Dettol was the first entrant in this space and surprisingly they entered just before corona started.
Haha! True, they are all playing the tailwind. Not sure, how many such products will exist post corona.
1 Like
No, I mentioned it as example. 
. My point was, you mentioned those chemical names and said it contains chemicals, but even if you wash your veggies with lemon water or vinegar, it is Citric acid(mentioned in that list) and acetic acid respectively, wash it with water and it is Dihydrogen Monoxide so chemical. It is a actually a wrong practice(IMHO) to look at ingredients for the sake of awareness. Because we don’t know what those ingredients do and all we see is “Oh, there’s chemical in it, i should better be go for ORGANIC”.
Edit:- I don’t have any idea why this got flagged…
1 Like
7 Likes
I Agree with the accusation. I thought the same when I discovered it on Amazon last week.
2 Likes
On the face of it, Saffola Honey looks like a winning idea to me. Lets see how it progresses.
Saffola’s brand equity of good health should enable Marico to sell honey…thats an opinion.
Disc: invested in both Dabur and Marico.
2 Likes
Indeed it is a winning idea and the company knows exactly where to put its energy and resources at this time. As a matter of fact, I see Dabur Anmol coconut oil uses the same colour combination and style as Parachute. I wonder if marico had also sued Dabur or not and what was the outcome…since it has been selling like that since a long time…
2 Likes
Lately, I was evaluating Marico’s various offerings in the Sanitization Category.
Travel Protect seems to be identical with House Protect, price is also the same, although it is available in two sizes, 200 ml and 75 ml. House Protect is only available in 200 ml. Smaller Size availability is probably the reason “Travel” Protect name is given.
Price differential is gone. Marico has adopted to discounting to compete with others. So, most of the brands discussed in a previous post is now available in similar prices.
I am a bit confused as to why Marico needed to launch two new brands for their disinfectant sprays when they launched sanitizers under Mediker brand. Neither Marico brand name is well-known, nor their two new brands for surface disinfectants, which makes it difficult it to become a pull product, a benefit which Savlon, Dettol, Lifebuoy, Dabur, Godrej Protekt etc. definitely have.
Then I thought maybe Marico wanted to create a new brand for sanitizers and disinfectants etc. Their mediker brand is known for Anti Lice Treatment and doesn’t offer the feeling for hygiene category in the strictest sense. Although the Mediker brand could be easily promoted to give that extended perception. Old brand matters.
Anyway then why launch two new brands? They could easily gave the same name and offer a smaller size pack and convey that is for travel purpose. The kind of name they choose, honestly sounded like a Private-Label 
.
Then, I finally found that they have launched another brand Keepsafe that is solely hygiene oriented. It has sanitizers, disinfectants, disinfectant wipes, toilet seat disinfectants and Woman Hygiene products (like VWash). @Mukundks I liked that they again kept the “by Marico” tag. 
Keepsafe seems like a premium brand. So, the disinfectant spray is priced like Lifebuoy.
Regardless, I would hope that marico withdraws its other branded Sanitizers and Disinfectant Sprays gradually. Guess, they messed it up a little. 
PS: I was also unaware that Marico has a eCom site too, which lists all its Hygiene products except any Keepsafe products.
https://stores.saffola.in/en/hygiene.html
6 Likes
Well, i would not say messed up but rather say experimented and experimented well to keep up their revenues in the Qs they experimented and finally come up with a decent hygiene branding. Note that the ones with whom you are comparing - Dettol/Savlon/Godrej Protekt/Lifeboy - All had significant hygiene exposure earlier, Dabur was also well known in its health category while Marico being a purely personal care company (and foods) had to experiment. Mediker is a very specific brand for lice treatment since ages so extending such an old brand in a dynamic millennial controlled world could give results where your guess maybe as good as mine.
As long as their experiments don’t burn up significant cash, keep the revenue momentum going and finally end up in a decent brand… I am fine as a shareholder.
Disc: Invested and hence biased. Not a recommendation to buy/sell
Edit @sujay85 - Btw I am more excited by the launch of Honey. I feel these hygiene category you never know in future but Honey is here to stay and a welcome launch from Marico.
2 Likes
True, I also felt the same. I bought a combo from Bigbasket recently, but yet to open it. It seemed like as dense as Dabur’s and the package does have some uniqueness, which was not evident digitally. So, I am sure that Dabur’s complaint about copying their model will not hold.
2 Likes
Yes, I think it was much needed, people should know Parachute and saffola belongs to the same brand, It’s time Marico should start using the name.
and yes about different brands, it does appear messy, maybe then can go with “KeepSafe” and put all the hygiene stuff under it like “KeepSafe - Home” and “Keepsafe - Travel” instead of House protect and Travel protect.
1 Like
This is interesting, but would be tough to compete by having premium prices in a category dominated by old reliable names like Dabur.
7 Likes
I believe market will expand as demand for such foods is lots and sustainable. Availability is concern…more trustful brands create them and make available, more will be the market for them.
Qtly update from Marico.
Demand scenario doent look so bad.
Good results are in store…it seems.
1 Like
1 Like
Marico Q2 results highlights -
Domestic volume growth at 11 pc…thats great …considering the operating environment
Revenues up - 9 pc
Intl revenues up - 7 pc in constant currency terms
EBITDA margings at 19.6 pc. Company has guided to maintain them above 19 pc over medium term - thats healthy !!!
PAT growth at 15 pc - on a like to like basis ( due exceptional items, reported PAT growth is lower )
Parachute rigids - volume growth @ 10 pc
VAHO - volume growth @ 4 pc
Saffola cooking oils - volume growth @ 20 pc
Saffola Oats - volume growth @ 45 pc
Saffola Honey - scaling up well
Livon - volume growth @ 1 pc
All this despite a steep fall in CSD volumes
Adverstising and promotions @ 9.5 pc of sales - back to pre-covid levels
New launches - Saffola Aarogyam Chavan Amrut, Saffola Kadha Mix, Golden turmeric Milk Mix
Bangladesh business ( 50 pc of Intl sales ) - up 16 pc in constant currency terms. Non coconut oils portfolio up 31 pc !!! This portfolio now constitutes 35 pc of sales vs 25 pc two yrs back
South East Asia ( 26 pc of Intl business ) - de grew 4 pc
North Africa ( 12 pc of Intl business ) - degrew 6 pc
South Africa ( 7 pc of Intl business ) - grew by 16 pc
Overall - very good set of numbers, I would say.
Marico just keeps performing !!!
Disc : invested, biased.
6 Likes
If not for exceptional item, net profit would have been much higher by 21cr, improved working capital ratios in such environments speaks for execution focus.Good to see them grabbing 8% mkt share in honey in 1Qtr - this will likely fuel further push to launch/ push adjacency ( forte of Dabur and others)
Management update has a subtle message that mid term they are guiding for sub 10% volume and sub 15% revenue growth - IMO these type of low profile yet consistent performers should be in all aspiring investor PF to get a taste of compounding with stability - one needs to give some time though. More so attractive if one gets to enter during few rough patches when the come, if any at all.
Newer growth areas remain a watch out but trust them to continue innovation, till then this is still a slow and steady compunder.
Innovation, execution, transparent and quality management. Standing tall among indian FMCG.
Invested - part of core PF
9 Likes
…the FMCG major’s diversity agenda looks beyond just having a higher representation of women in the workforce. “There is a need to have an adequate social representation in the organisation so that we are able to understand the needs of our consumers effectively,” says Prakash. Therefore, Marico is not only looking at hiring people from the LGBT community or talent which is differently-abled, it is also trying to bring in diversity in terms of educational background.
3 Likes
News about Consumer sector.
5 Likes
This is HUGE!!
"What is even more worrying is that “Indian standards for honey purity cannot detect the adulteration because Chinese companies have designed sugar syrups to bypass these standards,” Centre for Science and Environment (CSE) India said.
- Honey samples from leading brands such as Dabur, Patanjali, Baidyanath, Zandu, Hitkari and Apis Himalaya, all failed the NMR test.
- Only 3 out of the 13 brands – Saffola, Markfed Sohna and Nature’s Nectar (one out of two samples) – passed all the tests.
Press Conference:
5 Likes