Why is Hollywood failing with its re-branded science fiction and superhero franchises?
By Kent R. Kroeger (February 4, 2021)
In April 1985, the Coca-Cola Company, the largest beverage company in the world, replaced their flagship beverage, Coca-Cola, with New Coke — a soda drink designed to match the sugary sweetness of Coca-Cola’s biggest competitor, Pepsi.
At the time, Pepsi was riding a surge in sales, fueled by two marketing campaigns: The first campaign was a clever use of blind taste tests, called the “Pepsi Challenge,” and through which Pepsi claimed most consumers preferred the taste of Pepsi over Coca-Cola. The second, called the “The Pepsi Generation” campaign, featured the most popular show business personality at the time, Michael Jackson. Pepsi’s message to consumers was clear: Pepsi is young and cool and Coca-Cola isn’t.
Hence, the launch of New Coke — which, to this day, is considered one of the great marketing and re-branding failures of all time. Within weeks of New Coke’s launch it was clear to Coca-Cola’s senior management that their loyal customer base — raised on the original Coca-Cola formula — was not going to accept the New Coke formula. Hastily, the company would re-brand their original Coca-Cola formula as Coca-Cola Classic.
Coca-Cola’s public relations managers tried to retcon the whole New Coke-Classic Coke story to make it appear the company planned to launch Coca-Cola Classic all along — but most business historians continue to describe New Coke as an epic re-branding failure. New Coke was discontinued in July 2002.
What did Coca-Cola do wrong? First, it never looks for good for a leader to appear too reactive to a rising competitor. On a practical level, for brands to lead over long periods they must adapt to changing consumer tastes — but there is a difference between ‘adapting’ and ‘panicking.’ Coca-Cola panicked.
But, in what may have been Coca-Cola’s biggest mistake, they failed to understand the emotional importance to their loyal customers of the original Coca-Cola formula.
“New Coke left a bitter taste in the mouths of the company’s loyal customers,” according to the History Channel’s Christopher Klein. “Within weeks of the announcement, the company was fielding 5,000 angry…