Due to inflation, Coca-Cola announced that it will increase its rates this year. The conglomerate, responsible for the production and distribution of soft drinks under the iconic brand, warned of maintaining the policy of increasing the price of its beverages due to the effects of inflation, which stands at 5.9% in Spain and 8.5% in the Eurozone as a whole.
As has been the case in recent months, consumers will continue to pay more at checkout. In 2021, the numbers presented by the company quantified the average increase at 12%, which could already be seen on point-of-purchase labels.
Despite the fact that the group’s profits had increased by 7% in the period between October and December, reaching a value of 10.1 billion dollars, it remains the preferred commercial brand for Spanish households according to the ‘Brand Footprint 2022’ ranking. Its closest competitors are El Pozo and Central lechera Asturiana.
For his part, CEO James Quincey announced that by 2023 prices would be affected and would rise significantly. This means that further price increases are expected in the next three months, repeating the 12% pattern seen at year-end 2021.
He also predicted that the recession will not catch up with Europe, as European consumer demand is falling. The other big news Quincey offered was the great success of the operation that meant the purchase of the British coffee shop line Costa Coffee in 2019 and its more than 3,401 establishments distributed in more than 31 countries, which grew by 13% in 2022.
From this group will come Lilt, a drink not very popular in Spain but very popular in other countries of Latianomérica, similar to Fanta and with flavors such as pomegranate and pineapple or pineapple and grapefruit. It will be Fanta that will absorb the brand and market it in order to boost its expansion. As a nod to Lilt, it will keep some of its flavors.
