Flagging revenues in its core market have led to Coca-Cola turning to alcoholic beverages in one of its markets. The company will go into the production of Chu hi a canned sparkling drink brewed with sochu a spirit indigenous to Japan. This marks the very first time, the company will create an alcoholic beverage, since it was founded in 1886.
Increased health consciousness has led to many consumers cutting down on their consumption of sugary beverages. Some countries have even advocated for a sugar tax and a ban on the sale of beverages in large bottles.
Could it decide to scale it?
Though the company has labelled the drink an experiment, it could decide to scale it up if it is successful. In Nigeria, one of its largest African markets, its core products Coke, Fanta and Sprite have had tough competition from other producers such as Bigi Cola, Big Cola, and Pepsi.
Many consumers have embraced alcoholic beverages. Kasapreko, the company behind the popular Alomo Bitters, launched a factory in Ghana in 2015, to deal with overwhelming demand from its Nigerian market. Other companies have since popped up with their own variants. Guinness launched Orijin, an alcoholic beverage in 2014
The Coca-Cola Company, which is headquartered in Atlanta, Georgia, but incorporated in Wilmington, Delaware, is an American multinational beverage corporation, and manufacturer, retailer, and marketer of nonalcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola (or Coke in some markets) invented in 1886 by pharmacist John Pemberton.