With Yoga guru-turned-businessman Baba Ramdev’s herbal toothpaste, Dant Kanti successfully edging out competition in the oral care segment in India, toothpaste giant Colgate is rethinking its strategy 80 years after it forayed into India.
For the first time since it entered the Indian market, Colgate is launching an India-focused product – a herbal toothpaste called Vedshakti.
According to a report in The Economic Times: Cibaca Vedshakti seems to be aimed squarely at the Baba Ramdev led Patanjali, which has challenged the multinational’s dominance in the segment with its Dant Kanti toothpaste.
While Colgate has been selling herbal variants such as neem and clove in the country, this is the first indigenous brand in the Ayurvedic segment for the $16-billion global giant that controls more than half the oral care market in India.
Patanjali Ayurved, which reported a turnover of Rs 5,000 crore in the last fiscal, has been gaining the edge over FMCG biggies including Oral B, whose toothpaste has been edged out of the market because of Patanjali Dant Kanti.
Patanjali currently manufactures 444 products including 45 types of cosmetic products and 30 types of food products, all made from Ayurveda and natural components, according to the company.
Patanjali products sell like hot cakes since they are cheaper as compared to their MNC alternatives in the market. Retail experts say that this lower costing of products has put Patanjali Ayurved ahead of other FMCG MNCs, including Oral B, Marico and Dabur.
In fact, CLSA says Patanjali is the fastest growing fast-moving consumer company in India, valued at Rs 13, 000 crore (US$1.9 billion).