Archive for February, 2012

The New Cola Wars

February 14, 2012
I just read about how Coke and Pepsi are going to focus on their core brands in the future….great….good for KO and PEP….they have woken up up to what many of us in the industry have known for the past 10 years…..the decline in the csd category was partly due to changing consumer tastes….but it was more due to neglect…..everyone, including KO and PEP, was off chasing something else.  The reality was that the phenominal growth of the category over the last hundred years was because these companies made their brands relevant to us.  In the 40’s it was 10, 2 and 4.  In the 50’s it was twice as much for a nickel, too.  In the 70’s it was teaching the world to sing….you get my point.  Holding a Coke or Pepsi can 20 years ago meant something.  Today, at least for the target consumer, (someone under 30 years old) it doesn’t.  If you asked an 18 year old 20 years ago what were his favorite brands, Coke, Pepsi, Mountain Dew, Dr Pepper were probably on the list.  Ask an 18 year old today and I would bet that none of these brands would make that same list.  It would probably be brands like Monster, Red Bull, and Muscle Milk.  Why?  These are the brands that are talking to 18 year olds today.
What does this mean for all the other players in the industry?  Keep giving consumers what they want and your brand will continue to succeed.  People want more and better choices, and the larger industry dynamics will continue to bring these choices from new players.  So, get ready and let the games begin!  We are all in for some fun.

It’s What You Stand For That Counts

February 10, 2012

I just finished reading Roy Spence’s book – ‘It’s not what you sell, It’s what you stand for’.  It doesn’t matter whether you are starting a company, running a Fortune 500, or an employee of one, it is a blueprint for creating a successful company….and for achieving personal growth.  Give it a try.

Innovation

February 9, 2012

I just bought a new laptop, the old one that I had for 6 years died.  Obviously, I got every penny out of it.  My new PC has 5x the storage, 10x the speed, and tons more tools than my old one…..and it was 40% of the price of the one I just canned.  As I left the store, I thought, I can’t wait to see what the next one will do….and how its price will drop too.  Life is great!

Then it made me think of the larger point….in life and in business…..we all better be getting better.  I need to be doing the same thing my PC maker did.