CASE-STUDY

THE NEW COKE

Battered by competition from the !eeter "ep i-Co#a$ Coca-Co#a decided in %&'( to rep#ace it o#d form)#a !ith a !eeter *ariation$ d)bbed the +Ne! Co,e-. Coca-Co#a pent /0 mi##ion on mar,et re earch.

4)e tion 5

%. 1ana2er try to tim)#ate a#e by modifyin2 the fo)r-" --- Ana#y6e. 7. C) tomer are not a#!ay !i##in2 to accept an impro*ed prod)ct --- Comment.

There !ere an2ry #etter $ forma# prote t and e*en #a! )it threat $ to force the retention of +The 3ea# Thin2-. Ten !ee, #ater$ the company !ithdre! Ne! Co,e and reintrod)ced it cent)ry-o#d form)#a a +C#a ica# Co,e-$ 2i*in2 the o#d form)#a e*en tron2er tat) in the mar,etp#ace.

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B#ind ta te te t ho!ed that Co,e drin,er preferred the ne!$ !eet form)#a$ b)t the #a)nch of Ne! Co,e pro*o,ed a nationa# )proar. 1ar,et re earcher had mea )red the ta te b)t had fai#ed to mea )re the emotiona# attachment con )mer had to Coca-Co#a.

HISTORY
%&'( The Coca-Co#a Company made !hat ha been ,no!n a one of the bi22e t mar,etin2 b#)nder. They t)mb#ed onto a ne! form)#a in effort to prod)ce diet Co,e. They p)t forth 0 mi##ion do##ar of re earch to come )p !ith the ne! form)#a. The deci ion to chan2e their form)#a and p)## the o#d Co,e off the mar,et came abo)t beca) e ta te te t ho!ed a di tinct preference for the ne! form)#a. The ne! form)#a !a a !eeter *ariation !ith #e tan2$ it !a a# o #i2ht#y moother. 3obert Woodr)ff8 death !a a #ar2e contrib)tor to the chan2e beca) e he tated that he !o)#d ne*er chan2e Coca-Co#a8 form)#a. Another factor that inf#)enced the chan2e !a that Co,e8 mar,et hare fe## 7.( percent in fo)r year . Each percenta2e point #o t or 2ain meant 799 mi##ion do##ar . Thi !a the fir t f#a*or chan2e ince the e:i tence of the Coca-Co#a company. The chan2e !a anno)nced Apri# 7;$ %&'( at the <i*ian Bea)mont Theater at the =inco#n Center. Some t!o h)ndred T< and ne! paper reporter attended thi *ery 2#it6y anno)ncement. >t inc#)ded a ?)e tion and an !er e ion$ and a hi tory of Coca-Co#a. The deb)t !a accompanied by an ad*erti in2 campai2n that re*i*ed the Coca-Co#a theme on2 of the ear#y %&@9 $ A>8d =i,e to B)y the Wor#d a Co,eA The chan2e to the !or#d8 be t e##in2 oft drin, !a heard by '% percent of the United State pop)#ation !ithin t!enty-fo)r ho)r of the anno)ncement. Within a !ee, of the chan2e$ one tho) and ca## a day !ere f#oodin2 the company8 ei2ht h)ndred n)mber. 1o t of the ca##er !ere hoc,ed andBor o)tra2ed$ many aid that they !ere con iderin2 !itchin2 to "ep i. Within i: !ee, $ the ei2ht h)ndred n)mber !a bein2 Cammed by i: tho) and ca## a day. The company a# o fie#ded o*er forty tho) and #etter $ !hich !ere a## an !ered and each per on 2ot a co)pon for the ne! Co,e. 1any American con )mer of Coca-Co#a a ,ed if they !o)#d ha*e the fina# ay. When "ep i heard that the CocaCo#a company !a chan2in2 it ecret form)#a they aid that it !a a deci ion that "ep i ta te better. 3o2er Enrico$ the pre ident and CEO of "ep i-Co#a !rote a #etter to e*ery maCor ne! paper in the U.S. to dec#are the *ictory. Coca-Co#a mana2ement had to decide5 Do nothin2 or Ab)y the !or#d a ne! Co,eA. They decided to de*e#op the ne! form)#a. %&'( D)#y %9$ ei2hty- e*en day after the ne! Co,e !a introd)ced$ the o#d Co,e !a bro)2ht bac, in addition to the ne! one. Thi !a 2reat#y d)e to droppin2 mar,et hare and con )mer prote t. The mar,et hare fe## from a hi2h of %( percent to a #o! of %.0 percent. Thi !a aid to be a c#a ic mar,etin2 retreat. Coca-Co#a e:ec)ti*e admitted that they had 2oofed by ta,in2 the o#d Co,e off the mar,et. The Coca-Co#a company8 ei2ht h)ndred n)mber recei*ed ei2hteen tho) and ca## of 2ratit)de. One ca##er aid they fe#t #i,e a #o t friend had ret)rned home. The comebac, of o#d Co,e dro*e toc, price to the hi2he t #e*e# in t!e#*e year . Thi !a aid to be the on#y !ay to re2ain the #ead on the co#a !ar .

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New coke: an innovation case study

There !a a report today of Co,e emp#oyee e##in2 trade ecret $ !hich reminded me of the Ne! co,e a2a$ a ta#e of fai#ed inno*ation. 1o t !ho !ere aro)nd in %&'( reca## thi a a h)2e fia co$ !here a bad drin, !a reCected by the p)b#ic. B)t the detai# are m)ch more intere tin2$ a Co,e did many thin2 ri2ht from an +inno*ation a trate2y- per pecti*e. What !ent ri2ht5 E Co,e cho e to mo*e for!ard in re pon e to rea# mar,et pre )re$ rather than defendin2 their e:i tin2 prod)ct . E They had their be t 3FD F f#a*or peop#e de i2n the ne! prod)ct. E E:ten i*e ta te te tin2 and *eteran appro*a# !ere o)2ht$ and a## pointed to them ha*in2 a better prod)ct. E They p)t bi2 /// behind a maCor ro##o)t campai2n.

The re )#t5

E There !a initia# acceptance and the prod)ct did !e## itK fir t !ee, $ a#e )p 'L compared to pre*io) year. E Ho!e*er p)b#ic o)tra2e 2re!$ !ith 2ro)p prote tin2 Ne! Co,e Ge pecia##y tron2 in the o)thI. E By D)ne H'( there !a eno)2h p)b#ic pre )re and comp#aint from bott#in2 )pp#ier that Co,e e:ec !ere )nder pre )re. E >n D)#y H'( Co,e bro)2ht C#a ic Co,e bac, to the mar,et. >tK a 2reat tory of the ri , of inno*ation. Co,e did many thin2 ri2ht - their 2reate t mi ta,e !a )ndere timatin2 their c) tomer #ac, of intere t in inno*ation5 they !ere )rpri in2#y happy !ith ho! thin2 !ere. GSee !i,ipediaK e:ce##ent entry on the Ne! Co,e a2aI.

E The pre conference GApri# H'(I !a a di a ter. Co,e fai#ed to e:p#ain !hy they made the chan2e and did not ac,no!#ed2e "ep i ta te te t$ or any ta te te tin2 done by Co,e in 3FD. E "ep i attac,ed !ith co)nter-ad $ inc#)din2 a f)## pa2e ad in the Ne! Yor, Time . E Accordin2 to J#ad!e##K B#in, and other o)rce $ the )cce f)# ta te te t of Ne! co,e didnKt )22e t peop#e !anted an entire %7 o6. portion of the ne! form)#a.

What !ent !ron25

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History

3oberto Joi6)eta$ CEO of Coca-Co#a d)rin2 the %&'9 . MeditN

A new leader, and a problem

The ori2ina# drin,8 mar,et hare had been hrin,in2 for decade $ from O9L C) t after Wor#d War >> to )nder 70 percent in %&';$ in the face of fierce competition from archri*a# "ep i-Co#a. When 3oberto Joi6)eta too, o*er a CEO in %&'9$ he pointed#y to#d emp#oyee there !o)#d be no acred co! in ho! the company did it b) ine $ inc#)din2 ho! it form)#ated it drin, . Not #on2 after!ard $ the company bo)2ht Co#)mbia "ict)re $ a hi2h#y )n) )a# ac?)i ition for a oft-drin, company. He a# o made hi point !hen Diet Co,e bro,e a #on2 tandin2 company tradition that the brand !o)#d not be di#)ted and that no other prod)ct !o)#d a# o be ca##ed Coca-Co#a. And in tead of imp#y p)ttin2 o)t Co,e !ith an a#ternati*e !eetener G omethin2 the company on#y did !ith Co,e Pero in 799(I$ Coca-Co#a de*e#oped a ne!er$ ofter form)#a to 2o !ith the a partame- !eetened drin,. Diet Co,e !a a r)na!ay )cce $ ?)ic,#y becomin2 the fo)rth mo t pop)#ar oft drin, in America$ and e*ent)a##y di p#acin2 @-Up a the third. Thi chan2e in the ind) try ended )p ha*in2 an ad*er e effect on the Coca-Co#a company. Diet Co,e8 )cce !a comin2 at the e:pen e of re2)#ar Co,e a more con )mer ho!ed a preference for !eeter drin, $ !hether )2ar- !eetened or not. And foremo t amon2 them !a "ep i$ !ho e #ead had narro!ed to !ithin a co)p#e of percenta2e point of Co,e. >n the !a,e of it #ate %&@9 A"ep i Cha##en2eA campai2n$ in !hich b#ind ta te te t offered in p)b#ic p#ace had ho!n an o*er!he#min2 preference for "ep i$ it had be2)n to o)t e## Co,e in )permar,et $ and it !a on#y d)e to fo)ntain a#e at 1cDona#d8 and Hardee fa t-food re ta)rant that Co,e !a maintainin2 it ed2e. Whi#e Co,e8 e:ec)ti*e p)b#ic#y di p)ted the re )#t of the "ep i Cha##en2e$ their o!n interna# )r*ey fo)nd the ame preference amon2 co#a drin,er . Other data !orried them too Q !herea in %&@7 i: time a many drin,er bo)2ht Co,e e:c#) i*e#y a oppo ed to "ep i$ a decade #ater there !a on#y a #i2ht ed2e for Co,e. Thi !a occ)rrin2 de pite their m)ch 2reater mar,et penetration.

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Trend for the f)t)re !ere e*en more omino) . Baby boomer !ere #i,e#y to p)rcha e more diet drin, a they a2ed and remained hea#th- and !ei2ht-con cio) . Therefore any f)t)re 2ro!th in the f)##-ca#orie e2ment had to come from yo)n2er drin,er R !ho fa*ored "ep i and it !eetne by e*en more o*er!he#min2 mar2in than the mar,et a a !ho#eM%N. MeditN

A possible solution
Co,e8 e:ec)ti*e then be2an to in*e t in re earch and de*e#opment to di co*er the rea on behind "ep i8 )cce o*er Coca-Co#a. They fo)nd that !hi#e mo t "ep i drin,er tron2#y preferred "ep i and rare#y ett#ed for other $ Co,e drin,er $ a#tho)2h they preferred Co,e$ !ere more #i,e#y to b)y and drin, "ep i$ 3C or a tore brand if it !a the on#y brand a*ai#ab#e.

>n tead of foc) in2 on the demo2raphic of c) tomer $ Coca-Co#a foc) ed on the )b tance Gthe nat)re of the prod)ct it e#fI. A the )cce of Diet Co,e ho!ed$ and a ome e:ec)ti*e be#ie*ed$ the mar,et !a #eanin2 to!ard !eeter drin, . They pointed to ome re earch )22e tin2 the di tincti*e tan2y$ acidic ?)a#ity of the form)#a !a een a har h by ome yo)n2er drin,er . Appropriate#y$ the de*e#opment of Diet Co,e had inad*ertent#y offered a ready o#)tion to thi ?)andary. D)rin2 that proce $ one chemi t had e:perimenta##y !eetened the drin, !ith hi2h fr)cto e corn yr)p GAHSCSAI$ !ith !hich ome bott#er had a#ready been f#a*orin2 re2)#ar Co,e$ in tead of cane )2ar$ a m)ch more e:pen i*e in2redient. The mo*e 2enerated critici m from #on2time Co,e drin,er $ !ho ometime tra*e#ed to different area to 2et their preferred mi:t)re. >t had pro*en to be pop)#ar !ith the de*e#opment team. MeditN

T e market researc
Coca-Co#a8 mo t enior e:ec)ti*e commi ioned the top- ecret A"roCect Kan a A$ headed by mar,etin2 *ice pre ident Ser2io Pyman and Brian Dy on$ pre ident of CocaCo#a USA$ to te t and perfect the ne! f#a*or for Co,e it e#f. >t too, it name from a famo) photo of that tate8 #e2endary Co)rna#i t Wi##iam A##en White drin,in2 a Co,e that had been ) ed e:ten i*e#y in it ad*erti in2 and h)n2 on e*era# e:ec)ti*e8 !a## .M;N

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That e:p#ained !hy "ep i had act)a##y been 2ainin2 c) tomer de pite an o*era## hrin,a2e of the )2ared oft-drin, mar,et. To add to the prob#em$ the "ep i drin,er !ere 2enera##y a yo)n2er demo2raphic$ ref#ectin2 the )cce of the yo)th-oriented A"ep i JenerationA campai2n the company had be2)n in the #ate %&O9 .M7N

The company8 mar,etin2 department a2ain !ent o)t into the fie#d$ thi time armed !ith amp#e of the po ib#e ne! drin, for ta te te t and foc) 2ro)p and )r*ey . The re )#t of that !ere *ery po iti*e Q the HSCS mi:t)re beat both re2)#ar Co,e and "ep i ?)ite o*er!he#min2#y. Then ta ter !ere a ,ed if they !o)#d b)y and drin, it if it was Coca-Co#a. 1o t aid ye $ they !o)#d$ a#tho)2h it !o)#d ta,e ome 2ettin2 ) ed to. A ma## minority$ abo)t %9T%7L$ !ere *ery an2ry at the tho)2ht and a#ienated by it$ ayin2 that they mi2ht top drin,in2 Co,e a#to2ether. Their pre ence in foc) 2ro)p tended to ,e! the re )#t from that re earch in a more ne2ati*e direction a they e:erted indirect peer pre )re on other participant .M0N The )r*ey $ !hich tandard mar,etin2 proced)re at that time p)t more !ei2ht on$ !ere #e ne2ati*e and !ere ,ey in con*incin2 mana2ement to mo*e for!ard !ith a chan2e in the form)#a for %&'( to coincide !ith the drin,8 centennia#. B)t the foc) 2ro)p had pro*ided a c#)e a to ho! the chan2e !o)#d p#ay o)t in a p)b#ic conte:t$ a data point that the company do!np#ayed b)t !a to pro*e important #aterM(N. 1ana2ement a# o con idered$ b)t ?)ic,#y reCected$ an idea to imp#y ma,e and e## the ne! f#a*or a yet another Co,e *ariety$ a the company8 bott#er !ere a#ready comp#ainin2 abo)t ab orbin2 other recent addition to the prod)ct #ine in the !a,e of Diet Co,e$ and a n)mber of them had a #a! )it pendin2 o*er the company8 yr)p pricin2 po#icie . A ne! *ariety of Co,e in competition !ith the main *ariety co)#d$ if )cce f)#$ a# o di#)te Co,eK e:i tin2 a#e and increa e the proportion of "ep i drin,er re#ati*e to Co,e drin,er . Ear#y in hi career !ith Coca-Co#a$ Joi6)eta had been in char2e of the company8 Bahamanian )b idiary. >n that capacity$ he had impro*ed a#e by t!ea,in2 the drin,8 f#a*or #i2ht#y$ o he !a recepti*e to the idea that chan2e to the ta te of Co,e co)#d #ead to increa ed profit . He be#ie*ed it !o)#d be ANe! Co,e or no Co,eA$MON and the chan2e m) t ta,e p#ace open#y.M0N He in i ted that the container carry the ANEWUA #abe#$ !hich 2a*e the drin, it pop)#ar name.M@N Joi6)eta a# o made a *i it to hi mentor and predece or a the company8 chief e:ec)ti*e$ the ai#in2 3obert W. Woodr)ff$ !ho had b)i#t Co,e into an internationa# brand fo##o!in2 Wor#d War >>. He c#aimed he had ec)red Woodr)ff8 b#e in2 for the reform)#ation$ b)t e*en many of Joi6)eta8 c#o e t friend !ithin the company do)bt that Woodr)ff tr)#y )nder tood !hat Joi6)eta intended.M'NM&N To hi o!n dyin2 day$ ho!e*er$ Joi6)eta in i ted he had. MeditN

Rollout

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One of Co,e8 ad to promote the f#a*or chan2e

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De pite a ne2ati*e reaction by top "ep i e:ec)ti*e to a m)22#ed pre*ie! i:-pac, of the ne! f#a*or$ they ne*erthe#e conc#)ded it !a a erio) threat. 3o2er Enrico$ then director of North American operation $ !a ted no time ta)ntin2 the *enerab#e ri*a#. He dec#ared a company!ide ho#iday and too, o)t a f)##-pa2e ad in The New York Times cro!in2 that "ep i had !on the #on2-r)nnin2 Aco#a !ar A.M%9NM%%N Since Co,e officia# !ere preocc)pied o*er the !ee,end !ith preparation for the bi2 day$ their "ep i co)nterpart had time to !or, the phone and p#ant eed of do)bt in the media$ o)ndin2 theme that !o)#d #ater come into p#ay in the p)b#ic di co)r e o*er the chan2ed drin,.M%7N MeditN O$$icial launc Ne! Co,e !a introd)ced on Apri# 7;$ !ith the #o2an AThe Be t D) t Jot BetterA. "rod)ction of the ori2ina# form)#ation ended that ame !ee,.

Co,e #et the media ,no! on Apri# %& that a maCor anno)ncement !a p#anned for the fo##o!in2 T)e day$ Apri# 7;$ concernin2 a chan2e in the prod)ct. Whi#e it pre re#ea e did not e:p#icit#y ay o$ many recipient correct#y 2)e ed it co)#d on#y a)2)r a chan2e in the f#a2 hip brand8 form)#ation. So$ too$ did officia# at "ep iCo$ !ho had e:pected a maCor mo*e b)t not omethin2 a dra tic a thi .

Strate!ic "aneuvers by #epsi

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1any of Ne! Co,e8 prob#em de*e#oped d)rin2 the ro##o)t. Archri*a# "ep i !a ab#e to )ndermine the p)b#ic re#ation p) h$ and Co,e8 o!n e:ec)ti*e $ partic)#ar#y Joi6)eta$ did not impre the media.

The pre conference at Ne! Yor, City8 =inco#n Center to introd)ce the ne! form)#a did not 2o o*er *ery !e##. 3eporter pre ent had a#ready been fed ?)e tion by "ep i$ !hich !a *ery !orried that Ne! Co,e !o)#d era e a## it 2ain $ and did not 2i*e Joi6)eta$ a man i##- )ited to e*ent )ch a the e$ an ea y time a he chan2ed a cent)ry of tradition. Hi t)mb#in2 de cription of the ne! ta te$ 2i*en hi bac,2ro)nd a one of the company8 f#a*or chemi t $ !a !ide#y ridic)#ed5

M>t8 N moother$ )h$ )h$ yet$ )h$ ro)nder yet$ )h$ bo#der ... it ha a more harmonio) f#a*or.M%;N

B)t he a# o p)rpo e#y dec#ined to admit that ta te te t had in any !ay #ed the company to ma,e the chan2e G!hich he ca##ed Aone of the ea ie t deci ion !e ha*e e*er madeAM&NI to a*oid 2i*in2 "ep i any creditM%(N$ yet 2a*e no other rea# rea on for the chan2e$ f)rther a#ienatin2 reporter !ho had been !e##-!or,ed by "ep i in ad*ance on thi *ery i )e. He came acro a arro2ant !hen$ fo##o!in2 a reporter8 ?)e tion abo)t !hether Diet Co,e !o)#d be reform)#ated Aif thi i a )cce $A he napped AThi i a )cce .A The empha i on the !eeter ta te of the ne! f#a*or a# o made a moc,ery of a recent tac, ta,en by Co,e in it ad*erti in2$ in !hich po,e man Bi## Co by had to)ted it #e - !eet ta te a a rea on to prefer Co,e o*er "ep i.M%ON Ne*erthe#e $ the company8 toc, !ent )p on the anno)ncement$M%@N and mar,et re earch ho!ed that '9L of the American p)b#ic !a a!are of the chan2e !ithin 0' ho)r M%'N. MeditN

Joi6)eta and pre ident Dona#d Keo)2h toa tin2 Ne! Co,e.

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Joi6)eta defended the chan2e by pointin2 o)t that the drin,8 ecret form)#a !a not acro anct and in*io#ab#e$ a A a Cand#er had obedient#y ta,en the cocaine o)t of the drin, after it had been made a contro##ed )b tance.M%0N

%arly acceptance
Whi#e it i !ide#y be#ie*ed today that the ne! drin, fai#ed a#mo t in tant#y$ at the time that !a not the ca e. The company$ a it had p#anned$ introd)ced the ne! form)#a !ith bi2 mar,etin2 p) he in Ne! Yor, G!or,er reno*atin2 the Stat)e of =iberty !ere ymbo#ica##y the fir t American 2i*en can to ta,e homeM%'NI and Wa hin2ton$ D.C. G!here tho) and of free can !ere 2i*en a!ay in =afayette "ar,I. Sa#e fi2)re from tho e citie $ and other re2ion !here it had been introd)ced$ ho!ed a reaction that !ent a the mar,et re earch had predicted. >n fact$ Co,e8 a#e !ere )p 'L o*er the ame period the year before.M%&N 1o t Co,e drin,er re )med b)yin2 the ne! drin, at m)ch the ame #e*e# a they had the o#d one. S)r*ey indicated$ in fact$ that a maCority #i,ed the ne! f#a*orin2.M79N Three?)arter of the re pondent aid they !o)#d b)y Ne! Co,e a2ain.M%&N The bi2 te t$ ho!e*er$ remained in the So)thea t$ !here Co,e !a fir t bott#ed and ta ted and ha a#!ay been )ch a mar,et #eader and c)#t)ra# in tit)tion that Aco,eA i a co##o?)ia# term for a## co#a $ or e*en a## oft drin, $ re2ard#e of brand. MeditN

&acklas

They !ere$ nonethe#e $ Coined by ome *oice from o)t ide the re2ion. Chicago Tribune co#)mni t Bob Jreene 2a*e them added amm)nition !ith ome !ide#y reprinted piece ridic)#in2 the ne! f#a*or and damnin2 Co,e8 e:ec)ti*e for ha*in2 chan2ed it. Ta#, ho! ho t and comedian made #i2ht of the !itch. Ad for Ne! Co,e !ere booed hea*i#y !hen they appeared on the coreboard at the Ho) ton A trodome.M%'N E*en Side# Ca tro$ a #on2time Co,e drin,er$ 2ot in on the act$ ca##in2 Ne! Co,e a i2n of American capita#i t decadence.M7%N Joi6)eta8 o!n father e:pre ed imi#ar mi 2i*in2 to hi on$ the on#y time he e*er a2reed !ith the man !ho e re*o#)tion had dri*en him and hi on$ near#y penni#e $ to America a ?)arter-cent)ry before.M77N Company head?)arter in At#anta tarted recei*in2 an2ry #etter e:pre in2 deep di appointment and an2er at e:ec)ti*e . A p ychiatri t Co,e hired to #i ten in on phone ca## to the company hot#ine$ %-'99-JET-COKE$ to#d e:ec)ti*e ome peop#e o)nded a if they !ere di c) in2 the death of a fami#y member.

De pite it acceptance !ith a #ar2e n)mber of Coca-Co#a drin,er $ a *oca# minority re ented the chan2e in form)#a and !a not hy abo)t ma,in2 that opinion ,no!n Q a2ain C) t a had happened in the foc) 2ro)p . 1any of the e drin,er !ere indeed So)therner $ ome of !hom con idered the drin, a f)ndamenta# part of re2iona# identity$ and *ie!ed the company8 deci ion to ma,e it !eeter thro)2h the pri m of the Ci*i# War$ a yet another h)mi#iatin2 )rrender to the AYan,ee A Ga#tho)2h "ep i !a in*ented in North Caro#ina$ the company ha #on2 been head?)artered in ")rcha e$ Ne! Yor,I.

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"ep i too, ad*anta2e of the it)ation$ r)nnin2 ad in !hich a fir t-time "ep i drin,er e:c#aimed ANo! > ,no! !hy Co,e did itUAM7;N Ho!e*er$ in a bit of re#ief for the be#ea2)red Co,e e:ec)ti*e $ "ep i act)a##y 2ained *ery fe! con*ert o*er Co,e8 !itch$ de pite c#aimin2 a %0L a#e increa e o*er the ame month the pre*io) year$ the #ar2e t a#e 2ro!th in the company8 hi tory.M%&N The mo t a#ienated c) tomer imp#y ref) ed to b)y Ne! Co,e rather than !itch to "ep i.M70N Their prote t $ Co,e came to rea#i6e$ !ere o*er the idea of chan2in2 the drin, rather than !hat it had been chan2ed to. Jay 1)##in $ a Seatt#e retiree #oo,in2 to tart a p)b#ic re#ation firm !ith /%79$999 of borro!ed money$ formed the or2ani6ation O#d Co#a Drin,er of America on 1ay 7' to #obby Coca-Co#a to either reintrod)ce the o#d form)#a or e## it to omeone e# e. Hi or2ani6ation e*ent)a##y recei*ed o*er O9$999 phone ca## . He a# o fi#ed a c#a action #a! )it a2ain t the company G!hich !a ?)ic,#y di mi ed by a C)d2e !ho aid he preferred the ta te of "ep iM7(NI$ !hi#e ne*erthe#e e:pre in2 intere t in #andin2 it a a c#ient of hi ne! firm ho)#d it reintrod)ce the o#d form)#a.M7ON He had a# o t!ice in informa# b#ind ta te te t cond)cted by the Seattle Times either fai#ed to di tin2)i h Ne! Co,e from o#d or e:pre ed a preference for Ne! Co,e.M7@N Sti##$ de pite on2oin2 re i tance in the So)th$ Ne! Co,e contin)ed to do !e## in the re t of the co)ntry.M7'N. B)t ho! it !o)#d be recei*ed in other co)ntrie remained to be een. Ser2io Pyman$ the company8 chief mar,etin2 officer$ heard do)bt and ,eptici m from hi re#ati*e in 1e:ico$ !here Ne! Co,e !a #ated to be introd)ced #ater that )mmer$ !hen he !ent there on *acation. Joi6)eta p)b#ic#y *oiced a comp#aint many company e:ec)ti*e had been ma,in2 in pri*ate a they hared #etter the company had recei*ed than,in2 them for the chan2e in form)#a$ that ba hin2 it had become AchicA and that$ a had happened in the foc) 2ro)p $ peer pre )re !a ,eepin2 tho e !ho #i,ed it from pea,in2 )p in it fa*or a *ocifero) #y a it critic !ere a2ain t it. Dona#d Keo)2h$ the company8 pre ident and chief operatin2 officer$ reported o*erhearin2 thi e:chan2e at hi co)ntry c#)b o)t ide At#anta5

MeditN

Revolt be ind t e scenes

Some Co,e e:ec)ti*e had be2)n di creet#y con iderin2 reintrod)cin2 the o#d form)#a a ear#y a 1ay.M;9N By D)ne$ a !armer !eather be2an to p)r oft-drin, a#e $ a#e ho!ed that the ne! form)#a !a #e*e#in2 amon2 con )mer $ and e:ec)ti*e feared the peer pre )re !a no! affectin2 their bottom #ine. Some con )mer be2an tryin2 to obtain o#d Co,e from o*er ea $ !here the ne! form)#a had not yet been introd)ced$ a dome tic

AHa*e yo) tried itVA AYe .A ADid yo) #i,e itVA AYe $ b)t >8## be damned if >8## #et Coca-Co#a ,no! that.AM7&N

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toc, of the o#d drin, !ere fina##y #i?)idated.M;%N O*er the co)r e of the month$ Co,e8 chemi t a# o ?)iet#y red)ced the acidity #e*e# of the ne! drin, in hope that !o)#d a )a2e comp#aint abo)t the f#a*or and a##o! it !eetne to be better percei*ed Gad pointin2 to thi chan2e !ere prepared$ b)t ne*er ) edI.M;7N >n addition to the noi ier p)b#ic prote t $ boycott and bott#e bein2 emptied into the treet of o)thern citie $ the company had more erio) rea on for concern . >t bott#er $ and not C) t the one ti## )in2 the company o*er yr)p pricin2 po#icie $ !ere e:pre in2 concern. Whi#e they had 2i*en Joi6)eta a tandin2 o*ation !hen he anno)nced the chan2e at an Apri# 77 bott#er 8 meetin2 at At#anta8 Woodr)ff Art Center$ 2#ad the company had fina##y ta,en ome initiati*e in the face of "ep i8 ad*ance M%'N$ they !ere #e enth) ia tic abo)t the ta te.M;;NM;0N 1o t of them a! 2reat diffic)#ty ha*in2 to promote and e## a drin, that had #on2 been mar,eted a AThe 3ea# Thin2A$ con tant and )nchan2in2$ no! that it had been chan2ed. The 79 bott#er ti## )in2 Co,e had e*en more port !ith the chan2e in their #e2a# ar2)ment . Co,e had ar2)ed in it defen e !hen the )it !a ori2ina##y fi#ed that the form)#a8 )ni?)ene and difference from Diet Co,e C) tified different pricin2 po#icie from the #atter. B)t if the ne! form)#a !a imp#y an HSCS- !eetened Diet Co,e$ ho! co)#d that ar2)ment ho#d !ater$ they a ,edV Bott#er $ partic)#ar#y in the So)th$ !ere a# o tired of facin2 per ona# opprobri)m o*er the chan2e. 1any reported that ome ac?)aintance had topped pea,in2 to them$ or had e:pre ed di p#ea )re in other emotiona##y h)rtf)# !ay . Some de#i*erymen !ere e*en a a)#ted.M%'N On D)ne 7;$ e*era# of the bott#er too, the e comp#aint to Co,e8 e:ec)ti*e in a pri*ate meetin2M%@N. With the company no! fearin2 boycott not on#y from it con )mer b)t it bott#er $ ta#, abo)t reintrod)cin2 the o#d form)#a mo*ed from if to !hen. MeditN

Reversal

H)mb#ed$ Coca-Co#a e:ec)ti*e anno)nced the ret)rn of the ori2ina# form)#a on D)#y %9$ #e than three month after the ne! Co,e8 introd)ction. So important !a the de*e#opment that ABC Ne! 8 "eter Dennin2 interr)pted re2)#ar pro2rammin2 to hare it !ith *ie!er . On the f#oor of the U.S. Senate$ Da*id "ryor ca##ed it Aa meanin2f)# moment in U.S. hi toryA.M;7N The ne! prod)ct contin)ed to be o#d and retained the name Coca-Co#a$ o the o#d prod)ct !a named 'oca('ola 'lassic$ more common#y 'oke 'lassic and #ater C) t 'lassic 'oke. 1any !ho ta ted the ha ti#y reintrod)ced form)#a !ere not con*inced that the fir t batche rea##y !ere the ame form)#a that had )ppo ed#y been retired that prin2. Thi i $ in fact$ partia##y tr)e beca) e Coca-Co#a C#a ic differed from the ori2ina# form)#a a a## bott#er !ere ) in2 hi2h fr)cto e corn yr)p in tead of cane )2ar.

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AThere i a t!i t to thi tory !hich !i## p#ea e e*ery h)mani t and !i## probab#y ,eep Har*ard profe or p)66#ed for year $A aid Keo)2h at a pre conference. AThe imp#e fact i that a## the time and money and ,i## po)red into con )mer re earch on the ne! Coca-Co#a co)#d not mea )re or re*ea# the deep and abidin2 emotiona# attachment to ori2ina# Coca-Co#a fe#t by o many peop#e.A The company made peace !ith 1)##in and tho e he repre ented by 2i*in2 him the fir t ca e of Co,e C#a ic.M%'N MeditN

A$termat
At fir t it #oo,ed a if Co,e8 !or t fear had come to pa a "ep i p)##ed into the #ead$ r)nnin2 yet another ad tea in2 Co,e by )22e tin2 that the !ho#e thin2 !a *ery conf) in2 and con )mer ho)#d C) t tic, !ith "ep i. B)t by the end of the year$ Co,e C#a ic !a )b tantia##y o)t e##in2 both Ne! Co,e and "ep i$ p)ttin2 the company bac, into the n)mber-one po ition it ha enCoyed e*er ince. Ne! Co,e$ by contra t$ had d!ind#ed to a mere three percent in mar,et hare. G=ater re earch$ ho!e*er$ )22e ted that it !a not the reintrod)ction of C#a ic Co,e$ b)t in tead the #e -hera#ded ro##o)t of Cherry Co,e$ that can be credited !ith the company8 )cce that year.M;(NI Co,e pent a con iderab#e amo)nt of time tryin2 to fi2)re o)t !here it had made a mi ta,e$ )#timate#y conc#)din2 that it had )ndere timated the p)b#ic impact of the portion of the c) tomer ba e that !o)#d be a#ienated by the !itch. Thi narrati*e !o)#d not emer2e for e*era# year after!ard$ ho!e*er$ and in the meantime the p)b#ic imp#y conc#)ded that the company had$ a Keo)2h )22e ted$ fai#ed to con ider the p)b#ic8 attachment to the idea of !hat Co,e8 o#d form)#a repre ented. That ha become con*entiona# !i dom a#tho)2h it i not the ca e. Thi pop)#i t *er ion of the tory er*ed Co,e8 intere t $ ho!e*er$ a the !ho#e epi ode did more to po ition and define Coca-Co#a a a brand embodyin2 *a#)e di tinct from "ep i than any de#iberate effort to do o probab#y co)#d ha*e. A##o!in2 it e#f to be portrayed a a ome!hat c#)e#e #ar2e corporation forced to bac, off a bi2 chan2e by o*er!he#min2 p)b#ic pre )re f#attered c) tomer and added to the #e2end Ga Keo)2h p)t it$ AWe #o*e any retreat !hich ha ) r) hin2 to!ard o)r be t c) tomer !ith the prod)ct they #o*e the mo t.AM;7NI. The bott#e and can contin)e to bear the ACoca-Co#a C#a icA tit#e e*en tho)2h it ha #on2 ince di p#aced it er t!hi#e ) )rper a the main brand. Whi#e in the hort term the fia co #ed Co by to end hi ad*erti in2 for Co,e$ ayin2 hi commercia# that prai ed the )periority of the ne! form)#a had h)rt hi credibi#ity$ no one at Coca-Co#a !a fired or other!i e he#d re pon ib#e for !hat i ti## !ide#y percei*ed a a mi tep$ for the imp#e rea on that it )#timate#y !a n8t Gin contra t !ith Sch#it6 beer8 di a tro) chan2e to a cheaper form)#a in the ear#y %&@9 $ !hich !a a# o ba ed on mar,et re earch into prod)ct ta te yet )n?)e tionab#y detrimenta# to the company in the #on2 termI. When Joi6)eta died in %&&@$ the company8 hare price !a at a #e*e# !e## abo*e !hat it !a !hen he had ta,en o*er %O year ear#ier and it po ition

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a mar,et #eader e*en more firm#y e tab#i hed. At the time 3o2er Enrico$ then head of "ep i8 American operation $ #i,ened ne! Co,e to the Ed e#M;ON. B)t he admitted #ater$ !hen he him e#f became "ep iCo8 CEO$ that had peop#e been fired or demoted o*er Ne! Co,e it !o)#d ha*e ent a me a2e that ri ,-ta,in2 !a tron2#y di co)ra2ed at the companyM;@N. >n the #ate %&&9 $ Pyman )mmed )p the Ne! Co,e e:perience th) #y5

Ye $ it inf)riated the p)b#ic$ co t a ton of money and #a ted on#y @@ day before !e reintrod)ced Coca-Co#a C#a ic. Sti##$ Ne! Co,e !a a )cce beca) e it re*ita#i6ed the brand and reattached the p)b#ic to Co,e.M;'N MeditN

New 'oke a$ter 'oke 'lassic

B)t conf) ion rei2ned at the company8 mar,etin2 department$ !hich had to come )p !ith a p#an to mar,et t!o Co,e !here )ch p#an had been comp#ete#y off the tab#e mere month before. C#a ic Co,e didn8t need m)ch he#p$ !ith a A3ed$ White and Yo)A campai2n ho!ca in2 the American *irt)e many of tho e !ho had c#amored for it reintrod)ction had pointed#y reminded the company it emobodied. B)t ho! to e## !hat !a ti## C) t Co,eV AThe Be t D) t Jot BetterA co)#d no #on2er be ) ed. 1ar,eter f)mb#ed for a trate2y for the re t of the year.M;&N 1atter !ere not he#ped !hen 1cDona#d8 anno)nced hort#y after the reintrod)ction that it !a !itchin2 o*er to C#a ic Co,e at e*ery tore acro the co)ntryM09N

>n the hort r)n the reintrod)ction of o#d Co,e a*ed Co,e8 a#e n)mber and bro)2ht it bac, in the 2ood 2race of many c) tomer and bott#er . "hone ca## and #etter to the company !ere a Coyf)# and than,f)# a they had been an2ry and depre ed GAYo) !o)#d ha*e tho)2ht !e8d c)red cancerA$ aid one e:ec)ti*eI.

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1a: Headroom print ad from ACatch the Wa*e.A At the be2innin2 of %&'O$ ho!e*er$ Co,e8 mar,etin2 team fo)nd a trate2y by ret)rnin2 to their ori2ina# moti*e for chan2in2 the drin, Q the yo)th mar,et o beho#den to "ep i. 1a: Headroom$ the p)rported#y comp)ter-2enerated Briti h media per ona#ity p#ayed by 1att Sre!er$ !a cho en to rep#ace Co by a the po,e man Gof ort I for Co,e8 ne! ACatch the Wa*eA campai2n. A *ery ty#i h fi2)re in hi Cac,et and )n2#a e $ he !a a#ready ,no!n to m)ch of the U.S. yo)th a)dience thro)2h appearance on 1T<$ !here he had fir t appeared in the The Art of Noi e8 A"aranoimiaA *ideo$ and Cinema:. The campai2n !a #a)nched !ith a memorab#e te#e*i ion commercia#$ prod)ced by 1cCannEric, on Ne! Yor,$ !ith 1a: ayin2 in hi trademar, t)tter$ AC-C-C-Catch the Wa*eA and referrin2 to hi fe##o! ACo,eo#o2i t A.M%NM7N >n a ripo te to "ep i8 te#e*i )a# tea in2 $ one ho!ed Headroom a ,in2 a "ep i can he !a Ainter*ie!in2A ho! it fe#t abo)t more drin,er preferrin2 the ne! Co,e to it and then c)t to the conden ation formin2 on the can. AS!eatin2VA he a ,ed.M;N >t !a a h)2e )cce $ and )r*ey #i,e!i e ho!ed that more than three-?)arter of the tar2et mar,et !ere a!are of the ad !ithin t!o day . Co,e8 corporate hot#ine recei*ed more ca## abo)t him than any pre*io) po,e per on$ ome e*en a ,in2 if he !a married. M0%N Cartooni t Jarry Tr)dea) fo##o!ed )it !ith A3on Headre tA$ a imi#ar cybercaricat)re of "re ident 3ea2an$ in ome of hi Doonesbury trip . The ad and campai2n contin)ed thro)2ho)t the year and !ere cho en a be t of %&'O by <ideo Storyboard of Ne! Yor,.M0%N Ho!e*er$ ome t)tterer and ad*ocate for them comp#ained that the ad !ere in )#tin2. Some *ie!er fo)nd them annoyin2$ and )#timate#y Co,e it e#f fo)nd that ome *ie!er tho)2ht they !ere "ep i ad . MeditN

'oke II

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A can of Co,e >> >n %&'($ Ne! Co,e !a o#d on#y in North America$ !hi#e the ori2ina# form)#a contin)ed to be o#d in the re t of the !or#d Ga#tho)2h had the ne! *er ion been a )cce it !o)#d pre )mab#y ha*e been introd)ced !or#d!ideI. B)t Ne! Co,e !a e*ent)a##y ret)rned to the company8 prod)ct portfo#ioW it !a te t-mar,eted )nder the name Co,e >> in %&&9 and officia##y renamed Co,e >> in %&&7. So$ ha*in2 determined not to ma,e it a econd brand$ the company )#timate#y did e:act#y that. Ho!e*er$ Co,e$ perhap not !antin2 to 2et b)rned a econd time$ did #itt#e to promote or other!i e di tin2)i h it$ and in a mar,et a#ready offerin2 far more choice of drin, ca##in2 them e#*e ACo,eA in ome fa hion or another$ the p)b#ic a! #itt#e rea on to embrace a prod)ct they had firm#y reCected e*en year ear#ier$ and !ithin a year or o Co,e >> !a #ar2e#y off the American he#*e a2ain. By %&&' it co)#d on#y be fo)nd in ome cattered 1id!e tern mar,et $ and by 7997 !a 2one from the U.S. a#to2ether. And yet it ha fo)nd acceptance in ome forei2n mar,et . A of 799O$ it !a ti## e##in2 in Yap Gone of the fo)r Sederated State of 1icrone iaI$ a#on2 !ith Coca-Co#a C7. >t i a# o ti## *ery pop)#ar in the U.S. Territory American Samoa$ !here it i ti## o#d in mo t Co,e *endin2 machine .

E*o#)tion of the Ne! Co,eBCo,e >> can .

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)e!acy

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Ne! Co,e had the pot#i2ht for on#y three month b)t ca t a #on2 hado!$ in both the b) ine !or#d and pop)#ar c)#t)re$ that can be een today. MeditN

'ommercial
ASor a prod)ct o !ide#y de pi ed$A noted AdWeek b#o22er Tim N)dd in 799O$ more than t!o decade #ater$ ANe! Co,e Ga,a Co,e >>I ti## 2et an admirab#e amo)nt of in,.A He noted Blink and another recent boo, that dea#t !ith it at ome #en2th$ a !e## a t!o recent mention in Forbes and Sports llustrated.M07N. >t i mo t fre?)ent#y mentioned a a ca)tionary ta#e amon2 b) ine e a2ain t tamperin2 too e:ten i*e#y !ith a !e##-e tab#i hed and )cce f)# brand. MeditN

Futurama poofed the con piracy theory in ASry and the S#)rm SactoryA. >n it$ Sry$ =ee#a$ and Bender are capt)red by the S#)rm ?)een$ !ho dan2#e =ee#a o*er a *at of S#)rm f#)id !hich the in ectoid ?)een her e#f e:pe##ed o)t her c#oaca. S#)rm 4)een5 ASoon$ yo)8## be )bmer2ed in 3oya# S#)rm$ !hich in a matter of min)te !i## tran form yo) into a S#)rm 4)een #i,e my e#fUA J#)rmo GS#)rm o#dierI5 AB)t yo)r Hi2hne $ he8 a commoner. Her S#)rm !i## ta te fo)#.A S#)rm 4)een5 AYe . Which i !hy !e8## mar,et it a Ne! S#)rm. Then$ !hen e*eryone hate it$ !e8## brin2 bac, S#)rm C#a ic and ma,e bi##ion UA On <H%8 !o"e the #$%s Strikes Back$ comedian 1ichae# >an B#ac, *oiced hi opinion on the de*e#opment of Ne! Co,e5 AThe pope G"ope Dohn "a)# >>I !a in*o#*ed...the pope !a more than in*o#*ed.A

>n AErection DayA$ a ninth- ea on epi ode of South &ark$ tand-)p comic Dimmy <a)#merBS!an on ay in a performance AWe##$ they8re 2ettin2 a ne! pope$ ha*e yo) een thi $ ha*e yo) heard abo)t thi V Apparent#y$ they8re 2oin2 to ca## the ne! one 8Ne! "ope8 and the Dohn "a)# 8"ope C#a ic.8 ...Wo!$ !hat a !onderf)# a)dience.A On the te#e*i ion ho! The Simp on $ one epi ode inc#)de B#eedin2 J)m 1)rphy ha*in2 a 2)e t tar pot on The Co by Sho!. Bi## Co by then ha to e:p#ain to hi chi#dren !hy they ha*e a third 2randpa and !hy thi one i a# o a Ca66 m) ician. Bi## Co by rep#ie $ AOh$ oh yo) ee$ the ,id $ they #i ten to the rap m) ic$ !hich 2i*e them the brain dama2e. With the hippin8 and the hoppin8 and

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'ultural

the bippin8 and the boppin8$ o they don8t ,no! !hat the Ca66 i a## abo)t. Yo) ee Ca66 i #i,e De##-O ")ddin2 "op. No act)a##y it8 more #i,e Koda, fi#m. No$ act)a##y it8 #i,e the Ne! Co,e-- it8## be aro)nd fore*er. Heh heh heh.A

>n The Wedding Singer$ !hich ta,e p#ace in %&'($ in the on2 AA## Abo)t The Jreen$A it i mentioned. >t i aid that a## the toc, ho)#d be bo)2ht for Ne! Co,e in tead of Starb)c, . G>t !a tated that in the f)t)re$ no one !o)#d b)y coffee for /;I.

MeditN

'onspiracy t eories
Coca-Co#a8 )dden re*er a# on Ne! Co,e #ed to e*era# )rban #e2end and con piracy theorie that ha*e circ)#ated in the year ince to e:p#ain ho! a company !ith the re o)rce and e:perience of Coca-Co#a co)#d ha*e made )ch an apparent#y co#o a# b#)nder. The imp#e t !a that the company had p#anned a## a#on2 to reintrod)ce the o#d form)#a a a p#oy to rein*i2orate intere t in the prod)ct. There ha*e been apocrypha# ta#e of emp#oyee eein2 batche of the o#d form)#a contin)in2 to be prod)ced !e## after Apri#$ and other !ho ay that #on2 before D)#y they a! the 2raphic for the Co,e C#a ic container G!hich Co,e aid at the time !ere ha ti#y concei*ed and prod)ced !ithin a day$ !hich rai ed ome eyebro! a #ar2e corporation rare#y do )ch momento) thin2 !ith that m)ch ha teI. The company denie the acc) ation to thi day. Other e:p#anation that ha*e been proffered5

The p)tati*e !itch !a p#anned a## a#on2 to co*er the chan2e from )2ar!eetened Co,e to m)ch more ine:pen i*e hi2h fr)cto e corn yr)p GHSCSI$ a theory that !a )ppo ed#y 2i*en credence by the apparent#y different ta te of Co,e C#a ic !hen it fir t hit the mar,et Gthe U.S. )2ar trade a ociation too, o)t a f)##-pa2e ad #amba tin2 Co,e for ) in2 HSCS in a## bott#in2 of the o#d form)#a !hen it !a reintrod)ced.M0;NI. Ho!e*er$ a noted abo*e$ ome Co,e bott#er had been ) in2 HSCS for e*era# year a#ready$ tho)2h it i tr)e that e*ent)a##y a## bott#er !o)#d abandon cane )2ar. A# o$ many of tho e !ho c#aimed the reintrod)ced Co,e C#a ic ta ted different#y had not been ab#e to amp#e the o#d drin, for a co)p#e of month and nat)ra##y their memorie may ha*e p#ayed a part in idea#i6in2 the ta te. >n another theory$ it pro*ided co*er for the fina# remo*a# of a## coca deri*ati*e from the prod)ct to p#acate the Dr)2 Enforcement Admini tration$ !hich !a tryin2 to eradicate the p#ant !or#d!ide to combat an increa e in cocaine traffic,in2 and con )mption. Whi#e Co,e8 e:ec)ti*e !ere indeed re#ie*ed that the ne! form)#a contained no coca$ and !ere indeed concerned abo)t the #on2term f)t)re of the "er)*ian 2o*ernment-o!ned coca fie#d that )pp#ied it in the

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*as it really necessary+

A#tho)2h the rea on for Co,e8 ear#y-8'9 #o of mar,et hare !a ori2ina##y tho)2ht by both companie and a## ob er*er to be "ep i8 !eeter ta te$ #ater re earch ha )22e ted other!i e. The rea# c)#prit$ accordin2 to thi $ t)rned o)t to be the %&O( mer2er bet!een "ep i and Srito-=ay that created "ep iCo. The ne! company !a ab#e to ta,e ad*anta2e of Srito=ay8 hi2h#y de*e#oped retai# di trib)tion y tem to #e*era2e more he#f pace at )permar,et and other food retai#er . With more he#f pace a*ai#ab#e$ a#e pecia# !ere common for "ep i prod)ct . "rice$ not #oya#ty$ !a the moti*atin2 factor for mo t retai# con )mer $ and "ep i 2ained )b tantia# mar,et hare a a re )#tMcitation neededN.

Keo)2h an !ered a## pec)#ation by ayin2 AWe8re not that d)mb$ and !e8re not that mart$A a Co,e C#a ic !a reintrod)ced.

face of increa in2 DEA pre )re to end c)#ti*ation of the crop$ there !a no direct pre )re from the DEA on Coca-Co#a to do o.M0N Yet another theory a2ree that the !itch !a meant )#timate#y to fai#$ b)t that it !a not abo)t pro*idin2 co*er for any )b tanti*e chan2e in the prod)ct$ in tead a ort of pre-empti*e f#an,in2 mane)*er. "ep i$ thi theory ho#d $ had been de*e#opin2 and con iderin2 mar,etin2 a prod)ct ca##ed "ep i S)preme !hich !a to ha*e ta ted more #i,e Co,e a a !ay to increa e it mar,et hare and attract yet more Co,e drin,er to it prod)ct #ine. By p)##in2 a imi#ar mo*e them e#*e $ Co,e 2)aranteed$ it i be#ie*ed$ that any mo*e by "ep i !o)#d #oo, #i,e mere imitation and th) headed off a cha##en2e to it f#a2 hip drin,. G"ep i )ppo ed#y had )ch a prod)ct in de*e#opment at the time$ and !a 2oin2 to introd)ce it if the combination of Ne! Co,e and Co,e C#a ic had )cce f)##y c)t into it mar,et hareW b)t ince that ne*er happened "ep i S)preme ne*er a! the #i2ht of day.I Another theory ca## the !ho#e thin2 a toc, manip)#ation cheme. The )b e?)ent drop in Coca-Co#a8 hare price made it ea ier for the company and it primary o!ner to b)y bac, hare $ )n-di#)tin2 the company8 o!ner hip. Once )fficient hare had been p)rcha ed or ta,en off the mar,et$ Ac#a icA Co,e !a ret)rned to mar,et to dri*e the toc, price bac, )p.Mcitation neededN Ho!e*er$ a the company8 hare price !ent )p on Ne! Co,e8 introd)ction and c#o ed the year )p ;;.(L$ it i )n#i,e#y that )ch a cheme !o)#d ha*e been )cce f)#$ and indeed Co,e8 e:ec)ti*e !ere #oo,in2 to boo t the hare price thro)2h their action .M00N A fina# theory )22e t that the company !a attemptin2 to increa e the amo)nt of he#f pace for it prod)ct in )permar,et in order to ma,e "ep i #oo, ma##er by compari on. Thi i a common rea on for #ine e:ten ion$ a the introd)ction of Cherry Co,e and more recent *ariation i##) trate $ b)t if that !ere the rea# 2oa#$ the ne! form)#a co)#d ha*e imp#y been introd)ced a#on2 ide the o#d one to be2in !ith.

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Taste(test issues
>n ta#, $ and hi boo, Blink$ a)thor 1a#co#m J#ad!e## re#ate hi con*er ation !ith mar,et re earcher in the food ind) try !ho p)t mo t of the b#ame for the fai#)re of Ne! Co,e on the f#a!ed nat)re of ta te te t . They c#aim mo t are )bCect to y tematic bia e . Te t )ch a the "ep i Cha##en2e !ere !hat are ca##ed in the ind) try A ip te t $A meanin2 that drin,er !ere 2i*en ma## amp#e G#e than a can or bott#e8 !orthI to try o)t. J#ad!e## contend that !hat peop#e ay they #i,e in the e te t may not ref#ect !hat they !i## act)a##y b)y to it at home and drin, o*er a !ee, or o.M0(N Caro# Do##ard$ !ho once !or,ed in ne! prod)ct de*e#opment for "ep i$ to#d J#ad!e##$ A>8*e een many time !here the ip te t !i## 2i*e yo) one re )#t and the home-) e te t !i## 2i*e yo) the e:act oppo ite.AM0ON Sor e:amp#e$ a#tho)2h many con )mer react po iti*e#y to the !eeter ta te of "ep i !hen drin,in2 it in ma## *o#)me $ it may become )natracti*e#y ic,#y !hen dr)n, in ?)antity. Co,e$ on the other hand$ may be more attracti*e for drin,in2 in *o#)me$ preci e#y because it i #e !eet. A more comprehen i*e te tin2 re2ime co)#d po ib#y ha*e re*ea#ed thi . J#ad!e## report that other mar,et re earcher ha*e critici6ed Co,e for not rea#i6in2 that m)ch of it )cce a a brand came from !hat they ca## en ation tran ference$ a phenomenon fir t de cribed by mar,eter =o)i Che ,in in the #ate %&09 5 ta ter )ncon cio) #y add their reaction to the drin,8 pac,a2in2 into their a e ment of the ta teM0@N. Sor e:amp#e$ one of the re earcher to#d J#ad!e## that hi firm8 re earch had fo)nd @-Up drin,er offered a amp#e from a bott#e !ith a di tinct#y more ye##o!i h #abe# be#ie*e the f#a*or to be more #emony$ a#tho)2h it !a n8t.M0'N >n Co,e8 ca e$ it i a##e2ed that b)yer $ )bCect to en ation tran ference$ !ere Ata tin2A the red co#or of the container and di tincti*e Coca-Co#a cript a m)ch a the drin, it e#f. >t !a th) $ in their opinion$ a mi ta,e to foc) o#e#y on the prod)ct and it ta te. AThe mi ta,e Co,e made$A aid Darre# 3hea$ an e:ec)ti*e !ith the firm Che ,in fo)nded$ A!a in attrib)tin2 their #o in hare entire#y to the prod)ctAM0'N. He point to "ep i8 !or, in e tab#i hin2 a yo)th-oriented brand identity from the %&O9 on!ardM7N a ha*in2 more bearin2 on it )cce .

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