INDIAN BEVERAGE INDUSTRY AND

RASNA JU-C

By Kumar Rajgeet

Beverages

Non Alcoholic

Non carbonated

Fruit juices,

Fruit drinks, Fruit nectar, Tea,

Coffee

Carbonated

Soda, Coca Cola, Tonic

water

Alcoholic

Non distilled

Distilled

Non Carbonated beverages

Tea, Coffee, Bottled water, regional beverages, etc.

Fruit Juice Nectar Fruit Drink

Fruit Juice Nectar Fruit Drink

•Prepared by

mechanically

squeezing fruit or

vegetable flesh

without the

application of heat or

solvents. Its 100%

fruit juice.

•No preservatives,

often pasteurized.

•No artificial content.

Fruit nectar contains

25%-99% of fruit

juice content.

Preservatives

present.

Sweetener and

artificial color

present.

Fruit drinks contain

an even lower

percentage of fruit

juice.

Preservatives

present.

Sweetener and

artificial color

present.

THE BEVERAGE INDUSTRY IN INDIA

Retail sales of fruit/vegetable juice grew by 30% in

2012 reaching Rs52 billion

Fruit/vegetable juice competes head on with

carbonates.

The 100% juice category registers retail value growth

of 38%.

Unit prices increase by 5% in current terms.

Dabur leads fruit/vegetable juices with a 25% retail

value share.

Fruit/vegetable juice is expected grow at a CAGR of

19% in retail volume terms over the forecast period.

• www.euromonitor.com, 2013

According to the Associated Chambers of Commerce and

Industry of India (ASSOCHAM), the non carbonated drink

industry in India is about to take a jump from US $2.7bn in

2012 to US $7.9bn by 2015.

This industry consisting primarily of fruit juices, drinks and

nectars is fuelled by the increase in the net disposable income

of Indians and the expansion of urban areas.

Fruit juice segment of this industry is growing the fastest at a

rate of around 35% annually while other components are

showing a growth of around 10%-15%.

www.euromonitor.com, 2013

Company Overview

Rasna is a soft drink concentrate brand owned by Pioma

Industries which is based in Ahmedabad, India.

It was launched in mid-seventies but started gaining popularity

in the eighties when the market was dominated by carbonated

soft drinks like Thums Up, Gold Spot and Limca.

As of 2009, Rasna had a 93% market share in the soft drink

concentrate market in India and as of 2011, the company had a

turnover of 3.5 billion.

• www.pitchonnet.com, 2013

Rasna Ju-C

In May 2013, Rasna launched its first ready to drink beverage

named Ju-C.

Ju-C which is positioned as a nutritionally healthy beverage

having 100 per cent RDA of Vitamin Cis targeted towards 8-14

years old children.

The drink has been launched in four flavours- mango, orange,

apple and mixed fruit.

Ju-C is designed to be consumed not just as breakfast flavour

product but as a snack as well due to its nutritional value.

• www.trendmonitor.com, 2013

The 7Ps of Marketing Mix.

PRODUCT

Rasna Ju-C is a ready to drink beverage.

containing 100% RDA OF Vitamin Cs.

available in 1 litre and 250 ml pet

bottles.

available in 4 flavours i.e. mango,

orange, apple and mixed fruit.

www.thehindubusinessline.com, 2013

PRICE

Ju-C’s 1 litre bottle is available at Rs 65 for mango

flavor.

1 litre bottle of mixed, orange and apple flavor is

available at Rs 75

Its 250 ml bottle is available at a

competitive price of just Rs 18.

www.thehindubusinessline.com, 2013

PLACE

Rasna’s huge distribution network gives Ju-C a

competitive advantage consisting of:

35 depots

2500 stocklists

1.8 million retail outlets

Sales force of around 700

•www.trendmonitor.com, 2013

PROMOTION

Rasna Ju-C is positioned as a healthy snack drink.

Its advertising strategy targets kids

between 8-14 years of age.

The drink was launched by Bollywood

actress Karishma Kapoor and the new

Rasna girl Avan Khambatta, the

daughter of Rasna’s Chairman.

www.thehindubusinessline.com, 2013

PACKAGING

Rasna Ju-C is available in attractive pet bottles.

The name of the drink is made up word with phonetics containing the words Juice and C, pronounced same as “Juicy”.

The name also signifies the 100% RDA of Vitamin Cs by the letter C at the end.

The logo of Ju-C comprises a big C further stressing upon its Vitamin C content.

www.thehindubusinessline.com, 2013

POSITIONING

Ju-C is being positioned as a nutritional snack drink.

Its trying to capture the imagination of kids as well as the

consciousness of their moms.

Its introductory phrase is ‘Tastier, Healthier and Fun’.

PEOPLE

Sales, Marketing, Operations and Quality control divisions

are already up and running.

Ju-C is established as a separate SBU of Rasna.

www.thehindubusinessline.com, 2013

www.thedelhisamachar.com, 2013

Competitive

Landscape

INGREDIENTS PER 100ML OF THE DRINK

Dabur Real Dabur Real

Activ

Rasna Ju-C

56 cal

Sugar 13 gm

Vitamin C- 12.5 mg

Potassium- 70 mg

Calcium- 5 mg

Contains added sugar

48 cal

Sugar 12 gm

Vitamin C- 20 mg

Potassium- 86 mg

Calcium- 18 mg

No added sugar

USP-Fortified with 100%

RDA Vitamin C

www.fitho.com, 2013

Tropicana Minute Maid

48 cal

Sugar 11gm

Vitamin C- 16 mg

Potassium- 170 mg

Calcium- 18 mg

No added sugar

42 cal

Sugar 10.5 gm

(no more info)

Contains added sugar

VARIANTS

Dabur Real Dabur Real Activ Rasna Ju-C

Orange, Pineapple, Mixed

fruit, Apple, Mango,

Pomegranate, Cranberry,

Guava, Grape, Sweet Lime,

Litchi, Peach, Plum and

Apricot.

Orange, Carrot juice,

Multi-fruit, Apple, Mixed

Fruit Spinach-Cucumber

Juice, Mixed Fruit

Beetroot-Carrot Juice and

Real ActiV+ fiber.

Mango, Apple, Orange,

Pineapple and Mixed

www.fitho.in, 2013

www.thehindu.com, 2013

www.thehimalyantimes.com,

2014

Tropicana Minute Maid

Orange, Cranberry, Apple,

Mixed fruit, Pineapple,

Mango, Guava, Litchi,

Tomato, Grape,

Pomegranate and 100%

Tropicana.

Pulpy Orange, Lemon,

Apple, Mixed Fruit,

Mango, 100% - Grape,

Apple and Orange.

PRICING

Dabur Real Dabur Real Activ Rasna Ju-C

1 litre – Rs 80 to Rs 95

330 ml – Rs 50 to Rs 60

200 – Rs 23 to Rs 30

1 litre – Rs 95 1 litre -Rs 65 to Rs 75

250 ml - Rs 18

*Various sources

Tropicana Minute Maid

1 litre – Rs 99

200 ml – Rs 18 to Rs 25

1 litre – Rs 85

200 ml – Rs 20

• Previously untapped vast segment

of kids

• Growing population

• Premium pricing of ‘competitor

products’

• Increasing health consciousness

• Fast paced lifestyle

• Brand image

• Competitive pricing

• Attractive packaging

• Vast distribution channel

• Strong parent company

• Health benefits

• Popularity

Strengths

Opportunities

• Few variants

• No ‘early bird’ advantage

• Perceived as tasty, not healthy

• Presence of many competitors

• Stronghold of competitors in the

market

• Perception of “costlier means

better”.

• Environmental concerns near

bottling plants.

Threats

WeaknessesS W

TO

Rasna Ju-CSWOT ANALYSIS

The ready-to-drink beverages industry in India is already a

cluttered space with PepsiCo’s Tropicana and Dabur’s

Real Fruit juice as the dominant players.

Rasna, which enjoys more than 80 per cent market share

in the powdered and concentrates category, will need to

recreate the same success story for Ju-C.

Ju-C seeks to target kids who are adventurous and its

communication approach will also reflect that tonality.

It will organize adventure-centric BTL activities in schools,

and in association with the RWAs.

www.thenewdelhisamachar.com, 2013

REFERENCES

www.thedelhisamachar.com, 2013

www.thehindubusinessline, 2013

www.fitho.in, 2013

www.trendmonitor.com, 2014

www.euromonitor.com, 2013