The Indian sunscreen market is currently witnessing a heated battle between two of its major players: Honasa Consumer Ltd., the parent company of popular brands like Mamaearth and The Derma Co., and Hindustan Unilever Ltd. (HUL), the owner of Lakmé. The dispute revolves around a Lakmé Sun Expert sunscreen advertisement that Honasa claims unfairly targets and disparages its Derma Co. brand.
Honasa Consumer initiated legal proceedings in the Delhi High Court, alleging that the Lakmé ad campaign, titled "SPF Lie Detector Test," misleads consumers by suggesting that certain "online bestseller" sunscreens claiming SPF 50 protection actually offer significantly lower protection, closer to SPF 20. While the Lakmé ad doesn't explicitly name any competitors, Honasa argues that the visual cues, including the orange-and-white packaging reminiscent of The Derma Co.'s sunscreen, clearly point to their product. They contend that this disparages The Derma Co.'s brand and misleads consumers about the efficacy of its SPF 50 claims. Advocate Amit Sibal, representing Honasa, described the campaign as a "classic hit and run," targeting digital-first sunscreen brands.
HUL, on the other hand, defended its advertisement, asserting that it is based on in-vivo testing, a globally accepted method for evaluating sunscreen effectiveness. They claim that Lakmé has been conducting SPF efficacy and safety tests for over a decade, grounded in globally accepted scientific protocols. HUL also launched a countersuit in the Bombay High Court, seeking to prevent Honasa from airing advertisements that allegedly criticize Lakmé sunscreen.
Adding fuel to the fire, Ghazal Alagh, co-founder of Honasa Consumer, responded to the Lakmé campaign with a pointed LinkedIn post "welcoming" Lakmé to the "in-vivo tested SPF 50 club," a standard that Derma Co. claims to already meet.
Following a hearing in the Delhi High Court, HUL agreed to modify its Lakmé sunscreen advertisement. The revisions include removing the term "online bestseller" and changing the packaging colors displayed in the campaign. HUL has committed to removing all social media posts related to the sunscreen ad within 24 hours and replacing them with a modified version. Changes to hoardings are expected to be made within 48 hours. In return, Honasa agreed to take down their social media posts referencing the Lakmé campaign. The court permitted HUL to continue with the campaign with some modifications, stating that there is no injunction against the Lakme campaign.
This legal battle highlights the increasing competition within India's burgeoning sun care market, estimated to be worth ₹2,000 crore. The focus is not only on product efficacy but also on the marketing tactics employed by brands to gain an edge. With both companies accusing each other of false and misleading advertising, the dispute underscores the importance of transparency and accountability in the sun care category. The courts are now tasked with determining the veracity of the claims made by both sides and ensuring that consumers are not misled by deceptive advertising practices.
