r/explainlikeimfive • u/bigdubsy • Dec 16 '12

ELI5: Why does Coca-cola still advertise? Explained

Why do companies that have seemingly maxed out on brand recognition still spend so much money on advertising? There is not a person watching TV who doesn't know about Pepsi/Coke. So it occurs to me that they cannot increase the awareness of their product or bring new customers to the product. Without creating new customers, isn't advertisement a waste of money?

I understand that they need to advertise new products, but oftentimes, it's not a new product featured in a TV commercial.

The big soda companies are the best example I can think of.

Edit: Answered. Thanks everyone!

Edit 2: Thanks again to everybody for the discussions! I learned alot more than I expected. If we weren't all strangers on the internet, I'd buy everyone a Pepsi.

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u/zephyrtr Dec 16 '12

Yeah Pepsi tastes more like sugar, Coke tastes more like caramel and caffeine.

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u/[deleted] Dec 16 '12

What does caffeine taste like..? For the record, I agree with you about the caramel part.

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u/sllewgh Dec 16 '12 edited Aug 07 '24

domineering smell narrow aback quickest shocking alive friendly file command

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u/I_Can_Haz_Brainz Dec 17 '12

Caffeine has no taste whatsoever. Anyone upvoting anything about caffeine having a flavor doesn't know anything about caffeine. It also has no smell. Continue on...

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u/sllewgh Dec 17 '12 edited Aug 07 '24

gold rainstorm ruthless aloof snails absorbed apparatus simplistic pie books

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u/I_Can_Haz_Brainz Dec 17 '12

Yeah, but it was of the flavorless variety. I was actually drunk when I wrote the above and thought I was being sarcastic, but it certainly doesn't read that way. I thought I put you couldn't feel, see, or hear it either. Oh well, I fail.