Coke: the trickle-down effect
It was some years ago that a raving optimist first described this effect, saying that in all economies the poor would benefit from some wealth, however modest, ‘trickling down’ to them from the governing elite.
Almost needless to say, the man was run out of town and has never been seen again. There were reports of him picking through an enormous garbage dump on the outskirts of Mexico City, but they were unconfirmed.
What I can confirm is that in recession (yes, we can use the R word now, worldwide. Recessions R Us!), the losses most certainly do trickle down, and they affect the great and the good, just as much as our noble local re-cyclers and the baby-toting beggar gang from Burma at Thapae Gate.
Northbound on route 118, just south of Doi Saket, you can U-turn and pull into a clean but unremarkable Thai cafe. I do so about once a month at lunch times to sample their very good (almost English-style) fried fish and (sadly US-style) skinny fries. They are very generous with their salad garnish too, but you have to take your own tartar sauce and black pepper. And vinegar, of course, if you are English.
Coming belatedly to my point, I noticed a year ago that I seemed to keep coinciding with the Coca-Cola truck, making what must be its most northern stopping point from Chiang Mai city. This handsome red vehicle would swing jauntily around the U-turn, never spilling a drop, stop outside the caff, and a tall thin man would shoulder a full crate of Coke bottles and march purposefully between the tables to deliver to the boss at the back. Past tense, you’ll note.
Three months ago, the same thing happened, but this time the man, looking rather dejected, shouldered the full crate out again and drove away without making a sale. Two months ago, he walked in slowly, carrying nothing, and took out half a crate of empties.
Last month – the same.
This month? The truck was half the size of the original – and it was almost full with full crates. And it didn’t even stop!
Let’s set aside the horror stories of echoing footfalls in the empty, marble, lobbies of brand new 5 star hotels; staff being lost through ‘natural wastage’ and the rest on a 4 day week.
When sales of a staple Diet (!) like Coke suffer so, this is Serious!
Copyright David Hardcastle
I may be able to offer an explanation as to why Coke’s vehicles are making less deliveries than previously. Around six months ago Coke reps came into my pub and told us from then on they would be collecting orders on a Monday and delivering on a Tuesday. I told them (through the good offices of my lady wife as i can’t speak Thai, that I wanted to carry on ordering when i ran out, rather when they felt like delivering. Nevertheless the policy had been made from ‘on high’ I then made my own ‘executive decision’not to buy from them if I could help it. So I approached my hole in the wall booze salesmen who now buys in bulk from Coke and delivers it to me in a motorcycle sidecar when I, the customer require it. his commission for doing this is miniscule.
Assuming that others are doing the same as I, It may, just may, explain shy coke are making less deliveries, doesn’t mean they’re selling less of their Arab Champagne!
BTW, I’m currently in negotiations with Pepsi for a larger fridge. If I get one Coke will be losing my business!!!
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