CAVINKARE

PRODUCTS
 Silky Routes
Taking away HLL’s Market

Fair & Lovely (HLL) fairEver (Cavinkare)

Challenges for the leaders and multinationals

Ck HLL
Sun silk +
Chik +
clinic
nyle
Pantene &
Head &
shoulder

P&G 2
Hair Care
Chik Shampoo Meera Badam
Shampoo
Chik Satin Shampoo
Indica Hair Colorant
Nyle Herbal Shampoo
Indica 10 minutes

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 Shampoo
Chik Satin Shampoo
Strawberry extracts for soft hair
Green Apple extracts for tangle-free hair
Papaya extracts for bouncy hair

Nyle Herbal Shampoo

Meera Badam Shampoo

Meera Shampoo for Thick & Strong Hair
Meera Shampoo with Pure Herbal Particles
Meera Shampoo with Kunkudukai and Badam

Indica Herbal Hair Colour

Indica 10 minutes Herbal Hair Colour

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 Ethnic Care
Meera Hair Wash Powder

Karthika Hair Wash Powder

Meera Aritha Ras

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Skin Care
Fairever

Nyle Cold cream

and lotion
Fairever Fruit

Spinz Talc

Spinz Deodorants

Hi5 Deo

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 Home Care
Tex ToppMopp

Food Division
Chinni's Vermicelli

Ruchi Gulab Jamun Mix

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Meera Coconut Oil

Ruchi Pickles

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 Standardised Milk
Milk
Toned Milk

Full Cream Milk

Double toned Milk

Milk Products
Cavin's Curd

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Maa - Fruit Juice
- Beverages

Mango

Apple

Pineapple

Guava
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Cavin's Flavored Milk-
Beverages

Kesar badam

Pista

strawberry

Coffe toffe
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 In 1983 started with a single
product
Renamed as CavinKare Pvt. Ltd
(CKPL) in 1998
CavinKare Group has crossed a turnover of
8819 million INR in 2009-2010
All India network of 1300
Stockists
The Company has employee
strength of 1520

catering to about 25 lakh

outlets nationally

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Chik & Nyle given tough competition
To HLL

Entered new segments +

Acquisitions

Entry barriers:
Effective distribution channel

Product based entry barriers

Perception
View as more of glamour product
High price 13
 Identified competitors’ weakness (SWOT)
- SCALED DOWN VERSION

Facts: sachets make 70% rural markets

HLL has 80% share
Cavinkare differentiated on the basis of price.
Innovative approach by CK
counter attack by HLL

-INTODUCTION OF HERBAL
SHAMPOOS
-Herbal shampoos account for 10% of sales in country
-Nyle among top 5 shampoos
-within a product getting deeper by introducing small sachets
- Increase in sales of Chik by 40%
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 There are only two important management functions
Marketing and Innovation
CK did both well

How to increase market share?

Through various strategies
Innovation – good
Marketing when compared to close competitor
Not good
-use of SAP (ERP)

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Company products What they are
doing
LG TV, other Vans & road shows;
electronic
products
Philips Radio, TV Wall writing and
radio advertising
Coca Cola Cold Drinks Television, radio
and cinemas

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Line extension more of Niche products
Thereby more premium price

CK with New products and brand extension

CK for Brand building: through out source

Brand success attributed to

-quality of product
-communication
-packaging
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 Unique strategy of CK: 3 Points

Second point: V imp.

Many companies are taking other companies’

Help for distribution and rural connectivity

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 Joint Distribution Strategy

1. Samsung tied up with IFFCO

2. Nokia tied up with HLL

3. P & G tied up with Marico industries

4. Godrej tied up with Jyoti labs

Initially CK took the help of

Amrutanjan Balm for its
Chik shampoo
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 Concepts integration

1. 4 P’s to 4 A’s

2. Product judgment on the basis

- product features & quality
- the service mix & quality
- the price

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 3. Rural products

FMCG’s services

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4. New Product Development

5. PLC

6. Product Mix

- Packaging (Cavinkare)
- Packaging size & convenience
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7. Branding in Rural India
Branded consumption account
For 80% in rural
Role of retailers
First mover advantage
Brand association with colors,
Numbers & visuals

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