Coca Cola in Rural India

Essay by guns_1985University, Bachelor'sA, August 2004

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Coca Cola. The world's Largest Brand. Ranks as the 6th largest company on the Fortune 100 list. Has more nations on its marketing chart then the United Nations member countries. Has a daily consumption of about a million litres in the world. And yet it had to dismantle its entire marketing strategy and regenerate it. Why? To penetrate the enigma called Rural India.

Market Overview

Rural India has a considerable depth of volume as far as beverages are concerned.

Drinks Available:

Milk Based




Curd Milk

Skimmed Curd



Milk Shakes. (E.g. Mango Shakes)

Water Based (Non - Concentrate -- Non - Carbonated )

Sherbets with a variety of Flavours like rose, lemon, khus.

Purified Rose water.

Variety of Freshly Prepared Juices.

Branded Juices (E.g. Mazza)

Water Based (Concentrate Based - Non Carbonated)

Flavours of Saccharine spiked water. E.g. Kalla Khatta, Aqua etc.

Concentrate drinks like Rasna,

Energy Drinks like Glucon - D.

Water Based (Concentrate Based - Carbonated)

Carbonated Colas (Black coloured Colas E.g. Coke)

Carbonated Flavours (Orange, Milky, Blue E.g. Fanta, Limca)

Carbonated Plain (Clear E.g. Sprite)

Alcohol Based Drinks

Furnace made (Local Production)

Branded Indian Made

Branded Imported

Market Size

Total sales of soft drinks in India amounted to Rs111 billion and almost 3,272 million litres in 2002, with growth of around 7% in current value and 17% in volume terms in that year. Out of this revenue 30 % came from the rural markets and semi urban areas.

The broad break up of sales between the three kinds of Soft Drinks as on 2002 was:

The rest was accounted for by squashes and syrups.

The consumption of these items generally shoots up during summer, when the temperatures in hinterland sometimes even cross 40 degrees Celsius. The first choice of most rural...