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EXPLORING BREAKTHROUGH INNOVATION
IN CONSUMER PRODUCTS

वाणिज्य/

AIMIT BAZAAR
WHAT CONSTITUTES CONSUMER PRODUCTS
INDUSTRY
HAIR CARE – Shampoo, Hair Oil etc
 SKIN CARE – Cosmetics
 BODY CARE – Body Lotions, Deodrants etc
 ORAL CARE – Toothpaste, Brush, Mouthwash
etc
 FABRIC WASH
 PERSONAL WASH – Soaps
 HOUSEHOLD CARE
 HOME CARE – Sanitzer, Phenoyl
 F & B (PACKAGED FOODS)

MAJOR SEGMENTS IN INDIAN CONSUMER
PRODUCTS SPACE
(Source:- ibef.org)

INTRODUCTION TO CONSUMER PRODUCT
INDUSTRY (……………..1)
INTRODUCTION TO CONSUMER PRODUCT (Source:- ibef.org)
INDUSTRY (………………2)
CONSUMER PRODUCTS INDUSTRY & RURAL
INDIA (CONTD………)
Rural India accounts for close to 1/3rd of the total
consumption pie.
 The penetration of companies into rural north
india increased from 9.5 p.c in 2000 to 46 p.c in
2008.
 Most of the companies derive a significant
proportion of their overal sales from outside the
top few 100 towns & cities, which reflects the
growing economic importance of India’s rural
consumer base.
 HUL & ITC have close to 50% of rural market share

CONSUMER PRODUCTS LAUNCHED FOR RURAL
INDIA
EXCLUSIVE MARKETING STRATEGIES FOR RURAL
MARKET
CONSUMER PRODUCTS INDUSTRY & RURAL
INDIA


Consumer Products will be witnessing more
than 50% of growth in its rural and semi-urban
segments by 2012 which in totality is projected
to grow at a CAGR of 10% to carry forward its
market size to over Rs 1,06300 crore from the
present level of Rs 87,900 crore, according to
an analysis carried out by the Associated
Chambers of Commerce and Industry of India
(ASSOCHAM).
KEY PLAYERS
KEY PLAYERS
KEY PLAYERS
UNDERSTANDING MARKET BREAKTHROUGH &
TECHNOLOGICAL BREAKTHROUGH (FEW
EXAMPLES)
Newness of
Technology

Low

High

Customer Need Fulfillment
per dollar on the product
Low
High
IN C R E M E N T M A R K E T
AL
BR E AKT H R O
IN N O V AT IO N U G H
T E C H N O LO G I R A D IC A L
IN N O V A T IO N
C AL
BR E A K T H R O U
GH
EXPLORING MARKET BREAKTHROUGHS IN
CONSUMER INDUSTRY (EXAMPLES)

Shaving Lather
EVOLUTION OF SHAVING LATHER



Oilve Oil=> Soap =>
Cream => Gel => Foam
EXPLORING MARKET BREAKTHROUGH IN
CONSUMER PRODUCTS INDUSTRY
(EXAMPLE 2)

TOOTH BRUSH
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER PRODUCTS INDUSTRY
(FEW EXAMPLES)

Twig => Tooth Brush=> Electric Tooth Brush
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (EXAMPLES)

READY TO EAT (RTE) FOOD
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
In normal practice, the ready-to-eat food are consumed
in a short span of time, but with the advancement in
packaging technology, it is now possible to produce these
items commercially and to extend the shelf-life up to a
few years.

READY TO EAT (RTE) FOOD
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Packaged/convenience food products sector has been
slow in penetrating the large potential presented by
Indian 250 million strong middle class. But due to
growing urbanisation and changing food habits, the
demand has been rising at a good pace and there is
enough latent market potential waiting to be exploited
through developmental efforts.
The convenience food could be basically classified into
two categories:
• Shelf – stable convenience food
• Frozen convenience food

READY TO EAT (RTE) FOOD
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Shelf-stable convenience food are further classified as:

• Ready-to-Eat (RTE) and Ready-To-Serve (RTS) food - e.g.
Idlis, dosas, pav bhaji, meat products like pre-cooked
sausages, ham, chicken products, curries, chapattis,
rice, vegetables like aloo chole, navratan kurma, channa
masala etc.
• Ready-to-Cook food – e.g. instant mixes like cake
mixes, gulab-jamun mix, falooda mix, icecream mix, jelly
mix, pudding mix etc., pasta products like noodles,
macaroni, vermicelli etc.

READY TO EAT (RTE) FOOD
EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Indian food like palak paneer, dal fry, curry rice, upma, vegetables
biryani etc. are retort processed hence their packaging requirements
are different. These products are retort processed because they are
low acid food with moderate to large size particles; hence it is easy to
remove oxygen from the head-space by gas flushing.
Retort pouch is a special package in which the perishable food items
are preserved by physical, and/or chemical means.
Ready-to-use retort pouches are flexible packages made from
multilayer plastic films with or without aluminium foil as one of the
layers. Unlike the usual flexible packages, they are made of heat
resistant plastics, thus making them suitable for processing in retort
at a temperature of around 121°C. These retort pouches posses
toughness and puncture resistance normally required for any flexible
READY TO EAT (RTE) FOOD
packaging.
UNDERSTANDING CATALYTICAL INNOVATION
Catalytic Innovations share 5 qualities
 They create systemic social change through
scaling & replication
 Meet a need that is neither observed or served
 Offer products & services that are simpler, less
costly than existing alternatives
 Often ignored, disparaged by existing player
 Generate resources such as donations, grants,
volunteer labor or intellectual captial, in ways
that are initially unattractive to incumbent
competititors
EXPLORING CATALYTICAL INNOVATION IN
CONSUMER PRODUCTS INDUSTRY

Evolution of tooth paste
EVOLUTION OF TOOTHPASTE

Tree Bark Powder => Tooth Powder =>
Bone Powder,
Charcoal

Toothpaste
EXPLORING CATALYTIC INNOVATION IN
CONSUMER PRODUCTS INDUSTRY

Evolution of Shaving Razors
EVOLUTION OF SHAVING RAZORS

Brass/Copper Tool=>
Shaving Blade =>
Safety Blade =>
Safety Razor
EXPLORING CATALYTIC INNOVATION IN CONSUMER
PRODUCTS INDUSTRY

Evolution of Instant Noodles
Evolution of Instant Noodles
CATALYTICAL INNOVATION IN CONSUMER
PRODUCTS

EVOLUTION OF FABRIC WASH
EVOLUTION OF FABRIC WASH
ASH USED FOR
WASHING
CLOTHES

SAPOLINA
SEEDS
WASHING
SODA
EVOLUTION OF FABRIC WASH

Animal fat used for making detergent
EVOLUTION OF FABRIC WASH

Soap => Detergents =>
Liquid
EXPLORING CATALYTICAL INNOVATION IN
CONSUMER PRODUCTS

Evolution of bathing solutions
EVOLUTION OF BATHING SOLUTIONS

The ancient Greeks “washed”
themselves with lumps of clay,
had steam baths and rubbed
their skin with oil, such as olive
oil, which they then scraped off
with an instrument called a
“strigil”, along with any dirt. The
use of soap for bathing was
reported as early as 1500 B.C
by the ancient Egyptians.
EVOLUTION OF BATHING SOLUTIONS

OIL
was also
used
for
bathing

Herbs used in India and
some other countries
for bathing

Hand made
soaps
EXAMPLES
MARKET
BREAKTHROUGH

TECHNOLOGICAL
BREAKTHROUGH

CATALYTIC
INNOVATION

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FMCG INDUSTRY OVERVIEW WITH PRODUCT EVOLUTION

  • 1. EXPLORING BREAKTHROUGH INNOVATION IN CONSUMER PRODUCTS वाणिज्य/ AIMIT BAZAAR
  • 2. WHAT CONSTITUTES CONSUMER PRODUCTS INDUSTRY HAIR CARE – Shampoo, Hair Oil etc  SKIN CARE – Cosmetics  BODY CARE – Body Lotions, Deodrants etc  ORAL CARE – Toothpaste, Brush, Mouthwash etc  FABRIC WASH  PERSONAL WASH – Soaps  HOUSEHOLD CARE  HOME CARE – Sanitzer, Phenoyl  F & B (PACKAGED FOODS) 
  • 3. MAJOR SEGMENTS IN INDIAN CONSUMER PRODUCTS SPACE
  • 4. (Source:- ibef.org) INTRODUCTION TO CONSUMER PRODUCT INDUSTRY (……………..1)
  • 5. INTRODUCTION TO CONSUMER PRODUCT (Source:- ibef.org) INDUSTRY (………………2)
  • 6. CONSUMER PRODUCTS INDUSTRY & RURAL INDIA (CONTD………) Rural India accounts for close to 1/3rd of the total consumption pie.  The penetration of companies into rural north india increased from 9.5 p.c in 2000 to 46 p.c in 2008.  Most of the companies derive a significant proportion of their overal sales from outside the top few 100 towns & cities, which reflects the growing economic importance of India’s rural consumer base.  HUL & ITC have close to 50% of rural market share 
  • 7. CONSUMER PRODUCTS LAUNCHED FOR RURAL INDIA
  • 9. CONSUMER PRODUCTS INDUSTRY & RURAL INDIA  Consumer Products will be witnessing more than 50% of growth in its rural and semi-urban segments by 2012 which in totality is projected to grow at a CAGR of 10% to carry forward its market size to over Rs 1,06300 crore from the present level of Rs 87,900 crore, according to an analysis carried out by the Associated Chambers of Commerce and Industry of India (ASSOCHAM).
  • 13. UNDERSTANDING MARKET BREAKTHROUGH & TECHNOLOGICAL BREAKTHROUGH (FEW EXAMPLES) Newness of Technology Low High Customer Need Fulfillment per dollar on the product Low High IN C R E M E N T M A R K E T AL BR E AKT H R O IN N O V AT IO N U G H T E C H N O LO G I R A D IC A L IN N O V A T IO N C AL BR E A K T H R O U GH
  • 14. EXPLORING MARKET BREAKTHROUGHS IN CONSUMER INDUSTRY (EXAMPLES) Shaving Lather
  • 15. EVOLUTION OF SHAVING LATHER  Oilve Oil=> Soap => Cream => Gel => Foam
  • 16. EXPLORING MARKET BREAKTHROUGH IN CONSUMER PRODUCTS INDUSTRY (EXAMPLE 2) TOOTH BRUSH
  • 17. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER PRODUCTS INDUSTRY (FEW EXAMPLES) Twig => Tooth Brush=> Electric Tooth Brush
  • 18. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER INDUSTRY (EXAMPLES) READY TO EAT (RTE) FOOD
  • 19. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER INDUSTRY (RTE) In normal practice, the ready-to-eat food are consumed in a short span of time, but with the advancement in packaging technology, it is now possible to produce these items commercially and to extend the shelf-life up to a few years. READY TO EAT (RTE) FOOD
  • 20. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER INDUSTRY (RTE) Packaged/convenience food products sector has been slow in penetrating the large potential presented by Indian 250 million strong middle class. But due to growing urbanisation and changing food habits, the demand has been rising at a good pace and there is enough latent market potential waiting to be exploited through developmental efforts. The convenience food could be basically classified into two categories: • Shelf – stable convenience food • Frozen convenience food READY TO EAT (RTE) FOOD
  • 21. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER INDUSTRY (RTE) Shelf-stable convenience food are further classified as: • Ready-to-Eat (RTE) and Ready-To-Serve (RTS) food - e.g. Idlis, dosas, pav bhaji, meat products like pre-cooked sausages, ham, chicken products, curries, chapattis, rice, vegetables like aloo chole, navratan kurma, channa masala etc. • Ready-to-Cook food – e.g. instant mixes like cake mixes, gulab-jamun mix, falooda mix, icecream mix, jelly mix, pudding mix etc., pasta products like noodles, macaroni, vermicelli etc. READY TO EAT (RTE) FOOD
  • 22. EXPLORING TECHNOLOGICAL BREAKTHROUGH IN CONSUMER INDUSTRY (RTE) Indian food like palak paneer, dal fry, curry rice, upma, vegetables biryani etc. are retort processed hence their packaging requirements are different. These products are retort processed because they are low acid food with moderate to large size particles; hence it is easy to remove oxygen from the head-space by gas flushing. Retort pouch is a special package in which the perishable food items are preserved by physical, and/or chemical means. Ready-to-use retort pouches are flexible packages made from multilayer plastic films with or without aluminium foil as one of the layers. Unlike the usual flexible packages, they are made of heat resistant plastics, thus making them suitable for processing in retort at a temperature of around 121°C. These retort pouches posses toughness and puncture resistance normally required for any flexible READY TO EAT (RTE) FOOD packaging.
  • 23. UNDERSTANDING CATALYTICAL INNOVATION Catalytic Innovations share 5 qualities  They create systemic social change through scaling & replication  Meet a need that is neither observed or served  Offer products & services that are simpler, less costly than existing alternatives  Often ignored, disparaged by existing player  Generate resources such as donations, grants, volunteer labor or intellectual captial, in ways that are initially unattractive to incumbent competititors
  • 24. EXPLORING CATALYTICAL INNOVATION IN CONSUMER PRODUCTS INDUSTRY Evolution of tooth paste
  • 25. EVOLUTION OF TOOTHPASTE Tree Bark Powder => Tooth Powder => Bone Powder, Charcoal Toothpaste
  • 26. EXPLORING CATALYTIC INNOVATION IN CONSUMER PRODUCTS INDUSTRY Evolution of Shaving Razors
  • 27. EVOLUTION OF SHAVING RAZORS Brass/Copper Tool=> Shaving Blade => Safety Blade => Safety Razor
  • 28. EXPLORING CATALYTIC INNOVATION IN CONSUMER PRODUCTS INDUSTRY Evolution of Instant Noodles
  • 30. CATALYTICAL INNOVATION IN CONSUMER PRODUCTS EVOLUTION OF FABRIC WASH
  • 31. EVOLUTION OF FABRIC WASH ASH USED FOR WASHING CLOTHES SAPOLINA SEEDS WASHING SODA
  • 32. EVOLUTION OF FABRIC WASH Animal fat used for making detergent
  • 33. EVOLUTION OF FABRIC WASH Soap => Detergents => Liquid
  • 34. EXPLORING CATALYTICAL INNOVATION IN CONSUMER PRODUCTS Evolution of bathing solutions
  • 35. EVOLUTION OF BATHING SOLUTIONS The ancient Greeks “washed” themselves with lumps of clay, had steam baths and rubbed their skin with oil, such as olive oil, which they then scraped off with an instrument called a “strigil”, along with any dirt. The use of soap for bathing was reported as early as 1500 B.C by the ancient Egyptians.
  • 36. EVOLUTION OF BATHING SOLUTIONS OIL was also used for bathing Herbs used in India and some other countries for bathing Hand made soaps