Coca-Cola Freestyle Downsizes to Build Growth

REPLAY VIDEO
Your next video will start in
Pause

Recommended Videos

  • Info

  • Comments

  • VIDEO TEXT

May 16 (Bloomberg) -- Jennifer Mann, general manager of Freestyle at Coca-Cola, talks with Betty Liu about the launch of an expanded platform for the company’s Freestyle fountain drink machines and their competition with PepsiCo to outfit restaurants and theaters with their combo fountain offerings. She speaks on Bloomberg Television’s “In The Loop.”

My exclusive interview, indra nooyi was optimistic.

Accepting it is just the beginning of major growth.

-- is just the beginning of major growth.

What we have done with all of our new innovation in food service, and what they are tested with consumers is creating so much excitement, betty, that i think n.l. asked -- i think in the next five years food service will be one of the greatest growth opportunities.

And it sounds like it is already.

More from the other guys, jennifer mann and vice president of the coca-cola freestyle machines.

I have seen the machines around.

They look really cool.

Some of the analysts we have talked to say look, they have not proven they really drive traffic into the restaurants where they are.

How do you prove that?

Correct hey, -- hey, betty.

Thank you for having us.

We are excited to be launching three new platforms.

Our customers told us they want the same freestyle experience of engagement, large numbers of choices and a variety, and a connected device that allows them to have new content for different size outlets and restaurants all over the world.

We are launching three new platforms that will need more of those needs across the globe.

In terms of the growth we have seen for customers, customers see a growth in traffic and beverage incidents through coca-cola freestyle, anywhere from 4% to6% growth in traffic.

Some have said -- i looked at the applico -- pepsico spire machine, and it is much smaller than the freestyle machine.

It's part of the palm of the bigger machines were too expensive?

We believe the first freestyle machine is the right size.

It has the right volume for our quick service restaurants in the u.s.. those customers, again, they are seeing growth through coca-cola freestyle.

People love the choice, the engagement.

We are launching right now, in partnership in mixing apps, that allow them to say that, pour the drink, and share on facebook.

The first customers that were early adopters of coca-cola freestyle are continuing to see growth because we are able, through our connected device, to deliver new and exciting content to the platform.

Pepsico will say they have more than 1000 flavor combinations on their machines, and coca-cola has much less.

On coca-cola freestyle, a large dispenser, we have over 100 unique flavors and choices available to consumers.

We have 70 low-calorie, no-calorie choices, 90 caffeine-free choices, and 80 choices you cannot get anywhere else other than coca-cola freestyle.

The new platforms that we are launching today -- one will have over 35 choices, and the other two will have over 80 choices.

These are configured where we want the right amount of choice for the right restaurant.

Is mcdonald's participating, because they are one of your biggest food partners.

They are a very important partner to the coca-cola company.

They are testing coca-cola freestyle and we continue to work with them on meeting their needs.

Do you know, did they not do it before because of the size of these machines and the cost or what was -- it would seem that they would likely be one of your first partners to test these machines out.

Well, we respect all of our customers decisions, and we will not talk specifically about any of them today, but we are testing with mcdonald's, and we look forward to continuing to meet their needs as a partner.

Jennifer, you mentioned the flavor combinations, and i mentioned pepsico will have over 1000. could you come at some point, almost too many combinations?

I have heard complaints that sometimes it takes too long because people are playing around with the machine so much because there are so many combinations.

Is it almost at a point where you have to much?

Our consumer research says people love freestyle, the amount of choices, the connectivity, the engagement factor, and the fact that we are able to bring them unique

This text has been automatically generated. It may not be 100% accurate.

Advertisement

BTV Channel Finder

Channel_finder_loader

ZIP is required for U.S. locations

Bloomberg Television in   change