Danone India, the Indian subsidiary of the €17-billion Groupe Danone, has added a premium offering to its yoghurt portfolio — Cremix. In contrast to its existing offerings of Danone dahi and flavoured dahi in the category which are packaged in blue, Cremix will don a bright red visage and move into the market asking consumers, ‘Are you Redy?'

The tagline ‘It's a Sin Not to Have it Everyday' is reflective of the target audience — SEC A and B audiences, in Mumbai, Pune, Bangalore and Hyderabad — for now. The brand will target health-conscious consumers aged 25 to 45 years. Cremix is sold in one other market — Argentina.

Speaking to Business Line after a sales meet to launch Cremix, Mr Jochen Ebert, Managing Director, Danone India Food and Beverages, said, “We are extremely satisfied with the performance of blue Danone yoghurt range of dahi and flavoured dahi launched 16 months ago. But we felt that we were only exploiting part of the expertise we have in the segment worldwide. While testing the bank of products we have, we found a high degree of acceptance for Cremix, and this has been customised for the Indian market.”

Price

Cremix will retail at Rs 20 (for 100 grams), while the flavoured Danone Dahi sells for Rs 15. Limited by its four-city presence, Danone will look to outdoor activations and radio to push sales in the cities it is present in. The brand is committed to going national, said Mr Ebert, but refused to set a time frame. He said, “We are in the phase of analysing which markets to foray into. We believe the four markets we are present in, and probably Delhi, are much more ready for Danone products than others. Our expansion is a function of the trade structure; modern trade and cold storage infrastructure are critical. At the end, we have to take a conscious call on how much to invest based on the driving force — the consumer.”

He noted that the market for packaged yoghurt in India would be around 1,00,000 tonnes. However, it is the growing untapped market of the health conscious that Danone is banking on, alongside corporates like Nestle and co-operative brands like Amul.

Base of Pyramid

Mr Ebert, also responsible for the ‘Base of Pyramid' strategy for Groupe Danone worldwide, is credited with leading the launch of social business project Grameen Danone in Bangladesh.

Among other things, the factories in Bangladesh have been set up at a cost of less than a million Euros, against normal investments of 20 million, noted the spokesperson. Around 25 per cent of products at Grameen Danone are sold by self-employed women's groups.

“As a manager with a global giant, Grameen Danone was a great opportunity to be ‘small' again — it is enriching from a motivational point of view. You end up with massively creative solutions,” said Ebert.

He added, “India is a country where Danone can validate its BOP philosophy. Our core project for Base of Pyramid' remains Bangladesh, but the next interesting project might be in India.”

An announcement is expected in 15 days.

gokul.k@thehindu.co.in

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