BEIJING - COFCO Coca-Cola Beverages Ltd. (COFCO Coca-Cola) marked its 25th anniversary at a ceremony themed "25 Years of Youthful Vitality and Innovation" in Beijing. As a flagship Sino-foreign joint venture in China's beverage sector, the company's journey mirrors the industry's transformation towards high-quality development.
25 Years in Sync with China's Beverage Evolution
Founded in 2000 during China's transition from a planned to a market economy, COFCO Coca-Cola overcame early market challenges by leveraging Coca-Cola's global expertise and COFCO Group's local operational strength. Within a decade, it secured its position among Coca-Cola's Global Top 10 Bottling Partners – a status it maintains today.
Video: https://www.youtube.com/watch?v=a2zxAwdQwYs
Growth has been both quantitative and qualitative:
· Production Scale: Expanded from 2 factories to 20, and 5 production lines to 103.
· Financial Growth: Annual revenue surged from RMB 384 million (approx. $54 million USD in 2000) to RMB 214.92 billion (approx. $30.3 billion USD).
· Market Reach: Coverage grew from 5% to 81% of China's territory.This expansion, achieved through strategic mergers, new plant construction, and deep market penetration, created a nationwide production and distribution network.
Leading Innovation Amidst Consumer Upgrade
Responding to rising health consciousness and industry restructuring, COFCO Coca-Cola accelerated its portfolio shift. While traditional CSD market share declined, it pioneered low/no-sugar options, functional drinks, and natural water. Key milestones include:
· 2012: Annual sales exceeded 600 million unit cases, accompanied by multiple low/no-sugar launches.
· 2024: No-sugar product sales surged 38% year-on-year.This innovation leadership exemplifies the industry's shift from price competition to value creation.
Digital Transformation for High-Quality Growth
2024 saw breakthroughs in COFCO Coca-Cola's smart supply chain:
· "Coke GO" Intelligent Ordering System: Reached 2.1 million retail terminals.
· "Yue Xiang Hui" Membership Program: Surpassed 56 million members.
· Direct-to-Consumer (D2C) Sales: Jumped to 57% of total revenue.This end-to-end digitalization fueled a RMB 1.866 billion ($263 million USD) profit increase in 2024 and charts a future path of "Smart Manufacturing + Intelligent Distribution" for the sector.
Simultaneously, the company advances green transformation aligned with China's "Dual Carbon" goals. Its upcoming Shaanxi factory will set a new industry benchmark as a green, smart, and advanced facility.
Looking Ahead: Continuing the Legacy
Reflecting on 25 years of weathering storms and achieving growth, Mr. Li Guoqiang, Chairman of COFCO Group, commended COFCO Coca-Cola's role: "As a pioneering post-reform JV, you've been both practitioners of the market economy and catalysts for industrial upgrading."
Chairman Li emphasized the path forward:
· Innovation-Driven: Precisely meet diverse and personalized consumer demands with premium products.
· Strategic Alignment: Deeply integrate development with COFCO Group's strategy, contributing to its high-quality growth.
· New Development Paradigm: Build a "dual circulation" model, setting benchmarks for cultivating new productive forces in FMCG and exploring a distinctly Chinese modernization path.
Guided by COFCO Group's core tenets of "Mutual Trust, Win-Win, Innovation," COFCO Coca-Cola stands at a new starting point, poised to lead the next era of industry advancement.
Media Contact
Company Name: COFCO Coca-Cola Beverages Limited (CBL)
Contact Person: Liu Yang
Email: Send Email
Country: China
Website: https://www.cofco.com
