Mukesh Ambani Revives Campa Cola: Is Mukesh Ambani Going to Take on Coke and Pepsi with Campa Cola? - Everything You Need To Know
Mukesh Ambani Revives Campa Cola: Mukesh Ambani's Reliance Industries would look forward to rebranding the iconic brand Campa Cola through its FMCG arm, Reliance Consumer Products Ltd. It would challenge the competitive beverage market space, which could disrupt multibillion-dollar turn over of the Coca-Cola and PepsiCo.
According to Economic Times, he will make sure it happens. The strategy is putting an aggressive pricing model and increasing retailer margins that would get the traction in India's fractured retail space. Campa Cola has already got much-needed shelf space in smaller town and village stores by offering higher trade margins to kirana shops and small retailers.
The holiday season is a marketing and distribution time, and Reliance was not expected to be an exception. Campa Cola has caused quite a splash with its low price point. They have been able to penetrate Durga Puja markets in West Bengal. Rs 10 and 20 for the 200 ml and 500 ml bottles; Campa Cola has undeniably found some bargain hunters going for this. Meanwhile, Coca-Cola and Pepsi have been coming out with their 600 ml bottles at Rs 40.
With lowered prices, the market in cities and villages has gone along with it. The price acceptance helps in arriving at a buying decision. With these products available at almost half the cost compared with the competition, Reliance is being more than embedded in the more price-sensitive areas of India. While at it, its strategy simultaneously seeks an opportunity to add to market share and markets Campa Cola as a player in the Indian beverage world.
With this initiative undertaken by Reliance Industries, the revival of Campa Cola will be a true challenge for the major soft drink brands. The lesson taught by Campa Cola's revival is very important: how strategic pricing and distribution can reshuffle the competitive landscape.
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