Emami, an FMCG (Fast-Moving Consumer Goods) company, is expecting that it will take a few quarters to revive its struggling ayurvedic hair care brand, Kesh King, after consulting firm BCG provides a “robust strategy” to revamp the business. The brand has been underperforming, with sales declining by 10% in the third quarter and 12% in the first nine months of the current financial year due to competitive pressures and category challenges.
Mohan Goenka, Vice Chairman and Whole-time Director of Emami, believes that the company’s strategy will soon bear fruit and that the brand will revive, likely within one to two quarters. He noted that the decline in the Kesh King business is not unique to the brand, but also a category issue, with changes needed in the market. Goenka also highlighted that Emami is working on new product rollouts to address the challenges.
Meanwhile, Emami has already made significant changes to its other male grooming brand, “Fair and Handsome”, by rebranding it as “Smart And Handsome” to better align with consumer preferences and tap into the growing market. The rebranding is expected to drive growth, with the company aiming to take the brand from its current value of ₹250 crore to around ₹1,000 crore in the next three to four years.
Emami’s overall financial performance is strong, with a 7% year-on-year increase in consolidated net profit to ₹278.98 crore for the third quarter, and a 5.33% year-on-year rise in revenue to ₹1049.48 crore. The company is optimistic about its future prospects, with plans to revitalize its underperforming brands and drive growth through new product launches.