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Globe and Mail
6 days ago
- Business
- Globe and Mail
Coca-Cola Pushes for Premiumization: Is This Strategy Working?
In today's competitive beverage landscape, The Coca-Cola Company KO is leaning heavily into a premiumization strategy to drive growth across global markets. The company's strategy centers on expanding consumer choice through brand innovation and a diverse pricing spectrum, ranging from affordable, local products to premium and functional beverages. This shift comes against a backdrop of macroeconomic uncertainty, with mixed consumer sentiment and volatile regional demand. Despite these challenges, Coca-Cola delivered strong organic revenue growth, expanded margins and demonstrated resilience by quickly adapting to shifting market dynamics. Coca-Cola's premiumization strategy is most evident in its product innovation and marketing initiatives. The company emphasized the success of higher-end and health-focused products such as Fairlife, Coca-Cola Zero Sugar and the new Simply Pop prebiotic soda. Fairlife was the top dollar-contributing brand in U.S. retail in the first quarter, reinforcing the commercial viability of premium-tier offerings. On the marketing front, the global return of the 'Share a Coke' campaign, alongside digital customization efforts, underscores Coca-Cola's attempt to elevate brand engagement and perceived value as part of its premiumization strategy. The company's marketing strategy also focuses on leveraging connected packaging, Studio X digital content, and targeted experiential marketing, each tailored to strengthen engagement and drive growth in higher-margin segments. As Coca-Cola continues to evolve, its premiumization strategy positions the company to capture value in a changing consumer landscape. By balancing affordability with aspirational offerings and investing in innovation and targeted marketing, Coca-Cola is not only defending its global leadership but also redefining it for the next generation of beverage consumers. If executed effectively, premiumization has the potential to be a powerful catalyst for long-term margin expansion and sustainable value creation. KO's Rivals Step Up: PEP & KDP Double Down on Premium Plays As Coca-Cola leans into premiumization, rivals like PepsiCo Inc. PEP and Keurig Dr Pepper Inc. KDP are stepping up their game with strategic moves aimed at capturing a larger share of the high-margin beverage market. PepsiCo highlighted premiumization as a core pillar of its growth strategy, focusing on transforming its portfolio to meet evolving consumer preferences for health, functionality and value. The company emphasized the success of premium offerings such as Gatorade Zero, Propel and hydration powders and tablets, which are gaining share in the functional beverage space. It is also expanding through strategic acquisitions like Poppi, a prebiotic soda brand, and strengthening partnerships with Celsius, Starbucks and Unilever to grow in high-value categories like energy drinks, coffee and tea. Keurig emphasized its strategic push into premiumization across its beverage and coffee portfolios. The company is building a tier of premium and super-premium coffee offerings through brands like Lavazza, La Colombe, Philz and Kicking Horse, which resonate with higher-value consumers and drive positive mix. KDP also expanded its presence in ready-to-drink (RTD) and cold coffee segments, with La Colombe RTD showing strong growth. Additionally, its Refreshers platform is adding incremental value. KO's Price Performance, Valuation & Estimates Shares of Coca-Cola have gained around 11.8% year to date compared with the industry 's growth of 5.8%. Image Source: Zacks Investment Research From a valuation standpoint, KO trades at a forward price-to-earnings ratio of 22.58X, significantly above the industry's average of 17.59X. The Zacks Consensus Estimate for KO's 2025 and 2026 EPS implies year-over-year growth of 3.1% and 8.2%, respectively. The estimates for 2025 have moved up by a penny, whereas the estimates for 2026 have been stable in the past 30 days. KO stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Research Chief Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CocaCola Company (The) (KO): Free Stock Analysis Report PepsiCo, Inc. (PEP): Free Stock Analysis Report Keurig Dr Pepper, Inc (KDP): Free Stock Analysis Report


Daily Mail
13-06-2025
- Entertainment
- Daily Mail
Pepsi copies Coca-Cola's most famous campaign
By Published: Updated: Pepsi is cheekily borrowing a page from Coca-Cola's playbook. 'Share a Pepsi' is a new campaign that riffs off Coke's iconic idea of putting names on bottles. Pepsi's twist is skipping people and going straight for the food — with labels like 'burgers', 'pizza', and 'tacos' front and center. 'Definitely prefer a burger over a Bruce,' joked one Instagram user. The idea is that soda fans pair drinks with their favorite foods. Coca-Cola's 'Share a Coke' campaign became a cultural phenomenon when it first hit shelves in 2014, letting people find bottles with their name — or send a flirty message via soda. Coke even revived it this year, offering digital custom bottles and a chance to win a trip to Hawaii. The promo runs through June 30, with chances to win a free limited-edition bottle on social or via the Pepsi Drops platform. Fans can also get $5 off DoorDash when they order two Pepsis. Pepsi has been one of Coca-Cola's longtime rivals despite being dethroned by Dr Pepper as the No 2 soda brand in the US. It's also one of the beverages heavily affected by tariffs imposed by President Donald Trump since much of its concentrate is made in Ireland. Fans praised Coca-Cola for reviving its 'Share a Coke' campaign last April. The limited-time special debuted in the US in 2014 and ran through 2018. However, the company revamped it by allowing drinkers to access a Share a Coke digital hub, where customers can personalize products. A Share a Coke truck has also been making stops in various cities in the US to give fans in-person digital experiences. If that wasn't enough for people to rave about, the company is also giving them the chance to win a trip to Hawaii and Share a Coke-themed merchandise. Everyone interested in trying for a Hawaiian adventure has until June 22 to enter the contest. Besides 'Share a Coke,' Coca-Cola is planning to revive its fan-favorite Diet Cherry Coke. The soda, which will return in retro-style packaging, will be back in various retailers nationwide beginning in mid-July for a limited time. Outside of the campaigns and products, the soda brands were the talk of social media due to noticeable drink swaps. Subway made headlines last year by ending its relationship with Coca-Cola and entering a 10-year agreement with PepsiCo . All Subway restaurants in the US have been offering Pepsi beverages since January, which left Reddit users wanting nothing to do with the sandwich chain. Costco also sparked a social media frenzy by announcing its plan to swap Pepsi for Coca-Cola drinks in its food courts.


Daily Mail
13-06-2025
- Entertainment
- Daily Mail
Cheeky Pepsi copies Coca-Cola's most famous campaign: 'I NEED ONE'
Pepsi is cheekily borrowing a page from Coca-Cola's playbook. 'Share a Pepsi' is a new campaign that riffs off Coke's iconic idea of putting names on bottles. Pepsi's twist is skipping people and going straight for the food — with labels like 'burgers', 'pizza', and 'tacos' front and center. 'Definitely prefer a burger over a Bruce,' joked one Instagram user. The idea is that soda fans pair drinks with their favorite foods. Coca-Cola's 'Share a Coke' campaign became a cultural phenomenon when it first hit shelves in 2014, letting people find bottles with their name — or send a flirty message via soda. Coke even revived it this year, offering digital custom bottles and a chance to win a trip to Hawaii. The promo runs through June 30, with chances to win a free limited-edition bottle on social or via the Pepsi Drops platform. Fans can also get $5 off DoorDash when they order two Pepsis. Pepsi has been one of Coca-Cola's longtime rivals despite being dethroned by Dr Pepper as the No 2 soda brand in the US. It's also one of the beverages heavily affected by tariffs imposed by President Donald Trump since much of its concentrate is made in Ireland. Fans praised Coca-Cola for reviving its 'Share a Coke' campaign last April. The limited-time special debuted in the US in 2014 and ran through 2018. However, the company revamped it by allowing drinkers to access a Share a Coke digital hub, where customers can personalize products. A Share a Coke truck has also been making stops in various cities in the US to give fans in-person digital experiences. If that wasn't enough for people to rave about, the company is also giving them the chance to win a trip to Hawaii and Share a Coke-themed merchandise. Everyone interested in trying for a Hawaiian adventure has until June 22 to enter the contest. Besides 'Share a Coke,' Coca-Cola is planning to revive its fan-favorite Diet Cherry Coke. The soda, which will return in retro-style packaging, will be back in various retailers nationwide beginning in mid-July for a limited time. Outside of the campaigns and products, the soda brands were the talk of social media due to noticeable drink swaps. Subway made headlines last year by ending its relationship with Coca-Cola and entering a 10-year agreement with PepsiCo. All Subway restaurants in the US have been offering Pepsi beverages since January, which left Reddit users wanting nothing to do with the sandwich chain. Costco also sparked a social media frenzy by announcing its plan to swap Pepsi for Coca-Cola drinks in its food courts. However, unlike Subway, multiple Reddit users were thrilled about the change because they're not Pepsi fans. The retailer revealed the machines would be replaced this summer, but customers spotted the first one in March during the grand opening of a store in California.

Straits Times
28-05-2025
- Business
- Straits Times
Coca-Cola's Share A Coke campaign back after 10 years with over 170 popular names
Coca-Cola's Share A Coke campaign back after 10 years with over 170 popular names SINGAPORE – Keen to see your name on a Coca-Cola can? The global beverage manufacturer's Share A Coke campaign – which originated in Australia in 2011 and was first launched in Singapore in 2015 – replaced the iconic Coca-Cola logo with popular names and titles. This time, more than 170 options – including fun nicknames like Lao Ban (boss in Chinese) and Bestie, and local surnames like Lim and Tan – will be printed on Coca-Cola cans. These can be found at major supermarkets and convenience stores islandwide. To personalise a can, go to either or visit an interactive Personalisation Hub across the country. Until June 1, head to the Level 1 atrium at Plaza Singapura mall to customise up to two Coca-Cola cans between 10am and 10pm daily. The purchase of $6 worth of products from participating brands such as Coke, Coke Zero, Sprite and Fanta Schweppes on site will entitle a customer to one customised can. On top of that, the purchase of at least three drinks (cups or bottles) from participating retailers will also entitle one to a customised can. The Share A Coke campaign aims to get people to connect in real life through something personal, playful and meaningful. In a press statement, director of marketing at Coca-Cola Singapore-Malaysia Chrystian A. Lim said: ' In 2025 , we're offering even more personalised options and in-person experiences that help people come together bey ond the screen.' Join ST's Telegram channel and get the latest breaking news delivered to you.


Identity
29-04-2025
- Entertainment
- Identity
Share a Coke is Back—Bigger, Bolder, and More Personal Than Ever!
The magic of finding your name on an iconic Coca-Cola bottle is back, and this time, the experience is even more unforgettable! With 4D OOH billboards lighting up the city! The streets are buzzing with exciting billboards—hinting at something BIG. Now, you can find your name (or your loved ones') on a Coke can or bottle. So, who's the first person you're grabbing a Coke with? Tag them and let's make new memories! Spot the billboards? Share them with us! @CocaColaEgypt #CocaCola #ShareACoke #MemoriesWithCoke #RealMagic كوكاكولا_أحلى_مع #سحرها_حقيقي # Stay tuned for more surprises! The magic of sharing is real.