Why Things Go Better with Coke
Recently I was reviewing some marketing strategies of successful entrepreneurs. I started thinking about how some of the great companies on our planet got their start marketing. I thought it was time for me to do some research.
My favorite soft drink is Coca-Cola. These bullets below are condensed from the first seven paragraphs from a Google Search. In summary, here is what the article said in the order of events:
- In May 1886, Coca-Cola was invented by Doctor John Pemberton.
- The soft drink was first sold to the public at the soda fountain in Jacob’s Pharmacy in Atlanta on May 8, 1886. About nine servings of the soft drink were sold each day. Sales for that first year added up to a total of about $50, that it cost John Pemberton over $70 in expenses, so the first year of sales were a loss.
- In 1887, another Atlanta pharmacist and businessman, Asa Candler bought the formula for Coca-Cola from inventor John Pemberton for $2,300.
- By the late 1890s, Coca-Cola was one of America’s most popular fountain drinks, largely due to Candler’s aggressive marketing of the product. With Asa Candler, now at the helm, the Coca-Cola Company increased syrup sales by over 4000% between 1890 and 1900.
- Advertising was an important factor in John Pemberton and Asa Candler’s success and by the turn of the century, the drink was sold across the United States and Canada.
So to recap: First Coca-Cola was invented. Second, it was sold. Third, it was marketed. Fourth, it was advertised. Big deal you might say. Any first year marketing student can tell us this. If that is the case then why is it that many of you want to start with the fourth step first?
Last week I was with a successful company with a newly invented product in an existing market that has been sold successfully for nearly four years. Despite this success, they have demonstrated the worst results from marketing I have personally experienced. The reason why the marketing has failed is because they have replaced marketing with advertising.
Some of us are confused by the success of the big companies; therefore we miss a step. We want it to “happen” and are afraid to market our ideas and ourselves. What Pemberton and Candler discovered is that they could sell their idea to customers then duplicate what they did in one drug store in other stores. We need to do the same. Rather than spending large dollars on someone else creating a great advertising plan, they chose to market within their existing sphere the drug store. It is the duplication at the marketing level that then allows us to jump to advertising. First it is the people who already know and love our products and services that allow us to advertise to them on a grander scale.
When going to Wikipedia, the free encyclopedia, the definition of marketing is “…consists of the social and managerial processes by which products, services and value are exchanged in order to fulfill individual’s or group’s needs and wants.” I believe many of us continue to go to our graves missing the highlighted words. We need to consider building the social process from our products and services just like Pemberton and Candler did with Coca-Cola to create value. Then, word of mouth takes over. Once we have the momentum to sustain our products and services then advertising campaigns can take over.
Build your company on building relationships because things really do go better with Coke!
Gerry Rose runs INTEGRITY Networking Solutions in Oceanside, CA. He works with realtors who want to attract the right prospects and their affinity partners who want to generate more referrals. More than 10,000 businesses have been presented the INTEGRITY Networking Solutions system in San Diego, Riverside, and Orange Counties.
Gerry’s stimulating presentation Unlimited Prospects, Unlimited Referrals is ideally suited for small business owners, home-based businesses, and independent professionals who want clearer direction and want to attract more prospects, develop dynamic systems, and strengthen their companies’ accountability. Gerry does one on one consulting, conducts a range of keynote speeches from thirty minutes to full-day education workshops.
His book series, Unlimited Prospects, Unlimited Referrals, are available on the website, www.integritysd.com.
Gerry has more than 20 years’ experience directing business owners how to grow their businesses. He is a networking dynamo. Those who know him will assure you that he does a great job of bringing people together—which is why he started Integrity.
Involved with networking organizations since 1984, Gerry is a Distinguished Toastmaster, a member of Toastmaster International, and has chaired numerous chambers of commerce and non-profit organizations.
To contact INTEGRITY Networking Solutions for availability and information, call (888) 584-7073. You can contact Gerry by mail at 2103 Wedgewood Drive, Suite 100, Oceanside, CA 92056. Fax to (760) 439-5043; e-mail to gerry@integritysd.com. For more information, go to www.integritysd.com
