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World Business report
Coke targets the milk market
 real 28k

Wednesday, 27 December, 2000, 12:17 GMT
Coke aims to milk brand
Coke factory
Coca-Cola could move away from its traditional brands
Coca-Cola, the world's largest soft drinks maker, could soon be tempting the world's children with flavoured milk and fruit juices.

The company is developing at least five new drinks which target the under-twelve age group in regions with high milk consumption levels, according to a report from the Wall Street Journal.

The soft drink giant plans to test-market the milky and/or fruity beverages early next year under a business plan reportedly dubbed Project Mother.

The newspaper said that the company had consulted nutritionists and paediatricians, as well as mothers and children, to ensure that the new drinks combine taste and nutrition.

More precise details, such as the planned flavour of the milk - will it be coke-flavoured? - are not yet available.

New horizons

Finding new markets is crucial for Coca-Cola as the company has admitted that it is likely to report volume growth in the fourth quarter below analyst expectations.

And it has recently appeared to have lost out to its rival PepsiCo which has enjoyed a more successful expansion into the non-fizzy-drinks arena.

Analysts have praised the innovation, labelling milk-flavoured drinks a high-growth product, and saying that Coca-Cola has long been due for an ambitious growth programme outside its core carbonated drinks base.

And by capturing consumers at an early age, through coke-branded milk, the company hopes to encourage long-term loyalty tothe brand.

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See also:

29 Nov 00 | Business
Silence is golden, says Coke
21 Nov 00 | Business
Coke in a fizz over Quaker
22 Jun 00 | Asia-Pacific
Coke moves into North Korea
07 Dec 99 | Business
Aussie to take Coke helm
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