HUL enters Ayurvedic products |
Hindustan Unilever, the maker of Lux, Dove and Rin, will launch around 20 products — toothpaste and skin cream to soaps and shampoos — under its existing Ayurveda brand Ayush. Ayush was launched in 2001 as a premium brand but had lost momentum by 2007. Now, the positioning will be mass market — price points between Rs 30 and Rs 130.HUL has taken on a desi challenger in this fashion before. In mid-1980s, Ahmedabad-based Karsanbhai Patel’s Nirma, a detergent brand, toppled HUL’s Surf from the shelves of middle class and lower middle class Indian homes. The Indian unit of the Anglo-Dutch FMCG company rolled out Wheel, a low-priced option. Nirma vs Wheel market battles, as well as the advertising wars, have entered Indian corporate folklore.Given Hindustan Unilever’s determination to take on Patanjali, and the latter’s aggressive future plans, 2017 may see another classic corporate battle in the FMCG space. Patanjali’s rise has led to others exploring the Ayurveda and herbal products space. L’Oreal launched a hair care range under Garnier Ultra Blends made with “natural ingredients”. Colgate brought Cibaca Vedshakti to the market.HUL’s personal care business accounts for nearly half its sales and 60% profits, mainly due to a large portfolio of premium products. Herbal products account for 6-7% of HUL’s personal products segment.
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