The Dharampal Satyapal (DS) Group, which has FMCG brands such as Catch (salt and spices, natural spring water and beverages), Pass Pass and Rajnigandha, has forayed into the Rs 9,000-crore confectionery industry with Pass Pass Chingles chewing gum. Puesh Kumar, director, DS Group, says, “DS Group has forayed into the growing confectionery business to expand its foot print in the food space. The food business, especially confectionery, will be the new growth driver for the company. It is an extension of our product line aimed to leverage the depth of our retail network.”
This also means that Pass Pass, the leading mouth freshener brand, will have a bigger portfolio. Chingles will be available at Rs 1 for a 2.52-gm sachet and for Rs 5 for a 10.8-gm zipper pouch. It has three flavours — nimbu and saunf and mint, in keeping with the broader Pass Pass brand promise of refreshing the consumer’s breath. Nimbu and saunf are new flavours in the chewing gum category (Orbit, from the Wrigley Company, has a lime flavour). The company hopes that Chingles will clock Rs 130 crore in sales in its first year.
Chingles is a result of a year’s research and development. “Our advertising spend will be Rs 50 crore, while Rs 100 crore will be invested on production and other costs,” says a DS Group spokesperson. The company test-marketed Chingles in Nagpur, Pune, Chandrapur in Maharastra, Noida and Jaipur and has lined up a high profile marketing campaign to support the launch.
“It will be promoted through above-the-line and below-the-line activities comprising advertising on television, radio, digital medium, social networking sites and via various consumer promotion activities in colleges, malls and at marketplace, youth-centric events, innovative point of purchase at the retail level. We have look walkers (human billboards, backpack bags with Chingles ads on it) in malls and retail outlets. A Bollywood theme-based canter activity was done in cities such as Nagpur, Pune, Lucknow and Kanpur. We will dole out freebies to generate excitement,” adds the spokesperson.
According to reports from EuroMonitor and Tata Strategic Management Group, the Indian confectionery market is pegged at Rs 9,000 crore, of which the chewing gum segment is estimated at Rs 1,600 crore plus, growing at 25 per cent. The market is dominated by Perfetti, which has Centre Fresh, bubble gum brand Big Babol and Centre Shock in its portfolio. It has also made an entry into the health care segment by launching Happydent white gum for sparkling teeth.
DS Group’s focus for this fiscal will be confectionary products. Its umbrella brand, traditional mouth freshener Pass Pass, is growing 40 per cent. In the next quarter, DS will launch two more products in the same category. It also wants to strengthen its 1-million plus distribution network.
The brand has been positioned on the element of fun and that is what Chingles’ communication strategy builds on. Advertising agency Dentsu has the creative mandate for Chingles. A series of television commercials will be on air mid-April, with the tagline ‘Aaj lee kya?’ across major channels. The advertising strategy explores the mischievous dimension of ‘togetherness’, a value that the mother brand Pass Pass is trying to own. “Given today’s hectic lifestyle, we have forgotten to have fun,” says the spokesperson. “Chingles proposes to poke people out of funeral seriousness to have fun and come closer.