Dive Brief:
- Coca-Cola president and COO James Quincey has kept busy since assuming his new roles at the company in August, as Coca-Cola faces a critical time to turn around sales and cut costs.
- The 19-year Coke vet has been overseeing the company's $3 billion cost-cutting program set to be completed by 2019, and he has visited facilities across the world helping them with their business plans for 2016.
- "In a written statement, [Coca-Cola CEO Muhtar] Kent said the company is 'already seeing benefits' as Mr. Quincey focuses on productivity, marketing and brands, 'allowing me to focus more on our long-term growth strategy and the innovation and talent pipelines,'" The Wall Street Journal reported.
Dive Insight:
Coca-Cola needs strong leadership at a time when health-conscious consumers turn away from soda and diet soda, which make up about 70% of the company's sales, in attempts to avoid sugar and artificial sweeteners.
Consumers are instead shifting to water and other beverages, such as RTD tea, and soda companies like Coca-Cola have responded by investing in these other drink choices, including Coca-Cola's $90 million minority stake in Suja earlier this year.
Coca-Cola has also tried innovating through its partnership with Keurig to bring the Keurig Kold and cold beverage single-serve pods into consumers' homes. The response to the machine and its high price tag have not been ideal, but the companies will have to wait and see whether sales pick up for the holiday season.