r/explainlikeimfive 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/[deleted] Dec 16 '12

Recipe-wise, it's almost identical to Pepsi

Bullshit.

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u/[deleted] Dec 16 '12

[deleted]

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u/[deleted] Dec 17 '12

My (now former) roommate used to swear up and down he can taste the difference, AND that "Mexico Coke" sweetened with cane sugar tastes the best. So I had him do a taste test with the following:

  1. Pepsi (from a can)
  2. Pepsi Retro (from a can, pepsi with sugar)
  3. Coke (from a plastic bottle, had sat in fridge for an abnormally long time)
  4. Coke Mexico (from a glass bottle, sat in fridge same amount of time)

Each in an identical shot class, labeled on the bottom so as to not be visible to the taster.

He got all four wrong.

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u/lazyFer Dec 17 '12

"Mexico Coke" still uses HFCS, the true difference comes from the fact that it's in a glass bottle. Chemically speaking, the glass is far far less reactive with the contents than a plastic bottle or aluminum can.

I like coke. I love it in a glass bottle. I like it in a can. I don't like it as much from a plastic bottle.

I'm sure a variety of reasons are involved, I'm guessing that the main difference between the can and plastic bottle are carbonation issues.

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u/[deleted] Dec 17 '12

Maybe they don't import these where you are? Mexican Coke

It's definitely sugar, though I'm not sure if it's cane or beet.

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u/lazyFer Dec 17 '12

Costco sells the mexican coke made from real sugar. The little hole in the wall mexican place I go also sells mexican coke in glass bottles, but those are labeled that they use HFCS instead of real sugar.

Two glass bottles of coke, both from Mexico, one has sugar, the other has HFCS.

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u/[deleted] Dec 17 '12

Good to know! I've seen them at Costco and oddly enough, Best Buy.