CAMPA COLA: CAN IT CREATE FIZZY MEMORIES AGAIN?
CASE STUDY SOLUTION
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SYNOPSIS
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In March 2023, Reliance Consumer Products Limited (RCPL), a Reliance Retail Ventures (RRV)
subsidiary, announced the relaunch of Campa Cola, an iconic soft drink brand in India that was discontinued
almost two decades earlier. RCPL acquired Campa Cola for US$2.7 million in 2022 to capitalize on the
brand nostalgia and the appeal of a domestic brand offering high-quality aerated beverages at affordable
n
prices. The company believed that Campa Cola had a deep connection with Indian consumers due to its
unique taste and flavour. However, to be successful in the competitive market dominated by two global
tio
giants in the soft drink industry—The Coca-Cola Company (Coca-Cola) and PepsiCo Inc. (Pepsi)—RCPL
had to craft a meticulous strategy that should address three significant challenges: create a customer value
proposition, set the right pricing strategy, and trigger brand nostalgia to appeal to all market segments across
lu
generations. The relaunch of Campa Cola could be a combination of strategic decisions and bold actions
that took advantage of the brand’s local heritage and tapped into the growing trend of celebrating all things
So
desi (or “from the country”). However, RCPL, one of the largest conglomerates in India, would have to
take a leap of faith and assume a great risk. The company would have to face the challenge of determining
if Campa Cola could emerge as a viable competitor in India’s soft drink industry.
OBJECTIVES
• Explain the challenges and opportunities of reintroducing a long-forgotten brand in a highly
competitive market.
• Explore the role of differentiation in gaining market share and rebuilding a forgotten brand.
• Analyze the impact of local heritage and nostalgia on consumption and brand perception.
• Identify key factors that contribute to the success or failure of a new product launch in a highly
competitive market.
The Case Solution Starts From page 4
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ASSIGNMENT QUESTIONS
1. What strategic options are available to Campa Cola to differentiate itself from its competitors and
capture market share? Which option or options do you recommend and why?
2. Discuss the potential advantages and disadvantages of focusing on nostalgia and the “local” taste versus
positioning Campa Cola as a modern and innovative product in the market. Which approach do you
recommend and why?
3. Evaluate the impact of Coca-Cola’s response to the entry of Campa Cola into the market, including its
decision to reduce the price of its lowest stock-keeping unit. What implications does this have for
Campa Cola’s strategy in the future?
4. How can Campa Cola use the consumer ethnocentrism model to create brand nostalgia among its
consumers?
The Case Solution Starts From page 4
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ANALYSIS
1. What strategic options are available to Campa Cola to differentiate itself from its competitors
and capture market share? Which option or options do you recommend and why?
Campa Cola faces the challenge of differentiating itself from established competitors and capturing market
share. To do this, the company could consider various strategic options, such as focusing on nostalgia and
the desi taste or positioning the soft drink as a modern and innovative product.
For their response to this question, students can be encouraged to apply Michael E. Porter’s three generic
strategies for companies to achieve a sustainable competitive advantage: cost leadership, differentiation, or
focus.2 In the case of Campa Cola, the company could adopt a differentiation strategy that focuses on its
unique selling propositions, such as its local heritage and distinctive taste. The company could leverage
nostalgia by promoting the brand as a symbol of the “good old days” and tapping into the trend of
celebrating all things desi. Additionally, Campa Cola could differentiate itself by offering innovative
product variants or packaging designs that stand out from competitors.
The Case Solution Starts From page 4
CASE STUDY SOLUTION
e
pl
SYNOPSIS
m
Sa
In March 2023, Reliance Consumer Products Limited (RCPL), a Reliance Retail Ventures (RRV)
subsidiary, announced the relaunch of Campa Cola, an iconic soft drink brand in India that was discontinued
almost two decades earlier. RCPL acquired Campa Cola for US$2.7 million in 2022 to capitalize on the
brand nostalgia and the appeal of a domestic brand offering high-quality aerated beverages at affordable
n
prices. The company believed that Campa Cola had a deep connection with Indian consumers due to its
unique taste and flavour. However, to be successful in the competitive market dominated by two global
tio
giants in the soft drink industry—The Coca-Cola Company (Coca-Cola) and PepsiCo Inc. (Pepsi)—RCPL
had to craft a meticulous strategy that should address three significant challenges: create a customer value
proposition, set the right pricing strategy, and trigger brand nostalgia to appeal to all market segments across
lu
generations. The relaunch of Campa Cola could be a combination of strategic decisions and bold actions
that took advantage of the brand’s local heritage and tapped into the growing trend of celebrating all things
So
desi (or “from the country”). However, RCPL, one of the largest conglomerates in India, would have to
take a leap of faith and assume a great risk. The company would have to face the challenge of determining
if Campa Cola could emerge as a viable competitor in India’s soft drink industry.
OBJECTIVES
• Explain the challenges and opportunities of reintroducing a long-forgotten brand in a highly
competitive market.
• Explore the role of differentiation in gaining market share and rebuilding a forgotten brand.
• Analyze the impact of local heritage and nostalgia on consumption and brand perception.
• Identify key factors that contribute to the success or failure of a new product launch in a highly
competitive market.
The Case Solution Starts From page 4
, e
pl
m
Sa
n
tio
lu
So
ASSIGNMENT QUESTIONS
1. What strategic options are available to Campa Cola to differentiate itself from its competitors and
capture market share? Which option or options do you recommend and why?
2. Discuss the potential advantages and disadvantages of focusing on nostalgia and the “local” taste versus
positioning Campa Cola as a modern and innovative product in the market. Which approach do you
recommend and why?
3. Evaluate the impact of Coca-Cola’s response to the entry of Campa Cola into the market, including its
decision to reduce the price of its lowest stock-keeping unit. What implications does this have for
Campa Cola’s strategy in the future?
4. How can Campa Cola use the consumer ethnocentrism model to create brand nostalgia among its
consumers?
The Case Solution Starts From page 4
, e
pl
m
Sa
n
tio
lu
So
ANALYSIS
1. What strategic options are available to Campa Cola to differentiate itself from its competitors
and capture market share? Which option or options do you recommend and why?
Campa Cola faces the challenge of differentiating itself from established competitors and capturing market
share. To do this, the company could consider various strategic options, such as focusing on nostalgia and
the desi taste or positioning the soft drink as a modern and innovative product.
For their response to this question, students can be encouraged to apply Michael E. Porter’s three generic
strategies for companies to achieve a sustainable competitive advantage: cost leadership, differentiation, or
focus.2 In the case of Campa Cola, the company could adopt a differentiation strategy that focuses on its
unique selling propositions, such as its local heritage and distinctive taste. The company could leverage
nostalgia by promoting the brand as a symbol of the “good old days” and tapping into the trend of
celebrating all things desi. Additionally, Campa Cola could differentiate itself by offering innovative
product variants or packaging designs that stand out from competitors.
The Case Solution Starts From page 4
