Major beverage brands seem to be on an overdrive to take on local players like Bovonto that have a strong presence in Tamil Nadu.
Chennai:
Speaking to this daily, N Chandramouli, CEO TRA Research tells us, “Colour is a very TN specific nickname for cold drinks. In interior parts of the state, it’s a common term used among the local population. So, this is the level at which cola majors are trying to make inroads with their brands. They are attempting to use a very generic name and break into a market which they haven’t quite been able to do so in the past. It’s a subtle influence on the mindset of the consumer and it’s a shrewd strategy as well.”
Experts have also called attention to the manner how Patanjali’s packaging for its baked products resembles that of the most popular brands in the market that sell glucose and Marie biscuits. The biggest pain point for major brands is not being able to break into such hyper local markets. Chandramouli explains this as, “In Rajasthan also there is a certain local cola brand that is numero uno. One must realise that the saturation of cola drinks market has already happened in India. The sugar content is already a point of concern while the nation is turning more health conscious. So, the growth of colas per se have been going down over the years.”
Even in TRA’s Trust Reports, Bovonto is always rated high in rural markets, which is not the case with Coca Cola or even Pepsi. He opines that if the taste of the new beverage is similar to that of Bovonto, then the regional player could be in trouble. “That’s because in smaller towns, Bovonto goes by the name ‘Colour’. The only way they can save their turf is by objecting to the name. They must understand the strategies that are being made in Coca Cola’s war room. The big bucks being spent on food technologists today is not for ripping off a formula, but more like matching up to it.”
As per veteran brand expert, Harish Bijoor, regional flavours matter in developing nations. Respecting local taste is symbolically a revival of sorts of ‘desi’ brands. And Coca Cola recognises how hyper local markets operate and a gigantic brand always maps the market well before launching a product. Such companies will even look at a boutique offering to cater to such regional markets, he added. Despite numerous attempts, Bovonto was not available for comment.
Apart from smaller players in TN that are trying to replicate Bovonto’s success with its specific desi cola variant, even majors like Coca Cola have entered the arena with offerings like Fanta Portello, a few years ago and more recently Colour to challenge the local market leader. Branding experts are now weighing in on the tectonic shift of cola majors to the south.
Speaking to this daily, N Chandramouli, CEO TRA Research tells us, “Colour is a very TN specific nickname for cold drinks. In interior parts of the state, it’s a common term used among the local population. So, this is the level at which cola majors are trying to make inroads with their brands. They are attempting to use a very generic name and break into a market which they haven’t quite been able to do so in the past. It’s a subtle influence on the mindset of the consumer and it’s a shrewd strategy as well.”
Experts have also called attention to the manner how Patanjali’s packaging for its baked products resembles that of the most popular brands in the market that sell glucose and Marie biscuits. The biggest pain point for major brands is not being able to break into such hyper local markets. Chandramouli explains this as, “In Rajasthan also there is a certain local cola brand that is numero uno. One must realise that the saturation of cola drinks market has already happened in India. The sugar content is already a point of concern while the nation is turning more health conscious. So, the growth of colas per se have been going down over the years.”
Even in TRA’s Trust Reports, Bovonto is always rated high in rural markets, which is not the case with Coca Cola or even Pepsi. He opines that if the taste of the new beverage is similar to that of Bovonto, then the regional player could be in trouble. “That’s because in smaller towns, Bovonto goes by the name ‘Colour’. The only way they can save their turf is by objecting to the name. They must understand the strategies that are being made in Coca Cola’s war room. The big bucks being spent on food technologists today is not for ripping off a formula, but more like matching up to it.”
As per veteran brand expert, Harish Bijoor, regional flavours matter in developing nations. Respecting local taste is symbolically a revival of sorts of ‘desi’ brands. And Coca Cola recognises how hyper local markets operate and a gigantic brand always maps the market well before launching a product. Such companies will even look at a boutique offering to cater to such regional markets, he added. Despite numerous attempts, Bovonto was not available for comment.