Buoyed by an enthusing first quarter sales (January-March, 2000), Coca-Colais expecting an upwards of 20 per cent growth in the second quarter(April-June) compared to the corresponding quarter in 1999. The April-Junequarter accounts for around 42 per cent of soft drink sales, followed byAugust-September (21 per cent), January-March (18 per cent) andOctober-December (16 per cent).

Following Atlanta-based Coca-Cola Co's taking a $405 million write down onthe carrying value of its assets in India, Coca-Cola is concentrating on aprofitable growth. This entails: ``significant investments'' in building astrong distribution and cooler network, and supporting its huge portfolio ofbrands with right promos and signages on the outlets.

Coca-Cola is enhancing its cooler network to cover around 40 per cent ofseven-lakh outlets up from 30 per cent at present. Says Gupta, ``If in Juneyou haven't achieved it, it's not there. In July you won't get newoutlets.'' Under the cooler project, cooling machines are being provided tothe retailers at a discounted rate.

Coca-Cola is also in the process of appointing new distributors andmechanising its distribution through three-wheelers and trucks. It is addingone lakh new outlets, of which 20,000 will come from 500 new distributors.Apart from investing heavily in the cooler project, the company is alsofocusing on bringing efficiencies and driving down cost in its distributionoperations. ``We're benchmarking it internationally against our franchiseoperations and other distribution and operations company,'' says Gupta.``We're putting in efforts to be ahead of our financialtargets.''

Coca-Cola's big task for the year is to beef up its distribution network inMadhya Pradesh, upcountry Tamil Nadu and Karnataka. Says Gupta, ``Ourposition -in terms of volume growth, brand preference and per capitaconsumption - has to improve further in Mumbai, and eastern and westernUttar Pradesh.''

Coca-Cola is expected to pursue a portfolio and packaging strategy to haveat least a company brand dominate a geographical market or a segment. SaysGupta, ``From our corporate viewpoint, all brands-Thums Up or Coke-areequally important.''

While Kinley will target Mumbai's big soda segment, Thums Up will maintainits dominance in Andhra Pradesh's cola market, Coke in Punjab, Chennai andDelhi, and Fanta in Tamil Nadu's orange market. Sprite will be promotedvigourously in teen outlets.

The relaunch of Maaza in a 250-ml Tetrapak and bottling option is alsoexpected to give it a leadership position in the south. In the later stages,the mango brand is also expected to target the home segment-at presentactive with Limca and Coke-with higher packaging options. A focus on the200-ml Coke is also expected to give it a volume jump in upcountry markets.Already, the small Coke has attained break-through volumes in Varanasi,Bangalore and parts of Gujarat.

Says Vikram Sakhuja, marketing manager, brands/media, ``We're fully upbeatabout our brands, having taken our advertising to an unprecedented levelwith 66 per cent people recalling our ads.''