Battle for the right brew

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: this year.

We are setting up a new facility at Nadiad (Gujarat) soon.” At present, Wagh Bakri has presence in Gujarat, Rajasthan, Madhya Pradesh and Maharashtra.

According to Desai, the group is planning to foray into southern states as part of its growth strategy. To start with, the group is planning to introduce its flagship brand

Wagh Bakri in Karnataka. To pump up volumes, the group is also hiking its ad budget by 50% this year.

With the tagline Perfect Rishtey Banaye, the company’s print ads have already started appearing in the major dailies in Mumbai. “To support our print ads, we are also beaming television commercials on leading channels,” adds Desai. “We are strengthening our pan-India distribution network along the way.” Currently, the company is exporting its brands to the US, the UK and some of the gulf countries.

In this battle for the consumer’s cuppa, distribution is becoming the major focus area for the various brands. The Rs 2,000-crore Duncans Tea, for instance, has opted for exclusive tie-ups with Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL). DTL tea packets will now be available with the LPG suppliers as they go about delivering LPG cylinders at the consumers’ doorstep.

The Kolkata-based company has a distribution tie up with IRCTC (Indian Railway Catering & Tourism Corporation Ltd—the catering arm of the Indian Railways) to serve Double Diamond tea bags to passengers traveling on select routes across the country. “This tie-up will help Duncans Tea tap the huge captive audience provided by the Indian Railways,” says MC Appaiah, COO, Duncans Tea. We are actively exploring innovative channels of distribution. Such tie-ups will help us reach a wider audience base.”

Duncan has also entered into a tie-up with CSD canteens of the Indian Army to cater to the armed forces even at remote locations. “We are offering the Sargam brand at a very low price to the custodians of the nation,” says Appaiah. DTL has a similar tie up with the Central Police Canteen.