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CASE STUDY PRESENTATION

ON

HIMALAYA HERBAL
TOOTHPASTE: CATEGORY AND
BRAND INVOLVEMENT
IN
AN EMERGING MARKET

Presented By: Priya, Wangkhem, Govind, Mahendra &


Sumit
HIMALYA DRUG COMPANY
 One of the key players in the pharmaceutical field for several decades.
 Herbal Offerings in Health Supplements, Personal Care Products & Pain
Ointments in the retail & prescriptive segments
 Unique Proposition: The scientific rigor associated with the testing of its
herbal offerings
 The company launched Ayurvedic Concepts to enter the consumer
markets.
 Initially, in the late 90s, Ayurvedic Concepts targeted the young urban
professional population to create brand awareness. In the early 20th
century, it was brought under the Himalaya umbrella brand for several
categories of soaps, shampoos, face washes, health supplements, baby
products, etc.
 In 2010, 40% of Himalaya’s turnover was from consumer products.
 It had several exclusive outlets throughout India, & had shop-in-shop
counters in modern retail outlets.
 Himalaya did not advertise as much as other FMCG manufacturers, &
brand associations were nurtured by Word of Mouth.
 To build market share in the highly competitive personal health care market,
it begun to advertise its face wash & toothpaste brands
 Its offerings were exported to several countries
ORAL CARE INDUSTRY
 FMCG was broadly split into: Household Care, Personal Care
and Food & Beverages
 FMCG market in India projected to be around US$15-18
billion in 2010, & expected to grow to US$33 billion by 2015
 The average Indian consumer spent around 8% of his income
on personal care products
 Growth of the personal care segment can be attributed to:
 Increasing levels of discretionary spending
 Greater attention to personal hygiene
 Increase in the no. of new media channels
 Distribution
 In 2010, the oral care market in India was around US$980
million
 Growth trend of toothpastes over the past 3 yrs was relatively
slower than that of other key FMCG categories (11%)
 Growth of the toothpaste category was even lower, at around
ORAL CARE INDUSTRY

TOOTH
PASTE
WHITENIN TOOTH
G
PRODUCT BRUSH
S ES
ORAL
CARE
CATEGORY
DENTA TOOTH
L POWDE
FLOSS R
MOUT
H
WASH
STUDIES ON “THE PERCEPTION OF
CONSUMERS REGARDING THE TOOTHPASTE
CATEGORY”
 One study reported that 68% of the Indian consumers who
participated in the survey believed that using the right toothpaste was
more important than using the right toothbrush. However, they did not
give much importance to the toothpaste category. Most of them
believed that oral care was not as important for personal grooming as
hair care or skin care.
 Another study revealed that only 28% of the respondents brushed
twice daily.
 Yet another study indicated that 68% of the respondents had never
visited a dentist & 87% would not consider visiting a dentist as a
preventive measure.
 WHO reported that 98% of the Indian population suffered from oral
health problems.
 Ratio of dentists to patients was dismally low, with just 1 dentist for
10,000 people in urban areas & 1 for about 0.25 million people in
rural areas.
TOOTHPASTE INDUSTRY: BRANDS &
SEGMENTS
 The toothpaste market in India had a very low penetration rate of 60%.
 Urban Penetration: 76% Rural Penetration: 40%
 Average consumption of toothpaste in rural households was significantly lower
than in urban households.
 Per capita consumption of toothpaste in grams per year:
 India: 115 China: 255 United States: 542
 Key brands in the Indian Oral Care industry: Colgate- Palmolive India &
Hindustan Unilever Limited
 Colgate was one of the main brands for oral care, with the category contributing
to 96% of Colgate- Palmolive India’s annual company sales.
 Colgate was the market leader in the toothpaste, toothbrush & toothpowder
categories.
 It led the toothpaste market with a 52% market share.
 Hindustan Unilever was 2nd in the oral care market with a 25% share in the
toothpaste category.
 The toothpaste category was segmented into 3 price tiers: Economy, Popular &
Premium and existed in 2 product variant types: Paste & Gel formats.
SNAPSHOT OF ALL KEY
BRANDS
HUL
Brand Type Price Tier Target Consumer Brand Proposition

Closeup Gel Popular Young adults, mostly Freshness that gives you the
urban confidence to get closer to
someone

Pepsode Paste Popular Family(strong Fights germs & prevents


nt children imagery) cavities for healthy teeth &
gums
COLGATE
Brand Type Price Target Consumer Brand Proposition
Tier
Dental Paste Popular Family(strong children All-round decay protection, even
Cream imagery) where a toothbrush cannot reach
Total 12 Paste Premium Involved oral care Complete germ protection for a full
consumers: Adults range of oral health problems
Sensitive Paste Premium Niche: Consumers with Relief from pain & protection from
dental sensitivity tooth sensitivity
Maxfresh Gel Popular Young adults, mostly Maximum freshness for maximum
urban impact
Fresh Gel Popular Young Adults Fresh breath for confidence to seize
Energy Gel every moment
Herbal Paste Popular Family Strong teeth & healthy gums naturally

Cibaca Paste Economy Family(some children Strong teeth & fresh breath for your
imagery) family
Active Salt Paste Popular Niche: Consumers with Fights germs for healthy gums & teeth
sensitive teeth
Maxwhite Gel Premium Niche: Consumers with Whitens teeth to reveal a sparkling
whitening requirements smile
HIMALAYA
Brand Type Price Target Brand Proposition
Tier Consumer
Dental Paste Premium Adults Indulge like a child, brush like an
Cream DABUR adult
Brand Type Price Target Brand Proposition
Tier Consumer
Babool Mint Gel Economy Family(some Helps you start the day with a pleasant,
Fresh children imagery) fresh feeling

Babool Paste Econom Family(some A natural way to begin a great day


y children
imagery)

Red Paste Popular Family(some Keeps your dental problems away


children with the power of Ayurveda
imagery)

Meswak Paste Premiu Family Incredible herbal Meswak for


m complete oral care
Promise Paste Premiu Family(some Fights cavities with the strength of
ANCHOR
Brand Typ Price Target Consumer Brand Proposition
e Tier
Anchor Past Econom Family(strong All-round protection to keep your
White e y children imagery) teeth fit & life fit

Anchor Gel Gel Econom Young adults Fights germs & keeps mouth fresh
y
GSK
Brand Typ Price Target Consumer Brand Proposition
e Tier
Sensodyne Past Premiu Niche: Consumers World’s Number 1 toothpaste for
e m with sensitive teeth sensitive teeth
AJANTA
Brand Typ Price Target Consumer Brand Proposition
e Tier
Ajanta Past Econom Family(strong For healthy & sparkling white teeth
e y children imagery)
EXAMPLES OF BRAND
COMMUNICATIONS FROM VARIOUS
BENEFIT SEGMENTS
FRESHNESS SEGMENT: CLOSEUP
OVERALL ORAL HEALTH SEGMENT: COLGATE
DENTAL CREAM
OVERALL ORAL HEALTH SEGMENT:
PEPSODENT
HERBAL SEGMENT: DABUR RED
TOOTHPASTE
NICHE SEGMENT: COLGATE ACTIVESALT
HIMALAYA DENTAL CREAM
 Himalaya’s leading offering in the toothpaste category
 Contains natural ingredients like: Neem, extracts of Toothace
Tree, Pomegranate, etc.
 Priced in the Premium Tier
 Offers several benefits like: Tightening & Reducing swelling of
gums, Stopping gum bleeding, Preventing toothache & decay
and Controlling bad breath
 Advertised with the concept, “Indulge like a child, brush like
an adult.”
 Advertised in several top metropolitan cities through outdoor
advertising, mainly through Billboards.
 However, it had a relatively smaller presence in television
advertising compared to its competitors such as Colgate &
Pepsodent.
HIMALAYA’S BRAND COMMUNICATION:
HIMALAYA DENTAL CREAM
HIMALAYA’S HiOra RANGE
 A range of herbal prescription-based oral care
products
 Included: A Toothpaste, two Mouthwashes, an
Ulcer gel, a Gum Astringent & a Whitening agent
 Expected to compete with brands operating in the
prescription oral care segment & not in the FMCG
oral care segment
 Doctor-prescribed oral care market was just 5% in
2010, but it was showing a growth of 21%
annually which indicated an increase in the
awareness about oral care.
POSITIONING MAP OF BRANDS
Emotional Benefit
Closeup
Colgate Fresh Energy Gel Colgate MaxFresh

Anchor White Himalaya Dental


Cream
Anchor Gel Pepsodent
Babool MintFresh Colgate Dental Cream Colgate
MaxWhite

Economy Tier Premium


Tier
Dabur Red
Colgate Cibaca
Babool
Ajanta
Colgate ActiveSalt Colgate Sensitive
Dabur Meswak
Colgate Total
Promise Colgate Herbal Sensodyne
TOOTHPASTE CATEGORY
SEGMENTS
HERBAL
FRESHNESS
Complete oral care with the help
Freshness that fills you with
of natural/herbal or Ayurvedic
confidence
ingredients

TOOTHPASTE
CATEGORY
SEGMENTS

OVERALL ORAL HEALTH NICHE- PROBLEM SOLVING


Healthy teeth & strong gums for Specific solutions to oral health
the entire family through problems for consumers with
protection from germs higher involvement in oral care
RESEARCH METHODOLOGY
Objectives of the Study:
 To find out whether consumers were really
loyal to the brands in the toothpaste category
 To figure out the involvement levels with

respect to toothpaste
 To investigate the consumers’ attitude towards
brands
 To study the Brand Attachment
Sampling:
 Target Population: Females aged between 22 &
55, belonging to urban households with an SEC
socioeconomic classification
 Geographical Area: Urban Karnataka

 External Marketing Research Agency was used to


collect data in April 2011.
 Questionnaires formulated in English & translated
to Kannada
 Sample Size: 100 (25 respondents from each
benefit segment)
 Scales: Consumer Involvement, Brand Attitude &
Brand Attachment

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