Friday, 17 April 2009

Pepsi Sues Coke Over Sports-Drink Ads

PepsiCo Inc. sued Coca-Cola Co. Monday, claiming that Coke is running advertisements for Powerade ION 4 sports drinks that misrepresent the effectiveness of Pepsi's Gatorade.

The ads cited in the lawsuit, filed in U.S. District Court in New York by a Pepsi unit, are currently running in print, on billboards, in store displays and on a relaunched Web site. They say that Gatorade, which holds about an 80% share of the U.S. sports-drink market, is "missing" two key electrolytes, calcium and magnesium.

Pepsi's lawsuit claims Powerade ION4's own levels of those electrolytes represent less than 0.5% of the recommended dietary intake for adults, and there is no evidence that they improve the beverage.

In its complaint, Pepsi claims Coke's advertising harms Gatorade's 44-year-old brand, especially as the image of a half-bottle of Gatorade labeled "incomplete" is juxtaposed with a "beauty shot" of Powerade ION4.

"The truth is scientists say there is no evidence that Powerade ION4 is a more complete sports drink than Gatorade," a Pepsi spokesman said.

Pepsi asked that the ads stop immediately, especially as "the biggest selling season for sports drinks is beginning."

Coke said the company stands behind its product and is "prepared to defend the role that Powerade plays in hydrating consumers."

Pepsi and Coke have routinely challenged each other in court. In 2006, Pepsi sued Coke over its television ads for Powerade Option, a low-calorie sports drink. Coke settled out of court. In 2007, a federal judge dismissed a Coke lawsuit that charged Pepsi with patent infringement on a collapsible bag that dispenses syrup for fountain sodas.


( personally I think because of their long term fighting, has created a lot of witty and great ideas for them, and for us to enjoy. So I really hope that battle goes on, haha =] )


1 comment:

Thomas Kan said...

Thanks DD. I'm more interested to look at this so-called "Pepsi challenge" with a semiological eye, this ad reminds us not the wit, but the 'child' who's trying to match up with the 'giant'. Poor Pepsi!