Friday, August 24, 2012

Public Relations


     Public relations play a critical role in all organizations. Public relations are something that grows and materializes with an organization. They are ideas and solutions to what makes an organization successful. Public relations have become so important in modern times that there are now organizations that specialize only in public relations. These organizations represent other small and large organizations. This essay will explore how the Coca Cola Company used public relations to help build its organization.

     Coca-Cola was first produced in Atlanta, GA. in 1886 by Dr. John Stith Pemberton, whom was a pharmacist. It was first introduced to the public in the form of syrup. It was offered to local citizens and received great reviews from taste testers. Dr. Pemberton “carried a jug of the new product down the street to Jacobs' Pharmacy, where it was sampled, pronounced "excellent" and placed on sale for five cents a glass as a soda fountain drink” (The Coca Cola Company, 2011). The first public relations ideas came shortly after.

     A partner of Dr. Stiths’ by the name of Frank M. Robinson performed the first act of public relations for Coca-Cola. “Thinking that "the two Cs would look well in advertising," Dr. Pemberton's partner and bookkeeper, Frank M. Robinson, suggested the name and penned the now famous trademark "Coca-Cola" in his unique script” (The Coca Cola Company, 2011). This simple act by Frank M. Robinson would become one of the most recognizable logos around the world. This would also become a very successful public relations endeavor for the Coca-Cola Company. This would be the first of many successful public relations attempts during the evolution of the organization. Because of his death only two years after formulating the Coca-Cola syrup, Dr. Stith would not see his creation reach great success.

     Before Dr. Stith died, he began to sell shares of his newly found business. One of the shareholders was Asa Candler. Asa Candler would begin to revolutionize what would become The Coca-Cola Company. Asa Candler, with the use of public relations, turned a carbonated beverage into a successful organization. His means of expression for promoting and advertising were newspapers. “On May 1, 1889, Asa Candler published a full-page advertisement in The Atlanta Journal, proclaiming his wholesale and retail drug business as "sole proprietors of Coca-Cola ... Delicious. Refreshing. Exhilarating. Invigorating” (The Coca Cola Company, 2011). Asa Candler was a strong supporter of advertising. He understood and knew how to employ public relations strategies to ensure the growth of the organization. “Mr. Candler expanded on Dr. Pemberton's marketing efforts, distributing thousands of coupons for a complimentary glass of Coca-Cola. He promoted the product incessantly, distributing souvenir fans, calendars, clocks, urns and countless novelties, all depicting the trademark” (The Coca Cola Company, 2011).

     Coca-Cola began to gain a considerable consumer base. Initially, it was served strictly out of fountains in social gathering places like lounges and bars. Fountains were also located in convenience stores. In fact, a convenience store owner from Mississippi would inadvertently come up with one of the greatest public relations solutions for the distribution and consumption of Coca-Cola. “In 1894, in Vicksburg, Mississippi, Joseph A. Biedenharn was so impressed by the growing demand for Coca-Cola at his soda fountain that he installed bottling machinery in the rear of his store and began to sell cases of Coca-Cola”  (The Coca Cola Company, 2011). This innovative act of public relations would be very significant for the Coca-Cola Company. It allowed the beverage to be packaged and eventually distributed around the world.

     The Coca-Cola Company would be sold again in 1919. Two investors, Ernest Woodruff and W. C. Bradley, would buy the company and Ernest Woodruff’s son Robert would eventually become the president of The Coca-Cola Company. “Robert Winship Woodruff, Ernest Woodruff's son, was elected president of the Company, beginning more than six decades of active leadership in the business” (The Coca Cola Company, 2011). Robert Woodruff would be a key member of The Coca-Cola Company until 1984.

     Under Robert Woodruff’s leadership and direction, The Coca-Cola Company would experience many positive public relations campaigns. The Coca-Cola Company would soar to heights Dr. John Stith Pemberton and Asa Candler could not fathom, but would be very proud of. Robert Woodruff “put uncommon emphasis on product quality” after taking control of The Coca-Cola Company (The Coca Cola Company, 2011). Robert Woodruff was ahead of his time in many aspects of business. “Merchandising concepts accepted as commonplace today were considered revolutionary when Mr. Woodruff introduced them” (The Coca Cola Company, 2011).

     Robert Woodruff would lead the charge to globalize Coca Cola. “In 1926, Mr. Woodruff committed the Company to organized international expansion by establishing the Foreign Department, which in 1930 became a subsidiary known as The Coca-Cola Export Corporation”  (The Coca Cola Company, 2011). The Olympic Games would also help The Coca-Cola Company with its globalization campaign. “Coca-Cola and the Olympic Games began their association in the summer of 1928, when an American freighter arrived in Amsterdam carrying the United States Olympic team and 1,000 cases of Coca-Cola” (The Coca Cola Company, 2011). The Coca-Cola Company would continue to evolve through strategic planning and remaining relevant to each generation.

     With the advancements in technology, organizations must stay attuned to the trends of their consumers in order to stay competitive and maintain success. This includes incorporating social media sites such as Facebook.com, myspace.com, and twitter.com into their organizations. By incorporating these social media sites, organizations are able to get the views and ideas of their consumers.

     The Coca-Cola Company is no exception. Although it is a long standing successful organization, The Coca-Cola Company must continue to evolve and keep up with current trends. In order to adapt to social media sites and other venues in the 21st century, Coca-Cola has becom a client of 360i. 360i is a digital marketing agency. In an article by Natalie Zmuda, she stated that:

The agency, owned by Dentsu Holdings USA, will be responsible for formulating a consistent way of keeping track of what consumers are saying across Twitter, Facebook and other channels. It will then report back to the company to yield insights into how to improve or tweak marketing, and determine consumer sentiment about specific products. Billion-dollar brands such as Coke, Diet Coke, Coke Zero, Sprite, Minute Maid, Powerade, Vitaminwater and Dasani will be monitored (Zmuda, 2011).

360i gives The Coca-Cola Company an ear to the viral world and helps them adapt to the ever changing world of technology. 

     The Coca-Cola Company has been in existence for over 100 years. In that time, despite the great success, the organization has had their share of problems. So far they have obviously overcome these challenges. Through the use of public relations the organization has been able to find solutions and ideas to correct problems that have risen over the years.

     When the Coca-Cola Company began to bottle their beverage, a problem arose when it was discovered that there were venders selling an imitation of the Coca-Cola brand. This led The Coca-Cola Company to package their beverage in a unique bottle style to distinguish the real brand from the “bootleg” brand. “The never-ending battle against substitution was the major force behind the evolution of the distinctive hobble-skirt bottle” (The Coca Cola Company, 2011). Had the Coca-Cola Company not came up with a solution for this problem; the organization could have suffered tremendously. They felt that they deserved better. “Coca-Cola deserved a distinctive package, and in 1916, the bottlers approved the unique contour bottle designed by the Root Glass Company of Terre Haute, Indiana” (The Coca Cola Company, 2011).
 

      Another public relations incident involving The Coca-Cola Company put a slight strain on the organizations relationship with Burger King. An article by Scott Leith, stated that “First came an internal investigation. Now Coca-Cola faces another daunting task: repairing relations and holding on to a major customer that has a legitimate complaint with the beverage giant” (Leith, 2003). Apparently a former employee of The Coca-Cola Company “signed off on a fraudulent marketing test involving Burger King” (Leith, 2003). In the wake of the incident, the organization feared that it would lose its contract to another leading brand. Through good public relations solutions, The Coca-Cola Company was able to repair the relationship with Burger King.

     The Coca-Cola Company is a for-profit organization. This means that the organization “can be taxed by state and federal governments, distributes funds to shareholders, employ paid workers, and commercially based” (Cameron, 2008). Non-profit organizations “are generally employed by volunteer workers, receive funding from donations, and cannot be taxed by governments” (Cameron, 2008).

     

References

Cameron, G. T., Wilcox, D. L., Reber, B. H., & Shin, J. (2008). Public relations today: 
     Managing competition and conflict. Boston, MA: Pearson Education, Inc. 

Scott Leith.  (2003, June 19). Coke faces damage control :[Home Edition]. The Atlanta Journal - Constitution,p. C.1.  Retrieved November 28, 2011, from ProQuest Newsstand. (Document ID: 348921881).

The Coca Cola Company. (2011). The Chronicle of Coca Cola: A Man Named Woodruff. Retrieved

The Coca Cola Company. (2011). The Chronicle of Coca Cola: Birth of a Refreshing Idea.

The Coca Cola Company. (2011). The Chronicle of Coca Cola: The Candler Era. Retrieved from.

Zmuda, N. (October 18, 2011). Coca-Cola Taps 360i to Handle Social-Media Monitoring.

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