Domestic brand moves to take on international giants with Indian male grooming

By Lucy Whitehouse

- Last updated on GMT

Domestic brand moves to take on international giants with Indian male grooming

Related tags Brand

Indian consumer goods player Emami has moved in on the increasingly lucrative male grooming sector in India, launching its deodorant range ‘He’ to compete with the international giants of Unilever and P&G.

Entering the market in the same price bracket as brands such as Axe and Old Spice, the range will be the second in male grooming for the company, alongside Fair and Handsome.

“Foreign brands, possessing technical expertise, facilities, and means to support innovation and marketing activities, are expected to capitalize upon these advantages and grow faster than domestic brands within China and India,”​  analysts from Kline state of the male grooming segment; domestic company Emami’s move counters this trend.                              

Emami plans to roll out ‘He’ nationally, centralizing its focus on the 23 top cities, and the launch marks a clear step by the FMCG company towards strengthening its position within the fast-growing segment.

Male grooming

The male grooming market​ in India​ is expected to grow by a CAGR of 11%, to reach Rs 5,300 crore by 2016, according to a recent Euromonitor International study.

The increasing competitivity among brands within the category meets an earlier prediction by the market research firm that major manufactures will increase their presence in male grooming up to 2017.

Indeed, the launch of ‘He’ comes hot on the heels of a recent announcement by Unilever that the rival manufacturer’s brand Pond’s is also launching a new male grooming range.

Starting with deodorants

The Rs 2,300 crore deodorant market is enjoying growth of over 18% in the country, and according to Nielsen, male deodorants hold 69% of the sales contribution: the segment is a savvy choice for a newly launch brand to find its feet in.

Harsha Agarwal, director of Emami, confirmed this strategy in a statement to the Business Standard.

Deodorant, despite being a cluttered Rs 2000 crore category, is still the largest and fastest-growing in the male grooming segment, clocking double-digit growth. The level of penetration being very low, the segment has dynamic prospects,​” Agarwal stated.

“Moreover, consumers have been shifting brand loyalty in this category with a multitude of me-too brands​,” he noted, suggesting ‘He’ would differentiate itself with innovative packaging.

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