Healthier Options in Smaller Packs Signal Intensifying Cola War
Global beverage giants Coca-Cola and PepsiCo have launched no-sugar and light variants priced at Rs.10, aiming to counter Reliance Consumer’s Campa Cola and tap into India’s growing demand for healthier drink options.
Both companies have expanded their portfolios to include Thums Up X Force, Coke Zero, Sprite Zero, and Pepsi No-Sugar in these affordable smaller packs. This marks the first time the Indian units of Coca-Cola and PepsiCo have introduced diet and light drinks at such low price points.
“By introducing these products in smaller packs, the companies are strategically avoiding price cuts on their mainstay brands,” said a senior industry insider. The move is seen as a calculated response to Campa’s aggressive expansion plans.
Sanjeev Agrawal, Group Chairman of MMG Group — one of Coca-Cola’s major franchisee bottlers — emphasized the shift in consumer preferences toward healthier drinks. “To meet these evolving trends, we’ve expanded our diets and lights portfolio beyond Diet Coke, introducing Coke Zero, Sprite Zero, and Thums Up X Force with prices starting from Rs. 10,” he said. These drinks are available in pack sizes of 250ml and 500ml.
PepsiCo, meanwhile, has launched 200ml Pepsi No-Sugar bottles at Rs. 10, with Andhra Pradesh serving as the initial rollout market. “This strategic entry into Andhra Pradesh is to counter Campa and other regional B-brands,” an industry executive revealed. Andhra Pradesh, where Campa debuted in 2023, is one of India’s largest cola markets, operated by PepsiCo franchisee CK Jaipuria Group.
According to NielsenIQ data, Andhra Pradesh and Telangana account for nearly 20% of India’s aerated drink sales, making them prime battlegrounds for cola brands. Reliance Consumer’s Campa is expanding its Rs.10,200ml bottle offering both in offline stores and via quick commerce platforms.
Despite the Rs. 10 pricing strategy not being highly profitable, major cola brands are maintaining their core product prices while driving sales through promotions and bundle offers across retail and quick-commerce channels.
Industry data suggests that no-sugar and low-sugar beverages doubled in sales last year, reaching Rs. 700-750 crore. In 2024, these segments contributed 44.4% to PepsiCo’s total sales volume, up from 40.2% the previous year — the fastest growth on record for PepsiCo in India.
With consumer preferences shifting toward healthier choices, especially in urban markets, the cola battle is set to heat up further as major players aggressively expand their no-sugar offerings.