Highlights
- MJ Group firm XXX Energy Drinks Limited today said it plans to rope in Bollywood star Shah Rukh Khan as the brand ambassador of its products as it embarks on a Rs 100 crore expansion plan by next year.
- The company, which is looking to garner a sales of Rs 100 crore from the brand by 2015, said it is looking to set up its first production facility for which it is scouting for location.
MJ Group firm XXX Energy DrinksLimited today said it plans to rope in Bollywood star ShahRukh Khan as the brand ambassador of its products as itembarks on a Rs 100 crore expansion plan by next year.
The company, which is looking to garner a sales of Rs 100crore from the brand by 2015, said it is looking to set up itsfirst production facility for which it is scouting forlocation.
"We are in talks to get Shah Rukh Khan as brandambassador... We will officially announce in March or Aprilnext year," JMJ Group Vice Chairman Sachin Joshi told PTI.
Earlier this year, the brand has been associated withKhan's IPL team Kolkata Knight Riders (KKR) as its principalsponsor.
He, however, did not give further financial details onthe contract and the time frame of it.
The company said it is looking at setting up its firstfacility, planning to introduce more brands in the nearfuture, besides expanding its presence in the overseas marketsby next year.
"To set up a manufacturing facility, we need to do asubstantial business first. By 2012, hopefully we would startsetting up a plant, which could entail an investment of $10million (Rs 45 crore)," he said, adding that the capacity ofthe plant will be around three million cans a month.
It could be either in Pune or Dubai, where it currentlymanufactures its products through third party, he added.
Besides, the company is also introducing products atprice points between Rs 25-30 as part of its plan to tap intothe mass market and expand its presence into the smallercities.
"We will be launching one more brand soon. One of themain reason for the slow growth of energy drinks in India isthe high price. So we are looking at introducing an brandwhich could cost around Rs 25-30," he said.
At present, the firm sells four brands - XXX, Rejuve,Nicofix and Minus in India and abroad.
On expanding its international presence the company saidit is looking at taking to products to around 14 countriesacross the globe, including UK, African countries andSingapore by the end of 2010.
"We will also be increasing our marketing spend to $10million (Rs 45 crore) from $8 (Rs 36 crore) million by nextyear. We are tying up with a lot of events as part of ourmarketing activities," he said.