Big Bets on Small Packs: The Rs 10 Revolution

FMCG

MUMBAI: This summer, consumer goods companies are doubling down on the power of the ₹10 price point. From fruit drinks to dairy-based beverages, brands are launching new products and variants in this affordable price bracket, while intensifying efforts around distribution and marketing of small packs.

Take Rasna, for instance — the company has introduced a fruit drink concentrate in ₹10 sachets, each capable of making three glasses. Chairman Piruz Khambatta told TOI that the move offers a cost-effective option to lower middle-class consumers, positioning Rasna as a value-for-money alternative in a competitive category.

Mother Dairy has also expanded its ₹10 offerings, adding mango lassi and pudina chaach to its summer lineup. Meanwhile, PepsiCo has launched a no-sugar beverage in ₹10 packs, starting with Hyderabad.

While ₹10 packs have long been central to companies’ pricing strategies in price-sensitive India, the renewed push comes amid high inflation and tighter household budgets. With an early onset of summer and forecasts predicting extreme heat, companies see an opportunity to drive consumption through affordable pricing.

“In terms of consumption, the environment remains mixed,” said Karan Taurani, senior VP at Elara Capital. “Companies are pushing smaller packs to increase purchase frequency. The launch of Campa Cola at ₹10 has further intensified competition.”

Dabur echoed this sentiment, stating that its ₹10 juice packs will play a key role in expanding distribution and market share this summer. “The ₹10 price point hits the sweet spot for affordability, making it the preferred choice for out-of-home consumption,” said Monisha Prasher, marketing head of beverages at Dabur. “We’re focused on offering greater value to close the price gap with aerated drinks.”

Mother Dairy has already witnessed a 30–40% surge in demand for beverages, ice cream, and curd, driven by the early heatwave, according to MD Manish Bandlish. Amul, not to be left behind, has launched its Tru dairy-based fruit drink at ₹10 for a 150 ml pack.

Even global beverage giant Coca-Cola is taking note. During a recent visit to India, CFO John Murphy emphasized the significance of the ₹10 price point, calling it a “magic number” for Indian consumers. “Understanding what price points resonate is critical. Indian consumers are highly price elastic,” he said.

Reliance’s aggressive push for Campa Cola at ₹10 has spurred all major players to reevaluate their strategies — reaffirming that in India’s scorching summers, big bets on small packs could be the key to winning market share.

Read also: https://newsonthego.in/bihar-to-launch-special-industrial-zones-after-securing-%e2%82%b91-81-lakh-crore-in-investment-proposals/

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