I read this morning that Coca-Cola is launching a new variant - Coke Spiced, and this made me think of something that I had read in a book recently - Different, by Youngme Moon.
In Moon’s book I learned that…
…it took Coca-Cola nearly a century (96 years, to be precise) to introduce its first product extension, Diet Coke.
Interesting, right? Especially given that today, the brand sells more than a dozen variations - like Coke Zero, Vanilla Coke, Diet Coke with Lime, Diet Coke Sweetened with Splenda, Diet Coke Plus (fortified with vitamins and minerals) - and now of course, Coke Spice!
Personally, so far I’ve only had Coke Zero and the Vanilla flavour (costly but interesting taste). Not sure if they sell all these other variants in India already.
Anyway, let me quote the news article that I linked in the opening para…
In the past, a mainline Coke offering like Spiced would take over a year to develop, whereas now the process is done in just a few months, according to Shakir Moin, marketing chief at Coca-Cola North America.
And this makes me want to share with you, the concept of augmentation by multiplication, that Moon talks about in her book.
Essentially, products evolve in two ways.
Augmentation-by-addition
In this route, product marketers either strengthen an existing benefit or add on additional benefits to a product.
An example of strengthening an already-existing benefit would be say, boosting the stain-fighting ability of a detergent, or by extending the length of a warranty.
An example of introducing a new feature or benefit would be say, adding fabric softener to a detergent, or a money-back guarantee to a warranty. TBH, the list is endless. Like earlier, toothpaste used to offer the singular promise of cavity-free teeth; today, they offer the additional promises of fresh breath, tartar control, and a whiter smile. You get the drift.
Augmentation-by-multiplication
This is when Coca-Cola instead of selling just Coke, starts selling Diet Coke, Cherry Coke, Caffeine-Free Coke and now Coke Spiced.
The idea is to increase the likelihood of satisfying consumers by offering them a portfolio of products to choose from, each of which consists of a core set of benefits (if you consider Coke to be beneficial - lol) combined with segment-specific augmentations.
Anyway, this is all that I wanted to share. The bigger point that Moon has made throughout her book (Different) is that while earlier, change happened slowly and steadily, with one advance carefully laying the foundation for the next, today, in an increasing number of industries, change happens quickly and indiscriminately. And it happens in a way that the cumulative sum of those augmentations doesn’t seem to pay out much at all. In a way, this is the mark of a category that has lost its discipline. Does this loss of discipline, ultimately lead to business loss? Not sure of that. What do you think?
Do let me know your thoughts on this fast pace of augmentation that we see everywhere. I will get back soon with something else to share.
PS:
Would Coke Spiced sell more if they rename it to Coke Sphiced?
You would know the exact answer, if you watch the short video below where I share research findings on the pros and cons of having an unconventional name for a product / brand.