Dabur, HUL to stir up milk beverage market

Dabur, HUL to stir up milk beverage market

Author | Source: Business Standard | Monday, Mar 03,2008 7:21 AM

Dabur, HUL to stir up milk beverage market

Dabur, which launched its milk beverage mix brand Chyawan Junior four months ago, is planning a national-level rollout for it by September.

According to the company, Chyawan Junior received good response in Maharashtra and West Bengal, where it is being test-marketed. It has already gained 1 per cent market share in these states.

Another company to foray into this market is fast-moving consumer goods heavyweight Hindustan Unilever with its Kissan Amaze brainfood range, which is a milk beverage mix product, biscuits and snacks. The company is test-marketing its product in Tamil Nadu and Karnataka.

The Rs 1,500-crore milk beverage mix market is dominated by GlaxoSmith Consumer’s Horlicks and Boost, Cadbury’s Bournvita and Heinz’ Complan.

The two new entrants — HUL and Dabur - however, have unique propositions. They will differentiate themselves through new formulations such as the promise of boosting children’s intelligence.

K K Rajesh, executive vice-president Dabur India, said: “The USP of Chyawan Junior is that it is an ayurveda-based malted food drink. It contains herbs which improve immunity and stamina, while preventing cough and cold. It also contains vital herbal ingredients required for a healthy-living.”

“Amaze offers a nutritious option to the mothers who find it difficult to feed their children with vitamin-rich foods. It is an alternative to unhealthy snacks which children tend to get attracted,” said Siddarth Singh, category head, processed foods, HUL.

Experts said in the children’s food category the target consumer is a child but the buying decision is often made by the mother. Hence, it is important to connect both the child and the mother.

Hence, Dabur may promote its product with the chocolate taste, which kids crave for, and the goodness of Chyawanprash, which parents desire.

GSK Consumer, On the other hand, has decided to target the mother with its Horlicks-variant for women named Women Horlicks. This makes it difficult for HUL and Dabur to break into the market.

However, it would be crucial for both the companies to succeed in this space as both claim to have invested heavily in the research and development.

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