Emami eyes Rs40 crore revenue from Pure Skin brand in first year

FMCG major Emami, which acquired exclusive rights of a skin-care technology from Mibelle Biochemistry to manufacture and sell products under the Pure Skin brand in India from May, is eyeing a Rs 40-50-crore revenue from it in the first-year itself, a top company official said.

The technology known as Multi Plant Stem Cell, that is likely to change the dynamics of the skin-care industry going forward, will help Emami enjoy a cutting-edge technology in terms of product offering.

"We got the exclusive India rights of Multi Plant Stem Cell from Swiss-based Mibelle Biochemistry. The acquisition is significant as no other Indian player is doing this currently. We plan to launch the products from May onwards and expect an around Rs40-50 crore revenue from these in FY 12," Emami's Director, Priti Surekha, told reporters here today.

She, however, would not divulge the financial details of the acquisition but said that the company has got a long-term (3-4-years) license for the technology with a provision of renewal.

The company would initially be launching an array of face washes in the market this May followed by moisturisers, lotions, cleansers and toners, Surekha said, adding that the products would be manufactured at its Indian facilities currently.

While she did not disclose on the pricing strategy of these products, Surekha said that it will be positioned as a premium brand that will take on other players like Ponds of Hindustan Unilever and Garnier in the Rs 5,000-crore skin-care industry.

The company, which, in the past, has roped-in Bollywood superstars like Shahrukh Khan, Amitabh Bachchan, Kareena Kapoor and Bipasha Basu, would be spending heavily on advertising and promotion of the new brand.

It has earmarked Rs 20-crore as its A&P spend for the current fiscal and has roped-in Bollywood actress Kangana Ranaut as brand ambassador for its Pure Skin range, that will be extended to hair-care and personal-care segments in the near future, Surekha added.

While the tie-up will highlight the international expertise that Emami, the maker of Boroplus and Fair & Handsome brands, would bring to Indian consumers, it will also have to face stiff competition from foreign players like Lancome, Loreal and Skinvage, which are already present in the Indian skin-care space.