Philippine blues sees Coke downsize bottle

Against its regular 237ml bottle, priced at eight pesos (about 15 US cents), the 200ml version costs five pesos, which the beverage giant believes puts the brand within reach of lower-income groups, who are feeling the pinch of a weakening peso, rising inflation and spiralling oil prices.

"Consumer research shows that five pesos is a key price point, particularly for the lower income groups," said Sharon Garcia, Coca-Cola brand manager.

These groups account for 80 per cent of the total population. The new bottle pricing will bring Coke closer to that of local cola brands RC Cola and Pop Cola, which retail their 237ml bottles at five and seven pesos respectively.

The brand has backed the new bottle's launch with a price-focused TV campaign and plans to strictly enforce the five peso price at sari-sari (neighbourhood) stores, according to Mitch Villegas So, business unit director of Coca-Cola's creative agency, McCann Erickson.

In the spot, a hand is shown arranging five one-peso coins to create a bottle outline on a table top, with the Coke label appearing in the empty space within the bottle's shape. The same visual appears in posters and other point of sale materials.

The brand, which also markets a 200ml bottle as an entry offer in Indonesia and India, will retail Coke Sakto as a long-term offer.