11
 I N March 2007, Mr. Pankaj Mehta, Brand Manager of Emami group, was reviewin g Fair and Handsome’s strategy in Indian fairness cream market. According to market need, from time to time, the company had introduced new products; Boroplus antiseptic cream in 1982, V anishing cream and powder in nineties, Navratna Hair oil in 2000, Madhuri beauty secret range in 2002, and fairness cream for men in 2005. Soon in 2006, HLL (Hindustan Lever) a dominant player in fairness cream market with a power brand Fair and Lovely retaliated and introduced Menz Active fairness cream. By early 2007, Pankaj gathered that the sale of Fair and Handsome in 2005-06 was Rs. 160 million. 1  With tough competition with HLL’ s Menz Active and other fairn ess cream brands both for Men and women, he was wondering about the future potential of the brand. He was wondering whether the new product would add some value to the core brand Emami, the segment targeted was proper or not, appropriatene ss of the product positioning, and whether to use celebrity endorsement for Fair and Handsome? These questions came to his mind and bothered Mr Mehta. “In a country where even the gods supposed ly lament their dark complexion - Krishna sings plaintively in Hindi, “  Radha kyoon gori, main kyoon kala ? (Why is Radha so fair when I’m dark?)” - a skin deficient in melanin (the pigment that determines the skin’s brown colour) is an ancient predilection. Years of British rule have made Indians obsessed with white skin and so has been the preoccupation with fair skin and the desire to have it. More than 3,500 years ago, Charaka-the famous sage who gave us ayurveda-wrote about herbs that could help make the skin fair. That age-old fascination is no w a multi-crore rupee industry and is growing in leaps and bounds. This obsession coupled with the increasing awareness among the Indian men and women towards skin protection has resulted in the spurt in the fairness products market. Be it a fairness cream or soap or a tablet, every product in this segment is witnessing growth larger than the overall personal care product category.” 2 The Company Background The company was setup by two young chartered accountants in 1974. Armed with the zeal of youth and a vision of providing better life to consumers in personal and health care, they took a well calculated risk. Over the years, Emami group grew and ventured into health care, real estate, retailing, paper and writing instruments businesses, thereby creating one success story after another in Indian business history. The Emami Group of Industries, having headquarters in Kolkata, manufactures personal, beauty and health care products. For three decades, the brand Emami has been identified with vanishing cream and talcum powder in the Indian market. It has seven fully owned manufacturing unit s located in West Bengal, Assam and Pondicherry, and seven, third party manufacturers. It launched India’s first-ever fairness cream for men called ‘Fair and Handsome in collaboration with Activor Corpn, USA.’ The product was launched in Andhra Pradesh (June 2005), Karnataka (August 2005) and nationally in October 2005. It had aimed to gain 20 per cent market share of men’s fairness cream in Andhra Pradesh by 2005-2006 and reach out through 30,000 outlets. 3  In 2006, the product was made available across 900,000 outlets. The Company planed to introduce the product in premium saloons apart from embarking on brand awareness programs. The promotional campaign EMAMI: IDENTIFICATION OF BRAND EXTENTION OPPORTUNITIES IN FAIRNESS CREAM INDUSTRY Debajani Sahoo and Preeta H. Vyas Key Wor ds :  Marketing Case, Brand Extention, Fairness Cream Industry MANAGEMENT CASE

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IN March 2007, Mr. Pankaj Mehta, Brand Manager

of Emami group, was reviewing Fair and Handsome’s

strategy in Indian fairness cream market. According

to market need, from time to time, the company had

introduced new products; Boroplus antiseptic cream in

1982, Vanishing cream and powder in nineties, Navratna

Hair oil in 2000, Madhuri beauty secret range in 2002,

and fairness cream for men in 2005. Soon in 2006, HLL

(Hindustan Lever) a dominant player in fairness cream

market with a power brand Fair and Lovely retaliated

and introduced Menz Active fairness cream. By early2007, Pankaj gathered that the sale of Fair and Handsome

in 2005-06 was Rs. 160 million.1 With tough competition

with HLL’s Menz Active and other fairness cream brands

both for Men and women, he was wondering about the

future potential of the brand. He was wondering whether

the new product would add some value to the core brand

Emami, the segment targeted was proper or not,

appropriateness of the product positioning, and whether

to use celebrity endorsement for Fair and Handsome?

These questions came to his mind and bothered Mr Mehta.

“In a country where even the gods supposedly lament

their dark complexion - Krishna sings plaintively in

Hindi, “ Radha kyoon gori, main kyoon kala? (Why is

Radha so fair when I’m dark?)” - a skin deficient in

melanin (the pigment that determines the skin’s brown

colour) is an ancient predilection. Years of British rule

have made Indians obsessed with white skin and so has

been the preoccupation with fair skin and the desire to

have it. More than 3,500 years ago, Charaka-the famous

sage who gave us ayurveda-wrote about herbs that could

help make the skin fair. That age-old fascination is now

a multi-crore rupee industry and is growing in leaps and

bounds. This obsession coupled with the increasing

awareness among the Indian men and women towards

skin protection has resulted in the spurt in the fairness

products market. Be it a fairness cream or soap or a tablet,

every product in this segment is witnessing growth larger

than the overall personal care product category.”2

The Company Background

The company was setup by two young chartered

accountants in 1974. Armed with the zeal of youth and a

vision of providing better life to consumers in personal

and health care, they took a well calculated risk. Over

the years, Emami group grew and ventured into health

care, real estate, retailing, paper and writing instruments

businesses, thereby creating one success story after

another in Indian business history. The Emami Group of 

Industries, having headquarters in Kolkata, manufactures

personal, beauty and health care products. For three

decades, the brand Emami has been identified with

vanishing cream and talcum powder in the Indian market.

It has seven fully owned manufacturing units located in

West Bengal, Assam and Pondicherry, and seven, third

party manufacturers.

It launched India’s first-ever fairness cream for men

called ‘Fair and Handsome in collaboration with Activor

Corpn, USA.’ The product was launched in Andhra

Pradesh (June 2005), Karnataka (August 2005) and

nationally in October 2005. It had aimed to gain 20 per

cent market share of men’s fairness cream in Andhra

Pradesh by 2005-2006 and reach out through 30,000

outlets.3 In 2006, the product was made available across

900,000 outlets. The Company planed to introduce the

product in premium saloons apart from embarking on

brand awareness programs. The promotional campaign

EMAMI: IDENTIFICATION OF BRAND EXTENTION

OPPORTUNITIES IN FAIRNESS CREAM INDUSTRY

Debajani Sahoo and Preeta H. Vyas

Key Words :  Marketing Case, Brand Extention, Fairness Cream Industry

MANAGEMENT CASE

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VISION—The Journal of Business Perspective q Vol. 11 q No. 1 q July–September 2007

68 q Sahoo and Vyas

comprised of the display of products across 5,000 outlets,

display cum availability in 25,000 outlets and promotions

in school and college campuses. The company had a

media budget of Rs. 2.5 crore (Rs. 25 million) for the

lunch and spent 70 per cent on TV. The raw material

used in the cream-‘Peptide’ was under patent owned by

Activor Corpn, USA. When the Indian FMCG industry

grew 5.5 per cent during the year 2005-06 under review,

Emami grew 37 per cent during the period as evident

from the chart given below.

Emami has 2 umbrella brands: Emami (personal care

products) and Himani (healthcare products). The other

brands are the Madhuri range -consisting of talc, hair

oil, skin cream and shampoo; Boroplus- anticeptic cream

which has a market share of over 60 per cent; multi-

purpose Navrattan oil; Sona-Chandi, with two variants

– Chyawanprash (winter) and Amritprash (summer); ‘fas

relief’ ache ointment; and Menthoplus balm for

headaches. These are ‘power’ categories because of thei

contribution to the turnover; the biggest brand being Rs

100-crore Navrattan Oil, followed by Boroplus, prickly

heat powder and the Sona-Chandi range.

Table 1 below gives the market share of its variou

brands and celebrity endorser used.

Opportunity Identification

Fair skin is an issue for both sexes and men are now

becoming more open about using skin care products

Previously, men believed that they are not supposed to

use fairness creams and this was the domain of women

only. All this while, they were using women’s products

Chart-1: FMCG and Emami’s Growth

80 .00%

60.00%

40.00%

20.00%

0.00%

Q 1 Q 2 Q 3 Q 4

3 .50

13 .00

4 .80

17 .10

4 .20

42 .40

63 .80

7 .70

FMCG Industry Growth Vs. Emami Growth in 2006

Sources: http://www.emamigroup.com/Emami%20Ltd.%20FY%202005-06.pdf 

Table 1: Maket Share, Position and Endorser Used

Emami Product Range Market Share Position in the Market Place

in (May 2005) and Brand Endorser

Navratna Oil 46%(2005) Market leader(Amitabh Bachhan)

Govinda, Sunny Deol

Navratna cool talc Saharukh Khan

Boroplus Antiseptic Cream 63%(2005-06)

Boroplus body lotion Market leader

Boroplus prickly heat powder 22%(2005-06) (Kareena Kapoor)(Valued at Rs. 139 crores in 2005 ) 93 crores for powder

Sona Chandi Chyawanprash,

– Chyawanprash (winter) 15 Second after Dabur

Amritprash (summer); (Sunny Deol, Sourav Ganguly)

Fast Relief’ ache ointment Amitabh Bachhan

Boroplus prickly heat powder 22% (Valued 93 crores) Kareena Kapoor

Madhuri Dixit talcum powder

Hair oil, shampoo, fairness cream Madhuri Dixit

Fair and Handsome 29%

(November,2005)

Sources: http://www.blonnet.com/iw/2005/03/06/stories/2005030600320900.htm and

http://news.bbc.co.uk/1/hi/world/south_asia/4396122.stm

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VISION—The Journal of Business Perspective q Vol. 11 q No. 3 q July–September 2007

 Emami: Identification of Brand Extention Opportunities in Fairness Cream Industry q 69

A fairness cream for men represented a completely

unexplored opportunity for the following reasons:4

q The male skin in India was three times more

exposed to the sun’s UV rays, five times moreexposed to pollution, twice more exposed to

stress and considerably more abused by abrasive

shaving blade action than women’s skin; and few

cosmetic products addressed this reality.

q The Indian men spent more time on grooming

than ever before; an average 20 minutes in front

of the mirror each morning compared to 18

minutes by Indian women (Gillette India study)

q There was an increasing incidence of the fact

that active earners linked presentability with

career success: For instance, the high earning21-40 age group across men accounted for 71%

of the customers visiting Kaya Skin Care Clinic.

Emami in collaboration with Activor Corp, USA had

created a unique fairness cream for men with a

breakthrough Peptide complex patented in the USA. This

wonder molecule peptide works on the collagen structure

of male skin and dramatically improves skin texture and

fairness in just 4 weeks. Active ingredients regulate

production of melanin. Natural sunscreen protects against

UV rays. Peptide in combination with Vetiver and Rose

Water makes skin fair and fresh with a pleasant coolingsensation.

The following benefits are emphasized in the

promotional campaign for Fair and Handsome.

q Improves fairness in 4 weeks.

q Protects against sun’s UV rays.

q Moisturises skin even after shaving.

q Relieves stress and fatigue signs.

The ad campaign conveys - if you are a man, don’t

use a girl thing, your skin is not the same as theirs and

it needs to be treated differently. So better go for a

fairness cream specially made for you than stealing

things from girls. The communication here is clear, that

it wants to stop men from using fairness cream of their

counterparts. (Refer to storyboard of Fair and

Handsome).

In response to Fair and Handsome’s entry in

November 2005 (Exhibit 1 contains storyline of TV

commercial of Fair and Handsome launch), makers of 

Fair and Lovely, the world’s leading fairness expert

(HLL) introduced Menz Active, a breakthrough fairness

cream especially tailored for men in 2006 (Exhibit 2 gives

storyline of TV commercial Menz Active of HLL).

Following Table-2 gives a comparative picture of 

both the brands.

Menz active is priced little lower than fair andhandsome. Within India, Emami, HLL and Kaya Skin

Table 2: Comparative Attributes of Men Fairness Cream

Tot Market size: Fairness cream:1000crore; 28% accounted by male users; Annual growth rate: 15% to 20%.in 2006

Fair and Handsome(Emami) Menz Active (HLL)

Launched December 2005 2006

Campaign Hi Handsome…Hi Handsome song Change Your Story

Vitamin B3 along with zinc oxide, Deep penetrating fairness with Vitamin B3,

Attributes and Sun protection, Non-sticky. long lasting freshness with 100% more sunscreens,

Benefits: Listed Mint essential for cooling, smoothness. smoothness with silicone conditioners,

on pack Protect shaving nicks and cuts. economical to buy.

Reducing after shave irritation. Mint essential for cooling.Clove oil to protect shaving nicks and cuts.

Allantoin for reducing after shave irritation.

Key ingredients Peptide, Liquorice, Vetiver Manox, Allantoin,

and Aloe vera. Butylmethoxydibenzoylmethane

Octylmethoxycinnamate, Micronized

Titanium dioxide, Dimethicone

Expected Market share (%) 20 %in Andhra Pradesh in 2005-06

Packaging Refer exhibit-3 Refer Exhibit-3A

Price(50gm) Rs. 57/- Rs. 53/-

Sale in 2006 16 crore in 2005

(expected 65-70 crore in 2006 fiscal year)

Source: http://www.rediff.com/money/2005/jun/16emami.htm

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VISION—The Journal of Business Perspective q Vol. 11 q No. 1 q July–September 2007

70 q Sahoo and Vyas

Clinic were wooing the male fraternity with their

products and services. Internationally there were brands

like Clarins and Shiseido pitching in with their products

in 2006.

Market Expansion Strategy

Having captured a sizeable market share and goodwill

of the urban consumer market, Emami planned to cover

remote villages. It tied up with the Post and Telegraph

Department for distribution of its products through

almost 5,000 post offices across Maharashtra, and

planned to reach all the 1.05-lakh post offices across

India. Emami also plans to use ITC’s e- Choupal outlets

in Uttar Pradesh and Madhya Pradesh, and the Indian

Army’s canteens to enhance the distribution of itsproducts.

Mr. Pankaj requested his colleague, Mr. Jigar, a

management trainee to prepare a report on fairness cream

industry and selected aspects of Fairness cream Industry

is given below.

Size of the Industry

The Indian FMCG market is valued at USD 1 bn (Rs.

45,000 cr), growing at 7-8 per cent per annum. The

fairness cream market was estimated at Rs. 600 crore in

2000. According to one HLL spokesperson, about 20 per

cent consumers of Fair & Lovely — one of HLL’s mega

power brands — were men. Given that sales of Fair and

Lovely were estimated at Rs. 500 crore in 2005, men

contributed Rs. 100 crore.

Growth

The fairness cream market has been galloping at 25 per

cent p.a. as compared to the overall cosmetic market

growth of 15 per cent p.a. From Rs. 384 crore in 1997-

98, the fairness product market in India leapfrogged to

Rs. 558 crore in 1999-2000.

Consumer Behaviour

“Going by the matrimonial advertisements in the

classified columns of newspapers, it seems fairness is

the most important definer of beauty in this wondrous

land. With such an attitude firmly entrenched in the

minds of millions of people, the fairness products

industry will never see dark days.”5 So far, men have

been using fairness creams meant for women. They,

however, have a different kind of skin which makes

the creams that are basically for women, ineffective on

them.

“Hindustan Lever Ltd., which made a killing in the

Indian market with Fair and Lovely (launched in 1976)believed that people across Asia - from Japan to India -

historically have demonstrated a marked preference fo

skin lightening and glow. It is as much a consumer

desired attribute among people in this region as anti-aging

or blonde hair are desirable attributes in the West. Over

90 per cent of women in India cite skin lightening as a

high-need area.”6

“Our initial worry was men would be shy and no

buy it. But these fears have proven unfounded “ from

interview with BBC news and the Director of Emami

November, 2005.If available at home, fairness cream was also used

by the man in the house. It is true that a lot of men are

closet users of creams belonging to their sisters and

wives.7 From a small sample survey, it was found tha

while purchasing any cream for skin care, male

generally gave more preference to attributes like safety

control of itching after shaving, freshness, sun

protection, smell, complete protection and price

compared to other attributes like non-toxic, easy to use

and carry, nourishment, oil control, blemish reduction

faith, standing in the marketing terms of position.8 In

the modern retail store, nowadays it can be seen tha

men do not feel shy while shopping on their own fo

skin care products as seen from the picture1 given

below.

Picture 1

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VISION—The Journal of Business Perspective q Vol. 11 q No. 3 q July–September 2007

 Emami: Identification of Brand Extention Opportunities in Fairness Cream Industry q 71

Geographic distribution

South is the largest market with 36 per cent contribution,

followed by the North and West equally contributing 23

per cent. The East contributes 18 per cent to volumes.Category penetration, according to ORG, is at 11.6 per

cent all over India. Andhra Pradesh is the highest

penetrated with 14.5 per cent with Gujarat penetration

at 2.8 per cent. Kerala, Gujarat and Bihar are the top

three growing markets with Kerala growing by 40.37 percent. Interestingly, in the south, the skin care clinic gets

a good 30 per cent of its revenues from men.

Competition

By December 2000, there were at least 12 new fairness

brands which entered the market taking the total numberof fairness creams to more than 30.9 India’s skin-

lightening cream industry is valued at over $190m.10

In Rs. 3,000-crore cosmetics and toiletries market, the

skincare segment accounted for Rs. 1,200 crore.

Fairness products accounted for a whopping Rs. 600

crore. HLL, with Fair & Lovely, has a massive 53 per

cent market share, followed by Cavin Kare (Fairever)

with over12 per cent share and Godrej FairGlow with a

3.5 per cent share. Himalaya Drug Company recently

made an entry into this segment and aimed to capture

two per cent share of the market. Other players such asEmami with 6 per cent share (Gold Turmeric and

Naturally Fair) and Revlon (Fair and Glow) also had a

presence. HLL had other fairness products under its

Lakme and Aviance brands.

Fair and Lovely (HLL)

HLL with Fair and Lovely brand having 53 per cent

market share present since 70’s had introduced Fair and

Lovely- Ayurvedic version in early 2000, which

triggered controversy. People wondered whether the

earlier version had harmful chemicals in it, if Ayurvedic

implies safe and non-toxic.

Fairever (Cavin Kare)

The company initially introduced shampoo in sachetsand then moved on to fairness creams, herbal shampoos,

herbal hair oil, unisex saloons and now pickles in sachets.

Fairever a fairness cream claimed having saffron in itscream was introduced in 1998 in Andra Pradesh and after

seeing the success was nationally lunched in 1999.11 The

company found that 27 per cent of Fairever’s users were

men, amounting to nearly Rs. 22 crore in sales, sinceFairever’s sales are estimated at Rs. 80 crore.

Cavin Kare had test launched its second fairness

cream, called Chik Fairee- a mixture of rose, sandal and

milk, unlike its predecessor Fairever, which contained

saffron. The primary objective of the brand was toincrease the penetration of fairness creams. A 9 gm sachet

of Chik Fairee was priced at Rs. 2 and a 25 gm tubepriced at Rs. 10, whereas Fairever was priced at Rs. 5

and Rs. 27 for unit packs of the same size. The new brandhoped to penetrate those households which till now did

not use fairness creams due to the affordability factor.

The given Table 3 contains comparative information

about fairness products.

With emerging internet media, few companies

adopted online contests, placing educative micro site on

the home page of popular sites to promote their products.

Following Chart 3 provides details of advertising

time on Television Media.

Jigar along with the report on selected aspects of 

fairness cream extracted following information from

N o r th , 3 1 %

W e s t , 2 4 %S o u t h , 2 0 %

Ea s t , 25%

N o r t h

W e s t

S o u t h

E a s t

Chart 2: Turnover Contribution from Different Parts of India

Source: http://www.emamigroup.com/Emami%20Ltd.%20FY%202005-06.pdf 

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VISION—The Journal of Business Perspective q Vol. 11 q No. 1 q July–September 2007

72 q Sahoo and Vyas

Marketing White book, 2006-07 on Indian Youth

Market.

Indian Youth Market12

India is a young country with 11 crore people in the age

group of 15-19 years. Another 10 crore are in the 20-24

year age group, whilst a whopping 72 per cent of our

massive population is below the age of 35 till the year of 

2001.13 54 per cent of India is estimated to be under the

age of 25.However, the consuming class that is the largest

of most youth lifestyle brands numbers approximately

16 million.

Controversy on the Advertisements shown on TV byHLL in early 2000:

“The Fair and Lovely advertisement showed a man

lamenting the fact that he had a daughter and not a son

when his family was in need of an additional breadwinner.

The daughter was shown to be a simple, plain young girl.

She then transformed herself into a mini-skirted glamorous

woman, noticeably more fair skinned (presumably after

using the fair and lovely product) who got a job in an

airline. The message was clear - sons not daughters are

natural breadwinners; a girl can only land a good job if 

she displays and improves her physical attributes.14

Around this time, a report by AIIMS, Delhi, declared

that: “No externally applied cream can change skin

colour. Indeed, the amount of melanin in an individual’

skin cannot be reduced by applying fairness creams

bathing with sun-blocking soaps or using fairness talc

The upper layer of the skin-or the stratum corneum-is a

dead tissue. Below it is a barrier zone that prevents

Table 3: Comparison of Fairness Cream Brands

Major brands Fair and Lovely Fairever Emami Fair Glow

(HLL) (CavinKare) (Godrej)

Market share(%) in 2002 53 12 3.5Market share (%) in 2005 76 15 5 5

Product Extension Fairness Cold Cream, Chik Fairee Gold turmeric, Soap, CreamFairness shop Natural fair,

Fair and Handsom (men),Fair and Teen

(teenagers girls),Fair and Ageles

(women Above 30)

Price for 100gm 25gms 10 rupees

Brand promotion spend 70 crore (2004)

Lunched first time(year) 1976 1974

Geographical concentration South AsiaMarket Growth Rate 20% in 2001,

21.5% in 2002

Users 60 Million Indians

Media used for Ad TV,Print TV TV

Sources: Compiled from websites such as http://www.popmatters.com/columns/lal/031218.shtml

http://www.articles-hub.com/index.php

http://brandsandads.blogspot.com/2006/10/fight-to-make-you-fair.html

2 0 S e c s8%

3 0 S e c s16 %

1 5 S e c s5%

1 0 S e c s

1%1 0 S e c s

1%

4 5 S e c s

69 %

Source: T V AdE x ( Jan - Dec '03 )

Chart 3: Fairness Cream Advertising Time on Television

Media

Sources: http://buyerbehaviour.blogspot.com/ 

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VISION—The Journal of Business Perspective q Vol. 11 q No. 3 q July–September 2007

 Emami: Identification of Brand Extention Opportunities in Fairness Cream Industry q 73

foreign particles from entering the body. Only if a

substance crosses this barrier zone can it reach the

melanin. Medicated ointments contain chemicals that

help them get absorbed beyond the barrier zone. Any

Fairness cream is something like soap, which is on the

skin for barely a few minutes. So claims of fairness

creams are nonsensical propositions.”15

Information and Broadcasting Minister, Ravi Shankar

Prasad, had instigated the National Commission for

Women for not raising its voice against such commercials

like the one for Fair and Lovely cream which projected

women in a bad light. Urging the NCW to interact with

the film, advertisement and fashion industry, the Minister

said the commission should use its power and autonomy

to suggest legal measures against negative portrayal of 

women. This sort of advertising is not good for Indian

society as it promotes fair skin in a country where a large

percentage of the population is dark . He said, “This raises

issues of ethics and morality of these ads.”

The post launch research done by Emami indicated

that 73 per cent consumers reported improvement in

complexion, 78 per cent found it to be an effective after-

shave moisturizer and 75 per cent found effective for oil

control.16

Table 4: Segmentation of Youth

Sl No. Segmentation of Youth

1. Early Youth, Ages 13-21

An 18 year old is financially and emotionally independent in the West but in India this is still not the case

Key Decisions: Education and career

Influencers: Parents, peer group

Spending Power: Rs. 1,000 -2,000 p.m.* Mostly provided by parent, some earn additionally.

Consumption areas: Clothing, accessories, food, entertainment **

Brands: Preferences are developed, but brand consumption is occasional and inspirational. So the average

college goers wants to own Levi’s but does not necessarily have to have a wardrobe full of them. If a similar style

and fit is available at a lower price he will buy it. Prefers Café Coffee Day over Barista purely on price. Always

looking for ”value for money”.

Opportunity: To develop more products at affordable prices for this category, e.g., Airtel’s Rs. 50 recharge card.

In the absence of enough products at such price points, early youth frequently shop at unorganized sector markets,

e.g. Colaba Causeway in Mumbai, Sarojini Nagar in Delhi

* Purely discretionary; can increase depending on specific needs** Includes cell phone

2. Middle Youth, Ages 22-28

The new “youth”. Earlier, if one had a job, one was called an adult. Now with few young people shouldering the

responsibility of family, the money they earn is pure disposable income. With BPO jobs coming in, the number of 

“middle youth” has shot up.

Key Decisions : Career and relationships

Influencers: Peer group, workmates

Spending Power: Rs. 7,000-40,000 p.m.

Consumption Areas: Personal clothing and accessories, food, entertainment, consumer durables

Brands: Can finally afford the brands he aspired for in early youth with own money. Evaluates Café Coffee Day

vs. Barista over service, quality, ambience, not price. Seeks “feel-good factor” and expression of identity through

choice of brands consumed. Is also value conscious

Opportunity: To keep innovating so your brand is relevant and trendy

3. Late Youth, Ages 29- as long as you likeEven after marriage and kids, people aspire to look and feel young through their choice of clothes, entertainment

and outlook(‘Just because I am 30 does not mean I can’t have fun”)

Key decisions: Children, career advancement

Spending power: Given household expenses, the spending power remains equal to or sometimes less than what it

was at the middle youth stage. Also many would be taking up home and car loans, and pay for children education

Influencers: Peer group, workmates, spouse, kids, inner voice

Consumption areas: Household + kid products+ personal clothing and accessories, food, entertainment

Brands: A mix of “status” and fun brands. Varies depending on personal beliefs. In some are as, one may look for

functionality and value(like groceries) while in others one may look for luxury

Opportunity: Develop and position brands that are fun and spirited, as opposed to being boring and

conventional. But they should not make ‘late youth’ appear foolish, as in a 35- year- old trying to pass off as 18. A

successful example is the rash of lounge bars aimed at 30-somethings who want night-outs, but want to avoid

noisy discos where they would be considered ‘uncle and ‘aunties’

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74 q Sahoo and Vyas

Table 5

Youth Segment Characteristics

Cultural Misfit q Along the way, they have lost idealism

q Feel like they cannot change things for the better so they’d like a

change for the better

q Feel they have to adapt to the system and cannot express dissent

Style Bhai q Very concerned about their appearances

q Spend more time outside home partying

q Still have some very conservative values

Middle-Class Manju q Girls who spend most of their time at home with their families

q Cooking, visiting places of worship, TV

q Conservative values but liberal in some ways attitudes to sex are

opposite to others

Main Bhi NRI q Predominantly young, these are the trendsetters

q Derive their affirmation of self-worth from their peers

q Likely to experiment with trends-constant need for novelty(fear of 

boredom)

Rich Brat q Hold the opposite values from what their parents have

q Sometimes even opposite to their peers

q Want to escape home-the locality, the values, the restrictions

Nerdy Nandu q Time constrained, watching TV is a favourite way of spending time

q Tend to be behind the trend-almost clueless about what’s ‘in’

q

Are working hard to be successful-focused on climbing the ladder

Mr. Pankaj was also reviewing the fact that the

Emami group had no less than 17 brand ambassadors forvarious brands over the years with a belief that

synergizing personality with product and message could

create an instant breakthrough for a brand. Celebrity

endorsement strategy would add to brand equity and turn

them into mega brands. Initial campaign did not use

celebrity endorser. Should the company use a brand

ambassador for Fair and Handsome? So far the main

target was a teenager- a college going student. Was it

correct? Should it be extended to Metrosexual17 men in

urban areas? Is positioning correct? Was the brand name”

Fair and Handsome” correct? Pankaj was mulling over

these questions.

Exhibit 1: Storyline of Fair and Handsome (Emami

One college boy sneaks into girl’s hostel surreptitiousl

to use the girl’s fairness cream quietly. In the meantim

while he is applying the face cream on his face, he icaught by the hostel girls. So he tries to run away from

there and hide himself with branch of leaves with hi

friend. The girls follow him without success. Whil

hiding his friend asks why he is using girl’s fairness cream

to be fair?

Then from the background in a voice over, it i

announced that for men, girl’s fairness cream may not b

appropriate as men’s skin is different. Hard sunrays an

regular shaving makes the boys skin so tough that the girl

cream will be ineffective. So a new Fair and Handsom

fairness cream is now there which is specially designedfor men having ingredients like double strength peptid

and other Ayurvedic ingredients which enter the ski

directly and give effective result within four weeks only

After using that cream the boy becomes so faire an

handsome that the girls passing by call him “H

Handsome” and gets attracted towards him.

Exhibit 2: Storyline of Menz Active (HLL)

The motion picture starts with a film shooting set. On

the set a stuntman does a scene of riding a motorcycl

dangerously and then a shot by the hero who is shown t

Sty le Bhais2 1 %

M i d d le C l a s sM an j u s 2 1 %

N erd y

N an d u s 1 2 %

Rich bra t s1 3 %

M ai n b h iN R I , 1 6 %

Cul tura lmis f i t s , 17%

Chart 4: Segmenting the Youth According to MTV Survey

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VISION—The Journal of Business Perspective q Vol. 11 q No. 3 q July–September 2007

 Emami: Identification of Brand Extention Opportunities in Fairness Cream Industry q 75

get down from the AC car and giving autographs to his

fans. The stuntman compares his face with hero’s bright

face and murmurs that if the hero also rides bike for two

days and exposes himself to Sun his skin also will be

like mine (A sense of jealousy). But there is a change of story. A beautiful girl is shown to send a message (sms)

of new Fair and Lovely Menz active fairness cream on

his mobile. After the use when the stuntman gives a

deadly shot and then removes his helmet the director is

surprised to see his glowing face and asks a cameraman

to keep rolling and taking a shot of a stuntman not the

hero. In the background, the hero who confidently walks

on the set gets ignored and feels jealous of the stuntman.

The hero feels frustrated as everyone is praising a shot

taken without him.

The final scene is a party scene wherein the stuntmanturned hero walks into a grand party with a beautiful girl

who had sent him the message. In the background product

features and three ways of actions are explained.

Exhibit 3: Packaging of Fair and Handsome

Exhibit 3A: Packaging of Menz Active

NOTES

1. http://www.fairandhandsome.net/handsomelook.jsp

2. h t t p :/ / w w w. i n d ia - t o da y . c o m/ i t o da y / 2 00 0 1 2 04 /  

business.shtml

3. h t tp : / /w w w .b l o nn e t .c o m /2 0 0 5/ 0 6 /1 6 / st o r ie s /  

2005061602140400.htm

4. http://www.fairandhandsome.net/handsomelook.jsp

5. http://news.bbc.co.uk/2/hi/south_asia/4396122.stm

6. www.thehindubusinessline.com/catalyst/2002/09/05/ 

stories/2002090500040300.htm

7. http://www.businessworld.in/content/view/489/539/ 

8. http://www.superbrandsindia.com/superbrands2003/fair-n-

lovely/index.htm

9. India Today, December 4, 2000

10. http://news.bbc.co.uk/2/hi/south_asia/4396122.stm

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VISION—The Journal of Business Perspective q Vol. 11 q No. 1 q July–September 2007

76 q Sahoo and Vyas

11. http://www.cavinkare.com/fairever.html

12. Marketing white book, 2006-07

13. http://www.hinduonnet.com/businessline/catalyst/2001/ 

12/13/stories/1913o052.htm14. http://www.tribuneindia.com/2003/20030330/biz.htm

15. h t t p : / / w w w. i n d i a - t o da y . c o m / i t o da y / 2 0 0 0 1 2 0 4

business.shtml

16. http://www.friendsandtrends.com/thehip/news.php

17. Definition of metro sexual is a male that grooms himself like female, in other words, he is gay without being gay available

at http://www.asiafinest.com/forum/lofiversion/index.php

t58408.html

Debajani Sahoo ([email protected]) is Academic Associate, Marketing Area at the Indian Institute of Management , Ahemdabad

Preeta H. Vyas ([email protected]) is a Faculty member at the Indian Institute of Management , Ahemdabad.

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