Marketing Update: Cola Clashes, Sizzling Summer, and IPL – Beverage Brands Gear Up for a 15-20% Boost in Ad Spending

Major beverage brands in India are gearing up for an intense summer season, with experts predicting a surge in advertising spend. Iconic names like Coca-Cola and Pepsi are facing stiff competition from emerging players like Reliance-backed Campa Cola and niche brands such as Lahori Zeera.

As the India Meteorological Department (IMD) forecasts a particularly hot summer, beverage brands are accelerating their marketing campaigns earlier than usual. Typically, campaigns are launched post-Holi, but this year, many major campaigns kicked off as early as February. Saurabh Munjal, founder of Archian Foods (the parent company of Lahori Zeera), observes that the advertising season began much earlier than in previous years.

Campa Cola’s competitive pricing strategy has forced other brands to adjust their prices and adopt innovative approaches to maintain their market share. While some brands are tapping into celebrity endorsements—such as Mountain Dew featuring Salman Khan alongside Hrithik Roshan—others, like Maaza, have opted for a more understated approach, repositioning themselves as a drink for “small moments.”

Coca-Cola, famous for featuring stars like Deepika Padukone and Diljit Dosanjh, has launched a simple but catchy jingle for its 2025 campaign, while Appy Fizz has introduced a jingle with Vicky Kaushal showcasing dance moves.

Ad Spend Expected to Increase by 15-20%

According to a report by Altius Investech, Coca-Cola and PepsiCo combined spend around Rs 2500 crore annually on marketing in India. With the Indian Premier League (IPL) just around the corner, experts predict that beverage brands will account for a significant portion of the overall ad spend this summer.

Uday Mohan, COO of Havas Media India, expects beverage brands to increase their ad budgets by 15-20% this quarter. “Brands will focus on high-visibility campaigns, digital-first storytelling, and mass media integrations to stay ahead of the competition,” he adds.

Digital Ad Spend to Surpass TV

While traditional giants like Coca-Cola and Pepsi are investing heavily in marketing, smaller brands are turning to innovative digital strategies to capture consumer attention. Saurabh Munjal of Lahori Zeera mentions that his brand is focusing on cost-effective digital and programmatic advertising, given the high cost of IPL spots. A 10-second ad during a recent India-Pakistan match cost around Rs 40-50 lakh, which is out of reach for many smaller brands.

According to Mohan from Havas Media, there will be a shift toward digital platforms, with 55% of ad spend directed towards digital media (social media, OTT, connected TV, influencer marketing). The remaining 45% will continue to flow into traditional media (TV, print, OOH, and radio) to ensure broad reach and recall during peak consumption periods.

Cola Wars and IPL Rivalries

Campa Cola’s acquisition of co-presenting rights for IPL 2025 in a Rs 200 crore deal has shaken up the market. Last year, these rights were held by Coca-Cola’s Thums Up. This new development has reignited the fierce rivalry between Pepsi and Coca-Cola, reminiscent of the cola wars of 1996 during the cricket World Cup.

Pepsi’s new “Any Time Pepsi Time” campaign takes a playful jab at Coca-Cola’s “Half Time Push” campaign, harking back to the competitive spirit of the past. Coca-Cola, Pepsi, and other leading brands are ramping up their marketing efforts early to counter Campa Cola’s growing influence in the IPL.

With the combination of summer heat and cricket fever, the stage is set for a fierce battle among India’s beverage brands this season.

Author: Aryan chauhdary