Calcutta, April 26: Rasna plans to add local flavours to its product range to penetrate regional markets.
“We feel that despite the varied flavours available in the soft drink concentrate market, the potential of flavours like khus, kokam and aam panna have not been tapped,” said CMD Piruz Khambatta.
He, however, conceded that bringing out the real taste in these flavours was a challenging job.
The soft drink concentrate major has stormed into the Rs 2000-crore cola segment with a price as low as 0.50 paise.
“The drink was positioned as a healthy alternative to those who did not want to drink bottled cola,” said Khambatta. “Also, there is a huge population who have not been able to afford the drink despite reduced prices.”
Rasna is targeting sales of 500 million glasses of Rasna Cola Cola by July, which is 25 per cent of the total soft drink concentrate sales of 2 billion glasses. By the end of the financial year, it is estimated that cola would account for one billion glasses.
“We have added three production units to the existing four by investing Rs 10 crore to meet the demand for cola,” said Khambatta. “The media spend for this product alone is around Rs 8 crore,” he added.
The Rs 125-crore Rasna has a 93 per cent market share in the soft drink concentrate market and has proved to be a tough competitor for the Coke-promoted Sunfill brand.
According to AC Nielsen/ORG statistics, Rasna had an 86 per cent market share before the launch of Sunfill and grew to 92 per cent afterwards.
During the last financial year, the Utsav brand constituted 50 per cent, powder soft drinks 25 per cent and JucUp 25 per cent of the total sales of 2.5 billion glasses.
“This year we expect to grow between 30 and 40 per cent and a major boost will come from cola sales,” said Khambatta.