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    Campa Cola Case

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    Nihal Gupta

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    Campa Cola Case

    Uploaded by

    Nihal Gupta
    17 views2 pages

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    Campa Cola case

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    17 views2 pages

    Campa Cola Case

    Uploaded by

    Nihal Gupta

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Case Campa Cola: Reintroducing a Classic Brand

    Fast Facts: Reliance Retail

     Company: The retail initiative of Reliance Industries.


     Reach: 18,446 retail stores, 70.6 million square feet retail area in 7,500+ towns, 267
    million+ registered customer base, more than 2,800,000 customers served every hour.
     Financials (FY23): INR ₹2,603.64 billion revenue and INR ₹179.28 billion EBITDA.
     History: Reliance was founded in 2006 and is now the largest retailer in India.

    The Scenario
    In March 2023, Upasana Gupta and Kumar Damani were meeting at their strategy consulting
    firm in Mumbai, India. They were preparing a presentation for Gaurav Jain, head of strategy
    and business development of Reliance Industries, to discuss the relaunch of Campa Cola, an
    Indian beverage brand that was popular in the 1980s and 1990s. Reliance Industries acquired
    Campa Cola from the Pure Drinks Group in August 2022.
    The Conversation
    Upasana settled onto the couch in her office and began talking with Kumar.
    Upasana: What brands would Campa compete with in the Indian soft drink market?
    Kumar: I have a table that provides the information. Here, I’ll show you.
    Exhibit 1: Brand Shares of Carbonated Soft Drinks in India and Their Ownership (2022)

    Brands Market Share (%) in 2022 Brand Owner


    Clamato 2% Keurig Dr Pepper
    Coca Cola 29% The Coca Cola Company
    Fanta 9% The Coca Cola Company
    Limca 3% The Coca Cola Company
    Mirinda 1% PepsiCo
    Mountain Dew 2% PepsiCo
    7%
    Orangina Suntory
    Pepsi 7% PepsiCo
    Private Label 3% N/A
    Ribena 6% Suntory
    Schweppes 3% The Coca Cola Company
    Sprite 10% The Coca Cola Company
    Steel Reserve 2% Molson Coors
    Thums Up 3% The Coca Cola Company
    Tribeco 6% Uni-President
    Other 7% N/A

    1
    Source: Data accessed from "Carbonated Soft Drinks - India," Statista website,(opens in a
    new tab) https://www.statista.com/outlook/cmo/non-alcoholic-drinks/soft-drinks/carbonated-
    soft-drinks/india#revenue, accessed January 5, 2024.
    Kumar: As you can see, Pepsi and Coke are the two major players in this market. However,
    many regional players are very strong and rule in specific regions.
    Upasana: What else can you tell me about this market?
    Kumar: The per capita consumption of soft drinks in India is much lower than it is in
    Western countries. The average Indian consumes only 2.81 liters of soft drinks annually; in
    contrast, the average Swiss consumer drinks 574.04 liters annually. Another thing to consider,
    the rural population in India is almost double the urban population. Also, the Indian consumer
    is always looking at options in packaging and taste.
    Upasana: What are our competitors’ prices?
    Kumar: A 200 ml polyethylene terephthalate (PET) bottle of either Coke or Pepsi is priced at
    INR ₹15 each, while 2.25-liter PET bottles of Coke or Pepsi are priced at INR ₹99 each.
    Upasana: Where are our current bottling plants?
    Kumar: We have one in Mumbai and one in Delhi.
    Upasana: Campa is an old, heritage brand. Why don’t you work on our strategy, including
    our positioning? We can discuss this further in our board meeting before we relaunch Campa.
    Kumar: I will have the document ready next week.

    Consider the following questions:


    1. What is the market structure of the Indian carbonated soft drinks market?
    2. What strategy should Campa Cola use to compete in this market?

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