Analysis on Deodorant Market of India

K. J. Somaiya Institute of Management Studies and Research Marketing Management Deodorant Market of India – An Overview (Main Brand Studied – Dove) Submitted to: Professor Kiran Sharma Submitted by: Sneha M Zawar PGDM (Communications) Roll no: 60 05 – August – 2012 Contents Overview of Market:2 Market Statistics:3 Case Study: Dove5 History:5 Origin:5 Segmentation5 Target:6 Positioning :6 Unique Sellng Proposition :6 Milestones:6 Advertisemnt, Distribution and Selling :6 Price Postioning :7 Growth Prospects:7 Competitor Analysis :7Trends of Indian market8 Fall gaps and Forecast:9 Sources and References9 Overview of Market: In tropical country like India, Deodorants are considered to be essential personal care product from grooming perspective, to prevent body odour and make you feel fresh. Assocham’s recent report shows that Deodorant market of India is poised at 1800 Crore and is expected to grow at 55%, of this roll on market has share of 400 crore Major companies in this segment of personal care are: * Unilever with brands like Dove, Axe, Sure, Lux Cavinkare with brand like Spinz * Mc-N-Roe with brands like Wild Stone and Secret Temptation * Paras Pharma (now owned by Reckitt Beckinser) with brand Set Wet Zatak * Coty which has Adidas * Nike * Garnier * J. K. Helene Curtis (Raymond) which has Park Avenue * Godrej has deo with brand name Cinthol * Vini Healthcare with brand Fogg * Beirsdorf with brand Nivea These are all major brands in the mass category. There are many premium brands of Deodorant catering to urban elite but have a minimum percent of market share in India. Market Statistics: The Market share in terms of percentage for premium v/s mass deodorant is 2 and 98percent respectively which can be shown in the chart below * The growth in sales of deodorant sprays from 2006 to 2011 is shown in figure below Premium v/s Mass deodorants Source: Euromonitor 2012 Percentage Breakdown of Market Shares of Various Brands Case Study: Dove History: * This brand was established in United States in 1959, Dove was launched in India in 1995 as a brand which catered to urban women with its soap and then in 2004 on roads of brand extension entered deodorant category on the same line of 1/4th moisturising cream. It is the brand which is committed to widening the beauty because they believe that beauty comes in all ages, shapes and size and promotes the brand with ‘non-models’commercial Tagline : â€Å"Effective Protection Better Result† Origin: * It is a personal care brand by Unilever, It came in India in 1995 and imported and marketed by Hindustan Unilever. * Unilever won Best Marketer Award in the year 2004 for its brand Dove Segmentation * Demographic Segmentation: Gender: Females High Income and middle class women Pyschographic Segmentation: It tries to change the mind set of average women that she can look beautiful and Its deodorants target the segments on various lines of Soothing and moisturising, dry silk antiperspirant, Freshness and skin lightning for dark underarms and beautifying under arms and claims long lasting freshness. Target: It targets females in the age group of 15-40, urban, metropolitian and women of tier 2 cities. Positioning : * It is positioned as a brand which nourishes, care and has unique market specialization. It has introduced new varients time to time in order to comply with the changing need of women and comply with market standards, Dry silk which was launched as antiperspirant, then fresh with specialized lemon n cucumber extracts which was positioned as deo which renders long lasting freshness and moisturise whereas skin whitening which was launched recently to compete against nivea which claims to whiten dark underarms Unique Sellng Proposition : * It assures 24 hour protection from sweat, It has propagated and penetrated in the personal care market with the promotion campaign ‘Real Woman’.This is very unique to a brand as even its media campaigning strictly focus on the mantra of making every common woman make feel special and beautiful and includes no models in its advertisement Milestones: * Unilever has highest market stake in Deodorant category in India with its brands Axe, Sure, Dove and Lux. * Dove is one of the major brands in female category and is can emerge as a market leader with its unique varients, competitive rates and exquisite fragrance and active ingredients (lemon grass, silk powder, 1/4th moisturiser, pearl actives, cucumber) Advertisemnt, Distribution and Selling : Dove released a marketing campaign in 2008 playing less on super models and emphasising more on real women i. e real people posing camera * Dove regularly uses magazines like cosmopolitian, Femina, Marie claire for advertisemnts * Online advertisemnt has been excessively seen in past 3 years with launch of new varients of Deodorants * Distribution channels for Dove is same as like any other Unilever brand. It is avi lable as OTC product in retail outlets malls in metro and tier-2 cities. Deodorants are also available on online shopping sites where there are special offers and added discounts. Dove deo are sold in 150-175ml containers and special introductory offers as free dove soap and free face wash were introduced to make its category more price – efficient and appealing to consumers. Price Postioning : * Dove deodorants are priced at competitive rates 150ml pack of deo is priced at 160-175Rs * Dove products are priced premiumly as consumer associate price with efficacy but deodorants fall exceptions as the deodorant market of mass category is predominant and to sustain a good market share, Dove has priced its product at competitve range Growth Prospects: Deodorant market of India is male dominated, 60% share is of male deodorants and 40% of Women of which Dove has a stake of 8. 5-10% . * Women Deodorant market has grown at approximate growth rate of 40% in last 2 years, with this gro wth, there is immense potential for brand to penetrate in the market Competitor Analysis : * Main brands in the female deodorant category are Spinz, Nivea, Eva, Sure, Adidas, Nike and some Secret Temptation and Fogg. * Dove has launched different varients of deodorants to compete with different brands on various lines. Adidas, Nike has antiperspirants and targets higher and higher middle class consumer, since the product has high brand value it has got a brand conscious and set customer which is challenge for Dove, to compete with these brands it has got antiperspirants like ‘Dry Silk’ * Spinz and Eva positions its product for youth on the lines of Freshness and Flamboyance, Dove has very different positioning altogether but it has introduced varients called DOVE FRESH with lemon grass and cucumber extracts which may target females choosing deodorant for fragrance and freshness. Secret Temptation falls in a different category all together and have different target audie nce mostly college girls as it associates Mischief with the product, DOVE’S positioning is such that it cannot cater on those lines. * Nivea is chief competitor as both brands target same segment of customer and varients of deodorants of both the brands are positioned on the similar lines, however packaging and advertising of Nivea is more attractive and appealing to women. Trends of Indian marketAn introspect of Indian market and research of product category makes us classify different varients of deodorant on following trends which can be broadly stated as: * New Freshness: Which caters on the ground of freshness from basic natural to purifying e. g Dove ‘Go fresh’, Nivea ‘Fresh Natural’, Eva ‘Fresh’ * Technology: Technology supports Efficacy : Special active ingredients incorporated to serve specific purpose. e. g Sure ‘Cotton dry’, Adidas ‘3-action’, Dove ‘Silk dry’, Nivea ‘Dry comfortâ₠¬â„¢ * Sensitive : Specialised deodorants for sensitive skin or which claims to be irritation free. e. All Eva deodorants, Adidas ‘Sensitive’, Dove ‘sensitive’, Nivea ‘Sensitive Balm’. * Skincare : Products catered to beautify , care and nourish your underarms. e. g Dove with 1/4th mositurising cream and skin lightning, Nivea ‘Double Effect’ and ‘Beauty’ * All about Senses: Deodorant which cater on the line of invigorating some senses and moods on application or usage. e. g Spinz ‘Jazz’, ‘Samba’, etc, Secret Temptation and Yardley of london. * Age groups: Special products catering to specific age groups. e. g Spinz, Eva, Secret Temptation have there product positioned such that it appeals young girls.Fall gaps and Forecast: Indian markets tend to follow globally established trends as most of the companies and brands are multinationals. This category has enough scope of penetration and expansio n as deodorant have become one of the important personal care product of daily usage. Since deodorants are aerosol products and even anti perspirant ingredients incorporated have shown some side effects on long term usage, there is enough scope for Research and Development of New Products on the ground of being eco-friendly and clinically safe.Sources and References * www. portal. euromonitor. com, * www. epsearch. net; * www. search. proquest. com * www. unilevers. com/personalcare/Dove * www. wikipedia. com * http://www. thedailygreen. com/environmental-news/latest/best-natural-deodorants-47062903 * https://www. google. co. in/search? num=10&hl=en&site=imghp&tbm=isch&source=hp&biw=1241&bih=584&q=deodorant+logos&oq=deodorant+logo&gs_l=img. 1. 0. 0j0i5l9. 9569. 17121. 0. 19464. 19. 17. 1. 1. 1. 0. 313. 2551. 5j4j5j2. 17. 0†¦ 0. 0†¦ 1ac. FI_n6QTjW3U