SEBAPHARMA I

Company Overview It is confident of doing a business of Rs15 crore over

the next three years. Sebapharma has a centralized production system in

Germany, which according to Prashant Tewari, managing director of USV, rules out the possibility of a manufacturing alliance in the near future.

Overview

To date, sebamed is successfully marketed in more than 60 countries worldwide. What started with the sebamed Cleansing Bar has in the meanwhile developed into a large

product portfolio that gathers more than 50 different items - and the range is constantly being extended.

Hold a steady one third of the market of medical skin care. The pioneer of medical skin care is still deciding upon the direction taken by the company.

With great passion and enthusiasm Dr. Maurer works on new concepts for skin protection. The 83 year old does not rest on his laurels, thus is still representing one of the most successful and truly independent entrepreneurs of Germany.

sebamed's product philosophy has been confirmed and documented in over 150 scientific studies: cleansing and care products, which aim to maintain the pH value of 5.5 ensure that the skin remains healthy.

ARENAConcept

Market

Location

Product

ConceptSoap Free Cleansing bar i.e. pH 5.5 directed products

Supports and protects the the skin’s acid mantle which acts against germs,pathogens and fungus

Keeps skin healthy, improving not only its resistance, but also its appearance.

Market scenario: Why

Sebapharma wanted to

enter India?The skincare product market in India is around Rs

2,100 crore and growing at about 16 per centIndia has great potential as it is one of the fastest

growing economies Concentrated on premium classIndian Skincare Market shown the hiding opportunity

for International players.

Product line filling•Limited scope in regular range due to clusters of

products availableBrands like Vichy, L'Oreal and Neutrogena were

already successfulThere was a need for products in the price band 200-

400/- i.e. the premium range customers had less options in premium range hence tremendous opportunity was present in India.

Location:Where to

focus?6 Main Cities like Mumbai, Delhi, Chennai,

Bangalore, Pune, Hyderabad were targeted

• 70 percent of the skin care market, with 90 percent of cosmetologists

The Product With the pH value of 5.5 of healthy

skin Free of preservatives 100% soap and alkali free Mild, thorough cleansing of the pores Panthenol regenerates the skin

Vitamin E smoothes the skin and

prevents the formation of free

radicals Good skin tolerance

VEHICLE

• Sebamed built pH=5.5 as a desired standard.

• Doctors and pharmasicts were also taken into confidence.

• Formulation of product in India.

• Free samples were distributed to high profile personalities.

Distribution Network

Distribution was a major challenge in a geographically diversified country like India

Tie ups with already set up companies would improve

Collaboration with

USVCollaboration terms:

• Marketing Alliance

• Formulation in India• Cheap labour

• Tax benefits

• Distribution Network

• Under the licences of Sebapharma USV produces sebamed product range.

• Keeping GMP as a manufacturing norms.

• It's distribution network for sebhapharma.

About USV:

670 crore Mumbai based company

No.1 company in Diabetes and Cardiovascular disease segments in India

68% percent of its business is contributed by the India operations

US FDA approved and TGA, Australia approved

Differentials USP: pH=5.5 Non OTC product Class One Ingredients Wide range: different skin types Expiry: 6 years Follows GMP:US FDA approved

WIN-WIN situation

CHEMISTS margin=16.8% Distributor's margin=10%

Win win for doctors

Free sample kits were given to doctors Various other incentives given Doctors were convinced about the effectivity of

the product Non OTC product

Smiling Customers

Customers could get home delivery of the product within 24 hrs

Customer's f/b were taken into consideration Unsatisfied customers were given the

replacements

Staging

HIGH PROFILE DOCTORS

LOCAL DERMATOLOGISTS

CHEMISTS

EXCLUSIVE OUTLETS

Overall Strategy

Survey of premium range customers and doctors

Creating awareness about the importance of pH 5.5

Creating a virtual market gap for the need of a product with pH 5.5

Launching a product with pH exactly =5.5