Coca-Cola, the second largest drinks company in the world, is struggling to get a foothold with Gen Z consumers, experts have told Newsweek, after it announced it would be ending one of its new offerings—Coca-Cola Spiced—after less than a year on the shelves.
Launched at a New York media event and with an ad campaign in February, the company described Spiced—an attempt to attract younger consumers—as having a “classic taste of Coca-Cola with refreshing bursts of raspberry and a curated blend of warm spiced flavors.” Spiced, and its zero-sugar counterpart, were the first new permanent drinks by the company to be launched in the U.S. in three years.
With the discontinuation announced in September, a spokesperson for the company told CNN that Coca-Cola is “always looking at what our customers like and adjusting” its flavors. “As part of this strategy, we’re planning to phase out Coca-Cola Spiced to introduce an exciting new flavor in 2025,” they said.
While the drinks company has plenty of successful variety spinoffs—think Vanilla and Cherry, both of which have remained a permanent offering since being released in 2002 and 1985 respectively—Coca-Cola Spiced just didn’t hit the mark, and experts believe it is down to a lack of connection with Gen Z audiences.
“Coca-Cola’s attempt to engage Gen Z with the Spiced flavor ultimately failed because it didn’t align with this generation’s expectations for authenticity and innovation,” Ryan Waite, adjunct marketing professor at Brigham Young University-Hawaii, explained to Newsweek.
Lack of Healthy Connection
In a world where information is at your fingertips, Gen Z has grown up with the ability to thoroughly research what they consume. Coupled with a wide variety of soda brands competing for their attention, it’s hardly surprising that Gen Zers know they can be picky with what they want, especially when it comes to making healthier choices.
In a survey conducted between April and September 2024 among 18- to 34-year-olds, brand tracking startup Tracksuit found that its respondents associated terms like “unhealthy,” “sugary,” and “diet” with Coca-Cola, suggesting it is seen as the less healthy option, especially when compared to the results for competitor Poppi, which offers sparkling prebiotic sodas marketed on having certain health benefits.
Terms associated with Poppi included “probiotics,” “health,” “organic,” “health conscious,” “nutritious,” “beneficial,” and “healthier,” demonstrating a strong association with health benefits and healthier lifestyles.
“Brands like Olipop and Poppi have successfully carved out niche markets by positioning themselves as healthier alternatives, which appeals to the growing wellness trend among younger demographics,” Tracksuit’s CEO and co-founder Matt Herbert explained to Newsweek.
“Tracksuit’s data shows that across the U.S. population, Coca-Cola is perceived as a classic, beloved, and reliable brand, while Poppi is seen as a modern, health-conscious, and innovative brand.
“Because of this, targeting younger demographics with new flavors may not have resonated with them due to a lack of genuine connection to the brand’s core identity.”
Authenticity
When thinking of spicy drinks, some of the first ideas that may come to mind would be a ginger beer, or a suitably hot Bloody Mary. But Coca-Cola Spiced was a far cry from either of these—it was raspberry flavored, or “raspberry spiced” as it reads on the cans.
“Coke has a long history of releasing limited-edition and new varieties, but in the past they were all named accurately to reflect the flavor,” Elizabeth Weir, chief marketing officer at LevLane Advertising, told Newsweek. “What is clear from a spin around Reddit and other forums talking about Coke Spiced is that this flavor didn’t taste like spice at all, but rather raspberry.
“Consumers don’t like to feel like they were misled, even in something as simple as a soft drink. And while the forums show mixed reviews on the flavor, it’s clear that everyone agrees that this was a misnomer from the start, creating confusion among the end consumer.”
Marketing Woes
Another area where experts think Coca-Cola is floundering in is its approach to marketing new drinks, especially when compared to newer, non-legacy brands that are already popular among the younger generations.
“Brands like Olipop and Poppi are built with a modern consumer in mind, placing significant emphasis on health-conscious ingredients, sustainability, and authentic storytelling,” Jamie Ray, founder and CEO of influencer marketing agency Buttermilk, told Newsweek.
“Their direct-to-consumer models and social media-first approaches allow them to be more agile, innovative, and closely aligned with Gen Z values.”
A lack of immersion in Gen Z culture also caused Spiced to fall flat, Wil Shelton, CEO of Wil Power Integrated Marketing, said. To pivot to capturing its desired younger audience, “Coca-Cola needs to immerse itself in Gen Z culture,” he told Newsweek, which can easily be done by “collaborating with influencers, musicians, and digital creators who hold cultural capital among this generation.”
Newsweek has contacted Coca-Cola for comment via email.