Coke sees bright future in competitive market

Coca-Cola Thailand is expected to grow by 3 to 4 per cent this year, compared to 5 to 10 per cent in Asia-Pacific, according to Chuenhathai Vuntanadit, its marketing director.
The optimistic forecast comes amid intense domestic competition from both carbonated and non-carbonated drinks. Last year, Thailand's Pepsi bottler Serm Suk claimed it had outgunned Coke in terms of volume, outselling its bottled products, with a 49.8-per-cent share of the Bt30-billion carbonated-drink market. Coke's arch-rival also said it aimed to increase its demand by 5 per cent this year. Yet Darren Marshall, group marketing director for Coca-Cola in Asia-Pacific, chose to see the glass half-full - optimism being the theme of the soft drink giant's new global marketing platform. Marshall, who has been working in Asia since 1998, insists Coke is still the market leader in Thailand, if one takes into account the drink being sold without bottles, for instance in certain fast-food chains or in multiplexes. According to the regional marketing head, the Nielsen figure only takes into account the take-home market. To put its money where its mouth is, Coca-Cola Thailand has set a marketing budget for this year of Bt50 million, most going into solidifying Coke's position as "the happy drink of choice". Globally, Coca-Cola has stepped up its marketing budget by US$400 million (Bt14.3 billion) to $2 billion. Chuenhathai says that its new global platform, launched in March last year and rolled out throughout the world since, allows for flexible local strategies and execution. Marshall, whose credits include transforming Malaysia's Coke from being seen as expensive and American into a national drink, acknowledges the nuances within different regions in Thailand. The new campaign will therefore feature billboards designed by artists from the northern, northeastern and southern regions, in addition to Bangkok. Chuenhathai said the company's animated commercial, produced by an advertising agency in Amsterdam, had already become a big hit in Thailand. In China, the company claimed the same clips were the most viewed at one point on YouTube - a testament, he said, to the strength of one of the world's most valuable brands, which according to Forbes magazine, was worth $55 billion last year. Ki Nan Tsui, The Nation
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