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Indian Premium Soap Market

Soap Market :
The Indian Soap market consists of retail sales of bath and shower products. The
Indian soap and hygiene market has experienced strong double digit growth in
recent years(13.4% in 2013 to a value of $ 23.16 Billion Dollars). This is predicted to
continue through the forecast period, but at a decelerated rate (Market Line
Industry profile : Personal Hygiene in India, August 2014). Unilever is the biggest
player in the Indian Soap Market, generating 44.7 % share of the market value.
Additionally, Market consumption volume increased with a CAGR of 7.3% between 2009 and 2013, to reach a total of
6,800.6 million units in 2013. The market's volume is expected to rise to 8,859.9 million units by the end of 2018,
representing a CAGR of 5.4% for the 2013-2018 period.

Indian Soap Market 2009-2013 –
Market Value

Market Share
Unilever is the leading player in the Indian soap Market with multiple products across the price points . It has 44.7%
share of the market value . Godrej is the second in the list with 12.2 % of the market.

Rexona. Premium soaps are estimated to have a market volume of about 14 to 15% of the market size. Cinthol. popular. discount and economy soaps. and Dove. As the market is constituted now. Market Distribution : Independent retailers form the leading distribution channel in the personal hygiene market . leading national and global brands and a large number of small brands. The table below from Marketline gives a better picture of the distribution channel: Project Scope : The scope of the project is to study the premium Indian soap market marketing mix.The market has several. The popular and premium brands include Lux. Though we have analyzed the marketing mix of the premium Indian soap market. we have taken specific example of Dove soap of Unilever brand to justify our analysis.2 % of the market share . 68. . Liril. it can be divided into four price segments: premium.

The evaluation of alternatives will be different for each individual. . Therefore. consumers feel it to be a low involvement but a habitual purchase. It would also include brand perception of the product and its parent company. In the context of purchasing a soap. cognitive dissonance arises when the individuals’ expectations are not met. and fragrance etc. the last stage includes the post-purchase evaluation. Family and advertisements are often the first stimuli which trigger need recognition and problem awareness Need recognition and problem awareness could arise from perceived quality differences or be triggered by a desire for higher quality product. Therefore. Individuals. The woman of the house is normally considered as the ultimate decision-maker in terms of this kind of purchase. but one of the main reasons is for skin nourishment. family regarding their own perceptions and knowledge These individuals may also utilize other sources such as Marketing mix touch points to further his or her knowledge about the product. After the final purchasing decision. who purchase premium soap. consumers purchase it to fulfill both the basic and the augmented needs.CUSTOMER DECISION MAKING PROCESS The customer decision making process for soap encompasses the following methodology. but would often include assessments of the product itself for features such as skin care. whereby the individual would examine the purchase. Information search is where individuals will obtain information. hygiene. going through five stages which are as follows: Initial problem awareness and need recognition are often triggered by a feeling or desire to fulfill a need. companies spend a lot of money on quality control and R/D so that the consumers get a consistent and a good experience of using the product. Often. This could begin with members of his/her peer group including friends. do so for personal reasons.

However. However. and they are primarily set up to dispense cigarettes and chewing tobacco. Here soap prices are also discounted below the retail prices. department stores have good display counters and this is the only place where consumers get a first hand experience of shopping and choosing from available options.About 75% of soap can be bought through these different types of outlets: Kirana Store: This is the most common source for buying soap. Consumers exhibit loyalty to these stores. These kinds of shops exist by the dozen in rural areas. Department Store: In India. there are very few department stores and the “Indianised” version of department stores are called “Sahakari Bhandars. Here consumers buy across the counter and do not have an option of browsing through display shelves. almost like handcarts. which usually forms a part of the month’s grocery list (which is purchased from these Kirana Stores).” It is still a fairly new concept. one would find such a shop at every corner and they are the main sources of soap purchase for the lower socio-economic classes. which is largely dependent on proximity to consumers’ homes. . Pan-Beedi Shops: These are really small shops.