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New Delhi: Dabur India on Thursday said it is launching a more premium variant of its Vatika shampoo in a sign that more mass-market companies are eyeing moving up the value chain as urban shoppers demand better products.

Its new range launch includes a Coconut Milk Extract shampoo, Moroccan Argan Oil shampoo, Red Onion Black Seed Oil shampoo and Apple Cider Vinegar shampoo, combinations that are seen in more upmarket supermarket shelves or offered by foreign and new-age consumer brands. Vatika already sells hair oils and shampoos.

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The company's move mirrors a shift among Indian households that are seeking more variety and premium products in the market. Moreover, new-age direct to consumer brands are also helping fill the need-gap when it comes to providing consumers with sustainable and natural beauty products. Some of these brands such as Mamaearth have seen their business expand.

India's top fast moving consumer goods companies that typically work on feeding more mass-market demand in India are clearly keen to move up the value chain. Hindustan Unilever Ltd, India’s top packaged consumer goods maker, for instance, launched its range of eco-friendly Love, Beauty and Planet brand of hair care and cleansing products in India in 2019. The move also resonates with younger, urban shoppers that are seeking variety, and in HUL’s case, even demanding more sustainable brands.

Dabur has picked Flipkart to launch the new range of shampoos as it increasingly focuses on more internet-first launches. The range will be subsequently rolled out in retail stores. In fact, both Dabur and Flipkart worked together to pick emerging trends in the natural ingredient-based shampoo category to come up with a select range of shampoos, Dabur said in a statement.

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