Coca-Cola halves its portfolio, discontinues 200 brands
Halving its portfolio, beverage giant Coca-Cola will halt production and distribution of about 200 of its brands. Although an official list was not revealed, so far the company has axed its Tab, Zico, Odwalla, Coke Life, Diet Coke Feisty Cherry, Delaware Punch, and Northern Neck Ginger Ale brands.
In July, Chief Executive Officer, James Quincy, disclosed that half of Coca-Cola’s portfolio generated only 2% of revenue, and the company intends to focus on the biggest brands like Coke and Sprite.
According to Coca-Cola, the decision is a part of a global portfolio refresh prioritizing category-leading brands with the greatest potential for growth and scale.
Global head of innovation and marketing operations, Coca-Cola, Cath Coetzer, said: “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,” she said, “and also taking the tough but important steps to identify those products that are losing relevance and therefore should exit the portfolio.”
Most of the brands Coca-Cola intends to shut down are only sold in certain markets instead of nationwide.
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