Even as the maximum retail price (MRP) of Clinic All Clear and Sunsilk have been revised upwards, the company has managed to drop the price on Organics shampoo which has been relaunched.

The price of Lux shampoo, positioned at the lower and middle-end of the market, is static at Rs 60 for 200 ml, while that of the relaunched Organics at Rs 43 for 90 ml has been reduced from Rs 45. The price of Clinic Plus shampoo remains unchanged, as on today.

A company spokesperson said that the increase in price of shampoos is mainly due to the rise in cost of raw materials. On the strategy adopted to relaunch Organics at a lower price, the spokesperson said that this could be to increase penetration.

Dealers in Mumbai,however, said that Organics was relaunched with a USP of ``reducing hair loss by 50 per cent'' at a lower price mainly to combat ace competitor Procter & Gamble's (P&G) move to relaunch Pantene with an improved formulation.

The New Pantene Pro V priced at Rs 110 for 200 ml commands a 10 per cent premium over its earlier price. At a time when P&G has increased the price of Pantene, HLL has reduced the price on Organics in the relaunch phase to increase volumes, say analysts.

HLL is the leader in the Rs 350-crore shampoo market with a share of 64 per cent. P&G has been losing market share over the last few months. P&G's share in the total (rural plus urban) shampoo market has dropped from 15.6 per cent in terms of value in October to 14.8 per cent in December 1998.

HLL's share during this period has gone up to 64 per cent in volumes from 58.3 per cent and to 64.9 per cent in value terms from 60.2 per cent.Industry observers say that the relaunch of Pantene was prompted by the drop in market share, and therelaunch of Organics at a lower price is a reaction to the `improved' Pantene launch.

HLL's brands -- Clinic and Sunsilk -- command a market share of close to 43 per cent and 20 per cent in the overall shampoo market.