Why Coca-Cola Is Cutting Ad Spending
More stay-at-home time does not translate into more soda consumption. In fact, Coca-Cola's (NYSE: KO) latest earnings report showed a sharp drop in sales volumes as COVID-19 spread in late March and April.
Higher spending online and at supermarket chains has failed to offset plunging sales across its on-the-go categories, which include restaurants, sporting events, concerts, and convenience stores. In a conference call with investors, Coke executives detailed their response to this historic shift in consumer demand while explaining why they're cautiously optimistic that the fiscal second quarter will mark the worst of the pandemic's impact on its business.
Let's look at some highlights.
Source Fool.com
