For a well-established brand like Philips, Agarwal believes the only challenge in order to grow is to stay relevant to the consumers.
“We are fortunate to have the heritage that we have, but we are also mindful that we need to build on top of that heritage to continue to stay relevant and loved.”
Another challenge for conglomerates is that today, D2C brands are challenging their price points and quality of product offered. So, how do well-established brands like Philips stay relevant?
Agarwal shared, “Consumers want value; they don't want price. Value is a combination of what you offer and the price you command for it. And to do that, the most important for us is to be very true to consumer insights and not be true to it generically but very locally and viscerally.”
The best way is to create a connected experience that wows the consumer. This means how they discover the brand, how they purchase the product and how they have the opportunity to talk about the brand to share the experience. All of this together forms the connected experience of the consumer.
The past 24 months of Philips have also been focussed on making the consumer experience richer and richer, shared the Philips executive. “When it comes to advertising, we put in a lot of effort with real life creators and real communities. For example, with Avent we interact with mothers where they express themselves and talk about their needs and challenges and get support from fellow mothers in their journey. This helps us make meaningful connections with consumers, which is beyond advertising.”
Speaking of consumer behaviour changes in the personal care category, Agarwal has observed that in the last decade consumers in India have evolved by many folds. This is not only in beauty and grooming but also mother and child care.
For electrical baby care products like a steriliser or a breast pump, the penetration is just five percent but research shows that almost 74 percent of Indian parents want to adopt technologies to take care of their babies.
If you put these two facts together, you realise there lies a massive opportunity for brands to create meaningful innovations and also have meaningful conversations and that's really the growth journey that we want to entertain, expressed Agarwal.
Another example is, almost 75 percent of women in India style their hair but less than a quarter of them own a device.