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Costco nixes Coke products over pricing dispute
Seattle Times ^ | 11/17/09 | EMILY FREDRIX and SARAH SKIDMORE

Posted on 11/19/2009 9:25:33 AM PST by TigerLikesRooster

Costco nixes Coke products over pricing dispute

Costco customers may have to look elsewhere for Coca-Cola products now that the retailer has stopped carrying them because the pair are fighting over prices.

By EMILY FREDRIX and SARAH SKIDMORE, AP Food Industry Writers

ATLANTA — Costco customers may have to look elsewhere for Coca-Cola products now that the retailer has stopped carrying them because the pair are fighting over prices.

The public squabble between one of the nation's largest wholesale club operators and the world's largest soft drink maker is likely to fizzle quickly. But it reveals real tensions as retailers and product makers square off on prices.

As shoppers continue to grapple with the recession, retailers want to win their favor by giving them low prices. But that has been creating tension between product makers like Coca-Cola Co., who are working hard to maintain profit margins while meeting retailer demands.

Typically such negotiations take place behind the scenes, but once in awhile, a public dispute erupts.

(Excerpt) Read more at seattletimes.nwsource.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: coke; costco; recession
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1 posted on 11/19/2009 9:25:35 AM PST by TigerLikesRooster
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To: TigerLikesRooster; PAR35; AndyJackson; Thane_Banquo; nicksaunt; MadLibDisease; happygrl; ...

Ping!


2 posted on 11/19/2009 9:26:29 AM PST by TigerLikesRooster (LUV DIC -- L,U,V-shaped recession, Depression, Inflation, Collapse)
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To: TigerLikesRooster

Dang. Wonder if this includes the Mexican-bottled Cokes with sugar sweetening (rather than HFCS). That’s the only stuff I let into my house. Tastes really good, too— like Cokes used to before they went super-ultra-sweet.


3 posted on 11/19/2009 9:28:50 AM PST by RightOnTheLeftCoast (Obama: running for re-election in '12 or running for Mahdi now? [http://en.wikipedia.org/wiki/Mahdi])
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I never understood why Costo was always more expensive than the almost always on sale price of soda at the local supermarket.


4 posted on 11/19/2009 9:40:53 AM PST by Reaganez
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To: TigerLikesRooster

Prolly just as well. The government wants to tax you out of the wazzoooo for buying soda drinks anyway.


5 posted on 11/19/2009 9:45:25 AM PST by Dewey Revoltnow
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To: TigerLikesRooster
I agree with Costco...Coca Cola has gone crazy with pricing.

I have always been a coca-cola addict...I'm 64 and still drink at least two a day. However a few years ago Coke started going crazy with pricing...I swore when they went over 3 dollars for a 12-pack I'd stop buying them. Well, I would catch special sales now and then, but I kept buying them until they got to $4 for a 12-pack.

Then I would notice at Kroger that Pepsi and Coke would "alternate" having specials on their colas, so I would buy whichever one was on sale that particular week.

Nowadays both of them are seldom under my $4 maximum...so several months ago I decided to try the store brand "Big-K" colas...well, I think they taste great, and at around $2 for a 12-pack, very affordable...so that is all I buy now.

Big-K also has "Dr. K", Lemon-lime, Ginger Ale, Root Beer, Orange, Grape, etc. And they are all good.

I tried the Publix store brand too, they're OK but are a little "weaker" tasting, sort of like a drugstore fountain coke.

Anyway, this life-long Coca Cola fan only drinks them now when I go fast-food or something, because of availability.

I haven't tried the "Sams" or Walmart brand yet, but it's probably pretty good too.

As we used to say, Coca Cola is "getting too big for their britches"...but where there's a Kroger, theres a way (No, I don't work for, or have any stock in Kroger).
6 posted on 11/19/2009 9:52:54 AM PST by FrankR (AMERICA: You'll end up where you're going, if you don't change your direction.)
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To: Reaganez

“I never understood why Costo was always more expensive than the almost always on sale price of soda at the local supermarket.”

Yep. Agreed. You must be a shopper ;)

2.5 Liters of Shasta for $.99 at Stater Bros markets.

Fizzy sugar water is fizzy sugar water. I’ll never understand paying $1.39 for 2.0 Liters just because the bottle says Coca Cola on it.


7 posted on 11/19/2009 9:54:40 AM PST by rockinqsranch (Dems, Libs, Socialists...Call 'em What you Will, They ALL have Fairies Living In Their Trees.)
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To: TigerLikesRooster

In related news — this Coke drinker nixes Costco in brand-loyalty dispute. WalMart, Sams, Target, Costco ... they’re all the same. Coke is non-negotiable.

SnakeDoc


8 posted on 11/19/2009 9:56:15 AM PST by SnakeDoctor ("Talk low, talk slow, and don't say too much." -- John Wayne)
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To: Reaganez
I never understood why Costo was always more expensive than the almost always on sale price of soda at the local supermarket.

I have wondered the same thing, though I expect it comes down to grocery stores' willingness to sell below cost to get people in the door (loss-leaders), while Costco probably does not use that strategy. I have noticed that Costco's price for Coke products (at least for the 32-packs of 12oz. cans) is typically equal to or slightly higher than what I might find at the Publix down the street.

I buy it anyway because I'm already there and the price difference does not justify an additional trip to the grocery store just for that. However, if I'm at Publix for other stuff and drinks are on sale, I'll definitely stock-up :-)

9 posted on 11/19/2009 9:56:41 AM PST by GizmosAndGadgets (If at first you don't succeed...)
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To: rockinqsranch

>> Fizzy sugar water is fizzy sugar water. I’ll never understand paying $1.39 for 2.0 Liters just because the bottle says Coca Cola on it.

I am something of a carbonated beverage connoisseur (along with steak and chicken wings). There is a difference in the name brand and the cheap stuff. But, I put away about a 24-pack a week ... people who don’t drink quite as much as me may not be able to tell. If you can’t tell the difference ... definitely go with the cheap stuff.

SnakeDoc


10 posted on 11/19/2009 9:59:58 AM PST by SnakeDoctor ("Talk low, talk slow, and don't say too much." -- John Wayne)
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To: FrankR
I haven't tried the "Sams" or Walmart brand yet, but it's probably pretty good too.

Tastes similar to RC Cola, if you like that.

11 posted on 11/19/2009 10:00:37 AM PST by Publius Valerius
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To: TigerLikesRooster
...product makers like Coca-Cola Co., who are working hard to maintain profit margins while meeting retailer demands.

Coca Cola had less cans per multi-pak at Costco than Pepsi multi-paks. Which one to purchase at Costo was a no-brainer (and it was never Coke that went into my family's cart).

When soda pop costs almost as much as alcoholic beverages, it's time to switch to tea, lemonade or other drinks. Local grocery stores ask between $3.99 to $4.99 a 12 pack for colas. With the economy in the toilet, such products can price themselves anywhere they want, but it doesn't mean we'll be buying them. In this economy, most of us will leave the coke behind and fill up the gas tank or buying food to sustain our families instead.

12 posted on 11/19/2009 10:07:29 AM PST by MamaDearest
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To: SnakeDoctor

>> Fizzy sugar water is fizzy sugar water. I’ll never understand paying $1.39 for 2.0 Liters just because the bottle says Coca Cola on it.

I am something of a carbonated beverage connoisseur (along with steak and chicken wings). There is a difference in the name brand and the cheap stuff. But, I put away about a 24-pack a week ... people who don’t drink quite as much as me may not be able to tell. If you can’t tell the difference ... definitely go with the cheap stuff.

SnakeDoc


I have to agree Coke/Pepsi is definetly better than Shasta or whatever generic 99 cent store brand soda.

But I always buy Coke product or Mountain Dew becuase Pepsi is just too sweet.

On another note, I go to Costco twice a month but to the supermarket once a week so I always get my soda there. Either Albertsons or Ralphs.


13 posted on 11/19/2009 10:22:22 AM PST by Reaganez
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To: MamaDearest

At least in my neck of the the woods there is almost always a 4 12 pack for $10-$12 deal every 3-6 weeks.

That is when I stock up and get two deals.


14 posted on 11/19/2009 10:25:19 AM PST by Reaganez
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To: SnakeDoctor

SnakeDoc, I’m a cheap beeztard, and I learned a long time ago that one can get used to almost anything, and survive. So say I why not TRY lesser products, and just get used to them. If one can’t get used to them, then try something else.

Most often that theory works out, and I find something I like in the lesser category that is cheap like me, and I save money. ;)

What happens is one adapts, and the alleged primo stuff becomes less desireable to the point it doesn’t matter at all anymore.

Sound familiar? LOL (Politically I mean.)


15 posted on 11/19/2009 10:38:39 AM PST by rockinqsranch (Dems, Libs, Socialists...Call 'em What you Will, They ALL have Fairies Living In Their Trees.)
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To: TigerLikesRooster

Coca Cola I understand has one “H” of a Union Monster with a voracious appetite to feed. I wouldn’t be surprised it’s not in the cards for them to reduce their prices much in todays economy when many folks will bypass that 12 oz. can of fizzy sugar water to save a few nickels.

I’ll bet too that down the road that extremely hungry Union monster at Coca Cola turns on them, and puts them in a similar position as a couple of car companies I’ve read about.


16 posted on 11/19/2009 10:49:08 AM PST by rockinqsranch (Dems, Libs, Socialists...Call 'em What you Will, They ALL have Fairies Living In Their Trees.)
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To: Reaganez

Five 12 packs of Pepsi this week at Kroger for $11.


17 posted on 11/19/2009 10:55:04 AM PST by SeaHawkFan
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To: rockinqsranch

>> So say I why not TRY lesser products, and just get used to them. If one can’t get used to them, then try something else.

Oh, we do use generics and lower-costs brands on most things.

We have our non-negotiables — Coke (I’ve tried the store brand ... didn’t cut it); cheese (Kraft Deli Deluxe — expensive, but angels sing every time you bite into a sandwich); Toilet paper (goes without explanation); usually luncheon meat (Hillshire farm thin sliced ... good stuff); steaks (the thicker the better, makes for a beautiful medium rare).

The rest ... generic is just as good.

SnakeDoc


18 posted on 11/19/2009 11:07:51 AM PST by SnakeDoctor ("Talk low, talk slow, and don't say too much." -- John Wayne)
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To: SnakeDoctor
Coke is non-negotiable.

+1, Costco needs to back off. They are DISTRIBUTORS, nothing more.

19 posted on 11/19/2009 11:12:43 AM PST by xsrdx (Diligentia, Vis, Celeritas)
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To: rockinqsranch

Fizzy sugar water is fizzy sugar water. I’ll never understand paying $1.39 for 2.0 Liters just because the bottle says Coca Cola on it.
<<<<<

You mean “fizzy high fructose corn syrup water”. Costco (and numerous smaller markets) sell the only really good Coca Cola version that is bottled in Mexico with cane sugar. It’s just good. I’m not really


20 posted on 11/19/2009 11:13:10 AM PST by Mjaye
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