‘Our brands are symbols of purity and the rich cultural heritage of Karnataka…’
Your brands in a way represent the culture and values of Karnataka. What is their USP?
Appaji C S Nadagouda, Chairman, Karnataka Soaps and Detergents Ltd and MLA, Muddebihal (left) with Siddaramaiah, Chief Minister of Karnataka.
Mysore Sandal Soap embodies Karnataka’s culture and values through its rich heritage, purity and craftsmanship. Established in 1916, it reflects the State’s legacy of sandalwood production and traditional practices.
Its unique selling proposition (USP) lies in being the only soap globally made from 100 per cent pure sandalwood oil, coupled with its iconic oval design and ornate packaging featuring the Sharabha emblem, symbolising wisdom and valour. The soap not only signifies luxury but also sustainable practices through its plantation programmes, ensuring a balance between tradition and modernity.
What is the secret behind the success of Mysore Sandal Soap?
The success of Mysore Sandal Soap can be attributed to several key factors.
Heritage and quality: Launched in 1916, it is the only soap globally made from 100 per cent pure sandalwood oil, ensuring a unique quality and aroma that resonates with consumers’ preferences for natural products.
Innovative marketing: The brand has employed creative marketing strategies, including distinctive packaging and memorable advertising campaigns since many decades, which helped establish strong brand recognition.
Establishment of marketing networks: The company has established its own marketing branches across India, covering the length of breath of the country with its own field staff who visit the market daily. The company has a strong distribution network presence, along with its own clearing and forwarding agency (C&FA).
Cultural significance: As a product deeply rooted in Karnataka’s heritage, it symbolises purity and tradition, appealing to both domestic and international markets.
Sustainability initiatives: The company emphasises on sustainable practices, including a sandalwood plantation programme, ensuring long-term viability despite challenges in sandalwood availability.
These factors collectively contribute to the enduring popularity and market presence of Mysore Sandal Soap.
With so many successful brands, are you planning to expand with more soaps and detergents?
Yes, Karnataka Soaps and Detergents Ltd (KS&DL), manufacturer of Mysore Sandal Soap, is planning significant expansions. KS&DL is aiming at enhancing production capacity with an additional soap manufacturing plant and has plans to introduce various new products such as turmeric soap, cologne soap, lime and deo soap, transparent soap, shower gels, puja oil, scented candles, kajal and colour cosmetics, perfumes, a new range of Agarbathies etc, aiming at a turnover target of Rs 5,000 crores in the coming years.
Given the high brand and corporate image you have built, would you look at products beyond soaps and detergents?
Yes, KS&DL is expanding its product range beyond traditional soaps and detergents. The company plans to introduce new products such as scented candles and various shower gels aimed at younger consumers. This diversification will enhance market presence, particularly in north India, where KS&DL currently holds a small market share.
The company is aiming at a turnover of Rs 2,000 crores by 2024, reflecting its commitment to growth and adaptation in a competitive market.
Share some insights into the sort of quality checks that go into your products...
Mysore Sandal Soap employs rigorous quality checks to ensure the highest standards in production. The quality control and assurance department oversees the entire production process, from raw material selection to final packaging.
Here are some major norms followed:
Sandalwood oil quality: The soap uses 100 per cent pure sandalwood oil, with stringent testing for purity and fragrance consistency.
Raw materials inspection: All ingredients, including soap noodles, perfumery materials, chemicals, packaging materials etc. undergo thorough quality assessments before use.
Production monitoring: Each batch is monitored for formulation to maintain product integrity.
Final product evaluation: Finished soaps are evaluated for texture, scent and packaging quality before distribution.
Sandal products enjoy a special niche. What sets your products apart?
Mysore Sandal Soap stands out due to its unique qualities.
Pure ingredients: It is made from 100 per cent natural sandalwood oil, renowned for its antiseptic and soothing properties, setting it apart from competitors that may use synthetic fragrances or additives.
Heritage and authenticity: Established in 1916, the brand carries a rich legacy tied to Karnataka’s sandalwood heritage, evoking nostalgia and trust among consumers.
Diverse product range: Beyond the classic soap, it offers variants like Mysore Sandal Gold and Millennium, enriched with additional natural ingredients for enhanced skin benefits.
Sustainability: KS&DL emphasises on sustainable practices in sourcing sandalwood, ensuring long-term availability and environmental responsibility.
These factors contribute to a strong brand identity and brand loyalty.
Your turnover has been on an uptrend. Are you planning to cover more markets?
Yes, we are exploring more markets for Mysore Sandal Soap. KS&DL aims at expanding its presence, specially in north India, where its market share is currently at 2.50 per cent. The company plans to launch new products and various soap variants to cater to regional preferences.
Additionally, KS&DL is planning to enhance its export market, targeting Europe, West Asia, Australia and South America, to name a few, as part of a broader strategy to achieve a turnover of Rs 4,000 crores by March 2027.
Take us through your state-of-the-art manufacturing facility.
The KS&DL’s soap manufacturing facility in Bengaluru, with Mysore Sandal Soap being the flagship brand, has an installed capacity to produce 26,000 metric tonnes of soaps per annum. We are also producing Millennium Soap – a super premium soap, M S Gold Soap, Baby Soap and Centennial Soap, along with other popular soaps including rose, jasmine, turmeric, herbal care and carbolic soaps. We produce 25 variants of soaps.
In the recent months, we have increased our production from 100 metric tonnes per day to about 130 metric tonnes per day to fulfil the increased marketing demand. We are producing soaps valued at Rs 5.20 crores per day now against Rs 4 crores per day earlier. Presently, we are producing around 17 lakh soaps per day, against 13 lakhs earlier.
At our detergents plant, we are producing 10 products including the Mysore Detergent Cake, Mysore Detergent Powder, Point advanced liquid detergent for washing machines, Kleenol and Freshnol.
In the cosmetics division, we are producing body and hand washes with different fragrances, Mysore Sandal Talcum Powder, coconut oil and other cosmetics products.
Any milestones you would like to highlight that have done KS&DL and Karnataka proud?
Mysore Sandal Soap has achieved several significant milestones that highlight its cultural and economic impact on Karnataka.
Record sales achievement: In the financial year 2023-24, KS&DL reported a turnover of Rs 1,570 crores, marking a 14.25 per cent increase from the previous year. This is a new record for the company.
Centenary celebrations: The brand celebrated its 100th anniversary in 2016, reflecting a Century of heritage and commitment to quality, making it a symbol of Karnataka’s rich cultural legacy.
Geographical indication (GI) tag: In 2006, Mysore Sandal Soap received the GI tag, affirming its status as a unique product tied to its geographic origin, which enhances its prestige and marketability.
These milestones not only showcase the brand’s success but also its role in promoting Karnataka’s identity and heritage on the global map.
What’s on your marketing agenda, going forward?
Mysore Sandal Soap’s marketing agenda focuses on several strategic initiatives.
Product diversification: KS&DL plans to launch new soap variants, including Mysore Sandal Wave (with turmeric, cologne and lime) and premium offerings such as Mysore Sandal Millennium Gold, targeting luxury markets in India and abroad.
Market expansion: The company is aiming at increasing its presence in north India, where it currently holds a 2.50 per cent market share, by introducing products catering to local preferences.
Exports growth: KS&DL is actively exploring new international markets, particularly in Europe, West Asia and South America, to boost exports of its premium sandalwood products.
Sustainability initiatives: The company is investing in sustainable practices, including supporting local farmers in sandalwood cultivation and sourcing sandalwood oil from Australia.
New ventures: KS&DL is entering into colour cosmetics, candles, lamp oil and agarbathies, diversifying its portfolio beyond traditional soap products.
These strategies aim at enhancing brand visibility and and significant revenue growth.