Coca-Cola Introduces Smaller Sizes to North America

Posted on April 17, 2012


The world’s largest soft-drink maker reported first quarter profits that topped analysts’ estimates. What helped? Smaller sizes

Net income rose 7.9 percent to $2.05 billion, from $1.9 billion a year earlier. CEO Muhtar Kent’s introduction of smaller package size might have had something to do with it. The smaller sized products have attracted price-conscious consumers, in part of an effort to spur sales in North America, where the soft drink industry has been on a seven year decline.

Since the company offered just one size for on-the-go occasions- a 20 ounce bottle- Coca-Cola has rolled out with 14 ounce, 12 ounce, and 12.5 ounce bottles. They’ve even unleashed the 7.5 ounce “mini can”.  “Moms buy the mini-cans. The love it for their kids,”Kent said.

In addition to improving margins, Kent said those smaller sizes are desired by consumers concerned about reducing their sugar intake.

Globally, on the other hand, Coca-Cola continues to rise. Driven by demand for Powerade energy drinks and Dasani water, the company has seen a 5 percent global gain.

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