Soft drink companies registered double-digit growth this summer with the new lemon category surpassing in sales out of all the other categories. The annual consumption for this category is estimated to be around Rs.100 crore. Higher advertising spending by companies like Coca-Cola India and Parle Agro has enabled this noncarbonated soft drink category to be the highest grosser this season with 26 percent growth. According to Nadia Chauhan, joint managing director & chief marketing officer, Parle Agro, the company grew faster than the market, registering a 30% growth this season.

Coca-Cola India, also witnessed consecutive growth for the last 15 quarters. According to Coca-Cola India spokesman, “If one looks at our latest Q1 2010 growth numbers, Coca-Cola India’s unit case volume grew by 29%. It involved share gains across key beverage categories –both in sparkling and in stills.” According to an independent beverage industry report, about 120 billion litre of beverages gets consumed in India annually, out of which 55 percent of sales comes during the summer.

Beverage companies are shifting focus to noncarbonated drinks because of an increase in health consciousness among consumers. Lemon has emerged as a favorite flavor this season with 49 percent share in the juice market. According to Chauhan, “The lemon drink category presents a huge untapped opportunity. Our brand LMN has been performing well. We aim to grow LMN and make the brand as big as Frooti,” For Coca-Cola, Minute Maid Pulpy Orange has enabled them to be a leader in the juice segment as the company claims that Minute Maid is the largest selling orange juice drink in the country.

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