29-06-2005 04:28									#1
	Business Question: Why does Coca Cola still advertise? Support Apolyton, buy Civilization 2

I'm no economics expert but I'll try what I can to break my line of thought down for y'all.

Advertising exists either to create a desire to buy, or to tell the customer where to buy, right?

Coke doesn't need to be advertised in the first world. Not even in the remotest Siberian snowdrift or the deepest West Virgina valley will you find someone who hasn't tasted Coke before, unless they're a health nut and they're not going to drink it anyway, but everyone who would ever want to know about Coke and can afford it semi regularly knows about it.

"Where to buy"? All I know is, it's in every restaurant and supermarket plus millions of vending machines in America; and probably every restaurant and supermarket in Europe too. Only people in the poorest regions of the world can't have a can every now and then.

Therefore--why do I see Coke (and Pepsi) commercials on every American TV channel?

	29-06-2005 04:31									#2
	Enter the AD-FREE zone

I presume it is as a reminder to people, puts the thought fresh in their mind...

	29-06-2005 04:33									#3
	Re: Business Question: Why does Coca Cola still advertise? Get a bigger avatar today!

quote: Originally posted by mrmitchell Therefore--why do I see Coke (and Pepsi) commercials on every American TV channel?

That's the answer to your question.

	29-06-2005 04:38									#4
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Thousands of suckers are born everyday. Many advertising campaigns are directed at future generations that don't yet exist as a market. Impress the brand on someone when they are young and then use it as a symbol of youth when they are old, for instance.

	29-06-2005 04:43									#5
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I'm not sure what you mean by "Coca Cola". Do you mean the regular Coke, or also line extensions like Vanilla Coke and Coke Lemon?

For the latter, Coke needs to advertise to create awareness for its products. Advertising is, in general, necessary to maintain overall awareness, as PH mentioned. Spontaneous awareness, in particular top-of-mind awareness, is very important to firms. Hence, advertising as a response to Pepsico is important.

Furthermore, advertising is done to promote positive associations of the brand. Sponsorships of sports events promote an association with an active and energetic lifestyle. Pepsi did something similar for their Pepsi-X, with the dance commercial.
Coke is also very good at communicating its image of "being the original". Advertising helps maintain that brand image; it forces competitors (Pepsi) to always seek a different approach.

Advertising gives Coke the upper hand in continuously promoting itself the way it wants to in a consistent fashion.

	29-06-2005 04:45									#6
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BlackCat is correct.

	29-06-2005 04:48									#7
	Help yourself to an AD-FREE life

Ming, your attention is required.

	29-06-2005 05:07									#8
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Why advertise? Brand preference. There are still millions of existing or potential customers that will drink one of coke/pepsi based on what they think is cooler and a lot of the advertising is aimed at maintaining market share.

Its pretty much the same reason that cars are advertised. I don't think advertising cerates a demand for "cars" but it does create demand for a particular car

	29-06-2005 05:13									#9
	Re: Business Question: Why does Coca Cola still advertise? Help yourself to an AD-FREE life

quote: Originally posted by mrmitchell I'm no economics expert but I'll try what I can to break my line of thought down for y'all. Advertising exists either to create a desire to buy, or to tell the customer where to buy, right? Coke doesn't need to be advertised in the first world. Not even in the remotest Siberian snowdrift or the deepest West Virgina valley will you find someone who hasn't tasted Coke before, unless they're a health nut and they're not going to drink it anyway, but everyone who would ever want to know about Coke and can afford it semi regularly knows about it. "Where to buy"? All I know is, it's in every restaurant and supermarket plus millions of vending machines in America; and probably every restaurant and supermarket in Europe too. Only people in the poorest regions of the world can't have a can every now and then. Therefore--why do I see Coke (and Pepsi) commercials on every American TV channel?

For a lot of reasons, but essentially Coke is well-known because they advertise, not in spite of it.

	29-06-2005 05:26									#10
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quote: Originally posted by Kuciwalker BlackCat is correct.

QFT.


Since there are a lot of different brands of cola, they fight for their share of the market - coca cola may be the big one, but they still compete with other brands.

	29-06-2005 08:18									#11
	Re: Business Question: Why does Coca Cola still advertise? Avatar Enlargement: We've got the solution

quote: Originally posted by mrmitchell Therefore--why do I see Coke (and Pepsi) commercials on every American TV channel?

That's called "corporate image" in marketing.

That's why you see companies such as Texaco supporting an environmental cause, then tell everybody in the world about it.

	29-06-2005 08:21									#12
	Got spare money?

Get 'em while they're young.

The same reason why they're making chocolate-flavored cigarettes now.

	29-06-2005 09:51									#13
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quote: Originally posted by Zopperoni I'm not sure what you mean by "Coca Cola". Do you mean the regular Coke, or also line extensions like Vanilla Coke and Coke Lemon? For the latter, Coke needs to advertise to create awareness for its products.

beat me

	29-06-2005 10:08									#14
	Inflate your Upload Space

quote: Originally posted by MrFun beat me

Shall we take numbers? I'm sure it will be a long queue.

	29-06-2005 12:00									#15
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Also to 'remind' you of the product. We all are familiar with Coca Cola's products but if they don't keep reminding us we might actually *gasp* reduce our consumpation.

By keeping up the advertising, they are keeping product sales up by creating moments where we go 'ooh that looks good right now' 'hey I'm thirsty.'

	29-06-2005 13:57									#16
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Resistance is futile... you will be assimilated

	29-06-2005 14:31									#17
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quote: Originally posted by Guynemer Get 'em while they're young. The same reason why they're making chocolate-flavored cigarettes now.

Those are making a comeback? I guess I'm not too surprised - what goes around, comes around. But I don't think that I've seen a candy cigarette in 20 years!

	29-06-2005 14:33									#18
	Avatar Enlargement: We've got the solution

I remember going to a birthday party where each kid got a pack of candy cigarettes when we walked in the door. Today, such an act would likely get you on the national news!

	29-06-2005 14:43									#19
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uhmmm... candy cigarettes... those where the bests

He lights up a cigaterette and starts smoking

	29-06-2005 15:12									#20
	Suffering from ads?

Ugh, smells of burnt chocolate are coming from somewhere

	29-06-2005 21:42									#21
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quote: Originally posted by JohnT I remember going to a birthday party where each kid got a pack of candy cigarettes when we walked in the door. Today, such an act would likely get you on the national news!

No man. Not the candy cigarettes from our youth.


Actual cigarettes that taste like candy, or berries, or chocolate when you actually smoke them. Once again, Big Tobacco reaching out to their biggest target demographic: children.

	29-06-2005 22:14									#22
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Brand recognition is a work-in-progress.

	29-06-2005 22:15									#23
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quote: Originally posted by JohnT Today, such an act would likely get you on the national news!

You're really out of touch with the times, aren't you?

	29-06-2005 22:16									#24
	Avatar Enlargement: We've got the solution

quote: Originally posted by Guynemer No man. Not the candy cigarettes from our youth. Actual cigarettes that taste like candy, or berries, or chocolate when you actually smoke them. Once again, Big Tobacco reaching out to their biggest target demographic: children.

Uhmmm...

never tried those but I think I'll stick with my normal "tobacco flavour" cigarettes

	29-06-2005 22:20									#25
	Put an end to popups!

One of the greatest rivalries in commercials is Coke vs Pepsi. Both put in lots of money to make those commercials to be seen around the world. They are number one, why would the still advertise? Are you some sort of commie? TO STAY number 1, to ever widen their revenues. Why does Nokia advertise, even when they are #1 in sellings? BEcause if they don't, they won't. And with them, it's even more clear, because they have image issues unlike Coke.

Coca Cola is more than just black drink. It's also great commercials. It's the Coke santa claus, it's sports supporter, it's.. it's lots of things. It's not 'just a drink'. Or if you think it is, then good bye to your future business mr no good communist. You sell more than just the liquid inside, and the Coke is perfect example of that.

Even if you make the most money, it doesn't mean you couldn't make even more. And the purpose of them is to sell as much as possible. They haven't reached that point yet, and they never will. Not until every person in this planet drinks it 24/7. And then we just need more people. FACT.

	29-06-2005 22:24									#26
	Full PM-box? Change here!

Similar, not the same but close is why does few companies like my employer really put effort into recycling? Most every part is for recycling, there's recycling bins for everything in the premises and you don't know where the **** you should put the trash you have in your hand because you're not a hippie. Well.. because it's better business. When people know, that they truly do recycle, they look for new solutions, and they do what's best for recycling, not cutting cost corners.. well.. that tends to make them even more money at the end. So why bother? Because it'll make them more... rich. Make sense? Yes. And it's a win-win anyway.

	29-06-2005 22:46									#27
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Commercials remind you to buy the product.

	29-06-2005 23:38									#28
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It offers them an opportunity to put in subliminal messages.

Hmmm.... I have a sudden craving for something to drink and a desire to buy some new Coke brand clothing.

	30-06-2005 01:01									#29
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That's correct, though. Coke commercials serve to remind viewers that man, they are thirsty, and wouldn't a refreshing Coke just hit the spot right now? Better head to the corner store and pick up a bottle, mmmm-mmmm!

Look, there is an advertisment for a McDonald's hamburger! Why, the imagery on the television of its juicy goodness has whetted my appetite something fierce. I think I shall perambulate to the nearest Mickey D's and buy myself one quarter-pounder avec le fromage, post haste.

And so on and so forth.

	30-06-2005 10:22									#30
	Inflate your Upload Space

Funny how everyone wants to drink anything except water when they're thirsty, when water is the best fluid to hydrate yourself with.

"I'm thirsty, so I'm going to dehydrate myself by drinking a Coke."

(this post brought to you by a soda drinker, nevertheless)