Preparations for a big upset in the soft drink market, Mukesh Ambani bought this company.
New Delhi: There is going to be a big upheaval in the Cola Market in the coming days. Mukesh Ambani is now preparing to enter the cola market. Soft drink brand Campa which once topped the market with its Campa Cola. Going to return in October this year. According to a report in The Economic Times, Reliance has acquired the brand in a deal with Delhi-based Pure Drink Group for around Rs 22 crore. With this, Campa Cola, which filled its shortage after Coca Cola went out of India in the year 1977, is now ready to enter the market again. Campa Cola was launched in the 1970s by the same Pure Drinks group that brought Coca-Cola to the Indian soft drink market in 1949. Reliance is preparing to launch it on Diwali.
Plan to increase FMCG business
Reliance Industries wants to increase its FMCG business. For this, Reliance Industries has acquired soft drink brand Campa Cola. The brand was once a market leader with its cola variant Campa Cola. Now Reliance will bring it back in the market. This will see a big change in the cola market.
Preparing to compete with Coca-Cola and PepsiCo
Reliance is now going to enter the cola market with this deal. Its direct competition will be with Coca-Cola and PepsiCo. This can be beneficial for the customers. Reliance is preparing to launch Campa Cola in three flavors – Lemon, Orange and Cola. After the arrival of Campa Cola in the market, the price war can start, in which customers can get to buy cold drinks at a lower rate. In the first phase, Reliance will sell it in its retail stores, Jiomart and kirana stores. Buying Campa is part of Reliance’s strategy to enter the FMCG market. Which the company is going to start this year.
Reliance is going to expand its network across the country
Reliance is now going to expand its network across the country. According to media reports, more than 1.5 million kirana stores buy the product from Reliance’s B2B network. The acquisition of the Campa brand is part of the strategy to grow the FMCG business.
This is how Campa Cola started
After the end of the Emergency in 1977, when elections were held, the Janata Party government was formed. During this, George Fernandes was made the Minister of Information. Shortly thereafter, he was given the charge of the Ministry of Industry. As soon as he took charge, George served notices to all foreign companies. It was made mandatory for companies to comply with the FERA amendment in 1973. The rest of the companies were ready on this, but Coca-Cola got stuck. Coca-Cola’s problem was related to its secret recipe. A secret sauce that was only 4 percent of the final product, but the famous flavor of Coke came from it. Because of this, Coke wanted to keep it completely hidden. Coke thought it better to go out of India than to follow the new law. After the departure of Coca-Cola from India, Pure Drinks Group introduced Campa Cola and it was in the market due to lack of foreign challenge.
