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Mr K.S. Ramesh, Executive Director and CEO, CavinKare, at the launch of Tex toilet cleaner in Chennai on Tuesday. — Bijoy Ghosh

Chennai , Dec. 13

THE Chennai-based FMCG company, CavinKare Pvt Ltd, which has a presence in the foods, personal and beauty care segments, has entered the homecare segment with the launch of Tex toilet cleaner.

Mr K.S. Ramesh, Executive Director and CEO, CavinKare, said that the product is being launched and test marketed in Tamil Nadu. The launch is supported by a Rs 1-crore advertising budget, which will be spent over the next three months. The product will be distributed over 40,000 outlets across Tamil Nadu, in the first phase.

After Tamil Nadu, the product would be tested in the North, which is predominately a large pack market. The learning from these two markets would help a pan-India roll-out, which would be completed in the next six months.

The branded toilet cleaning products segment is growing at 31 per cent per annum with liquid cleaners accounting for 97 per cent of the market. Liquid toilet cleaners are essentially an urban phenomenon with the top 23 metros accounting for 52 per cent and the top six metros accounting for 37 per cent. The segment is growing at 35 per cent annually in value.

Mr Ramesh said that studies show that the penetration of toilet cleaners is about nine per cent among urban households and a large number of customers use low-grade alternatives such as acids, bleaches and phenyls. Tex is targeted at this segment of the market, he said.

"This product is addressed to the bottom of the pyramid and we expect it will redefine the dynamics of the market," said Mr Ramesh. The company expects to make a splash in the Rs 100 crore branded toilet cleaner market and has come out with 20 ml sachets priced at Rs 2; 100 ml at Rs 10; and 500 ml at Rs 48. The product, he said, presented a packaging challenge to get the right kind of material to use for a sachet.

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