Bradford, in her 2009 paper ‘Trademark Dilution and Emotion’, sheds some unexpected light on the story of the Santa Claus traditionally featured in advertisements for Coca-Cola:
A third example is Coca-Cola, who in the 1930s used illustrations of Santa Claus to persuade consumers to drink its beverage even in cold weather. Not only was Coca Cola ‘free-riding’ off of St Nicholas’ positive emotional associations, it was not even the first company to do it. White Rock Ginger Ale, the brand leader for mineral water and ginger ale, had already used Santa Claus in its advertising for 15 years. Coke’s advertising campaign may have been an attempt to create associations with a more successful beverage company.
Bradford, Laura R., Trademark Dilution and Emotion (January 29, 2009). Berkley Technology Law Journal, Forthcoming; George Mason Law & Economics Research Paper No. 09-08. Available at SSRN: http://ssrn.com/abstract=1334925