Every single flow passes through bottlers and distributors in order to arrive in supermarkets where the product will be available to consumers. Coca-Cola explains the importance of the bottlers in the distribution network:

While many view our Company as simply “Coca-Cola,” our system operates through multiple local channels. Our Company manufactures and sells concentrates, beverage bases and syrups to bottling operations, owns the brands and is responsible for consumer brand marketing initiatives. Our bottling partners manufacture, package, merchandise and distribute the final branded beverages to our customers and vending partners, who then sell our products to consumers.

All bottling partners work closely with customers — grocery stores, restaurants, street vendors, convenience stores, movie theaters and amusement parks, among many others — to execute localized strategies developed in partnership with our Company. Customers then sell our products to consumers at a rate of more than 1.9 billion servings a day.^[1]

Revisiting the channel flows we find that the bottlers and distributors play a role in each flow. Examples of the flows are listed below. Remember, while the consumer is the individual who eventually consumes the drink, the supermarkets, restaurants, and other outlets are Coca-Cola’s customers.

• Product flow: the bottlers receive and process the bases and syrups
• Negotiation flow: the bottlers buy concentrate, sell product and collect revenue from customers
• Ownership flow: distributors acquire the title of the syrups and own the product until it’s sold to supermarkets
• Information flow: bottlers communicate product options to customers and communicate demand and needs to Coca-Cola
• Promotion flow: bottlers communicate benefits and provide promotional materials to customers