Indian Hair Care Industry
The hair care industry has grown a lot in the recent years. The reason can be attributed to the fact that a large portion of our Indian population is using higher quality branded products. Of the estimated Rs.1, 611 billion FMCG market in India, hair care products make up approximately Rs.91.5 billion, or 8%, of the total according the Nielsen Retail Audit Report. The 14% growth rate in the hair care industry is also slightly higher than the overall industry average of 13.4%. Shampoo and hair oils, including coconut oils, continue to be the key components of this segment. The marketing startegy of rural distribution campaigns adopted by the hair oil manufacturers and dealers have helped to greatly expand the geographic coverage of hair oil products into the rural parts of the country. In addition, average prices for hair oil products have risen from Rs. 22.25 per 100 ml in 2008 to Rs.23.74 per 100 ml in 2009 according to the Nielsen Retail Audit Report.
Hair Oil Categories
There are three main categories of hair oil in India:
The light hair oil segment has experienced significant growth in recent years as consumers opt for lighter, more modern hair oil products. The light hair oil segment recorded sales of Rs.6,828 million in 2009 according to the Nielsen Retail Audit Report. Light hair oil is an urban dominated segment primarily due to its comparatively high cost & is more geographically concentrated, in the northern states of Punjab, Delhi, Uttar Pradesh and Rajasthan, due to higher disposable incomes and the propensity of consumers to try new products. The northern regions accounted for approximately 52% of sales volumes and grew by 10% (volume growth) in FY 2009-10 according to the Nielsen Retail Audit Report.
The heavy amla hair oil segment has seen strong growth in recent years. The heavy amla hair oil market is primarily an urban driven market and tends to be geographically concentrated in the northern parts of the country. The heavy amla hair oil segment recorded sales of Rs.7, 370 million in FY 2009-10, representing a growth rate of 4.7% from FY 2008-09, according to the Nielsen Retail Audit Report.
Cooling Oils have emerged as an important segment in the Indian hair oil market. Cooling oils are hair oils meant for cooling the scalp during the harsh summer months. The ingredients in the cooling oils cause immediate relief by cooling the scalp. The CAGR of the category has been 20% over the last 5 years. The cooling oil category is now nearly Rs. 7,000 million in the financial year ended March 31, 2010.
Major Hair Oil Manufacturers in India
Marico – is a leading FMCG Indian Manufacturer providing consumer products and services in the areas of Health and Beauty. During 2009-10, the company generated a Turnover of about Rs.26.6 billion, in respect of its food, hair care and skin care related activities. The organisation holds a number of brands viz. Parachute, Saffola, Sweekar, Hair&Care, Nihar, Shanti, Mediker, Revive, Manjal, Kaya Skin Clinic, Aromatic, Fiancee, HairCode, Caivil, Code 10 and Black Chic. The major brands of Marico holding significant market share are Parachute and Saffola. Parachute is essentially coconut oil. The other sub brands of Parachute are Nihar, Uttam and Oil of Malabar which are also coconut oils. It established a plant at Kanjikode, Palghat to manufacture ‘ Parachute Coconut Oil’. It also manufactures hair care products such as Coconut Oil, Hair Oils & Anti Lice Treatment solution, which are marketed under the brand names of Parachute, Hair and Care & Oil of Malabar.Among all the products offered by Marico, the most popular item is perhaps ‘Parachute coconut oil’. This unique product is manufactured from high grade coconuts and helps users in all their hair related ailments.
Bajaj Corp. – Bajaj Corp Ltd is one of India’s leading FMCG company with major brands in Hair care category. It is one of the oldest business houses of the country. Bajaj Corp Ltd is part of Shishir Bajaj Group of companies.Brahmi Amla Hair oil is one of the brands with longest heritage in India from the house of Bajaj and has been a leading player in the Amla market for over 75 years. A hugely trusted brand with a very loyal consumer base, today it is among the top 3 brands in its category. Over the years, Bajaj Brahmi Amla has withstood severe competition but managed to retain its ground due to its superior quality. The different hair oil products that the company offers are Almond drops, Brahmi Amla, Amla Shikakai & Jasmine hair oil.
Dabur India Limited – has marked its presence with significant achievements and today commands a market leadership status. Dabur Amla Hair Oil is India’s trusted hair oil. It contains the natural goodness of Amla (Indian gooseberry). Dabur Amla Hair Oil is today the largest hair oil brand in the country with over 35 million consumers.aster hair oil brands are Dabur- Ayurvedic healthcare products & Vatika – Premium hair care.
Emami Ltd. – the flagship company of the Group, is a Rs 1100 crore business entity, a leading player in the personal and healthcare consumer products industry in India engaged in manufacturing and marketing of health, beauty and personal care products that are based entirely on ayurvedic formulation. Emami Limited has over 30 brands under its portfolio. By repeatedly outperforming the industry standard, Emami Ltd has maintained a CAGR of 27% over the last few years.Himani Navratna hair oil is one of the flagship brands of Emami Ltd. Navratna oil is among the top selling brands in india. Its traditional ayurvedic formulation along with the cooling sensation has multiple benefits of providing relief from hair related problems. It is the most trusted brand in the cool oil category. It commands a holding of 50% of market share of the cool oil market. It has a monopoly in the southern states with a market share of 98 %.
2 Comments
Really i got to know many interesting things from site which is mentioned in this page.But we should n’t forget that India’s first light hair oil is KEOKARPIN of Dey’s medical.Today it’s existence still we can feel and it’s service to their loyal customer
SESA? Is it not one of the finest and pure ayurvedic hair oil in India?