Foundation of Union Bottling Works (1905)
In 1905, Claud A. Hatcher, a pharmacist with an entrepreneurial spirit, founded Union Bottling Works in Columbus, Georgia. Hatcher initially focused on producing a range of soft drinks, including ginger ale. His initial success with these products gave him the momentum to expand and innovate further in the beverage space. His most significant contribution came in 1910 when he developed Chero-Cola, a cherry-flavored cola that would soon become the company’s flagship product.
Chero-Cola's success in the market was rapid. As the cherry cola gained in popularity, the company began to expand its reach across the United States. By the 1920s, the company had established around 700 franchise bottling plants, making it a formidable player in the soft drink market. Chero-Cola's quick success placed it in direct competition with larger and more established companies like Coca-Cola, setting the stage for future challenges and
Despite Chero-Cola's early success, the company faced significant legal hurdles in the 1920s. Coca-Cola, a dominant force in the soft drink industry, raised concerns about the term "cola," arguing that it had exclusive rights to the use of the term. This legal challenge placed a considerable financial burden on the company and led to a decline in sales. As a result, in 1923, Chero-Cola was forced to drop "cola" from its name, marking the beginning of a series of shifts in its branding strategy.
The loss of the "cola" designation was a blow to Chero-Cola's brand identity, but it led to an important pivot. The company shifted its focus toward fruit-flavored beverages and officially changed its name to Nehi Corporation in 1928. Nehi became synonymous with fruit-based sodas, including popular flavors like grape, peach, and orange. The rebranding allowed Nehi to reposition itself as a fresh and innovative brand in the crowded soft drink market, distinguishing itself from its cola competitors.
Despite the successful rebranding to Nehi, the company still faced financial difficulties. The onset of the Great Depression in the 1930s compounded these challenges, making it difficult for the company to sustain profitability. In an effort to streamline operations and reverse the financial downturn, Nehi Corporation underwent a leadership change. H. R. Mott, who took over the company, made several key decisions that would reshape its future.
In 1934, Nehi Corporation made a bold move by reintroducing Chero-Cola, but with a new name: Royal Crown Cola. This rebranding was partly inspired by Hatcher's earlier product, Royal Crown Ginger Ale, which had been well-regarded for its quality. The reintroduction of Chero-Cola as Royal Crown Cola marked the beginning of a new chapter for the company. The brand's commitment to quality, innovation, and customer satisfaction became its hallmark, helping it regain a foothold in the soft drink market.
During the mid-20th century, Royal Crown Cola continued to innovate, becoming known for several firsts in the industry. One of the most notable innovations was the introduction of aluminum cans for soft drinks, which revolutionized the packaging and distribution of beverages. Additionally, Royal Crown Cola was one of the first companies to introduce diet colas, catering to the growing consumer demand for healthier alternatives to sugary sodas.
Competing with Coca-Cola and Pepsi
By the late 1950s, Royal Crown Cola had established itself as a significant competitor in the soft drink industry, despite the dominance of Coca-Cola and Pepsi. Royal Crown Cola’s unique positioning as an alternative to the two major cola brands allowed it to carve out a niche market. Although it never reached the global recognition of Coca-Cola or Pepsi, the company became a beloved brand in many regions and enjoyed a loyal customer base.
In 2000, Royal Crown Cola was acquired by Cadbury Schweppes, a major player in the global beverage industry. This acquisition marked the end of an era for the Royal Crown Cola brand as a standalone entity. Under the management of Cadbury Schweppes, the brand's U.S. operations were integrated into the broader portfolio of beverages managed by the company. While Royal Crown Cola no longer operates as an independent company, its legacy endures through its contributions to the soft drink industry.
Although Chero-Cola as a standalone brand may not have had lasting prominence, its legacy has continued through Royal Crown Cola. The innovations introduced by Chero-Cola, including the development of flavored sodas and the introduction of aluminum cans, played an important role in shaping the modern soft drink industry. Additionally, the company’s pioneering spirit and willingness to adapt to market changes allowed it to remain relevant for decades.
Royal Crown Cola and its predecessors, Chero-Cola and Nehi, made lasting contributions to soft drink culture. The brand became associated with quality, creativity, and a sense of Americana, representing the spirit of innovation that defined much of the 20th century. Though it never rivaled Coca-Cola or Pepsi in global dominance, Royal Crown Cola’s regional success and enduring fan base have secured its place in soft drink history.
The Chero-Cola Company’s history is a fascinating tale of innovation, resilience, and branding evolution. From its humble beginnings as the Union Bottling Works in 1905 to its rise as Chero-Cola, then its transition to Nehi Corporation and eventual rebranding as Royal Crown Cola, the company’s journey highlights the dynamic and ever-changing nature of the soft drink industry.
Though Chero-Cola did not maintain the same prominence as Coca-Cola or Pepsi, its contributions to the beverage market, especially in the areas of product innovation and branding, continue to shape the industry today. The legacy of Chero-Cola lives on in the enduring popularity of Royal Crown Cola and in the soft drink innovations that have defined the modern beverage landscape.
