FMCG major Bajaj Corp is looking at acquisition opportunities targeting niche brands and also aiming to capture a market share of 65 per cent in light hair oil segment by 2018-19.
According to a PTI report: “Will seek inorganic growth opportunities in the FMCG and hair oil market as part of growth strategy. The inorganic growth opportunities will focus on targeting niche brands which can benefit from Bajaj Corp’s strong distribution network so that they can be made pan India brands,” the company said in an investor presentation.
Bajaj Corp, whose popular products in the hair care segment include Bajaj Almond Drops, Bajaj Kailash Parbat and Bajaj Brahmi Amla, had acquired NoMarks brand from Ozone Ayurvedics in 2013 to enter into the skin care category.
As a part of its growth plans, the company is also looking at making efforts in converting coconut hair oil users to light hair oil users through sampling, targeted advertising campaigns, product innovation and creating awareness about product differentiation.
The company said it is aiming at a market share of 65 per cent by the year 2018-19 in the light hair oil category.
At present, through its key brand – Bajaj Almond Drops hair oil — the company has 61 per cent market share of light hair oil market in value terms.
It also plans to leverage its distribution strength to introduce new products.
“Bajaj Corp intends to extend ‘Almond Drops’ platform developed by its Almond Drops hair oil brand to new products other personal care products to leverage on the strong connotation of almonds with nutrition,” it was quoted by PTI as saying.
The company has 3.7 million retail outlets serviced by 9,695 distributors and 22,317 wholesalers.
Last week, Bajaj Corp reported a 13 per cent decline in standalone net profit at Rs 50.71 crore for the second quarter ended September 30 on account of higher expenses.
Its net sales during the period under review grew 3.73 per cent to Rs 204.12 crore as against Rs 196.77 crore in the year ago period.