From Wikipedia, the free encyclopedia
Jump to: navigation, search
For other uses, see Emami (disambiguation).
Emami Limited |
Type | Public Ltd Company |
Industry | FMCG |
Founded | 1974 |
Founder(s) | R. S. Agarwal and R. S. Goenka |
Headquarters | Kolkata, West Bengal, India |
Key people | R. S. Agarwal and R. S. Goenka (joint chairmen) |
Products | Hair care, skin creams, soaps and lotions, talcum powder, Ayurvedic health care products |
Revenue | Rs 1400 crores (2011–12) |
Website | emamiltd.in |
Emami Limited is an Indian producer of fast moving consumer goods (FMCG), such as cosmetics and health and baby products. The company is based in Kolkata.
...view middle of the document...
20,000 and started manufacturing cosmetic products as well as Ayurvedic medicines under the brand name of Emami from a small factory in Kolkata, targeting sales at the Indian middle class.
In the early days the founders personally sold their cosmetics from shop to shop, using hand-pulled rickshaws. They soon established recurring consumer demand, and gradually hired additional staff. A chain of distributors was established and the sale of Emami products spread from West Bengal to rest of Eastern India and gradually to other states. Emami Talcum, Emami Vanishing Cream and Emami Cold Cream sold well. The company's marketing techniques were to sell dreams of beauty to Indian women using radio and TV advertising.
In 1978, Agarwal acquired Himani Ltd, a privately owned cosmetics company with a factory in Kolkata. The business of Himani was almost 100 years old, although it had only been incorporated in 1949 company; it had a good brand equity in Eastern India, but was in financial trouble. Agarwal and Goenka managed to restore it to profit, at considerable risk considering the small capital base of their own company at the time; this later proved to be the turning point for their business.
Agarwal decided to produce health care items and toiletries based on Ayurvedic preparation in the Himani factory. Ten years after commencement of the company, it launched Boroplus Antiseptic Cream under the Himani umbrella in 1984. This became a flagship brand and was extended to other products such as Boroplus Prickly Heat Powder. Emami brands started selling in all states of North, East and West India. Today Boroplus is not only the largest selling antiseptic cream in India but also in Russia, Ukraine, and Nepal.
In the 1983 Bollywood film Agar Tum Na Hote, one of the earliest brand placement campaigns was achieved with lead actor Rajesh Khanna playing the managing director of Emami.
In the 1990s, Emami launches another flagship brand under the Himani Umbrella, Navratna Cool Oil, and expanded production by opening its second factory, at Pondicherry.
The introduction of new brands continued and the company extended its distribution network to South India, with Navratna spearheading the process. In 1995, the partnership firm Kemco Chemicals was converted into a Public Limited Company under the name Emami Ltd. In 1998, Himani Ltd was merged into Emami Ltd.
In 2000, with a view to concentrate on its core FMCG business, Emami's investment undertaking was demerged by issuing shares in Pan Emami Cosmed Ltd to shareholders of Emami. In 2003 a new factory unit was set up at Amingaon, Guwahati. A public issue of 50 lakhs equity shares at Rs.70 followed in 2005. The issue was oversubscribed by 36 times. The share price later rose to Rs.210.
In 2005 Emami launched Fair and Handsome, the first fairness cream for men.
In 2006 the company decided to introduce a Health Care Division and a number of new brands of Ayurvedic OTC medicines.
Among the brands created by the...