Full Breakdown
Market Dynamics Shift: Campa and Lahori Zeera Challenge Coca-Cola and PepsiCo
11/26/2025, 12:06:20 AM
Emerging Competitors Gain Market Share
In the competitive landscape of India's soft drinks market, new entrants Campa and Lahori Zeera have significantly increased their market share, doubling it to nearly 15% during the January to September 2025 period. This growth comes at the expense of established giants Coca-Cola and PepsiCo, whose combined market share has decreased from 93% to approximately 85%, according to NielsenIQ data. The surge in popularity for Campa and Lahori Zeera is particularly notable at the Rs 10 price point, despite these brands not yet achieving a national presence and facing challenges from adverse weather conditions.
Company Profiles and Strategies
Campa, owned by Reliance Consumer Products Limited (RCPL), was reintroduced in 2023 after its acquisition in 2022. The brand has engaged in various marketing strategies, including partnerships with the Indian Premier League (IPL) and actor Ram Charan as a brand ambassador. Additionally, Campa has secured exclusive beverage rights within the Hyderabad Metro, enhancing its visibility and distribution.
Lahori Zeera, launched in 2017 by cousins Saurabh Munjal, Nikhil Doda, and Saurabh Bhutna under Archian Foods, is expanding its operations with plans to cover 80-90% of Indian pin codes by next year. The company is also introducing new product variants, such as Lahori Aamras and Masala Cola, and has established a distribution network of over 2,500 distributors.
Industry Response and Adjustments
The rise of Campa and Lahori Zeera has prompted Coca-Cola and PepsiCo to adapt their strategies. Both companies have introduced new packaging at the Rs 10 price point for popular brands like Coke, Thums Up, Sprite, Gatorade, and Pepsi, down from previous prices of Rs 12 and above. Ravi Jaipuria, chairman of Varun Beverages Ltd, PepsiCo's largest bottling partner outside the U.S., acknowledged the increasing competition, stating that it would ultimately benefit the market.
Coca-Cola's joint managing director, Paritosh Ladhani, emphasized the company's commitment to long-term market development through investments in innovation, distribution, and operational efficiencies. PepsiCo's global chairman, Ramon Laguarta, noted that while competition and weather conditions have slowed growth, recovery is anticipated in the coming quarters.
Criticism and Concerns
Despite the optimism from industry leaders, some analysts express concern over the shifting dynamics. A Mumbai-based analyst remarked that this is the first significant challenge to the Coca-Cola and PepsiCo duopoly, indicating a potential transformation in the market landscape.
Verbatim Quotes
- “While there have been smaller B-brands and regional rivals in the past such as Bovonto and Jayanti cola, it’s for the first time that the duopoly of the MNCs is being shaken up and challenged seriously,” — Analyst, Mumbai
- “We believe competition is good and healthy and will only grow the market for all of us. Obviously, since they (Reliance) are in the market there will be some minor effect temporarily, but we believe that in the long term this is going to be very healthy for the industry.” — Ravi Jaipuria, Chairman, Varun Beverages Ltd
- “Paritosh Ladhani, joint MD at SLMG Beverages, Coca-Cola’s largest bottler, said in a statement on Tuesday: “Our priority is long-term market development driven by strong local execution.” — Paritosh Ladhani, Joint MD, SLMG Beverages
As the soft drinks market evolves, the strategies of Campa and Lahori Zeera will continue to influence the competitive landscape, prompting established players to innovate and adapt to maintain their market positions.
