Non-alcoholic beverage firm –SVAMI – plans to enter the energy drinks segment and mass-priced drinks, as part of its strategy to tap into the mainstream category dominated by Coca-Cola and Pepsi.
The company has collaborated with Moet Hennesy to curate special mixers and has also launched low calorie and salted lemonade recently.
Sahil Jatana, co-founder, Svami Drinks said that they have been perceived as a premium or a niche brand, but we have always been a mass premium brand. Salted lemonade and the 2 Cal Cola are probably the most versatile beverages, by launching them at a lower price point than the other beverages in our portfolio. The company wants to reiterate that it is a mass premium brand.
The consumption of liquor at bars and restaurants in 2020 shrank to about a 10th of the overall share—it’s typically about a third—as outlets were forced to shut due to the Covid-19 pandemic and folks imbibed their alcohol at home. This helped Svami, known for its tonic water mixers, double its sales last year despite sales at hotels, restaurants and caterers (HoReCa) channels suffering due to outlet closures and limited mobility.
The company said since last year, retail sales have quadrupled while online sales expanded 20 times, albeit over a small base. While the brand is present in Hong Kong and Singapore, it is now looking to expand to the European market, Australia and Canada in the next few months. The packaged non-alcoholic beverages market is forecasted to grow at a CAGR of 16.2% as per the Goldstein Market Intelligence analysis between 2017 and 2030 to reach $20.4 billion as more people opt for packaged drinks.