After facing disruption in supply chain due to the Covid-19 induced lockdown, packaged juice companies are reshaping their strategies to bank on rising in-home consumption and consumers’ enhanced focus on health and wellness.
Industry players are ramping up their play in the health, wellness and immunity-boosting segment with new launches. The packaged juices segment relies on out-of-home consumption occasions for sales, which have been severely impacted due to the pandemic.
Mohit Malhotra, CEO, Dabur India, told BusinessLine, “In-home consumption of packaged juices has come back to its normal levels, in line with the growing consumer need for health. However, the overall juice market continues to be impacted by the sharp dip in out-of-home consumption with closure of local eating-and-drinking outlets and the HORECA channel (Hotels, restaurants and caterers) remaining closed.”
Two-pronged strategy
The company has adopted a two-pronged strategy in these challenging times for its juices business. “On the one hand, we have re-purposed our brand communication to highlight immunity benefits of our real fruit juices. In addition, we have also launched new immunity-boosting juices,” Malhotra added.
In line with this strategy, the company recently introduced Amla Plus juice in a ready-to-drink format under the brand Dabur besides Aloe-Kiwi juice and Masala Sugarcane juice under the Real brand. It has also ventured into milk-based products with the launch of Real Milkshake. “We have also entered the fruit drinks market with a ₹20 and higher price point in the PET format,” he added.
In an interview last week, T Krishnakumar, President, Coca-Cola India and South West Asia, said the company is focussing on emerging channels and scaling up its juice portfolio. “We started the year with an accelerated trajectory. However, in between we did face some challenges with respect to logistics and lockdown limitations. Even as we speak, the demand for our juice products remains high,” he said.
“During the last 2-3 months we have also seen consumers looking for products that offer benefits and buy into brands that are able to provide this authentically. Minute Maid is our fruit nutrition brand, which has a range of products that offer nutrition that consumers seek,” he added.
Other key players such as ITC and Del Monte also recently launched products with immunity-boosting and health benefits in recent times.
Yogesh Bellani, CEO, FieldFresh Foods Pvt. Ltd, which manages the Del Monte brand in India, said the company has introduced multi-pack formats for juice cans for convenience for in-home consumption occasions. “The juice segment is naturally anchored in the health and nutrition space as consumers’ focus on health and wellness has got more enhanced and nuanced due to the pandemic. We are witnessing traction for multi-packs as consumers stay at home. In-home consumption will be the way forward and the new normal for the segment,” he added.