Failure Case Study: La Moradita de Inca Kola soft-drink ; The risks of relying on brand equity when tackling a national favorite
Description- La Moradita de Inca Kola soft-drink Carbonates consumption in Peru is forecast to only grow by 1% in the forthcoming years, affected by the ""junk food law,"" which promotes healthy eating for children and adolescents, and a poor economic forecast. This suggests the category needs new approaches and fresh ideas to revitalize the segment, where health and quality play an essential role.The segment is also quite static and is dominated by Inca Kola with its yellow soft drink products. New launches need to provide a sustained innovative idea, in the form of a defined selling proposition, with a clear target audience and very specific benefits. Key Findings This soft drink seemed to have everything necessary to be a success as it was marketed under the most iconic soft drink brand in Peru, considered part of the national identity, and featured chichi, a flavor inspired by local cuisine. However, it failed to gain traction and the produc