Dive Brief:
- Coca-Cola's mini-cans and mini-bottles have proven to be much more than an aesthetic choice for the company as it seeks to revive the ailing soda industry.
- "Maybe the most important element in terms of our sparkling [carbonated beverage] portfolio has been the significant and strategic re-architecture of our packaging mix," Sandy Douglas, president of Coca-Cola North America, said at a conference.
- As soda volumes decline, Coca-Cola is charging more by the ounce for its smaller packaging, also known as transaction packages, which now represent 14% of soda sales, a jump from 10% in 2010.
Dive Insight:
As more health-conscious consumers turn away from soda and sugary drinks in general, Coca-Cola is trying to show that through smaller packaging, consumers can moderate soda consumption to still make it part of a healthy diet.
"Rather than waging a losing battle to persuade consumers to drink more soda, Coca-Cola’s strategy has shifted to accepting that consumers — including kids — will drink less of it," according to BuzzFeed.
"Smaller packages are re-recruiting consumers of all demographics, particularly upper-income consumers and particularly moms, because moms want to treat their kids, but they don’t want them to have too much, they want to be in control," Douglas said at the conference. In addition to smaller packaging has been a marketing push that includes bloggers and other influencers spreading the message to consumers that moderation of soda consumption is the key to indulging while maintaining a healthy diet.
Coca-Cola has also funded a number of organizations promoting research and programs concerning health and wellness. The company recently disclosed $118 million dollars' worth of investments after a New York Times report stirred controversy surrounding Coca-Cola's financial backing of a nonprofit that promoted exercise as the solution for obesity rather than diet. Coca-Cola later said in response that the report "created confusion." Some of those donations have since been discontinued or returned.
The FDA recently announced its recommendation for a cap on daily sugar intake.