Indian Detergent market is valued at around 5100 crore ($1.2 bn).Detergent bar market makes up for 43% of this market .HLL commands 38% of the fabric wash market.
The latest move comes in the wake of the high profile launch of Tide detergent bar. Tide and Ariel always created problems for Surf and Rin. The migration of Rin Supreme bar to Surf Excel bar is aimed at countering Tide.
While Rin is heavily positioned on th whiteness platform and Surf Excel on the Stain Removal platform, the new Surf Excel detergent bar is aimed to take both these attributes.The ad is already on air featuring kids conveying " Good News and Bad news" to their mothers.
It is true that the detergent bar market is important for HLL because in India, homemakers use a combination of bar,detergent and whiteners on their clothes. Hence any move from competitors should be seriously dealt with. But this migration initially did not make sense with me. Why spent money migrating brands? Does HLL gain by migrating Rin to Surf excel?
But I feel that the logic behind the migration is to protect Rin and its USP of whiteness .It is true that Rin supreme can counter Tide bar because both have whiteness positioning. Had HLL used Rin to counter any competition other than Tide, it will have to focus on the Whiteness Platform alone and any additional attribute may affect the parent Rin detergent powder brand. While having Surf Excel detergent bar will help HLL to counter competition not only from Tide but other competitors since Surf is known for its stain removal property. There will not be any dilution in the equity adding attribute of whiteness to Surf unlike Rin. My conclusion is Surf Excel has the ability to be a generalist than Rin.( MyView).
Is it good news or bad news?
source:businessline
Related Brands
Surf Excel
Rin