Thursday, November 05, 2020

Brand Update : Kent transforms to a multi-product brand

 Kent or rather Kent RO System is known for its RO based water purifiers but not anymore. From 2016 onwards, the brand has been on its way to becoming a consumer durable brand. Slowly and steadily, the brand has been launching products in the small appliances category leveraging on the success of its water purifier product range. Kent RO based water purifier was launched in 1999 challenging the UV based water purifier products which were ruling the market. Although expensive compared to UV based purifiers, RO based purifiers slowly gained acceptance due to its superior purifying ability and also backed by powerful promotions from the brand owners.

Now Kent has a number of product lines which are very diverse. The product line consists of water purifiers, vacuum cleaners, air purifiers, water softeners, kitchen appliances, security camera systems, and attendance systems. Kent brand is built on the positioning platform of purity. The founder of the company, Mr Mahesh Gupta calls the company's core as House of Purity. While the initial launches were in line with the " House of Purity" platform, later the firm began to launch unrelated extensions like a security camera and niche small appliances. 

Mr Mahesh Gupta in an interview talks about the logic of concentrating on niche product categories. One advantage of niche is that there is not much competition. The niche products also will help Kent to display its innovative side to the consumers. If the brand is able to come out with innovative products, it will enhance the brand image and thus help brand launch mainstream products in the future. 

As with all brand extensions, Kent also faces the problem of equity stretch. When a brand launches its extensions, the new products rely heavily on the parent brand's equity. Unrelated products create a lot of pressure on the core brand equity because there will be a disconnect between the core brand's positioning and the unrelated product's positioning. The solution is to identify a core brand positioning which allows for multiple brand extensions across diverse categories. For example, House of Purity positioning of Kent may not support a product like a mixer grinder of a camera security systems. 

Tuesday, November 03, 2020

Hygienix : Be Super Safe

 Brand: Hygienix
Company: Wipro Consumer Care

Brand Analysis Count: #598

When the coronavirus pandemic struck India this year, during the initial days, there was a huge scarcity of sanitizers in the market. The sanitizer category was nascent at that time with only a few players like Lifebuoy and Godrej Protekt and the product stocks were minimum in the stores. The market size at that time was around Rs 10 crore. The scenario changed drastically after March with the panic over the pandemic grew, so as the demand for products like sanitizers. The market grew four times during the pandemic with around 152 manufacturers producing the product. 

There was a scramble among firms to cash in on this new opportunity. Firms across industries as varied as paints, industrial manufacturers like paint thinners, SMEs all rushed to fill the gap in the market. Not to be left behind, FMCG firms either launched product extensions or new brands into the growing market of personal hygiene fuelled by the pandemic.  One such launch is the new brand Hygienix by Wipro Consumer Care. Wipro had powerful brands like Santoor, Chandrika, Yardley etc which had their own extensions of hygiene products like sanitizers.

Along with these extensions, the company found a space for a pure hygiene brand which can compete with brands like Dettol and Savlon. The brands like Santoor and Chandrika are primarily beauty products and it is risky to stretch the positioning to hygiene.
Hygienix is a brand acquired by Wipro when it bought Philippine's firm Splash Corporation in April 2019. I think Wipro is lucky in the sense that the timing of the purchase was spot on and the pandemic gave the brand a headstart in the market. 
Hygienix is launched with the obvious brand promise of germ protection. The brand as usual promises to kill all but the lone survivor of the germs. What is striking about the brand is the white and blue brand colours in the packaging which gives it a clean mild look. Hygienix launched a range of hygiene products like sanitizers, soaps, handwash, cleaning wipes etc. The brand name also gives the company leverage to launch further hygiene-related products in future. 
Established brands like Lifebuoy, Dettol and Savlon have one more competitor to live with. 


Friday, October 30, 2020

Brand Update : Colgate Launches Mouth Protection Spray Under Vedsakti Brand

 When consumers are scared, take advantage of the opportunity and offer to help. In this era of COVID-19 where consumers are scared as hell, many opportunities have popped up in the market in the form of health protection. From hand sanitizers to paints, brands are trying to cash in on the opportunity to take advantage of the opportunity to reassure the consumers' health concerns. This is the market which has products like paints, laminated plywood boards and even electric bulbs promising to kill the deadly bacteria and virus with a condition that 0.01 of the germs will be left behind to protect that species. After all, these are the gods' creations. 

In that scenario, how can a toothpaste brand be left behind? Everyone knows that the virus has its entry point through either mouth or nose in most cases. Since the mouth is the domain of the toothpaste, they too have jumped into the bandwagon of saving humanity from the deadly virus. How? Launching of a new product - mouth protection spray. The market leader Colgate has grabbed the first-mover advantage by launching a spray that kills the germs ( sans the 0.01 lone survivor ) at the entry point itself. Mouth sprays have existed in the market but for a different functionality- fresh breath. So although the launch is not an entirely new category creation, the brand is pioneering a new functionality to the mouth spray product-line. I predict that it will not be too long for Close-up brand to launch a mouth protect spray with mouth freshener to counter this launch.

It is also interesting that Colgate chose to launch this product under the Vedsakti sub-brand to take advantage of the Ayurveda tag which has a chemical-free perception to rely on. 

The brand is running a launch campaign for the new product. Unlike the typical Colgate ads featuring dentists, this time, the brand is banking on a child to teach their parents, benefits of using this spray. The brand I think over the last few campaigns is preferring cuteness over authenticity. 
In another similar development, Colgate Vedsakti has come out with a new campaign this time focusing on germ-killing and labelling mouth as the entry point of germs. With the new campaign, the market leader is directly challenging the position of Pepsodent which was focusing on the germ-killing promise attaining point of parity with Pepsodent.