Personal Care Market India

PersonalCareMarket
India
February2012

ExecutiveSummary
Market

IndianFMCGsectorisconsideredtobegrowingata1%annually
PersonalCaremarket,asubsegmentoftheFMCGsector,isexpectedtogrowata2%CAGRover
20

Challenges

Drivers
Drivers&
Challenges

Trends

Increaseindisposableincome
Growthinmensgroomingsegment
Increaseinawareness
Riseinorganizedretail
Growthinruralsegment
Innovation
Personalcareappliances
Improvedmarketingstrategies

Harmfuleffectsofchemicals
Depreciationofrupee
Riseinpackagingcost

Productswithdualbenefits
Riseinorganicproducts
Teensmarket

MajorPlayers

Competition

Company1

Company2

Company3

Company4

Company5

Company6

PERSONALCAREMARKETININDIA2012.PPT

Introduction
MarketOverview
Segments
Drivers&Challenges
GovernmentParticipation
Trends
Competition
StrategicRecommendations
pp
Appendix
PERSONALCAREMARKETININDIA2012.PPT

Personalcaremarketisexpectedtogrowstronglydueto
risingawarenessamongconsumers
PersonalCareIndustry Overview

MarketSizeandGrowth

PersonalCareindustryhasexperiencedsteady
growthoverthelastfewyears

Itcontinuedtoexpandevenduringtheeconomic
recessionwhenothersectorswerenegatively
affected
Chiefstimulantsforthegrowthofthissectorares1
Chief stimulants for the growth of this sector are s1
ands2

p1%

R
Q
P

Thesectorisaboundwithstrongpresenceof
multinationals,bothdomesticandforeignconcerns
Thissectorisaidedwithastrongdistribution
networkwhereink1andk2playsakeyrole
C1hasaffectedthesectorbyincreasingthecostof
importsbothofproductsaswellasrawmaterials

20--

20--

20--

20--

20--

Playersareincreasinglyfocusingonf1asthereis
minimalproductdifferentiationinthissector

Source:
PERSONALCAREMARKETININDIA2012.PPT

DistributionChannel Summary

Ruralenterprises

Distributors

Key
Channels

Stores

Retailers

PERSONALCAREMARKETININDIA2012.PPT

Increasedawarenesshasresultedinhigherdemandfor
internationalluxuryproducts,especiallycosmetics
Imports

Imports(Value)

Indiahaswitnessedariseinimportsowingtothe
demand for international cosmetics
demandforinternationalcosmetics

Y Axis
15,000
,

Hasacenvatdutyofg1%withanexcisecessofg2%
However,i1canhaveanegativeimpactonthe

Y
X

10,000
5,000

overallimports
0

20-----

Country 1
b1%
c1%
d1%

e1%

20-----

Country 7

a2%

Country 2

Country 8

Country 3
f1%

20-----

Segmentation201112(AprJun)

Segmentation201011
a1%

20----

Country 4

b2%

f2%

Country 5
Country 6

Country 9
Country 10

e2%

c2%
d2%

Country 11
Country 12

Source:
PERSONALCAREMARKETININDIA2012.PPT

PrimarysegmentsinthepersonalcaremarketinIndia
SkinCare

HairCare

OralCare
Segments
`
ColorCosmetics

BathandShower

Fragrance
PERSONALCAREMARKETININDIA2012.PPT

Drivers&Challenges Summary

Drivers

Challenges

I
Increaseindisposableincome
i di
bl i

Harmfuleffectsofchemicals

Growthinmensgroomingsegment

Depreciationofrupee

Increaseinawareness

Riseinpackagingcost

Growthinruralsegment
Riseinorganizedretail

PERSONALCAREMARKETININDIA2012.PPT

GovernmentParticipation Summary

DrugsandCosmeticsAct
1940

Initiatives
DrugandCosmeticRules
2010

BureauofIndianStandards
u eau o d a Sta da ds

PERSONALCAREMARKETININDIA2012.PPT

Trends Summary
innovation

PersonalCareappliances

Improvedmarketingstrategies
Keytrends
`
Productswithdualbenefits

Riseinorganicproducts

Teensmarket
PERSONALCAREMARKETININDIA2012.PPT

10

Public:DomesticCompany Player1(1/4)

SSAMPLE

CompanyInformation

OfficesandCentres India

CorporateAddress

Place1

TelNo.

+123456

FaxNo.

+123456

Website

www.abc.com

YearofIncorporation

18

TickerSymbol

StockExchange

Place

Products and Services

ProductsandServices
Category

HeadOffice

Products/Services

KeyPeople

C1

P1,p2,p3

C2

P4,p5,p6

C3

P7,p8,p9

Person1

D1

C4

P10,p11,p13

Person2

D2

Person3

D3

Person4

D4

N
Name

D i ti
Designation

Source:
PERSONALCAREMARKETININDIA2012.PPT

11

Public:DomesticCompany Player1(2/4)
FinancialSnapshot
i
i lS
h

K
KeyRatios
i

TotalIncome
INRmn

Profit/Loss

6,000
4,000

Profit
INRmn

TotalIncome

600

400

2,000

200

20

20

20

20

FinancialSummary

Particulars

yoychange
2011
(201110)

2010

2009

2008

ProfitabilityRatios
OperatingMargin
NetMargin
ProfitBeforeTaxMargin
ReturnonEquity
ReturnonCapitalEmployed
ReturnonWorkingCapital
ReturnonAssets
ReturnonFixedAssets

CostRatios

ThecompanyincurredanetprofitofINR mninFY20,as
comparedtonetprofitofINR mninFY20
ThecompanyreportedtotalIncomeofINR mninFY20,
registering an increase of x1% over FY 20
registeringanincreaseofx1%overFY20
Thecompanyearnedanoperatingmarginofx2%inFY20 an
increase/decreaseof percentagepointsoverFY20
Thecompanyreporteddebttoequityratioof inFY20,an
increase/decreaseofx3%overFY20

PerformanceIndicators
Indicators

Value(22/02/2012)

MarketCapitalization(INR)
TotalEnterpriseValue(INR)

EPS(INR)
PERatio(Absolute)

C
D

Operatingcosts(%ofSales)
Administrationcosts(%of
Sales)
Interest costs (% of Sales)
Interestcosts(%ofSales)

LiquidityRatios
CurrentRatio
CashRatio

LeverageRatios
DebttoEquityRatio
DebttoCapitalRatio
b
i l
i
InterestCoverageRatio

EfficiencyRatios
FixedAssetTurnover
AssetTurnover
CurrentAssetTurnover
WorkingCapitalTurnover
CapitalEmployedTurnover

Source:

Improved

PERSONALCAREMARKETININDIA2012.PPT

Decline

12

Public:DomesticCompany Player1(3/4)
KeyBusinessSegments

KeyGeographicSegments

Segment1

Segment4

Segment2

Segment5

Country

Segment3

100%

78%

77%

77%

78%

20

20

20

20

7%
0%
12% 2%

50%
0%

9%
0%
12% 3%

8%
0%
12% 3%

8%
0%
12% 2%

100%
80%
60%
40%
20%
0%

100%

20

BusinessHighlights(1/2)
Description

News
Thexth largestFMCGconcerninIndiapostingrevenuesofINR bn

Performance
Performance

ConsideredastheworldslargestT1company
Thebrandhasover productsinitsportfoliointheNaturalandHerbalspace
Haspostedcontinuousgrowthyearonyearinsalesandprofitsoverthelast quarters

Expansion

HasplansofinvestingINR mnint2whichisslatedtobeat3%exportunit

Source:
PERSONALCAREMARKETININDIA2012.PPT

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Public:DomesticCompany Player1(4/4)
BusinessHighlights(2/2)
Description
Acquisition

News
In20,itacquiredt4whichmarketsspecializedt5rangetothet6people
In 20 it acquired t4 which markets specialized t5 range to the t6 people
Priortothis,ithasacquiredt7,aleadingt8basedpersonalcareconcern
Ithasropedint9foritsmediaplanningmandate

MediaPlanning

CorporateSocial
R
Responsibility
ibilit

T9willlookintomediaplanningspecifictoparticularrangeofproductsincludingskin
T9 will look into media planning specific to particular range of products including skin
care,hairoilsandhomecareproducts
Theperiod20 witnessedt10launchingt11inruralpartsofUttarPradeshandBihar
whichcovered6districtsofruralBiharand2districtsofruralUP
Hasdevelopedt12whichreachesouttothevulnerablesectionsofthesocietyincluding
p
y
g
womenandchildren,illiterateandunemployedtowardssustainabledevelopmentin3key
areasnamelyenvironment,economyandcommunity

Source:
PERSONALCAREMARKETININDIA2012.PPT

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