History of the Chero-Cola Company
Chero-Cola was the short-lived predecessor to the Royal Crown Company, whose RC Cola is a distant third in sales after Pepsi and Coca-Cola. Chero-Cola originated in Columbus, Ga., and took on Coca-Cola -- also a Georgia-based brand -- in a 30-year year legal and sales war that it ultimately lost.
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Beginnings
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In 1905, a grocer and pharmacist in Columbus named Claude Hatcher created a new cherry-flavored soft drink and named it Chero-Cola. Hatcher, after an argument with a Coca-Cola distributor, vowed to create his own drinks and open his own bottling plant. After creating Chero-Cola and a ginger ale, Hatcher did just that, under the Union Bottling Company name.
Chero-Cola
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In 1912, following the widespread success of Chero-Cola, Hatcher created the Chero-Cola Company. Over the next decade, Chero-Cola took on Coca-Cola directly, both in court and in the market. Chero-Cola began to approach Coca-Cola's sales levels and diversified by introducing Melo and later NEHI sodas. At one point, Chero-Cola had over 700 franchises.
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Legal Battles
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As soon as Chero-Cola filed for a trademark, Coca-Cola lodged complaints. In legal battles that went on several decades, through appeals and new regulations, each company disputed the other's use of the word "cola". In 1921, Coca-Cola won a temporary but decisive victory and Chero-Cola was ordered to remove "cola" from its name and all advertising. The new Chero Company foundered after the change and CEO Hatcher died in 1933.
Royal Crown
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After Hatcher's death, company vice president Hilary Mott assumed control of the company and, in the face of the looming Depression, immediately slashed costs and borrowing. The NEHI brand fared surprisingly well during the Depression, and Mott invested in a new and improved cola recipe. After the new soda, Royal Crown or RC, was released, the company changed its name to the Royal Crown Company. RC -- called RC Cola after a 1944 ruling reversing the 1921 decision on the use of cola --continues to produce millions of dollars in sales annually but has trailed well behind Pepsi and Coca-Cola for decades.
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References
- Photo Credit soda machine image by Mat Hayward from Fotolia.com