Company History and Background
Company History and Background
Company History and Background
The Coca Cola Company is known to be the largest beverage company in the world. It is known to
be part of the world's most valuable and recognizable brands and the no. 1 beverage company that
provides carbonated, non-carbonated, juices and other drinks. Part of the companys portfolio
includes Coca Cola, Sprite, Royal, Sarsi, Pop Cola, Minute Maid, Eight OClock, Real Leaf,
Powerade, Nestea (ready-to-drink) and Earth & Sky. Coca Cola caters 200 countries worldwide and
enjoys a rate of 1.9 billion servings a day. The company commits itself not just to be the no.1
beverage company in the country but also to build sustainable communities through engaging in
activities that fosters environmental care, support active, healthy living, create a safe, inclusive work
environment for associates and employees, and enhance the economic development of the countries
they are operating with.
From the year Coca Cola started in 1927 and up to the present, Coca cola has been part of the
Filipino culture, from Noche Buena to Fiestas and even simple family gathering, Coca colas
presence is imperishable.
San Miguel Brewery, Inc. also known as San Miguel Corporation was the first international bottler
of Coca-Cola. Then on the year 1981, San Miguel decided to formulated Coca-Cola Bottlers
Philippines, Inc. (CCBPI). The company was established as a joint-venture between San Miguel
Corporation (70%) and The Coca-Cola Company (30%). The establishment CCBPI transformed
Coca-Cola into the ruling player in the industry as one of the worlds largest Coca-Cola bottlers.
In April 1997, CCBPI was merged into the Australia-based Coca-Cola Amatil Limited (CCA). In
effect, San Miguel exchanged its 70% interest in a Philippine-only operation (CCBPI) for a 25%
stake in CCA, which had operations in 17 countriesboth in the Asia-Pacific region and in Eastern
Europe. Shortly after, CCA demerged the Eastern European operations into a UK-based firm called
Coca-Cola Beverages plc (resulting in a reduction of San Miguel's stake in CCA to 22%). Seeking to
maintain its focus on the Asia-Pacific region, San Miguel sold its stake in the new UK entity in mid1998.
In the July of 2001, CCBPI returned to the San Miguel Corporation after being a part of Coca-Cola
Amatil Ltd. for several years. The merge brought about the acquisition of The Cosmos Bottling
Corporation. This introduced many new drink variants into the Coca-Cola portfolio of beverages.
In February 2007, The Coca-Cola Company (TCCC) purchased San Miguels 65% shareholding in
CCBPI and subsidiaries for $590 million acquiring the full ownership. In September 2010, TCCC
announced its plan to invest US$1 billion in its business in the Philippines over the next five years.
Part of this investment is the completion of its newest and technologically advanced Mega Plant in
Misamis Oriental in January 2012.
On December 14, 2012, TCCC signed a definitive agreement to sell its 51% stake in CCBPI to
Mexico-based Coca-Cola FEMSA, S.A. de C.V., the world's second largest bottler of Coca-Cola,
with operations across Central- and South America.[9] The all-cash transaction became effective
January 25, 2013. The deal price represented a $1,350 million valuation of CCBPI. Coca-Cola
FEMSA will have an option to acquire the remaining 49% of CCBPI at any time during the next 7
years and will have a put option to sell its ownership back to TCCC any time during year six
To date, Coca-Cola in the Philippines offers the widest selection of beverages to fulfill every
hydration and lifestyle requirement. The company offers many beverages for different needs like
soft drinks, water, juices, teas, sports and energy drinks. It strives to give consumers what they need
as a total beverage company everyday.
Coca Cola- is often referred to simply as Coke, a carbonated soft drink sold in stores,
restaurants, and vending machines throughout the world.
Coca Coca Light- also referred as Diet Coke is a sugar-free soft drink produced and
distributed by The Coca-Cola Company.
Coca Cola Zero- is a low-calorie (0.50 kilocalories per 150ml) variation of Coca-Cola
specifically marketed to men, who were shown to associate diet drinks with women.
Sprite- is a colorless, lemon-lime flavored, caffeine-free soft drink, created by the Coca-Cola
Company.
Sprite Zero- is a clear, lemon-lime low-calorie soft drink produced by The Coca-Cola
Company.
Royal Tru- is a carbonated fruit-flavored soft drink brand owned by The Coca-Cola
Company that is only available in the Philippines.
Sparkle- is a lemon-flavored soft drink that was created by the Coca-Cola Company for the
islands of Luzon and Visayas in the Philippines.
Sarsi- is a sarsaparilla soft drink, similar to root beer, available in most Southeast Asian
countries.
Diet Sarsi
Cheers
Pop Cola
Jaz Cola
Schweppes (soda water and tonic water) under license, is a beverage brand that is sold
around the world. It includes a variety of carbonated waters and ginger ales.
Hi- C- is a fruit juice-flavored drink made by the Minute Maid division of The CocaCola Company. Hi-C was created by Niles Foster in 1946. The sole original flavor was
orange.
Minute Maid- s a product line of beverages, usually associated with lemonade or orange
juice, but now extends to soft drinks of many kinds, including Hi-C.
Eight OClock (instant juice drink)- With essential nutrients and real fruit taste, Eight
O'Clock fruit-flavored drink has been enjoyed by Filipino families since the early 1980s.
Real Leaf (tea drink)- is made of natural green tea leaves, honey and fruit flavors such
as apple, lemon and lychee. These flavors are also known as Honey Lemon, Honey Apple
and Honey Lychee.
Powerade- is a sports drink manufactured and marketed by The Coca-Cola Company. Its
primary competitor is PepsiCo's Gatorade brands.
Samurai (energy drink)- which is named after the Japanese warrior, is a vitamin-packed
carbonated drink made to restore energy levels for both the body and mind.
Viva! (mineral water)
Wilkins (mineral water)
Other drinks
Barqs- is an American soft drink. Its brand of root beer is notable for having caffeine.
Lift- is a range of soft drinks produced by The Coca-Cola Company that has been
available in Australia, New Zealand, Latin America, Germany, Austria, and Eastern
Europe since the 1970s, which is carbonated and flavored with fruit juice.
Nestea- is a brand of iced tea manufactured by Nestl and distributed by Nestl
company's beverage department in the United States and by Beverage Partners
Worldwide (BPW), a joint venture between The Coca-Cola Company and Nestl, in the
rest of the world. It competes with Unilever/PepsiCo's Lipton Iced Tea.
Earth & Sky (tea drink)Mello Yello- is a high-caffeinated, citrus-flavored soft drink produced and distributed by
The Coca-Cola Company which was introduced on March 1, 1979 to compete with
PepsiCo's Mountain Dew.
Competitive situation
Coca Cola Philippines is banking on its strong brand and new products to drive growth amid
intense competition in the beverage market. Its optimism is echoed by the local units of rivals
PepsiCo and Royal Crown, which are ramping up their respective expansion programs.
Pepsi-Cola Products Philippines Inc is spending P3.5 billion this year to boost capacity by a fifth
and grow its distribution network, as it sees sustained double-digit growth in sales. Asiawide
Refreshments Corp, which holds the Southeast Asian license for RC Cola, plans to tap the equity
market to raise funds for its domestic and regional expansion once it completes its backdoor
listing.
According to a study by Interbrand Corp, Coca-Cola was the third most valuable global brand
last year, ending its 13-year reign as the world's top brand after it was taken over by iPhone
maker Apple.
Last year, Mexico-based Coca-Cola Femsa, the worlds largest franchise bottler of Coca-Cola
products, purchased 51 percent of Coca-Cola Bottlers Philippines Inc from The Coca Cola Co for
$688.50 million.
In 2013, Coca Cola marked its seventh transaction in the Coca-Cola bottling space over the past
three years, representing an aggregate value of US$6.5 billion and an addition of close to 1.4
billion unit cases.
Among the companys strategic initiatives for 2013, it streamlined the complex portfolio of
predominantly returnable glass bottles, delisting approximately 20% of SKUs, while focusing on
the fastest moving SKUs. To balance the portfolio with a broader mix of PET presentations, they
launched Mismo, an exceptionally popular 300-milliliter single-serve one-way PET
presentation for on-the-go consumption of brand Coca-Cola at 10 Philippine pesos--capturing
untapped potential across the greater Manila metropolitan area. Moreover, they successfully relaunched Kasalo, a 750-milliliter multi-serve returnable glass presentation for shared
consumption of brand Coca-Cola, Sprite, and Royal. The company also launched their refreshing
new Minute Maid Fresh orangeade in an affordable 250-milliliter single-serve presentation that
appeals to Filipino consumers palates and pockets.
Coca-Cola is the most preferred brand. The company build strong brands that understand the
consumers. They connect with the head and the heart of the Filipino consumers. By far these are
the competitive advantage that they have and continue having.
SOURCES:
https://answers.yahoo.com/question/index?qid=20090812064407AABoIyi
http://www.coca-colacompany.com/our-company/
http://en.wikipedia.org/wiki/Coca-Cola_Bottlers_Philippines,_Inc.
http://www.interaksyon.com/business/79887/coca-cola-banks-on-strong-brand-new-products-todrive-ph-growth-in-2014
http://www.signi.com.mx/kof_2014_eng/capture.html