Abhishek Singh, Director, Manpasand Beverages announced that the company is planning to augment its retail outlet presence to around three million in the next five years from the present 7.75 lakh.
The company has entered into ten-year distribution pact with Parle Products for retail expansion. In the last ten years it has opened six lakh outlets. After tie-up with Parle, in the span of nine months it has added 175,000 outlets.
He added on the tie-up with Parle products that these products are present in “every nook and corner” of the country and the tie-up with them is the “biggest thing that can happen to a small company like ours”. Manpasand currently has 400 super stockists and 4,000 distributors, and would need a total of 10,000 distributors to reach this goal.
He also added, “Outside India, there are many tie-ups happening where two bigger companies are coming together, sharing network, and doing a lot of projects together. But it has not been replicated in India successfully. I thought of replicating the similar model in FMCG sector. My products are in the range of ? 5-10 and tied up with bigger company’s distribution network. This has made a win-win situation for both.”
He said, “Parle’s distribution strength was the major factor underpinning its decision to tie up with them. However, Manpasand, which became the country’s first listed non-alcoholic beverages firm with an IPO in June 2015, will also rely on its own distribution channels to achieve the target. The growth is mainly driven from tier-2 and tier-3 cities.”
“The cheap pricing adopted by the company, combined with the availability of its products in small quantities are factors that have worked in its favour, particularly in non-urban areas”, he said.
The company’s products are available in packs ranging in size from 80 ml to 2 litre, with the pricing between ?5 and ?90-95.