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Tropicana to move to HTA in February 2002

By , agencyfaqs! | In | December 12, 2001
PepsiCo subsidiary Tropicana Beverages Company plans to shift the Rs 3-4-crore advertising account of its fruit juice brand Tropicana to HTA in February 2002


PepsiCo subsidiary Tropicana Beverages Company (TBC) plans to shift the Rs 3-4-crore advertising account of its fruit juice brand Tropicana to HTA, Delhi, in February 2002. The brand is currently handled by FCB-Ulka, Delhi. While no official confirmation was available on this from PepsiCo, information available with agencyfaqs! indicates the incumbent was unofficially sounded off about the impending move last week. However, when contacted by agencyfaqs! both FCB-Ulka and TBC refused to comment until things were 'formalised'.

HTA, however, gave a confirmation of sorts. Vice-president and client services director Rohit Ohri said, "Though we haven't signed on the account yet, we have started the groundwork in terms of trying to understand the category. As to when you shall see the work on air, I would say it won't be before the middle of next year."

The move of the account in India is in line with a global realignment that happened about three months back. PepsiCo in September pulled its $350-million Gatorade, Aquafina and Tropicana orange juice assignments out of FCB, after Interpublic, long affiliated with Coca-Cola, acquired FCB's parent, True North Communications. These PepsiCo brands are now housed with the Omnicom Group worldwide.

The question is: Why did the company decide to give Omnicom affiliates in India a go-by? "Looking at Omnicom group's representation is India, it doesn't seem to offer too much of an option to PepsiCo," said a senior company official on condition of anonymity. "As HTA has done a fabulous job for Pepsi, we have decided to go with it," he added. For the record, the Omnicom affiliate agencies in India are Mudra, RKSWAMY/BBDO and TBWA Anthem.

To put things into perspective, the number one packaged fruit juice brand in the world, Tropicana entered the Indian branded juice market in 1998 with its orange juice brand and notched up a modest turnover of Rs 10 crore at the end of its first year (the company follows the calendar year as its financial year). Currently, in terms of market share, Tropicana is neck and neck with rival Real (from the Dabur stable) which claims to have a 55 per cent market share of the estimated Rs 100-crore branded juice market.

Tropicana has quite a few other juice brands like Dole, Fruvita, Looza, Juice Bowl, Hitchcock and Copella in its global kitty, though, it seems, the company isn't planning to bring any of them into India yet. Topicana is looking to break even in 2002 with a turnover of Rs 80 crore in India.

© 2001 agencyfaqs!