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HLL to phase out 2 toothpaste, 1 detergent brands

08-April-2001
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HLL to phase out 2 toothpaste, 1 detergent brands

Hindustan Lever is phasing out a few of its toothpaste and detergent brands. The brands being removed from the shelves are toothpaste brands Close-Up Oxyfresh and Close-Up Renew and Revel, a washing machine powder.

These moves come at a time when HLL is undertaking an exercise which involves focusing on only a few brands. The company has decided to focus on 30 brands out of a total of 110 brands.

HLL’s strategy, which has been spelt out by its chairman M S `Vindi’ Banga, involves focusing managerial resources and adspend on brands which contribute a large chunk of the company’s turnover and profits.

In toothpastes, the company has Close-Up, Close Up Renew, Close-Up Oxyfresh, Pepsodent, Pepsodent 2 in 1, Pepsodent G and Aim. It has a 31.5 per cent marketshare in the toothpaste segment with Close-Up alone accounting for about 18 per cent, according to the December 2000 ORG-Marg report.

Pepsodent, another toothpaste brand from the HLL portfolio, has a 11.1 per cent marketshare. Market leader Colgate Dental has a 38.8 per cent marketshare. The toothpaste market is estimated at about Rs 1,200 crore a year.

Close-Up Oxyfresh was launched in 1999 and was positioned on the platform of delivering freshness through oxygen rich bubbles entrapped in the paste. It was a white paste with green gel and was considered a breakthrough in this category when launched.

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