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Coca-Cola's Belgian Crisis - The Public Relations Fiasco
Background Note
Dr. John Pemberton (Pemberton), an Atlanta-based pharmacist, developed the original formula of Coca-Cola in 1886. It was based on a combination of oils, extracts from coca leaves (cola nut) and various additives. The ingredients were refined to create a refreshing carbonated soda.Pemberton's bookkeeper, Frank Robinson (Robinson), suggested that the product be named 'Coca-Cola'. He also developed a way of lettering Coca-Cola in a distinctively flowing script. On May 8, 1886, Coca-Cola went on sale for the first time in the Joe Jacobs Drug Store. The first Coca-Cola advertisement appeared in The Atlanta Journal on May 29, the same year. Pemberton, with modest help from several investors, spent $73.96 on advertising, but was able to sell only 50 gallons of syrup at $1 per gallon.The product slowly gained acceptance after the makers gave out a large number of free samples. In 1888, after Pemberton's death, Asa Candler, Pemberton's friend and a wholesaler druggist, purchased a controlling stake in the company. |
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Coca-Cola sales soared even without much advertising and as many as 61,000 servings (8 ounces each) were sold during 1889. Sensing the potential of the business, Candler decided to wind up his drug business and be associated with Coca-Cola full time. As business expanded, Candler also increased the advertising outlay. By 1891, Candler had complete control of Coca-Cola for $2,300.......
