This story is from June 30, 2004

HLL goes ayurvedic

PUNE: Hindustan Lever's betting big on the Rs 2,000 crore ayurveda market.
HLL goes ayurvedic
<div class="section1"><div class="Normal"><span style="" font-family:="" arial="" font-size:="">PUNE: Hindustan Lever''s (HLL) betting big on the Rs. 2,000 crore ayurveda market. It expects its 18-month old Ayush Therapy Centres, an extension of its ayurvedic range of products of the same name, to be central to its market growth in this segment.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">"The emerging trend is for a shift from other skin care products to ''alternative'' products, ayurvedic being one of them," Vipul Chawla, business head, consumer health care, HLL, told reporters here on Wednesday.
While HLL''s skin care business is worth Rs 1,000 crore, it is prepared for some natural attrition, as users move to these alternative therapies.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">Chawla, who was in Pune for the inauguration of the city''s first Ayush Therapy Centre and 12th nationally, said they will open 30 more in metros across the country this fiscal. The chain is currently present in the south and west, having begun 18 months ago in Chennai.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">The Ayush brand of products from HLL covers personal care, symptom relief products and positive health, addressing nutritional supplements for children. </span><br /><br /><span style="" font-family:="" arial="" font-size:="">"We are present now in the personal care segment, having launched our second shampoo, and are now rolling out a beauty cream. In the symptom relief segment, we have a cough syrup and a roll on headache product. Positive health products, comprising nutrition supplements for children, will be launched in the next few weeks," Chawla said.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">One indication of the success of the centres is that franchisees are achieving cash break even faster. The first centre, at Chennai, took six months to achieve cash break while the one in Mumbai, opened recently, achieved it in the first month.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">Although it is using the franchisee route to set up the centres, HLL invests in the branding, driving traffic, and training. During 03-04, its ad spend on the Ayush brand was Rs. 7-8 crore, set to double this fiscal.</span><br /><span style="" font-family:="" arial="" font-size:=""> </span><br /><span style="" font-family:="" arial="" font-size:="">Chawla was categorical that they would use only ayurvedic products to drive traffic to the therapy centres and not relate it to its range of non-ayurvedic products.</span><br /><br /><span style="" font-family:="" arial="" font-size:="">Another indication of the FMCG major''s big bet on ayurvedic products can be seen from the numbers it has addressed.</span><br /><span style="" font-family:="" arial="" font-size:="">"In two-three years, 5 million households have tried Ayush oroducts. In the next two-three years, we will double that," Chawla said.</span></div> </div>
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