Coca-Cola focuses on convenience, affordability to drive innovation: packaging reflects consumer habits and busy lifestyle trends

Food & Drug Packaging, July, 2004 by Katie Bayne

Founded in 1886, Coca-Cola is the world's leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. Corporate headquarters are in Atlanta, with local operations in over 200 countries around the world.

Q: What were your top achievements in 2003 in business and in packaging?

A: We had a number of achievements in 2003 and all were related to a renewed focus on understanding the consumer. This is especially important from a packaging standpoint and we were able to achieve business results by introducing packaging innovations to satisfy consumer needs. The most notable achievements are the Fridge Pack national rollout, 1.5 liter development, Simply Orange national rollout of the PET carafe and the development of the Simply Orange small carafe.

Q: What industry issues concern you the most and why?

A: First, system capacity is always an issue because when we have ideas that resonate with our consumers we need to scale quickly. The size of our target market usually strains the production capacity of new technologies and ideas.

Second, our speed of innovation is important because we don't have years to keep up with consumers lifestyles as they continue to change so dramatically. We must respond quickly to those changes or miss opportunities. In our network of business partners, we look for those companies that also have an innovative focus.

And third, we also want to do what is best for the communities where we operate and for the environment by promoting recycling programs and working with our bottling partners to use our natural resources wisely.

Q: What are the trends in your market and how is your packaging addressing them?

A: Today's consumer is focused on convenience and affordability. These needs dictate how and when people work, travel eat and, of course, drink.

The trend of increased mobility, along with the decision drivers around convenience and cost, presents a very specific set of packaging needs that we are addressing.

Another trend is the changing face of the consumer household. Today's household is not always the traditional family example. Today, the household could include additional relatives, just singles or older married couples with no children. There is an increased need for more product and packaging options.

Q: How important is packaging in your company and why?

A: Packaging is more important than ever to The Coca-Cola Co. In February 2003, we fully integrated packaging with marketing, media, promotion and sports and entertainment marketing. The results of this endeavor have been increased synergy for one of the most important initiatives of the company: Coca-Cola C2. This synergy is one of the main reasons we were able to go to market so quickly with C2.

Packaging brings the product alive in consumers hands. It is the last point of communication of our brand and represents the way the brand feels and looks to our target consumer.

Q: What are your company's goals for the coming year?

A: Our goals are to continue the speed of innovation. In 2003 and 2004 we raised the bar on what was achievable. We will continue to watch consumers as closely as possible and meet any unmet needs we see.