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	<title>Stephen Crooks Experience Economy Blog &#187; Long Tail</title>
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		<title>Coke-Cola&#8217;s Mass Customization Machine</title>
		<link>http://www.stephencrooks.com/blog/2009/11/17/coke-colas-mass-customization-machine/</link>
		<comments>http://www.stephencrooks.com/blog/2009/11/17/coke-colas-mass-customization-machine/#comments</comments>
		<pubDate>Tue, 17 Nov 2009 04:29:36 +0000</pubDate>
		<dc:creator>Stephen Crooks</dc:creator>
				<category><![CDATA[Customer Experience]]></category>
		<category><![CDATA[Retail]]></category>
		<category><![CDATA[Beverage]]></category>
		<category><![CDATA[Coke-Cola]]></category>
		<category><![CDATA[Long Tail]]></category>
		<category><![CDATA[Mass Customization]]></category>

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		<description><![CDATA[<p style="text-align: left;">Still in beta testing, Coke-Cola&#8217;s new fountain drink machine is sure to be an industry changer.  In someways it&#8217;s a solution to a problem that you didn&#8217;t know existed &#8211; that being when you visit a fast food joint you are severely limited by the standard selection of fountain drinks available.  Definitely not something [...]]]></description>
			<content:encoded><![CDATA[<p style="text-align: left;">Still in beta testing, Coke-Cola&#8217;s new fountain drink machine is sure to be an industry changer.  In someways it&#8217;s a solution to a problem that you didn&#8217;t know existed &#8211; that being when you visit a fast food joint you are severely limited by the standard selection of fountain drinks available.  Definitely not something I&#8217;ve ever complained about (as I&#8217;m stickler to my old standby &#8211; Classic Coke &#8211; so I can&#8217;t tell you any of the other choices are).  That being said, I can only image being a kid and having over a 120 flavours available to choose from.</p>
<p>The machine is unique and pioneering in many ways starting with it having only one nozzle and consumers make their drink selection by pressing on the video touch screen display, which they can pick the drink concoction of their choice.  Gone are the days of one tap, one flavour.  Now flavours will be mixed and matched from over 120 flavours.  Similar to print cartridges, flavours will come in hyper contrentrated packages that the machine will pick from.  Each cartridge is 1.35 L and will (I presume) inject the carbinated water stream with extreme precision, with the same carbonated water flushing the system of flavours after each use.</p>
<p>The cartridges will incorporate RFID tags, so loading the machines will be extremely easy to operate.  The technology will also ensure that every order is automatically recorded and sent back to Coke-Cola&#8217;s Atlanta head office.  These real-time consumer insights will greatly impact on their marketing decisions, in addition will help the company see emerging trends.</p>
<p>What&#8217;s really intriguing about this device is it really plays into the concept of the Long Tail.  The vast majority of drinks sold will always be their top sellers, but as a Coke representative pointed out in a flowchart of daily sales &#8211; there is no one flavour that ever goes unsold any day in their test markets.   But even if 80% of sales comes from only 10% of the machines product line-up, will still be a success.  Coke will be better positioned to people who would have skipped on making a purchase from the traditional fountain line-up &#8211; or better yet develop customized flavours that only can be produced by a Coke machine.</p>
<p>By having a machine that can generate unique, customer inspired flavours &#8211; locks those consumers in for life to Coke only machines.  With North American fountain drink sales in continuous decline for over a decade now, anything that can help revive and hopefully boost sales will surely be welcomed by shareholders.</p>
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