I guess coke gives there products for free to make sure no other products are sold in the park. That means Disneyland makes pure profit off of all coke sales. How do you feel about paying $5 per coke now?
Blonde Episodes: Disneyland Secrets
I guess coke gives there products for free to make sure no other products are sold in the park. That means Disneyland makes pure profit off of all coke sales. How do you feel about paying $5 per coke now?
Blonde Episodes: Disneyland Secrets
yes, i did know.
Large coke at most counter service places is $3.49. I don't know how much it is at the restaurants... but at those I get free refills. It's a business.
This pisses me off! Not because the product is free but because it's Coke. I hate Coke. I'm a Pepsi guy.
That's an interesting bit of information. So is there no Pepsi at all anywhere at DLR? I find that at many malls I have to hunt far and wide to find a Pepsi. Coke seems to dominate everywhere.
I had thought this was pretty well known...
"I do not like to repeat successes. I like to go on to other things." - Walt Disney
Its simply not true. Coke syrup is extremely cheap. On average a 21oz Coke costs around 5-8 cents to produce (most of that cost being the cup) but there is no way that all of the Coke at the resort is given to them for free.
There is also no such thing as pure profit. Disney has to at least pay for the cups, the wages of the Cast Members who sell the items, the maintenance and operation of the dispensing machines (surprisingly costly), ice production, etc... Sure, each of these costs will dilute fairly quickly over the number of drinks sold but it does all factor into the cost.
Very cheap? Absolutely... But there is no reason to believe that it is free.
Does anyone have more information on this? This site explains it this way, but I can't find a more reputable source (even with Bing!):
Disneyland uses its own cups these days, so that part of the explanation doesn't fit. I guess the product is just a marketing expense for Coca-Cola.Behind the Legend: This is true, but highly misleading. For years, Coke has had an advantage over rival Pepsi because it provides its products free of charge to all of its customers. The company makes up the loss by requiring that beverages only be sold in official cups or containers -- and charging an enormous amount for those containers. The container charge is based on a sliding scale depending on the customer. Individual consumers, purchasing beverages at a grocery or convenience store, pay only a few cents for the can or bottle in which their beverage comes. At the other end of the scale, movie theaters and theme parks like Disneyland pay as much as $2.00 for a single drink cup, making the exorbitant prices charged for drinks at those locations completely understandable.
Ice, I believe, is the most expensive element in a typical soda.
I do not begrudge Disney a few "extra" pennies of profit on my soda.
"She's taking everything. She's taking the house, she's taking the kid, she's taking the dog. IT'S NOT EVEN HER DOG. IT'S MY DOG! SHE'S TAKING . . . MY DOG!"
- Ron Livingston, "Band of Brothers"
For a small business with a fountain I once calculated our total cost for a 20 oz soda to be around 35 cents after syrup, cup and water. The huge margin between cost and sale price are often used to subsidize the costs of food which are sold at a much smaller margin. This money then contributes to staff, maintenance, etc. and then profit.
The Coca-Cola Company never gave away syrup. That is just an urban legend. The whole reason Coca-Cola uses corn syrup instead of cane sugar in the United States and Canada is directly related to the deal made with the original bottlers in regards to syrup and sugar over 100 years ago.
When a reputable source comes along that proves otherwise, I may believe this, but the site linked to in the original post is only serving to perpetuate an urban legend.
Last edited by calsig31; 10-14-2012 at 05:58 PM.
"You can cut me off from the civilized world. You can incarcerate me with two moronic cellmates. You can torture me with your thrice daily swill, but you cannot break the spirit of a Winchester. My voice shall be heard from this wilderness and I shall be delivered from this fetid and festering sewer."
Coke is kind of famous for giving away their product at or below cost in order to increase product familiarity and increase market share.
A couple years ago Pepsi's contract with Subway ran out, and they opened it up to bids, which Coke won. Subway's comment on the change was that they "were given an offer that they couldn't refuse". Pepsi's only comment on losing the contract was that they always had to price their product in a way that they would make at least some profit on them.
Someone is a Redditor.
I'd heard this a long, long time ago and I'd assumed it to be true. I'm very skeptical of this, but I wouldn't doubt that Coke provides an extremely subsidized price to the Disney Parks just to have exclusive rights to selling beverages there. It's great advertising and it is a great selling point for Coke if they ever had to pitch their drink.
Besides, Coke is better. ;D
Disney doubtlessly gets a substantial discount on the Coke products sold in the park, and in return only Coke products are sold, and there are usually negotiations regarding how the Coke imagery is used in the parks, and on the cups and such. A lot of the Coke sold is in those hideous plastic bottles . . . which don't have a Disney logo on them.
Interestingly, Doritos were invented at Disneyland, and this snack food is now owned by Pepsi.
---------- Post added 10-15-2012 at 02:21 AM ----------
Whether it is through free syrup, or a yearly check, you don't get a special place in Disneyland with your name on it for free (unless you're a Disney legend), i.e. Coke Corner.
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