Branded packaged water market readies for a splash

Lalitha Srinivasan

Posted: Tuesday, Nov 03, 2009 at 2255 hrs IST
Updated: Tuesday, Nov 03, 2009 at 2255 hrs IST


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Mumbai: The battlelines are being redrawn in the Rs 2,400-crore branded packaged water market in India. While Coca-Cola India is revamping its packaging and communication strategy to promote its brand Kinley, arch rival PepsiCo India is test marketing new pack sizes for Aquafina to pump up volumes.

For its part, Parle Bisleri has added 16 manufacturing capacities to its existing 60 plants across the country as part of its growth strategy. Tata Tea, which acquired mineral water brand Himalayan two years ago, is beaming a high-voltage television campaign to put the brand top of mind.

The packaged water sector in India is growing at 19% currently. “With increasing competition, it will register a 25 % growth in FY 2010,” said an analyst based in Mumbai.

Prakash Chauhan, chairman of Bisleri International, says the company is looking at 33% growth in its distribution network this year to reach out to a wider target audience. “We have just activated operations in 16 new plants. We will be setting up four additional manufacturing plants in the next two months,” he added.

PepsiCo has test marketed the Aquafina 300 ml bottle priced at Rs 5 in Mumbai. It is planning to extend it to new markets.

Homi Battiwalla, business head, juice and juice drinks, PepsiCo India, says, "We have been ramping up our manufacturing capacities in our core markets in 2009 which will boost sales.” PepsiCo is seriously evaluating the role of the 300-ml pack in rural markets.

Coca-Cola India is chalking out a fresh gameplan that includes new communication initiatives, a new packaging strategy, fresh outdoor advertising and on-ground promotions. “We have just completed the roll-out of our new convenience pack for Kinley across the nation,” said a company spokesperson.

Taking the core idea of Kinley’s communication “Boond Boond Mein Vishwas” to a next level, Coca-Cola has recently unveiled a communication plan for the brand with the tag line “Vishwas Karo”.

“To support our Vishwas Karo campaign, we are launching an outdoor campaign including a slew of ground promotions,” said the company spokesperson.

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