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INTERVIEW
COCA COLA INDIA
What is the total size of the market for soft
drinks in TN?
20 million cases per year.
What is the difference between urban and rural
marketing strategies for soft drinks?
There isn’t any difference. Although it has been three years since
we are in business, as it was otherwise a franchise run business
earlier.
Can you give us a breakup of the consumption
pattern; urban vs rural?
 The
difference between urban and rural consumption stands at 3:1 at
present. But if you take Coimbatore, Coimbatore and Chennai are
more or less the same. Coimbatore is the second biggest urban market
after Chennai in Tamil Nadu. Growth is primarily coming from rural
markets while consumption is high in urban market.
What is TN’s contribution to Coke’s National
market share?
As a whole, all the brands combined it is about 8%, which is quite
a significant contribution.
What have been the challenges that you have
faced in the market as far as Kinley water is concerned especially
with the controversy surrounding the ad, about “with the doctor’s
recommendation”?
Kinley has been very well accepted. In fact, in three months we
have a market share of 25%. The retailer’s comments on this was
‘Why have you put this “with the doctor’s recommendation”?’. We
said because it was recommended so. As far as the retailer is concerned
the fact that it is from the Coca Cola Company is far more
important than the doctors recommendation. People know that it
is a good product if it is from the Coca Cola Company. The Federation
of Family Practitioner’s Association of India has recommended
it.
Can you elaborate on your tie-ups with F&B
outlets?
 All
the associations with eating and drinking basically gives you a
good inkling of the consumption trends and gives and idea about
what kind of people drink what brand. Especially in the last one
– one and half years, if you have noticed people are drinking Coke
with Dosa or meals. That is a change.
Any statistical data on the soft drink market
specific to Tamil Nadu/Kerala?
The starkest statistic that you can have is that Tamil Nadu is
the biggest market for Fanta in the country. It contributes 30%
to the Fanta national volumes. Sprite is also a very big brand
in Tamil Nadu unlike in the rest of the country primarily because
these are two brands, which have traditionally been doing well.
If you remember Citra and Gold Spot, which were the
top brands sometime ago.
How do you see the market in the future –
(price increase / price war)?
We can’t say anything on that. The market is becoming mature in
Tamil Nadu and we should see a good growth coming in the years to
come. People have started accepting soft drinks as a part of the
culture.
What is the strength of your retailers in
Tamil Nadu?
In terms of numbers our retailers in Tamil Nadu are 70,000.
On your plant facilities in the South?
We have one plant in Namam, close to Chennai just 40 kms
away in Tiruvalluvar district. That supplies to most parts of North
Tamil Nadu and Tiruchy. We have a plant in Palakad that
supplies to South Tamil Nadu and Kerala. We have a plant in Bangalore,
which supplies all of Karnataka, which also make the big PET bottles
500ml, 1500ml and 2 litre packs.
- Joseph Pradeep Raj R
Photographs : V Ganesan |
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