Published on December 16, 2013
India has been very lucrative market for the Global cosmetic industry. India being developing country provides bounty of opportunity to leading cosmetic manufacturers. In a recent article Indian head of L’oreal India said that they expect 10-15 percent growth in the Indian market. The company believes that India has got good potential for the growth in the domestic market. According to them market size for professional skin and hair care is around Rs 2,500 crore in urban market. The company is growing by 15 percent on year over year basis and is in mood to go for further expansion.
In a recent development the leading pharma and cosmetic company Merck decided to restructure its pricing strategy. Merck is a Germany based company and is one of the oldest pharma companies in the world. Later on it diversified to several other categories like effective pigments for coatings, cosmetics and prints. The pigments and cosmetics unit of Merck will raise the prices for selected category of pigments and cosmetics. The prices will be effective from January1, 2014. There would be hike of around 10% in the prices. The decision of increasing the prices has been very crucial for the company. The major reason for this hike has been application of improved technology and high labor cost.
