Orange Juice and Other Stories
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Basically, all of their customers are realizing the soda is really bad for you, so demand is shifting to healthy -- or at least healthy-seeming -- alternatives like juice. Coke also figured out that people are willing to pay 25 percent more for juice that's not processed, that is, not made from concentrate. Enter Simply Orange. It is indeed just oranges, but boy have those oranges been through hell and back.
Who Wants a Nice Tall Glass of Coca-Cola's Algorithmic Orange Juice? - The Atlantic
Coke calls the process Black Book, because it won't tell anyone how it works. The consultant that designed the Black Book formula will, however. Bob Cross of Revenue Analytics explained to Bloomberg Businessweek that Coke relies on a deeply complex algorithm for every step of the juice-making process. The algorithm is designed to accept any contingency that might affect manufacturing, from weather patterns to shifts in the global economy, and make adjustments to the manufacturing process accordingly.
Built into the model is a breakdown of the plus flavors that are in orange juice that are tweaked throughout the year to keep flavor consistent and in line with consumer tastes. Coke even sucks the oxygen out of the juice when they send it to be mixed so that they can keep it around for a year or more to balance out other batches.
Orange Juice and Other Stories by Timothy Willis Sanders
Doug Bippert, Coke's vice president of business acceleration, calls it "a flight simulator for [Coke's] juice business. The good news is that the highly orchestrated process is also highly efficient. Bloomberg Businessweek says "oranges can go from grove to glass in less than 24 hours" during the peak spring season, although, as we just said, you're probably going to get a little bit of juice from last season in there since Coke mixes the batches to balance out the flavors.