ROYAL CROWN COLA

BRAND NAME COOKING WITH ROYAL CROWN COLA

The official company website:  RC Cola (Cadbury Schweppes)

HISTORY

The following is an excerpt from the book Ideas that Became Big Business by Clinton Woods. Published by Founders, Inc. Baltimore, MD, 1959, 414 pages.

Buy this book: Ideas That Became Big Business

The Royal Crown Cola Story

Including highlights in the life of its founder, the late Claud A. Hatcher, pioneer southern industrialist whose high moral courage and vision are guiding forces in the continuing success of the international soft drink firm.

"The giant painting of Claud A. Hatcher which hangs over the receptionist's desk in the offices of the Royal Crown Cola Co. in Columbus, Georgia is more than a portrait of the founder of the soft drink firm. It's an ever present reminder of a man who had a big dream and the courage to make that dream come true.

More than that it hangs as a challenge to those who direct the destiny of the international soft drink parent company.

Because of this man of high moral courage and vision, the soft drink firm stands as a symbol of free enterprise--from which flows sparkling refreshments to millions of people throughout the world.

Shortly after the founding of the company in 1905 by Claud A. Hatcher he associated himself in the business his father, L. A. Hatcher, and his brother, W. K. Hatcher, who just recently retired from active duty on the board of directors after more than 50 years of active service.

The company ahs grown from its small beginning until today Royal Crown Cola is one of the three top producers of soft drinks in America with more than 460 franchised Royal Crown Cola, Nehi and Par-T-Pak bottlers in the U.S.A. and several foreign countries.

The Royal Crown Cola Co. is the outgrowth of the Hatcher Grocery Company, a Columbus, Georgia wholesale grocery firm organized in 1901.

Claud A. Hatcher was born in Dawson, Georgia on August 20, 1876. He attended grammar school and high school of his home town. Mr. Hatcher first decided to be a doctor and entered the Louisville Medical College in Louisville, Kentucky. After a year at medical school he then decided that he wanted to be a pharmacist and own and run a drug store. Accordingly, he changed to the study of pharmacy and after completing his studies he stopped off in Atlanta on the way to his home in Dawson and took the examination to become a registered pharmacist. He made the highest grade in this examination that had ever been attained up to that time.

He first entered the drug business in Preston, Georgia but soon sold his drug store in Preston and moved to Dawson where he opened another drug store.

In the meantime Mr. Hatcher's father, L. A. Hatcher, had moved his family to Columbus and had become a salesman for the M. W. Kelly Wholesale Grocery Company.

In 1901, father and son decided to establish a wholesale grocery business in Columbus. This wholesale grocery company was originally the Cole-Hatcher-Hampton Grocery Company, but after the first few years of operation, Claud Hatcher and his father bought out the other two partners. It was quite common for the wholesale grocery companies to ship bottled soft drinks to their customers who were not served by bottling plants from nearby towns. Cream Soda, Root Beer, and Ginger Ale were very popular flavors in the period just after the turn of the century. These beverages were purchased from a bottling plant in Columbus and shipped to the customers of Hatcher Grocery Company at no profit to the company but as a service for their customers. As the demand for soft drinks increased, Mr. Hatcher built a small laboratory and begin experimenting with the development of a line of carbonated beverages. The Union Bottling Works was formed in 1905 in the basement of the Hatcher Grocery Company.

Royal Crown Ginger Ale was one of the first trademarks used and this beverage, along with other popular flavors, was sold throughout the western section of Georgia by the grocery firm.

In 1907, the Hatcher Grocery Company moved its operations to the present location and the bottling branch of the business was expanded.

In 1911, the Union Bottling Works was incorporated and the bottling branch of the grocery business was transferred to the new corporation.

From the beginning Mr. Hatcher applied his keen concept of business management, advertising, and sales promotion. His skill as a pharmacist made him particularly alert to the importance of producing a quality product. Thus "Quality" became the watchword of the company. To assist franchised bottlers in guarding the quality of the company's line of beverages and to develop new products, Mr. Hatcher set up a research laboratory and from that laboratory over the years have come many famous products including the company's spearhead brand, Royal Crown Cola, a full line of Nehi flavor beverages, Upper 10, lime-lemon soda, and a complete line of dietary products.

Perhaps the most significant chapter in the history of the company was the introduction of a new large size bottle which marked the first evolution in the soft drink industry.

Ever seeking new and revolutionary ways for launching his company on the road to lasting success in the early 20s when consumer buying power became an all important factor, Mr. Hatcher completed plans for introduction of a larger size bottle.

In 1924, a nine ounce bottle trademarked Nehi, backed by a consumer advertising campaign picturing a bottle of Nehi beverages along with a pretty girl's legs, was introduced.

This new idea in packaging and promotion proved so successful that in 1926 the company was incorporated by the Superior Court of Muscogee County under the name Nehi, Inc.

In 1928 it was incorporated under the laws of the state of Delaware as Nehi Corporation.

The road up wasn't always easy. During the rough days of the depression, Mr. Hatcher staked his personal fortune on his faith and ability to rise above the mediocre to see his dream through to success.

Although a man with a positive driving force, he did not push his way up the ladder of success at the cost of others.

Always business-like, he was a man with a heart filled with regard and concern for his fellow man. During the depression years he found time to grow vitally needed foods on his farm which he maintained on the outskirts of the growing city of Columbus, bring them in once each week and placing them on sale to his employees at one cent per pound.

He provided funds for the education of many worthy young people on a strictly loan basis. This led to the establishment in his will of the Pickett-Hatcher Educational Fund which is one of the most important and tangible by-products of the success of the Royal Crown Cola Co. and its predecessor companies.

The Fund, which honors one of his earlier associates, DeWitt C. Pickett, is today the second largest organization for lending money to students in the United States.

Mr. Hatcher continued in active management of the company until his death on December 31, 1933. He was succeeded by H. R. Mott, who was president of the company until 1940 when C. C. Colbert became president. In March of 1955, W. H. Glenn was elected president and Mr. Colbert was made chairman of the board of directors. He was succeeded by T. H. Stanley, presently chairman of the board of directors.

In 1934, a sparkling new cola drink was introduced by the company named Royal Crown Cola and destined to become on of America's famous cola drinks. Shortly afterwards, the abbreviation "RC" was adopted.

It was the phenomenal success of this cola drink that influenced stockholders in their March 24, 1959 meeting to change the name of the company from Nehi Corporation to Royal Crown Cola Co.

In the company's 1958 annual report W. H. Glenn, president, said, "The high standards maintained for our products; the continued expansion into new markets; the added emphasis upon more effective marketing and advertising of our products; and the addition of experienced personnel at the executive level are a part of our plans for continued expansion."

In June, 1954, Royal Crown Cola opened its first canning plant in Columbus, introducing famous Nehi beverages to consumers throughout the southeastern states. Today eight canning plants produce and distribute the company's products to exclusive franchised bottlers throughout the U.S.A. and to military markets overseas. Number one in the sale of soft drinks in cans, Royal Crown Cola accounted for approximately 41% of all soft drink sales in cans in 1958."