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Pepsi cuts prices, Coke yet to follow suit
New Delhi, Apr 15: Heralding the cut-throat summer competition in soft drinks, Pepsi said today it has slashed prices of its 300 ml returnable glass bottles to six rupees in the city and this price cut may be extended to other markets to make its brands more affordable.
New Delhi, Apr 15: Heralding the cut-throat summer competition in soft drinks, Pepsi said today it has slashed prices of its 300 ml returnable glass bottles to six rupees in the
city and this price cut may be extended to other markets to make its brands more affordable.
However, the only other soft drinks company, Coca-Cola appears to have been caught on the wrong foot, with its 300 ml pack still priced at eight rupees.
When contacted, vice-president, external, of Coca-Cola India, Sunil Gupta, said, "We're making no fresh comments on our pricing strategy. Right now, our 300 ml pack continues to be priced at Rs 8".
The fresh price war, triggered by Pepsi, follows an earlier onslaught when both the companies reduced prices by about 20 per cent across the board just before the union budget for 2003-04 provided them excise duty relief.
A Pepsi spokesperson said, "In a high-consumption market such as Delhi going into the summer, aggressive price points devolving from the 300-ml segment will work much better. Our price strategy for this market, therefore, works off this thinking. As a consequence to this, 200-ml bottles are also priced at Rs 5. The new price points are 300 ml at Rs 6, and 200 ml at Rs 5."
When contacted, vice-president, external, of Coca-Cola India, Sunil Gupta, said, "We're making no fresh comments on our pricing strategy. Right now, our 300 ml pack continues to be priced at Rs 8".
The fresh price war, triggered by Pepsi, follows an earlier onslaught when both the companies reduced prices by about 20 per cent across the board just before the union budget for 2003-04 provided them excise duty relief.
A Pepsi spokesperson said, "In a high-consumption market such as Delhi going into the summer, aggressive price points devolving from the 300-ml segment will work much better. Our price strategy for this market, therefore, works off this thinking. As a consequence to this, 200-ml bottles are also priced at Rs 5. The new price points are 300 ml at Rs 6, and 200 ml at Rs 5."
Bureau Report