From Egypt to Pakistan, Coke and Pepsi Boycott Over Gaza Lifts Local Sodas

Majority Muslim-majority countries have recorded consumer boycotts of international companies like Coca-Cola and Pepsi, and growing demand for local sodas. This comes amid the ongoing Gaza war and continued bombings by Israel.

Local brands are seeing increased demand and popularity, like in Egypt V7 has surged past Coke, in terms of sales and exports. Its export has tripled in the region. There’s a similar case in Pakistan, also a Muslim-majority country in Southeast Asia. Kassim Shroff, founder of Krave Mart in Pakistan, said local cola brands like Cola Next and Pakola have witnessed a jump in market share, an increase of nearly 10 percent.

PepsiCo has recorded minimum growth in Africa, the Middle East, and South Asia.

Boycotts Impact Consumer Brands

Brayden King, an expert at Northwestern University School of Management, said most boycott calls have little long-term influence on consumer behavior. He explained that those calling for boycotts use public scrutiny to their advantage.

Boycotts may be similar to how some western countries sanction countries like Iran and Russia, and compel their businesses and citizens from engaging in exports of oil or weapons from these countries. 

It should be noted that boycotts have also popularized the names ‘Palestine’ and ‘Gaza’. For example Palestine Drinks has recorded surge in demand. It has sold about 16 million cans in the last five months. The revenue earned from this beverage goes to organizations that have been helping the Palestinians in Gaza and the West Bank amid the ongoing war. Mohamed Kiswani, the communications director of Safad Food, told TIME that they are not selling cold drinks, but the brand ‘Palestine’. He said it gets people talking about the situation in Gaza.

Moreover, boycotts help other brands get a foothold in their respective category.