In response to the ongoing Gaza conflict, several Muslim-majority countries, including Egypt, Pakistan, and Bangladesh, have initiated boycotts of Coca-Cola and Pepsi. These consumer actions have shifted demand toward local soda brands, with companies like Cola Next and Pakola in Pakistan seeing substantial growth in market share. The boycott is rooted in public discontent with perceived U.S. support for Israel, and some consumers feel that avoiding these American brands is a way to express their opposition.

The impact on Coca-Cola and PepsiCo has been significant, particularly in regions like Pakistan, where local brands have seen a dramatic rise in popularity. For instance, before the boycott, local brands only accounted for a small percentage of the market, but now they hold nearly 12% of the soda market. Despite this, both companies have maintained their long-term commitment to these markets, continuing investments and expanding their product lines, including introducing region-specific offerings to maintain their presence.

This boycott is reminiscent of historical consumer movements, where political and ethical concerns drove changes in purchasing behavior. The success of local brands highlights how global conflicts can affect even well-established multinational corporations. In the current landscape, local sodas like V7 in Egypt and Cola Next in Pakistan are capitalizing on both the ethical and financial advantages they offer compared to their Western counterparts.

While Coca-Cola and PepsiCo have publicly distanced themselves from any involvement in the conflict, many consumers are still choosing to support local products as a form of protest. The long-term effects on Coca-Cola and PepsiCo remain to be seen, but for now, local companies are thriving amid a political and economic climate that favors them.

Disclaimer This Image was taken from Courtesy of Coca-Cola