Coca-Cola's Anti-Obesity Ad on Air

Zacks

Recently, the largest global producer and marketer of beverages, The Coca-Cola Company (KO) released a two minute video, “Coming Together” as a part of its initiative to fight obesity. The video is intended to increase public awareness about proper diet and weight management.

Along with the wellness commercials, The Coca-Cola Company is also promoting several programs in communities and schools. These include Coca-Cola Troops for Fitness, America Is Your Park and Triple Play.  The company is also offering grants for the restoration of parks, purchasing fitness equipments for fitness centers and other infrastructure that promotes health and fitness.   

Given the rise in lifestyle diseases, people are now concerned about the nutritional value of packaged food. Often sodas are blamed for increasing obesity. Therefore, in order to ensure that its products continue to enjoy growing demand, The Coca-Cola Company is promoting the need for a healthy lifestyle, which incorporates balanced diet and exercise. Emphasis is laid on burning off the calories.

These programs will enable the consumer to understand how they can enjoy Coca-Cola products in their regular life as well as maintain good health. Consumers are encouraged to opt for the low calorie products offered by the company.

The Coca-Cola Company had previously declared a grant of more than $2 million for supporting community health and fitness programs in North America. The company’s philanthropic segment, The Coca-Cola Foundation will award the grant.

Though The Coca-Cola Company, is still largely dependent on its carbonated beverages, the company is slowly expanding its portfolio of non-carbonated drinks. Coca-Cola commands a leading position in the juices or still beverages category with its flagship brands such as Minute Maid, Simply and POWERade.

Recently, The Coca-Cola Company and dairy cooperative Select Milk Producers, Inc announced their decision to purchase equity stakes in Fair Oaks Farms Brands, LLC, a company that produces and markets value added nutrition products, including Core Power, a popular high protein milk shake. Together, the companies intend to create a new portfolio of healthy beverages with high growth potential.

The Coca-Cola Company as well as its peer PepsiCo Inc. (PEP) carry a Zacks Rank #4 (Sell).
 

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