Financial Daily from THE HINDU group of publications Wednesday, Apr 14, 2004 |
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Marketing
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Brands HLL withdraws premium salt under Knorr Annapurna Purvita Chatterjee
Mumbai , April 13 HINDUSTAN Lever Ltd (HLL) has withdrawn its value-added salt which was part of the Knorr Annapurna franchise. From Stormy Sauce and 4 o'clock Tiffins, the Knorr Annapurna brand was stretched to a value-added salt under the sub-brand, Platinum Salt. The move comes as part of the company's strategy to phase out Knorr Annapurna offerings. While HLL continues with its regular Kissan Annapurna salt, Platinum Salt, a value-added version of low sodium and high potassium content, has been taken off the shelves. Launched in 2003, Knorr Annapurna Platinum Salt was pitted against Marico's Saffola Salt Plus. The company had deliberately pegged its premium salt at Rs 10 per kg, a rupee less that Marico's brand. The salt claimed to provide the right mineral balance, help lower the risk of blood pressure and reduce the ill effects of salt consumption. According to analysts, "The strategy behind having a niche offering was because HLL felt the need to have high margin products to subsidise its staples business." . The company earlier withdrew its sauces and 4o'clock Tiffins under the Knorr Annapurna brand. Currently, Knorr Annapura has a powdered soup under the `Soupy Snax' sub-brand in different flavoursOf late, salt brands have been going off retail shelves due to distribution hurdles. For instance, Cargill Foods, which had made a high-profile entry in the edible salt market under the Naturefresh banner, has exited the business. Similarly, Clarity Salt Pvt. Ltd, after launching Saindhav brand of rock salt, also withdrew it from the market.
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