Coca-Cola Seeks to Re-Make Unhealthy Soda Image

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July 31 (Bloomberg) -- Sanjay Khosla, former president of developing markets at Kraft Foods, discusses steps taken by Coca-Cola to reverse a slide in sales by attempting to offer healthier products. He speaks on “Bloomberg Surveillance.”

Scarlet, interesting story.

Coca-cola confronting its fat problem.

This week's bloomberg businessweek, coke's efforts to relaunch as soft drink and repair its reputation.

Coca-cola is right now on the wrong side of just about every consumer lifestyle brand.

The cola is sugary and contributes to what people think of weight and.

It is not seen as healthy.

You read annual reports, coca-cola regularly cites obesity and ingredient concerns as a big risk.

It is front and center.

Am i correct that pepsi has outperformed coke?

Pepsi has a frito-lay snack business.

If you look at the revenue breakdown of pepsi, the snack business is bigger than the beverage business.

Bloomberg put this together.

As of last week, coca-cola stock trading at a three-year discount to pepsico.

A significant reversal from coca-cola's 8% premium.

Is a frito-lay differential?

Coca-cola is more vulnerable to a stronger dollar.

Fewer, bigger, bolder.

We have sanjay khosla.

I'm honored to speak to you.

With kraft international in your book, "the wisdom of less," what is the "less" coca-cola has to do?

The book's basic idea is to do a few things really well.

Is coke doing that?

Some of the things, they are doing too much and too little.

Therefore, one of the things would be to focus on a few things where they can relate win.

Make them bigger and bolder.

The good news is, while carbonated soft drinks are declining, it is a slow decline.

You can work with it?

You can manage it.

Unlike video rentals going out of business.

There have been some doomsday predictions.

Indra nooyi, the ceo of pepsico, commented last year that we actually believe that if you let this go on for too long, another three to five years, the consumer will walk away from carbonated soft drinks.

Hope: relies on soda for three quarters of its business worldwide.

That is a massive part of its business.

It cannot fix it through smaller bottles or customized bottles.

There is a two-pronged strategy.

One, a lot of success would come from smaller package sizes.

Particularly in developing markets.

Where there is a long run.

Making sure other parts of the portfolio.

The other part of the portfolio, to make that bigger and bolder.

A few things and making them pay, rather than lots of little things.

As a brand manager, someone who has run companies, how do you do you manage the fact that products are not good for us, sugar or nicotine or anything yet?

Give consumers a choice.

One things pepsi and coke have gotten an issue, it fits in with the lifestyle.

Vincent reinhart, at the federal reserve, do they drink coke or pepsi?

Since it is not chairman larry summers, he was a diet coke guy.

Chair yellen?

I don't know.

My guess is water.

The color is badly burned -- coca-cola was badly burned in

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


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