3. 3
Reasons for the growing demand
• Greater access to television, which has made the Indian
consumers beauty consciousness and increased his or her
need to look presentable and attractive
• Increased advertising in general
• Greater product choice and availability
To succeed: The positioning and the style of the
product’s appeal for “making consumers fairest of
all” will make the difference
Reality is that Indians at large, and most of Asia, for that matter, are partial towards light skin
Demand Drivers
4. 4
Broadly divided into mass and premium
• Premium segment
Niche ûÿ~wÿÿ· and so small base
Low scope for increasing volumes
Growth mainly from upgradation
• Mass segment
Scope for increasing volumes is much higher because
Much larger base
Low price drives firsttime users
Industry Overview
Mass segment: Concentrated market structure - 70% by top 3 brands
6. 6
Physiological - Clean Face
Social – Beauty, Complexion
Esteem – Compliments
Self
Actualization -
Confidence
Safety - Anti ageing, no pimples
Hierarchy of Needs
7. 7
Market Growth Factors
Increased media exposure
More working women
Growing consumerism
Move towards personal grooming
Increased penetration levels
8. 8
Demographic Effects
Greater tendency to use fairness creams in Southern
India
Frequency of application decreases with age
Highest percentage of users among single working
women
Younger women more inclined towards branded
products
Men are increasingly using fairness creams
11. 11
Product Differentiation - Type
Cleansing creams
All purpose creams
Emollient creams
Skin protective and hand creams
Soap bars
Usage of Talcum powder for fairness purposes was prevalent in earlier
days
12. 12
Product Differentiation – Chemical
Characteristics
Functional Property Physio-chemical Property
Cleansing creams
Cold creams
Medium to high oil content
Oil in water or water in oil
Neutral pH
May contain surfactants of improved
penetration and suspension properties
Hand and body
protective
Low to medium oil content
Usually oil in water
May have slightly alkaline or acidic PH
May contain protective factors especially
silicones and lanolin
All purpose creams
Medium oil content
Oil in water or water in oil
13. 13
Product Differentiation – Application
Even tone
Clearing dark spots
Reducing pigmentation
UV protection
16. 16
Positioning
Herbal – safe and traditional
Age – teenagers, middle aged, all age groups
Lifestyle – working women, party goers
Occasions – marriage, date, interview
Benefits – confidence, impact, fashionable
17. 17
Low End
Godrej Fair Glow
‘Fairever
Freschia
Vicco Turmeric
Middle End
Fair and Lovely
Samara Fairness cream
Lotus Fairness gel
Avon VIP Fairness cream
Biotique Coconut Milk
Oriflame Love A ‘Fair
High End
L’Oreal Plenitude White Perfect
YSL’s Blanc Absolu Serum
Clinique’s Active White Line
Elizabeth Arden’s Visible Whitening
Pure Intensive Capsules
Estee Lauder’s White Light.
Major Players
20. 20
Product proposition – “Change your destiny” -
transforms a woman in ways, more than just skin
deep
Target segment – Women in the age group of 20s
to late 50s
Packaging – Tubes and soap bars
SKUs 25 gm 50 gm 80 gm 75 gm
Pricing Rs 26.5 Rs 48 Rs 70 Rs 15
21. 21
Key ingredients – UV sunscreens, niacin
amide, papaya and watermelon extracts
Other attributes – sunscreen system
typically optimized for Indian skin
Market share – 76%
22. 22
Product proposition – a cream that will help
the "world notice you"
Target segment – middle class young girls in
their early 20s who are in college or have just
started working
Packaging – tubes and sachets
SKUs 9 gm 25 gm 50 gm 80 gm
Pricing Rs 5 Rs 27 Rs 49 Rs 70
25. 25
Key ingredients – bio-extract natural
Oxy-G, 76% TFM (Total Fatty Matter)
Other attributes – visible fairness
without leaving the skin greasy
Market share – 3.5%
26. 26
Product proposition – herbal fairness
cream - give ayurveda a modern image
Target segment – college students
Packaging – tubes
SKUs – 25 gm and 50 gm
Pricing – Rs 25 and Rs 46, respectively
27. 27
Key ingredients – rose, orange, aloe,
walnut
Other attributes – antiseptic, no side-
effects and suits all skin types
Market share – 2% to 2.5%
28. 28
Vacant Position
Need for a new product
• Fairness products contain bleaching agents which
make the skin dry and flaky, especially during the
winter season
• Consumers need to apply a separate moisturizer
after the application of the fairness product
• No existing products for use on other visible
parts like arms and feet
Vacant position
• A fairness product that contains a moisturizer and
is priced low enough to be applied on arms and
feet
29. 29
Increase rural market penetration
Launch new brands like ‘Handsome’ for men, specially
target at urban youth
Media exposure
Increased focus on personal grooming – adaptive products
Road Ahead