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Current Position:Home » News » Beverages & Alcohol » Beverages » Topic

New cola brands like Sosyo ready to take on biggies like Coke and Pepsi

Zoom in font  Zoom out font Published: 2012-09-25  Authour: Foodmate Team  Views: 56
Core Tip: If you thought cola is just Coke and Pepsi, you obviously haven't picked up a Sosyo in Gujarat; or a born-again Campa Cola at Rajiv Chowk metro station in New Delhi; or the colas from Latin America's Big Cola including the eponymous brand and a sub-brand
Campa Cola, a local brand from the 70s, is not the only blast from the past. Also readying for a comeback is Coca-Cola's RimZim, a popular regional masala cola brand that Coke had acquired from Ramesh Chauhan in 1994, along with Thums Up, Gold Spot, Limca and Citra.

The revival theme is not restricted to the cola category. Early this year, Coke brought back Citra, the clear lime drink brand that it had junked in favour of own brand Sprite. And last year, rival Pepsi gave a fresh lease of life to Duke's, an iconic over 100-year-old beverage brand from Mumbai, by re-launching its lemon, raspberry and ginger ale variants.

"It (revival of old brands) shows desperation on the part of MNC cola majors. Cola is a dying market," says Chauhan, chairman of Parle Bisleri. The cola companies have their reasons for leaning on these smaller brands, the biggest amongst them being the regional nature of competition - which is often fierce. "Local is the new national for brands," avers Smitha Sarma Ranganathan, a brand communication specialist who teaches marketing management at IBS Bangalore.

Cut to Surat, where Hajoori & Sons has been making a flavoured fizzy beverage called Sosyo since 1957 (the Hajooris began in beverages in 1923). "Cola MNCs tried their best to kill Sosyo but it has survived," says Aliasgar Hajoori, a 25-yearold fourth-gen director at the family-run firm. Hajoori claims the cider-based Sosyo runs neck and neck with Pepsi and is ahead of Coke with a share of roughly 30% in Gujarat; he says he now plans to take Sosyo, available primarily in the western region, national.

A Coca-Cola spokesperson did not comment on market shares in Gujarat, whilst a spokesperson for Pepsi said: "Although there are a couple of local beverage brands in Gujarat, their share is minuscule; we are a leading player in that market."

If regional beverage brands don't lose their allure, it may be because - as IBS-B's Ranganathan points out — it's a basic human instinct to yearn for a happy past. "This helps marketers in reinventing nostalgia and works excellently with local brands."

The bottlers of Campa Cola may be hoping the retro wave works in their favour. Launched by Sardar Mohan Singh, who founded the Pure Drinks group after the exit of Coca-Cola from India in the late 70s, Campa ruled the north India for more than two decades. It duly faded into oblivion and into the hinterlands once Coke and Pepsi came in with a bang after 1991. Now, it has again started to bubble, thanks to Alankar Bottling, a Muzaffarnagar-based franchisee of Campa Cola since 1979 that produces 300 ml, 600 ml, 1 litre and 2 litre bottles of the local brand.

For good measure Campa, which has a slogan 'The Great Indian Taste,' is on Facebook; as is Sosyo, with slogans like 'Taste with a Twist' and 'Apna desh, apna drink' (our country, our drink). "India main chota brand bhi bikta hai (Even small brands sell in India)," says Atul Agarwal, 50, owner of Alankar Bottling, who is quick to remind you proudly that Campa is "an Indian brand that has survived the onslaught of Coke and Pepsi."
Bottlers like Agarwal insist that it is the taste - Campa, he says, is not as sweet as Coke and Pepsi - that keeps consumers loyal. Sosyo, which gets 10% of its turnover from exports, too banks on its "Indian taste." "People want Indian taste. That's why Thums Up outsells Coke and there's a pull for our brand," says Hajoori.

The clamour for local flavours also convinced Coca-Cola India to relaunch Rim Zim. "Rim-Zim is being revived in keeping with a brand study by the company that indicates that the brand has very strong recall and holds latent equity with the consumers," says a Coca-Cola India spokesman.

The masala soda, being piloted in parts of Delhi, Punjab and Haryana, has been reformulated to make it more contemporary, the spokesman added. Pepsi too has been busy catering to regional tastes. 7UP masala nimbu soda — which the company claims is the only packaged brand in this category — is being piloted in Punjab in 600ml PET bottles; and 7UP Lemony Bite will soon be launched in the same state.

Rising health consciousness among Indians has pushed colas down the priority list, reckons Chauhan, adding the first choice for quenching thirst today is mineral water followed by fruit juices and aerated drinks. "They may create some buzz but the revival won't lead them anywhere," says Bisleri brand owner. The cola majors, for their part, would like to prove that Chauhan's scepticism is a case of sour lemons.

 
 
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