Abstract
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Baby care; Bath and shower products; Colour cosmetics; Deodorants; Depilatories; Fragrances; Hair care; Men' s grooming products; Oral hygiene; Premium cosmetics; Skin care; Sun care
Executive summary
Dynamic value growth is driven by booming economy and changing consumer perception
In 2006, current value growth of cosmetics and toiletries in India was the highest during the review period. A booming economy, which put more money in the hands of Indian consumers, meant that consumer disposable incomes grew, as did the spending on cosmetics and toiletries. Value growth was also driven by changing consumer perception, whereby most cosmetics and toiletries were increasingly considered as essential items for daily use, rather than as luxury products for indulgence. Mass products, including essential bath and shower products and oral hygiene, accounted for the bulk of value sales, whereas premium products were restricted to the upper middle classes and niche high-income consumers.
Niche products grow in line with expanding consumer base
Growing from a smaller base, niche products witnessed the most dynamic value and volume growth in 2006. Products like colour cosmetics, deodorants and fragrances all witnessed double-digit value growth in 2006, as new consumers started to use the products, and existing consumers traded up to more premium products. With increasingly availability of domestic and international brands, and greater product availability at affordable prices, consumers also started to move away from using products from the grey and the unorganised channel. This further benefited value sales through the organised channel.
Price increase witnessed across the board
While the economy was booming and consumers were in the mood to spend, manufacturers saw 2006 as the best time to increase prices of products. Raw material prices of most essential products, like vegetable oils, increased and manufacturers passed the price increase to the consumer. With competition on the increase, manufacturers also introduced better packaging with more vibrant colours, relaunched products, and increased spending on advertising and promotion, all of which added to costs. A significant shift in purchasing behaviour was also observed, with consumers trading-up to more premium brands, and new consumers shifting from the unorganised to the organised channel, both of which enabled an overall price increase.
Hindustan Lever Ltd stays well ahead of the competition with breadth of presence, impressive distribution and continued investment
Although new players entered cosmetics and toiletries, and existing players added to their offerings, Hindustan Lever Ltd remained well ahead of the competition. In a highly-fragmented market, Hindustan Lever Ltd was the only player to hold a double-digit value share in 2006, with Colgate-Palmolive India Ltd a distant second. Hindustan Lever Ltd' s success was on account of its breadth of presence across various cosmetics and toiletries products, coupled with the best distribution system nationally and continued investment in product promotion. Domestic companies also looked at the buyout of brands and companies as a means of improving value growth, with players like Dabur India Ltd, Godrej Consumer Products Ltd and Marico Ltd all on the prowl for companies and brands that not only add to the top line but also bring in intangible benefits.
Robust forecast performance predicted, with competition expected to hot up
Cosmetics and toiletries is expected to continue on its upward growth curve during the forecast period. While value growth of the more penetrated bath and shower products and oral hygiene is expected to be lower than overall value growth of the market, deodorants, colour cosmetics and fragrances are all expected to see double-digit constant value CAGRs (compound annual growth rates). With this growth will come increased competition, and a growing array of domestic and international brands are expected to enter the fray. Developments in modern retailing in India are predicted to help these new brands establish their presence more rapidly than during the review period.
Table of Contents
- COSMETICS AND TOILETRIES IN INDIA : MARKET INSIGHT
- EXECUTIVE SUMMARY
- Dynamic value growth is driven by booming economy and changing consumer perception
- Niche products grow in line with expanding consumer base
- Price increase witnessed across the board
- Hindustan Lever Ltd stays well ahead of
- the competition with breadth of presence, impressive distribution and
- continued investment
- Robust forecast performance predicted, with competition expected to hot up
- KEY TRENDS AND DEVELOPMENTS
- Consumers trade up as economy improves and disposable income rises
- Department stores emerge as a key distribution channel
- Rising demand for beauty salon services
- Men take to grooming with men' s skin care launches
- International brands line up their India plans
- TERRITORY KEY TRENDS AND DEVELOPMENTS
- East and Northeast India
- North India
- South India
- West India
- RURAL VS URBAN KEY TRENDS AND DEVELOPMENTS
- MARKET DATA
- Table 1 Sales of Cosmetics and Toiletries by Sector: Value 2001-2006
- Table 2 Sales of Cosmetics and Toiletries by Sector: % Value Growth 2001-2006
- Table 3 Cosmetics and Toiletries Company Shares by NBO Retail Value 2002-2006
- Table 4 Cosmetics and Toiletries Company Shares by GBO Retail Value 2002-2006
- Table 5 Cosmetics and Toiletries Brand Shares by Retail Value 2003-2006
- Table 6 Sales of Cosmetics and Toiletries by Distribution Format: % Analysis 2001/2006
- Table 7 Sales of Cosmetics and Toiletries by Sector and by Distribution Format: % Analysis 2006
- Table 8 Penetration of Private Label by Sector by Retail Value 2002-2006
- Table 9 Forecast Sales of Cosmetics and Toiletries by Sector: Value 2006-2011
- Table 10 Forecast Sales of Cosmetics and Toiletries by Sector: % Value Growth 2006-2011
- APPENDIX
- Published Data Comparisons
- DEFINITIONS
- LOCAL COMPANY PROFILES - INDIA
- CAVINKARE PVT LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 1 CavinKare Pvt Ltd: Key Facts
- Summary 2 CavinKare Pvt Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 3 CavinKare Pvt Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 4 CavinKare Pvt Ltd: Competitive Position 2006
- CHOLAYIL PHARMACEUTICALS PVT LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 5 Cholayil Pharmaceuticals Pvt Ltd: Key Facts
- Summary 6 Cholayil Pharmaceuticals Pvt Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- COMPETITIVE POSITIONING
- Summary 7 Cholayil Pharmaceuticals Pvt Ltd: Competitive Position 2006
- COLGATE-PALMOLIVE INDIA LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 8 Colgate-Palmolive India Ltd: Key Facts
- Summary 9 Colgate-Palmolive India Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 10 Colgate-Palmolive India Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 11 Colgate-Palmolive India Ltd: Competitive Position 2006
- DABUR INDIA LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 12 Dabur India Ltd: Key Facts
- Summary 13 Dabur India Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 14 Dabur India Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 15 Dabur India Ltd: Competitive Position 2006
- GODREJ CONSUMER PRODUCTS LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 16 Godrej Consumer Products Ltd: Key Facts
- Summary 17 Godrej Consumer Products Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- COMPETITIVE POSITIONING
- Summary 18 Godrej Consumer Products Ltd: Competitive Position 2006
- HINDUSTAN LEVER LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 19 Hindustan Lever Ltd: Key Facts
- Summary 20 Hindustan Lever Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 21 Hindustan Lever Ltd: Production Statistics 2005
- COMPETITIVE POSITIONING
- Summary 22 Hindustan Lever Ltd: Competitive Position 2006
- MARICO LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 23 Marico Ltd: Key Facts
- Summary 24 Marico Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 25 Marico Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 26 Marico Ltd: Competitive Position 2006
- MODICARE LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Table 11 Summary1 Modicare Ltd: Key Facts
- COMPANY BACKGROUND
- COMPETITIVE POSITIONING
- Summary 27 Modicare Ltd: Competitive Position 2006
- NIRMA LTD - COSMETICS AND TOILETRIES - INDIA
- STRATEGIC DIRECTION
- KEY FACTS
- Summary 28 Nirma Ltd: Key Facts
- Summary 29 Nirma Ltd: Operational Indicators 2006
- COMPANY BACKGROUND
- PRODUCTION
- Summary 30 Nirma Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 31 Nirma Ltd: Competitive Position 2006
- WIPRO LTD - COSMETICS AND TOILETRIES - INDIA
- KEY FACTS
- Summary 32 Wipro Ltd: Key Facts
- Summary 33 Wipro Ltd: Operational Indicators
- COMPANY BACKGROUND
- PRODUCTION
- Summary 34 Wipro Ltd: Production Statistics 2006
- COMPETITIVE POSITIONING
- Summary 35 Wipro Ltd: Competitive Position 2006
- BABY CARE IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 12 Sales of Baby Care by Subsector: Value 2001-2006
- Table 13 Sales of Baby Care by Subsector: % Value Growth 2001-2006
- Table 14 Baby Care Company Shares by Retail Value 2002-2006
- Table 15 Baby Care Brand Shares by Retail Value 2003-2006
- Table 16 Forecast Sales of Baby Care by Subsector: Value 2006-2011
- Table 17 Forecast Sales of Baby Care by Subsector: % Value Growth 2006-2011
- Table 18 Baby Care Premium Vs Mass % Analysis 2001-2006
- Table 19 Baby Care Premium Brand Rankings 2006
- BATH AND SHOWER PRODUCTS IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 20 Sales of Bath and Shower Products by Subsector: Value 2001-2006
- Table 21 Sales of Bath and Shower Products by Subsector: % Value Growth 2001-2006
- Table 22 Bath and Shower Products Company Shares by Retail Value 2002-2006
- Table 23 Bath and Shower Products Brand Shares by Retail Value 2003-2006
- Table 24 Forecast Sales of Bath and Shower Products by Subsector: Value 2006-2011
- Table 25 Forecast Sales of Bath and Shower Products by Subsector: % Value Growth 2006-2011
- Table 26 Bath and Shower Products Premium Vs Mass % Analysis 2001-2006
- Table 27 Bath and Shower Products Premium Brand Rankings 2006
- DEODORANTS IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 28 Sales of Deodorants by Subsector: Value 2001-2006
- Table 29 Sales of Deodorants by Subsector: % Value Growth 2001-2006
- Table 30 Deodorants Company Shares by Retail Value 2002-2006
- Table 31 Deodorants Brand Shares by Retail Value 2003-2006
- Table 32 Forecast Sales of Deodorants by Subsector: Value 2006-2011
- Table 33 Forecast Sales of Deodorants by Subsector: % Value Growth 2006-2011
- Table 34 Deodorants Premium Vs Mass % Analysis 2001-2006
- Table 35 Deodorants Premium Brand Rankings 2006
- HAIR CARE IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- SECTOR DATA
- Table 36 Sales of Hair Care by Subsector: Value 2001-2006
- Table 37 Sales of Hair Care by Subsector: % Value Growth 2001-2006
- Table 38 Hair Care Company Shares by Retail Value 2002-2006
- Table 39 Hair Care Brand Shares by Retail Value 2003-2006
- Table 40 Forecast Sales of Hair Care by Subsector: Value 2006-2011
- Table 41 Forecast Sales of Hair Care by Subsector: % Value Growth 2006-2011
- Table 42 Hair Care Premium Vs Mass % Analysis 2001-2006
- Table 43 Hair Care Premium Brand Rankings 2006
- Table 44 Styling Agents by Type 2001-2006
- Table 45 Styling Agents Brand Shares by Retail Value 2003-2006
- Table 46 Salon Hair Care Company Shares by Retail Value 2002-2006
- Table 47 Salon Hair Care Brand Shares by Retail Value 2003-2006
- Table 48 Retail Sales of Salon Hair Care by Subsector 2001-2006
- COLOUR COSMETICS IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 49 Sales of Colour Cosmetics by Subsector: Value 2001-2006
- Table 50 Sales of Colour Cosmetics by Subsector: % Value Growth 2001-2006
- Table 51 Colour Cosmetics Company Shares by Retail Value 2002-2006
- Table 52 Colour Cosmetics Brand Shares by Retail Value 2003-2006
- Table 53 Forecast Sales of Colour Cosmetics by Subsector: Value 2006-2011
- Table 54 Forecast Sales of Colour Cosmetics by Subsector: % Value Growth 2006-2011
- Table 55 Colour Cosmetics Premium Vs Mass % Analysis 2001-2006
- Table 56 Colour Cosmetics Premium Brand Rankings 2006
- MEN' S GROOMING PRODUCTS IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 57 Sales of Men' s Grooming Products by Subsector: Value 2001-2006
- Table 58 Sales of Men' s Grooming Products by Subsector: % Value Growth 2001-2006
- Table 59 Men' s Grooming Products Company Shares by Retail Value 2002-2006
- Table 60 Men' s Grooming Products Brand Shares by Retail Value 2003-2006
- Table 61 Forecast Sales of Men' s Grooming Products by Subsector: Value 2006-2011
- Table 62 Forecast Sales of Men' s Grooming Products by Subsector: % Value Growth 2006-2011
- Table 63 Men' s Razors and Blades Brand Shares by Retail Value 2003-2006
- ORAL HYGIENE IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 64 Sales of Oral Hygiene by Subsector: %Value Growth 2001-2006
- Table 65 Oral Hygiene Company Shares by Retail Value 2002-2006
- Table 66 Oral Hygiene Brand Shares by Retail Value 2003-2006
- Table 67 Forecast Sales of Oral Hygiene by Subsector: Value 2006-2011
- Table 68 Forecast Sales of Oral Hygiene by Subsector: % Value Growth 2006-2011
- Table 69 Mouthwash/Dental Rinses Brand Shares by Retail Value 2003-2006
- Table 70 Sales of Manual and Power Toothbrushes by Type: Value 2001-2006
- Table 71 Sales of Manual and Power Toothbrushes by Type: % Value Growth 2001-2006
- Table 72 Manual and Power Brush Company Shares by Retail Value 2002-2006
- Table 73 Manual and Power Brush Brand Shares by Retail Value 2003-2006
- Table 74 Forecast Sales of Manual and Power Toothbrushes by Type: Value 2006-2011
- Table 75 Forecast Sales of Manual and Power Toothbrushes by Type: % Value Growth 2006-2011
- Table 76 Retail Sales of Toothpaste by Type: % Analysis 2002-2006
- FRAGRANCES IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 77 Sales of Fragrances by Subsector: Value 2001-2006
- Table 78 Sales of Fragrances by Subsector: % Value Growth 2001-2006
- Table 79 Fragrances Company Shares by Retail Value 2002-2006
- Table 80 Fragrances Brand Shares by Retail Value 2003-2006
- Table 81 Forecast Sales of Fragrances by Subsector: Value 2006-2011
- Table 82 Forecast Sales of Fragrances by Subsector: % Value Growth 2006-2011
- SKIN CARE IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 83 Sales of Skin Care by Subsector: Value 2001-2006
- Table 84 Sales of Skin Care by Subsector: % Value Growth 2001-2006
- Table 85 Sales of Facial Care by Subsector: Value 2001-2006
- Table 86 Sales of Facial Care by Subsector: % Value Growth 2001-2006
- Table 87 Sales of Facial Cleansers by Subsector: Value 2001-2006
- Table 88 Sales of Facial Cleansers by Subsector: % Value Growth 2001-2006
- Table 89 Sales of Body Care by Subsector: Value 2001-2006
- Table 90 Sales of Body Care by Subsector: % Value Growth 2001-2006
- Table 91 Skin Care Company Shares by Retail Value 2002-2006
- Table 92 Skin Care Brand Shares by Retail Value 2003-2006
- Table 93 Forecast Sales of Skin Care by Subsector: Value 2006-2011
- Table 94 Forecast Sales of Skin Care by Subsector: % Value Growth 2006-2011
- Table 95 Forecast Sales of Facial Care by Subsector: Value 2006-2011
- Table 96 Forecast Sales of Facial Care by Subsector: % Value Growth 2006-2011
- Table 97 Forecast Sales of Facial Cleansers by Subsector: Value 2006-2011
- Table 98 Forecast Sales of Facial Cleansers by Subsector: % Value Growth 2006-2011
- Table 99 Forecast Sales of Body Care by Subsector: Value 2006-2011
- Table 100 Forecast Sales of Body Care by Subsector: % Value Growth 2006-2011
- Table 101 Skin Care Premium Vs Mass % Analysis 2001-2006
- Table 102 Skin Care Premium Brand Rankings 2006
- DEPILATORIES IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 103 Sales of Depilatories by Subsector: Value 2001-2006
- Table 104 Sales of Depilatories by Subsector: % Value Growth 2001-2006
- Table 105 Depilatories Company Shares by Retail Value 2002-2006
- Table 106 Depilatories Brand Shares by Retail Value 2003-2006
- Table 107 Forecast Sales of Depilatories by Subsector: Value 2006-2011
- Table 108 Forecast Sales of Depilatories by Subsector: % Value Growth 2006-2011
- SUN CARE IN INDIA
- HEADLINES
- TRENDS
- COMPETITIVE LANDSCAPE
- PROSPECTS
- SECTOR DATA
- Table 109 Sales of Sun Care by Subsector: Value 2001-2006
- Table 110 Sales of Sun Care by Subsector: % Value Growth 2001-2006
- Table 111 Sun Care Company Shares by Retail Value 2002-2006
- Table 112 Sun Care Brand Shares by Retail Value 2003-2006
- Table 113 Forecast Sales of Sun Care by Subsector: Value 2006-2011
- Table 114 Forecast Sales of Sun Care by Subsector: % Value Growth 2006-2011
- Table 115 Sun Care Premium Vs Mass % Analysis 2001-2006
- Table 116 Sun Care Premium Brand Rankings 2006
- Table 117 Retail Sales of Sun Protection by Factor: % Analysis 2001-2006
