Financial Daily from THE HINDU group of publications
Friday, Nov 19, 2004
Financial Daily from THE HINDU group of publications Friday, Nov 19, 2004 |
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Marketing
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New Products & Services HLL launches Bru Malabar filter coffee Our Bureau
Chennai , Nov. 18 HINDUSTAN Lever Ltd (HLL) has launched a premium brand of roast and ground coffee, Bru Malabar, targeting a market that's characterised by low margins but high volumes. Each kilogram of Bru Malabar, which hopes to attract "authentic filter coffee" drinkers, will cost Rs 45 more than Bru Green Label, its primary roast and ground coffee brand. According to an HLL spokesman, the market for filter coffee in volume terms is almost thrice that of instant coffee, which is about 5,500 tonnes a year. Yet, there is near parity in their market shares, with each kilogram of instant coffee, on an average, costing four times a kilogram of filter coffee. Bru Malabar will rake in more margins than Green Label, though the spokesman won't reveal figures. Malabar is being marketed only through 200 gm packs, each of which costs Rs 38, Rs 9 more than comparable packs of Green Label. Almost all of the annual 15,000 tonnes of filter coffee consumption takes place in south India, which explains why Bru Malabar is targeting this region, more particularly Tamil Nadu and Karnataka. The company on Wednesday promoted Malabar among a gathering that was invited to listen to a Carnatic music concert by vocalist P. Unnikrishnan. While shunning television, the brand will be promoted through print and outdoors, as also through sampling exercises, the spokesman said. The promotion also involves trial packs of 50 gm each, which are, however, not available on retail shelves. Malabar will be a blend of 90 per cent coffee and 10 per cent chicory, quite different from Green Label, which is a 53:47 concoction. The new brand will be sold through the same distribution channels as Green Label, and the company reckons it will offer filter coffee connoisseurs more choice. The brand is available in re-closable `Freshness Lock' packs, with design by Ray & Kesavan.
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