Why is Diet Coke more expensive than regular Coca-Cola and other soft drinks in Indonesia?

8/4/2014 7:07:54 PM

There’s no hard evidence in this thread on ThaiVisa.com, but it’s clear something happened in 2008 (during which time Coke Light was nearly unavailable) that led to this differential. Speculation includes an attempt to drive purchases of Coke Zero, a production shortage, or simply a desire to raise prices.

8/4/2014 4:34:43 PM

Many soft drinks come in both glass bottles and in cans. The bottled version is less expensive, because the bottles are returnable. The cans not returnable, so you pay more since the container is not reusable.

When you get into specialty versions, such as Coke Light, Coke Zero, etc, they tend to only come in cans, so they can be labeled as such. The bottles only carry the Coke or Coca-Cola logo and since the drinks are all brown color, there would be no visual clues as which was which on the shelves if they were all in bottles.

8/4/2014 11:24:27 AM

Because people are willing to pay more, price is set at the highest level that does not depress demand too much.

It may be that locals will drink the cheaper coke, but travellers are willing to pay more for the Diet, so allowing the market to be segmented.

8/4/2014 9:28:09 AM

Two possibilities spring to mind.

Coca Cola is produced by local partners,

http://www.coca-colacompany.com/our-company/bottler-web-sites

it is possible that the local partner in Indonesia does not have the space on its production line to make diet coke, which means that it would have to be imported, hence the higher price.

The second thought that I had was to do with size. The screen shot you attached does not show the portion size, if diet coke is only available for example in 500ml, but the others are served as 330ml then that might explain the price difference.

Hope this helps

Credit:stackoverflow.com

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