Coca-Cola Icecek AS has experienced a decline in market share in Turkey and Pakistan as ongoing boycott campaigns against Western brands associated with Israel continue to influence consumer behavior in the region.
In Turkey, its share of the sparkling beverages market fell from 59% to 54%, while in Pakistan it dropped from 47% to 43%, according to data released last month. Smaller declines were also reported in Kyrgyzstan, Jordan, and Uzbekistan.
“Boycotts have clearly affected these markets,” said Hasnain Malik, head of equity strategy research at Tellimer Technologies Ltd. “This opens the door for smaller, local brands if public perception of the incumbent does not improve.”
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The Istanbul-based bottler and distributor is facing challenges from both geopolitical tensions and economic pressures. Its second-quarter net income fell 31% to 5.1 billion liras ($124 million), though the results still surpassed analyst expectations.
