Faucher of J.P. Morgan said he thought Coke was trying to do the impossible -- position the new soda as a premium product with higher prices, while driving high-volume sales with a US$50 million marketing campaign.
Greenberg of Deutsche Bank said C2 was not positioned so that it would be perceived by consumers as being worth the extra money. "Consumers thought, why do I want something with less calories when I have a drink over here called Diet Coke that has no calories?" Greenberg said.
According to Beverage Digest, C2 sold 25 million cases, which analysts say is below what the company was anticipating.
Minnick's many supporters both inside and outside the company say they are confident she will be able to prevent further marketing mishaps.
"Mary combines great creative insight with disciplined execution," said Jay Gould, a former global-marketing executive at Coke who is now president of Pepperidge Farms.
Those who know Minnick say she has an assertive, take-charge style, which may be just what Coke needs.
"Mary is smart and tough and puts pressure on people," said John Sicher, editor of Beverage Digest "She will shake things up and get things moving."
Minnick's exacting standards have earned her a reputation for being overly demanding and impatient at times. Her defenders, however, suggest these impolitic attributes have helped her achieve the solid operating results that have propelled her up the corporate ladder.
"Mary is difficult to get along with, but it's not an easy culture for women at Coke," Greenberg said.
In her 21-year career at Coke, she has lived all over the world -- in Sydney, Tokyo, and most recently, Hong Kong. She will relocate to Atlanta by early May.
Track record
In Japan, Minnick is credited with consolidating a fragmented manufacturing and bottling system, shortening production times and cutting costs. Although the Japanese market was Coke's most profitable before Minnick took over, sales were flat. She helped lift sales by 3 to 4 percent a year, something not easily accomplished in such a mature market.
Japan accounts for roughly 20 percent of the company's profit. Last year revenue from Japan was US$2.9 billion, or 13 percent of total sales. Minnick also oversaw China, which is Coke's fifth-largest market in terms of volume.
The Japanese division is the subject of an investigation by the Securities and Exchange Commission and the US attorney's office in Atlanta, which are looking at allegations that Coke shipped excessive amounts of beverage concentrate to bottlers to inflate financial results. In the past, Coke has denied the allegations, and a company spokesman said that the years in question were 1997-'99, which predate Minnick's arrival in Japan in 2000.
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