KO
#Let me take a bite of that, <UNK>.
I think the answer on the slow-down, we don't get all the category numbers necessarily.
Clearly, as we're gaining share in that top-line number, there's got to be some weakness in the category versus the long-term target of 5%.
I think we talked a little bit about that at CAGNY, about how our expectations for 2016 and 2017 were below the long-term 5% dollar value for any RTD.
There's definitely some of that.
I think you can see the macros influencing the industry in the sense that a number of the emerging markets, particularly the commodity ones, where we have had the slow-down, and that's clearly flowing through into the industry.
I think what I would highlight is we're going to focus on what we can control.
We have a long-standing game plan of what to do in countries that are in crisis, focusing on really gaining a lot of share to set ourselves up profitably for the long-term, as we did in a lot of countries in the past.
It seems to be working now as we gain share in the Chinas and the Russias and Brazils.
It will pay off in the end.
I think the visibility, look, we are managing to our corridors at the top and the bottom line.
We feel that this quarter was within the envelope.
Clearly the macros slightly better, slightly worse, will be an influence in where we end up; but we've got a lot of management left to do in the balance of the year.
Good morning, <UNK>.
<UNK>, this is <UNK>.
We've said from the beginning first that the new campaign is not just a new campaign, but also it's a new strategy in terms of the one-brand strategy, and that it's got many advantages.
We expect it to give us significant efficiencies and effectiveness.
But also in terms of how we communicate with our consumers, it will certainly play into that as we execute the strategy, and we've now launched the new campaign.
Then I'll let <UNK> comment in terms of you asked the Mexico specific example, but also there's also many other places where it's been tested, and tested favorably.
Go ahead, <UNK>.
Yes, <UNK>, a few thoughts.
One, the initial pilot markets, the two sources of very clear impact were one, it helped us expand and grow the zero-calorie variant of Coca-Cola by driving availability and driving trials.
We would expect to see benefits on the zero-sugar variance.
The second big area of benefit is it helps us create what we would call corporate blocking.
In other words, we execute in stores all the variants of Coca-Cola together as one big block, has a much greater store impact, visual impact, engagement with people who are shopping the stores.
I think slightly more strategically and back to <UNK>'s point, this is an implementation of a strategic idea.
I'm sure we'll evolve it.
I'm sure we'll make it better, but it's the strategic idea that's important.
It's not just about the efficiency in the advertising.
It's about helping consumers join and stay in the Coca-Cola franchise, whatever the ingredients they want to manage, including their management of added sugars, whether that's in drinks or any other categories that have added sugar in.
This has a number of benefits that are going to play out strategically, and we will keep improving the execution.
Yes, a few thoughts then.
Clearly, North America has had a lot of traction in pushing forward smaller packages away from the traditional two-liter and multi-pack of cans.
It is worth noting that some of those packages are premium packages, and some of those are intended to create affordability or low-price-point entry points for the category, whether it be the mini cans.
That combination does generally help price mix.
You can see that starting to roll out across other parts of the world.
I think Latin America has traditionally been very good at that.
You do see more of it coming into Asia-Pacific and Eurasia on a global basis.
The immediate consumption packages out-paced general volume growth, so it is part of our strategy to push more into smaller packages.
Just this last month, India launched a new technology, very small package, with a special technology that allows a much longer shelf life in ambient environment of rural India, so it will be able to get to many more places.
A lot of innovation in the technology.
A lot of innovation in the package and the sizes and the occasions and the channels, so that we can bring down the price points for affordability, take advantage of premiumization, and also offer people the right amount of any beverage that they want to actually consume.
One point I would just add, <UNK>, would be that the US compared to the rest of the world, the prevalence of small packages was much less in the United States three or four years ago compared to the rest of the world.
If you look at Europe and places like Spain, or if you look at many countries in Latin America, you had much more prevalence of smaller packages then in the United States.
In a way, the United States in the last four or five years, but particularly last two and a half years, has moved very rapidly to the 12-ounce glass to the 8-ounce glass to the 7.5-ounce can, to the 8.5-ounce aluminum bottle.
That has really worked.
Those are all growing double digits in the United States because of two ---+ the consumer customer preferences, and also benefiting our system because they have a higher price per liter.
That's in a way playing out from what was already prevailing in many parts of the world in the past.
Good morning.
Vivian, I think a couple of things.
One, obviously most of our campaigns are weighted into the second, third, and fourth quarters.
Those are the biggest quarters.
Even Taste The Feeling, we announced it this quarter, but it's only really hitting at towards the end of the quarter and rolling out in the rest of the year, as with the Euro Cup and the Olympics.
I think a lot of the programs are going in later this year.
They ---+ obviously the execution is there, so we would expect to see better performance in trademark Coca-Cola going into the downhill.
I would make one other note, which is the relative change in where global growth is coming from, or industry growth is coming from ---+ a little more in developed and developing, a little less in emerging ---+ tends to create a portfolio effect that weighs a little more against sparkling and therefore Coca-Cola, because those emerging markets tend to be more sparkling orientated.
You see North American, Latin America, Japan, with stronger stills growth.
We do expect to see growth.
We would expect to see it coming back.
There is a geographic mix impact, but when we look at the markets, we believe we will be back on track with Coca-Cola.
<UNK>, it's <UNK> here.
I think first, in terms of the efficiencies, the most important benefit will be simpler and less-fragmented communication with the consumer.
That will be the biggest benefit.
But also, it will certainly help provide ---+ create more efficiencies and effectiveness in our non-working DME, and therefore will also provide some productivity in that respect.
But the most important benefit will certainly be a less cluttered and better and more direct communication with the consumer base.
In terms of the trial of product, that will certainly come as a result of that, of what <UNK> mentioned in terms of better presence in the store, in terms of better merchandising, in terms of better interruptions in the store, and also in terms of the communication piece.
We believe that the most important benefit of this will infuse and will come to brands like Coca-Cola Zero with more availability, better communication, and have the broad perspective of the global campaign, as opposed to every different brand under the Coca-Cola trademark having their own campaigns.
That will be how I think the benefits will come.
We ---+ trials and pilots so far have proven that in Europe and other parts of the world.
Thank you, <UNK>, <UNK>, and <UNK>.
We're in the midst of transforming The Coca-Cola Company to one that's even more focused on our core value creation model of building strong brands, enhancing customer value, and leading our franchise system.
At the same time, we continue to evolve and strengthen our global bottling system as we accelerate re-franchising, and as we return to a predominantly concentrative model with significantly higher margins and returns.
We remain confident that the long-term dynamics of our industry are promising, and we absolutely believe that The Coca-Cola Company is well-positioned to deliver long-term value to our shareholders.
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