Well ensconced in the colour cosmetics segment, Revlon now appears to be training its eyes on the Rs 1,200 crore (Rs 12 billion) hair care (shampoos and conditioners) market.
For Modi-Revlon (the alliance between the Umesh Modi Group and Revlon of USA) has recently relaunched its Flex brand of shampoos and conditioners, which did not really take off in India.
The three new variants of shampoos for different hair types now come with the triple promise to fortify, nourish and protect the hair from the sun.
"Everything about the product is new -- packaging, formulation and the distribution strategy," informs Deepak Bhandari, associate director, marketing, Modi-Revlon.
But is it lucrative to launch yet another shampoo in an already crowded market? Explains Bhandari, "Even if we manage 4 per cent of the total pie, it's a move well made."
Besides, there's not much competition in the conditioners category in India, he maintains.
Though Revlon targets the premium segment, for the Flex brand it has lowered its price band. The 200 ml bottle of shampoo is priced at Rs 78, the 100 ml bottle comes for Rs 45 (the initial promotion offers 20 per cent extra shampoo). The target consumer is the -- SEC A and B.
Meanwhile, the company is not taking chances and strengthening its distribution as well. So other than repackaging and reformulation, availability of the products is also being addressed.
When Flex was first launched, it was sold only through the 2,000 franchisee stores across the country, now it will be available at nearly 50,000 stores and outlets.
Curiously, the company is not advertising its new range for the time being. Bhandari claims Revlon is currently testing the waters with Flex, and the focus will be more on ground level activities and consumer promotions at the retail end to increase the visibility of the brand.
Incidentally, the Rs 100 crore (Rs 1 billion) Modi Revlon, which broke even only in 2004, has been growing at a 25 per cent compound annual rate. The key strategy of having a beauty advisor behind the retail counter for a one-on-one with the consumer has paid off, claims Bhandari.
