Why Coca-Cola Got So Expensive

For more than sixty years, a bottle of Coca-Cola cost five cents. Today a twelve-pack costs over seven dollars, and Coca-Cola is making more money than ever. This business documentary examines how a company that couldn't raise its price for seventy years learned to raise it almost every year. From the nickel Coke, the "forever" bottling contract and the vending machines built for a single coin, to the bottler system that lets Coca-Cola sell syrup while others carry the trucks, the price ladder of mini cans and smaller packs, "low elasticity", aluminum tariffs, the fight with PepsiCo, CEO pay and Warren Buffett's dividend checks, this is a story about what happens when nothing can stop a brand from charging more. Red Arrow Club breaks down the business strategies, financial incentives, and corporate decisions behind some of the world's most recognizable brands. 0:00 The 5 cent Coke 0:44 The nickel Coke 3:44 The machine behind the bottle 5:32 The price ladder 7:52 Smaller cans, bigger margins 9:43 Who pays 12:12 The rival that cracked 13:56 Who gets paid 15:48 The new nickel 18:03 The price of a habit #cocacola #businessdocumentary #businessstrategy