CONSUMER PERCEPTION ON FRUIT DRINKS: A FIELD SURVEY IN TIRUNELVELI DISTRICT TAMILNADU, SOUTH INDIA
Palayamkottai-Tirunelveli. Tamil Nadu. INDIA Since the inception of soft drink in the 1830's, its consumption has steadily increased with technological advances in production and increased product availability. Recent statistics from the United States Department of Agriculture reported a per capita increase in regular soft drink consumption from 28 gallons per person in 1986 to 51 gallons per person in 2006. In spite of India's huge population and the fact that around 47% of the population is
... the population is composed of persons below 30 years of age, the per-capita consumption of soft drinks in India remains very low, at approximately at 5.2 liters against the world average of nearly 85.22 liters. Developed countries such as the US, Germany, Italy and Spain all have per-capita consumption in the range of 280-400 liters, showcasing the huge potential for market growth in India. The extreme competitive nature of the mango fruit drink industry, the slow growing market size and the shrinking margins, a firm that is going to be successful and generate above average returns must have a sound and coherent strategy. In order for large scale companies like Pepsi and Coke to protect their positions, they must be wary of private label infiltration. The biggest threat in Tirunelveli district is local brand mango fruit drinks. Given the large amount of Pepsi and Coke that is currently sold mostly in urban area, the consequences could be huge if the small scale private companies label becomes accepted and even preferred by the consumer. From a channel perspective, local mango fruit drinks are dominating the branded mango fruit drinks in fountain stations. This is a concern that branded mango fruit drinks must address in the in Tirunelveli district.