Sweeping winds of liberalisation have definitely made Indians quality savvy. And money spender too. |
Mysore Sandal, the sandalwood soap brand from the state-owned Karnataka Soaps and Detergents (KS&DL), plans to create a super premium soap category in the country with the launch of 'Mysore Sandal Platinum'. |
Priced at Rs 200, the soap will be four times costlier than any soap made by any Indian company. |
As of now, the costliest soaps are sold for around Rs 50. Apart from KS&DL's brand, Mysore Sandal Gold is available for Rs 50 for a 75 gram bar. Hindustan Lever's Dove is available in the same range. |
However, international organic soaps are available in the excess of Rs 100 in supermarkets. |
Even as KS&DL is focusing on the premium end, the company is also planning to expand its consumer base at the lower end of the market. For the first time, KS&DL is also planning to launch a new soap in the popular category in April. Branded as 'Wave', the new non-sandal soap will be priced at Rs 13 for 100 gram bar. KS&DL is currently conducting test marketing in Karnataka and aims to launch a new marketing campaign. |
The company has also drawn up an aggressive strategy to expand its business overseas. KS&DL is expanding its sandalwood oil-based products business in global markets like the US, Europe, Asia and West Asia. |
KS&DL, among the oldest manufacturers of sandalwood soap in India, has developed a new formulation under its existing product, Mysore Sandal Soap, exclusively for the US market. The new 125 gram soap is branded as 'Mysore Sandal Classic' and is enriched with moisturisers and conditioners to meet the needs of consumers in countries facing severe winter. |
Babu Siddakumar G S, executive director, KS&DL, said, "Till recently, we were selling our products to foreign visitors. But now we have started exporting our products as there is a huge potential in West Asia, Europe and the US, where a large number of Indian migrants are settled. We are creating awareness for our products, which are made with genuine sandalwood oil." |
He said the company has appointed dealers in the US and West Asia to push its products and also participating in trade shows in these countries. |
The company also plans to export its products to Malaysia, Singapore, Taiwan, Pakistan, Bangladesh, Nepal and China. |
KS&DL has redesigned the packaging of some of its soaps and talcum powder and relaunched them. |
To support its overseas expansion, KS&DL is also launching a media campaign in United Arab Emirates, Bahrain and Qatar involving both print and electronic media. |
The main focus will be on sandal soap and talcum powder, he said. |
KS&DL is also entering the agarbathi (incense stick) market with a new brand "" Nagachampa "" later this month. The company has tied up with a non-government organisation in Dharmasthala to manufacture these agarbathis and sell them in a pack of 20 sticks priced at Rs 5. |
KS&DL, which reported a net profit of Rs 1.75 crore on a turnover of Rs 125 crore in 2005-06, is likely to register nearly 6 per cent growth in its turnover during the present financial year ending March 2007 and the next financial year. |