Coke to distribute 200,000 cell phones in Belgium
Date: 17-Sep-99
Country: USA
European Marketing Manager Benoit Beaufilf said 200,000 telephones,
decorated with the company's distinctive red label, would be sold for
$80 to customers who buy 100 cans of its Coke and Coke Light.
"It's a collect and win campaign, whereby you collect a number of points
and you win a product at a reduced price," Beaufilf said.
The Atlanta-based company launched the campaign in April with 50,000
phones, before dozens of people in Belgium complained of nausea,
headaches and other symptoms after consuming Coke products in June.
Coke and European health officials determined that the contamination
incidents were caused by bad carbon dioxide at a Belgian bottling plant.
Some analysts said Coke's aggressive marketing strategy in Belgium has
shown results, in spite of the highly publicised contamination scare.
"This is a good idea," said John Sicher of Beverage Digest. "Cell phones
are extremely popular in Western Europe, and Coke is still a very strong
product in Belgium."
Marc Cohen of Goldman Sachs told Reuters that Coke had no choice but to
continue fighting bad publicity in Belgium.
"Our July survey shows the gravity of the effects of the contamination
scare on consumer confidence in Belgium, " Cohen said.
"Obviously, they have to spend the money. They could elect not to, but
they are not in that position," he said.
