March 27, 2023

Campa Cola will ‘cool’ Coke and Pepsi, price war will begin in the soft drink market! , Reliance Campa Cola may start price war this summer, read full report

Tagging the handles of the PMO, Commerce Minister Piyush Goyal and the firms, AICPDF tweeted on Thursday that a price war had begun. AICPDF is closely monitoring this development as distributors will suffer.

Campa Cola

Image Credit Source: @datta_arvind Twitter handle

Soft drink price war: this summer Reliance Industries All soft drink companies have started preparing to ‘cool down’. Yes, Reliance’s arrival after Telecom in the soft drinks market (soft drink market) A major price war is likely to break out. This is because Reliance has launched five different Campa Cola prices (campa cola) 15 rupees less than other companies. In such a situation it may be difficult for Coke and PepsiCo to stand in the market.

Coke and PepsiCo have started preparations

This time his competition is not only with the Campa Cola brand, but also with Reliance and Mukesh Ambani, who have left no stone unturned to lick foreign players in every sector. For this, foreign players already present in India have started preparing to compete with Coke and Pepsi campers. In addition to trade concessions, both companies have announced increased spending on consumer promotions and marketing. The prices of Coke and Pepsi will not drop immediately. For this, pre-approval is required and consent of the bottling partners is also required. There is also the issue of inflation in the country. Due to which promotion has been looked at.

War has started in Andhra

Reliance has started a war with Andhra Pradesh. There are many reasons for this. Thumpsup is the largest Coke brand in Andhra. Its share is about 20 percent. Pepsi is very rare here. In such a situation Camper will be in direct competition with Coke. After that we will look at other cities. Here Reliance has launched three flavors Cola, Orange and Lemon. According to market experts, how and to what extent the Camper entry will affect Coke or other companies in the long run is still far-fetched, but an immediate impact can certainly be seen.

Read more: Campa Cola is just an excuse, Mukesh Ambani wants to dominate the 74 thousand crore market!

It will be the first clash in three decades

Both Coke and Pepsi entered India in the 1990s and have shown their continued dominance in the country since then. No other brand could stand in front of the two. Now Campa stands again with the support of Reliance. In such a situation, Coke and Pepsi are feeling the pressure for the first time in India. Both will be seen facing tough competition from the campa. According to Coke’s official statement, the entry of new players will benefit consumers and increase investment and lead to new innovations. According to Varun Beverages, PepsiCo’s bottling partner, the Indian soft drink market is huge and a new brand can easily tap into this market without harming others.

The protest started from the distributors

Some of India’s leading distributors are protesting the price war between FMCG companies, which they say will seriously hurt their margins, as cold drink companies step up consumer promotions in states where Reliance sells Campa Cola. Launched at a lower price than other companies Dhirsheel Patil, president of the All India Consumer Product Distributors Federation (AICPDF), which leads 4 lakh distributors, said in an ET report that competition and promotion among big companies with low consumer prices directly affects the margins of lakhs of distributors.

Read more:Campa Cola once competed with government soft drinks, now Pepsi-Coke will sweat!

Biscuits and confectionery will also be affected

Patil said that we fear that the price war may extend to other FMCG segments like biscuits and confectionery, where Reliance is leading. This will seriously hurt distributors’ margins. Tagging the handles of the PMO, Commerce Minister Piyush Goyal and the companies, the Distributors Federation tweeted on Thursday that the price war had begun. AICPDF is closely monitoring this development as distributors will suffer..will write to all companies regarding this unethical competition.

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