Modicare forays into cosmetics with Essensual 20

By , agencyfaqs!, na | In Advertising | October 11, 2001
Modicare, the multilevel marketing company, has forayed into the cosmetics market with Essensual 20, which is positioned at the premium end of the market

agencyfaqs! News Bureau

Modicare, the five-year old multilevel marketing company, has forayed into the cosmetics market with Essensual 20, which is positioned at the premium end of the market. The new range of cosmetics includes lip colours, nail lacquers, blush ons, compacts, eye make-up, skin toners, moisturisers and cleaners. The Essensual range is priced between Rs 45 and Rs 285. Former Miss India Universe (1999) Gul Panag will endorse the range as the brand ambassador.

The market for colour cosmetics and skin care products is already cluttered with direct marketing companies like Oriflame, Avon and Aviance calling the shots with an array of products and interesting sales pitches. Despite this, Modicare feels there is an obvious gap. "While there is no shortage of cosmetics products in the Indian market, there are very few that are designed keeping in mind Indian conditions like skin tones, climate and working conditions. To fill the need the company first conducted a survey to find the suitable product categories. Then followed it up with a formulation that was up to international standards. The result was Essensual 20, a product for the Indian women, by the Indian women. Also the introduction of the cosmetic range allows Modicare to offer more job opportunities to women," says Samir Modi, managing director, Modicare.

The company has sought the expertise of Christian Garelli, an international consultant, who has worked on brands such as Estee Lauder, Clinique International etc, to provide direction and technical experience at the product development stage. Now, Modicare plans to leverage its 7,00,000-strong force of 'consultants' (direct sellers) to propagate the new range. The company has about 65 centres across the country that supplies products to over 2,000 cities across India. The company has pumped in Rs 5-10 crore in setting up the cosmetics division and it plans to invest another Rs 15 crore in the next fiscal.

Modi is confident that in two years' time Essensual 20 would be able to garner a market share of 50 per cent of the Rs 120-crore direct selling cosmetics market. Currently, Oriflame leads the market with sales of of Rs 60-80 crore. Being a direct marketing company, Modicare will promote Essensual through events, beauty training sessions and seminars.

© agencyfaqs! 2001

© 2001 agencyfaqs!



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