Baby-care brand Chicco,part of the euro 1.5-billion Artsana Group of Italy, has forayed into the Rs-600 crore organised Indian baby-care retail market.
The brand caters to varied requirements of babies from 0-36 months. Some of its nursing products are also meant for mothers. The company has a strong focus on R&D internationally and is also looking at initiating R&D in India. It is also looking at India as a sourcing hub for apparels.
Chicco,which was in India in early 2010 and is currently available through its outlet in Select City Walk in Delhi,will roll out 10 exclusive stores this calender year,mainly in metros like Delhi,Mumbai and Bangalore.
Vineet Nair,managing director,Chicco said: We are mainly going to spend on building our brand in India. Our price points will mainly position us as a mid-premium brand for babies. We are present in 70 countries across the world and India is a prime destination for us.
Chicco is part of the Italy-based Artsana group which manufactures and retails baby apparel and shoes,toys,nursing,healthcare,cosmetic and travel products. The companys major foray is going to be in baby products and toiletries market where Johnson and Johnson is a big player with its powders and soaps.
Challenges for Chicco lie in penetrating the market and to build a strong equity for itself as it is pitched against the already established brans. Nair said that for them competition is in different product categories and not in the market as a whole.
We will be able to penetrate the market well through our advertising programme for which we are spending close to Rs 7 crore for the current year. Indian baby-care market is at a very nascent stage with only 5% of the total market share.