Real Juice Analysis

Market With an annual consumption of to a greater extent than 300 million litres (Source Tetrapak India Study), fruit juice is not an alien design for the Indian market. However, a very large part of the Indian consumer today feels alienated when fruit juice is packaged. Perhaps, that is why packaged juice accounts for only between 15% and 20% of the total juice consumption in India. Comp ard to the West, packaged fruit juice penetration, at just 4%, is still very low (Source NRS 2005). Symbolised by the orange fruit, packaged juices and nectars are driven by fair juice made at home and popularised by the street-side juice vendor.Dabur Foods Limited (DFL) has ever taken an unyielding stand on these consumer barriers and has consistently been thinking out of the box for the last(a) nine years, with a resolve to innovate and evolve new products. The truly concept of sweetened juices grew from the insight that Indian consumers preferred juice sweetened not bitter as is commonly available in the West. It innovated variants like Litchi and guava and also introduced the latest promotional material technologies in the Indian market. These innovations, driven through Real and its sub-brands, have become accepted paradigms for the industry.Innovations, coupled with rising affluence and the justarrived go through class have injected new life into this Rs. 300 crore (US$ 66. 7 million) market today growing at 40% per annum. Achievements With an innovative range, Real has driven the step-up of the packaged fruit juice market in India. Along with its sub-brands, Real commands a market share of more than 50% in the packaged juices and nectars market (Source ACNielsen, December 2005), achieving for itself a position of an undoubted category leader.The good-nigh important achievement of Real has been introducing the savor dimension into a category traditionally driven by health and dogood properties. With Real, DFL was also able to segment the market early, th us effectively creating a differentiated niche in the no-added sugar juice category with its sub-brand, RealActiv. The succeeder of this variant was demonstrated in numbers, when Real-Activ garnered two-thirds share in the no-added sugar juice category within six months of its re-launch in 2005 (Source Tetrapak India).Today, Real and its sub-brands sell across 100,000 retail outlets and 4000 food-services accounts, selling approximately 4. 5 million packs every month to more than one million consumers. Testimony to Reals achievements has come from various quarters. succession a host of brands domestic and international have entered this high growth market in the last few years, Real continues to be the brand consumers give the just about. In this context, Real won the Platinum gift in the 9th Readers Digest Trusted Brands Survey in the Juice category, for the year 2006.A Platinum award means that Real achieved a rating score of more than three times its nearest competitor. S ince 2002, Real has been consistently winning the award for the Highest Sales branch achieved by a brand in a non-dairy product category, at the National Dairy and Beverage seminar Innovation for Growth organised by Tetrapak. narrative The introduction of Real fruit juices and nectars was triggered by a personal unmet need of Amit Burman, the CEO of DFL who, on returning to India after working in the US, found the absence seizure of packaged fruit juices frustrating.Traditionally, drinking fruit juices in urban India has been a social indulgence or consumed for seeking health benefits. DFL foresaw the imminent inflection load in this consumer behaviour, glimpses of which were already being witnessed in rapid urbanisation, growth in income and lifestyle changes. Also Dabur was in an ideal position to grow on the strength of the processed foods category. Its understanding of the Indian consumer, experience in managing natural foods and expertise in creating and marketing success ful consumer brands was a rare mix that gave it a knifelike edge.Acknowledging these positive indicators, DFL introduced the Real range in 1996 as Indias first completely natural, healthy, packaged fruit juice with no preservatives. The value add-ons revolved round several factors ready availability of great tasting, natural, preservativefree juices in a range of fruit variants, availability in all seasons convenience of open-pour-anddrink packaging complete hygiene and a healthy beverage option that gave consumers more choice. Recognising the trend that an increasing number of Indians were eating out, DFL also identified the institutional opportunity much earlier.In fact as early as 1998, Dabur became the first fruit juice company to set up a separate food services department to cater to the institutional segment. This division also partners and develops customised solutions for hotels, 156 SUPERBRANDS airlines, restaurants, caterers and hospitals. However, the road to success for Real was not a smooth one. It had to understand the very special Indian tad of adding sugar to fruit juice extracted at home. The second learning was the fact that Indian consumers believe that packaged juices are inferior and become stale everyplace time and that chemicals are added to extend shelf-life.Dabur invested considerably in convincing consumers that Real fruit juice was natural, preservativefree, healthy and convenient. But perhaps, the biggest challenge was developing a food-sensitive warehouse-management cookery programme at all levels of the channel to ensure that the freshest product reached the market. Recent Developments In recent times, Reals single most important cause has been to drive relevance through segmentation and widen brand appeal. With a view to attract consumers of fruit drinks into Reals portfolio, Real Mango straining was launched in 2005.Mango Twist is a unique blend of mango nectar with other fruit juices. It is available in two variants Mango orange and Mango Papaya. In the no-added sugar category, Real-Activ offers a range of healthy fruit variants like Orange and Apple and fruit-vegetable blend juices such as Orange-Carrot, intricate Fruit-Beetroot-Carrot and Mixed Fruit-Cucumber-Spinach. Coolers, a range of summer fruit drinks is an occasion-led variant of Real, which offers variants made from fruits known for their cooling properties.It is currently available in four variants Aampanna, Watermelon-Mint, Lemon-Barley and Rose-Litchi. Product Targeted at the family, Real offers the largest range of fruit variety in its juice and nectar range. It has consistently innovated to re-define and strengthen its position in the Indian market. Real not only offers the most basic and generic-to-category variants like Orange and Mango, but also an assortment of varieties like Pineapple, Mixed Fruit, Grape, Tomato and fruit nectars like Guava and Litchi.On the more foreign side, Real also has Cranberry nectar. Research cond ucted by Blackstone Market Facts found that Real was preferred by over 50% of the respondents. Real was liked for being the stop tasting juice a category where likeability is primarily driven by taste. Ensuring that batch after batch of the right taste is delivered to the end consumer, DFL has instituted an internal taste panel, which evaluates every new product before it is sent out for product test or test marketing.DFL also recognised very early that packaging was the cornerstone of innovation in this category. This was even more critical in todays environment where packaging has become so integral to the livelong product experience and marketing communication. DFL was the first company to introduce cap on-pack. This enabled consumers the flexibility of re-use even as the cap helped retain freshness. Real uses the Tetrapak spin cap, frosty fill technology and spill-proof double seal cap for packaging. This technology protects the juice and keeps it fresh longer.The spin cap a lso makes it convenient to pour the juice without spillage. In introducing Real-Activ, Dabur became the first juice brand in India to offer the Tetra Prisma packaging format, which is easy-to-open and has better pouring control. ability to effectively use innovative merchandising opportunities and promotions at a local level for example, merchandising Real at fruit kiosks to draw out the association with fruits strongly and go along the key brand benefit of As good as eating a fruit. PromotionAt DFL, the belief is that brand equity can be developed by promotions that are strategic. The advertising campaign for Real communicates the key brand benefit of As good as eating a fruit. While the family consumes the brand, the child is always at the centre of any communication. Besides the mainline communication, Real has also accomplished some innovative consumer promotions. Real Taste Challenge, for instance, was an interesting way to communicate the core benefits of Real and reinforce the brands core position.It touch on asking consumers to identify the fruit by tasting the juice. When consumers guessed correctly, they were offered a trial give notice on purchase of a onelitre Real juice pack. The Real Fruit ka Juice offer was an innovative national promotion in which consumers were invited to contribute fresh fruit in exchange for a pack of Real. The fruits collected at various centres were donated to local NGOs working for the cause of underprivileged children.With Real, DFL is also actively involved in conducting consumer education programmes to promote nutritional awareness. These programmes are conducted at various levels schools, doctors, nutritionists and corporates. In schools, the communication is centred on the concept of Power of 5, which conveys the importance of a well balanced, nutritious packed lunch for school kids. The doctors and nutritionists programme is focused around the role of a septic technology in fruit juices, the benefits of packag ed juices and roughly nutrition and safety.The corporate programme, on the other hand, addresses the role of fruit juices in building a healthy lifestyle and importance of a nutritious sustenance in disease prevention. One of the biggest assets for Real has been its teams Brand Values A housewife has succinctly put the essence of Real during a focus assembly session Real naam se hee lagta hai real juice hoga. In the consumers mind, Real stands for authentic fruit juice, which defines the standard of taste and quality. As a brand, Real radiates originality it offers the most novel products, fruit variants and a taste that the consumer is familiar with.The core essence of the brand is Original Goodness tangibly displayed by delivering healthy juices through exquisite fruit variants. www. daburfoods. com THINGS YOU DIDNT KNOW ABOUT Real Fruit Juice Real is Indias first packaged fruit juice brand. Real and its sub-brands served more than 140 million juice helpings last year. 75% o f all mocktails served in India are made from Real juices. The number of packs sold by Real last year, laid side-by-side, would exceed Indias coastline of 7516 kilometres. Evolution of the Real packaging SUPERBRANDS 157