A few months ago, Nadia Chauhan went on an excursion to Patalganga River, some 60 km east of Mumbai. Nestled amid the rocky Sahyadri mountains and flanked by grassy vistas, she noticed local kids wading into the cool waters holding packs of Smoodh—a newly launched flavoured milk drink from the house of Parle Agro, the Rs 2378 crore-by-revenue maker of Frooti. Chauhan, joint managing director, asked a colleague who had accompanied her whether she had distributed the palm-sized tetra packs to the kids. “No,” she smiled, shaking her head. “It’s become a rage here.”
“The biggest achievement of what we have done is take dairy beverages into the rural market, which had never experienced a packaged dairy beverage before,” says Chauhan. The high price points were a barrier, she says. Amul’s Kool flavoured milk drink, for example, sells at Rs 20 for 180 ml, while Hershey’s milkshake sells at Rs 35 for 180 ml. Smoodh, on the other hand, which comes in chocolate, toffee caramel and coffee flavours, retails at Rs 10 for 85 ml, giving it reach and accessibility. As a result, 50 percent of Smoodh’s revenue contribution today comes from rural markets. “It’s really thrilling,” beams Chauhan. Her infectious enthusiasm and charisma are palpable even over a Zoom call.