Coca-Cola to launch Indian flavours to compete with local brands
MNC, Coca-Cola will soon launch new variant of aerated drinks in local Indian flavours to compete with smaller brands.
- Coca-Cola's new variants are expected to be 35-40% cheaper than Sprite and Fanta.
- The company is expected to launch local flavours like jeera, orange and lemon to compete with local brands.
- Local brands have nearly 12% market share in the packaged aerated drinks market.
Carbonated soft drinks producer, Coca-Cola will be launching new Indian flavours like ‘jeera’ (cumin), lemon and orange.
The new range of aerated drinks will be 35-40% cheaper than Coke, Sprite and Fanta, a report by Economic Times said on Monday.
While in April this year, introducing their summer variants, many brands turned western in their advertising approach.
ITC added ‘Pomegranate juice’ to its ‘B Natural’ refreshments, Parle Argo came up with Frooti Fizz, Hamdard launched ‘Rooh Afza Fusion’ and Rasna revisited its powdered fruit drinks portfolio to introduce flavours like - Nagpur Orange and Alphonso Mango.
However, more than 200 B brands distributed cheaper variants of aerated drinks in small geographic areas and have a consolidated markets share of 12%, the ET report added.
The packaged fruit juice segment in India was worth Rs 2,500 crore, a PTI report quoted market research firm – Nielsen analysts.
India’s $4.9 billion soda market was dominated by Coca Cola and Pepsi with 96% combined presence, a report by Business World quoted Euromonitor International on March 30.
On the back of the Goods and Services Tax (GST) launch of July 1, Coca-Cola said it would marginally raise prices of its aerated beverages but will cut rates of packaged drinking water.
Aerated beverages have been taxed at an effective tax rate of 40% in the GST regime.
The company said GST has given them the opportunity to expand its product portfolio, the report said and Coca-Cola is expected to launch the Monster energy drink soon it added.