Coca-Cola Stock Surges After Diet Coke Reboot

literal thirst trap #SoManyFlavors #DietCoke

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At the beginning of the year, the soda giant Coca-Cola rolled out four new Diet Coke flavors-Diet Coke Ginger Lime, Diet Coke Feisty Cherry, Diet Coke Zesty Blood Orange, and Diet Coke Twisted Mango. 

The company also revamped the cans with a new fresh and trendy design and tested over 30 new Diet Coke flavor recipes to find flavors that would appeal specifically to millennials. 

“We cast a very broad flavor net after looking at what Millennials are eating and drinking and what food and beverage trends and insights told us,” said Melissa Schwartz, Diet Coke Senior Brand Manager. “We tried everything from spicy notes to exotic superfruits from around the world. We even hosted a mixology session in Atlanta where we invited fans to ideate, create and taste Diet Coke flavors we were considering.”

Evidently, this has payed off. 

Today, the brand announced its quarterly results and its overall revenue beat expectations by $300 million.

"The company said the launch of its popular low-calorie Diet Coke in sleeker tins and flavors including ginger-lime and feisty cherry drove Diet Coke volumes up 3 percent, marking a return to growth for the brand in North America," writes "Reuters." "Overall, volumes rose 3 percent, with growth in both sodas and teas and coffees driving much of the gains. Organic sales, that exclude gains from acquisitions or divestitures, rose 5 percent in the first quarter."

James Quincey, chief executive of Coca-Cola is confident that the growth will continue at this pace for the rest of the fiscal year. 

“We’re encouraged with our first quarter performance...We have the right strategies in place and remain confident in our ability to achieve our full year guidance,” said Quincey.

Soda companies have been forced to up the ante as organizations are lobbying for sugar taxes in several areas across the country. Not to mention, the craft beverage industry is booming. 

With that in mind, Coca-Cola revamped its Coca-Cola Zero Sugar brand last year and has committed to cutting sugar by 20% in its portfolio of products by 2025. 

But Coca-Cola isn't completely abandoning its sugar products. This year, the soda giant is also focusing on building its specialty cane sugar soda portfolio. The brand sees potential in this market as well after the company saw an 8% growth in the specialty soda category back in 2016.

Read more about Coca-Cola's sales at "Reuters."