Reliance Consumer Products (RCPL), the packaged goods arm of Reliance Industries (RIL), may take Campa Cola to markets such as Uttar Pradesh, Punjab, Haryana and Rajasthan, sources aware of the development told Fe. At the same time, the company may also give the brand a major fillip in the west, including Gujarat, which is a key market.
The move is part of a push undertaken to expand the beverage brand’s national footprint. It is currently available in the southern states, such as Telangana, Andhra Pradesh and Tamil Nadu.
On Monday, Isha Ambani, executive director of Reliance Retail Ventures (RRVL), said that Campa Cola would be scaled up both nationally and internationally. Globally, Campa Cola would be taken to Asia and Africa, she said, without giving further details. RCPL is a wholly-owned subsidiary of RRVL.
While the global launch of Campa Cola may happen later, emphasis, currently, is being placed on completing the national roll out of the brand, sources in the know said. A mail sent to RCPL elicited no response till the time of going to press.
RCPL has been stitching up manufacturing and distribution tie-ups as part of its national ramp-up of operations for Campa Cola. In Tamil Nadu and Andhra Pradesh, for instance, the company is working with multiple partners such as Kali Aerated Water Works (Tamil Nadu, Andhra Pradesh), Asian Beverages (Tamil Nadu) and Jallan Food Products (Andhra Pradesh, Telangana).
In Gujarat, it is expected to utilise the manufacturing and distribution network of Sosyo Hajoori Beverages, where RCPL has a 50% stake. In Rajasthan, Jallan Food Products, which has manufacturing plants in the state, could be used, sources said.
At a broader level, RIL has indicated that it is keen to push affordable FMCG products to consumers. With Campa Cola, for instance, price points were Rs 10 for a 200-ml bottle; Rs 20 for a 500-ml bottle; Rs 30 for a 600-ml bottle and Rs 40 for a 1-litre bottle.
The same strategy has been replicated in other categories as well, said trade sources. For instance, RCPL products, under the ‘Independence’ brand in home and personal care segments, are available at one-third the price of rivals.
The company is expected to push this low-price strategy for its products at least for the next few years to build scale, sources told FE.