It is well know that the Coca-Cola Company is the most celebrated beverage firm in the world. With it keeps excellent business performance, the company has more than over 500 sub brands and 3500 beverage products, such as various kinds of still and sparkling drink. Moreover, Coca-Cola Company owns the greatest distribution system of beverage in the global market, there are more than 200 countries’ customers to purchase its products, and the supply of products reach 1.9 billion each day (COCA-COLA COMPANY, 2015).
However, in the recent year, the Coca-Cola Company has got its commercial eyes on milk beverage which is named Fairlife because the company has observed that more and more people prefer to healthy food, it is also a tailored strategy that different products for different segments. Moreover, it is a creative commercial activity, and a bran-new market segmentation for the Coca-Cola Company. However, the Fairlife is not consistent with its traditional products, so a strong marketing strategy is very significant for a new bottled beverage product of the Coca-Cola Company. In order to integrate the marketing segmentations of the Fairlife. According to the world’s demographic segmentation, the marketing mix is mainly based on “gender, age, stage in family life cycle, education, income, and ethnicity.” However, age and family size are main segmentation factor. Firstly, age distribution plays an important role, so the largest number of the marketing target group is health-conscious younger customer between 10 and 35 years old so that it used well-known some stars to promote these product. It can attract more young people from universities, colleges, schools because there are a large amount of young customer. In addition, family size and income are also important factors. Fairlife will be offers in some different sizes, packages and some different price for different families or consumer group etc. Furthermore, Psychographic segmentation adds richness of social sciences to demographics. In order to understand and focuses on the inner characteristics of customers including lifestyles, personality, attitudes, interest and opinions. One of the very commonly used tool is VALS (Value and Life Style) so that the marketers try to understand people’s attitudes and what they value. Hence, the Fairlife emphasized that it is an organic milk, it means that it is rich in more abundant protein and calcium, and low fat and sugar. And the unique production processes and technology are able to guarantee the quality of production so that Healthy, containing 30% calcium, 50% protein, and low sugar are the symbols of the milk of the Fairlife. Learn more about this ‘premium milk’ in this website. http://fairlife.com/.
The second topic is targeting, once the market is segmented, use the bottom-up strategy to assess customer needs, and estimate the size of the target segments. Fairlife selected marketplace of young people who want to be healthier and more energetic to pursue, and this segmentation is large enough to be profitable. Moreover, by the SWOT analyses, it is benefit for the development of Fairlife, because the Coca-Cola Company has powerful group of customers, they are usually loyal. It is the strength of Fairlife. Furthermore, in recent year, more and more people pay attention to health, and prefer to healthy diet. It is an opportunity of the development of Fairlife. So, there are the corporate strengths and attractive market, the Fairlife should go for it!
Finally, the Fairlife is successful to differentiate from competitors and ‘own’ an image. Based on the analysis of perceptual maps, the Fairlife as a sub brand of the Coca-Cola Company which is equipped with unique selling proposition (USP). For example, the fairlife ultra-filtered milk have perfect as well as healthy milk resources, high technologic filtered measures and unique product packaging. They are helpful to express a brand’s competitive advantage succinctly and clearly. What’s more, it produces the ultra-filtered milk which contains more plenty calcium and protein than other brand.
In conclusion, the Fairlife as a new production of the Coca-Cola Company which focus on the health and advocates healthy life-style, and it mainly engages teenagers and young adults, it is benefit for development of brand. At the same time, it is also beneficial to improve competitive advantages of brand to realize sustainable development of the Coca-Cola Company.
Fairlife LLC, n.d., ‘Ultra-filtered to perfection’, Fairlife LLC, retrieved 12 August 2015, <http://fairlife.com/our-process/>.
The Coca-Cola Company 2015, Coca-Cola Company MarketLine Company Profile, pp. 1-41.