Coke/Pepsi Challenge

History

• In the 1970’s, Pepsi Launched the advertising campaign called “The Pepsi Challenge”

• Just like us, they had two cups labelled A and B

• 1 cup contained Pepsi, the other was Coke• Results showed that more than half the

people liked the taste of Pepsi over Coke

Let’s Take a Look at Our Results...

Results

• Question 1: Which brand of cola do you prefer?

57% 43%

Results

• Question 2: Do you prefer one brand over another?

65% 35%

Results

• Question 3: Why you chose to drink one cola over the other

• Taste 32%• Parents Buy It 30%• One is Too Sweet 17%• Makes Teeth Feel Funny/ After taste 8%

And the Result!

B A

Results

• Question 4: Which one was coke? (B)

48% 51% 1%

A B BOTH

Results

• Question 5: Which one was Pepsi? (A)

51% 49% 0%

BA BOTH

Results

• Question 5: Which cola did you like better?

47% 2% 51%

History

• Coke tried to do their own market research – but results constantly showed Pepsi being chosen as the better tasting cola

• Coke launched a commercial comparing the “Pepsi Challenge” to a monkey choosing the furrier tennis ball

History• Coke continues to panic over the Pepsi Challenge

and changed the formula of coke• In 1985, coke introduced “New Coke”– Pepsi threw a victory party and gave all their employees

the day off

• “New Coke” continuously out performed Pepsi in taste tests

• Despite the taste tests – Coke continued to

lose market share