This Group Director, Interactive Marketing shares how the Coke Music Website has become a top five teen destination.

Founded in 1886, the Coca-Cola Company has grown exponentially since then and is currently made up of more than 300 brands, serving customers in over 200 countries. As Group Director, Interactive Marketing, Carol Kruse plays a significant role in the company’s presence online. Working with the Coca-Cola and Minute Maid brands, Kruse develops and executes these brands’ Internet strategies and plans. The Interactive Marketing Group provides technology, promotion services, Website development and program management, relying on the online marketing and technology expertise of this team. Kruse’s group also evaluates potential online marketing partners and third-party technology providers. Kruse recently spoke with iMedia about the ways Coca-Cola is using the Internet to extend its promotions.

iMedia Connection: Has Coca-Cola executed any online campaigns recently? If so, what did it involve and what made it successful?

Kruse: One of the most recent promotions we did was around NASCAR and the Coca-Cola Racing Family. There was a promotion on the 12 and 24 packs of Coca-Cola. Consumers had a chance to win a ride with a Coca-Cola Racing Family driver or a unique NASCAR Coca-Cola Racing Family hat. The NASCAR fans highly desire these hats.

Consumers could redeem their on-pack codes to get their hats by mailing them in or by going online. Ninety-nine percent of these consumers went online for their redemption. These results were important in changing perceptions because when people look at a NASCAR fan, they tend to think that this person is a blue-collar male who doesn’t spend as much time online. Certainly, this response has shown that online redemption really does tap into the convenience for all consumers. It’s much easier to go online and enter a code and get your prize versus mailing in your code from your multi-pack. So I thought that was important learning, confirming online as a preferred method to fulfill prizes.

We had a summer promotion for Coke, Vanilla Coke and Sprite on 20-ounce packages that skewed toward the teen and young adult instant consumption. Consumers could sign up for a “My Thirst” account and enter their codes and earn points toward winning music and entertainment prizes. What we did was put together a universal login for the Coke Music Website, VanillaCoke.com, Sprite.com, the Minute Maid Best of Summer Website and the Diet Coke Website. You have one login that you can use at all those Websites. That has made it easier for consumers to participate in the various Coke Websites and also raise their awareness of the other Coke properties. That promotion has been very successful as far as people signing up and entering codes.

One thing I might add is the Coke Music Website is currently the number three Website for teens after MTV.com and MP3.com.

iMedia Connection: What makes this Website so popular among teens?

Kruse: It’s a combination of factors. Right now there’s the promotion I just mentioned that’s very appealing to consumers. There also is a part of the Website called, “Coke Studios” where consumers create their virtual egos. We call them, “V-EGO,” and it’s your little person that you can walk around to chat with people in other music studios. You can create music mixes and share them with other people. You can vote on peoples’ music mixes. You can create your own studio or you can go to one of the already established studios. Using points that you earn, “Decibels,” by either entering bottle cap codes or doing certain activities on the site, you can also outfit your studio. There are also music downloads, new artists are featured, and there are games on the Website, overall creating a destination site where consumers are spending an average of more than 30 minutes on the site.

That has been a really great experience for Coke consumers. They’re having fun, they’re learning about music, they’re building a sense of community, and from our standpoint, and it’s all in a very safe and friendly Coke environment.

iMedia Connection: Have you learned any lessons from these online campaigns?

Kruse: The Coke Music Website, which is ever growing, really shows that you can build a compelling online community even on a branded Website. Typically, teens view these consumer packaged goods Websites as marketing vehicles. However, the traffic numbers and the amount of time that kids spend on the Coke Music site is so large that it certainly speaks to the fact that we have a brand that is relevant to this consumer and that they’re fine interacting in that branded environment.

[We have also learned that] these promotions where you go online and enter codes certainly have a broad appeal. Sprite and Coke are really targeting the teen and young adults where the NASCAR one is targeting a little bit older male consumer, and then the Minute Maid Best of Summer promotion is yet another target audience that is more likely to be the home category manager – probably mom with small children and families who are drinking Minute Maid beverages. That Website as well has had very high participation of people signing up and entering codes and viewing the activities that are on the Best of Summer Website.

iMedia Connection: It sounds as though The Coca-Cola Company has embraced the Internet as a way to reach consumers. Would you agree?

Kruse: It’s been an education process. When sprite.com launched three years ago, that was one of the first times that Coke really embraced the Internet in a big way. I think in the past three years, it has really been a good learning process to understand the value of what to do online and what works and what doesn’t work and that it is a very important way to reach consumers. As consumers spend more and more time online, therefore taking some time away from traditional media, it’s an important way to reach folks. And in a very interactive way, versus passively viewing a television commercial, consumers can interact with the brand online.

iMedia Connection: What does your company have planned for the future in order to approach the interactive space in different and unique ways?

Kruse: The majority of Coca-Cola brands are using the Internet as part of their marketing mix. And they’re doing it in several ways. They’re doing it with interactive branded sites, not just putting brochure ware or product information on the site but creating an entreating and interactive site. They are also working with partners to develop interesting, compelling content.

For example, for the NCAA March Madness in the winter, Coke developed two very interactive sites: CokeMadness.com and SpriteMadness.com and really brought the NCAA and March Madness to life for Coke and Sprite consumers. Further leveraging sports properties, Coke launched “Football Town.com” in late August which is all about Coca-Cola and football, building a community and helping consumers become a part of the whole football experience. Football is more than just watching the game. It’s the whole community, tailgating, having fun and spending time with friends and family, so Coke is bringing that experience online as well. We’re using the Internet to connect consumers with our sports and entertainment partners and with Coca-Cola brands.

This is delivering truly integrated marketing. A lot of times, companies have their online plans and their offline plans, and they haven’t really integrated and done a 360-degree circle.

iMedia Connection: Have your goals in the online world changed from last year to this year? If so, how?

Kruse: I don’t think we’ve changed our online objective. We’ve perhaps broadened our objectives and our understanding of how online marketing can contribute to meeting the overall brand objectives. We try to not have separate online objectives. We’re using online as part of the marketing mix to meet the brand’s overall objectives.

iMedia Connection: How do you perceive rich media? Have you used it in campaigns? Do you think that the benefits make up for the cost?

Kruse: Yes, we have. Coke has not done a lot of online advertising overall. It’s an area that we are continuously testing and analyzing, and we have had some pretty strong results. It’s a learning process, and I’d say right now, we’re a little behind where we are on overall brand Websites and promotions. I know that some of our preliminary results have shown some pretty strong numbers behind rich media and the impact that it can have. Overall, we’re testing and learning before we would jump in to that in a big way. We really look to our agency, Universal McCann, to provide some guidance for us in that area and their expertise and advice.

iMedia Connection: How do you evaluate different sites for media placement?

Kruse: We rely completely on our agency.

iMedia Connection: Is there any knowledge you can impart to traditional advertisers that may be hesitant to enter into the online space?

Kruse: I would say that obviously consumers are online and spending time online, and it would be important to test this media the same as you would test any compelling new media to see what works for your brand. I think it’s important to get creative. I don’t think a straight banner ad is going to be successful for most companies, but if you look at rich media and integrated placements and you can do it in a compelling and creative way, it can be successful.