In keeping with its affordability strategy for driving volume growth this summer, Coca-Cola India will soon launch fruit drink Maaza in 125 ml tetrapaks and introduce 600 ml pack size for Coke, Fanta and Maaza.
The company, which has already announced price cuts in its 300 ml pack size to Rs 6, on Tuesday said it wants to make its products more affordable while at the same time rationalising costs so that double digit topline growth is maintained.
"We have devised a detailed strategy to use affordability plank to boost sales and topline. So, Maaza will now come in 125 ml tetrapaks, priced at Rs 5, while the 200 amd 300 ml glass bottles will cost Rs 6 and 7, respectively," Sunil Gupta, vice president, Coca-Cola India, told PTI in New Delhi.
He said: "Similarly, in keeping with the strategy of driving growth through increased home consumption, the company will launch another new pack size -- 600 ml PET -- for Coke, Fanta and Thums Up."
"We have planned yet another new pack size for Limca which will be unveiled soon," Gupta said, but declined to give details.
Coca-Cola India had last month announced widespread price cuts, saying it will offer 1.5 litre pack size at Rs 30; 2.25 litre at Rs 43, while asserting that its 300 ml pack size has been selling at Rs 6 for "sometime" now.
Gupta said Coca-Cola India has implemented a wide-ranging cost rationalisation exercise by which it has saved a whopping $1 million in 2003.
"We have achieved this by taking several steps, including reducing glass bottle weight, improving raw material purchase practices and implementing a better inventory scheme," he said.
Also on the anvil, as part of this cost rationalisation exercise, are attempts to increase retailers by 20 per cent.
"We already have a one million strong retailer base," Gupta said.
He said all these strategies have resulted in the company's "consumer base increasing to 240 million from 160 million last year."
"This entire strategy is called FAST. F for fiscal efficiency, A for availability, S for relationship with stakeholders and T for topline growth," Gupta said.
Asked about any investments in the Indian market this year by Coke, he said, "We along with franchisees and other associates will invest up to $60 million."
