By Naved Syed, F & N Consultancy (UK)
The ongoing conflict in Israel and Gaza has had various impacts on brands and businesses in the UK, particularly those perceived to have connections to Israel or Palestine. This article explores these impacts and the rise of alternative beverage options in the market.
Effects on Brands and Businesses
Boycotts and Protests
Several brands have faced calls for boycotts from activists and groups supporting Palestine. This includes companies seen as supporting Israel or operating in contested territories. Importantly, these boycotts are not limited to Muslim consumers but include a diverse range of individuals who advocate for justice and oppose oppression.
Social Media Backlash
• Brands that made statements or took stances related to the conflict have faced significant backlash on social media.
• This has led to reputational challenges and forced companies to reassess their public
communications strategies.
Changes in Marketing Strategies
• Some companies have altered their marketing strategies or public relations approaches.
• These changes aim to avoid alienating customers or to align with public sentiment.
Financial Impact
• Certain sectors, especially those linked to tourism or international business, may experience financial repercussions.
• This is due to changing consumer behavior and increased scrutiny of companies’ geopolitical stances.
Supply Chain Adjustments
• Companies operating in or sourcing from the region may need to reassess their supply chains in light of the conflict.
• This could lead to changes in procurement strategies and potentially affect product availability or pricing.
Rise of Alternative Beverages:
In response to boycotts of major brands like Coca-Cola and Pepsi, several alternative beverage options have gained prominence in the UK and European markets. General Alternative Soft Drinks:
1. Karma Drinks: Known for organic soft drinks and ethical sourcing.
2. Pop Soda: Focuses on craft sodas with unique flavors and natural ingredients.
3. Lixir Drinks: Specializes in low-calorie mixers and soft drinks.
4. Cawston Press: Offers sparkling fruit drinks made from pressed fruit with no artificial additives.
Emerging ‘Ethnic’ Cola Brands:
Several new brands have emerged to cater specifically to consumers looking for alternatives to major cola brands. Examples include:
1. Yo Cola!: A new British Bradford based brand.
2. Evoca Cola: A British brand that markets itself as an ethical alternative to mainstream colas.
3. Qibla Cola: Another UK-based brand that emphasizes ethical consumption.
4. Zamzam Cola: An Iranian brand that has found a market in some European countries.
These new brands often market themselves as socially conscious alternatives, appealing to consumers who are looking to align their purchasing decisions with their values.
Broader Implications:
• The emergence of these alternative brands reflects a growing trend of conscious consumerism.
• It demonstrates how geopolitical events can significantly influence market dynamics and
consumer behaviour.
• The situation highlights the increasing importance of brand values and ethical stances in
consumer decision-making.
• It also shows the potential for niche markets to grow rapidly in response to changing societal
attitudes.
The Israel-Gaza conflict has had far-reaching effects on the UK business landscape, particularly in the beverage industry. As consumers become more aware of the geopolitical implications of their purchasing decisions, brands are forced to navigate complex ethical territories. The rise of alternative beverage options, especially in the cola market, illustrates the market’s ability to adapt to these changing consumer preferences and values.
