P&G is the latest entrant in the Rs300-crore men's fairness products market that has recorded faster growth than that for women

Moneylife Digital Team

Procter & Gamble's "Olay" is the latest brand to venture into the curious men's fairness cream arena. While the company is doing its best to make its mark, some market observers believe that the small market has already seen too many brands.

"Men's fairness creams constitute just a tenth of the segment. While it is an area which has potential, there are already a lot of options. The launch of another brand may not create any breakthroughs," commented an analyst. He compared the men's fairness segment with the deodorant market, which has seen many launches after the success of Axe, but have fragmented the sector, eating into each other's revenues.

P&G's product has found its way to India after China. The company also owns Gillette, which is a men's only brand, and it plans to add more products to its portfolio. Olay Men's Solutions will see high-end marketing, as the products are in the premium category.

Emami was the first to target the metrosexual with "Fair and Handsome" five years ago. As the brand took off, there were back-to-back launches. Hindustan Unilever (HUL) went to the market with "Fair and Lovely Menz Active", then there was "Nivea for Men", "Garnier Powerlight for Men" and "Vaseline Men". All of them have had significant sales, but Emami has stayed the leader.

Emami reported sales of Rs125 crore till December 2010, proof of its pioneering position and strength as an exclusively men's brand, unlike the others who derive their strength from their fairness products for women. "The brand is looking for a significant value growth on its present base (26%- MAT on December 2010)," says an Emami spokesperson.

The men's fairness cream market is estimated to be valued at Rs300 crore, but has seen a robust growth for most brands at 25%-30%. By contrast, the huge Rs3,000 crore women's fairness cream market is growing at 10%-15% annually.

The men's fairness sector is yet to realise its full potential, as many men still use women's fairness creams. Emami says that there is a huge demographic to be tapped, with an estimated six to seven times more males using women's fairness cream than males using men's only fairness creams.

"This is a lucrative area, but it really depends on the brand placement," said an advertising company spokesperson. "Each brand is appealing to a section of men and a new brand has to create its own niche to succeed. Pricing, too, becomes important because a majority of the customers go for products which offer value for money."