Coca Cola SWOT Analysis, Competitors & USP

SWOT analysis of Coca Cola analyses the brand by its strengths, weaknesses, opportunities & threats. In Coca Cola SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Coca Cola to benchmark its business & performance as compared to the competitors. Coca Cola is one of the leading brands in the food & beverages sector.

The article below lists the Coca Cola SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Coca Cola SWOT Analysis:

SWOT Analysis of Coca Cola

For Coca Cola, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.

Coca Cola Strengths

The strengths of Coca Cola looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Coca Cola :

1. Coca Cola is one of the biggest beverage brands in terms of reach and sales

2. Popular subsidiary brands like Coca Cola, Sprite, Fanta, Kinley, Minute Maid, Schweppes etc. have strengthened the Coca Cola's brand and have diversified the growth across these brands

3. Coca Cola which is headquartered in Atlanta, Georgia, USA has a global reach and is present in over 200 countries

4. The company has more than 500 brands on offer across various categories like sparkling, water, coffee, tea, dairy etc.

5. Coca Cola has employee strength of around 1,50,000 people globally including the US, UK and most of the countries around the globe.

6. Strong and efficient supply chain network, ensuring that all the products are available even in the most remote places

7. The financial condition of the brand is always consistently strong

8. Strong brand recall of all Coca Cola products through advertising and marketing by associating with celebrity brand ambassadors

9. CSR activities in the field of water conservation and recycling, education, health etc.

10. Effective and efficient packaging technique giving emphasis on recycling and reusing

11. Coca Cola has long association with international sports events, sponsorships, theme parks etc.

12. Coca Cola has always adapted to changing market conditions e.g. the brand is now moving towards sugar free options, juice, water etc.

13. The company is constantly innovating to safeguard the environment by from using 100% recycled material

14. The Coca Cola Foundation has been instrumental in developing businesses in many countries as it part of the CPG industry world wide.

15. Coca Cola also has diversified into coffee through its acquisition of Costa coffee making it even stronger in its portfolio of beverages

16. It also has brands of teas and dairy in its portfolio.

Coca Cola Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Coca Cola SWOT Analysis:

1. Strong competition in the aerated drinks segment from PepsiCo means constant fight over market share for Coca Cola

2. Coca Cola and related soft drinks brands have been linked now with high sugar content and many health concerns are being raised, this becomes a weakness worth looking at

3. Coca Cola does not have a food business unlike its competitors like PepsiCo, it is only limited to beverages as of now

4. Overdependence on 4-5 major brands like Coca Cola, Sprite etc.

Coca Cola Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Coca Cola SWOT Analysis:

1. Increase its reach in untapped countries and market can boost Coca Cola

2. Market and popularize the less known products

3. Acquiring other companies can strengthen Coca Cola's place in the industry further

4. Diversify its product portfolio by entering into snacks industry to compete with PepsiCo

5. Launching a full fledged health drinks line of business

Coca Cola Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Coca Cola are as mentioned:

1. Health consciousness amongst people avoiding aerated drinks can adversely affect Coca Cola

2. Difficulty in complying with different government regulations and norms in different countries

3. Inflation, economic slowdown and instability

4. Strong competition can lead to reduced market share

Coca Cola Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 7 competitors of Coca Cola:

1. PepsiCo

2. Dr Pepper

3. Gatorade

4. Red Bull

5. Nestle

6. Tropicana

7. Danone

Hence this concludes the Coca Cola SWOT analysis.

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About Coca Cola

Coca Cola Overview
Parent Company	Coca Cola Ltd
Category	Beverages and foods
Sector	Food & Beverages
Tagline/ Slogan	Taste the Feeling; Open happiness
USP	Coca Cola is the number one beverage brand in terms of sales with more than 500 products at offer
Coca Cola STP
Segmentation	Anyone who needs a beverage for any occasion
Target Market	All age groups across countries
Positioning	Coca Cola is a beverage brand for the entire family
Coca Cola Product Portfolio
Brands	1. Coca Cola Coke 2. Diet Coke  3. Sprite 4. Fanta 5. Kinley 6. Minute Maid 7. Smartwater 8. Costa Coffee 9. Schweppes The above mentioned brands are the prominent products under the Coca Cola product portfolio.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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