Coca-Cola’s global president and chief financial officer, John Murphy, has acknowledged the growing competition in India’s beverage market, highlighting the impact of local brands such as Campa. Speaking at a media roundtable, Murphy noted that rising competition challenges Coca-Cola to remain proactive and invest in strategies that keep the brand relevant.
Local players, including Campa, are making significant strides in the Indian beverage market, Murphy said. He emphasized that competition plays a crucial role in driving excellence, ensuring that Coca-Cola remains innovative and adaptable. “When we have no competition, we tend to get complacent. The presence of strong local players challenges us to be at our best,” he stated.
Murphy pointed to India’s young population, rising consumption expenditure, and urbanization as key factors driving growth in the beverage industry. He also noted that government investments in infrastructure and digitalization have improved accessibility and created new opportunities for businesses like Coca-Cola.
Commenting on Reliance Industries’ reentry into the soft drink market with the Campa brand, Murphy acknowledged its impact but stressed that Coca-Cola faces competition from multiple regional and local players. “Campa is just one of many competitors. Varun Beverages, for example, is also doing a great job, and this competitive landscape pushes us to stay ahead,” he said.
Coca-Cola’s strong portfolio in India, which includes brands such as Thums Up, Maaza, and Limca, remains a key advantage. Murphy highlighted the importance of staying agile and continuing to invest in capabilities that drive growth. “We are more excited about our business prospects in India than ever before,” he added.
Reliance Industries, led by billionaire Mukesh Ambani, acquired the defunct Campa brand in 2022 and relaunched it a year later. The brand’s aggressive pricing strategy, including a Rs 10 PET bottle, has disrupted the market, compelling rivals to adjust pricing strategies.
Murphy also addressed concerns about inflation, stating that Indian consumers are price-sensitive but adaptable. Coca-Cola plans to maintain its “magic price points” while offering varied packaging options to cater to different consumer needs. “Pricing has a role to play, but our primary focus is building a diverse portfolio that allows us to operate at different price points,” he concluded.
India is the fifth-largest market for Coca-Cola globally, and the company continues to explore opportunities for expansion in the region.