Instead it comes from areas outside of Coca-colas main realms of business, such as diversifying their portfolio of products, and venture capitalism, pulling homeless away from areas of normal business, and entering the more dangerous, yet potentially profitable domain of ‘risky’ business. Given the focus of this analysis being on the production and distribution of Coke within the Great Britain & Ireland however, the innovation that will be under analysis will be steaming from Social Innovation, as well as innovation within Coca- Cola Gob’s marketing campaigns, and how the structure of Coca-Cola as a company promotes innovation.The issue of obesity in today’s world is a hot topic, and Coca-Cola understands this. There was a marked increase in the proportion of adults that were obese between 1 993 and 2012 from 13. 2% to 24. 4% among men and from 16.
4% to 25. 1% among women. ” (mummy. Ins.
UK) This is a problem that is on the rise throughout the ASK, and Coca-Cola, being the producers of many different sugary drinks, is at the heart of this problem. Coca-Cola in turn, has gained a reputation of a somewhat unethical company for this reason.This is something which Coca-Cola looks to change, and is doing so quite successfully, through social innovation. Coca-Cola recently invested mm Gap’s into their ‘Anti-obesity’ drive, in order to show that they are doing their part to solve this problem. The drive consists of setting up free fitness programs across 70 parks around the ELK, as well as establishing a few different advertising campaigns in order to bring to light the issue of obesity. This campaign however, has been hit with huge criticism around the ASK. They are trying to deflect attention from their own part in creating an obesity epidemic, which has been fuelled almost entirely by rising calorie consumption. ” (Dry Seem Molar, cardiologist and science director for the Action on Sugar campaign group)( http://www.
Independent. Co. UK/) With studies finding that those ages between 1 1-18 are receiving 30% of their sugar intake through soft drinks like Coca-Cola (National Diet and Nutrition Survey), there is a overwhelming feeling that Coca-Cola is using these campaigns as a ‘Get out of jail for free’ card.Nevertheless, this form of social innovation benefits Coca-Cola, increasing their reputation as an ethical company and by such, increasing the likelihood Of people choosing their product. This however is only one side of the coin when it comes to innovation in Coca- Cola. While they look to highlight the problems which obesity may cause, they also, and with more prevalence, look to promote their product. This is something which Coca-Cola do very well. If companies were managed less like a democratic government, with everyone getting an equal vote, bolder ideas would have a higher chance of rising to the top, and innovation would better prosper.
“(http://WV. Forbes. Com/) This is a problem that is hugely apparent in larger companies. Coca-Cola acts to stop this from happening by creating a structure within the business that creates smaller and smaller sections, which are allowed to act hugely independently, thus promoting innovation. As seen earlier, Great Britain and Ireland is a subsection of the Northwest Strategic business unit.The fact that this subsection is allowed to act as its own company means that innovation has flown and created some of the most effective marketing campaigns seen in business today.
Some of which really work to show how innovation in Coca-Cola is a huge factor of its success as a business. With the Move to the Beat campaign Coca-Cola knew they needed a stronger footing in the Online marketplace, especially with manage consumers. Coca-Cola targeted teenage consumers by taking advantage of the inherently social values of the Olympic games, which saw the whole world coming together to focus on one event.The campaign was a massive success, with 25 million views across the web and put Coca-Cola as the second most talked about brand during the games. Coca-Cola attracted an additional 1. 5 million Faceable fans and 21 VOODOO Twitter followers. (HTTPS:// consultancy.
Com) The Coke Zone campaign, A reward program, setup with the aim of capturing customer insight, encouraging customer engagement ND helping with CRM efforts, saw great success for Coca-Cola. The key to the program was a SMS and email service, which offered personalized offers and rewards. ‘The email newsletter receives above industry-average open and click through rates (29% and 6% respectively) with loyalty communication offers rising to an open rate of 49% and a click through rate of 71 %. ” (HTTPS:// consultancy.
Com) Due to the success of the website, it has been redesigned to incorporate Coca-Cola’s other social activities. Finally, the Share a Coke campaign was possibly one of Coke’s largest and best known campaigns of all mime, this simple innovative idea has seen great success for Coca-Cola.Simply, each bottle of Coke had a name of a person on it, who you are instructed to ‘Share a Coke’ with. “Trailed in 2011 , the campaign saw a 7% increase in sales, with traffic on the Coca-Cola Faceable page increasing by 870%.
” (HTTPS:// consultancy. Com) This campaign was a huge success, and shows how Coca- Cola can take such a simple, innovative idea, and uses it to produce huge value for the company. As seen from these figures, Coca-Cola relies hugely on innovation to promote TTS products, and without which the company would not be as successful as it is today.