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Rasna ropes in new partners as 25-year old relationship with Mudra ends

07-July-2006
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Rasna ropes in new partners as 25-year old relationship with Mudra ends

It’s ‘Bye, Mudra’ and ‘Hi, Dentsu Marcom and Prachar’ for Rasna Pvt Ltd. Ending a 25-year old relation with Mudra, the FMCG major has decided on new agency partners to take care of its media and creative duties pegged at Rs 25 crore.

The first leg of change was seen in February 2006, when Rasna moved its media business to Prachar. A further change is now seen with Rasna announcing Dentsu Marcom as its creative agency for the dilutables’ segment. Piruz Khambatta, Chairman and Managing Director, Rasna Pvt Ltd informed that Mudra would continue to handle the juice segment of Rasna.

Nonetheless, when Rasna issued a statement on their new relation with Dentsu on July 5, 2006, Mudra issued a public statement saying that it had surrendered the Rasna business due to “irreconcilable differences, both on the strategic direction for the brand and on agency remuneration”.

On the relation that at least doesn’t appear to end on the best of notes, Madhukar Kamath, MD & CEO, Mudra, remarked, “‘I love you Rasna’ has been one of the most defining campaigns in Mudra’s history. It has been a source of great pride for the agency. Over the years, we have made many contributions to the brand’s success – both strategic and creative. I think the agency can take a fair amount of credit for building this valuable brand. It is never easy to call it a day on a long relationship, but it is a choice we have made after due consideration. All said and done, it has been a remarkable 25 years with Rasna.”

When asked about the charges made by Mudra, Khambatta said, “As far as we are concerned, Mudra is still taking care of the juice segment. What has been assigned to Dentsu Marcom is the Dilutables’ segment, but this is not to say that we have not had a great time with Mudra. We appreciate the kind of work that Mudra has done for the brand building of Rasna. However, relationships change in the growth process of any entity.”

“Today, India is at a stage where companies like Rasna can make a global mark. In fact, discussion are already underway in this regard. What we were looking for was communication that could be taken across markets. One tagline in all markets and equally appreciated. We believe that is what Dentsu brings to the table,” Khambatta further said.

On the new relations, there is no change in the media side of the business and Prachar continues to handle Rasna’s media. Khambatta confirmed this. Elaborating on this development, Khambatta said, “Bringing Dentsu Marcom on board is a conscious move to leverage their international linkages for strengthening Rasna’s target audience base. The agency’s track record speaks volumes for its expertise in strategically marketing brands abroad. Dentsu Marcom enjoys the best of Dentsu’s international experience and we trust the agency with their pragmatic approach to our brand.”

Dentsu Marcom has devised a fresh communication approach to re-engineer the positioning of Rasna’s core product segment. The 360-degree approach entails both television and print campaigns.

Sandeep Goyal, Chairman, Dentsu Marcom, said, “Rasna is an iconic Indian brand, which has not only created a whole new beverage category of soft drink concentrates in India, but has been the only homegrown brand that has given MNCs a tough competition. Generations have been raised on Rasna for over quarter of a century in India. We at Dentsu Marcom are truly honoured to be entrusted with managing Rasna’s brand equity.”

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