Part 4/10:
Costa Coffee, a well-established brand primarily in the UK, controls an impressive 35% market share within the UK coffee shop space. With 3,800 retail locations across 32 countries, the brand is poised to significantly enhance Coca-Cola's distribution capabilities. Notably, approximately 60% of Costa's stores are located in the UK, providing Coca-Cola with a strong foothold in a market known for its robust coffee culture.
Coca-Cola aims to leverage Costa’s strengths in customer relationships through its expansive retail presence and a significant loyalty program, which boasts 5.4 million members. This acquisition aligns with Coca-Cola’s broader strategy of capitalizing on established brands with proven market traction, rather than starting from scratch.