Coca-Cola India launches zero sugar soft drink

Coca-Cola India has launched its zero sugar soft drink — Coca-Cola Zero — in line with its strategy to make India its fifth largest market by 2020.

The company has priced Coca-Cola Zero same as its regular Coca-Cola. The new product will be available in 300 ml slim cans, 400 ml PET bottles and 600 ml PET. In Delhi, for instance, the 300-ml can will be available at ₹30. The introduction of Coca-Cola Zero comes after the launch of Maaza Milky Delite in Punjab and Kolkata, besides the expansion of Schweppes this year.

The company said that in a first-of-its-kind distribution strategy of a beverage company, Coca-Cola Zero will be available on Amazon, besides being available across Subway, Inox Cinemas, and Reliance Retail for the first two weeks.

The company hopes to target the urban population and plans to make the product available across 100 towns after October 5. In addition, it is planning to do sampling activities involving 1.5 million consumers.

Venkatesh Kini, President, Coca-Cola India and South-West Asia, said: “We are finding that Indian consumers are more aware today about the choices that are available worldwide. We are on course to invest $5 billion by 2020, thereby providing beverage choices to consumers to complement their lifestyles and hydration needs.”

Kini said while the “diet and light” segment in the beverage was still small, urban consumers account for nearly 50 million and presents a huge opportunity.

He said the company had seen strong double digit growth in the summer season. Besides, focus on strengthening its distribution in the rural regions had worked well for the company.

“Rural regions have been a great source of growth for us and we recognise they require different solutions,” he said.

Besides its glass returnable bottles priced at ₹10 under its “Happiness on the go” plan, the company has been offering sparkling drinks to its rural consumers in 100 ml serves priced at ₹5 through its fountains-mounted trucks. Also, it has been offering its drinks through “Splash bars”, which are low-cost chillers with dispensers in rural regions, besides offering its brand Maaza in 100 ml packs.

“We have also started a pilot at Kolkata for Kinley Glucojal, which offers vitamin fortified water in 100 ml tetrapouches to consumers,” added Kini.

Asked about the impact of the excise duty hike on carbonated beverages, he said, “Excise duty hike was a disappointment. We have not increased prices of the ₹10 glass bottles, but to cover up the cost, prices on some PET bottles have been increased by 4-10 per cent.”

Last year, the company opened three new sites, while earlier this year, its bottling partners announced plans for opening plants in Andhra Pradesh and Telangana.

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