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Posted on Dec 07, 09:06PM | IBNS
India's leading ice cream and frozen processed foods major, Vadilal Industries Limited, has entered the Indian flavoured milk market with its new 'Power Sip' under the Vadilal Quick Treat umbrella brand.
This new initiative is part of the company's long-term strategy to offer a wider range of frozen food products to consumers and its first major product launch in the beverages market.
The potential for growth in the Indian flavoured milk is very good with an estimated annual growth rate of 15-20pc .
Vadilal said it will utilise its strong ice cream retail distribution network to make this new product a popular brand across India over the next few years.
Vadilal's Power Sip will come in a 180 ml bottle priced at Rs 18 with three flavours - rose, elaichi and kesar. More flavours like chocolate, badam and coffee will follow in a few months.
No preservative are used in Power Sip and it has a long shelf life of six months, said the company.
Flavoured milk is largely an impulse category product and Vadilal will focus on making Power Sip available at tourist places, railway stations, bus stands, airports, schools and college canteens, etc.
Commenting on the flavoured milk launch, Devanshu Gandhi, Managing Director of Vadilal Industries Ltd, said, "Power Sip is being launched in Ahmedabad first and over the next six months it will be sold across Gujarat. Thereafter, we will introduce this new product in Maharashtra, Madhya Pradesh and Rajasthan.
"Rest of India will follow in the second and third years. Our target is to capture 5-7pc market share over the next three years and make Power Sip a Rs 30 crore plus brand. This is our first major launch in the non-ice cream dairy sector and we plan to introduce more products in this space in future."
Rajesh Gandhi, Managing Director of Vadilal Industries Ltd, said, "After establishing the company as the second largest ice cream player and a leading player in the frozen processed foods market, we are now strategically looking at those segments which offer us value chain benefits and strong growth.
"The flavoured milk segment fits in well with our wide distribution network and a strong projected growth rate of 20pc per annum in future. With an extensive distribution network of over 50,000 retailers, 250 stock keeping units (SKUs), 550 distributors and 32 CNFs across India, we are well placed to make Power Sip a successful national brand."