Coca-Cola India – Ready To Invest $2 BillionWritten by Vuk Bojović / Featured in: Business / 15.11.2011.
Coca-Cola India announced that it will invest $ 2 Billion in the next five years, starting 2012, in NARTD market (Non-Alcoholic-Ready-To-Drink). Surprisingly, Coke is not as well ranked as a beverage in India. Both Sprite and Thumbs Up are ahead on the top selling soft drinks list.However, they do know that there are always some openings that may occur in this market.
“India is one of our most important growth markets as we work toward our 2020 Vision of doubling system revenues and servings this decade. The opportunity in the packaged beverage segment is immense, and our efforts in India are focused on being the beverage of choice all day, every day. If we continue to do the right things each day and at all times, it would not surprise me if India becomes one of the top five markets for the Company globally by the end of this decade.” – said Ahmet C. Bozer, Coca-Cola’s President of Eurasia and Africa Group.
In the past two decades, Coca-Cola invested over $2 Billion and this is not where it shall stop. With these new investments, Coke is declaring Indian market to be one of their top markets worldwide, along with Russian market. Isn’t that a surprise? Let us remind that only a month ago, Coca-Cola Company signed a multi-billion dollar contract with Coca-Cola in Russia, and is one of the main sponsors of Winter Olympics in Sochi (read more about it here.). After all, it is clear that Coke is rather following all the economics brands in order to raise their sales. They are targeting for the countries with the highest economic development in the world. And guess what – those are the countries of BRIC (Brazil, Russia, India, China). If you move China and India aside, population superior country would be United States. However, if you can’t fight them, join them. That is the strategy Coke is using to spread out their mysterious beverage.
Also, Coca-Cola is cooperating closely with non-governmental organizations in India in order to develop the community. These initiatives are helping the people throughout sports and education, and thus help Coke get through as a brand next to its competitors. On the other hand, we all know that not consuming Coca-Cola would help sports a lot more, but I appreciate the effort of Coke with the social involvement.