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Not to nitpick but.. 1. The switching cost from Google Search is certainly not zero, it implies switching from Google, which is virtually impossible because it

Not to nitpick but.. 1. The switching cost from Google Search is certainly not zero, it implies switching from Google, which is virtually impossible because it's tied to Chrome, YouTube, Android and Gmail 2. I don't know many people who are dedicated "Pepsi" fans, they just grab whatever drink is available Coke/Pepsi.. 3. I've also not heard many people who are never willing to switch from "Crest".. People will just grab the next available option if Crest is not on shelf. No one is pre-ordering Crest.

SllX 2y ago
I will nitpick this one: > 1. The switching cost from Google Search is certainly not zero, it implies switching from Google, which is virtually impossible because it's tied to Chrome, YouTube, Android and Gmail Google Search is a product. Not the whole company. Switching to most other search engines is $0. Naturally no one is honor bound to use anything else you listed either.
toasterlovin 2y ago
You’re standing in the aisle at the supermarket, looking at the soda. Everything is in stock. What do you grab? Most people make the same decision for their entire life: Coke. That is the moat that Pepsi has been trying to overcome for decades.
- sumedh 2y ago
  > That is the moat that Pepsi has been trying to overcome for decades. Pepsi makes more revenue compared to Coke. Shouldn't it be Coke who should be trying to do what Pepsi is doing?
  - toasterlovin 2y ago
    According to this[0], Coke (the cola brand, not the company) has a ~19% soft drink market share in the US vs. Pepsi at ~8%. This[1] has Coke (the company, not the cola brand) at a 69% market share of the US soft drink market vs. Pepsi 15 27%. Pepsi is a larger company, though, because they own a bunch of snack food brands whereas Coke is beverages only. 0: https://www.wfaa.com/article/news/local/us-soda-rankings-coke-pepsi-dr-pepper-cola-market-share/287-042fd9e5-ab99-4362-82fc-bc97cc54dff4 https://www.wfaa.com/article/news/local/us-soda-rankings-cok... 1: https://www.investopedia.com/ask/answers/060415/how-much-global-beverage-industry-controlled-coca-cola-and-pepsi.asp https://www.investopedia.com/ask/answers/060415/how-much-glo...

SllX 2y ago

I will nitpick this one: > 1. The switching cost from Google Search is certainly not zero, it implies switching from Google, which is virtually impossible because it's tied to Chrome, YouTube, Android and Gmail Google Search is a product. Not the whole company. Switching to most other search engines is $0. Naturally no one is honor bound to use anything else you listed either.

toasterlovin 2y ago

You’re standing in the aisle at the supermarket, looking at the soda. Everything is in stock. What do you grab? Most people make the same decision for their entire life: Coke. That is the moat that Pepsi has been trying to overcome for decades.

sumedh 2y ago
> That is the moat that Pepsi has been trying to overcome for decades. Pepsi makes more revenue compared to Coke. Shouldn't it be Coke who should be trying to do what Pepsi is doing?
- toasterlovin 2y ago
  According to this[0], Coke (the cola brand, not the company) has a ~19% soft drink market share in the US vs. Pepsi at ~8%. This[1] has Coke (the company, not the cola brand) at a 69% market share of the US soft drink market vs. Pepsi 15 27%. Pepsi is a larger company, though, because they own a bunch of snack food brands whereas Coke is beverages only. 0: https://www.wfaa.com/article/news/local/us-soda-rankings-coke-pepsi-dr-pepper-cola-market-share/287-042fd9e5-ab99-4362-82fc-bc97cc54dff4 https://www.wfaa.com/article/news/local/us-soda-rankings-cok... 1: https://www.investopedia.com/ask/answers/060415/how-much-global-beverage-industry-controlled-coca-cola-and-pepsi.asp https://www.investopedia.com/ask/answers/060415/how-much-glo...