A Surprise Shift in India’s Soft-Drink Market
In 2025, two relatively new players Campa and Lahori Zeera have emerged as serious contenders in India’s soft-drink segment. Between January and September, their combined market share surged to nearly 15%, up from about 7% a year ago. This growth came at the expense of long-standing giants Coca‑Cola and PepsiCo, whose combined market share fell to around 85%.
What’s striking is that this shift happened despite Campa and Lahori Zeera’s limited national footprint and a summer season dampened by heavy rains factors that usually hurt beverage consumption.
Why Campa and Lahori Zeera Are Winning Consumers
Affordable Pricing & Value-for-Money
A key driver behind the rise of these brands is pricing. Both Campa and Lahori Zeera primarily compete at the ₹10 price point an attractive slot for many price-sensitive consumers. This makes them a go-to option in smaller towns and among consumers looking for budget-friendly soft-drink alternatives.
Smart Distribution & Strong Push
- Campa, revived by Reliance Consumer Products Ltd. (RCPL), has invested heavily in marketing and visibility. Among its strategies: a high-profile sponsorship in the Indian Premier League (IPL), celebrity brand-ambassador tie-ups, and partnerships such as beverage supply deals with metro-rail networks.
- Lahori Zeera, backed by investments from a European private-equity firm, is expanding its manufacturing and distribution network. The brand is reportedly setting up a third plant in Lucknow and aims to cover 80–90% of India’s pin-codes soon. New product variants including regional-taste offerings are also in the pipeline.
Changing Consumer Preferences
There’s a visible trend of consumers especially in Tier-2 and Tier-3 cities gravitating toward regional or value-based beverages rather than premium global carbonated drinks. The success of Campa and Lahori Zeera shows that taste, affordability, and accessibility are increasingly influencing buying decisions.
What This Means for the Cola Giants
- The long-standing duopoly of Coca-Cola and PepsiCo is being challenged aggressively especially in the value segment.
- In response, both global players have already begun offering lower-priced packs (₹10) to retain price-sensitive consumers.
- The disruption signals a shift in how the Indian soft-drink market functions: more fragmentation, more regional/regional-style offerings, and greater local competition.
An industry analyst told Economic Times: “While there have been smaller B-brands and regional rivals in the past … it’s for the first time that the duopoly of the MNCs is being shaken up and challenged seriously.”
What’s Next — What to Watch
- Whether Campa and Lahori Zeera can expand nationwide by 2026, especially into under-penetrated regions. This expansion appears key to sustaining their growth.
- Launch of new flavours and drink variants by emerging players, potentially tapping regional tastes, which might further widen their appeal.
- How Coca-Cola and PepsiCo respond via pricing, marketing, or product innovation to defend their shrinking share.
Concluding Thoughts
The rise of Campa and Lahori Zeera marks a turning point in the Indian soft-drink industry. As these newer brands ramp up distribution, leverage price and marketing strategies, and cater to regional-level demand, the dominance of traditional giants is visibly eroding. For consumers, this brings more choices; for legacy players, it’s a wake-up call.
