For all the coca cola investors, including Warren Buffett, they probably never think about the possibility that customers are not longer drinking Cola and even soda drinks.
I believe even with strong brand value and innovative marketing, it does not change the core/functionality of the products. But, I think Coca cola can still strive, if they are innovative/brave enough to change the core of the product. (i.e. introduction of new cola that is no longer unhealthy but actually improve our lifestyle and health etc or diversify in other "potentially profitable" sectors. alcohol beverage is a big question for me? )
At the moment, coca cola parent company still seems to be fixed on its proposition to convey its century old history of making soda drink. The situation in Australia is getting worse with budge cuts, economic uncertainties and pricing pressure from grocery giants, woolworth/coles/aldi. I think even if coca cola amatil collaborates seamlessly with the coca cola parent company, which still focuses on history/brand of making cola as being primary marketing strategy, it will still not improve its trading condition in Australia, which, unlike emerging markets, customers are much more conscious about health, lifestyle and exposed to wider ranges of alternative products.
CCL Price at posting:
$9.13 Sentiment: None Disclosure: Not Held
