G2_Gropu5_Research.

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Harpic. Ready for the Challenge….?

Harpic is the brand name of a toilet bowl cleaner which

originated in Europe. The original toilet cleaner was invented
by Mr. Harry Pickup. Launched in England in the 1920s and
in India in 1950’s, this brand is now available in Africa,
the Middle East, Asia, Pacific, Europe, Latin America and
Eastern Europe, marketed by Reckitt Benckiser.

The toilet cleaning products marketed under this brand name include liquids,
tablets, wipes, brush systems, toilet bowl and cistern blocks.

Harpic in India.

In India, toilet cleaning market is traditionally dominated by the unbranded

Phenols and when considering phenols, the market is worth Rs. 500 crore. But the
branded toilet cleaner market is minuscule estimated to be around Rs. 50 crore.

Harpic is the market leader in the small category of toilet cleaner segment in
India. It is the largest toilet cleaner brand in India with over 75% share (YTD, Sept
2009). Harpic is available in 47 countries worldwide. Over the years, Harpic in
keeping with its international parentage launched various brand innovations in
India. Its product range in liquid toilet cleaners consists of Harpic Power, Bleach and
Harpic Fresh in three fragrances – Citrus, Floral and Pine. Harpic also launched
Harpic Flushmatic in 1997, which makes toilet cleaning automatic. This year in
2009, under the Harpic Power range, Harpic launched Harpic Power in Rose and
Orange fragrance.

The major competition is from Sanifresh and Balsara. The challenge of Harpic
is to get into the households that are using the cheap Phenol products. The venture
of Reckitt with a phenol product bombed in the market.

Harpic is positioned along its triple benefits - Stain removing, freshness and
germfree. The ads which are criticised for lack of creativity speaks about the Harpic
challenge. Celebrity like Aman Varma entering a house and cleaning the toilet was
rated as the most distasteful ads. The ad conveys the core message. It is a no

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nonsense ad and is targeted towards the households using phenols and not the
educated sophisticated users.

About Reckitt Benckiser:

Reckitt Benckiser (India) Limited, is one of the fastest growing consumer

goods companies in South Asia. It has many high quality brands which are trusted
by the consumers. As seen across segments, Reckitt Benckiser brands are either
number 1 or 2 in market share, in all the segments they are present in. Its brands
include – Dettol, Harpic, Mortein, Lizol, Cherry Blossom, Vanish, Veet, Colin, Disprin,
Strepsils, Clearasil and others. It has major presence in home and personal care,
surface care, fabric care, pest control and healthcare. The Company has operations
in 60 countries, sales in over 180 and employs 23,000 people around the world.
Globally Reckitt Benckiser plc is headquartered in Slough just outside London, UK
and is listed in the top 15 on the London Stock Exchange.

Household Cleaner Market in India

Household cleaner market in India is mainly split into:

1. Toilet Cleaners: Toilet Cleaner are further split into Liquid

Cleaners, Drain Cleaner and In - Cisterns.

2. Surface Cleaners: Surface Cleaners are split into Floor

Cleaner, Multi purpose and specialized Cleaners. The
specialized cleaners are further split, based on their application
areas

Market Statistics

• The cleaning solutions market (both surface and toilet cleaner segments) is
estimated at Rs 373 crore (2008 Data)

• The total surface cleaning market in India is estimated to be around Rs 350

crores (including toilet cleaners and floor cleaners) (2006-07 Data)

• The household cleaner market is estimated to be around 400 crore and the
phenyl market is around 200 crore (2005-06 Data)

• The toilet cleaners segment, which is divided into liquid cleaners and in-
cistern blocks, is a Rs 150-crore category. This segment is registering a

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overall growth of 35 per cent. Liquid cleaners is the dominant category in the
segment with 93 per cent share. However, in-cistern blocks are growing at a
faster pace (2008 Data). Liquid segment is dominated by Harpic which has a
market share of more than 70%, which makes it more than a 100 crore
brand.

• Toilet cleaning market is traditionally dominated by the unbranded Phenols

• Only 3% of the households use floor cleaners. 97 % use proxy products which
are the combination of phenyl, detergents , acids and bleaching powders

• Liquid toilet cleaners are essentially an urban phenomenon with the top 23
metros accounting for 52 per cent and the top six metros accounting for 37
per cent. The segment is growing at 35 per cent annually in value (2005 – 06
Data)

• Studies show that the penetration of toilet cleaners is about nine per cent
among urban households and a large number of customers use low-grade
alternatives such as acids, bleaches and phenyls (2005 – 06 Data)

• In the last four years, the industry has shown a CAGR of 24%. Market
penetration of toilet cleaners is under 10% in the country, but is growing fast
(2008 Data)

• Colin, the glass-cleaning brand, was acquired way back in the '90s have 93
per cent of the market

• Market leader Lizol from Reckitt is estimated at Rs 35 crore while HUL’s

Domex is roughly a Rs 25-crore brand (2008 Data)

• Surface cleaner segment is growing at 18 per cent in the country (2007-08)

Companies & Brands

• HUL - Domex

• Reckitt Benckiser - Lizol, Harpic, Easy Off Bang

• Dabur Balsara - Sanifresh, Dazzl

• Cavinkare - Tex

• Henkel - Pril, Bref

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• Sara Lee - Kiwi Kleen

• S C Johnson - Mr. Muscle

Brands in Toiler Cleaner Segment

• Harpic

• Kiwi

• Bref

• Sanifresh

• DeepClean (Local Brand in Kolkata)

• Domex

Brands in Toilet In-Cistern

• Harpic

• Bref

• Kiwi Kleen

Brands in Toilet In-Cistern

• Kiwi Kleen

Brands in Floor Cleaning

• Lysol

• Domex Phenolic Cleaner

Brands in Specialized Cleaners

• Glass & Household Cleaner: Collin, Pril

• Only Glass Cleaner: Mr. Muscle

• Power Cleaner: Easy Off Bang

• Kitchen Cleaner: Mr. Muscle

• Degreaser: Pril Multi Degreaser

Marketing Activities

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• Domex launched a direct to customer initiative named "phenyl Khallas" to

educate the consumers about the virtue of using Domex comparing it with
local phenyl

• Harpic also initiated a co branding initiative with Parryware to get into

consumer mindset early even when he is completing his house

• Harpic has done about 65 million household knocks (to promote the brand
house-to-house)

• After domex launched the white toilet cleaner, Harpic was forced to come
with Harpic Plus Bleach Toilet Cleaner, which is white in color

Consumer Trends

• During 1990's the Harpic product came out with a unique nozzle which
ensured better reach

• Harpic also introduced a Flushomatic variant in line with the changing

preference of consumers towards European closets and Flushes

• Harpic bottle design has been adapted to the relatively smaller hands of
Indian women

• There are phenols, detergents, acids and so on but thanks to property prices
going where they are, a person who's buying a Rs 50-lakh house is not going
to allow the bathroom to be looking yucky. That's the evolution of what you
might call upgrading of consumer life

Market Trends

• Only 3% of the households use floor cleaners. 97 % use proxy products which
are the combination of phenyl, detergents ,acids and bleaching powders

• While the local floor cleaners such as phenyl form 50 per cent of the market,
speciality cleaners has been driving the growth for the category over the last
few years

Product Innovation

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• Domex launched a Domex + phenyl variant to capture this segment

• During 1990's the Harpic product came out with a unique nozzle which
ensured better reach

• Harpic also introduced a Flushomatic variant in line with the changing

preference of consumers towards European closets and Flushes

• The advantage of the Bref power cleaner is that it is available in foam form
and can even be applied on vertical surfaces

Some Positioning Platforms

• Domex: 100% Germ Protection

• Harpic: Triple benefit - Stain removing, freshness and germfree (Celebrity like
Aman varma entering a house and cleaning the toilet)

Strategic Actions
Harpic has been able to acquire a strong category association and high top of mind
awareness over the years and become a leading brand. However, the role of a
leading brand is to promote the category and not the brand. The most useful aspect
of branding is to create a new category which keeps the growth path unending for
the brand. This is similar to what Harpic did in 1980’s by creating the toilet
(commode) cleaner category.

Product Strategies
• A specialist in only bathroom cleaning
• Orange / Yellow color concentrate gel to differentiate
between commode and bathroom cleaning
• Spray bottle
• Concentrate Gel which gives foam lather implying
cleaning action
• Apply, Wipe, Wash Clean
• Gentle Clean + Effective Germ Kill + Prominent
Fragrance

Pricing Strategy

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Prices at Rs.50 for 50 Washes for standard bathroom size. The pricing is in tandem
with industry standards for Home and toilet cleaning category

Communication strategy
The communication would be based on its positioning of being a specialist in
bathroom cleaning. Spray gel, Wipe spread to form lather and Wash Clean in just 7
minutes; emphasizing on the ease of use. The communication would resolve the
pain point of having a clean toilet (commode) but not a clean bathroom. This is
where the “HARPIC COMPLETE BATHROOM CLEANING CHALLENGE” communication
would be used. Door-to-door below the line would help in creating the awareness for
a complete bathroom cleaning and not ignoring the surrounding areas of the toilet.
The product is targeted at the small affluent segment, but it strengthens the
top of mind awareness of specialist toilet cleaning and positioning of the Harpic
brand.

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Urban Market Strategy

HARPIC BATHROOM CHAMPION, a specialist which just washes the bathroom
(outside commode, floor, tiles) complementing the regular usage of Harpic for toilet
(Commode) cleaning is the suggested line extension.

Urban Market strategy-2

Another line extension proposed is the HARPIC 24 HRS CLEAN TABS. A specialist
cleaning tablet for urinals and washbasins only.

Product strategy
• Targeted at the affluent class, hotels, restaurants and other public places;
this specialist product aims to disinfect and clean the urinals and wash basins
only.
• Blue colored which dispense blue color each time water is applied.
• Prominent fragrance produces air freshening effect implying hygienic
cleaning.

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