The Hindu : Business : Emami strategy to increase market share

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Thursday, Jul 02, 2009
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Business

Emami strategy to increase market share

Special Correspondent

KOLKATA: FMCG company Emami is planning to take on Johnson and Johnson in the baby products arena with a two-pronged strategy which hinges on working out a right pricing formula on the one hand and marketing products based on ayurveda on the other.

Starting with an entry in the southern markets, Emami, which has under its belt, brands like Navratna, Boroplus and Zandu, is planning to add to its portfolio of three baby products that it has now launched — soap, oil and talc, while creating price-points which the company hopes will expand the market. A national roll-out is planned by September. Talking to The Hindu, Aditya Agarwal, Director, Emami Group, said the company had priced its products at least 20-30 per cheaper than the market-leader while introducing smaller packs to expand the market and bring baby products within the reach of all.

The personal care segment of the baby-product market is estimated at Rs. 550 crore with J&J straddling it with an 80 per cent share. There are other players too like Wipro, Himalaya, Marico and Dabur.

Mr. Agarwal said the company was also planning to expand the product-base with creams, lotions and shampoo with medicinal products like gripe-water coming in the next phase.

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