The Hindu Business Line : Radico extends 8 PM to brandy flavour as well

The creation of an umbrella brand across flavour segments has been a tough call for liquor marketers with the notable exceptions being No.1 McDowell series in India.

Bangalore , Nov. 17

RADICO Khaitan Ltd has extended its flagship brand 8 PM to brandy flavour. The company is set to roll out 8 PM Excellency Brandy in Kerala, company officials said.

Radico had earlier extended 8 PM to the rum segment under the Bermuda sub-brand.

The company first launched 8 PM Whisky in the late 90s, which, supported by a highly recalled advertising campaign, went on to become the fastest million-cases brand in the domestic market.

The creation of an umbrella brand across flavour segments has been a tough call for liquor marketers with the notable exceptions being No.1 McDowell series in India and Johnnie Walker whiskies in the global market.

8 PM Excellency Brandy is priced at Rs 246 for a quart (750 ml) and is expected to compete with established rivals such as UB Spirits Division's Honey Bee Brandy, No.1 McDowell Brandy, Bejois from Amrut Distilleries, and Shaw Wallace's Golconda.

The brandy flavour accounts for 54 per cent of the Kerala's IMFL market, with monthly depletions of nearly nine lakh cases.

The south accounts for bulk of the brandy consumption in the country with Kerala and Tamil Nadu being the major markets.

Meanwhile, Radico has launched white rum under the 8 PM Bermuda brand.

It must be mentioned that the extension of 8 PM into the dark rum category has not yet set the market buzzing even though the jury is still out on it.

Radico has had a spate of brand launches in recent times, which include Old Admiral Brandy and Magic Moments Gin.

While Old Admiral Brandy is expected to cross a million cases in 2004-05, Magic Moments Gin has had a quiet stint in select markets in north India.

The company's volume sales in the southern markets continued to be buoyant with depletions for the first half of the current financial year being pegged at 1.86 million cases, as against 0.7 million in the corresponding period last year.

The company officials said the volume growth was achieved even as they withdrew economy labels from the southern markets in the wake of spiralling raw material costs.

"We have stopped supplies below Rs 300 per case to the State corporations that control the IMFL trade in the South," the officials added.