Thursday, October 2, 2008
Kingfisher's Blue
A recent article in the Economic talks about the beer market buzzing with the news of UB coming out with two new beers in the domestic premium category to take on International brands like Budweiser, Carlsberg and the already present Fosters. With the Indian growth story alluring many multinationals, the domestic premium segment which was primarily the foothold of Fosters has seen a surge in the new entrants, the latest being Kingfisher Ultra and Kingfisher Blue. The Blue seems to have been cross positioned with Budweiser and Carlsberg with an alcohol content of 6% which is marginally higher than its flagship brand Kingfisher. The Ultra however seems to be keen on tapping the mild segment. The move seems to be an interesting one as UB’s new partner Heineken seems to be gearing to enter the Indian market. Heineken, which is taking 37.5% stake in UB after the worldwide acquisition of Scottish & Newcastle, appears to be preparing ground for APB’s continued presence in the domestic market, which is hotly contested by India’s largest brewer. The APB operations in India with Tiger as its flagship brand still remain a stumbling block in UB’s path. The Ultra and Blue pricing could well hinge upon the agreement which UB reaches with Heineken
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