With the Covid-19 pandemic disrupting the home sanitization market in India, Sameer Satpathy, divisional CEO Personal Care Products at ITC talks to TOI about the overall market and company's strategy going forward. Excerpts:
How has the natural home cleaning segment evolved over the past couple of years and what are the future prospects?
Consumers want to protect their homes from germs and are also worried about the impact of chemical based cleaners. The pandemic only accentuated these needs as they wanted both effectiveness and safety. Also there is a growing consciousness about the adverse impact some of these cleaners could have on the environment. We are therefore seeing a shift in the collective conscience and the growing affinity towards green and purpose-led brands. In addition, there is a strong inclination towards traditional health and hygiene ingredients known for efficacy and a variety of remedial measures, which are being preferred for in-home use and consumption. The transformation and evolution in consumer preferences are here to stay and this niche is moving mainstream.
What is the overall market size for the home cleaning segment and how much does organic products contribute. How do you see this unfolding in the years to come?
Surface hygiene is an underpenetrated and underserved category. Floor cleaners is the largest and the category size is Rs 1386 cr (MAT March 2021, Nielsen). We will see the evolution of the category as more specialized segments of cleaners and disinfectants develop.
The covid-19 pandemic has upended longstanding consumer habits and the demand for the natural products. What learnings did ITC draw from the pandemic and plans for the natural home cleaning segment?
During the pandemic, consumers needed both safety and assurance. They were spending a lot of time at home and a lot of them spent time on domestic chores also. They realised the limitations of the current homecare solutions and were seeking better solutions. The Nimyle platform which draws its strength from neem, is aligned well with their requirements. There is deep consumer belief in neem, about its safety and effectiveness and just about everybody has used neem at some point in their lives. This has helped us introduce Nimyle and its extensions to a large number of new households. We have also created a lemon grass based line, as it is another ingredient which is known for both its smell and anti-bacterial properties.
What are the major markets for Nimyle presently. What is ITC's strategy going forward to strengthen its presence and grow the brand?
Nimyle is a leader in West Bengal and Odisha. We are looking at expanding it both by geography and there will be a stream of innovations to grow and develop the market. For example, we are test marketing a Re 1 sachet in West Bengal to expand the market further and also gain share from the unorganised and local brands.
The product is being rolled out nationally and will be available in all major cities. We have also ramped up our presence in the e-commerce channel and it is showing some promising results, as the channel salience for Nimyle is close to double digits. This also underlines our belief that consumers are ready to upgrade to natural brands.