Coca-Cola India registers best quarterly sales growth

“In India, we delivered our best quarter ever, volumetrically; This is 1 billion incremental transactions in the quarter, led by an affordable single-serve pack. We achieved market share in sparkling soft drinks and juices, and our systems continue to invest in execution to capture market availability and growth,” said James Quincy, President and CEO of The Coca-Cola Company. Said during earnings call Tuesday.

India faced an early summer this year, while consumer mobility continues to pick up with an increase in both domestic travel and out-of-home movement.

The maker of Coke and Mazza Beverages said unit case volumes in the Asia-Pacific region grew 11% during the second quarter, driven by strong growth in India and the Philippines. “Growth was driven by bright soft drinks and juices and juice drinks,” the company said on sector-specific demand.

Overall, growth in developing and emerging markets was led by India and Brazil.

Coca-Cola topped expectations on the road to post a 12% increase in net revenue for the second quarter to $11.3 billion, indicating a recovery from the pandemic.

Meanwhile, across categories, the beverage maker said that at a consolidated level, sparkling soft drink volume grew 8%, driven by higher sales across all operating geographies, but primarily India, Mexico and Brazil. was led by.

Nutrition products, juices, dairy and plant-based beverages grew 6%, led by Maaza in India, Fairlife in the US and Del Valle in Latin America, the company said in its earnings note.

In India, Coca-Cola is expanding its consumer base by reaching out to more outlets by adding affordable products. This is especially important as companies face high inflation and consumers choose value offerings. “For example, in India, we focused on segmented pricing, multi-serves and premium packs with increasing prices, but focused on transaction driving price points and single serves, in addition to an affordable portfolio,” Quincey said.

In May, Sanket Ray, president of Coca-Cola, India and South-West Asia, said the company was promoting returnable glass bottles to reduce packaging costs and reach more customers.

Earlier this month, rival PepsiCo said its beverage business posted double-digit volume growth in India in the second quarter, pointing to strong sales during the summer, as demand for soft drinks picked up.

Coca-Cola sells brands like Thums Up, Sprite and Limca in India. In February, it said that domestic aerated drink Thums Up had become a multi-billion dollar brand in 2021.

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