SBD/14/Sponsorships Advertising Marketing

BEVERAGE NEWS: COKE'S '95 CAMPAIGN; BUD'S ICE AGE

     Coca-Cola unveiled its 13 new commericials for its flagship
brand, Coke Classic, which continue the succesful "Always"
campaign for the 3rd year.  The slogan has been changed slightly
to "Always and only Coca-Cola."  In Atlanta, Chris Roush writes
that five of the ads "place heavy emphasis on battling private-
label sodas" (ATLANTA CONSTITUTION, 2/14).  "Qualities like
taste, the contoured Coke bottle and the red disk logo are even
more prominently stressed than in the last two years" (Stuart
Elliott, N.Y. TIMES, 2/14).  Ten other ads, from Creative Artists
Agency, will be released next month (WALL STREET JOURNAL, 2/14).
     MARKET SHARE REPORT:  Beverage Digest, an industry
newsletter, reports that Diet colas lost ground last year, while
Coke Classic, Pepsi, Dr. Pepper, Mountain Dew and Sprite all
gained.  In the soft drink market, top-ranked Coke rose from
20.1% in '93 to 20.4%, while No. 2 Pepsi rose from 17.7% to
17.8%.  Among sports drinks, No. 1 Gatorade (78.2%) lost ground
to Coca-Cola's Powerade (10.1%) and PepsiCo's All Sport (5.4%).
Gatorade held 85.6% of the market in '93 (Herry Berkowitz, N.Y.
NEWSDAY, 2/14).
     PEPSI TO SPIN OFF RESTAUARANTS?  USA TODAY reports some
analysts are predicting a spinoff of PepsiCo's restaurant
division -- Taco Bell, KFC and Pizza Hut (USA TODAY, 2/14).
     A-B TO ICE RELATIONSHIP WITH LABATT:  Following Labatt
Breweries' legal loss to Anheuser-Busch over the terms "ice beer"
and the ice brewing process, there is speculation that Labatt's
agreement with A-B to brew Budweiser in Canada could be in
jeopardy.  While Labatt spokesperson Sharon Paul said the two
issues have no relation, A-B officials could not be reached for
comment.  The deal brings Labatt C$45M in annual profits (Marina
Strauss, Toronto GLOBE & MAIL, 2/14).  In St. Louis, Robert Manor
reviews the testimony by August Busch IV in the Labatt trial and
the view the trial provided behind the scenes in the beer wars.
A-B announced that it will replace Ice Draft with two new beers
Bud Ice and Bud Ice Light (ST. LOUIS POST-DISPATCH, 2/13).
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