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Introduction to the Topic

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The origin of Dabur can be traced back to 1884 when Dr. S.K. Burman started

a health care products manufacturing facility in a small Calcutta pharmacy. In

1896, as a result of growing popularity of Dabur products, Dr. Burman set up a

manufacturing plant for mass production of formulations. In early 1900s, Dabur

entered the specialized area of nature based Ayurvedic medicines. In 1919,

Dabur established research laboratories to develop scientific processes and

quality checks. In 1936, Dabur became a full-fledged company with the name

Dabur India (Dr. S.K. Burman) Pvt Ltd. Dabur shifted its operations to Delhi in

1972. Dabur became a Public Limited Company in 1986 and Dabur India

Limited came into existence after reverse merger with Vidogum Limited. In

1992, Dabur entered into a joint venture with Agrolimen of Spain to

manufacture and market confectionary items in India. In 1994, Dabur raised its

first IPO. In 1998, day to day running of the company was handed over to

professionals. In 2000, Dabur achieved a turnover of Rs 1000 crores. In 2005,

Dabur acquired Balsara. Dabur crossed $ 2 billion market cap in 2006. Some

of the well-known brands of Dabur are: Amla Chyawanprash, Hajmola, Lal

Dantmanjan, Nature Care, Pudin Hara, Babool Toothpaste, Hingoli, Dabur

Honey, Lemoneez, Meswak, Odonil, Real, RealActiv and Vatika.

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COMPANY OVERVIEW

Over its 120 years of existence, the Dabur brand has stood for goodness

through a natural lifestyle. An umbrella name for a variety of products, ranging

from hair care to honey, Dabur has consistently ranked among India’s top

brands. Its brands are built on the foundation of trust that a Dabur offering will

never cause one harm.

The trust levels that this brand enjoys are phenomenally high. While Ries and

Trout may ask “What does Dabur stand for—shampoo or digestive tablets?”

The answer is fairly simple, it stands for India’s fourth largest fast moving

consumer goods company that both consumers and trade respect and trust

unequivocally, and which has an annual turnover of over Rs 15 billion.

The company has kept an eye on new generations of customers with a range

of products that cater to a modern lifestyle, while managing not to alienate

earlier generations of loyal customers.

Dabur is an investor friendly brand as its financial performance shows. There is

an abundance of information for its investors and prospective information

including a daily update on the share price (something that very few Indian

brands do). There’s a great sense of responsibility for investors’ funds on view.

This is a direct extension of Dabur’s philosophy of taking care of its constituents

and it adds to the sense of trust for the brand overall.

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COMPANY PROFILE

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COMPANY HISTORY

Dabur India Ltd. made its beginnings with a small pharmacy, but has continued

to learn and grow to a commanding status in the industry. The Company has
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gone a long way in popularizing and making easily available a whole range of

products based on the traditional science of Ayurveda. And it has set very high

standards in developing products and processes that meet stringent quality

norms.

1884 - Established by Dr. S K Burman at Kolkata


1896 - First production unit established at Garhia
1919 - First R&D unit established

Early 1900s – Production of Ayurvedic medicines


Dabur identifies nature-based Ayurvedic medicines as its area of
specialization. It is the first Company to provide health care through
scientifically tested and automated production of formulations based on
our traditional science.
1930 - Automation and up gradation of Ayurvedic products
manufacturing initiated
1936 - Dabur (Dr. S K Burman) Pvt. Ltd. Incorporated

1940 - Personal care through Ayurveda


Dabur introduces Indian consumers to personal care through Ayurveda,
with the launch of Dabur Amla Hair Oil. So popular is the product that it
becomes the largest selling hair oil brand in India.
1949 - Launched Dabur Chyawanprash in tin pack
Widening the popularity and usage of traditional Ayurvedic products
continues. The ancient restorative Chyawanprash is launched in packaged
form, and becomes the first branded Chyawanprash in India.
1957 - Computerization of operations initiated
1970 - Entered Oral Care & Digestives segment
Addressing rural markets where homemade oral care is more popular than
multinational brands, Dabur introduces Lal Dant Manjan. With this a
conveniently packaged herbal toothpowder is made available at affordable
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costs to the masses.

1972 - Shifts base to Delhi from Calcutta


1978 - Launches Hajmola tablet
Dabur continues to make innovative products based on traditional
formulations that can provide holistic care in our daily life. An Ayurvedic
medicine used as a digestive aid is branded and launched as the popular
Hajmola tablet.
1979 - Dabur Research Foundation set up
1979 - Commercial production starts at Sahibabad, the most modern
herbal medicines plant at that time
1984 - Dabur completes 100 years
1988 - Launches pharmaceutical medicines
1989 - Care with fun
The Ayurvedic digestive formulation is converted into a children's fun product
with the launch of Hajmola Candy. In an innovative move, a curative product
is converted to a confectionary item for wider usage.
1994 - Comes out with first public issue
1994 - Enters oncology segment
1994 - Leadership in health care
Dabur establishes its leadership in health care as one of only two companies
worldwide to launch the anti-cancer drug Intaxel (Paclitaxel). Dabur
Research Foundation develops an eco-friendly process to extract the drug
from its plant source
1996 - Enters foods business with the launch of Real Fruit Juice
1996 - Real blitzkrieg
Dabur captures the imagination of young Indian consumers with the launch of
Real Fruit Juices - a new concept in the Indian foods market. The first local
brand of 100% pure natural fruit juices made to international standards, Real
becomes the fastest growing and largest selling brand in the country.
1998 - Burman family hands over management of the company to
professionals

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2000 - The 1,000 crore mark
Dabur establishes its market leadership status by staging a turnover of Rs.1,
000 crores. Across a span of over 100 years, Dabur has grown from a small
beginning based on traditional health care. To a commanding position
amongst an august league of large corporate businesses.

2001 - Super specialty drugs


With the setting up of Dabur Oncology's sterile cytotoxic facility, the Company
gains entry into the highly specialized area of cancer therapy. The state-of-
the-art plant and laboratory in the UK have approval from the MCA of UK.
They follow FDA guidelines for production of drugs specifically for European
and American markets.

2002 - Dabur record sales of Rs 1163.19 crore on a net profit of Rs 64.4


crore

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PRODUCT LINE

Foods

 Real
 Real Activ
 Hommade
 Lemoneez
 Capsico

Health Care

Baby Care

 Dabur Lal Tail


 Dabur Baby Olive Oil
 Dabur Janma Ghunti

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Health Supplements

 Dabur Chyawanprash
 Dabur Glucose D

 Hajmola Yumstick
 Hajmola Mast Masala
 Anardana
 Hajmola
 Hajmola Candy
 Hajmola Candy Fun 2

 Pudin Hara (Liquid and Pearls)


 Pudin Hara G
 Dabur Hingoli

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Natural Cures

 Shilajit Gold
 Nature Care
 Sat Isabgol
 Shilajit
 Ring Ring
 Itch Care
 Backaid
 Shankha Pushpi
 Dabur Balm
 Sarbyna Strong

Personal Care

Hair Care Oil

 Amla Hair Oil


 Amla Lite Hair Oil
 Vatika Hair Oil
 Anmol Sarson Amla
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Hair Care Shampoo

 Anmol Silky Black Shampoo


 Vatika Henna Conditioning Shampoo
 Vatika AntiDandruff Shampoo
 Anmol Natural Shine Shampoo

Oral Care

 Dabur Red Gel


 Dabur Red Toothpaste
 Babool Toothpaste
 Dabur Lal Dant Manjan
 Dabur Binaca Toothbrush

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Skin Care

 Gulabari
 Vatika Fairness Face Pack

Ayurvedic Specialities

 Ayurveda
 Ayurveda Vikas

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FINANCIAL REPORT

INCOME 2007 2006 2005 2004 2003 2002

Sales Turnover 1778.02 1369.6 1268.72 1147.98 1232.3 1163.19


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Excise Duty 36.93 26.89 42.49 65.4 73.37 60.61

Net Sales 1741.09 1342.7 1226.23 1082.58 1158.9 1102.58


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Other income 19.31 22.34 11.97 11.73 9.61 16.74

Stock 22.19 -4.24 7.96 -25.78 -3.58 16.85


Adjustments

Total Income 1782.59 1360.8 1246.16 1068.53 1164.9 1136.17


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EXPENDITURE

Raw Materials 558.4 428.7 447.19 405.32 452.7 466.87

Power & Fuel 30.59 26.28 21.69 17.12 19.84 18.31


Cost

Employee Cost 109.77 91.23 74.99 70.3 89.47 77.46

Other
Manufacturing

Expenses 255.13 153.35 111.91 80.46 74.73 74.23

Selling and Adm 460.52 365.33 368.11 329.47 360.09 350.03


Exp

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Miscellaneous 55.17 56.36 35.5 29.09 32.15 26.13
Expenses

Total 1469.58 1121.2 1059.39 931.76 1028.9 1013.03


Expenditure 5 8

Operating Profit 313.01 239.64 186.77 136.77 135.98 123.14

Interest 6.81 5.73 4.66 7.58 18.4 26.64

Gross Profit 306.2 233.91 182.11 129.19 117.58 96.5

Depreciation 21.98 19.05 17.1 15.75 22.04 20.99

Profit Before 284.22 214.86 165.01 113.44 95.54 75.51


Tax

Tax 31.52 18.08 13 8.75 7.62 4.92

Fringe Benefit 3.28 3.7 0 0 0 0


tax

Deferred Tax -2.66 4 4 3.49 3 5.56

Reported Net 252.08 189.08 148.01 101.2 84.92 65.03


Profit

Extraordinary 8.29 1.94 3.61 2.6 0.58 2.98


Items

Adjusted Net 243.79 187.14 144.4 98.6 84.34 62.05


Profit

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OVERVIEW OF FMCG SECTOR IN INDIA

The Indian FMCG sector is the fourth largest sector in

the economy with a total market size in excess of US$

13.1 billion. It has a strong MNC presence and is

characterised by a well-established distribution network,

intense competition between the organised and unorganised segments and

low operational cost. Availability of key raw materials, cheaper labour costs

and presence across the entire value chain gives India a competitive

advantage.

The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4

billion in 2015. Penetration level as well as per capita consumption in most

product categories like jams, toothpaste, skin care, hair wash etc in India is

low indicating the untapped market potential. Burgeoning Indian population,

particularly the middle class and the rural segments, presents an opportunity

to makers of branded products to convert consumers to branded products.

Growth is also likely to come from consumer 'upgrading' in the matured

product categories. With 200 million people expected to shift to processed and

packaged food by 2010, India needs around US$ 28 billion of investment in

the food-processing industry.


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India is one of the largest emerging markets, with a population of over one

billion. India is one of the largest economies in the world in terms of

purchasing power and has a strong middle class base of 300 million.Around

70 per cent of the total households in India (188 million) resides in the rural

areas. The total number of rural households are expected to rise from 135

million in 2001-02 to 153 million in 2009-10. This presents the largest potential

market in the world. The annual size of the rural FMCG market was estimated

at around US$ 10.5 billion in 2001-02. With growing incomes at both the rural

and the urban level, the market potential is expected to expand further.

Rural and urban potential

Rural-urban profile

Urban Rural

Population 2001-02 (mn household) 53 135

Population 2009-10 (mn household) 69 153

% Distribution (2001-02) 28 72

Market (Towns/Villages) 3,768 627,000

Universe of Outlets (mn) 1 3.3

Source: Statistical Outline of India (2001-02), NCAER

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An average Indian spends around 40 per cent of his income on grocery and 8
per cent on personal care products. The large share of fast moving consumer
goods (FMCG) in total individual spending along with the large population base
is another factor that makes India one of the largest FMCG markets.

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Rapid urbanisation, increased literacy and rising per capita income, have all
caused rapid growth and change in demand patterns, leading to an explosion
of new opportunities. Around 45 per cent of the population in India is below 20
years of age and the young population is set to rise further. Aspiration levels in
this age group have been fuelled by greater media exposure, unleashing a
latent demand with more money and a new mindset.

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OVERVIEW OF THE HAIR OIL SEGMENT

In the last quarter of the previous century Indian women have imbibed global

mores, ethics, fashions and styles in a remarkable way. Yet the popular

iconography of Indian beauty still associates them with beautiful fair skin and

dark, long lustrous hair – a commonly accepted definition of beauty in Indian

society.

Across the country, mothers spend endless hours teaching their daughters

what their mothers had taught them about maintenance of their natural

beauty – taken primarily as caring for the skin and hair. In the hair care

regime, of the numerous prescriptions none is more universally accepted

than the oiling of hair for nourishment and use of home-made concoctions of

henna and shikakai paste for conditioning them.

It would come as a surprise to only a few that hair oils have a penetration of

almost 98% (Source: IRS 2003). Of the branded market, hair oils form a

major chunk accounting for Rs. 13 billion with coconut hair oils as the prime

segment at Rs. 9.1 billion. (Source: ACNielsen ORG-MARG 2003).

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OVERVIEW OF VATIKA

The Vatika brand was launched in 1995 with Vatika

Hair Oil as its first product. In the very first year of its launch it crossed Rs.

100 million in turnover. Over the years, Vatika has come to be amongst the

company’s highest selling brands.

It was joined in 1997 by Vatika Henna Cream Conditioning Shampoo and

later, in 2000, by Vatika Anti-Dandruff Shampoo. In 2003, brand sales

crossed Rs. 1,000 million. From the company’s perspective, Vatika is

expected to continue to drive its growth in the years to come. With its

innovative offerings, the brand aims to become a frontrunner in the market

for hair care and skin care products.

Vatika is a comparatively young brand but is already acknowledged for the

qualitatively influential and pioneering role that it has played in the evolution

of the categories it has had a presence in. Currently, the total annual sales

of Vatika products are over Rs. 1,000 million. Of this, Vatika Hair Oil enjoys

a 6.4% market share in the coconut hair oil category (Source: ACNielsen

ORG-MARG, 2003).

Vatika has not just been successful in garnering a premium image but,

today, stands as the preferred and trusted brand of 11.1 million users

(Source: IRS Household Data).

PRODUCT

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Dabur Chyawanprash is the leader in the Chyawanprash

category and enjoys a market share of 61 per cent. In 50s Dabur

pioneered the concept of branded Chyawanprash and since has

invested heavily in product development, clinical studies and

consumer awareness. The product is essentially a health supplement.

Known as the “elixir of life”, Chyawanprash has (clinically) proven benefits in

maintaining smooth body functioning. The principal ingredient Amla (Indian

Gooseberry) acts as an anti-oxidant and immuno-stimulant. Dabur

Chyawanprash helps in stimulating immune system, relieving stress, improving

stamina, fighting aging through anti-oxidant property, improving lung function,

fighting respiratory infections & building resistance to disease. It is these

properties that make Dabur Chyawanprash a preferred choice for its users.

Ingredients of Dabur Chyawanprash

 Vishwast

Amla, Ashwagandha, Hareetaki, Dashmul, Ghrit and several

other herbs and herbal extracts.

 Special

Vishwast fortified with additional health beneficial herbs like 

Keshar, Akarkara etc.

PACKAGING
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The figure above shows the evolution of the packaging of Dabur

Chyawanprash.

Dabur continuously innovates the package and branding of its chayawanprash.

It launched Dabur Chyawanprash first in 1949 in a tin pack and it was the first

branded Chyawanprash in India. Later Dabur came out with its new packet of

Chyawanprash with Amitabh Bachchan as their brand ambassador. It also

received “Brand Relaunch of the Year “award from IMA.

Available in

Dabur Chyawanprash is available in three sizes to cater to the needs of

different types of people.

1. One kilogram pack

2. 500 gram pack

3. 250 gram pack

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Research Methodology

Research Plan

Data source : Primary data and secondary data


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Research approach : Observation & Survey

Research instrument : Questionnaire for consumers, retailers &

dealers

Sampling Plan : Sampling unit Sample size 100, Sampling

procedure random

Contact method : Personal

Field work plan : Survey place & time

Research & common platform, refer to a knowledge. Another definition of

research & a careful investigation or enquiry specially through search for new

fact in any brand of knowledge.

Before embarking upon the research plan the research objective were

specified. The clarity of the objective was helpful in carrying forth the project

plan with core & with encumbrance.

Methodology used in survey

Data collection : A structure from which is primary. In this sources of

information was used in this research was designed in order to find out the

various record information & also to fulfill the objectives of the project.

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All form filled by myself taking a part of on English. Some question were framed

in the forms in directly so as to gather the information which …. Would have

been asked directly might have offered the retailers so that this had to be frame

indirectly.

Sample Selection : Area of study: I choose the routes to know the market

conditions of the DABUR that what are the real position of DABUR in the

market. The choosen route are given below

h Design

Methodology Adopted

As the purpose of the project report is to analyse the consumable products

successfully launched in the last three years.

The data was collected both with the help of primary as well as secondary

sources.

For primary data, I proceeded with the drafting of the questionnaire for

consumers was structured as undisguised, & Personal -interview retailers.

Distributors & wholesalers and it was handed personally by me to the

respondents to be analysed.

The questionnaire method was used-


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a) To get first and relevant and unbiased information

b) Questionnaire provides versatility and solutions can be obtained by just

asking the questions.

c) Questioning is usually faster and cheaper.

d) Moreover, there is more control over data gathering activities.

Secondary data was also collected personally by me, which the company has

furnished for the general public. The secondary data was gathered with the

help of various magazines, newspapers, journals, brochures and also through

the internet. For secondary sources no field work was employed.

In order to amplify the empirical findings from primary and secondary sources,

a survey was conducted both of consumers and retailers Distributor &

Wholesalers in order to gauge the market opinion.

The questionnaire was of multiple choice and the pattern of questions was as

simple as possible. With every question, multiple choices were given and

respondents were asked to select one of them. The questionnaire technique

was structured and not disguised as the questions followed one pattern and

reason behind the questionnaire was stated properly. All the questions were

directly related to the subject.

For Dabor Chyawanprash and Vatika hair oil.

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1) Sample size for customers were 150 in number and the universe

comprised of all the consumers within the geographical region of Delhi.

2) Sample size for retailers were 40 in number and the universe comprised

of all the consumers within the geographical region or Delhi.

3) Sample size for Distributor & Wholesaler were four in number & the

universe comprised of all the consumers within the geographical region

of Delhi.

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SWOT ANALYSIS OF DABUR

STRENGTHS

 Strong presence in well defined niches( like value added Hair Oil and

Ayurveda specialities)

 Core knowledge of Ayurveda as competitive advantage

 Strong Brand Image

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 Product Development Strength

 Strong Distribution Network

 Extensive Supply Chain

 IT Initiatives

 R & D – a key strength.

WEAKNESS

 Seasonal Demand( like chyawanprash in winter and Vatika not in winter)

 Low Penetration(Chyawanprash)

 High price(Vatika)

 Limited differentiation (Vatika)

 Unbranded players account for the 2/3rd of the total market(Vatika)

OPPORTUNITIES

 Untapped Market(Chyawanprash)

 Market Development

 Export opportunities.

 Innovation

 Increasing income level of the middle class

 Creating additional consumption pattern


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THREATS

 Existing Competition( like Himani, baidyanath and Zandu for Dabur

Chyawanprash and Marico,Keo Karpin, HLL and Bajaj for Vatika Hair

Oil)

 New Entrants

 Threat from substitutes (like Bryllcream for Vatika hair oil)

STP ANALYSIS OF VATIKA HAIR OIL

SEGMENTATION

Vatika Hair Oil was launched at an almost 100% premium to the market

leader. This meant that the segment of the market that dabur wanted to

cater to was the premium segment which valued nourishment of the hair

above the price and it tried to attend to that segment which was not price

sensitive.

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TARGETING

This was in line with its proposition and overall brand strategy of a premium

up-market product targeted for individual needs as opposed to the

collectivist culture of the category. It targeted the high income urban

category of hair oil users. Since the product was expensive it could mainly

cater to the urban market as opposed to the rural market where consumers

are highly price sensitive. Being positioned as having amla, henna and

lemon extracts, the product was targeted towards the young, contemporary,

educated, multi-faceted, achievement-driven and confident women who

were positioned as the Vatika Woman.

POSITIONING

‘Total hair Care’ brand’

The product innovation was fed by the vital consumer insight that many

women in contemporary India are worried about hair problems caused by

urban pollution, frequent change of diet due to geographical mobility and

other factors. Beset by modern-day hair problems, they are far more

inclined to rely on home-grown remedies. By offering hair oil that

combined the benefits of natural products in a single pack, Vatika created

a niche for itself as the ‘total hair care’ brand.

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“Natural” offering

Vatika is a brand that espouses traditional wisdom about health in a

modern format. It believes that nature has perennial answers to day-to-

day health issues, particularly when it comes to hair care and skin care. In

a world where modern living causes untold stress the Vatika brand holds

out the promise of providing natural ingredients that rejuvenate and

safeguard the human body in an extraordinary way. This concept is put to

work through contemporary, modern products, offered by Vatika.

The Vatika woman

The Vatika woman is young, contemporary, educated, multi-faceted,

achievement-driven and confident. It is in the Vatika brand that she sees

a true reflection of her own personal ideals.Through creation of the

concept of Vatika woman,it has tried to carve out a new positioning in the

minds of the new age woman.

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MARKETING MIX OF VATIKA HAIR OIL

Vatika Hair Oil has made a huge impact with its innovative product offering,

pricing strategy, easy availability and promotion campaigns. In the marketing

mix of Dabur, we shall be discussing the 4 Ps of marketing mix with respect to

Vatika Hair Oil. The mix shall be analyzed as followed:

 Product

 Price

 Place

 Promotion

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Product Price Promotion Place

• Product • List Price • Advertising & • Channels

Variety • Discount Promotion • Location

• Quality • Financing • Public • Inventory

• Design Schemes Relations

• Features • Credit • Sponsorships

• Brand Terms • Internet

Names Marketing

• Services

PRODUCT

Brand Name: Vatika in Hindi means ‘garden’. The

brand attempts to live up to the promises – beauty

and nature – that are associated with its very name.

Starting with these associations Vatika has

assiduously built a brand that delivers on all these

values through its various product offerings, the

mother brand being Vatika Hair Oil..

Innovative product offering:. Vatika Hair Oil is

coconut hair oil with special ingredients adding value to the product.

While coconut oil has been regularly used by Indian women as a basic

hair nutrient, a combination of herbs and natural products such as henna,

amla and lemon have been used for special hair needs.
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Coconut hair oil provides nourishment to the hair, while henna along

with other herbs coat the hair and protect it from oxidation, thereby

maintaining its natural colour. Amla strengthens hair roots and helps

maintain their natural health and thickness. Lemon with its astringent

action controls sebum flow and helps in prevention of dandruff.

Apart from henna, amla and lemon, it also contains other natural

ingredients like brahmi, neem, bahera, kapur, kachari, harar, dugdha

and sugandhit dravyas.

Packaging: The qualities of Vatika products, ascribed to the brand by

hundreds of thousands of satisfied consumers, have been further

underlined by its attractive packaging. In a category dominated by blue

packs as analogous of pure coconut oils, Vatika broke the norm with its

white and green bottle with a mushroom cap.The green-and-white

colours, used in its packaging, reflect the brands’ natural ancestry and

give it a premium look. These also help Vatika stand out in the cluttered

environment of Indian retail.

Available in

Bottles 75 ml, 150 ml, 300 ml

Flip cans 150 ml, 300 ml

Flip cans were introduced for the winter season.

Quality Vatika products contain natural ingredients that have been blended

together through scientific processes at Dabur’s in-house research laboratories.

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Dabur Research Foundation has more than 100 scientists working together to

make superior quality products that match international standards.

PRICE

In the traditional coconut hair oil category, which presumably had price

sensitive consumers, Vatika Hair Oil with its value added proposition –

henna, amla and lemon in a pure coconut oil – broke this myth when it

launched at almost a 100% premium to the market leader; even with

such a pricing strategy it was able to garner a significant share from the

leader in the very first year of its launch.

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The table above shows that Dabur Vatika is one of the highest priced of

hair oils since it targets the higher income class and also that the prices

have remain unchanged since 1999.

PRICE/QUALITY MATRIX

Price→

Quality High Middle Low


Luxury Ideal For Premiere

High Segment Penetration Offering

VATIKA
Overpriced Average Real
Middle Bargain

Make The Unhappy Cheap


Low Sale and Customers Goods
Run

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PLACE

Vatika products including Vatika Hair Oil are sold in 38 countries through

more than 15 lakh retail outlets and 5,000 distributors who service the entire

country through a wide marketing network.

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Dabur’s distribution network extends beyond India in the following countries as

well:

Distribution Network

 Central, North & South America

 Australia

 Asia

 Middle East

 North & South Africa

 East & West Europe

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PROMOTION

Vatika – the key focus brand of the company – has always been well

supported. The company realised early that, from the perspective of

brand building, it was vital to invest in this brand.

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Vatika Hair Oil’s first promotion: It focussed on the key benefit –

beautiful hair without hair problems – that came about as a result of

the extra nourishment through the value addition of henna, amla and

lemon-derived additives.

Creating conceptual awareness: In the initial phase of the

communication, the marketing objective was to create conceptual

awareness about the new product – the goodness of coconut oil

enriched with natural herbs. Vatika was firmly established as the

leader in the new category of value-added hair oils and its promotion

campaign was so successful that the product segment itself came to

be identified with Vatika.

In 1997, the company created a new promotion campaign which

reinforced the obvious fact that most coconut oil brands were not

equipped to combat the effects of pollution, hard water and chemicals

– the major causes of hair ailments and hair deterioration.

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ADVERTISING

“Advertising is some form of paid-for method of communicating with the

target audience to inform, educate, reinforce or persuade, leading to

mutually satisfactory exchange”

Nothing can happen without establishing the brand’s heritage

emphasizing technological prowess, explaining benefits and building

bonds with prospective buyers. Ads are necessary because the images

are still mouldable and fluid and the consumer’s sophistication level is

low.

Vatika Hair Oil uses a number of advertising media like television, print,

internet, outdoor media which includes hoardings.

Events: In a series of other promotional activities, Vatika has been

associated with shows and sponsored events such as the Vatika Super

Model India 2001 and Vatika Zee Sangeet Awards. It has also had a

strong association, since its inception, with Mover’s and Shakers’ – the

popular TV show.

47
Celebrity Endorsements: The

idea of using an extraordinary hair oil

that offered extra nourishment was

communicated through campaigns featuring

icons such as Mandira Bedi, Shefali Chhaya

and Sudha Chandran– all modern,

young women perceived to have that

extra edge in their personality.A number

of commercials over the years have featured personalities like Aditi

Govitrikar, Preeti Jhangiani and Shweta Jaishankar.To infuse the values of

youthfulness and natural beauty, Rani Mukherjee is the current brand

ambassador

48
CUSTOMER SURVEY RESULTS

DABUR VATIKA

AWARNESS LEVEL

40

35

30

25

20
PERCENT AG E
15

10

0
PARAC HUTE KEO K ARPIN NIHA R HAIR AND VATIKA
CARE

PREFERRED BRAND

49
40

35

30

25

20
PERCENTAG E
15

10

0
PARACHU TE KEO KARPIN NIHAR HAIR AND VATIK A
CARE

SATISFACTION LEVEL

3.5

2.5

1.5
RATING(1-LOW 5-HIGH)

0.5

0
PARACHUTE KEO KARPIN NIHAR HAIR AND VATIKA
CARE

REASON TO BUY THE PREFFERED BRAND

50
45
40
35
30
25
20
PERCENTAGE
15
10
5
0
NON STICKY BRAND FRAGRANCE PRICE
LOYALTY

HOW DID YOU COME TO KNOW ABOUT THIS BRAND.

80

70

60

50

40 PERC ENTAG
E
30

20

10

0
TV INTERNET WOM PRINT

51
UNAVAILABILITY OF PREFERRED BRAND

45
40
35
30 PERCENTAGE

25
20
15
10
5
0
PURCHASE ANOTHER WAIT BUY SUBSTITUTE WHATEVER OFFERED
BRAND BY RETAILER

PREFERRED PACK SIZE

60

50

40

30 PERCENTAG
E

20

10

0
75ml 150 ml 300 ml

REASON TO SELECT PREFERRED PACK SIZE

52
40

35

30

25

20 PERCENTAGE

15

10

0
AVAILABILITY PRICE FAMILY SIZE STORAGE

FREQUENCY OF PURCHASE

70

60

50

40
PERCENTAG
E
30

20

10

0
15 DAYS ONE MONTH TWO MONTHS

53
RETAIL SURVEY RESULTS

DABUR VATIKA

1) Which brands of Hair Oil do you stock?

80

70

60

50
PERCENTAGE
40

30

20

10

0
mar i co hl l kar r pi keo kar pi n vati ka

54
2) .Out of these which are the most preferred?

50

45

40
PERCENTAGE
35

30

25

20

15

10

0
mari co hll karrpikeo karpi n vatika

3) According to you what are the reasons for customers’ preferences?

50
45
40
35
30
25
PERCENTAGE
20
15
10
5
0
brand loyalty price availability no reason

4) What is the profile of your typical consumer?

55
50
45
40
35
30
25
PERCE NTAGE
20
15
10
5
0
high income middle income low income

5) What schemes are you offered by the companies?

40

35

30

25

20 PERCENTAG
E
15

10

0
price discount buy one get one others

6) What schemes does a consumer prefer most?

56
60

50

40

30 PERCENTAG
E

20

10

0
price discount buy one get one others

7) According to you, does in-store advertising have an affect on the


consumers’ preference?

60

50

40

PERCENTAG
30 E

20

10

0
yes no

8) Does a change in price affect their preferences

57
60

50

40

30 PERCENTAGE

20

10

0
yes no

STP ANALYSIS OF DABUR CHYAWANPRASH

SEGMENTATION

Dabur Chyawanprash is the market leader in the Chyawanprash segment. It

comes under the category of health supplements. The segments that it

considers are growing kids, competitive youth, ever busy housewives and the

aged.

For the growing kids: In today's competitive environment, the children are

under high pressure to excel.

58
For the competitive youth: Modern life keeps the youth busy and demands

them to be active and efficient.

For ever-busy housewives: The 'homemaker' needs to be fit in order to

shoulder all responsibilities.

For the aged: Old age weakens a person physically and mentally.

After segmenting the population into these categories it aims to keep them fit

and healthy.

TARGETING

Traditionally, chyawanprash was supposed to be a health supplement for the

aged and kids. Dabur Chyawanprash (DCP) is now targeting adults,

housewives, youth and kids .This it is trying to achieve through its promotion

activities by making Amitabh Bacchan and Vivek Oberoi do the endorsement

act. Amitabh has been projected as a user of Chyawanprash attempting to

establish the relevance of DCP amongst the adults in today’s demanding

lifestyle. Vivek, who represents an urban ambitious non-user with a mindset

that Chyawanprash is not for him, meets his moment of truth when

outperformed by a young Chyawanprash user, thus reaching out to kids. His

59
final conversion from a non-user to a Chyawanprash user connects with the

Youth. These two ads compliment each other and connect very well with the

targeted consumers

POSITIONING

"Andar se strong”: Dabur chyawanprash has the tag line "Andar se strong”

By using a natural language instead of scientific language it is able to connect

with the consumers and is able to achieve a better positioning in the minds of

the Indian health conscious consumer. A category like Chyawanprash for

instance needs to understand that in employing the category language it loses

any chance of expressing its own benefit distinctively.

60
Holistic Health benefit of Ayurveda: Dabur Chyawanprash helps in

stimulating immune system, relieving stress, improving stamina, fighting aging

through anti-oxidant property, improving lung function, fighting respiratory

infections & building resistance to disease. The brand conveys this health

conscious holistic view of the product.

Brand Trust: Over 100 years of Dabur’s experience in Ayurveda ensures

selection, processing and quality control of right herbs along with scientific and

clinical studies – makes DCP a trustworthy offering for consumers. Consumers

view DCP as a product by a trusted brand and therefore do not need to think

twice before making a purchasing decision.

61
MARKETING MIX OF DABUR CHYAWANPRASH

Dabur Chyawanprash is the market leader in the chyawanprash segment and

has achieved this with its innovative product offering, pricing strategy, easy

availability and promotion campaigns. In the marketing mix of Dabur, we shall

be discussing the 4 Ps of marketing mix with respect to Dabur Chyawanprash.

The mix shall be analyzed as followed:

 Product

 Price

 Place

 Promotion

Product Price Promotion Place

• Product • List Price • Advertising & • Channels

Variety • Discount Promotion • Location

• Quality • Financing • Public • Inventory

• Design Schemes Relations

• Features • Credit • Sponsorships

• Brand Terms • Internet

Names Marketing

62
• Services

PRODUCT

Dabur Chyawanprash is the leader in the Chyawanprash

category and enjoys a market share of 61 per cent. In 50s Dabur

pioneered the concept of branded Chyawanprash and since has

invested heavily in product development, clinical studies and

consumer awareness. The product is essentially a health supplement.

Known as the “elixir of life”, Chyawanprash has (clinically) proven benefits in

maintaining smooth body functioning. The principal ingredient Amla (Indian

Gooseberry) acts as an anti-oxidant and immuno-stimulant. Dabur

Chyawanprash helps in stimulating immune system, relieving stress, improving

stamina, fighting aging through anti-oxidant property, improving lung function,

63
fighting respiratory infections & building resistance to disease. It is these

properties that make Dabur Chyawanprash a preferred choice for its users.

Ingredients of Dabur Chyawanprash

 Vishwast
Amla, Ashwagandha, Hareetaki, Dashmul, Ghrit and several
other herbs and herbal extracts.

 Special
Vishwast fortified with additional health beneficial herbs like 
Keshar, Akarkara etc.

Packaging

The figure above shows the evolution of the packaging of Dabur


Chyawanprash.

Dabur continuously innovates the package and branding of its chayawanprash.

It launched Dabur Chyawanprash first in 1949 in a tin pack and it was the first

branded Chyawanprash in India. Later Dabur came out with its new packet of

Chyawanprash with Amitabh Bachchan as their brand ambassador. It also

received “Brand Relaunch of the Year “award from IMA.

64
Available in

Dabur Chyawanprash is available in three sizes to cater to the needs of

different types of people.

1. One kilogram pack

2. 500 gram pack

3. 250 gram pack

PRICE

The pricing of Dabur chyawanprash is very competitive. Dabur chyawanprash

uses second degree price discrimination i.e more the quantity, lower the price.

1kg Rs.175.00

500gms Rs.100.00

250gms Rs.

55.00

65
PRICE/QUALITY MATRIX

Price


High Middle Low
Quality


Luxury Ideal For Premiere

Segment Penetration Offering

High DABUR

CHYAWANPRAS

H
Overprice Average Real
Middle
d Bargain

Low Make The Unhappy Cheap

Sale and Customers Goods


66
Run

PLACE

Dabur has a very wide distribution of its products through 1.6 million retail

outlets and 50 C & F agents all over India who distribute products to the

retailers. A distribution of C & F agents and manufacturing locations is given

below.

67
Dabur’s distribution network extends beyond India in the following countries as

well:

Distribution Network

 Central, North & South America

 Australia

 Asia

 Middle East

 North & South Africa

 East & West Europe

68
PROMOTION

The main form of promotional activities of Dabur chyawanprash are

concentrated towards advertising and it has neglible sales promotional

activities.

Advertising

Nothing can happen without establishing the brand’s heritage emphasizing

technological prowess, explaining benefits and building bonds with prospective

buyers. Ads are necessary because the images are still mouldable and fluid

and the consumer’s sophistication level is low. Dabur chyawanprash is

advertised on print media as well as on television.

The company has launched two ads, one each with Amitabh and Vivek, in

national electronic media followed by a series of print media campaign directed

towards creating awareness to educate people about the holistic benefits of

69
Chyawanprash.The ads have been created by McCann Ericsson and the

company would be spending close to Rs 10 crore in promotional campaign this

year. The ads would also be translated in Bengali. These advertisements are

supposed to target the old and the younger generation respectively.

Advertisement showing Vivek Oberoi

A little boy suggests his brother To which the brother replies,


to have Dabur Chyawanprash “Mujhe iski kya zaroorat?

everyday.

70
The boy asserts, “Zaroorat The big brother follows him but

hai!” and starts running. is unable to catch him using every way.

Running with super energy the boy ...the big brother also dives in the

dives into the river. Not to be left behind... river but ultimately stops when he

get tired

71
With no option left he agrees The ad ends on the big brother

with his younger brother, “maan promising to have a spoon of the

gaye guru, tere Dabur chyawanprash everyday. But Our

Chyawanprash ko” younger one insists on two spoons.

COMPETITOR ANALYSIS

The key competitor’s of Dabur in the Chyawanprash segment are Baidyanath,

Zandu and Himani, which together with Dabur have about 85% of India's

domestic market.

Dabur is India's largest Ayurvedic medicine supplier and the fourth largest

producer of FMCG. It was established in 1884, and had grown to a business

level in 2003 of about 650 million dollars per year, though only a fraction of that

is involved with Ayurvedic medicine. Dabur Chyawanprash (herbal honey) has

a market share of 61%.

We have tried to analyse the competition for Dabur in the Chyawanprash

segment as follows:

72
Sri Baidyanath Ayurvedic Bhawan Ltd. (Baidyanath for short) was founded

in 1917 in Calcutta, and specializes in Ayurvedic medicines, though it has

recently expanded into the FMCG sector with cosmetic and hair care products;

one of its international products is Shikakai (soap pod) Shampoo.Its

Chyawanprash has a market share of 10%.

Zandu Pharmaceutical Works was incorporated in Bombay in 1919, named

after an 18th-century Ayurvedic. The company focuses primarily on Ayurvedic

products (in 1930, pharmaceuticals were added, but the pharmaceutical

division was separated off about 30 years later).

73
The Emami Group, founded in 1974, provides a diverse range of products,

doing 110 million dollars of business annually, though only a portion is involved

with Ayurvedic products, through its Himani line; the company is mainly

involved with toiletries and cosmetics, but also provides Chyawanprash and

other health products.Its market share is 12%.

CUSTOMER SURVEY RESULTS

DABUR CHYAWANPRASH

AWARNESS LEVEL

100

90

80

70
PERCENTAG
E
60

50

40

30

20

10

0
ZANDU HIMANI BAIDYANATH DABUR

PREFERRED BRAND

74
60

50

40

30 PERCENTA
GE

20

10

0
ZANDU HIMANI BAIDYANATH DABUR

SATISFACTION LEVEL

4.5

3.5
RATING(1-LOW 5-HIGH)
3

2.5

1.5

0.5

0
ZANDU HIMANI BAIDYANATH DABUR

REASONS FOR SELECTING A PARTICULAR BRAND

75
70

60

50

40

30 PERCENTAGE

20

10

0
HEALTH BRAND TASTE PRICE
LOYALTY

HOW DID YOU COME TO KNOW ABOUT THIS BRAND

80

70

60

50

40 PERC ENTAG
E
30

20

10

0
TV INTERNET WOM PRINT

UNAVAILABILITY OF PREFERRED BRAND

76
40

35

30

25 PERCENTAGE

20

15

10

0
PURCHASE ANOTHER WAIT BUY SUBSTITUTE WHATEVER OFFERED
BRAND BY RETAILER

PREFERRED PACK SIZE

50
45
40
35
30
25 PERCENTAG
E
20
15
10
5
0
1 Kg 500 gm 250 gm

REASON TO SELECT PREFERRED PACK SIZE

77
40

35

30

25

20 PERCENTAGE

15

10

0
AVAILABILITY PRICE FAMILY SIZE STORAGE

FREQUENCY OF PURCHARE

60

50

40

30 PERCENTAG
E

20

10

0
ONE MONTH TWO MONTHS SIX MONTHS

78
RETAILER SURVEY RESULTS

DABUR CHYAWANPRASH

1) Which brands of Chyawanprash do you stock?

100

90

80 PERCENTA
GE
70

60

50

40

30

20

10

0
ZANDU HIMANI BAIDYANATH DABUR

2) Out of these which are the most preferred?

80

70

60

50

40
RATING(1-LOW 5-HIGH)
30

20

10

0
ZANDU HIMANI BAIDYANATH DABUR

79
3) According to you what are the reasons for customers’ preferences?

60

50

40

30
PERCENTAGE

20

10

0
brand loyalty price availability no reason

4) What is the profile of your typical consumer?

70

60

50

40
PERC ENTAG
E
30

20

10

0
high incom e middle income low income

5) What schemes are you offered by the companies?

80
60

50
PERCENTAGE
40

30

20

10

0
price discount buy one get one others

6) What schemes does a consumer prefer most?

70

60

50

40
PERCENTAG
E
30

20

10

0
price discount buy one get one others

7) According to you, does in-store advertising have an affect on the


consumers’ preference?

81
70

60

50

40
PERCENTAGE
30

20

10

0
yes no

8) .Does a change in price affect their preferences?

60
PERCENTAG E
50

40

30

20

10

0
yes no

DISTRIBUTION

Supply chain: Dabur has steadily improved its procurement and distribution

systems to achieve a significant reduction in material costs. Dabur has an


82
extensive supply chain and distribution network that has grown and spans 29

factories, 47 stocking points, 4 zonal offices, a dozen manufacturing

locations, six mother-warehouses and over 50 Carrying and Forwarding

Agents(CFAs) that distribute more than 1,000 SKU’s to several thousand

stockists and dealers.

MIS: An in-house developed, easy-to-use, Intranet based data-warehouse

displays as-of-yesterday sales, stock, receivables, banking, and other MIS.

Over 5,000 ASP pages meet almost all reporting requirements and make this a

single source of MIS for all levels of decision makers.

VSATs: This Success paved the ground for the company's supply chain

initiative. Fifty-five Ku Band TDMA VSATs were used to link primary

distributors to the system. Factories were hooked up using PAMA (Permanent

Assigned Multiple Access) VSATs. At some locations VPNs had to be used

because it was not possible to set up a dish.The integrated primary and

secondary system has a number of unique features. The features like tight

integration of schemes, stockists credit limit control, automated banking of

cheques, and online cheque reconciliation have obvious advantages in the

primary distribution. These are basically extensions to the MFG/PRO ERP

system and not core customizations. The integrated system allows each Area

Manager to plan for the month's sales forecasts, stockists performance, and

sales officers' performance.The integration allows better control on pipelines in

primaries and secondaries, brings down inventories, and offers better control

on production and sales against a confirmed forecast. The idea is to

increasingly shift focus from primaries to secondaries. Schemes based on

83
secondary volumes will help control secondary pipelines and sales. Primary

sales will therefore come from a resultant 'pull' from secondary replenishments.

Further, sales order servicing can be improved by taking orders through the

Internet, and by setting stocking norms and replenishing stocks to improve ROI

of stock holders.

ANSOFF’S PRODUCT MARKET EXPANSION GRID

MARKET PENETRATION: The new campaigns, featuring Amitabh Bachchan

and, for the first time, Vivek Oberoi, makes an aggressive attempt to establish

the relevance of Chyawanprash in an increasingly tough and demanding

lifestyle, for the entire family. As a market leader, Dabur’s focus has been to

increase the relevance of this time-tested and proven product in the family -
84
both for users and non users - and increase penetration. In their new campaign

they have tried to establish the fact that Chyawanprash, with its ‘well - being’

properties, gives an edge to the users and dispel the myth that it should be

consumed in illness or is meant only for Children or the aged.

MARKET DEVELOPMENT: Dabur has identified exports as a major thrust

area for the future. An international business division has been set up within the

company to promote exports and it expect this business to grow steadily in the

coming years. The company plans to focus on Russia and CIS countries

along with Afghanistan, West Indies and the Asia Pacific region. It has also

entered the North American markets by appointing distributors and initiating

marketing of products to the ethnic Indian segment. The company has already

been exporting hair oils, shampoos and Hajmola candies to Afghanistan. In

Bangladesh, Dabur is entering into a joint venture with a local partner to

manufacture and market its products. Dabur will hold a majority stake in this

joint venture.

PRODUCT DEVELOPMENT:

Dabur India Ltd (DIL),buoyed by a bottom-line growth of 84 per cent in the first

quarter this fiscal, would be investing significantly in the launch of several new

products including Dabur Herbal Toothpaste and Vatika Henna

Conditioning hair packs over the coming months.

85
The Vice-President-Sales, Mr S. Raghunandan, said, "The FMCG industry

cannot be defined only by the performance of large players. Smaller companies

are now dictating terms and defining the market. DIL will launch new products

backed by adequate research."

DIVERSIFICATION: Diversification across product segments and markets is

one of the key factors in favour of Dabur India. In 2001-02, Dabur India had

three major revenue contributors — FMCG products, pharmaceuticals and

ayurvedic specialties, accounting for 76 per cent, 14 per cent and 7 per cent

respectively, of its revenues. Dabur's FMCG product basket includes such

strong brands as Dabur Chyawanprash, Vatika hair products, Hajmola

digestive candy, Pudin Hara, Dabur Lal Dant Manjan and Dabur Lal Tail

massage oil. In pharmaceuticals, Dabur India markets branded as well as bulk

formulations, both in the domestic and export markets; oncologicals is a key

focus area. Dabur's anticancer molecule DRF 7295 is currently in Phase I

clinical trials on humans.

In a bid to diversify its product portfolio, Dabur India Ltd (DIL) has entered the

toilet soap market besides expanding its over-the-counter (OTC) medicine

range with 10 new additions over the next few months. The company has

begun test marketing toilet soaps under the brand name Vatika in West

Bengal. There is a single variant, containing saffron and honey, right now and

Dabur is positioning it on the herbal platform. Manufacturing of the soaps

category is being outsourced at present

86
Besides diversifying its product portfolio under the Consumer Care Division

(CCD) with a foray into soaps, DIL has also decided to enhance focus on the

Consumer Healthcare Division (CHD) this fiscal. The newly created CHD

division within DIL deals in prescription-based Ayurvedic medicines and over-

the-counter (OTC) products. Traditionally a business with low growth

prospects, CHD closed 2004-05 at Rs 107.8 crore.

Some of the existing OTC products of DIL include cough and cold formulation

Honitus, isabgol called Naturecure, and memory enhancer Shankhpushpi .

The company plans to launch other products under its own brand name in

Russia and has already launched Dabur Boro Glow.

87
88
Findings

THE NEW DABUR ENTITY

The New Dabur Identity modernizes the 100-year old equity of the Dabur brand

by subtly transforming the tree. While it retains the essence of the banyan tree,

it now projects a contemporary image, in consonance with today's lifestyle.

The tree, a symbol of nature, is indelibly regarded as a provider of shelter, food

and protection. On a metaphysical plane, the tree is regarded as sacred,

trustworthy and a symbol of fertility. The new Dabur identity retains these

enduring and valuable attributes, while it adds a fresh, healthy and holistic

dimension to the tree.

The new identity appropriates nature as the wellspring for Dabur. It conveys

Dabur's heritage, commitment and stability through the form and colours of the

tree; its branches and leaves. It also conveys that the brand stands for wellness

across age groups. Taken as a whole, the tree appears well rooted, implying

89
stability; and its abundant canopy implies that it can provide amply for those

who seek its produce and shade. Further, the entire image, being well-

proportioned, evokes a harmonious, well-balanced, wholesome and holistic

brand.

In India, the tree is a symbol of life. It is a giver of fuel, food and protection. It is

a heaven for creatures it generously harbours in its foliage, as well as in the

shade of its canopy. The tree is held auspicious as it spreads through the three

spheres with its roots meshing through the earth, its trunk rising through the

terrestrial world and its branches reaching into the heavens. This symbolism

also occurs in cultures across the world.

Keeping these vital associations in mind, the tree in the new Dabur identity has

been carefully created to communicate Dabur's invaluable 100-year old legacy

as well as its future aspirations. It now takes on a younger avatar, in its form

and colours, and strikes a rapport with the consumer as a proactive brand with

a commitment to wellness and to nurturing an active lifestyle across age

groups.

Thus, through its form and colours, the new logo identity combines freshness

and stability. It expresses a brand that is positive, proactive and progressive.

The burst of leaves and their colours symbolize growth, rejuvenation and inner

90
strength. The form and colour of the trunk convey growth, youthfulness and

stability. Thus, the logo identity lock up presents Dabur as a stable yet evolving,

contemporary, vibrant and active brand cherishing nature as the source of all

its endeavours along with an abiding commitment to the wellness of consumers

across age groups

91
92
USEFULNESS AND IMPORTANCE OF STUDY

IMPORTANCE OF THE STUDY

Being student of MBA it is very essential for me to have a practical knowledge

in an organization. Only to study business administration course knowledge is

not the solution of the problems, which arise in practical field. There is a

certain formula for any particular problem, but the aim of this study is to

develop the ability of decision making. A right decision at right time and right

place itself helps an organization to run smoothly.

This study gives an idea of all marketing activities. So the way a problem is

solved right decision making and knowledge of different types of making

activities give much importance to the study. Only in two month training it was

not possible to understand it so deeply, but an overall idea could be developed.

The importance and usefulness of the study is discussed as under

1. To study the impact of Budget Policies on Marketing Strategy of Dabur

Foods.

2. To study the Consumer, Buying behavior.

3. To study the problems faced by Dabur.

93
94
CONCLUSIONS

The Chyawanprash Industry is yet to capture the beverage market in full

swing. Packed Chyawanprash followed by Amla, Ashwagandha, Hareetaki,

Dashmul, Ghrit and several

other herbs and herbal extracts. the market. The consumer’s patriotic love for

tea and coffee is unfared. Chyawanprash are yet to establish their supplement

use in the average household here in lies the great opportunities. Within the

market, it is safe to conclude that dabur has hit off ratherwell with the masses.

dabur has clearly lost it head start advantage and thereby acquiring just 35% of

the market share while others enjoys rest of the market share. This could be

well attributed to dabor successful ATA (Availability, Taste and Affordability)

marketing module, the attributes most rated by the consumers. Lack of

publicity has hampered the growth progress of the brand so aggressive

advertising is needed to promote Chyawanprash and vatika hair oil brand .The

brands such as that of Chyawanprash by vednath, Chyawanprash with its

‘sonacahndi, ‘Minute- made’ and also US food giantssDel Monte are ready to

hit the Chyawanprash market very soon.

Vatika hair oil has no major competition except an Australian Product Tobasco.

As a new product so people are not able to digest it yet Dabur is getting 8

crores from Vatika hair oil in which accounts for 4 crores, Lemoneez 1 Crore

& others 3 Crores .

As the strategies of the companies keeps on changing, be it in Chyawanprash

industry, a company has to create perceptions and cover them into realities. It
95
is an expensive proposition requiring huge expenditure on advertising,

sponsorships and media. Thus, the ideal company will be the one which

combines the high end technology with consumer insight.

As 16% of the excise duty is exempted on food products in this budget , Many

food companies including Dabur got benefited from it . On the analysis of

survey it was found that target Market of Chyawanprash want quality benefit

rather then Price benefit, so it is better to stress on quality rather than on

decreasing price to increase sales and profit. To increase market share Dabur

should give slight price benefit on Dabur brand so that customers of other

Juice brand should switch from other brand to Dabur brand .

As vatika hair oil is a new product introduced by Dabur and as Dabur is

getting excise benefit from the Government so Dabur should pass slight Price

benefit to the target market so that target market should use the vatika hair oil

and adopt it in making daily food thereby increasing the market share of vatika

hair oil.

96
LIMITATION OF THE STUDY

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 It was quenching time in the shops that use to deal in and some retailers

could not give proper attention towards our queries.

 Some retailer did not co-operative with us as they thought; it is just

wastage of time

 There was no way to assess the reliability of the retailers. What ever

they said had to be assumed to be truth.

 Category wise search for retailer was a terrific job in the market.

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RECOMMENDATIONS

 Focus on growing core brands across categories.

 Reaching out to new geographies, within and outside India.


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 Improve operational efficiencies by leveraging technology.

 Be the preferred company to meet the health and personal grooming needs

of our target consumers with safe, efficacious, natural solutions by

synthesizing the deep knowledge of ayurveda and herbs with modern

science.

 Provide consumers with innovative products within easy reach.

 Vatika hair care centre: On the lines of Marico’s Kaya Skin Clinic, Dabur

could start a venture called Vatika hair

care centre which would provide total hair

care solutions. It could have hair care

experts to solve hair problems.Services

could include dandruff treatment,

straightening of hair, treatment for split

ends,etc.

 Position Dabur Chyawanprash as not

more of a medicine but as something which is necessary for health.

 More initiatives like “ Dabur ki Deewar” to increase brand visibility. It is an

initiative to occupy shelf space.

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101
CONSUMER QUESTIONAIRRE- DABUR VATIKA HAIR OIL

Dear Respondent,

Thanks for sparing few minutes to fill this questionnaire, which will help us to

study the consumer perception for hair oil.

Any information provided by you will strictly be used for Academic Purpose.
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1. Which brands of hair oil are you aware of?

 Parachute

 Keo Karpin

 Nihar

 Hair And Care

 Dabur Vatika

2. Which brand of Hair Oil do you use?

 Parachute

 Keo Karpin

 Nihar

 Hair And Care

 Dabur Vatika

3. Where would you rate your brand on a scale of 1 – 5 ( 5 being highest)?

 1

 2

 3

 4

 5
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4. What are the primary reasons for which you use this particular brand?

 Non sticky

 Brand Loyalty

 Fragrance

 Price

5. How did you get to hear about this brand?

 TV

 Internet

 Word of Mouth

 Print

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6. If your brand is not available you would..?

 Purchase another brand

 Wait for it to be available

 Go for a substitute

 Buy what is offered by the retailer

7. Which pack size do you prefer?

 75 ml

 150 ml

 300 ml

8. On what parameters do you choose this pack size?

 Availability

 Price

 Family size

 Storage

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9. How often do you buy?

 Once in 15 days

 Once a month

 Once in two months

10. Are you satisfied with your brand?

 Yes

 No

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REFERENCES

Books:

 Kotler Philip, ”Marketing Management”, 11th edition, 2003, Pearson


Education Inc., P. 8-9.

 Ramaswamy V S, ”Marketing Management”, 3rd edition, 2002, Macmillan


India Ltd., P. 5-10

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 Kothari C. R., “Research Methodology”, 2nd edition, 2002, New Age
International Pvt. Ltd., P. 11, 130.

 Robbins Stephen P., “Organizational Behaviour”, 10th edition, 2004,


Pearson Education Inc., P. 425-432.

 Company Documents.

Websites

www.google.com

www.dabur.com

www.tutor2u.net

www.brandchannel.com

www.blonnet.com

www.superbrandsindia.com

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