Nudge ‘New Coke’ and the marketing blunder of the century
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Aug 11, 2025 In this engaging discussion, consumer psychologist Philip Graves, author of *Consumerology*, delves into why Coca-Cola's New Coke failed. He suggests that the issue wasn’t poor market research but the inherent flaws within it. Graves explores how unconscious influences and emotional connections drive consumer behavior. He also highlights the complexities of branding, illustrating how biases can mislead consumer preferences. Tune in for a fresh perspective on one of marketing's biggest missteps!
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Pepsi Challenge Triggered New Coke
- Pepsi Challenge blind tests suggested more people preferred Pepsi over Coca-Cola.
- Coca-Cola panicked and reformulated its recipe based on those results.
Test Products In Real Contexts
- Avoid predicting consumption from single sips or de-branded taste tests.
- Try experiments with full packaging and natural drinking contexts instead.
Observe Behavior, Not Verbal Reports
- Do observe actual purchasing behaviour instead of relying on taste-question research.
- Do run simple field A-B tests and watch choices in context rather than asking people hypothetical questions.
