How Much Does It Cost To Produce 1 Liter Of Coca Cola?

Producing a 1-liter bottle of Coca Cola only costs the company a few cents, although additional costs might be added to that, depending on where you live.

How much does it cost to produce Coca Cola?
There are two main factors that keep the production costs of Coca Cola to a bare minimum:

• The ingredients themselves aren't particularly expensive to purchase and, although the exact recipe is a trade secret, we can safely assume that ingredients like fructose-syrup, caramel, and glycerin aren't exactly hard to come by.

• The second factor is that, because The Coca Cola Company operates on such a large scale, the costs of production are minimal.

This economic concept is known as an 'economy of scale', whereby mass-production causes the unit cost price to drop.

The price of making a bottle of coke
Because of the aforementioned factors, The Coca Cola Company can afford to make a liter of its beverage at a cost of under 5 cents.

However, there are several additional expenses other than production that also need to be taken into account. For example, Coca Cola spend a significant amount of money advertising their product - which has an effect on calculations of the unit cost.

There are also additional shipping, storage, taxation and other costs that will vary depending on where you live.

All these factors go into the overall cost of producing a bottle.

Despite this, it's safe to assume that Coca Cola maintains a significant profit margin on the sale of its products.