Coca-Cola Europacific Partners Boston Consulting Group Matrix

Coca-Cola Zero Sugar is a shining Star for Coca-Cola Europacific Partners (CCEP). Its volumes saw a healthy increase in 2024, solidifying its position as a top performer in the sparkling beverage market. This growth is directly linked to consumers actively seeking out lower-sugar alternatives, a trend CCEP is capitalizing on.

CCEP is investing in Coca-Cola Zero Sugar's future through ongoing innovation, including exciting new flavor collaborations. This strategy is crucial for maintaining its strong appeal and market share in the competitive zero-sugar category. The product's success underscores CCEP's ability to adapt to changing consumer preferences.

Monster Energy continues its reign as a dominant Star for CCEP, showcasing robust growth in a rapidly expanding energy drink market. Its market share gains, particularly in the UK, highlight successful innovation with new sugar-free options and diverse flavors.

Powerade is another key Star, benefiting from the booming functional beverage sector. CCEP's investment in new packaging, flavors, and major sports sponsorships in 2024 has bolstered its presence, aiming to capture a larger share of the global sports drink market, which was valued at approximately $24.7 billion in 2023.

Coca-Cola Zero Sugar also shines as a Star, experiencing healthy volume increases in 2024 due to consumer preference for low-sugar options. CCEP's continued investment in flavor innovation for this product line is crucial for maintaining its strong market position.

The Coca-Cola portfolio in the Philippines has emerged as a significant Star, marked by double-digit volume growth and a leading market share. CCEP's accelerated capital expenditure in the region underscores its potential as a vital growth engine.

Fanta in mature European markets is a classic Cash Cow for Coca-Cola Europacific Partners. It holds a strong, high market share, which is a testament to its enduring popularity and brand recognition across the continent.

While 2024 saw some minor volume dips, attributed to factors like challenging weather patterns impacting consumer behavior, Fanta’s established position means it requires less marketing spend to maintain its sales compared to newer or growing products. This efficiency directly translates into robust cash generation.

The strategy of introducing new flavor variants, such as the continued rollout of Fanta Fruit Twist and seasonal offerings, effectively keeps the brand fresh and engaging for consumers without needing to stimulate overall market expansion, ensuring its cash-generating capabilities remain stable.

Coca-Cola Zero Sugar in Western Europe is a prime example of a Cash Cow for Coca-Cola Europacific Partners (CCEP). It maintains a strong market share in a market with moderate growth, consistently delivering reliable profits.

The brand's loyal consumer base and effective marketing strategies contribute to its steady revenue generation, requiring less investment compared to high-growth products. CCEP's focus is on preserving its market position and optimizing its profitability.

CCEP's 2023 financial results highlighted the strength of its sparkling portfolio, with sales volumes for Coca-Cola Zero Sugar demonstrating its resilience. The company's ability to leverage its distribution network ensures this brand remains a significant cash contributor.

The sustained popularity of Coca-Cola Zero Sugar allows CCEP to allocate resources efficiently, focusing on maintaining brand visibility and consumer engagement to ensure continued cash flow from this mature product.

Certain juice variants within Coca-Cola Europacific Partners' portfolio might be considered underdogs, struggling to gain traction with today's consumers. These are products that, despite being part of a larger beverage offering, are not resonating with current market demands or possess limited appeal.

For instance, if a specific flavor of Minute Maid, a brand CCEP distributes, were showing a consistent year-over-year decline in sales volume and market share, it would fall into this category. Imagine a scenario where this particular Minute Maid variant saw a 5% drop in sales in 2024, while the overall juice market grew by 2%.

Products classified as Dogs within Coca-Cola Europacific Partners' (CCEP) BCG Matrix are those with low market share in a low-growth or declining market. These offerings typically generate minimal returns and may even consume valuable resources. CCEP's proactive portfolio management often involves identifying and addressing these underperformers.

For instance, certain legacy juice flavors or niche water brands that have seen consistent declines in sales and consumer interest would fall into this category. CCEP's 2023 revenue of €19.4 billion, a 9.2% increase, highlights strong performance in core areas, suggesting that resources are being strategically shifted away from products like these Dogs.

The company's SKU rationalization efforts, such as the approximately 60% reduction in Indonesia, directly address the presence of Dog products. This streamlining allows CCEP to focus investment and management attention on its more promising brands, ensuring a more efficient and profitable overall portfolio.

CCEP's strategic de-listing of brands like Capri Sun in Europe further exemplifies the management of Dog products. These actions are driven by a need to optimize the brand mix and reallocate capital towards opportunities with higher growth potential and better alignment with evolving consumer preferences.

Indonesia, despite Coca-Cola Europacific Partners' (CCEP) ongoing transformation and SKU rationalization efforts, is categorized as a Question Mark. The market exhibits significant growth potential, but it's currently navigating geopolitical headwinds and consumer pushback. This challenging environment led to a non-cash impairment charge in 2024, underscoring the volatility.

CCEP is actively addressing these issues by investing in strategic realignment and concentrating on key product categories like Sparkling beverages and Ready-to-Drink (RTD) teas. The objective is to leverage the market's inherent growth prospects and convert it into a Star performer within CCEP's portfolio.

Question Marks in Coca-Cola Europacific Partners' (CCEP) portfolio represent products or markets with low market share but high growth potential. These are strategic investments that require careful evaluation to determine if they can become Stars or if they should be divested.

CCEP's approach to Question Marks involves significant investment in marketing and distribution to build brand awareness and capture market share. For example, new flavor innovations in developing markets, like limited-edition variants introduced in Southeast Asia in 2024, are often positioned as Question Marks.

Indonesia, despite its growth potential, is currently a Question Mark for CCEP due to geopolitical challenges and consumer pushback, as evidenced by a non-cash impairment charge in 2024. CCEP is actively working to convert this market into a Star performer through strategic realignments.

Emerging functional beverages, such as plant-based energy drinks, also fall into the Question Mark category. The global functional beverages market was valued at approximately $147 billion in 2023, highlighting the significant growth opportunity that CCEP aims to capitalize on with these new ventures.