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Soft drink giants The Coca-Cola Company (NYSE:KO) and PepsiCo (NYSE:PEP) both announced new ad campaigns recently. Their strategies, though, could not be more different. Pepsi went the traditional route, signing an American superstar, Beyoncé, to a reported $50 million deal to promote its signature soft drink. Coke, on the other hand, did something utterly unexpected, releasing attention-grabbing ads that address the link between soft drinks and obesity.
But the real surprise is that Pepsi’s campaign has garnered a critical backlash, while Coke could be reaping benefits by more openly courting controversy.