Blog: Pepsi v Coke - a week Coke'll want to forget
Olly Wehring | 17 July 2006
The difference in fortunes of fierce rivals Coca-Cola Co. and PepsiCo has looked pretty marked in the last week, especially if looked at in a global context.
In the last seven days, it’s been revealed that Coke could buy out a local bottling partner in the Philippines as sales slide, while the company has parachuted in a top executive to try and revive its struggling business in Japan. PepsiCo, meanwhile, posted a set of impressive first-half numbers last week, with its international business proving a key engine to sales and earnings growth.
While Pepsi saw profits from its international operations surge 21% and volumes rise 10%, Coke has moved to tackle problems in key overseas markets, which is especially critical in Japan which is said to generate around a fifth of the company’s profits.
Sure, a company the size of Coke could hardly expect to see each of its markets perform perfectly at all times. However, it must irk some in Atlanta that Pepsi seems to be enjoying solid growth in a number of markets, including China, Thailand and Russia.
Combine that with the sour news of an extortion plot against Coke in South Korea and it all adds up to a bit of an unsatisfactory week in the Coke empire. We await their first-half numbers next week with interest.
For the latest on Pepsi’s figures, click here.
Pepsi has progressed in Syria since a ban on its sale was lifted just under a year ago, and in the process has stolen a march on Coca-Cola which was also removed from the blacklist but is yet to capit...
Would the thought of working in a morgue stop you from drink driving? ...
You would be forgiven for thinking that the US cider boom is over. Sales growth of as much as 90% in the past few years has shrunk to double figures. ...
The drinks industry could do more to benefit from new technology. ...
- A-B InBev and its SABMiller divestments - Focus
- Paddy Irish whiskey - The Facts
- SABMiller in Cent'l & E Europe - What is for sale?
- Is the wine industry confusing its consumers?
- Where does AB InBev see the future of beer?
- Pernod Ricard to widen Our/Vodka sales reach
- Remy Cointreau names new Travel Retail exec
- Leonardo DiCaprio joins Runa drinks board
- Pernod in talks to sell Paddy whiskey to Sazerac
- US wholesalers point to Absolut decline - report
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Global travel retail insights - market forecasts, product innovation and consumer trends
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends
- Consumer and Market Insights: Spirits Market in the US
- Carbonates in India