Soaps Current Market In India

Hindustan Unilever Ltd continued to dominate the competitive landscape in 2010, with almost 51% of value sales. The company has a strategy of straddling all price points and deploying a full portfolio, supported by advertising for all of its brands. Godrej Consumer Products was placed second, with over 10% of value sales, followed by Wipro, Reckitt Benckiser, with its Dettol brand, and ITC Ltd, with its recent launches of Vivel.

Headlines

Soap sales grow by 11% in 2010, to almost Rs105 billion.

The H1N1 flu scare positively impacts good hygiene habits.

Liquid soap sees the fastest growth of almost 50% in 2010.

Unit prices of bath products e.g. bar soaps, liquid soap rise in 2010.

Unit prices of bar soaps rise by 6% in 2010, as companies pass on the impact of increased raw materials prices to consumers.

Hindustan Unilever remains the top player in 2010, due to its strength in bar soap.

Soap is projected to grow by a constant value CAGR of 4% between 2010 and 2015.

Lux

http://upload.wikimedia.org/wikipedia/commons/0/0f/Lux_logo.jpg

Introduction

Lux, the world’s most iconic beauty bar and has a 90 year history of glamour. The most beautiful and iconic stars of the world have been Lux ambassadors over the years, from Leela Chitnis to Madhuri Dixit, Aishwarya Rai and Katrina Kaif.

Now days, Lux is the market leader in several countries including India, Brazil, Thailand and South Africa.

It was developed by Unilever and Lux is now headquartered in Singapore.

History/Origin

Brand was founded by the Lever Brothers (today known as Unilever) in 1899. The name changed from “Sunlight Flakes” to “Lux” in 1900, a Latin word for “light” and suggestive of “luxury.” Lux toilet soap was launched in the United States in 1925 and in the United Kingdom in 1928. In 1924, it became the first mass market toilet soap in the world. Subsequently, Lux soap has been marketed in several forms, including handwash, shower gel and cream bath soap.

Made with fine-texture, rich in fragrance, and manufactured using a method created in France, the first Lux toilet soap was sold for 10 cents apiece.

Tagline/ Slogan

Lux believes “beauty is a female instinct that shouldn’t be denied” and showcases the pleasure that every woman enjoys from using her beauty, encapsulating that idea in a simple phrase: ‘Declare your beauty’. Lux International has the tagline is “Not Just Soap, Its Skin Care”.

Advertisement/promotion

It is noted as a brand that pioneered female celebrity endorsements. Since the 1930s, more than 400 of the world’s most famous female celebrities have been associated with Lux. Sarah Jessica Parker and Aishwarya Rai are some actresses featured in Lux advertising campaigns.

Variants/types of unit and pricing

Lux Peach & Cream

Lux Strawberry & Cream

Lux Fresh Splash

Lux Purple Lotus & Cream

It comes with sizes of 90g, 100g, 120g, 150g and 200g.

Also offers mini Lux of 45gm at Rs5.

Lux Soap (90 g) is for 20 Rs

Lux Soap (150 g) is for 35 Rs

Set Of three Lux Soap (90 g) is for 55 Rs

Some Key facts

It is the largest selling soap brand in the world.

It is the No.1 soap brand in India.

It has a $ 1 billion brand present in many countries across the globe.

Godrej No.1

http://sandalwoodparadise.com/images/GodrejNo1_Jasmine.jpg

Introduction

Godrej No.1 is the 3rd largest soap brand in India (by volume) and is the largest selling grade 1 soap in India. It is the biggest brand (by sales turnover) for Godrej Consumer Products Ltd and the choice of 36 crore Indians. Godrej No.1 is sold across 18 Lakh outlets across the nation, and is even exported to other nations.

History/Origin

Godrej No.1 was launched in 1998, with a single variant – Rose. Over the years, more variants were launched, which gave the Indian soap consumer a wider choice with a better soap. Godrej No.1 today has a range of 9 variants with various natural beauty ingredients & fragrances.

Godrej No.1 was recently relaunched in April 2010, with an objective of improving the user experience even further. The relaunch involved a complete change in the soap shape, packaging and communication.

Tagline/ Slogan

“Kya aapka sabun hai great 1”; “Khubsoorti ko aur kya chaiyen”

Advertisement/promotion

The current communication of Godrej No.1 showcases below aspects of the new avatar of No.1.

Shape Development

This new shape of Godrej No.1, inspired by Nature itself was developed using state-of-the-art technology by design experts. Not only does the shape look more aesthetic, it also substantiates No.1’s promise to deliver premium value at an accessible price.

http://www.godrejno1.com/images/nackedsoap.jpg

Natural Oils

Only the new Godrej No.1 has “Natural Oils”, which nourish the skin to make it soft & glowing. This is sure to inspire appreciation at the most unexpected moments in one’s life.

“Natural Oils” is present in all variants that one can easily check the front of the soap pack to identify the Natural Oils logo.

http://www.godrejno1.com/images/oildrop.jpg

Variants/types of unit & Prices

Strawberry Soap

Godrej No. 1 has launched ‘Strawberry & Walnut Soap’ which combines the skin care benefits of Strawberry and moisturizing qualities of Walnut. This variant marks the launch of the first ‘beaded’ soap by Godrej Consumer Products. The variant offers consumers the benefit of moisturized, baby-like soft skin.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

70 gms (Pack of 4) at Rs. 30/-

90 gms (Pack of 3) at Rs. 30/-

90 gms (Pack of 4) at Rs. 40/-

Lime & Aloe Vera Soap

Godrej No. 1 has launched ‘Lime and Aloe Vera Soap’, for Fresh Soft Skin. Lime which keeps you feeling fresh has been combined with the gentleness of Aloe Vera, which retains the skin’s moisture to keep it soft. The combination of these ingredients leaves your skin feeling Fresh and Soft.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

90 gms (Pack of 4) at Rs. 40/-

90 gms (Pack of 3) at Rs. 30/-

70 gms (Pack of 4) at Rs. 30/-

40 gms singles at Rs. 5/-

Strawberry Soap

Godrej No. 1 has launched ‘Strawberry & Walnut Soap’ which combines the skin care benefits of Strawberry and moisturizing qualities of Walnut. This variant marks the launch of the first ‘beaded’ soap by Godrej Consumer Products. The variant offers consumers the benefit of moisturized, baby-like soft skin.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

70 gms (Pack of 4) at Rs. 30/-

90 gms (Pack of 3) at Rs. 30/-

90 gms (Pack of 4) at Rs. 40/-

Sandal Soap

Godrej No1 Sandal has the goodness of Sandal and Turmeric which makes skin soft and radiant. Godrej No. 1 Sandal was launched, in August 1999. The natural ingredients sandal and turmeric have traditionally been highly popular and trusted for skin care. Carefully chosen, these Godrej No. 1 ingredients enhance the beauty of skin when they simply have a regular bath.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

40 gms at Rs. 5 /-

Coconut & Neem Soap

Godrej No1 Coconut & Neem Soap packs the benefits of coconut oil, neem and tulsi which have been traditionally trusted for special skin care. Godrej No. 1 Coconut & Neem was launched November 1999. Godrej No. 1 ingredients enhance the beauty of the users’ skin when they simply have a regular bath.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

40 gms at Rs. 5 /-

Ayurvedic Soap

Godrej No1 Ayurvedic Soap has the goodness of 21 proven Ayurvedic herbs to make your skin soft and radiant. In November 2002, the Ayurvedic variant was launched in select markets. This was the first foray of Godrej No. 1 in Ayurvedic products.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

Rose Soap

Godrej No1 Rose has the fragrance of roses and renders your skin smooth and fragrant. Godrej No 1 – Rose was launched in Feb 1998. Godrej No 1 was the first beauty soap in Godrej’s portfolio.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

Jasmine Soap

Godrej No1 Jasmine Soap combines the natural goodness of Jasmine and milkcream to keep your skin alluringly beautiful. A mesmerizing effect that lingers on….. In April 2004 the Jasmine variant was launched. Godrej No.1

It is available at an affortable price of…

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /- and

40 gms at Rs. 5 /-

Dettol

http://www.herbalhealthpharmacy.com/images/4197/dettol-soap-twin-pack-2x100g.jpg

Introduction

Dettol is the trade name for the line of hygiene products manufactured by Reckitt Benckiser.

It is ranked as the 48th most-trusted one in India by The Brand Trust Report 2011.

The largest single gainer in 2010 was Reckitt Benckiser, which fully leveraged the H1N1 scare in late 2009 and early 2010 to scale up Dettol aggressively in both the bar and liquid soap formats. Dettol’s value share increased from 7% in 2009 to reach 8% in 2010.

History/Origin

The brand has been known for years. Dettol is Rs 300 crore and 70 year old brand of Reckitt and Benckiser. It was launched in 1936 as an antiseptic lotion; the brand became a generic name for antiseptic lotion and then extended into soaps. From its launch to 1980’s the brand had a dream run with virtually no competitors.

Tagline/ Slogan

“Cool Protection That Refreshes”!

Advertisement/promotion

Dettol has used all the best ways to market its products and position them deep in the minds its customers. The feature of dettol soap is its typical smell reminding everybody of its antiseptic quality and hygiene. Its various advertisements say that in every season, while taking bath, before having meal, dettol soap is a must.

Variants/types of unit and pricing

Original Soap

New and Improved Dettol Original Soap is formulated for everyday use. Dettol Original Soap is 10 times better at fighting germs compared to ordinary soaps. So give Dettol’s trusted protection to the entire family. It is available in two sizes of 75g and 125g.

Available for Rs35 (125g soap)

Skincare Soap

Dettol Skincare Soap offers the perfect balance between our beauty and protection needs. Dettol Skincare Soap is formulated specifically to ensure that you don’t have to compromise on his/her beauty needs to get Dettol’s trusted protection. It is available in two sizes of 75g and 125g.

Available for Rs30 (125g soap)

Cool Soap

New and Improved Dettol Original Soap was specially formulated for everyday use. Dettol Original Soap is 10 times better at fighting germs compared to ordinary soaps. So give Dettol’s trusted protection to the entire family. It is available in two sizes of 75g and 125g.

Set of three (75 gm) for Rs51.

Re-Energize Soap

With the freshness of oranges & Dettol’s trusted protection from germs, New Dettol Re-energize soap leaves you feeling health, fresh & re-energized every day. It is available in two sizes of 70g and 120g.

Available for Rs31 (125g soap)

Nirma Soaps

http://www.superbrandsindia.com/images/brand_pdf/consumer_1st_edition_2004/nirma/nirma-sonali.jpg

Introduction

Nirma’s foray into the toilet soaps category was launched with Nirma Bath Soap, a soap which has positioned itself against the largest selling carbolic soap brand, Lifebuoy, from the Hindustan Lever stable – at half the latter’s price. The more up market Nirma Beauty Soap with four perfume variants, is the third largest selling brand in the country, today.

History/Origin

Toilet soap market in India was dominated by a very few MNCs which could monopolistically price their product. In 1992, sensing a strong need to expand the market through Penetrative Pricing, Nirma entered this market with the launch of ‘Nirma Bath Soap’, which is a carbolic soap. Although the carbolic soap segment is on decline, Nirma Bath has generated larger volumes each year.

Tagline/ Slogan

“Soundarya sabun Nirma”

Advertisement/promotion

Nirma’s promotion strategy, too, has many firsts to its credit. The company pioneered product sponsorship through the electronic media. Besides, the company has developed a unique advertising strategy – new products are launched with no advertising support. Once the distribution glitches are sorted out and the product reaches the shelves of retailers, the company begins to advertise it. The umbrella branding strategy helps to give new products instant recall without increasing the advertising expense.

Variants/types of unit

Nirma Bath Soap

It is packed in a red color wrapper and is available in 75 gram and 150 gram pack sizes, this soap has a Total Fatty Matter (TFM) of 60 %.

Nirma Beauty Soap

With its market promise to offer “Better Products, Better Value, Better Living,” Nirma introduced ‘Nirma Beauty Soap’ in year 1992. It is available in three different variants and pack sizes. Due to its admirable perfume and a higher TFM content, this brand, within a short span of five years, had achieved the status of the third largest selling toilet soap brand and still continues its outstanding performance.

Nima Rose

It addresses the emerging market of scouring bars. It is being offered in 200g and 400g pack sizes. It has got huge market success and is consistently performing well.

It has got remarkable and phenomenal market response within just two months of its launch once again proved the merits of Nirma’s commitment towards its consumers. It has got an exceptionally soft rose fragrance; which remains around body for a long time even after bath. This brand had carved a niche in its segment by achieving leadership position just within two months of its launch. It is available in 100g and 150g pack sizes.

Nima Sandal

Over the period, Indian toilet soap market has fragmented & has seen emergence of prominent floral fragrance segments as Sandal, Rose, Jasmine, etc. Nima Sandal is a product in floral segment. This toilet soap has rich and exotic fragrance. It promises benefits of Sandal oil & Turmeric powder. It is a premium product from Nima stable. It is available in 100g and 150g packs.

Conclusions

The battle lines between the multinationals and domestic players in 2010 were more or less the same as earlier in the review period, although there was a notable erosion of market share for several brands of Hindustan Unilever Ltd. Lux now has several rivals for its traditional positioning of the soap for the film stars, with Vivel from ITC Ltd using the popular actress Kareena Kapoor as its brand ambassador. This positioning got ITC Ltd its foothold in the market. Godrej Consumer Products maintained its position, while the direct sellers Amway, Avon Beauty Products Pvt Ltd, Oriflame remained marginal players, with their focus more on cosmetics products, such as skin care and color cosmetics, than bath and shower in 2010.

In the mature category of bar soaps, all major brands, both premium and mass, compete for share through advertising, while also using promotions, such as free extra product, to prompt trial. The most common methods of promotion are free extra volumes and price discounts.

Unit prices are expected to rise only marginally over the forecast period, as fierce competition keeps the headroom for price rises to a minimum, particularly for bar soap. Most companies absorbed higher costs in 2010, but when companies have raised prices, others have followed suit, equalizing any differential.