Parle Agro aims to make its annual revenue to Rs.5,000 crore by 2018
Parle Agro aims to make its annual revenue to Rs.5,000 crore by 2018

Parle Agro Pvt. Ltd is launching a fizzy version of Frooti—the first brand extension for the popular mango drink launched 32 years ago.

Frooti Fizz is an attempt to build on the success of the original fruit beverage, which is Parle Agro’s largest revenue earner, making up more than 60% of the company’s sales.

Frooti Fizz, priced at Rs.15 for a 250 ml PET package, Rs.30 for a 500 ml PET package and Rs.25 for a 250 ml can, will be retailed across 1.2 million outlets of the estimated nine million outlets in the country, according to the firm.

Parle Agro has set for itself the target of increasing annual revenue to Rs5,000 crore by 2018, from Rs2,800 crore, said Nadia Chauhan, joint managing director and chief marketing officer.

Chauhan said, "Parle Agro created the fruit plus fizz category in 2005 with the launch of Appy Fizz. Today, we hold maximum market share in this category. The launch of Frooti Fizz is a step towards taking this category to the next level. Mango continues to be India’s largest consumed fruit flavour and there’s space for the fizzy version of the mango drink in the market."

The company will be spending about Rs100 crore on the launch of Frooti Fizz, including the marketing expenses, said Chauhan. Some analysts are skeptical about the potential of Frooti Fizz.

Rajat Wahi, Partner and Head (Consumer Markets), at consulting firm KPMG in India, said, "It’s a bit surprising why the company is launching a fizzy version of a successful brand when the carbonated beverages market is witnessing slow growth. It could have, instead, looked at the fortified drinks segment. As an extension of a successful mass brand, it might work, but eventually, the company will have to focus on fortified drinks."

 
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