Parle Agro launches Lemon Drink, 'LMN'

Company Brief

Hyderabad, March 02, 2009

Indian beverage major, Parle Agro has rolled out a new fruit-based lemon drink, LMN in the non-carbonated segment. The new brand – LMN is a natural lemon juice drink and the only brand in India with a taste closest to home made, fresh limewater, also known as nimbu pani. With no artificial flavors and real lemon juice, LMN will provide consumers a healthy, refreshing drink with the goodness of vitamin C. Every summer, the Indian beverage market has seen cola majors battle it out. This summer, the launch of LMN will see the cola wars taking a back seat and the battle spilling over to the non-cola segment, to be more precise in the nimbu paani category.

On the occasion of LMN’s launch, Nadia Chauhan, Joint Managing Director and CMO, Parle Agro stated – “Nimbu Pani has traditionally been India’s most commonly consumed cold beverage. In fact the idea of a branded lemon drink is so simple that you would wonder why nobody thought of it earlier. The challenge for us was packaging a natural product while retaining its fresh, original taste through out its shelf life. For the last 20 years, Parle Agro has been the market leader in fruit based beverages; we have constantly worked keeping in mind Indian preferences while formulating products that cater to the Indian palate. It is without any doubt that, only an Indian company can understand what real nimbu pani tastes like and what the Indian consumer wants in a packaged offering.”

LMN takes a refreshingly fresh take on lemon. With a catchy tagline – “The Emergency Lemon Refresher”, LMN aims to strike a chord with youth and adults alike. In today’s times of fast food and speed dating, the name LMN is derived from the SMS version of the word lemon.

Currently nimbu pani is consumed in vendor stalls by the roadside or at home. While the roadside nimbu pani has hygiene issues, achieving a consistent taste in home-made nimbu pani is a task. LMN will target both these segments of consumers to turn them into branded consumers of nimbu pani. Besides this LMN will also target an emerging segment of consumers who are simply looking for a healthy, refreshing beverage.

Packaged nimbu pani will have tremendous growth potential, higher than other packaged drinks in the out-of-home / on-the-go consumption segment, mainly because of a major shift in consumer behavior. Today, the beverage consumer is looking for hygiene, convenience, refreshing taste, affordability and year around availability. With a familiar tasting, healthy, thirst quencher like nimbu paani available as a branded offering, Parle Agro is confident about LMN doing well in the market.

LMN is priced at affordable price points and could deliver huge volumes for Parle Agro, which aims to touch a turnover of Rs. 3000-3500 Crore by 2011 purely through organic growth. LMN will be available in both PET and Tetra Pak in the following SKU’s and prices.

With different SKU’s LMN will target a large consumer base and demographics. While the 110 ml innovative TCA pack will work as a shot of refreshment for those looking at economy or consuming a small quantity, the 200ml pack will mainly aim at the youth and the on the go consumption market. The 500ml PET bottle will enable staggered consumption and possibly one that friends and family can share.

The branding on the pack of LMN is bold and stark and will make consumers relate to lemons instantly. The striking green and yellow color makes the pack noticeable and increases its shelf appeal. In the PET offering, the unique bottle design of LMN makes it stand apart from the rest.

LMN’s launch will be supported by a 360 degree marketing campaign comprising of a TVC, print advertising; point of purchase promotions and BTL activities. The media campaign will kick off by mid-March.

A ready-to-drink product like LMN will shake up the Rs. 1500 Crores non-carbonated beverages market, comprising of juices, nectars and fruit drinks. Now consumers will have a choice to choose between a healthy, refreshing lemon drink versus a cola or even water to quench their thirst. The amount of vitamin C present in LMN is equal to two whole lemons! Lemons as such are rich in vitamin C (an anti-oxidant) and potassium, which have the ability to replenish lost essential body fluids. A lemon drink rehydrates and is light on the stomach. It is a perfect refresher for any situation.

For further information, please contact:

Parle Agro Pvt. Ltd.

Saswati Panigrahi

Assistant Manager

Corporate Communications

E-mail: saswati.panigrahi@parleagro.com

Tel: 022 - 6734 8273

Vaishnavi Corporate Communications

Uzzal Mohan

E-mail: Umohan@vccpl.com

Mobile: 92462 15332