affect the perception of their brands in the eyes of the consumer. The use of advertisements is the major tool of influencing these perceptions although it is also very difficult since there is advertisement clutter in the media. Creativity is therefore of essence and the message must be captivating to arouse interest. Basically, the message of the advertisement must be precise so that it is not decoded negatively in people and also must be positively interpreted. The second factor affecting how consumers purchase products is their attitudes towards the products (Christ, 2011). This generally points to how people feel about the product as well as the company. For one to have an attitude there must be an element of conviction on the information possessed. Therefore, changing negative attitudes take a lot of effort. The company marketers must be focused on the contributors to the negative attitudes. This requires that the process be very involving so that negative sentiments are aired. In the same instance, it is fundamental that the Coca-Cola Company analyzes why some consumers have positive attitudes towards the competitor’s products so as to try and lure them by reflecting the strengths they see in those products. Thirdly, consumer purchases are influenced by the knowledge that they possess (Christ, 2011). This is the sum of all the experiences and information that consumers possess. Knowledge is also largely dependent on how the consumer perceives the world. The Coca-Cola Company has to use a large number of researches so as to gauge what the consumers know about their products. When crafting campaigns to market their products, it is important to aim at correcting the wrong knowledge that may be possessed as well as educate consumers on the products. Other internal influences that the Coca-Cola Company should be aware of include the personalities of their customers, their lifestyles, their role in the society they live in and also what motivates them. All of these are important as they aid in assisting the marketers to segment their market. For example, some brands should be aimed at a given group in the society like athletes or sportspeople in general. The major external factors that influence consumer buying behaviors include culture, group membership or peer pressure and also the purchase situation that the consumer find hi/herself in (Tanner & Raymond, 2010). These factors are usually outside the control of the individual but yet play a very major part in the patterns of buying exhibited by people. For culture, it is a practice that is passed down and shared between members but is not nearly as important to marketing as subcultures are. This is a smaller grouping in the whole spectrum of the culture with very specific preferences and lifestyles. The marketers of the Coca-Cola Company should be very aware of the values that are shared by the different cultures so that they can use them as representations in their marketing campaigns. While attempting to capture the attention of consumers, the company should pay very close attention to the social classes which are described by income levels, education and the occupations of consumers. Additionally, the family situation and the reference groups that consumers ascribe to are of equal importance. The major point of emphasis for marketing to these groupings is by using the opinion leaders in them. The most effective way that marketers can use to promote their products is to identify their products with certain situations. The company can as an example identify their products with a situation like stress and boredom. This means that whenever a consumer feels any of the emotions above, they then think of their products (Tanner & Raymond, 2010). The Coca-Cola Company is one that has been in operation for a long time and in all areas in the world. Therefore, its market can be defined as comprising all the inhabitants of the earth. Since it is basically a soft drinks producer, then anyone who requires such a product comprises this market. Therefore, when crafting a strategy to market to these people, there are some considerations that should be put in place. Many marketing writer put a market strategy as having four components which are the product, its price, its distribution dependent on the place and the promotion strategies to be used. Since the Coca-Cola Company is a multinational, none of the four components of its marketing strategy as the same in any place except for some products. But the factors of production are different. The analysis of why and how consumers make their purchases is the base onto which new products can be developed. For example, the analysis of the external factors yields information regarding cultures, sub cultures, families, reference groups and the situations that consumers find themselves in while buying. The major result of studies of these groups reflects beliefs, lifestyles and trends that may reveal a market gap that can be sealed by the development of a new product. Conclusion The Coca-Cola Company is equipped to be as successful as any company has ever been. There are numerous strategic advantages that it possesses over its competitors. Therefore, with the right marketing mix, there is no reason why the company cannot be well ahead of its market leaders. The major focus should be on the influences that make consumers purchase. As discussed above, these can either be internal or external. Whichever way, they are all important in crafting a good marketing strategy that will assist the company to grow. References Christ, P. (2011). Principles of Marketing. Retrieved on 11th Dec. 2011, from: http://www.knowthis.com/principles-of-marketing-tutorials/ Tanner, J & MA Raymond, (2010). Principles of Marketing. Retrieved on 11th Dec. 2011, from: http://www.flatworldknowledge.com/catalog/586#sec-subject-510 Thackston, K. (2005). They're Searching So Why Aren't They Buying? Retrieved on 11th Dec. 2011, from: http://www.a1articles.com/article_750_3.html Read More