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Guiltfree Industries Ltd, the FMCG vertical of the RP-Sanjiv Goenka Group, has forayed into the personal care space by launching products aimed at skin and haircare under the brand ‘Naturali’. The company targets revenues of around ₹400-500 crore from the segment in the next four-five years.
According to Shashwat Goenka, Sector Head, Retail & FMCG, the personal care category is estimated at ₹70,000 crore, of which hair and skin care accounts for around 50 per cent or close to ₹34,000 crore. The category has been growing at a CAGR of 10 per cent.
The company, which has launched a range of shampoos, conditioners, face washes and face creams, is looking to expand the range. It might also explore acquisition opportunities.
“We are initially launching the products nationally on e-commerce platforms and in select modern trade outlets including Spencer’s Retail and Health & Glow. We will also launch in general trade in the National Capital Region and Karnataka and then move on to other geographies,” Goenka said at a virtual press conference on Thursday.
Across channels
Sales on e-commerce platform would account for nearly 70 per cent of total volumes initially with the remaining (30 per cent) coming from modern trade. But over the next six months, the company hopes to be able to make itself available across all three channels (e-commerce, modern and general trade).
It has roped in Kriti Sanon for promotion of the haircare range and Shanaya Kapoor for the skincare range.
Goenka said Naturali was designed to meet the evolved beauty needs of modern millennials and Gen Z consumers who are conscious and well-informed.
“While the existing natural care industry boasts a host of players, they are priced steeply and are out of reach for a large part of the consumer base. Guiltfree Industries took it upon themselves to bridge this gap with Naturali, a range that delivers quick efficacious results, is free from nasties and available at affordable price points,” he said.
Guiltfree Industries sells packaged snacks under the brand ‘TOO YUMM!’. GIL also has a 70 per cent stake in Apricot Foods Private Limited (AFPL), which markets snacks under the brand name ‘Evita’.
According to the latest (2021) annual report of RPSG Ventures, the Covid-19 pandemic affected GIL’s and AFPL’s large distribution network. Consequently, GIL’s total consolidated income for FY21 stood at ₹262 crore, which is around nine per cent less than what it was in the previous year.