How BIG is Coca-Cola? | Size, History, Facts

hi welcome to another ColdFusion video coca-cola is the world's most valuable non technology brand they make anything from soft drinks to bottled water milk juices iced tea and coffee they own a 21 different billion dollar brand every single day two billion servings of a coke brand are served worldwide but how do they start and how did they grow to the massive size they are today today we're going to look at how they made arguably the most popular product on the planet and diversified across the beverage market to create over 500 brands and over 3500 beverages but before we get to that a quick word from today's sponsor I just want to give a shout out to Squarespace for helping make this video possible Squarespace is one of the easiest ways to build a website there's nothing to patch or upgrade ever and it's flexible the end result looks professional and the whole process makes building website easy if you're looking to build your own website start your free trial today visit [Music] coca-cola was created by dr. John Pemberton and Atlanta pharmacist in 1995 he set up his own laboratory and started to patent and produces eye medicines such as head eyes and liver pills he wasn't very successful though then one day while trying to create a new tonic he combined the extracts of the coca leaf the main ingredient for cocaine the African Kola nut along with some sugar and some water although the Kola nut already contains caffeine he boosted the caffeine content even more his main idea was that he could sell this as a headache remedy after some testing however he saw that it helped with indigestion and relieved exhaustion Pemberton and his partners were unsure what to do with this new drink now called coca-cola on the one hand it seemed to have some medicinal qualities but on the other hand the flavor was delicious and that alone should make it popular in the end they went for both an early advertisement stated makes not only a delicious and invigorating beverage I wonder why but a valuable brain tonic and a cure for all nervous affections so in 1887 coke went on sale from the get-go it had that famous curly script logo that was actually designed by Pemberton's bookkeeper coke was first sold as a syrup to pharmacies and other dispensaries where they had soda fountains soda fountains with a big thing it was like a gathering place for people to discuss the topics of the day the new gathering place of a new age the soda fountain helping to make the 90's game this coke syrup was the very first coca-cola product Pemberton and his partners spent 74 dollars in advertising their new syrup but the response was slow they only made fifty dollars in sales in the first year so Pemberton sold most of his company to another drug manufacturer another name of ASA Candler three years later Pemberton was dead and mr. canler own coca-cola for just $2,300 our rate which is about $60,000 in today's money and rightly so at the time it seemed like a useless company but over the next 26 years canler oversaw the company's rapid early growth in 1892 the company started a promotional campaign that included giving our coupons of coke for a free sample once people tried the free samples they came back for more forking out five cents a glass thereafter the campaign was hugely successful it took Coke just three years to enter every state of the United States and soon they crossed over the border north to Canada this masked coupon initiative was extremely forward-thinking for the time back then giving a product away sounded foolish but can larger confidence in the coke product by knowing that people would come back for more but there was a problem and it was in the name at the start of the 20th century canler was worried about the public's perception towards cocaine this was going to harm sales however he felt that he couldn't remove the coke or plant entirely as he may risk losing the coca-cola name so they fixed the recipe so it was just the smallest trace of cocaine remained it wasn't until 1929 that it was removed entirely around this time kendall also moved the drink away from its original branding as a health tonic all they can louis doing a good job he did make one major miscalculation though he thought the company's future as being heavily based on the soda fountain scene other companies have been buying the syrup and selling them in mixed soda bottles but candle it didn't really see much value on this and I love these other companies to bottle the product just for one dollar this was a huge mistake and soon there were knockoff brands of coke everywhere the names are pretty funny and some included cockin Ola macoco a CO and toca Cola Pepsi Cola was another such knockoff but it wouldn't be noticed till the 1970s more on this later the solution came in the form of trading a bottle shape and design so unique the customers could tell it apart just by feeling it when they stuck their hand in a cooler the result was the famous curvy glass bottle that became so iconic in popular culture Kandla would soon retire and passed the reigns down to Robert Woodruff Roberts streamlined the production process and managed to create a product that tasted the same everywhere so all consumers could get the same experience World War two would erupt in 1939 but would actually prove to be hugely beneficial to the company as the US troops entered fighting Woodruff announced that every US soldier will be able to buy a coke for five cents no matter how much it cost the company the move would see cokes at our bottling plants around the world from Germany to North Africa in order to still make reasonable revenue and handle the demand of the US soldiers around the world the German coca-cola plants had been set up before the war started but once fighting began and trade embargoes were set in place it became impossible to keep trading Coca Cola syrup so the plant was forced to make a new drink out of what they could buy mainly apple leftovers from juicing and leftover liquid from milk production they called this concoction Fanta by the end of the war coke had become a part of America's national identity and the rest of the world would be next throughout the 50s they opened 15 to 20 plants a year dotted all over the planet then in the 1960s they began to diversify and started acquiring other successful beverage companies such as Minute Maid and hi-c fruit drinks they would also launch sprite tab as well as Diet versions of the drink this was in part to tackle the growing competition from Pepsi the company struggled through the late 1960s and 70s especially in Europe where the beverage industry threatened to have the and blind tests in the early 1970s was showing that people like the taste of Pepsi better can you tell me which one you prefer you're both sure you like L better right what was your choice fact is a test like these nationwide more people prefer the taste of Pepsi over coca-cola the sales of Pepsi began to climb and the Pepsi challenge was kicked off across America all across America people are taking the Pepsi challenge this scenario became known as the cola wars by 1975 Pepsi was number one at the start of the 1980s Roberto Kazuto became chairman and decided that changes needed to be made in 100 years the company had grown hugely but had largely stuck to tradition soon after he joined he heard the celebration that coca-cola had gained 45 percent of the soft drink market so he went in crunched the numbers and came back to tell everyone that sure they were succeeding of soft drinks but they had less than 2% of the entire liquid beverage market share that became the new target Roberto injected some much-needed ambition into the company he also launched Diet Coke when no other head of the company was brave enough to risk the classic coca-cola brand it was soon established as the world's number three soft drink diet coke helped change the tide but more needed to be done secret labs were set up for Coke chemists to find the perfect formula to beat Pepsi it was finally found in 1985 and put up against Pepsi and the original version of Coke in 200,000 taste tests across the country it beat both of the other products and seemed to be a winner my answer to you is of course the best always do simply stated my friends we have a new formula for Coke consumers preferred the new taste over the original by a margin of 61 to 39 the company was so confident that they would scrap the original formula of Coke after 100 years of success this new drink was called new coke and the company got none other than Bill Cosby to promote it even though the test proved that the new Coke was superior human psychology meant that the public just didn't like change [Music] at one point complaints reached over 8,000 per day the new code became one of the worst blunders in marketing history and Bill Cosby would later be the same at one point communist dictator Fidel Castro stated that the end of the original Koch formula was a sign of American decay Koch was more than just a sugary drink coca-cola stood for the American Way of life in the end that the public had spoken the feeling of loyalty for Koch was so strong that when Koch reverted back to the original formula people longed for what was about to be taken away from them soon Koch became number one again and has stayed in that position ever since but what many people may not know is that the new Koch was still offered to put all distributors up until 2002 by the time Robert died in 1997 he had taken Coca Cola's market share from 4.3 billion to 147 billion his drive to do better paid off [Music] so what does the coca-cola company look like today they have a huge roster of brands now over 500 and have a huge amount of diversity in the beverage industry with everything from coke to water two juices and dairy they also just launched their first alcoholic drink in Japan and it was an hour cope up the revenues in 2017 were thirty five billion dollars which continues to stay decline that we've been seeing since they peaked at 48 billion in 2012 and this was after consumers became more health conscious still at his current revenue Co could be the 84th largest economy in the world all right so let's look at 12 interesting facts about Coke it'll give you an idea of their size and other interesting things about them as well on an ask you a question if you were to drink every single one of cokes different beverages at a rate of one per day how long do you think it would take you maybe a couple of months maybe a year well not really it would taking over nine years to try them all the Coca Cola brand itself is estimated to be worth 74 billion dollars that's more than Budweiser Pepsi is Starbucks and redbull combined if every drop of coke ever produced will put an 8 ounce bottles laid end to end they would reach to the moon and back over 2,000 times the red and white Coca Cola logo is recognized by 94 percent of the world's population is the second most recognized brand on earth behind Nike there are 33 non-alcoholic brands that generate over 1 billion dollars in revenue and coca-cola owns 15 of them Coke also sells more than a thousand kinds of juice drinks coca-cola spends more money on advertising than Microsoft and Apple combined and their secret to long term advertising success always associating their product with a good feeling [Music] this establishes a positive emotional connection whenever a consumer sees the product they were one of the first companies to do this [Music] Americans ingest 1.7 million tons of coke or about 11 pounds 5 kilos per person each year from coca-cola alone and on that note coke is actually pretty terrible for you it can cause obesity and metabolic disease the company has been caught paying millions of dollars to fund research papers playing down these facts in the mid-2000s it was revealed that some of the water being sold under the coke brand was simply purified tap water the average Mexican drinks more coke products than the average American British Indian and Chinese combined coke uses 300,000 tons of aluminium for its cans every year just for its US operations that's equal to about 17 point four percent of what the entire US aluminium industry produces there are only two countries in the world where coca-cola isn't sold Cuba and North Korea Coke is the reason why Santa is fat and wears a red suit prior to 1931 Santa was depicted as everything from a tall gaunt man to a spooky-looking elf he was often adorned in the bishops robe and wore an animal skin a popular coke advert in 1931 made Santa look more wholesome realistic and jolly and this was the origin of the Santa we imagine today so there you go and that just about rounds at the end of the video the story of Coca Cola is a pretty interesting one from a chemist mistake all the way to one of the most recognized brands on the planet and a cultural icon so thanks for watching this has been - go go you've been watching cold fusion if you've just stumbled across this channel feel free to subscribe and I'll see you again soon for the next video Jia's guys have a good one [Music] [Applause] [Music] [Applause] [Music] [Applause] [Music] [Applause]

Channel: ColdFusion

Views: 471,441

Rating: 4.9126086 out of 5

Keywords: Coldfusion, TV, Dagogo, Altraide, Technology, Apple, Google, Samsung, Facebook, Tesla

Id: ezLyvK4mbFY

Length: 14min 57sec (897 seconds)

Published: Tue Jul 31 2018