Varun Beverages remains confident in its growth trajectory despite missing expectations for the second quarter, according to Executive Vice Chairman Varun Jaipuria.

Addressing concerns about increased competition from Reliance-backed Campa Cola and its ₹10 price-point offerings, Jaipuria said Varun Beverages is not pursuing a significant expansion into the entry-price segment. The company sees no urgent need to compete aggressively in that category as long as it continues to deliver healthy double-digit growth.

Varun Beverages, one of the largest franchise bottlers of PepsiCo beverages globally, has been a key player in India's carbonated soft drinks and juice markets. The company operates across India and several international markets.

The second-quarter results, which fell short of market expectations, prompted questions about the company's competitive positioning amid Reliance Industries' push into the beverage sector through Campa Cola. Reliance relaunched the legacy Campa Cola brand after acquiring it, leveraging its massive retail distribution network to target price-conscious consumers at the ₹10 price point — a segment particularly relevant in smaller towns and rural markets where affordability drives purchase decisions. However, Varun Beverages' leadership indicated that its current growth momentum does not require a strategic shift toward lower price points.

India's packaged beverage market has been witnessing intensified competition, with established players like Coca-Cola's bottling partners and PepsiCo's franchise network facing pressure from Reliance's deep financial resources and retail reach. For Varun Beverages, which derives the bulk of its revenue from PepsiCo brands, maintaining pricing discipline in its core segments while continuing volume-led growth remains the stated priority.

Read the original article on CNBC-TV18.