Coca-Cola is the largest beverage company in Germany, with a portfolio of more than 60 non-alcoholic products including soft drinks, waters, juices, fruit juice beverages, sports beverages, ready-to-drink coffee and tea beverages.
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What do you see as the priorities for Coca-Cola GmbH right now?
Béatrice Guillaume-Grabisch: We strive to provide consumers with the right alcohol-free beverage for every occasion, and are well on our way to becoming a total beverage company. We’ll continue to expand our portfolio, meaning we will strengthen our existing brands and also focus on new products, new packaging and new channels to meet every consumer need.
How do you see Coca-Cola consumers reacting to the economic downturn?
BGC: Our beverages are an affordable luxury. We provide our consumers with simple moments of hydration and happiness. Consumers’ belt-tightening will mostly affect larger purchases. Nevertheless, the food and drink sector is sadly already feeling the effects of the downturn. We know, however, that in difficult times, people particularly crave security, continuity and special moments. We’re able to give them what they want with our strong brands and upbeat communication, and we plan to keep in step with our consumers wherever they want to go. For example, we’ve picked up on the so-called ‘new cocooning’ trend through our campaign ‘Coke&Meal’. The new TV spot that accompanies this focuses on Coca-Cola, Coca-Cola Light and Coca-Cola Zero as ideal accompaniments to a meal, not only when eating out, but also at home. We want to bring people together: families and friends, having lunch or dinner at home and sharing moments of joy.
Please run through recent launches and how these meet changing consumer needs.
BGC: Last year, we launched The Spirit of Georgia, a soft drink for consumers in the over-30 age group. This product corresponds to their preferences by containing less sugar and being less sparkling than classic soft drinks. It’s neither too sweet nor too bitter and is based on fermented juice technology – our new innovation.
We know that people over 30 particularly favour naturalness, which is why The Spirit of Georgia doesn’t contain artificial colours or preservatives. The product is available in three unique flavours that deliver a delicious taste: blood orange prickly pear, green mango kiwi and lemon juniper berry.
A current relaunch of one of our biggest brands also corresponds with consumers’ focus on health and wellness. We’ve reformulated our classic Fanta, which no longer contains artificial colours or flavours. That means more naturalness and the same great taste as ever.
We see that people are still looking for convenience. In this context right now, we’re launching a new product: illy issimo – three premium specialities in the ready-to-drink coffee segment. This is a joint venture with illy caffè and we’re happy to benefit from illy’s vast experience in high-quality coffee. Cooled Caffè, Latte Macchiato and Cappuccino come in a stylish can for people on-the-go, and deliver Italian urban lifestyle and enjoyment.
The German market for still mineral waters is still growing. In 2007, we launched a still water with low levels of minerals and a smooth taste profile: Vio.
Not forgetting our Zero range. The highly successful launch of sugar-free Coca-Cola Zero in 2006 is accompanied by Zero versions of several main brands: Fanta Zero, Sprite Zero and Mezzo Mix Zero. Special combinations of ingredients offer products without sugar but with full taste. This corresponds with consumers searching for great-tasting drinks that are calorie-free.
How does your past experience give you the ability to see the beverage industry in a new context?
BGC: In almost 125 years of business experience, the company has seen many changes. We’re no stranger to regional and global crises. We’re applying the lessons learned in the past in a new context. Our leadership team and our people are well equipped and always committed to delivering high-quality products. Innovation will continue to be one of the key business drivers. We’ve proved our ability to identify occasions and changing consumer needs, and will not stop doing this.
What are the next steps in holding steady over the coming year?
BGC: We’ll continue to invest in our brands. Acting against the downturn is one key to holding steady. Our plans are tied closely to consumer needs and new occasions, such as new packaging, new channels and new formula innovations.
We see that doing business sustainably is vital. We’re also supporting consumers to make informed choices in having an active and healthy lifestyle. As a global player, we’re very close to our local communities and engage with them.
One more brick in the foundations of our success is close collaboration and partnership with retailers. The sum of all this, we believe, will help us emerge from the current period stronger than we entered it.
Béatrice Guillaume-Grabisch has more than 25 years’ professional experience in executive management, sales and marketing with companies such as Colgate-Palmolive and L’Oréal. She is currently president of the Germany Business Unit for The Coca-Cola Company.
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