The FMCG industry’s three-year sales CAGR improved to 12.5 per cent led by price increases in product categories. According to a BNP Paribas consumer report, most companies delivered pricing-led growth in the personal care segment.
Sales of Godrej Consumer Products’ (GCP) personal care segment rose 18 per cent y-o-y, driven by double-digit sales growth in the personal wash and hygiene category. Similarly, HUL’s beauty and personal care division posted 11 per cent y-o-y growth in Q2 FY23.
Foods and beverage segment of Dabur continued the momentum with 30 per cent y-o-y sales growth, led by market size expansion due to its entry into the drinks and milkshake category. Meanwhile, HUL’s food and refreshment business saw sales growth of only 4 per cent y-o-y impacted by muted health food drinks.
In the oral care category, Dabur has consistently outperformed Colgate-Palmolive India, said the report. Dabur’s toothpaste portfolio grew 11.2 per cent in value terms, driven by strong growth. The company’s volume market share in the toothpaste category improved 10 bps in Q2.
“We are increasingly witnessing a consumer shift in favour of herbal/ayurvedic toothpaste which has led to increased penetration of such products. Our relevant consumer communication through various media is further strengthening not only our connection with the consumers but also making us the preferred choice when it comes to overall oral hygiene and health. This has helped our flagship brand Dabur Red Paste emerge as the world’s largest-selling Ayurvedic/Herbal toothpaste,” said Abhishek Jugran, Vice President — Marketing (Home & Personal Care), Dabur India Limited.