The objective of the paper is to analyze the derived demand aspects of Coca Cola along with the segmentation and marketing channel used by the company. Several aspects such as competitors’ products, substitute products, raw materials and demographic factors among others can help to analyze the derived demand for Coca Cola’s products in market. Coca Cola, as a reputed band with operations all over the world, uses different channels in order to market its products. Coca Cola mainly segments its market on the basis of geographic and demographic factors. The report describes numerous business segmentation prospects for Coca Cola in the global market. With its effective marketing and segmentation strategies, Coca Cola can strengthen its brand image in order to fortify the product demand.
Brief Overview To The Company
In the year 1886, John Pemberton a pharmacist in Atlanta created history by forming a soft drink which was named Coca-Cola by his bookkeeper Frank Robinson. Later, in the year 1888, after the death of John Pemberton, an Atlanta businessman Asa Griggs Candler bought the rights of the company for a total of USD 2,300. He became the company’s primary President who brought the real vision to the business and the brand. Thus, Candler’s mission to create the invention of the soft drink into the largest beverage company in the world was being fulfilled, after a century when the company produced in excess of 10 billion gallons of soft drink (The Coca-Cola Company, 2011). Headquartered in Atlanta, Georgia, the Coca Cola Company is the world’s biggest beverage company. It employs approximately 146,200 staffs across six operating groups. The product portfolio consists of above 3,000 beverages which are available in excess of 200 countries worldwide (The Coca-Cola Company, 2011). The main mission of the company and its leaders are to refresh the world. The company through its products wants to bring happiness and encourage moments of cheerfulness among the people of the world. In its large variety of product portfolio, Coca Cola focuses on to make sparkling beverages that will enable the consumers to douse their thirst. Apart from these, the company is also spreading its businesses by developing other products, such as, energy drinks, mineral water and an African juice drink among others. The company’s focus on the soft drink category is evitable as it is selling over 1.7 billion servings of beverage every day all over the world (The Coca-Cola Company, 2011). Soft drinks are non alcoholic beverage that is consumed by larger portion of the age groups, from teens to elders. It is a drink that helps refreshing consumers and brings happiness and optimism in their minds. Thus, the different flavors consisted in the soft drink categories are generally not targeted towards a particular age group or gender, but almost all the population. Statistics reveal that in the year 2011, 92 servings of beverage products were consumed per person worldwide (The Coca-Cola Company, 2011). Drivers of Derived Demand Derived demand is a perception where demand of a specific product comes from or relies on