Blog: Olly WehringPepsi 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.

For details on Coke’s week of woes, take a look here, here and here.


HOT ISSUE

Coke v Pepsi in the Middle East

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...

BLOG

What is Heineken hiding up its sleeve in Australia?

Heineken is gearing up for a product launch in Australia this month. But exactly what the product is, the brewer is not saying....

BLOG

Anheuser-Busch InBev's craft brewers turn hermits in their own kingdoms

It's Summer in the northern hemisphere and the beer festivals are in full swing. Even the famously secluded North Korea is letting its regulation-cut hair down with the Taedonggang Beer Festival, name...

BLOG

Under the influencers - regulators crack down on sponsored social media

Drinks companies that use celebrities and influencers to endorse products via social media could be in line for some rule changes....

just-drinks homepage



Forgot your password?