Coca-Cola turns to ready-to-drink Coffee Competition Nestl é has a high price and an uncertain future.

Although the overall sales volume of ready-to-drink coffee has maintained an annual growth rate of more than 30%, it accounts for less than 2% of the entire beverage industry, and it is still facing the embarrassment of "high price and small quantity". The market share of Nestl é and Uni-President is close to 80%.

After a decline in carbonated beverage sales, Coca-Cola wants to shift its energy to other beverages. Coca-Cola announced yesterday that its ready-to-drink coffee would start shipping in mid-October. Industry insiders are optimistic about Coca-Cola pushing ready-to-drink coffee, but the analysis also points out that the ready-to-drink coffee market is not only minority, but also has been occupied by strong brands, leaving little room for Coca-Cola.

Make up for the decline in beverage performance

The ready-to-drink coffee product introduced by Coca-Cola is called GEORGIA, which first appeared in the Japanese market as early as 1975 and has annual global sales of more than $1 billion.

However, as a drink with western cultural attributes, the acceptance of ready-to-drink coffee in China's domestic market is not high, and the market capacity is relatively small. In this environment, why does Coca-Cola bring ready-to-drink coffee to the Chinese market? In this regard, Coca-Cola China told reporters that Coca-Cola is focused on the huge potential and market demand contained in the category of ready-to-drink coffee drinks.

China's ready-to-drink coffee grew at a compound growth rate of 34.2% from 2009 to 2013, and sales are expected to reach 79 million TEUs in 2014, according to Canardia.

In the eyes of industry insiders, the starting point of Coca-Cola diversification is obvious, that is, to enrich the product line and make up for the decline in the carbonated beverage market by selling different products such as ready-to-drink coffee.

It is reported that global sales of Coca-Cola carbonated drinks fell for the first time in history in the first quarter of 2014. More public data show that China's market share of carbonated drinks has dropped from 36% in 2000 to 22.34% in 2010. Liang Mingxuan, a food industry researcher with CIC consultant, said: "as an important participant in carbonated drinks, Coca-Cola cannot avoid a decline in the industry as a whole, so expanding its product range has become an important way for Coca-Cola to maintain its performance."