Learnings from the international shampoo market

Peshwa Acharya ………..Insights

Hair care market growth at par with personal care

Source : FCB Infocenter

9%

Conditioners are fastest growing, followed by shampoos

Source : FCB Infocenter

Observations on the international market

#1 The battle is won through novelty and news

• Procter & Gamble (U.S.A.) redesigned ‘Herbal Essences’ with brighter colours and sleek curves

• Unilever is putting US$200 million behind the launch of Sunsilk in U.S.A.– Sunsilk launch is supported by a series of 2.5 minute shots running

during “Sex in the City” a popular women’s programme.

• Pantene added a premium ‘Restoratives’ line, which promises to undo previous hair damage (U.S.A.)

• Dove added a higher priced advanced shampoo, conditioner and styling line that offers variants for degrees of hair damage and colouring (U.S.A.)

Source : FCB Infocenter

#2 The key lies in ‘How’ a shampoo gives you beautiful hair

• Most shampoos still focus on the generic

benefit of beautiful hair

• But the battle is being fought on how to achieve

it

– Preservation of natural beauty

– Improving hair condition via penetration of hair

roots & shaft

– Improving hair condition by caring & conditioning

Source : FCB Infocenter

#3 Brands have to resonate with the consumer mindset

6 consumer mindsets have been identified internationally

Value/ Traditional (33%)

Performance (22%)

Look for simple, basic products that get the job

done

Look for products with added benefits such as

conditioning and treatments

a.

b.

Source : FCB Infocenter

Experiential (14%)

Fun Fashion (12%)

Look for indulgence while choosing hair products

Look for “fun” in making their “fashion” statement with high usage of styling

aids

d.

c.

Source : FCB Infocenter

Salon Minded (9%)

Wellness / Other (10%)

Buy product for treatment of a specific scalp condition

such as dandruff

More of the “professional” purchaser, prefer products endorsed by their stylists

f.

e.

Source : FCB Infocenter

In this context, what does the woman really want?

No absolute loyalty

Hair needs different products over time

for more effectiveness

I don’t care about looking perfect, just good enough to

look comfortableI trust my own

judgment and define my own success

Value is as important as image – I search for substance and inner

directed benefits

Source : FCB Infocenter

New news essential

Real innovation the order of the day

Practical about hair care (product) expectations

International learnings : In Sum

• Value segment is large, but also an emerging premium

segment

• A continuously evolving and demanding consumer

– Who knows what she wants and how exactly to get it

• Relentless effort by brands to meet her expectations

– Product innovation, media innovation etc

– Focus on the ‘reason to believe’ for the beautiful hair

payoff