Coca Cola

More Than Just A Soft Drink Customer Satisfaction

Sharon Brooks

Executive Summary
Coca Cola is one of most desired soft drinks in the United States.

The product has been very successful.

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The company has faced many challenges.

During the 1880s the beverage was sold for 5 cents.

Set objectives that are tangible in order to satisfy customers.

Coca Cola has been in business for more than 125 years.

Problem Statement
Coca Cola decided to change the original formula to produce a Diet Coke

They knowingly deceived their customers through a test taste

Complaints and uncertainty of the companys future began

Key Issues
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Not communicating with customers Deception / Betrayal Loss of Profit Risk of losing customers and major sales Customers began to protest Threats were made by the customers

Analysis
It is evident that the company believed the test challenge was a good idea Customers did not see the bigger picture Marketing a new product was an opportunity to soar new heights

 Coca Cola lost trust and confidence of their valued customers. Trust was rebuilt after they did not change the formula Coca Cola showed value and integrity

Coca Cola used contingency planning

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They did not have an alternative outcome relating to customer reactions

May have predicted a more positive prognosis

Product Life Cycle

Stage 1 Introduction
Getting product to the market

New product introduced into the market place

Stage 2 Growth Demand

Most profitable stage Customer demand increases Products sales grow

At this stage their competitor was Pepsi

Stage 3 Maturity
Maturity which is growth slows

Cost leadership or focus strategy

Forced to change focus back to original formula

Stage 4 Decline

Product falls out of favor

Organization withdraws from the market place

Coca Cola stirred up a controversy Reinstated within a few

Recommendations

Consider ALL components involved Utilize the skills of ALL employees

Allow employees to assist in the decision making process

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Rationale
Decisions made according to their management beliefs

Took risk in order to keep the demands of the product high

Results

Strength and opportunities demonstrated during taste test Customers continued their love for the product Showed diversity

Kept the tradition with the classic look Realized customers actually owned the product. Company benefited from the consumers love for the product