Competition is tightening between local and global players in the Rs 4500 crore branded oral care sector. Even as Hindustan Unilever Ltd (HUL) is drawing up ?strategic plans? to drive the performances of its oral care brands in 2009, Dabur India Ltd is expanding its ?manufacturing capacity and distribution network? to pump up volumes. Colgate-Palmolive India is sharpening its focus on ?consumer promotions and brand building?.
?Indian oral care majors are pumping in a breath of freshness in marketing strategies. Despite the economic recession, this sector is expected to clock in 20% growth in 2009,” said an analyst based in Mumbai. Currently, Colgate-Palmolive leads the pack with a 52% volume market share and HUL?s share stands at 28% by value. On the company?s strategy, Sunil Duggal, chief executive officer of Dabur India Ltd said, ?We are expanding the manufacturing capacity at our plant in Himachal Pradesh and are installing new machines there. Also, we are extending our distribution network to target wider audience.?
Incidentally, Dabur is gearing up to launch a new variant of its flagship brand Babool in August this year. ?We are investing in all our brands to woo consumers. To announce the new variant, we will be launching a new ad campaign next month?, he added. On the other side of the spectrum, HUL has recently re-launched its brand Pepsodent Germicheck Plus with new formulations.
?In the branded oral category, Close-Up performed very well led by its re-launch last year. Pepsodent under performed and appropriate actions are being taken to drive the performance of the brand in 2009.?
As part of its ?cause-related? marketing strategy, Colgate-Palmolive has just launched an aggressive consumer promotion ?learn and earn? across the country. To participate in this promotion, consumers have to learn the five simple oral care tips which are mentioned on the 200 gm and 100 gm packs of Colgate dental cream. Last week, Colgate?Palmolive reported its net sales for the quarter ended June 30, 2009 at Rs 468 crore, an increase of 15% over the same period of the previous year. ?During the quarter ended June 30, 2009, the company continued to support its brand and equity building activities with advertising and sales promotion expenditure at Rs. 58.3 crore, ? said a company spokesperson.
With diverse marketing strategies, dental care majors are now fighting tooth and nail to gain market share in the overcrowded category.
