![]() Financial Daily from THE HINDU group of publications Tuesday, May 21, 2002 |
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Marketing
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Strategy HLL revisits the `naturals' market Purvita Chatterjee
MUMBAI, May 20 HLL is not considering clubbing the ayurvedic offerings of its existing brands under its new division catering to ayurvedic/herbal products. Speaking to Business Line, an HLL official said, "We are evaluating the total naturals market and there will be a separate division for the same. However, it is not necessary that our existing ayurvedic brands would come under it.'' According to sources, HLL will launch a new brand for its ayurvedic range in the second quarter of this year beginning with products like soaps, shampoos, creams and oils, pricing it below the premium range and on par with brands like Ayur. Currently, its research department is looking at various technologies to manufacture these products. The naturals market has already been invaded by brands like Vicco and Emami. However, HLL failed in the naturals market almost three years ago, when it did launch the Pears Natural range of skincare products in the summer of 1999. Catering exclusively to the mass market with its pricing, the range (comprising products like a face scrub, face pack and face wash), was made from ingredients like besan and multani mitti and was expected to exploit the strong equity of its premium soap, Pears. The brand was expected to ride on Pears' skin care values like that of being pure and gentle. The Pears Natural range was withdrawn more than a year back. HLL is again taking on the natural segment with a new brand and division catering to it. Not willing to disclose the name of its new brand, the company is obviously ready to tap into the herbal market which is considered to be the fastest growing pegged between 15-17 per cent in both the urban and semi urban markets. In the recent past the company has also entered the `ayurvedic' market by stretching the franchise of its almost 25-year-old brand, Fair & Lovely. Considering it already has a dominant position in the fairness market with a 70 per cent value share, it is the success of creams like the saffron-based Fairever from CavinKare Ltd which has possibly led HLL to increase its offerings in the fairness cream market. States the HLL official, "We are expecting an incremental market share between 3-4 per post the launch of the ayurvedic cream.'' Last year, Fair & Lovely stretched its franchise into a soap, a face wash and an under eye cream. This the first time that the brand has been launched with authentic ayurvedic ingredients like kumkumadi taillam and jast bhasma.'' Among its other `natural' offerings, HLL has also positioned its Hamam brand of soap on the natural platform. Its Sunsilk range of shampoos also blends natural herbs in the making of the products.
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