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The Rs. 720-crore Indian fairness cream market has witnessed intense
competition in the last 20 years, with companies taking advantage
of the general craving for fairer skin. Now, one more major player
has entered the pool. The Himalaya Drug Company, taking into account
the 10-15 per cent growth in the fairness cream segment, has decided
to take the plunge.
Considering that fairness cream users typically exhibit high brand
loyalty, it would be tough for Himalaya to make immediate inroads
into the market. But Himalaya hopes to gain mileage with its favourable
brand positioning, thanks to its herbal base.
Himalaya's Executive Vice-President (Consumer Products), Soumitro
Banerji, told The Times of India that its fairness cream
will also be targetting the Middle East. But with numerous unsatisfied
fairness cream users, it would be doubly tough for Himalaya to prove
it has a successful formula. While agreeing that no dark skinned
person could be transformed into a fair individual by merely using
a fairness cream, Banerji said a good cream could leave one fresh
with a glowing skin.
Himalaya has quickly understood the kind of business a beauty product
can generate. It is now hoping that 25 per cent of its consumer
product sales would come from fairness creams.
The consumer products division of Himalaya Drug Company which has
a turnover of Rs 40 crore, has targetted a 1OO per cent growth rate,
now that it has unveiled the fairness product.
Himalaya has also identified South India as the strongest market
for fairness creams, where talcum powder is also a fast moving commodity,
unlike in the north.
Andhra Pradesh and Tamil Nadu especially have been big markets
for such creams. Some Indians have been even known to dab talcum
powder on their face, after applying heavy doses of fairness cream.
While cosmetic companies have been spending millions of rupees on
how to block production of melanin, Himalaya is hoping its knowledge
of herbs will instill confidence in consumers who have
been wary of hydroquinone based creams. Dermatologists have been
advising non-hydroquinone creams of late.
Everyone wants to look like a million dollars these days. "Hence,
we have to spend millions on research," Banerji says.
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