Coke and Pepsi Struggle as Local Sodas Gain Popularity

Boycotts Hit U.S. Brands Over Gaza Conflict

Coca-Cola and PepsiCo, long established in countries like Egypt and Pakistan, are facing strong pushback due to boycotts. These are driven by consumers’ opposition to U.S. support for Israel in the ongoing Gaza conflict.

Local Sodas Outshine Global Brands

Coca-Cola’s sales have dropped sharply in Egypt, while the local brand V7 has seen its exports soar. In Bangladesh, Coca-Cola had to pull a controversial ad, and PepsiCo’s growth in the Middle East has stalled.

Consumer Choices Reflect Bigger Trends

Pakistani executive Sunbal Hassan chose to serve Cola Next, a local brand, at her wedding, showing a shift towards regional sodas. This trend has helped local brands like Cola Next and Pakola increase their market share.

Past Pressures and Future Prospects

Coca-Cola and PepsiCo have faced boycotts before and are currently seeing a dip in market share. Despite these setbacks, both companies are still investing in these markets and maintaining local ties through sponsorships and community support.

Impact on Brand Loyalty

Experts warn that these boycotts could damage long-term brand loyalty. Despite the challenges, Coca-Cola and PepsiCo are committed to these regions, continuing to invest and engage with local communities.