Coke announced the launch of its flavoured milk
India: Coke might be facing tough competition
from brands such as Dabur, Amul and Paper Boat after the launch of their new
product categories in India. This was done to show the importance of India,
which was ranked 19 in 2006 on coke’s list of markets by size, now it has to
move to 6 position. The Cold beverages market in India was valued at somewhere
between Rs 50,000 – 60,000 crore in 2015, while the fruit juice market was
valued at Rs 8,000 crore, Milk beverages on the other hand was estimated
somewhere around 1500 crore.
The
new product line category will be sold first through 500 Reliance Retail
outlets across the country. Moreover, Reliance retail also set up special ‘VIO’
Dairy Zones’ across 9 stores which is available in almost all major retail
outlets, and coke has basically come out with Indian flavours such as Saffron,
Pistachio and Almond.
According
to Techsci Research “India Dairy Products Market by Type, Competition Forecast and
Opportunities, 2011 – 2021”, the market for dairy products in India is
projected to grow at a CAGR of over 7% during 2016 - 2021. In 2015, North India
dominated the country’s dairy products market, on account of increasing per
capita expenditure, rising youth population, introduction of value added dairy
products, changing consumption patterns, and growing penetration of
international players. India dairy products market is witnessing a shift
towards healthier products such as probiotic drinks, yogurts, etc. Few of the
leading players operating in India dairy products market include Gujarat
Cooperative Milk Marketing Federation Ltd., National Dairy Development Board,
Karnataka Cooperative Milk Producers Federation Ltd., and Tamil Nadu
Co-operative Milk Producers' Federation Limited, among others.
According
to TechSci Research, Dairy will be the next generation of growth in India after
beverages, water and Juices. Strong marketing presence, platform, digital
advertisements and print campaigns will help this market in growing even at
higher rate in the coming years. The flavoured milk beverages is the next big
market after ‘Fresh milk’, The companies have started enter into this category,
due to the growing demand for flavoured milks in the country, as the people
started preferring healthier on-the-go drink options as compared to soda which
is not seems as a good option for health in the country. Moreover, the
companies are facing challenges by the government on account of using non
eco-friendly packaging, they should use eco- friendly packaging material which
can be decompose as soon as possible.