At some Coca-Cola exclusive stores, a can of Coke worth Rs 30 costs Rs 100

NEW DELHI: Cans of Coca-Cola brands have hit a high of Rs 100 in Coke-exclusive mid-tier mass restaurants such as McDonald’s and Haldiram’s. The same cans are available for Rs 30 in retail stores.
The prices have risen from Rs 60 to Rs 100 this summer, and all stores are now charging Rs 100 since the past fortnight. All the prices are printed on the cans. Trade insiders said the restaurants are charging a mark-up of over Rs 50 now on the cans to take advantage of peak summer.

“They (the eateries) continue to source from Coca-Cola at earlier rates even though the printed MRP is of Rs 100,” a trade official involved with the developments told ET. A Coca-Cola spokesperson said in an email revert that it is legislatively recognised and accepted that different maximum retail prices (MRPs) can be declared on different packages even if they contain identical products in the same quantity.

“The differential MRP is legally permitted under law and is not restricted to one brand or products. It is often practised to maintain parity with the price charged for other products in the same or similar channels such as airlines, restaurants and cinemas.”

The spokesperson said that the only requirement under law is that the MRP be declared on every package. Prices of Coca-Cola cans have gone up to Rs 100 from Rs 70 even across DT Cinemas and airlines such as IndiGo which are exclusive Coca-Cola accounts.

“Legally, differential pricing is allowed, but selling at this rate in mass outlets isn’t going down well with consumers. Coca-Cola is trying to renegotiate the rate with these mid-tier restaurants now,” an official directly aware of the developments said. The price tag of Rs 100 for 300 ml, or 330 ml cans, is the highest so far for Coke in mass restaurants.

Rival PepsiCo continues to sell cans at Rs 30 in regular retail stores and at a special rate of Rs 60 at high-end restaurants. While Haldiram’s charging Rs 100 on almost all cans of Coca-Cola brands, including regular Coke, Coke Zero, Diet Coke and Thums Up, McDonald’s which also serves Coca-Cola beverages in glasses and with combo meals in glasses, is charging Rs 100 for Coke Zero.

Officials at both McDonald’s and Haldiram’s confirmed the prices. Rival PepsiCo, on the other hand, charges Rs 25, Rs 30 and Rs 60 at different outlets. Two years back, Coca-Cola had run an ad campaign which addressed the issue of retailers over-charging more than the price printed on bottles.

Small retailers typically overcharge consumers about Rs 1 as ‘chilling charges’. But the situation in restaurants is different if the MRP printed on the cans itself is marked up.