HairColorMarket India

August2011

ExecutiveSummary
IndianhaircaremarketisvaluedatINRXXbnandisexpectedtoseestronggrowthinthefuture HaircolorisapartofthecosmeticsindustryandhasbeengrowingataCAGRofa% Haircolorcanbesegregatedinto Segment1,Segment2andSegment3

Market

Drivers Drivers& Challenges

Increasingdisposableincome Growthinfashionconscious consumers Riseinorganizedretail Increaseinawareness Increaseinmalegrooming Usageofherbalproducts Tie upwithsalons 3Dcolorservice Brandsseektobenatural

Challenges
Usageofharmfulchemicals

Trends

MajorPlayers

Competition

Player1 Player4

Player2 Player5

Player3 Player6

HAIRCOLORMARKETININDIA2011.PPT

Introduction Market k Overview SocialMediaInsights ImportExport Drivers&Challenges Trends Competition C ii StrategicRecommendations

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Marketforhaircareisbecomingadominantsegmentinthe personalcaremarketandisexpectedtogrowfurther
HairCare Overview
ItcomprisesofYofthefastmovingconsumergoods market Themarkethasseentheentryofnewdomesticand internationalplayerswhoarelookingtocapitalizeon thegrowingmarket Strong St opportunity t it exists i t i inS Segment t3and dS Segment t 4duetolowpenetrationlevels

MarketSizeandGrowth
INR R
150 100 50 0

a% X1 X2

20-- - ---

20-- - --e

HairCare Penetration(20)

HairCare Segmentation(20)
Segment 4 O1
9%

Segment1 Segment2 Segment3 Segment4 Segment5

Source:

R1% R2% R3% R4% R5%

Segment 3

1% 12%

50% Segment 1
28%

Segment 2

HAIRCOLORMARKETININDIA2011.PPT

Growingemphasisonpersonalgroomingwillleadtothe growthinhaircolormarketinIndia
HairColorMarket Overview
Haircolorwastraditionallyusedtocovergreyhairs butnowitsusagehasincreasedmoreforcosmetic purposes Haircolorantsareavailableinavarietyofdelivery formats d1,d2,d3andd4
D1comprisesofthebiggestsegmentcontrollingnearlya thirdbyvalue

MarketSizeandGrowth
INR P
15 10 5 0

A% U

20-- - --

20-- - --e

Onlyg%ofIndianwomenusehaircolouras comparedtow%indevelopedmarkets
ThisindicateshugeHmarkettowithstrongIpotential

T Types of fHair H i Color C l

HaircolorproductshavelargelybeenaimedatLM agefemalesegment;however,withtime,therehas beenagrowingpopulationofmaleconsumersaswell Consumerstodayaremorewillingtospendlarge sumsontheseproductsprimarilyduetogrowing awarenessaboutrecentfashiontrends

S1
Doesnotcontain peroxideor ammonia Lastst1t2 shampoos

S2
Lowperoxide level,no ammonia Lastsupto p t3 shampoos

S3
Containsboth peroxideand ammonia Touchups required i devery t4t5weeks

Source: HAIRCOLORMARKETININDIA2011.PPT

Drivers&Challenges Summary

Drivers
I Increase in i disposable di bl i income Growthinfashionconscious consumers Riseinorganizedretail Increaseinawareness Increaseinmalegrooming

Challenges
Usageofharmfulchemicals

HAIRCOLORMARKETININDIA2011.PPT

Trends Summary

Brandsseektobenatural

UsageofHerbalproducts

Key Trends 3DColorservice Tieupwithsalons

HAIRCOLORMARKETININDIA2011.PPT

Fewmajorplayersaccountforalargeshareofthemarket withPlayer1beingthemarketleader
Player1 AnFMCGmajorinIndia Haircolorproductsrangeincludes Brand1,Brand2,Brand3 ProvidesproductsP1,P2andP3 brands
X%

HairColor MarketShare(20)
Player 1 Player 4 Y% Player 2 Player 5

SAMPLE
W% U%

Player 3

Player2

Player3

Isacosmeticgiant HaircolorproductsincludeC1,C2, C3andC4

Player4

Provideshairfashionproducts worldwide Gconstitutesapremiumproduct underitswing CertainotherplayerslikeEand local oca p players aye sco constitute s u ethe erest es of o market

V%

Player5

f%ofthemarketisdominatedbythe topfourplayers

Source: HAIRCOLORMARKETININDIA2011.PPT

M1isthemarketleader,butM4leadsintheSocialMedia Platform
ShareofVoice:SocialMedia
G had maximum social media share :
T Campaign, in which it provided Y to C was the major topic of discussion Nf its hair color was appreciated by many Customers also showed their willingness to purchase DF Hair color People were disappointed by the fact that certain hair colors were NM for the Indian S, but was still promoted by G

ShareofVoice:SocialMedia
P1 P2 P3 P4

A1% A2%

P2 and P3 were the other most talked about brands

Mixed response in case of P1 E hair color was appreciated T1 and t2 of the hair color were the demotivating factors U had the most customer complaints p regarding g g its p product quality

A3% A4%

TopthreeplayersaccountforU%ofthe marketbasedonsocialmediapresence
Source: HAIRCOLORMARKETININDIA2011.PPT

PlayersintheMarket(1/9)
CompanySnapshot:Company1
CorporateInformation
Headquarters Founded Products KeyPeople City1,Country1 19 Cosmetics,HealthandPersonalCare Products Person1 ExecutiveChairman

FinancialPerformance
INR bn
15 10

Revenue Profit / Loss I3 I1 I2 I4

INR bn
3 2 1 0

5 0

2008

2009

2010

2011

BusinessHighlights
ABCreachesconsumersacrossnearlyTcountries,withCountry2andRegion1beingkeygrowthmarket In20,Company2,theerstwhilemarketingcompanyoftheCompany3mergedwithCompany1
Withthis, this totalturnoverofCompany1includingsalesindomesticandexportmarketstoodatINRRRbninFY

In20,itlauncheditshaircolorProductAbothformenandwomen,bothincreamandpowderbasedforms
ProductwascreatedthroughCompany1sexclusivetechnologydevelopedbyInstitution1

Source: HAIRCOLORMARKETININDIA2011.PPT

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Thankyoufortheattention
HairColorMarket IndiareportisapartofResearchonIndiasManufacturingIndustrySeries. Formoredetailedinformationorcustomizedresearchrequirementspleasecontact: GauravKumar
Phone: Email: +913340646214 gaurav.kumar@netscribes.com

GaganUppal
Tel: Email: +912240987530 gagan.uppal@netscribes.com

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