The New Soap Opera

Font Size

Print

Feedback

Email

Discuss

Related Articles

Japan's Pioneer plans full-fledged entry into Indi...Govt approves higher pay for CPSU officersGovt approves higher pay for CPSU officersHCL Info to distribute SanDisk products in India

Innovation seems to be the main theme of the Indian soap industry in 2008. With the entry of ITC, the stage is all set for a major tussle between the new entrant and existing players in the Rs 6,500-crore branded toilet soaps sector in India. To fight competition, major players Hindustan Unilever Ltd (HUL), Godrej Consumer Products Ltd (GCPL), Dabur India and Wipro Consumer Care & Lighting are now drawing up fresh game plans. And the accent is clearly on innovation to gain mind share as well as market share in this overcrowded category.

At the present, HUL leads the pack with a 53.2% (AC Nielsen, September quarter 2007) market share and Godrej Consumer Goods is a distant second lead player with a market share of 10%. “Today HUL and GCPL are the major players in this sector. GCPL is consistently increasing its market share every year to race ahead, though. Wipro is quite aggressive about its growth plans, too. I am sure ITC’s entry will certainly change the market dynamics in this sector,” says Akhil Kejriwal, an analyst with Enam Securities.

Industry analysts point out that ITC with its distribution strength will try to grab market share from existing players in this sector. Small wonder then that major players are also beefing up their distribution network and brand building exercises to retain and woo consumers.

What’s going to be Wipro Consumer Care’s core strategy to gain a competitive edge in the branded toilet soaps sector? Says Vineet Agrawal, president of Wipro Consumer Care, “We have always believed in giving higher value to customers. We have invested heavily in the soap formulation to give customers a great bathing experience at reasonable pricing.” He adds, “Santoor is the third largest brand in toilet soap industry and going ahead we will consolidate out position through Santoor and offer various forms.” The company has recently introduced Santoor-White to cater to the luxury segment, Glycerin variant to address extra-moisturising needs during winters, and Santoor- 45 gm (at Rs 6) to address the price sensitive customer.

As part of its strategy, Wipro Consumer Care & Lighting is strengthening its distribution network to reach out to a wider target audience. “Our critical priority is to beef up our distribution network in rural markets in 2008. Our sharp focus is on high quality products as well,” says Agrawal.