SAFA completes one year in India

Safa Juices & Nectars, a fruit juice brand from the Gulf & Safa Dairies Company, was introduced in the Indian market a year ago. Available in 13 Indian and international flavours, it is being marketed in India by V. Pearl Health Foods Pvt Ltd. Manoj Choudhary, director, speaks to Neeti Mehra about its first year in the Indian market.

How successful has been SAFA's entry into the Indian market?

The Indian market is flourishing when it comes to fruit juices and nectars and it has been a very good start for SAFA. V. Pearl health foods currently has a portfolio of 13 juices and nectars under the SAFA brand, offering the consumer a large range of international quality products at affordable Indian prices. The range is a mix of nectars and 100 per cent natural juices without any added sugar and all the variants are without any added colour or preservatives. We have exotic variants like peach, apricot, pomegranate and grapefruit to compliment the range along with the other varieties.

Indian consumers have been receptive to new launches in the beverage sector, and SAFA sales have remained rather firm over the past year. We offer conveniently sized tetra packs of 1000ml as well as 200ml packs and these 'on the go' offerings, have also boosted our sales.

What is your target audience?

Well, as I mentioned earlier, the product range is a mix of juices and nectars, with a few variants especially concocted keeping in mind the Indian taste buds. The ranges of 100 per cent juices are liked by all age groups, but are preferred by the growing health conscious segment. The nectars are personal favourites of kids of all ages with a desire to relish the exotic taste. Our grapefruit juice is targeting diabetics due to its medicinal values, and the hotel industry as grapefruit juice is used in mocktail and cocktail preparations.

Which cities are you currently focusing on?

For now our focus is on Mumbai, Pune and Goa. We plan to move towards south and north in this year; our main aim is to cover all the metro and mini metros and the short-term goal set for 2006 is to reach across 14 cities of India successfully.

What is the market share of SAFA currently?

To give you a ballpark figure, our market share is approximately 2 per cent of the total juices and nectars category, but among the imported fruit juices we are definitely leaders. We grew at the rate of 60 per cent in the last quarter and hope to keep it going at the same rate. We are also focusing on increasing the purchase intent among diet and fitness conscious individuals - primarily women.

Can you elaborate on the marketing strategy used for promoting Safa in the past one year?

SAFA is built on a health platform, and thereby we are reviving the idea that juices play an important role in sustaining health. We replicate this in the tag line 'To Your Health.' This marketing strategy has been very successful. However, Safa fruit juices with their great taste and premium quality definitely offer more than just health. We have focused on below-the-line promotion strategies as far as advertising and awareness is concerned; we have been regular at participating in trade shows and consumer fairs, making our presence felt and reaching out to the masses. Also on-ground promotions for more consumer trials have been a key to success. We are glad looking at our sales in the market and appreciate how well our products are accepted by the consumers

What is on the anvil in the forthcoming year?

After studying the everyday consumers and their desires for a variety of flavours and tastes, we plan to come up with new variants, which would be a mix of new fruit nectars and juices along with a few fruit-vegetable combinations. For this we will keep in mind the contemporary consumer segments' aspirations for good health.

There is a perception that imported products, particularly health products, are usually expensive. How competitively is SAFA priced and what efforts are being made to dispel this notion?

Of course SAFA entered the market with a very competitive price but we were very clear since the beginning that the leading Indian players were never competition or a threat because SAFA belonged to the imported juice segment. Deciding the prices was a crucial decision and we are very glad to have made the right choices of offering the consumer an international brand at a very affordable Indian price.

What do you feel will be the beverage trends in the forthcoming year vis-à-vis hot drinks/aerated drinks/natural juices?

The market for all three categories has been in full swing to keep each individual share growing, but most importantly, the trend towards healthier, better-for-you products like fruit juices is still expected to fuel growth. They present themselves as a ‘better’ beverage than substitutes like ice tea and carbonated drinks. Nevertheless, the ready to drink category in totality projects a very bright future for business, as there is a vast potential that still remains to be tapped in India.

What are the future plans of V Pearl Health Foods Pvt. Ltd?

We are looking at setting up our distribution network all across India by the end of 2006 and also plan to bring in a few more brands along with Safa Juices and Nectars in the health food category.

What kind of investment will you be making for the year 2006-2007?

There is an approximate investment of Rs. 2 crore planned for the coming year, which would be incurred on setting up distribution networks as planned and conduct product launches and create awareness along with other marketing activities.