Dabur takes on Hindustan Unilever, P&G

In a bid to expand its shampoo brand Vatika, especially in the anti-dandruff category, fast moving consumer goods (FMCG) company Dabur India has upped the ante by introducing new variants with specific benefits.

The move will put the company in the same league as other big-ticket multinational players in the market, such as Hindustan Unilever (HUL) and P&G, which already offer different variants of their anti-dandruff shampoo brands.

As part of the new rollout, the firm is also introducing new packaging for the dandruff control range. The new packaging shape is different from the existing range of Vatika shampoos and comes with new graphics with 'Dandruff Control' as the sub-brand. To further amplify the idea, Dabur has brought on board actress Preity Zinta as brand ambassador to endorse the shampoo range.

The overall shampoo market in India today stands at over Rs 2,200 crore, with an annual growth of 15 per cent. The anti-dandruff segment is pegged at Rs 630 crore and is the fastest growing segment of shampoos, registering a 15.2 per cent growth in 2007-08. Hair care contributed 85 per cent of the personal care business for Dabur with a portfolio of hair oils, shampoos and a recently-added range of conditioners.
 

Anti-dandruff market in India
Company	Brand	Market share in %
P&G	Head & Shoulders	58.20%
HUL	Clinic All Clear	35.90%
Dabur	Vatika Anti dandruff	5.10%

"The brand Vatika has reported a 38 per cent volume growth as against an industry average of around 18 per cent. With the launch of the new range and with the signing of Preity Zinta, we are confident that the Vatika Dandruff Control range will also beat the industry average and double its turnover in three years," Dabur India COO (Consumer Care) V S Sitaram said.

The Vatika anti-dandruff shampoos will not only provide dandruff control but enhanced beauty benefits with special variants such as - Naturally Clean, Hairfall Defense, and Lively Black. The range will be available in three SKUs of sachet, 100 ml and 200 ml. P&G already has around 10 variants for its Head & Shoulders brand, while HUL offers 7 variants under Clinic All Clear.

"The shampoo category is still under-penetrated in the country, hence there is a potential for growing the category. In rural areas, the demand has been driven mostly by sachets which contribute nearly 70 per cent of sales for the industry," says Anand Shah, sector analyst with Angel Broking, adding, “The challenge for any brand in this category is to break through the clutter.”

Going by consumer insights, Dabur has leveraged the idea 'Chemicals ki maad dhaad kyon, Dandruff hataye pyar se' into the creative thought of 'non-violence' wherein all other anti-dandruff shampoos have been positioned as chemical and violent on hair while Vatika 'Dandruff Control' has been positioned as a 'non-violent' option to the chemical offerings in the competitive space.

"We feel Preity and Vatika Dandruff Control are a perfect fit as Preity's values are synergistic to the brand given her associations with various social and bravery-related causes," Sitaram added.