The Coca-Cola Company has announced that it will retire further brands including Tab diet soda as part of its global portfolio refresh.
Coca-Cola announced earlier this month that it would discontinue Zico Coconut Water and review the future of other brands such as Coke Life as part of this strategy.
As a result of this review, Coca-Cola has announced that by 31 December, Tab diet soda, Coca-Cola Life, Diet Coke Feisty Cherry, Northern Neck Ginger Ale, Delaware Punch and international brands Vegitabeta (Japan) and Kuat (Brazil) will be discontinued.
The company had already announced earlier this year that the Odwalla juice and smoothie brand would be retired, while its chilled direct store delivery distribution network was also discontinued.
The move comes as Coca-Cola seeks to refocus its beverage portfolio to boost high-growth local, regional and international brands. For example, the company stated that discontinuing the Odwalla range of products “frees up resources to invest in growing trademarks like Minute Maid and Simply, and fund the launch of innovations such as Topo Chico Hard Seltzer, Coca-Cola Energy and Aha flavoured sparkling water.”
In August, the company announced plans to drive this optimisation strategy through a major business restructure, streamlining its operations into nine operating units and establishing five ‘global category leads’: The Coca-Cola brand; Sparkling Flavors; Hydration, Sports, Coffee and Tea; Nutrition, Juice, Milk and Plant; and Emerging Categories.
Cath Coetzer, global head of innovation and marketing operations at The Coca-Cola Company, said: “We’re challenging ourselves to think differently about our brands to accelerate our transformation to a total beverage company.
“This isn’t about paring down to a specific number of product offerings under our brands. The objective is to drive impact and growth. It’s about continuing to follow the consumer and being very intentional in deciding which of our brands are most deserving of our investments and resources, and also taking the tough but important steps to identify those products that are losing relevance and therefore should exit the portfolio.”
Coca-Cola CEO and chairman, James Quincey, added: “This is a golden opportunity for us to accelerate the curation of the portfolio that was an ongoing need, and actually bring all of that to fruition in a much shorter timeframe.
“We believe it will set us up with more momentum behind stronger brands as we come out of this crisis.”
© FoodBev Media Ltd 2020
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