Himalaya Herbal Toothpaste category and brand involvement Brand Management - Group 4 Roll No. Name FT13170 Shouvik Das FT13224 Ishani Sircar FT13312 Arjun Choudhry FT13351 Namita Joshi FT13389 Vikrant Vijay Mahajan FT13466 Ruchika Salhotra
• 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• The brand has a positive perception among consumers
ORAL CARE INDUSTRY • FMCG was broadly split into: Household Care, TOOTH Personal Care and Food & Beverages PASTE • FMCG market in India projected to be around US$15- 18 billion in 2010, & expected to grow to US$33 billion by 2015WHITENING TOOTH • The average Indian consumer spent around 8% of hisPRODUCTS BRUSHES income on personal care products • Growth of the personal care segment can be attributed to: ORAL CARE Increasing levels of discretionary spending CATEGORY Greater attention to personal hygiene Increase in the no. of new media channelsDENTAL TOOTH Distribution FLOSS In 2010, the oral care market in India was around POWDER US$980 million Growth trend of toothpastes over the past 3 yrs was MOUTH relatively slower than that of other key FMCG categories (11%) WASH Growth of the toothpaste category was even lower, at around 9%
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.• It could be concluded from these studies that there was a significant scope for marketers to enhance the involvement level associated with the toothpaste category among consumers.
TOOTHPASTE INDUSTRY : Key FactsINDUSTRY FACTS COMPETITION DATA• The toothpaste market in India had a • Key brands in the Indian Oral Care industry: very low penetration rate of 60%. Colgate- Palmolive India & Hindustan Unilever• Urban Penetration: 76% Rural Limited Penetration: 40% • Colgate was one of the main brands for oral• Average consumption of toothpaste care, with the category contributing to 96% of in rural households was significantly Colgate- Palmolive India’s annual company sales. lower than in urban households. • Colgate was the market leader in the toothpaste,• Per capita consumption of toothbrush & toothpowder categories. toothpaste in grams per year: • It led the toothpaste market with a 52% market India: 115 share. China: 255 • Hindustan Unilever was 2nd in the oral care United States: 542 market with a 25% share in the toothpaste category.
TOOTHPASTE INDUSTRY : Segmentation ProductPricing Categorization VariantsEconomy Freshness Paste HerbalPopular Overall Health GelPremium Niche
POSITIONING MAP OF BRANDS Emotional Benefit Closeup Colgate Fresh Energy Gel Colgate MaxFresh Anchor White Himalaya Dental Cream Anchor Gel PepsodentBabool MintFresh Colgate Dental Cream Colgate MaxWhiteEconomy Tier Premium Tier Dabur Red Colgate Cibaca Babool Ajanta Colgate ActiveSalt Colgate Sensitive Dabur Meswak Colgate Total Promise Colgate Herbal Sensodyne Functional Benefit
Marketing Communication by the Competitors Brand Marketing Campaign / Selling Point Positioning StatementOverall Health Category “Close up” Paas Aao Campaign – “makes one want to Freshness > Closeness kiss” “Colgate Dental “All round Protection from Decay” / “No.1 Trust + Protection Cream” Brand Recommended by Dentist” “Pepsodent” “Removes 95% of Germs in just 2 minutes” Protection + Effectiveness “Dabur Red “Lets Drive Away Dental Problems” CurativeHerbal Toothpaste” “Colgate Active “Kills Germs to make gums Strong & Healthy” Problem Solving+ HealthNiche Salt”
SURVEY – KEY FINDINGS• 58% of respondents brush once in a day• 78% of all respondents never visit a dentist• dentist recommendation – 72% of all respondents do not take a toothpaste recommended by dentist – 86% of respondents change their toothpaste on recommendation by dentist• 85% of consumers have oral health problems• 67% of consumers change their toothpaste to solve a problem• Overall Category involvement is 41%
Involvement Levels Analyzed• People all agree that a toothpaste is necessary for them as the low score signifies in the last slide• But people display more or less a neutral attitude when they consider the functional attributes of a toothpaste.• The functional level score only goes up in the niche segment• This suggests that toothpaste is a low involvement category with consumers knowing the need of a toothpaste but are not too attached to functional attributes except in the niche category• Consumers in the niche segment are more involved in the buying decision of a tooth paste
Attitude towards Brands• The results of the involvement levels gets reflected in the attitude towards the brand as well• Perception that a toothpaste creates freshness and makes teeth shinier gets a score of 3.5 with the niche category scoring higher with a value of 3.9• Functional attributes like germ fighting and oral health gets a score of 3.5 with the niche category scoring 3.9• Personal perceptions like confidence , dazzling smile and a good start to a day gets a avg score of around 3.35 with the niche segment scoring a high of 3.85.This resonates the findings of the involvement levels. Attitude towardslow involvement categories are neutral. People do not share a strongbrand attitude. But a higher involvement level category like the nichesegment garners a higher brand attitude from the consumers.
Emotional attachment• Analyzing the scores we infer that involvement levels does not play a very important role in this respect.• The avg score is around 3.3 with all segments scoring the same unlike what we saw in the earlier slides• This also shows that people are almost neutral in emotional attachments towards the brands
Category InvolvementSegment High Involvement customersFreshness 28%Herbal 40%Overall oral care 32%Niche 64%Total category 41% The above table depicts that the herbal category has the second highest percentage of High involvement customers. It is a favorable situation that can be tapped
Attitude towards category• Cognitive beliefs of the consumers towards non niche categories are almost same with a percentage of score around 60%• Affective beliefs score a high in the freshness category with a score of 60% comparing to a low 40 % in the herbal categoryWe can use this data to formulate a marketingstrategy which emphasizes on the freshness aspectas well to cash in on the affective beliefs of thecustomers
Segment Analysis OralFreshness Herbal Niche HealthConsumer Behavior Consumer Behavior Consumer Behavior Consumer Behavior•80% of brush once a day •88% of brush once a day •56% of brush once a day •23% of brush once a day•71% never visit a dentist •84% never visit a dentist •80% never visit a dentist •64% never visit a dentist•75% dentist doesn’t •67% dentist doesn’t •50% dentist doesn’t •88% dentist doesn’t recommend the toothpaste recommend the toothpaste recommend the toothpaste recommend the toothpaste•Oral Health Problem = 88% •Oral Health Problem = 92% •Oral Health Problem = 80% •Oral Health Problem = 80%High involvement 28% High Involvement 40% High Involvement 32% High Involvement 64% Low Involvement & Low Involvement & Low Involvement & Low Involvement & high Attitude 66% high Attitude 46% high Attitude 46% high Attitude 89%
Recommendations : Himalaya• Need to enter in a new niche / Problem Solving category keeping herbal USP – High avg involvement score : 3.9/5 / • 64% of total consumers – Increased use of brushing / customer • Increase of 54% – Higher Consumer Cognitive & Affective Belief • 92% & 72% respectively (compared to herbal’s 64% &44%) – Low Category Involvement customers – strong cognitive belief • 89% in niche vs 46% in herbal – High affective belief of 60% in freshness category as compared to a low 40 % in the herbal category. We can encash on adding a freshness element in the niche segment
Himalaya Toothpaste : Differentiation• A premium Herbal Toothpaste for the niche category – “Fresh , Natural & Secure”• providing freshness and solution to the following problems:- – Tightening & Reducing swelling / bleeding of gums – Prevention of Tooth Decay & Tooth Ache – Bad Breath Control
Positioning StatementTo consumers in Urban demography concernedtowards oral healthcare, Himalaya’s Active HerbsToothpaste is the brand of herbal freshness &oral healthcare, a toothpaste that offers specificsolutions to oral health problems with afreshness quotient because it’s a premium allnatural, healthy, oral solution with a herbalproduct expertise.The brand character is safe , reliable & caring
Brand Campaign• “Enjoy superior protection & long lasting freshness with the power of herbs”• Brand Ambassador to be used – Dentist approval not reccomended