Godrej plans to launch Good knight in Africa
Jharna Mazumdar, Financial Chronicle, 03 June 2015
Godrej Consumer Products is looking at launching its Rs 1,500 crore Good knight brand in Africa as there is lot of potential in the country, while the company plans to launch around 10 products in the domestic market.
The company is focusing on launching other insecticides and its Good knight brand in Africa within the next one year.
Last year, the company had launched around five products while this year it plans to launch around 10 products across categories like hair colour, soaps, and insecticides, among others.
"The investments for the launches will not be significant as it will an extension of the existing brands," Vivek Gambhir, managing director, Godrej Consumer Products told Financial Chronicle.
However, with new launches ad spends of the company are expected to increase. The company will spend around 10 to 11 per cent of revenue for ads, he said. Further, the company has been cross-pollinating technologies and adopting best practices for product development.
"We have been cross pollinating technology as we take our learning from India and try to address the local needs overseas in countries that we are present in with the best product-mix. In India, we have adopted technologies from Indonesia for our air freshener brand," Gambhir said.
In 2010, GCPL acquired the Indonesia based Megasari group.
"We are the number one player in air fresheners and wet tissues with our brands Stella and Mitu and the number two player in household insecticides with Hit in Indonesia," Gambhir added. Going forward, the FMCG sector’s growth depends on the monsoon, which will impact the direction of inflation.