For the complete report, get in touch with us at : info@netscribes.com The fairness cream market in India is driven by not only growth in the women’s sector but also growth in the male grooming segment. Due to the rise in disposable income and enhanced awareness with the help of larger penetration of media, fairness cream in India is experiencing stronger demand. Due to the increase in organized retailing and trends towards tapping untapped potential of men’s segment, Indian fairness cream market is poised for further growth. The report begins with an overview of the skin care industry in India giving its market size and growth as well as a clear segmentation on the types of products that constitute this sector. This is followed by an overview of fairness cream market describing the market and includes information regarding market size and growth. Segmentation in the market in terms of types of fairness cream-based products has been provided. A clear indication of percentage break-up in terms of segments based on women’s and men’s market along with its size and growth has also been highlighted. Additionally, distribution channels adopted by the players are highlighted. The section on EXIM provides an overview to the imports and exports. It covers the overall imports and exports as well as the segmented share across major countries participating in trade. Social media insights make up the next section which speaks of the market trends and characteristics from a social media perspective. This primarily deals with source distribution, source distribution by tonality and topics of discussion. Additionally, analysis in the forms of customer experience and sentiment has also been provided. An analysis of the drivers explains the factors for growth of the market including increase in disposable income, rise in organized retail, increase in awareness, increase in male grooming and low penetration. Products like fairness cream does not fall under the purview of necessary goods and therefore it becomes imperative for its survival that people have more income at their disposal. The growing Indian economy and the growth in disposable income have led to strong demand for fairness creams. Further, with enhanced awareness through increased media penetration, people are more aware about the sector and its products. Additionally, with increased organized retail in India, more brands including global brands are seen within the reach of the masses. Another potent source is the fact of increased male spending on grooming products. The growth of this segment has been exponential which is reflected by the trend of major players looking for product extensions towards the male segment. Finally, a latent but effective driver could be the fact of low penetration of these products in the market. An underpenetrated market always crates scope for enormous growth. However, the sector is also facing certain challenges. Factors such as presence of harmf

1. Insert Cover Image using Slide Master View
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Fairness Cream Market –
Fairness Cream Market India
October 2011

2. Executive Summary
 Indian skin care industry has been growing steadily and is expected to observe strong growth in
future
Market
 Fairness cream market is a sub‐segment of the skincare industry and enjoys a CAGR of a%
 Th
The market can be categorized into women’s and men’s fairness cream market
k t b t i di t ’ d ’ f i k t
Drivers Challenges
– Increasing disposable income – Presence of harmful steroids
Drivers & – Rise in organized retail
g – Availability of substitute products
Challenges – Increase in awareness
– Increase in male grooming
– Low penetration
 Value added factors
Trends  Array of international brands
 Adoption of newer packaging methods
Major Players
Competition Company 1 Company 2 Company 3
Company 4 Company 5 Company 6
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 2

3. •Introduction
•Market Overview
k
•Import‐Export
•Social Media Insights
•Drivers & Challenges
•Drivers & Challenges
•Trends
•Competition
C ii
•Strategic Recommendations
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 3

4. The desire for light skin is fuelling fairness products growth
in India
Fairness Cream Market – Overview Market Size and Growth
• Fairness cream constitutes the major category in the
INR bn
skin care segment in India a%
30 R
• High value of fair skin has resulted in market size of Q
20 P
fairness creams and bleaches touch INR a1 bn
• Category 1 fairness segment is an emerging area with 10
large untapped potential
l t d t ti l 0
 This segment is still to realize its full potential as many 20-- 20-- 20--
category 1 still use category 2 fairness creams
• Penetration of fairness creams in India is still around Segmentation – Market (2010)
x2%
c% Type 1
 This forces players to introduce several marketing
Type 2
initiatives like initiative 1, initiative 2, initiative 3
• Factor 1 is a dominant factor in this category as
Indians are factor 2 sensitive and they want quality 1
products with good quality
b%
Source:
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 4

5. Imported products witnessed a rise in demand from
aspirational consumers
Fairness Cream – Imports Imports (Value and Volume)
• India has no restrictions imposed and allows entry of Value
INR mn Volume ‘000 kg
imported cosmetics
imported cosmetics 600 B 1,500
A
• Has a Cenvat duty of p1% with an excise cess of p2% 400 1,000
C
• Country 1 have particularly been a major supplier of D
200 500
cosmetics with countries like country 2, country 3
y , y
0 0
and country 4 increasing in import volumes of late 20----- 20----- 20----- 20-----
Segmentation – Value (2010‐11) Segmentation – Volume (2010‐11)
Country 1 b6% Country 1
a6% Country 2 Country 2
a1% b5%
Country 3 b1% Country 3
b4%
Country 4 Country 4
a5% b3%
Country 5 Country 5
Country 6 Country 6
a4%
a2%
a3% b2%
Source:
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 5

6. Customer Experience recorded the highest number of
mentions with both positive and negative sentiments
Topics of Discussion
T i f Di i Topics of Discussion By Tonality
T i f Di i B T li
• Topic 1 (XX posts) has the maximum mentions
superseded by Topic 2 (YY posts) and Topic 3 (ZZ Topic 1 b1 c1 p1
posts)
Topic 1 related discussion:
• The customer’s impression was largely M1 because of Topic 2 c2 d1 p2
the effectiveness and the M2 of the fairness creams d
 M3 made a huge impact in creating Topic 1 discussions
 Discussions included M4 of the fairness creams Topic 3 d2 p3
• The L1 mentions included:
 Fairness creams are M5 to all M6 types A1
Topic 4 c3 p4
 Look of certain fairness creams were ‘M7’ and attracted L1
comments for the same A2
Topic 2 related discussion: A3
Topic 5 d3 p5
• Topic 2 were mainly L2 where consumers inquired
about
b
 M8 of the fairness cream and questioned M9 Topic 6 b3 p6
• L3 comments were towards responses which
encouraged to M10 fairness cream
Topic 3 related discussions: Topic 7 c4 p7
• M11 also consisted of L3 mentions b4 d4
 M12 by the brands
 M12 being rolled out in the market Topic 8 d5 p8
Source:
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 6

7. Drivers & Challenges – Summary
Drivers
Increase in disposable income
I i di bl i
Challenges
Rise in organized retail
Presence of harmful steroids
Increase in awareness
Availability of substitute products
Increase in male grooming
Low penetration
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 7

8. Trends – Summary
Value added factors
Key
Trends
d
Newer packaging Array of international
methods
h d brands
b d
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 8

9. Players in the Market (1/12)
Company Snapshot: Player 1
Corporate Information Financial Performance
Revenue
Headquarters Place 1, Country 1
Profit / Loss
INR bn INR bn
Founded 18‐‐
600 Q S 60
R
P
Products P1 and P2 Products 400 40
200 20
Key People Person 1– Position 1
0 0
20-- 20-- 20-- 20--
Business Highlights
Business Highlights
• It markets its products in more than s1 countries, conducted through ‐‐ mn active independent persons 2
• Its product line includes p1 products as well as p2 and p3 products under the brand names of brand 1, brand 2, brand
3, brand 4, brand 5 and brand 6
3 brand 4 brand 5 and brand 6
• Has popularized the concept of c1 as an effective means of sales and distribution
• Its operating subsidiary in India is called subsidiary 1 and was established in 19‐‐
Source:
FAIRNESS CREAM MARKET IN INDIA 2011.PPT 9

10. Thank you for the attention
Fairness Cream Market ‐ India report is a part of Research on India’s Consumer Goods Industry
Series.
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FAIRNESS CREAM MARKET IN INDIA 2011.PPT 10