Karma Cola - Coke in India

Abstract

This article is an application of the customer-based brand equity (CBBE) model (Keller, 2001) to Coke in the United States and India, It shows that Coke, the brand, is interpreted differently in US and India. In US, Coke's awareness stretches beyond its immediate consumers. It is used functionally as a substitute for water. Its home consumption is high. It is seen as a brand with heritage ami many customers and non-customers relate to it Hence there is greater bonding between the brand and the customer. In India, by contrast Coke's knowledge and appeal is limited to the urban elite and youth. It is consumed more for aspirational than functional reasons. Home consumption is not as high as it is in the United States, It is a brand to which a limited number of people relate. Loyalty is more to the cola flavor them Coke. In short, Coke is viewed very differently in India as compared to tin United States. This paper examines the differences in perceptions in the two countries and discusses their implications for Coke in India. The implications to Indian market are important because China and India are seen as the most promising markets for its future.