Reliance Campa Cola: Ambani’s special strategy to make every Indian taste cola, opponents will be in trouble.

New Delhi: Reliance Consumer Products (RCPL) is in talks with Chennai-based Bovonto soft drink maker Kali Aerated Water Works for a manufacturing and marketing partnership to manufacture and sell Reliance’s Campa range of soft drinks. According to the report, the bargaining between the two companies is in the final stages and is nearing completion. Kali Aerated Water Works has captured the market with its manufacturing unit and marketing strategy and competes with multinational brands.

Before buying Campa in August last year, Reliance was in talks to acquire a majority stake in Kali Aerated Water Works. Bovonto is one of the largest cola brands in the southern markets, and competes aggressively with multinational brands Coke and Pepsi. Kali also makes aerated lemon, orange, and ginger ale fizzy drinks. It also sells juices and coconut water.

An official said that the deal is nearing completion. Bovonto’s manufacturing lines as well as strong marketing outreach will give Reliance an immediate advantage of a distinct edge over competitors. Another executive said that despite very limited spending on marketing and advertising, regional brands retain significant share in their home market. This is when national brands like Coke, Pepsi, Thums Up and 7Up are investing heavily in local marketing and local language advertising.

Kali Aerated Water Works is also known as Kalimark. It mainly sells its beverages in Tamil Nadu and Andhra Pradesh at lower prices than the national brand. The company started its beverage business with Bovonto, a grape flavored aerated drink. According to information available on the LinkedIn platform, Kalimark was established in 1916 by entrepreneur PVSK Palani Appa Nadar as a manufacturer and supplier of carbonated and non-carbonated drinks.

RCPL’s strategy to sell Cola brand

RCPL has tied up with three Indian Premier League (IPL) teams – Lucknow Super Giants, Punjab Kings and Sunrisers Hyderabad – as partners for its Campa franchise. The partnership aims to boost on-field visibility for Campa, a strategy that has so far been mostly adopted by Coca-Cola and PepsiCo on sports platforms.