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Jyothy Laboratories may induct its detergent powder Mr White into its list of power brands by next year. In a conversation with Business Standard, the company's joint MD Ullas Kamath said the brand would cross Rs 100 crore in turnover by then giving it access to the club. “One of the criteria for us getting into the (power brands) list is that it has to be Rs 100 crore in size. Mr White has a brand size of Rs 85 crore. We see it getting there,” said Kamath.
Last year, the company had opted to focus its attention on six brands in a bid to improve visibility and aid recall. This was intended to help the company consolidate the gains it had made post the acquisition and merger of Henkel India into it. Jyothy, for the record, had acquired 50.97 per cent stake in Henkel India in May 2011, then going on to increase its stake to 83.66 per cent, before merging the entity with itself in March 2013.
The products that were part of Jyothy's power brands list included Ujala (fabric whitener and washing power), Maxo (mosquito coils & liquids), Exo (utensil cleaner), Henko (detergent and bar), Pril (kitchen liquid and bar) and Margo (soaps and face wash). Together, these products contributed 84 per cent of Jyothy Labs' FY15 revenues (Rs 1,505 core). The addition of one more brand will mean that the contribution from its power brands club will cross the 85-per-cent-mark, said analysts tracking the company.
Meanwhile, Jyothy is also looking to reposition Henkel AG brand Fa in the Indian marketplace by next year as sales of it remain flat. The deodorant, which also operates in splashes and perfumes, has domestic sales of Rs 12 crore only, down from Rs 25 crore a few years ago. Of the erstwhile Henkel India brands acquired by Jyothy, Fa remains among the smallest, analysts tracking the company said.
Fa alongwith Pril have been licensed to Jyothy by Henkel AG, the German parent of Henkel India. Jyothy, on the other hand, has global rights to make and market Margo, Neem (toothpaste), Chek, Henko and Mr White, all erstwhile Henkel India products. Jyothy's own brands include Exo and Maxo besided Ujala.“There are just too many players in the deo segment. We will take a few quarters to reposition Fa. We are working hard to get there,” Kamath said in response to a specific question on when the repositioning was likely.
Jyothy is also contemplating making regional acquisitions in the south and the east, areas where it is strong, Kamath said, in a bid to strengthen its portfolio.
“We would ideally like to make acquisitions in these areas and then take them national,” he said. Possible segments for regional acquisitions include personal care and hair care, he added.
Last year, the company had opted to focus its attention on six brands in a bid to improve visibility and aid recall. This was intended to help the company consolidate the gains it had made post the acquisition and merger of Henkel India into it. Jyothy, for the record, had acquired 50.97 per cent stake in Henkel India in May 2011, then going on to increase its stake to 83.66 per cent, before merging the entity with itself in March 2013.
The products that were part of Jyothy's power brands list included Ujala (fabric whitener and washing power), Maxo (mosquito coils & liquids), Exo (utensil cleaner), Henko (detergent and bar), Pril (kitchen liquid and bar) and Margo (soaps and face wash). Together, these products contributed 84 per cent of Jyothy Labs' FY15 revenues (Rs 1,505 core). The addition of one more brand will mean that the contribution from its power brands club will cross the 85-per-cent-mark, said analysts tracking the company.
Meanwhile, Jyothy is also looking to reposition Henkel AG brand Fa in the Indian marketplace by next year as sales of it remain flat. The deodorant, which also operates in splashes and perfumes, has domestic sales of Rs 12 crore only, down from Rs 25 crore a few years ago. Of the erstwhile Henkel India brands acquired by Jyothy, Fa remains among the smallest, analysts tracking the company said.
Fa alongwith Pril have been licensed to Jyothy by Henkel AG, the German parent of Henkel India. Jyothy, on the other hand, has global rights to make and market Margo, Neem (toothpaste), Chek, Henko and Mr White, all erstwhile Henkel India products. Jyothy's own brands include Exo and Maxo besided Ujala.“There are just too many players in the deo segment. We will take a few quarters to reposition Fa. We are working hard to get there,” Kamath said in response to a specific question on when the repositioning was likely.
Jyothy is also contemplating making regional acquisitions in the south and the east, areas where it is strong, Kamath said, in a bid to strengthen its portfolio.
“We would ideally like to make acquisitions in these areas and then take them national,” he said. Possible segments for regional acquisitions include personal care and hair care, he added.
