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India:  Emerging  Trends  
26M  
Babies  are  born  in  India  every  year.  

5.6%  
Increasing   presence   of   women   in  
workforce   with   urban   female   work-­‐force  
par7cipa7on  rate  growing  5.6%  annually.  

Increasing   purchasing   power,   customer  

aspira7ons  and  reduc7on  in  diaper  prices  

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India:  Market  Size  

Indian  Baby  Diapers  Market  Size  

US  $  300M  

Market  Segments:  
3%   Penetra7on  of  Disposable  Diapers  in  India  
80-­‐85%     Market  controlled  by  top  3-­‐4  players.  
   
B R A N D E D  
D I A P E R S  

I M P O R T E D  
D I A P E R S  

[Source:  CMR  Analysis  and  Industry  Es7mates]  

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Value  Proposition  in  India  

In  India,  parents  look  at  three  factors  when  buying  a  diaper:  

COST   COMFORT   CONVENIENCE   SUCCESS  

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India:  Market  Share  
ShiQing  Fortunes:  2013  to  2015  

56%   47%  
18%   17%  
18%   34%  
2 0 1 3   2 0 1 5  

The  Mamy  Poko  Pant  capitalized  on  its  simple  pull-­‐up  kind  of  diaper,  instead  of  tape  like  
s7ckers.  Lower  price  and  higher  margins  catapulted  the  brand  to  the  top.    

[Source:  CMR  Analysis  and  Industry  Es7mates]  

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India:  Market  Share  Breakdown  

57%   34%  

3%   17%  
Others  

In  2015,  Unicharm  gained  ground,  while  P&G  and  K-­‐C  lost  their  market  share.  

[Source:  CMR  Analysis  and  Industry  Es7mates]  

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Demand/Supply  Side  Drivers  
Increasing  awareness  and  penetra7on  in  rural  markets  

D  
More  women  in  the  workforce  than  ever  before  

Greater  hygiene  awareness    

 Increase  in  purchasing  power    

S  
Thrust  on  innovaUon  and  cost  efficiencies  by  new  market  entrants.  

Improved  supply-­‐side  infrastructure  

Awareness  generaUon  by  diaper  manufacturers  on  TV  

Digital  is  boosUng  diaper  sales  with  next-­‐day  deliveries  

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India:  Diaper  Types  

Taped  Diapers   Cloth  Diapers  

Diaper  Pants   Swim  Diapers  

Sizes:  S,  M,  L  and  XL.  

Prices  (in  INR):  270  to  2000  

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India:  Competitive  Landscape  
M A R K E T   L E A D E R S  

P R I VAT E   L A B E L S  

E C O -­‐ F R I E N D LY   B R A N D S  

O T H E R     B R A N D S  

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Diaper:  Material  Trends  

Three  key  thrust  areas  for  diaper  manufacturers  

BODY-­‐
SOFTNESS   ABSORBENCY   HUGGING  FIT  

Con7nuous   challenge   for   non-­‐woven   suppliers   to   deliver   cost   compe77ve  

fabrics  with  the  specific  func7onal  performance  and  aesthe7c  proper7es.  

There   is   a   clear   focus   on   achieving   op7mized   absorbent   cores   with   improved  

performance  in  fluid  acquisi7on/distribu7on  materials.  

Suppliers   have   secured   flexibility   from   diaper   manufacturers   to   change   raw  

material   formula7ons   to   accomplish   cost   efficiencies   while   maintaining   high  
performance  standards.  
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India:  Key  Influencers  
The  key  influencers  driving  diaper  sales  in  India  include:  

Family  and  Friends  

TV  Adver7sements    

Paren7ng  Magazines  

Internet:  Social  Media  and  Websites  

[Source:  CMR  Analysis  and  Industry  Es7mates]  

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Digital  Diapers  
Greater   convenience   and   lower   costs   are   driving   diaper   sales   on   ecommerce  
placorms.  

eCommerce   in   India   is   emerging   as   a   channel   for   premium   imported   diaper  

products,  catering  to  rich  Indians.    

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India:  Diaper  Capacity  Expansions  

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India:  Diaper  Market  Forecast  
[In  US  $/Million]  

CAGR  21%  

2016   2017   2018   2019   2020  

[Source:  CMR  Analysis  and  Industry  Es7mates]  

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CMR  Cognitive  360™  
D E M A N D  
The  baby  diaper  market  in  a  country  takes  
off   when   per   capita   GDP   breaks   through   D E L I V E R Y    
the   US   $3,000   level.   India   is   an   afrac7ve   Companies   with   premium   diapers   will  
market,   and   poised   for   take   off.   With   achieve   success   even   with   ecommerce  
increasing  awareness,  this  is  the  right  7me   only   channels.   Same-­‐day   diaper   delivery  
for  new  companies  to  enter  India.     will   be   a   game   changer   in   the   India  
    market.  

D I S C O V E R Y     D E L I V E R Y    
In  diapers,  brand  loyalty  is  fickle.  Its  useful   India   is   ripe   for   a   door-­‐to-­‐door   diaper-­‐
to   constantly   assess   and   discover   drivers   delivery   service,   shipped   weekly   or  
underlining   customer   behavior   through   fortnightly,  in  Tier-­‐  1  and  Tier-­‐2  ci7es.    
user  research  studies.  

Note:  CMR  Cogni7ve  360  provides  a  clear  view  and    guidance  on  what’s  next  for  businesses  focused  on  the  target  market.  
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About  CMR  
CMR   is   a   vibrant   bou7que   firm   that   enables   its   clients   to   find   answers   to   its  
most   pressing   business   concerns   and   challenges,   through   market   research,  
market  intelligence  and  go-­‐to-­‐market  services.    

This  is  us,  at  a  glance:    

Industry  ConsulUng  and  Advisory  Services  

Industry  VerUcals  /  Business  Domain  Research  

Informa7on  Technology  *    Telecommunica7ons  *    
Semiconductor  &  Electronics  *  
*  Life  sciences  *  Government  

User  and  Demand-­‐side  Research  

Business  Channel  Partner  Ecosystem  Research  

Go-­‐To-­‐Market  Services  

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Contact  

C M R   I N D U S T R Y   C O N S U LT I N G   P R A C T I C E  

 Prabhu  Ram    Apalak  Ghosh  

E:  pram@cmrindia.com   E:  aghosh@cmrindia.com  

M:  +91-­‐9899440380   M:  +91-­‐9971548392  
 

P:  +91  124  482  2222  Extn:  162  

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