Sprite now a $1 billion brand in India: Coca-Cola CEO James Quincey

Quincey told investors, "India had a knock-out quarter clearly they are having a very strong run this year. He also said that the company is looking to continue to invest strongly in the country.

Global soft drinks major Coca-Cola Company on Tuesday said its lemon and lime-flavoured soft drink Sprite has become a $1-billion brand in the Indian market.

The company attributed the success of the brand to locally-adapted occasion-based global marketing campaigns.

James Quincey, chairman and chief executive officer of Coca-Cola, told investors after an earnings call, “In India, we continue to strengthen the first half of the year as we gained share in sparkling soft drinks. Trademark Coke delivered strong growth with effective execution and occasion-based marketing.”

In February, the company informed investors that its brand Thums Up became a $1-billion brand in India.  

India is the fifth-largest market for Coca-Cola globally.

On a year-to-date basis, Coca-Cola drove approximately 2.5 billion transactions at affordable price points through the expansion of returnable glass bottles and single-serve polyethylene terephthalate packages in India, Quincey told investors.

“India had a knock-out quarter. Clearly, they are having a very strong run this year,” said Quincey. He also said that the company is looking to continue to invest strongly in the country.

On a consolidated basis, Coca-Cola’s unit case volume grew 4 per cent, with broad-based growth across most operating segments, it said in its September quarter earnings release.

It added, “Growth in developed markets was led by Western Europe, Mexico, and the US, while growth in developing and emerging markets was led by India, China, and Brazil.”

In nutrition, juice, dairy, and plant-based beverages were even, as growth in the quarter ended September, led by Minute Maid Pulpy in China, Maaza in India, and fairlife in the US, was offset by declines primarily in local brands in Eastern Europe.

In Asia-Pacific, its unit case volume grew 9 per cent, driven by strong growth in India and China. Growth was led by sparkling soft drinks and hydration, the company said.

In bottling investments, Coca-Cola’s unit case volume grew 16 per cent, driven by strength in India and Vietnam.

PepsiCo also saw its beverage volume witness double-digit growth in India in the 12 weeks ended on September 3. Also, its convenient food volume grew in mid single-digits.

It also said in its earnings, “Convenient foods unit volume declined 2 per cent (in Africa, West Asia, and South Asia), primarily reflecting high single-digit decline in South Africa, partially offset by double-digit growth in West Asia and Pakistan and mid-single-digit growth in India.”

PepsiCo’s beverage unit volume grew 11 per cent, which primarily reflected double-digit growth in India.