2. This case study demonstrates how a line-extension strategy can be used by organisations in response to

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2. This case study demonstrates how a line-extension strategy can be used by organisations in response to a growing social issue. Can you think of situations in which companies/brands have used a similar strategy to respond to a public concern?

In 2018, in response to growing public concern about Australians’ sugar consumption, members of the Australian Beverages Council signed a pledge to reduce sugar in their product portfolios by 10 per cent by 2020 and 20 per cent by 2025. In a bid to achieve this goal, Australia’s largest beverage manufacturer, Coca-Cola Australia, accelerated its voluntary reformulation program (see Exhibit 8.10). This meant a change in Coca-Cola’s product mix, with the company reducing or removing sugar from 25 products since 2015. This program includes several of its most popular brands, such as Sprite and Fanta.

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Marketing

ISBN: 9781760423889

3rd Edition

Authors: Dhruv Grewal, Michael Levy, Shane Mathews, Paul Harrigan, Tania Bucic, Foula Kopanidis

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