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Learning from Coca-Cola

If Coca-Cola can get their product distributed to the most far-flung parts of the earth, why can’t non-government organisations and others who are trying to help the poor use similar distribution methods to get vaccinations, sanitation and other needed things to the people who need them most? That is the provocative question that Melinda Gates asked in a talk given at TEDxChange last month.

Coca-Cola sell 1.5 billion servings every day. If we can understand what makes Coca-Cola ubiquitous, we can apply those lessons for the public good. Coca-Cola take real-time data and immediately feed it back into the product, they tap into local entrepreneurial talent, and they do incredible marketing. Coke’s real-time data enables them to know where their cans and bottles are being sold, and if there is a problem anywhere they can immediately identify it and address the issue. In development, the data does not arrive until well after the impact.

In Tanzania and Uganda, 90% of Coke’s sales are through small entrepreneurs who are recruited by Coke and create distribution networks using push-carts and bicycles. Development organisations need to tap into local entrepreneurial talent in a similar way. Coke’s success ultimately depends on its aspirational marketing, associating the product with the lifestyle people want to live. Development needs to stop using “avoidance” messages and start using “aspirational” messages.