Tuesday, July 15, 2014

Deodorants are going to be next innerwears in India

Advertising Executive Sam Balsara summed it up all, when he said in Anupama Chopra's show "A baniyan is a baniyan is a baniyan!" (see from 10:40 to 12:40)



The non-differentiation in the inner-wear industry made sure that every single brand owner found an alternative route. And that route was bollywood star endorsement.

From Shahrukh to Salman, from Saif to Hrithik, every so called "100 crore star" made sure, to remove his shirt for one inner-wear brand or other, so that Rupa can be differentiated from Amul Macho. (though don't think they succeeded)

Now another industry is getting inflicted with the same endorsement bug- the deo industry.

And not for anything - In last 5 years, the deo industry has grown from Rs 5 billion to staggering Rs 23 billion.

If you look back only a couple of years back, the only value prop, deo companys used to bring was to attract girls (really?), on the lines of HUL brand Axe.

It all changed because Darshan Dave decided to hear customers, while building Fogg.

When Fogg was launched by Vini Cometics in 2011, not many expected it to do wonders. But it soon showed the power of differentiation and clear value prop.

Launched with the tag line of "Bina Gas Wala Spray", it now leads the Indian market with 12% market share (Nielsen report), beating all the majors.

Other leaders in the segment are Engage (8.1 %), Axe (6.9 %) and Wild Stone (6.9 %).

But guess what, there are 986 varieties of deos (from 500 brands) across the industry, with more than 100 launched in last 1 year itself.

So how do you differentiate? Well, go the baniyan (inner-wear) way!
Here are some examples:
  1.  Denver, has roped in Saif Ali khan to endorse (from Baniyan to Deo - he is indeed an early adopter!)
  2.  Envy, yet another deo brand, which has also tried imitating Fogg's value prop, has roped in Irfan Khan as the celebrity endorser
  3. Provogue has recently launched its deo and got Fardeen Khan as its brand ambassador
I don't even see any brand-star image fit in most of such cases. It looks like a brand manager from inner garments has crossed over to deo world and along with her, has got these "stars" too.

It is yet to be seen, if these brands are going to get a major push because of star value associated with it. Or is it that they will make these stars richer, leaving deo companys' bottom line bleeding.

Sources:

http://businesstoday.intoday.in/story/darshan-patel-vinnin-cosmetics-paras-buyout/1/205377.html

http://retail.economictimes.indiatimes.com/news/food-entertainment/personal-care-pet-supplies-liquor/new-players-in-deodorant-market-like-aira-sensual-menclub-shake-up-fmcg-segment/38351964

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