Demand for Covid-related wellness products such as immune boosters, sanitizers and sanitizers has dropped sharply from last year this year, as the pandemic’s severity decreased.
Dabur India Ltd said sales of Covid-related products fell sharply in the June quarter. ITC Ltd also experienced lower sales of health and hygiene products such as sanitizers. However, in last month’s quarterly earnings call, Hindustan Unilever Ltd spoke of modest demand for hand hygiene products from a relatively high base in his June quarter last year.
“Our Covid-context immunity-based portfolio grew significantly differently this quarter than it did last quarter which was boosted in the first quarter of the last two years, and the growth of our non-Covid-context business. ” Mohit Malhotra said in a post-earnings conference call with analysts last week that portfolios related to Covid and contextual immunity are declining from very high bases, while non-contextual portfolios are seeing rapid development.
The business unveiled a variety of products in response to the pandemic, including Dabur Disinfectant, Dabur Veggie Wash, Dazzl Surface Cleaner, Dabur Sanitize Disinfectant Spray, and Dabur Tulsi Drops. We have also expanded the range of existing honey and chawanprash.
The company’s healthcare portfolio declined 20% on a high basis, with the decline more pronounced in its nutritional supplements and over-the-counter (OTC) portfolio., down 36% in the June quarter. The company’s OTC and ethics portfolio also fell 15.4%, including new categories such as Dabur health drops, health juices and other immune products. According to Malhotra, products such as Samshamani Vati (an Ayurvedic remedy for fever) are “very” contextual in nature and very much due to COVID-19, which is why demand is 60-70%. % Has been reported to decrease.
Also in the hygiene category, Dabur has launched a few products. Sanitize also our healthcare products under his brand franchise … down from about 2 million he down to 3 million pounds … so we are not going to cut off the tails and rearrange them.” said Malhotra. But the company’s honey and Chhavanprash expansion is going well, he added.
Companies launched a range of wellness, immunity, and hygiene products such as teas, herbal formulas, and sanitizers in the wake of the pandemic, but sales surged as consumers stocked up on them. Kanter said demand for immunity-focused products is weakening. In 2022, fewer households said they were looking for such immunity-boosting products compared to a year ago. According to Kantar, in 2022, 64.7% of his urban households said immunity was important, compared to 87.1% in 2021.
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