The fight for a share of your healthy and glistening teeth just got frothier. With the launch of Pepsodent-Expert, FMCG major Hindustan Unilever has extended itself into the premium category of toothpaste.

At present, the company has two mass brands, Close Up and Signal.

This premiumisation by HUL was done to garner a greater share in the estimated Rs 3,100-crore toothpaste segment, largely dominated by Colgate.

Meanwhile, Procter & Gamble is also gearing up to launch Crest, the most selling premium toothpaste across the globe, according to market analysts. Crest is slated for launch by FY15, and the company is setting up a plant for the paste in Andhra Pradesh.

“We believe that by offering the most advanced and premium products in our portfolio, not only will we play an important role in meeting consumer needs in the segment, but it will also help us premiumise our portfolio and further strengthen our consumer franchise by offering superior mixes,” said Atul Sinha, HUL’s Category Head (Oral Care) Analysts observe that HUL’s focus on premium products is to counter threat from Colgate, Amway, and GlaxoSmithKline’s Sensodyne.

“HUL was missing something in the premium segment in the toothpaste category and that’s why they have launched Pepsodent Expert. This will allow them to have a strong foothold in that category,” said Nitin Mathur, Research Analyst with Espirito Santo.

While HUL’s parent company Unilever has similar advanced toothpastes in other markets, Pepsodent has been designed and developed specifically for the Indian market, says Sinha. The product has been released into the trade and will be soon available in local retail stores, he said, adding that there were no plans to launch the product in other international markets just yet.

“Pepsodent Expert Protection is one of our most advanced toothpastes yet. It has been developed with dentists and has the power of mouthwash, floss and toothpaste in a single tube. The reason for launching it as a sub-variant was to allow consumers to distinguish this premium range from the other offerings by Pepsodent,” Sinha added.

On the evolution of the toothpaste category, Sinha said toothpaste penetration in urban India is now 99 per cent. In rural areas, it has gone up from 78 per cent in 2008 to 87 per cent last year. The Indian oral care market is pegged at Rs 4,200 crore and is largely driven by innovation, retail availability, packaging and promotion. According to Euromonitor International, HUL’s market share is 21 per cent at present, while Dabur is growing fast at 11 per cent.

Priyanka.pani@thehindu.co.in

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