How Coca-Cola Company Makes Money?

Understanding Coca-Cola Business Model

This article is about how Coca-Cola Company makes money. Firstly, we
present our analysis of Coca-Cola business strategy and its impact on Coca-
Cola Business Model. Then, we explain the business segments of Coca-Cola and how the
company generates revenue from each of those segments. Finally, we share the
revenues, the profits, and the profit margins of Coca-Cola for 2014.

The Coca-Cola Company (KO) is the worlds largest beverage company with operations
in more than 200 markets. It markets more than 500 nonalcoholic beverage brands,
primarily sparkling beverages but also a variety of still beverages such as waters,
enhanced waters, juices and juice drinks, ready-to-drink teas and coffees, and energy and
sports drinks. The company operates through a network of company-owned or -controlled
bottling and distribution operations as well as independent bottling partners, distributors,
wholesalers and retailers.

Understanding Coca-Cola Company Business Model

Founded in year 1886, Coca-Cola Company today has become one of the worlds largest
beverage company. Over the last 129 years it has evolved its business model from
sparkling beverages business to diversified business, including stills and now premium
beverages.
It is important to understand the key components of its core business model that revolves
around following two key tenets:

Building global brands

Leading an unmatched global system of bottling partners

Coca-Cola Company Focus On Building Global Brands And Its Impact On Revenues

Coca-Cola Company that started as a sparkling beverage producer and distributor

witnessed unprecedented demand for its flagship product Coca-Cola. Main ingredients of
Coca-Cola and its other sparkling beverage variants that include Sprite, Fanta and Diet
Coke are water, nutritive (HFCS- High Fructose Corn Syrup and Sucrose) or non-nutritive
sweeteners (aspartame, acesulfame potassium, saccharin, cyclamate, and sucralose) and
syrups. The key to selling these beverages lies not in the ingredients but in the marketing
acumen of 129 year old company. Coca-Cola today has more than 20 one billion dollar (in
sales) brands. It has built these brands by understanding the needs of the customers and
launching products that meet or exceed customers expectations.

Today global Nonalcoholic Ready To Drink (NRTD) beverages industry is witnessing key
changes in its consumer base. There is increasing demand for healthy alternatives to
sparkling beverages from growing teen population with higher spending capacity. The
company has broadened its array of lower-calorie and lower-sugar sodas, introduced
smaller container sizes, and added healthier stills beverages to its brand portfolio, ranging
from iced tea to flavored water. Its efforts are supported by incremental media
investments, high quality marketing programs such as Share a Coke and custom emoji
program with Twitter.

Coca-Cola spent $3.5 Billion in advertisement in year 2014 and maintained its 3rd position
in worlds best global brands. It is also building partnerships and acquiring stakes in
companies that will help it serve better for me products to changing customer base. To
build this high growth platform Coca-Cola has acquired 16% stake in Keurig for the
production and sale of its branded single-serve, pod-based cold beverages and 16.7%
stake in Monster beverages. It has also recently launched high protein low sugar milk
variant Fairlife to cater to millennials that want better product at a premium.

Coca-Cola Company Focus On Leading An Unmatched Global System Of Bottling

Partners And Its Impact On Revenues

The company makes its products available to consumers throughout the world through
network of Company-owned or -controlled bottling and distribution operations as well as
independent bottling partners, distributors, wholesalers and retailers. Coca-Cola Company
has been operating a franchised distribution system since 1889. In this franchised
distribution system, company only produces syrup concentrate which is then sold to
various bottlers throughout the world who hold an exclusive territory. The franchise model
allows the company to avoid costs associated with manufacturing, storage, and
distribution. It also enables the company to scale its business faster. Bottling partners are
responsible for meeting customer demand through manufacturing, packaging, distributing,
and merchandising the finished branded beverages to customers. Bottling partners are
also responsible for customer marketing and outlet execution. Network system helps
Coca-Cola Company offer its consumers the right product in the right pack at the right
price to suit the consumer occasion.

How Coca-Cola Company Makes Money

Coca-Cola Company operates its business through Concentrate Business and Finished
Products business.

In the concentrate business, the company generates revenues by selling concentrates and
syrups (including fountain syrups) to authorized bottling partners. Bottling partners either
combine the concentrates with sweeteners (depending on the product), still water and/or
sparkling water, or combine the syrups with sparkling water to produce finished beverages.
The finished beverages are packaged in cans, refillable and non-refillable glass, and
plastic bottles. They are then sold to retailers directly or, in some cases, through
wholesalers.
In the finished products business, the company generates revenues by selling sparkling
beverages and a variety of still beverages, such as juices and juice drinks, energy and
sports drinks, ready-to-drink teas and coffees, and certain water products, to retailers or to
distributors, wholesalers and bottling partners who distribute them to retailers. In addition,
company manufacture fountain syrups and sell them to fountain retailers, such as
restaurants and convenience stores who use the fountain syrups to produce beverages for
immediate consumption. The company also gets revenues by providing marketing support
and selling other nonalcoholic beverage brands that include DPSG, Nestle, Aujan
industries and Monster beverages through licenses, joint ventures and strategic
partnerships. The company has also entered into at home dispensing market by its
partnership with Keurig for the production and sale of its branded single-serve, pod-based
cold beverages.

The Coca-Cola Company Business Segments

The firm reports its activities in two business segments that sell sparkling and stills
beverages through 6 operating segments. A brief description of these Operating segments
is as follows:

Coca-Cola operating segments are primarily based on geographic responsibility. The

Bottling Investments operating segment includes all company-owned or consolidated
bottling operations, regardless of geographic location, except for bottling operations
managed by CCR, which are included in the companys North America operating segment.

Coca-Cola Company FY 2014 Revenues By Operating Segments

In FY14 (fiscal year ended December 31, 2014), Coca-Cola Company generated $45.9
billion of total revenues. Of these total revenues, Coca-Cola Company generated

$21.5 billion revenues, 46.7% of the total, from the North America operations
$7.1 billion revenues, 15.5% of the total from the Bottling investments and
corporate operations
$5.3 billion revenues, 11.4% of the total from the Asia Pacific operations
$4.8 billion revenues, 10.5% of the total from the Europe operations
$4.6 billion revenues, 9.9% of the total from the Latin America operations
$2.7 billion revenues, 5.9% of the total from the Eurasia & Africa operations

Coca-Cola Company FY 2014 Revenues By Business Segments

Of the total $45.9 billion revenues, Coca-Cola Company generated

$17.5 billion revenues, 38% of the total, from the concentrate business
$28.5 billion revenues, 62% of the total from the finished product business
Coca-Cola Company FY 2014 Profits And Profit Margins

Of the $45.9 billion of Coca-Cola company total revenues in FY14, $17.9 billion were the
total cost of goods sold. These include Raw material costs- sweeteners, Metals, Juices
and PET and costs related to the movement of finished goods from manufacturing
locations to sales distribution centers. This resulted in $28.1 billion of gross profit and
gross profit margin of 61.1%. Coca-Cola operating costs were $18.4 billion. These include
Selling, general and administrative expenses (Advertising expenses, Stock based
compensation expenses, bottling and distribution expenses and marketing expenses like
in-store activations, loyalty points programs and point-of-sale marketing and other
operating expenses (Productivity and reinvestment program, integration and restructuring
initiatives). This resulted in $9.7 billion of operating profit and an operating margin of
21.1%. After interest and other non-operating income and expenses and income taxes,
Coca-Cola had a net profit of $7.0 billion and a net margin of 15.4%.

Canvas Coca Cola:

Propuesta de valor: FELICIDAD. Mix bebidas refrescantes, energticas, lights, etc. Coca-
Cola ofrece a sus clientes un producto de buena calidad, refrescante, energizante y sin
alcohol, de manera general. Y puntualmente con sus variaciones es capaz de ofrecer un
producto que se ha preocupado de potenciar la vida sana.
Canvas PEPSICO.

Understanding PepsiCos business model

Diversified business model

PepsiCo Inc. (PEP) has a diversified business model with a strong presence in food and
beverage products. In a scenario where carbonated soft drinks have been continually
declining, PepsiCos significant presence in the snack food category gives it an edge over
its closest rival, The Coca-Cola Company (KO), which is heavily dependent on sparkling or
carbonated beverages. In 2013, PepsiCos food business accounted for 52% and its
beverage business accounted for 48% of the companys $66.4 billion revenues.
Complementary products

PepsiCo benefits from its presence in two complementary categories: food and beverages.
There is a high coincidence of purchase between these two categories. According to
Information Resources, Inc. (or IRI), a market research company, 54% of US consumers
who buy salty snacks also buy a beverage in the same basket. For instance, PepsiCo
states that when Frito-Lay snacks are merchandised along with Pepsi carbonated soft
drinks (or CSDs), it results in higher sales.

Another interesting observation is that more than 60% of US households who buy
Mountain Dew also buy Doritos tortilla chips.

Leveraging category strength

The presence of one category of business in a region makes PepsiCos entry easier into
the complementary category. For instance, PepsiCo is able to leverage its beverage
business in emerging markets to develop its snacks business.

Competitors have a similar business model

PepsiCos peers Kraft Foods Group Inc. (KRFT) and Mondelez International, Inc.
(MDLZ) also have a presence in the food and beverage categories. In 2013, Kraft Foods
derived 10% of its $18.2 billion in revenue from refreshment beverages and food. That
year, Mondelez International derived about 17% of its $35.3 billion of revenue from
beverages and snack food.

PepsiCos three-channel distribution network

Three distribution channels

PepsiCo Inc. (PEP) is a leading food and beverage company with an impressive global
presence. The companys products reach the market through the following three channels:
direct store delivery (or DSD), customer warehouse, and third-party distributor networks.
PepsiCo chooses the relevant distribution channel based on customer needs, product
characteristics, and local trade practices.
Direct store delivery

Under the DSD system, PepsiCo delivers products directly to retail stores. Of the three
channels, DSD enables PepsiCo to merchandise with maximum visibility. Its more suitable
for products that are restocked often and are sensitive to promotions and marketing.

Customer warehouse

The customer warehouse system is a less expensive distribution channel. Its ideal for
products that are less fragile and perishable, have lower turnover, and are not purchased
impulsively.

Third-party distributor networks

PepsiCo distributes food and beverage products to restaurants, businesses, schools, and
stadiums through third-party food service and vending distributors and operators.

Leveraging its dominant position

PepsiCo is the second-largest nonalcoholic beverage maker in the United States with a
large scale of operations. The companys dominant position helps it enjoy favorable
relationships with its retailers, who allow the company to have major shelf space. This
helps PepsiCo influence consumer shopping patterns and increases the coincidence of
purchase of its complementary food and beverage products.

Understanding PepsiCos segments

PepsiCos business segments
 PepsiCo derives its revenues from the following six segments:

Frito-Lay North America

Quaker Foods North America
Latin America Foods
Americas Beverages
Europe
Asia, Middle East and Africa

The first three business segments form the PepsiCo Americas foods business unit.

2013 segment performance

The PepsiCo Americas Beverages segment continues to account for the largest proportion
of total revenues. Its been experiencing declining revenues over the past few years
primarily due to lower carbonated soft drink volumes and challenging macro conditions.
The segment derives its revenues from the sale of beverage concentrates, fountain
syrups, and finished goods under brands such as Pepsi, Gatorade, and Tropicana.

The Frito-Lay North America segment comprises branded snack foods such as Lays chips
and Doritos tortilla chips. Net revenues for the segment grew 4%, driven by volume growth
and favorable pricing. The Quaker Foods North America segment, which includes cereals,
rice, pasta, and other branded products, witnessed a 1% decline in revenues as higher
volumes were offset by an unfavorable product mix. The Latin America Foods segment
revenues surged by 7%, reflecting the impact of favorable pricing.

The Europe segments net revenues increased by 2% due to higher pricing.

Despite favorable pricing and volume growth, revenues for the Asia, Middle East and
Africa segment declined by 2% due to the sale of bottling operations to Tingyi and the
Vietnam beverage refranchising.

Segment profitability

Among all the segments, the Frito-Lay North America segment is the most profitable,
accounting for about 21% of total revenues. In 2013, the segment accounted for 35% of
the total divisions operating profits. The PepsiCo Americas Beverages segment
accounted for 32% of total revenues and around 26% of operating profits.

This shows that PepsiCos snack food business is more profitable than its beverage
business. Higher profitability of the snack food business is the result of PepsiCos pricing
power given its dominant position in the US snack food business, its wide distribution
network, and huge economies of scale.

PepsiCo: One of the behemoths of beverage

Dominant beverage player

PepsiCo Inc. (PEP) and The Coca-Cola Company (KO) are the two behemoths of the
liquid refreshment beverage (or LRB) industry. The LRB market includes carbonated
drinks, water, and noncarbonated or still beverages like ready-to-drink teas.

According to Beverage Digest, in 2013, PepsiCo held a 25.8% share of the US LRB
market in terms of volume, and Coca-Cola led with a 34.2% market share. Dr Pepper
Snapple Group Inc. (DPS) ranked third with a 10.9% share of the US LRB volume.
Nonalcoholic beverage makers like PepsiCo and Coca-Cola are part of the consumer
staples sector. You can invest in this sector through exchange-traded funds (or ETFs)
such as the Consumer Staples Select Sector Standard & Poors depositary receipt (or
SPDR) Fund (XLP). Indexes tracking ETFs, such as the SPDR S&P 500 ETF (SPY), also
have holdings in PepsiCo.

PepsiCos carbonated beverages

PepsiCo has a strong carbonated beverage portfolio that includes its leading brand, Pepsi-
Cola, and other brands such as Mountain Dew and Mirinda. PepsiCo and Coca-Cola
together hold about a 70% share of the US carbonated soft drink (or CSD) volumes.

Noncarbonated beverages

PepsiCos noncarbonated beverage portfolio includes leading brands such as Tropicana in

the juice category and Aquafina in the bottled water category. The companys Naked Juice
brand comprises premium juices and protein smoothies.

The company also sells ready-to-drink teas such as Lipton and coffee products through
joint ventures with Unilever and Starbucks. In the fast-growing sports and energy drinks
category, the company owns the popular Gatorade brand.

Because of continually declining carbonated sales volumes and rising health awareness,
PepsiCo is looking to expand into healthier beverages. PepsiCos Tropicana brand
launched three new flavors of Farmstand 100% juice, which is made of one serving of fruit
and one serving of vegetables per 8 ounces. PepsiCos Naked Juice introduced the Chia
Sweet Peach and Chia Cherry Lime flavors, which include chia seeds that are rich in
omega-3 oils, antioxidants, protein, and fiber. Naked Juice also introduced the Kale Blazer
with green vegetables.

In a later part of this series, well discuss how rising health awareness is influencing
PepsiCos business approach.

Why branding and advertising are important to PepsiCo

Branding is vital

Branding and advertising are crucial for companies in the highly competitive food and
beverage industry. PepsiCo Inc. (PEP) is a leading player in the food and beverage
industry with a presence in more than 200 countries.

PepsiCo classifies its brands into three categories: Fun for You, Good for You, and Better
for You.
The Fun for You brands comprise popular flavors in the food and beverage category such
as Pepsi, Lays, Cheetos, Mirinda, and Mountain Dew.

The Better for You brands offer snacks baked with lower fat content such as the Baked
Lays product, snacks with whole grains, and beverages with fewer or zero calories and
less added sugar.

The Good for You brands comprise nutritious products that include fruits, vegetables,
whole grains, low-fat dairy, nuts, and seeds, which adhere to limits on sodium, sugar, and
saturated fat. The category includes established brands such as Tropicana, Aquafina, and
Quaker.

Advertising spend

PepsiCo has 22 brands, each generating more than $1 billion in revenues accounting for
more than 70% of the companys total revenue. The company is focused on brand-building
and spent $3.9 billion, or 5.9%, of its total revenue on advertising and marketing in 2013.

PepsiCos advertising campaigns include the popular Lays Do Us A Flavor contest,

initially launched in 2012, which invited consumers across North America to submit a flavor
they wanted the company to launch.

For its 2014 Now is what you make it campaign, PepsiCo brought 19 of the worlds
greatest soccer players, including Leo Messi and Sergio Agero, together for a highly
popular commercial associated with the 2014 World Cup.

Marketing efforts of PepsiCos peers

The Coca-Cola Company (KO) is the largest producer of nonalcoholic beverages. In 2013,
the company spent close to 7.0% of its revenues on advertising and marketing campaigns.
Mondelez International, Inc. (MDLZ), a leading food and beverage company with a
presence in about 165 countries, spent $1.7 billion, or 4.9%, of its revenues on advertising
in 2013.

North America is still PepsiCos critical growth region

PepsiCo Americas food and beverage

PepsiCo has a significant presence in the US food and beverage market. The company
derives more than 50% of its revenue from the United States alone. The companys key
businesses, PepsiCo Americas Foods and PepsiCo Americas Beverages, are based in
this region. PepsiCo Americas Foods division includes the Frito-Lay North America,
Quaker Foods North America, and Latin America Foods segments. In the United States,
the companys portfolio includes 19 popular brands, each generating more than $1 billion
in revenue.

Significant contribution

PepsiCos Americas Food and PepsiCos Americas Beverages divisions accounted for
69% of the companys 2013 revenues and 78% of its total operating profit. The region
benefits from the companys most profitable segment, Frito-Lay North America.

PepsiCos peers in the beverage industry, including The Coca-Cola Company (KO) and Dr
Pepper Snapple Group, Inc. (DPS), also rely heavily on their North American revenues.

Leading US brands

PepsiCo owns leading brands across its food and beverage business in the United States.
According to Statista, PepsiCos Lays brand was the leading potato chips brand in 2013,
with annual revenues of $1.58 billion, way ahead of its nearest competitor Pringles, which
generated $0.51 billion in revenues.

According to the Beverage Digest, three of the companys brands, Pepsi, Mountain Dew,
and Gatorade, ranked in the 2013 top ten US liquid refreshment beverages (or LRBs)
based on volumes.

Growth plans

PepsiCo is focused on innovating healthier products across its food and beverage
business to cater to the shift in consumer preferences toward healthier products. Declining
carbonated soft drink volumes in the North America region have made the company focus
on low- or no-calorie variants as well as grow categories such as bottled water and energy
drinks. In 2013, nine of the top 50 food and beverage innovations in the United States
belonged to PepsiCo.
Why international expansion is PepsiCos key growth driver
International growth opportunities

PepsiCo Inc. (PEP) and other major companies in the food and beverage industry,
including The Coca-Cola Company (KO), Monster Beverage Corporation (MNST), and
Mondelez International, Inc. (MDLZ), are looking for growth opportunities in international
markets. The growth rates in developing and emerging markets are expected to continue
to surpass the growth in developed markets.

In 2013, PepsiCos operations in developing and emerging markets recorded a

10% organic revenue growth, driven by strong performance in China, Pakistan, Saudi
Arabia, Mexico, Brazil, and Turkey.

Favorable factors

Growing populations, rising disposable incomes, and higher standards of living in

emerging economies are some of the favorable factors that will facilitate the demand for
food and beverages. The per capita consumption of nonalcoholic beverages is still quite
low in emerging economies such as India and China compared to the Unites States. This
gives significant growth opportunity for PepsiCos beverage business.

Competitors international presence

PepsiCos closest rival is The Coca-Cola Company (KO). Coca-Colas international

revenues accounted for 57.7% of its 2013 revenues. Mondelez International, Inc. (MDLZ),
the maker of popular brands such as Oreo cookies and Ritz crackers, derived 19.8% of its
2013 revenues from North America and the rest internationally.

Investing for growth

PepsiCo continues to invest in the expansion of its business in developing and emerging
markets. For instance, PepsiCo plans to invest nearly $5.5 billion by 2020 in India, one of
the companys key global markets.

PepsiCo is also entering into key alliances and developing products that cater to local
tastes and preferences. For instance, in 2012, the company entered into a strategic
alliance with Tingyi Holding Corporation, a leading food and beverage company in China.
Under the alliance, PepsiCo made Tingyis beverage subsidiary its franchise bottler in
China. The strong network of Tingyi helped PepsiCo enhance its business in China.

Rising consumer health awareness influences PepsiCos innovation

 Healthier consumer preferences

Consumers around the world are becoming more aware of the calories in the products
they are consuming as well as the health impact of ingredients in their food and
beverages. There has been a shift in consumer preference from carbonated soft drinks to
healthier options such as tea and water. Even in the food category, preferences for healthy
foods such as oats and cereals are on the rise.

PepsiCos nutrition portfolio

PepsiCo Inc.s (PEP) nutrition business has been growing significantly over the past few
years. In 2013, the companys nutrition business represented about 20% of PepsiCos net
revenue.

PepsiCo has the following four core nutrition brands:

Quaker
Tropicana
Gatorade
Naked Juice

PepsiCo is expanding its portfolio of nutritional products and looking for entry into new
product categories such as dairy, hummus and other fresh dips, and baked grain snacks.

Healthier variants

PepsiCo is also working to improve the health quotient of its existing snacks and beverage
products. The company aims to reduce the average amount of saturated fats per serving
in key global food brands by 15% by 2020 and reduce the average amount of sodium per
serving in food products by 25% by 2020, compared to 2006 levels.

In the beverage category, PepsiCo added many new low- and zero-calorie variants. For
instance, PepsiCo Mexico reduced sugar in Mirinda by 25% per serving in 2013.

In September 2014, the three major soft drink makers, The Coca-Cola Company (KO),
PepsiCo, and Dr Pepper Snapple Group, Inc. (DPS), pledged to reduce calorie
consumption in sugary drinks in the United States by 20% by 2025. The industry leaders
plan to achieve this goal through packaging changes, reducing serving sizes, expanding
low- and no-calorie drinks products, and using its marketing skills to educate customers.

PepsiCo is also acquiring or entering into alliances with companies that own healthy
products. For instance, in 2011, PepsiCo acquired Wimm Bill Dan Foods, a leading
Russian company in the dairy category.

PepsiCo leverages key partnerships to drive sales

Expansion through vital deals

PepsiCo Inc. (PEP) has partnered with several entities to boost sales of its food and
beverage businesses. The company has successfully expanded its presence in food
service through some strategic partnerships like the highly successful relationship with
Taco Bell, a US restaurant chain. PepsiCo also has some significant deals with sports
organizations such as the National Football League and Major League Baseball.

In 2012, PepsiCo joined US restaurant chain Taco Bell, a subsidiary of Yum! Brands, Inc.
(YUM), to launch the highly successful Doritos Locos Tacos, a set of tacos with Doritos
flavored and branded shells. Since its launch in 2012, Doritos Locos Tacos has exceeded
$1 billion in retail sales.

In December 2013, PepsiCo replaced The Coca-Cola Company (KO) as the beverage
supplier for the popular Buffalo Wild Wings restaurant chain, which has 975 locations
across 49 states in the United States and in Canada. Buffalo Wild Wings expects to benefit
from PepsiCos marketing and promotional strength such as PepsiCos alliance with the
National Football League and Major League Baseball to attract more customers. The deal
will also contemplate the inclusion of PepsiCos snack brands such as Doritos, Fritos,
Tostitos, and Ruffles in the chains menu offerings.

In September 2014, PepsiCo teamed up with SodaStream International (SODA) to test

some of its flavors on SodaStreams home carbonation machines, providing the company
an additional channel to reach consumers.

Competitors not behind

PepsiCos closest rival, The Coca-Cola Company (KO), bought a 10% stake in Keurig
Green Mountain (GMCR) for $1.25 billion and entered into a partnership deal to jointly
develop the upcoming Keurig Cold at-home beverage system. This deal will give Coca-
Cola a new platform to enter the home carbonation market.

Coca-Cola subsequently announced its intention to raise its stake in Keurig Green
Mountain to 16% and extend its partnership to offer its select still beverages such as
Honest Tea in the Keurig hot brewing system in the United States and Canada.

PepsiCo focuses on improving margins

Productivity measures

PepsiCo Inc. (PEP) and its peers in the food and beverage industry are implementing
several productivity measures to improve their margins to offset the impact of a sluggish
demand in developed markets and declining carbonated soft drink beverage volumes.
PepsiCos efficiency measures

In 2013, PepsiCo achieved $900 million in savings as part of its $3 billion productivity goal
for 20122014. The company further extended its productivity program to the period 2015
2019 with the goal of achieving annual savings of $1 billion. Productivity initiatives include
manufacturing automation, optimizing a global manufacturing footprint, and reengineering
the distribution network.

PepsiCos peers plan productivity initiatives

In its productivity program, The Coca-Cola Company (KO), PepsiCos closest rival, plans
to generate annual savings of $1 billion through 2019 and direct those savings toward
incremental media investments.

In September 2013, Mondelez International, Inc. (MDLZ) announced its $3.5 billion
restructuring program, which is expected to generate at least $1.5 billion in cost savings by
2018. Kraft Foods Group Inc. (KRFT) significantly improved its operating margins in 2013
through its cost savings and restructuring initiatives. Dr Pepper Snapple Group, Inc. (DPS)
garnered $169 million in savings between 2011 and 2013 through its productivity program
that used Lean Six Sigma methods.

Info Profe:

Coca-Cola vs Pepsi: la increble historia de la guerra de los refrescos de cola

La rivalidad entre Coca-Cola y Pepsi es legendaria. Aunque la guerra entre ambas marcas
no alcanz su punto lgido hasta 1975, cuando Pepsi lanz el denominado desafo
Pepsi y gan a Coca-Colaen un test ciego de sabores, las dos compaas llevan
luchando desde hace ms de un siglo.
Adems, la suya es una guerra que va ms all del desarrollo de sus respectivos
productos. En ocasiones, trasciende lo personal y se refleja tambin en las estrategias
de marketing de ambas marcas. Una de las ltimas campaas de Pepsi ataca, de hecho,
a los osos polares y al Pap Noel de Coca-Cola, los iconos ms famosos de su eterno
rival.
Cul es el origen de esta guerra? CnnTees responde a esta pregunta con una
completa infografa que destripa la historia del eterno enfrentamiento entre Coca-Cola y
Pepsi. Business Insider disecciona a continuacin las principales batallas de esta guerra:
Todo comenz en 1886, cuando John S. Pembertos desarroll la receta original de Coca-
Cola:

Pepsi-Cola fue creada 13 aos despus por el farmacutico Caleb Bradham:

Coca-Cola venda y un milln de galones al ao cuando Pepsi comenz a

comercializarse:
Coca-Cola desarroll su famosa botella con curvas, firm contratos con grandes
celebridades y se expandi Europa. Entretanto, Pepsi se fue a la bancarrota por culpa de
la Primera Guerra Mundial:

Pepsi se fue nuevamente a la bancarrota ocho aos despus, pero esta vez la compaa
logr remontar la crisis:

Durante la Segunda Guerra Mundial, Pepsi ampli sus acciones publicitarias y empez a
vender sus refrescos en latas:

Durante la dcada de los 50, Coca-Cola comenz a anunciarse a televisin, mientras que
Pepsi apost por el rebranding para intentar mantenerse a la altura de su rival:

Coca-Cola decidi salir a bolsa en 1962, coincidiendo con el lanzamiento de Sprite, una
las marcas ms exitosas de la compaa:

Pepsi se fusion con Frito Lay a mediados de los aos 60 para crear PepsiCo:

La fusin con Frito Lay ha demostrado tener un efecto benfico sobre las cuentas de
Pepsi durante las ltimas dcadas. Coca-Cola, en cambio, no ha ido ms all al sector de
las bebidas y los refrescos:

El catlogo de marcas de Coca-Cola es enorme. Quince de ellas superan los 1.000

millones de dlares en ventas:
Aunque el catlogo de bebidas de Pepsi no es tan amplio como el de Coca-Cola, lo
compensa con sus numerosas marcas de aperitivos:

Coca-Cola sigue siendo lder en el mercado de los productos de Cola, pero los ingresos
de Pepsi son mayores gracias a su mayor diversificacin de productos:
Coca-Cola y Pepsi tienen un tropel de celebridades como imagen de marca:
Tanto Coca-Cola como Pepsi han aplicado numerosos cambios en sus respectivos logos
en el ltimo siglo:
Ambas marcas se han adentrado en el universo de las redes sociales, aunque por el
momento Coca-Cola est por delante de Pepsi en este terreno: