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/Treshnell Dec 16 '12

Yeah, Pepsi product really come across as more sugary tasting. When I was younger I generally preferred Pepsi, but as I've aged I've come to prefer the slightly more bitter taste of Coke. Mt. Dew still reigns supreme over my citrus soda preferences, though.

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u/redwall_hp Dec 17 '12

When people make statements like "Recipe-wise, it's almost identical to Pepsi" or "I can't taste the difference between normal and Diet" I have no choice but to assume that most people really don't taste things beyond "this taste sweet. This good."

Flavors are very complex things, and the differences between sodas are huge. Even different types of soda. Pepsi Throwback, for example, has a much smoother flavor and less of that "sticky" feeling that the ordinary variety has. And if you never tried Dr Pepper Heritage before they stopped making it, you missed out. It tastes completely different from the modern soda. You taste the individual sub-flavors so much more. They're much more distinct, while they're kind of "muddy" and blend together more in the normal stuff.

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u/bluehiro Dec 17 '12

Wish I could upvote you twice! While Throwback Pepsi may have the worst name ever, it tastes amazingly good!

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u/digital_bubblebath Dec 17 '12

That is a terrible name!