5 Iconic consumer brands who have captured a large share in the Indian Market
Their story through the lens of data
1. Vicks VapoRub-
Vicks VapoRub -Marketed by Procter And Gamble.
Market Share-
96.5%
Competitors-
Zandu, Amrutanjan, and Patanjali.
Key points for Dominant Market share-
- Net worth- 180 crores (India).
- Increased the number of its distribution channels from 2M to 3.5M in a span of four years as quoted by MotilalOswal.com.
- Share in the healthcare sector increased from 52% in FY13 to 58% in FY 18.
- India is the largest consumer of Vicks VapoRub in the world among the other 66 countries that it is marketed in.
Key Strategies adopted -
- Marketed by a single distribution channel, has few distributors and dealers in a state who are paid commissions.
- Low marketing and distribution costs.
- Key marketing strategies were its heart touching campaigns such as “Touch Therapy” which made it an unforgettable brand in the minds of consumers.
- Easy availability OTC (over the counter).
- Promoted as a complete herbal, natural, and Ayurveda product.
2. Amul Butter-
Amul Butter- An initiative by Indian farmers that changed their lives and gave rise to a huge brand ‘Amul — The Taste of India’.
Market Share-
86%
Competitors-
Britannia dairy butter, nestle butter and, Low cholesterol butter such as Nutalite.
Key data points -
- Amul’s market share is nearly 86% making it an undisputed leader in the 3500 crores Indian butter market.
- According to the Economic Times, Amul’s turnover increased to 38550 crores in FY 2019–2020 from 32960crores in 2018–2019 that is an increase of nearly 17%.
- Sixth-largest brand globally.
Why do you think Amul enjoys a monopoly?
- Caters to all economic segments without compromising on quality.
- Low pricing strategy, innovative model, diversified portfolio, and efficient supply chain.
- Simple no-frills packaging strategy to maintain costs. Smaller packaging for instant consumption and travelling, Collaborating, and tie-ups with hotels, corporates, etc.
- Innovative advertising by constantly showing only one image “The Amul Girl” for all products creates an impact on the minds of consumers.
3.Gillette-
Gillette India Ltd. (GIL)- World’s largest household and personal care company.
Market share-
52.8%
Competitors-
Traditional razors such as Topaz, Dynamite,7’0 clock, Colgate Palmolive, and overseas competitors such as Braun, Schick, Dollar shave club.
Key data points -
- Used by 750 million men around the world.
- Captured a market share of 52.8%of men’s razor and blade in the US.
- Gillette India’s share has given a return of 6.21% in the last six months and 22.81% in the last 12 months.
- According to Reuters its share price listed on BSE on 9th Oct 2020 was 5299.05 INR.
Key strategies adopted -
- Constantly innovating Gillette’s razors to suit the requirement of Indian men and did not blindly follow the policy of “one brand fits all”.
- Low-cost structure by using the local distribution channels to cater to the masses.
- Advertisements portraying clean-shaven men as sexy, bold, and confident and roping in successful athletes to lure customers to invest in their razors.
A deep study into their data revealed that it was capable of luring nearly 2,00,000 customers back to its brand from 2013 to 2014.
SHARE OF GILLETTE SHAVING CREAM
4. Dabur-
Dabur Honey- Largest ayurvedic medicine manufacturers in India.
Market Share-
60%
Competitors-
Patanjali, Zandu, Baidhyanath, and local honey manufacturers.
Key data facts-
- With the hype about promoting immunity and the popularity of immunity-boosting drugs during the pandemic, Dabur honey recorded a whopping 60% growth during 2020–2021.
- Stock price surged 9% since 31st March.
Unique selling proposition-
- Dabur’s marketing policy targeted the audience by promoting its honey as a healthy substitute of sugar which provides energy and taste suitable for all age groups and strata.
- Excellent branding, advertisement, and unique selling proposition and distribution policies.
5.Fevicol-
Fevicol- Owned by Pidilite Industries, offered a suitable alternative to animal glue in the initial years and has become a preferred brand in the households.
Market Share-
70%
Key competitors-
Araldite, Faber Castell, Vamicol.
Key data points evaluating the growth of Fevicol-
- The company believes that penetration in the household sector is still below 30% and aims to introduce more products suitable for the household sector.
- Pidilite had recorded a CAGR of sales of 10.6% over the last five years.
- Liquidity of the company improved from 1254cr in FY2019 to 1673cr in FY2020 due to a reduction in investment and moving 500cr in Fixed deposits.
With the increasing demand for adhesives by the end-user such as the footwear industry, construction, wood industry, school children, etc the demand for Fevicol is expected to grow significantly till 2023.
Key strategic points-
- Loved for its superior quality, ease of application, and is high value in terms of price and quality.
- Maintained its signature white and blue packaging.
- Its advertising policy emphasized on the strength and reliability of its product. Their innovative advertisement featuring traditional Indian culture and positioning of Ads created a long-lasting impact. A total of INR 195 crores was spent on Fevicol’s advertising by the parent company Pidilite.
- Fevicol’s unique selling proposition has been it’s easy use and application as against other earlier products that had to be mixed with water for use.
Conclusion-
All these above brands have a clear monopoly in their sectors and maintain an upper edge over their competitors. Their different modus operandi of marketing, production, and distribution has made them unforgettable brands in the minds of the consumers.
Vicks has a smaller market of 180cr and encashes on the smaller distribution channel whereas Amul butter penetrates nearly all the Indian households by maintaining quality at affordable pricing.
Gillette aims at serving a specific section of society with the diversification of products, providing value-added products to suit the different requirements of the customers.
Dabur honey focuses on promoting its product as a healthy substitute of sugar whereas Fevicol opted for a relationship policy aiming to establish direct relations with the carpenters making it an invincible brand in the adhesive industry.
No wonder all these factors have made these products iconic brands that capture a large market share and cannot be washed away from the minds of the common masses.
References-
https://www.youthkiawaaz.com/2016/09/amul-india-success-story/
https://www.slideshare.net/tarinpoddar/gillette-india
https://www.businessinsider.in/photo/77260104/Master.jpg
https://static.onecms.io/wp-content/uploads/sites/35/2018/11/03201050/vicks-fb-2.jpg
https://5.imimg.com/data5/NC/IG/MG/SELLER-71827629/dabur-honey-500x500.jpg
