Wednesday, March 29, 2023

Campa Cola is back


 


33% cheaper. New logo. Telugu push. IPL advantage!

Reliance’s Campa is thundering like ThumsUp ⚡⚡⚡


Here are the specifics that people missed about the Campa relaunch, and its impact 👇


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To start with, Campa has been launched in the Telugu-speaking markets first.


Cuz, these are India’s biggest market for soft drinks. Reliance Retail wants to go all-in & conquer these 💪💪

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For this, it has played 3 main cards so far.


🥤Launching Campa at up to 33% lower price

🥤Replacing the old logo with a fresh new identity

🥤Timing the launch to match & catch with IPL frenzy


Let’s break down all 3, one by one 👇


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Price points - Campa vs Coca-Cola:


200ml: Rs 10 vs 15 : 33%🫰🫰🫰

500ml: Rs 20 vs 26 : 23%🫰🫰

600ml: Rs 25 vs 32 : 22%🫰🫰

1000ml: Rs 40 vs 45 : 12%🫰

2000ml: Rs 80 vs 95 : 16%🫰


(Note: Coca-Cola’s prices from Swiggy Instamart, with a location set as Hyd’s Begumpet)


Those prices are superbad for The Coca-Cola Company & PepsiCo to compete with:


🥤They necessitate price cuts

🥤Cuz as no marketing can justify a 20-33% premium!

🥤And, a price cut will be a medium/long-term irreversible decision

🥤It will hurt the bottom & topline. Especially in inflationary times


Coca-Cola has already gotten into the action.


It has slashed the price of 200ml glass bottle to match Campa in Telangana, Maharashtra & MP. The renewed Campa is yet to even launch in Maharashtra & MP 😅

Coca-Cola has gone on the offensive, so Campa wouldn’t be able to use price as a differentiator.

Also, as per a recent ET report, Coca-Cola & PepsiCo have also stepped-up trade discounts, promotions & marketing.

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Moving on, Reliance has smartly chosen to dump the older logo for a new one.

🥤The ones who loved the old brand are in their 40s & 50s today
🥤The consuming class of today was not even born when Campa was a household name

Reliance is trying to position Campa as the newest drink in the town, & not an old one attempting a comeback.

And it makes sense. But, how to market it all?

Comes-in the IPL 🙌

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Cola sales during IPL match the sales during peak summers. And IPL is set to go live in 2 weeks now.

With Reliance’s JioCinema broadcasting it for free, there is no doubt Campa’s advertising will be all over the screen.

And that’s the ultimate marketing & branding push ⚡⚡

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It has always been PepsiCo & Coca-Cola challenging local brands in India. It’s interesting to see the tables turn.

As The Undertaker once told Kane at Wrestlemania XIV:

“Expect no Mercy!” 🔥🔥

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Also, it’s a big threat for VARUN BEVERAGES LIMITED 😅

It's PepsiCo’s largest manufacturer & distributor in India & has delivered multi-bagger returns.

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source: Jayant Mundhra - Linkedin 

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