Coke launches dairy drinks in India
Coca-Cola entered the value-added dairy drinks segment in India with its flavoured milk product brand Vio. Vio, available in in 'Kesar Treat' and 'Almond Delight' variants, is set to make its debut across the country in the first week of February . As part of the initial launch plan, from January 26, Vio will be available exclusively across 500 Reliance Retail outlets.
Coca Cola India and its investments
Coca-Cola India is among the leading beverage companies in country with a wide portfolio of sparkling and still brands. Coca-Cola system in India has invested $2 Billion till 2011, since its re-entry into India in 1993. Coca-Cola system comprises of Coca-Cola India, Hindustan Coca-Cola Beverages and 13 licensed bottling partners. The company aims to double its investments in India to $5 billion by 2020.
Coca-Cola India product portfolio
Coca-Cola India has wide range of products like Coca-Cola, Diet Coke, Thums Up, Fanta, Limca, Sprite, Maaza, Minute Maid range of juices, hot and cold tea and coffee options, packaged drinking water, and energy drinks.
Coca-Cola India launches 'Maaza Milky Delite'
Coca-Cola tested the waters of Indian dairy segment with its mango and milk based drink Maaza Milky Delite. Maaza Milky Delite, developed at Coke's R&D centre in Gurgaon, was rolled out on 13 Aug 2014. The product was made available in 200ml packages at a price of Rs.25. Venaktesh Kini, the current president of Coke India and South West Asia called it a pilot.
Coke sees opportunity in Indian dairy segment
The dairy market in India is estimated to be worth Rs.75,000-crore, with milk contributing Rs.50,000 crore. According to Venkatesh Kini, President, Coca-Cola India and South West Asia, India's dairy segment is largely unorganized but is estimated to produce 120-135 billion litres of milk a year. Kini said that the Indian dairy sgment offers a huge opportunity as consumption of milk is high.
Coke's competition in dairy beverage segment in India
Coca-Cola's dairy segment competitors in India include industry leaders Amul, Nestle, and Britannia. Coca-Cola roped in dairy giant Schreiber Dynamix Dairies for its milk drink, whose customers also include Nestle, Britannia and Mother Dairy. The industry leader in the milk-based beverage segment, Amul has a wide range products including Amul Kool flavoured milk, Amul Masti Buttermilk, Amul Lassi, etc,.
Vio's global presence
Coke's brand Vio already exists globally as a carbonated milk drink available in four flavours including Citrus Burst, Peach Mango, Tropical Colada and Very Berry.
Leveraging India's consumption habits
India's average per capita milk consumption is high and similar to global averages, distinct from other beverages where Indian consumption is significantly lower than the global average. T Krishnakumar, regional director of South Asia, Bottling Investments Group, Coca-Cola's leading bottler considers launching 'Vio' as an attempt to leverage India's strengths. With Vio, Coke aims to cover 65% of the country in the initial Phase.
