The Hindu Business Line : HUL arrests market-share loss by re-launching brands

NEW DELHI: FMCG major HUL, which has been losing market share to rivals such as Godrej, Wipro and ITC in the soap segment, has managed to arrest the slide after re-launching various brands under its belt.

This year HUL embarked on a major brand re-launch exercise, under which its soaps like Lifebuoy, Liril, Hamam, Rexona, Breeze and Lux were given new packaging and fragrance.

“After a long period, this is the first time that HUL has revamped its entire portfolio. The strategy is reaping benefits. It has helped arrest our declining market share,” an official from HUL said.

When contacted, an HUL spokesperson citing October data by research firm AC Neilsen, said the company’s share in the soap market stood at 44.7 per cent. This is an improvement from 44.5 per cent during August to September period.

According to market analysts, the Indian soap market is worth Rs 8,000 crore. Last year HUL had 50 per cent share in the segment but rival brands such as Godrej No.1 from the Godrej Group, Wipro’s Santoor and ITC’s Vivel have eaten into its pie this year .

While Godrej’s share stands at 10.9 per cent, Santoor and Vivel hold 8 per cent and 1.5 per cent, respectively.

“HUL’s strategy to re-launch all the brands targeting the masses, especially in the personal care segment has shown some positive result and is likely to do better,” Religare Capital Markets Research Analyst, Mr Gaurang Kakkar said. - PTI

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