A Project Report

ON

“DABUR-MARKETING MIX”

SURAJMAL AGARWAL PRIVATE KANYA MAHAVIDYALAYA,

KICHHA (U.S. NAGAR)

SUBMITTED TO: SUBMITTED BY:

MISS. AARTI SINGH JYOTI SAINI

BCOM(HONS) VthSEM.
 ACKNOWLEDGEMENT

This project has been an honest and dedicated attempt to make the analysis on marketing material as authentic as
it could. And I earnestly hope that it provides useful and workable information and knowledge to any person
reading it.

During this period, I had the pleasure of working closely with accomplished organization people who shared with
me their experience and helped me in completion of my research.

I express my sincere thanks to my project guides and my institute faculty for guiding me.

Lastly I am grateful to my parents who have been my mentors and motivators. I am also thankful to all my batch
mate who have been directly or indirectly involved in successful completion of this project.

JYOTI SAINI
 DECLARATION

I JYOTI SAINI student of B.com(hons) Vthsemester hereby declare that the project report entitled, “DABUR-
marketing mix”

As submitted by me to the college of “Surajmal Agarwal private kanya mahavidhalya” this project is written
and submitted by me under guidance of MR. RAMESH YADAV ( H.O.D OF COMMERCE DEPARTMENT ) is
my original peice of work toward partial fulfillment of Bachelor of Commerce programmed.

Jyoti Saini

B.com(hons) Vthsem.
 EXECUTIVE SUMMARY

This report aims at analyzing and reporting on the marketing strategies of Dabur India Ltd (DIL) for the
brands Dabur. Pioneering role that it has played in the evolution of the categories it has had a presence in. 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.
This report is not aiming at the overall marketing mix or the marketing strategy of Dabur India Ltd, but is an
attempt to analyse the marketing mix of Dabur Chyawanprash.
The report also enlists various recommendations based on BCG Growth Share Matrix analysis, Ansoff’s Product
Matrix Expansion Grid, SWOT Analysis etc. This analysis has been done on the basis of the information gathered
from the company website and other online resources and books and articles.
 INTRODUCTION OF COMPANY

Dabur India Limited is India's leading FMCG company with interests in health care, personal care and foods.
Dabur has a history of more than 100 years and the company has carved a niche for it self in the field of
Ayurvedic medicines. The products of Dabur are marketed in more than 50 countries worldwide. The company
has 2 major strategic business units (SBU) - Consumer Care Division (CCD) & Consumer Health Division
(CHD), and 3 Subsidiary Group companies - Dabur Foods, Dabur Nepal and Dabur International. Dabur
International has 3 step down subsidiaries - Asian Consumer Care in Bangladesh, African Consumer Care in
Nigeria and Dabur Egypt.

Parent Compny : Dabur India Limited

Headquarters : Ghaziabad, Uttar Pradesh

CEO : Sunil Duggal

Owner : Anand Burman

Revenue : 84.54 billion INR (US$1.3 billion, 2015–2016)

Founder : S.K. Burman

Founded : 1884

Brand : Well-known brands include Amla, Chyawanprash, Hajmola, Lal Dantmanjan,

Nature Care and Pudin Hara

Sector : Fast – moving Consumer Goods ( FMCG )

Category : Consumer Products , Food and Beverages

Tagline / Slogan : Celebrate Life

Official Website : www.dabur.com

HISTORY
 Dr. S.K Burman started Dabur in 1884 as a small pharmacy. Initially, he prepared Ayurvedic medicines to
treat diseases like malaria, plague and cholera that had no cure during that period. It was his dedication,
commitment and empathy that made Dabur a renowned name among the masses. And today, after more
than 120 years, Dabur is known for its trustworthiness more than anything else.
During this passage of time, Dabur went through several structural and strategic changes to
maintain its market strength. The real mass production started in 1896. Early 1900’s saw Dabur emerge as
the first company to provide health care through scientifically tested methods. It achieved significant
improvements after setting up Research and Development centers and manufacturing automation. The
launch of Dabur’s Amla hair oil and Chyawanprash was a boon to the expanding business. To keep up
with the times, Dabur computerized its operations in 1957. It’s Dant Manjan and digestive tablets were
widely accepted as well.
However with a large product portfolio in the market, Dabur had to maintain operational efficiency. To
make sure it adjusted to the business environment it became a public limited company in 1986 followed
by diversification in Spain in 1992. A major change came when Dabur came up with its IPO in 1994.
Because of its position, Dabur’s issue was 21 times oversubscribed. Dabur further divided its business into
three separate groups:

 Health Care Products Division

 Family Products Division

 Dabur Ayurvedic Specialties Limited

In 1998, for the first time in the history of Dabur, a non-family member took charge. Dabur handed
over the operations to professionals. Successful implementation of procedures, timely changes and
maintaining its essence, Dabur achieved its highest-ever sales figure of Rs 1166.5 crore in 2000-01.
As FMCG sector was struggling with the slow growth in the Indian economy, Dabur decided to take
numerous strategic initiatives, reorganize operations and improvise on its brand architecture beginning
2002. It decided to concentrate its marketing efforts on Dabur, Vatika, Anmol, Real and Hajmola to
strengthen their brand equity, create differentiation and emerge as a pure FMCG player recognized as a
herbal brand. This was chosen after a study with Accenture, which revealed that Dabur was mainly
perceived as a Herbal brand and connected more with the age group above 35.
Also, larger retailers were making their foray into the FMCG market. Apart from HLL, P&G, Marico
and Himalya, ITC was also posing a challenge. The supply chain of Dabur was becoming complex
because of the large array of products. Southern markets share in the sales figure was negligible. These
factors posed a threat to Dabur and hence small changes were not enough.

VISION , MISSION AND PRINCIPLE

 MISSION:
To maximize shareholder’s value, by offering superior quality nature based products, that contributes in
improving consumer’s life in Personal care, Health Care and foods.

VISION:
“HEALTH AND WELL BEING OF EVERY HOUSEHOULD”

Dabur is a company with a set of established business values, which direct it's functioning as well as all its
operations. The guiding forces for Dabur are the words of its founder, Dr.S. K. Burman,
"What is that life worth that can not give comfort to others."
The Company offers its customers, the products to suit their needs and give them good values for money.
The company is committed to follow the ethical practices in doing business. At Dabur, nature acts as not only the
source of raw materials but also an inspiration and the company is committed to product the ecological balance.
After the successful implementation of the 4-year business plan from 2002 to 2006, Dabur has launched another
plan for 2011. The main objectives are:

 Doubling of the sales figure from 2006

 The new plan will focus on expansion, acquisition and innovation. Although Dabur’s international
business has done well — growing by almost 29 per cent to Rs.292 crore in 2006-07, plans are to increase it by
leaps and bounds.

 Growth will be achieved through international business, homecare, healthcare and foods.

 Southern markets will remain as a focus area to increase its revenue share to 15 per cent.

With smoothly sailing through its previous plans, this vision seems possible. Time and again, Dabur has made
decisions that have led to its present position. However, if Dabur could be more aggressive in its approach, it can
rise to unprecedented levels.

PRINCIPLES
OWNERSHIP:
This is our company. We accept responsibility and accountability to meet business needs.
PASSION FOR WINNING:
We all are leaders in our responsibility, with a deep commitment to deliver the results. We are determined to be
the best at doing what matters the most.
PEOPLE DEVELOPMENT:
People are our most important asset. We add value through result- driven training and we encourage rewards and
excellence.
CONSUMER FOCUS:
We have superior understanding of consumer needs and develop products to fulfill their demands.
INNOVATION:
Continuous innovation in products and processes and is the base of our success.

MILESTONES OF SUCCESS

è 1884 Birth of Dabur

Dr. S. K. Burman launches his mission to make health care products in Calcutta.

è 1896 Setting up a manufacturing plant

With growing popularity of Dabur products, Dr. Burman expands his operations by setting up a manufacturing
plant for mass production of formulations.

è EARLY 1900s Ayurvedic medicines

Dabur enters the specialised area of nature-based Ayurvedic

medicine, for which standardised drugs are not available in the market.
è 1919 Establishment of research laboratories

The need to develop scientific processes and quality checks for mass production of traditional Ayurvedic
medicines leads to establishment of research laboratories.

è 1920 Expands further

Dabur expands further with new manufacturing units at Narendrapur and Daburgram. The distribution of
Dabur products spreads to Bihar and the North-East.

è 1936 Dabur India (Dr. S.K. Burman) Pvt. Ltd.

Dabur becomes a full-fledged company - Dabur India (Dr. S. K. Burman) Pvt. Ltd.
è 1972 Shift to Delhi

Dabur's operations shift to Delhi. A new manufacturing plant is set up in temporary premises in Faridabad
on the outskirts of Delhi.

è 1979 Sahibabad factory / Dabur Research & Development Centre (DRDC)

Commercial production starts in the new Sahibabad factory of Dabur, one of the largest and best
equipped production facilities for Ayurvedic medicines. Launch of full-fledged research operations in
pioneering areas of health care with establishment of the Dabur Research & Development Centre
(DRDC).

è 1986 Public Limited Company

 Dabur becomes a Public Limited Company. Dabur India Ltd. comes into being after reverse merger with
Vidogum Limited.

è 1992 Joint venture with Agrolimen of Spain

Beginning a new chapter of strategic partnerships with international businesses, Dabur enters into a joint
venture with Agrolimen of Spain. This new venture is to manufacture and market confectionery items in
India.

è 1993 Cancer treatment

Dabur enters the specialised health care area of cancer treatment with its oncology formulation plant at
Baddi in Himachal Pradesh.

è 1994 Public issue

Dabur India Ltd. raises its first public issue. Due to market confidence in the Company, shares issued at a
high premium are oversubscribed 21 times.

è 1996 3 separate divisions

For better operation and management, 3 separate divisions are created according to their product mix -
Health Care, Products Division, Family Product Division & Dabur Ayurvedic Specialities Limited.

è 1997 Foods Division / Project STARS

Dabur enters full-scale in the nascent processed foods market with creation of a Foods Division. Project
STARS (Strive to Achieve Record Successes) is initiated to give a jump-start to the Company and
accelerate its growth performance.
è 1998 Professionals to manage the Company
With changing demands of business and to inculcate a spirit of corporate governance, the Burman family
inducts professional to manage the company. For the first time in the history of Dabur, a non family
professional CEO sits at the helm of the company.

è 2000 Dabur India Ltd’s turnover crosses the Rs 1,000 Croremar

Dabur establishes its market leadership status with a turnover of Rs.1,000 crores. From a small
beginning and upholding the values of its founder, Dabur now enters the august league of large corporate
businesses.

è 2003 Dabur demerges Pharma Business

Dabur India approved the demerger of its pharmaceuticals business from the FMCG business into a
separate company as part of plans to provide greater focus to both the businesses.

è 2005 Dabur aquires Balsara

As part of its inorganic growth strategy, Dabur India acquires Balsara's Hygiene and Home products
businesses, a leading provider of Oral Care and Household Care products in the Indian Market, in a INR
143 Crore all cash deal.

è 2005 Dabur announces Bonus after 12 years

 Dabur India announces issue of 1:1 bonus share to its shareholders (i.e. one share for every one share held.)

è 2006 Dabur crosses $2bn market Cap, adopts US GAAP

Dabur India crosses the $2 billion mark in market Capitalisation. The company also adopted US GAAP in
the line with the commitment to follow Global Best Practices and adopt highest standards of transparency
and governance.

è 2006 Approves FCCB/GDR/ADR up to $200 million

Moving forward on the inorganic growth path Dabur India decides to raise upto $200 million from the
international market through bonds, FCCBs, GDR, ADR, QIPs or any other securities.

è 2007 Celebrating 10 years of Real

Dabur Foods unveils the new packaging and design for Real on the occasion of 10 years completion of the
brand. The new defined modern look depicts the natural goodness of the juice from freshly plucked fruits.
è 2007 Foray into organised retail
Dabur India announces its foray into the organised retail business through a wholly-owned subsidiary,
H&B Stores Limited. Dabur goes on to further invest INR 140 Crores by 2010 to establish its presence in
the retail market in India with a chain of stores on the Health & Beauty format.

è 2007 Dabur Foods Merged With Dabur India

Dabur India decides to merge its wholly owned subsidiary Dabur
Foods Limited with itself to exact synergies and unlock operational efficiencies.

è 2008 Acquires Fem Care Pharma

Dabur India acquires Fem Care Pharma, a leading player in the women skin care market. Besides an entry
into the high growth skin care market with an established brand named Fem, this transaction also offers
Dabur a strong platform to enter newer product categories and markets.

è 2009 Dabur Red Paste joins 'Billion Rupee Brand' club

 Dabur Red Paste becomes Dabur's 9th billion rupee brand by crossing the billion rupee turnover mark
within 5 years if its launch.

è 2010 Dabur makes its first overseas acquisition

Dabur makes its first overseas acquisitions by buying Hobi Kozmetik Group, a leading personal care
products company in Turkey, for $69 Million. This is followed in succession by the acquisition of 100%
equity in Namaste Laboratories LLC of the US for $100 Million.

è 2011 Dabur enters professional skin care market

Dabur enters professional skin care market with the launch of Oxylife Professional Facial Kit, created
exclusively for professional use. The range is further expanded with the launch of facials and a body
bleach under the brand Fem.

è 2011 Dabur India acquires 30-Plus from Ajanta Pharma

Dabur India Limited acquires Ajanta Pharma's over-the-counter brand '30-Plus'

è 2012 Dabur crosses Billion-Dollar Turnover Mark

 Dabur India Ltd. surpasses the billion-dollar turnover mark during the 2011-12 fiscal to end the year on a
high note with net sales of INR 5283.17 Crores.

è 2013 Market Capitalisation crosses the $5-Billion mark.

è 2015 Brand Real, Vatika and Amla cross the Rs. 1,000 Crore turnover mark

è 2016 Dabur Gulabari and Dabur Lal Dant Manjan clock a turnover of Rs. 100 Crore each

.
 PRODUCT PORTFOLIO
Food & Beverages
1. Real Juice
2. Chyawanprash
3. Dabur Honey
4. Hajmola
5. Glucose-D

Consumer Products
1. Dabur Amla
2.Dabur Vatika
3.Fem
4.Uveda
5.Dabur Red
6. Dazzl
7. Odomos
8. Odonil
9. Odopic
10. Sanifresh
11. Babool
12. Meswak
13. Promise
 SWOT ANALYSIS

1. Products present in over 60 c0untries and distribution through 5000

distributors and 2.8 million outlets
2. Strong Brand Image and Product Development Strength
3. Strong Distribution Network and an Extensive Supply Chain
4. It has welfare activities in health care, education and other socio-
economic activities
Strengths 5. Has focus markets in GCC, Egypt, Nigeria, US, Nepal etc

1. Fake products sold under the name of their brands

2. Dabur products has stiff competition from big domestic players and
Weaknesses international brands

1. Tap rural markets and increase penetration in urban areas

2.Mergers and acquisitions to strengthen the brand
Opportunities 3.Increasing purchasing power of people thereby increasing demand

1. Intense and increasing competition amongst other FMCG companies

2.FDI in retail thereby allowing international brands
Threats 3. Competition from unbranded and local products

PESTEL ANALYSIS

1.POLITICAL FACTORS:

Government intervences : Government support the industry to expand & to export it's products & to grow.
Trading policies : Trading policies are also favourable for dabur company so it can export it's products & it
also help him to expand & to grow.

2.ECONOMIC FACTORS :

Consumer focus : they are continuously focussing on analysing the consumer needs &develop products to
fulfill there needs. This is the main reason for the growth of Dabur company.

Living standard : Rise in the living standard of people have increased their production level, & produce high
quality & variety of products.

National income : National income is important factor as if affect the growth of the organisation. If per capita
income is more the amount spend will be more & if it will be lower the amount spent will be less.

Inflation rate : Inflation means the rise in the value of all the product in the economy, if inflation rate is higher
the cost of products will be higher & if inflation rate is lower the cost of product will be lower. This directly affect
the growth of the organization.

3.SOCIO-CULTURAL FACTORS :
Demographics : Demographics is the study of human population in the economy. It helps the organzation to
divide the markets in different segments to target a large of customers. For Example- according to race, age,
gender, family, religion, & sex.

Distribution of income : This shows that how income is distributed in the ecconomy. It directly affect the
purchasing power of the buyers. And ultimately leads to increase or decrease in the consumption level of the
products.

Consumerism : This indicates that a large number of options are available while purchasing of goods to
consumers, so the choice becomes easy & quality products can be choose by consumers. So while purchasing a
consumer have different choices to select product according to his needs.

Education levels : Education is one of the most important factor which influence the buying power of
consumer, while selecting a particular good a consumer should know all it's features so it can differentiate them
with another products.
Law affect social behaviour : Different laws are made by the government to safe guard the rights of
consumers. For example- Consumer protection act, this law indicates that a consumer can file a case against a
seller if he finds that he is cheated.

4.TECHNOLOGICAL FACTORS :

Discoveries & innovation : Continuous innovation in products & processes is the basis of there services.
They provide consumers with innovative products within easy reach Build a platform to enable Dabur to become
a global ayurvedic leader.

Advancement in technology : Focus on growing there core brands across categories, reaching out to new
geographies, within and outside India, and improve operational efficiencies by leveraging technology.

Automation : Change in technology will leads to automation, this means that with new technology labour
required is less as machines are automatic. All the works are done automatically by the machines as earlier it is
labour oriented. Now all the work is machine oriented.

Obselete rate : Day-by-day new inventions are made so the rate of obselete is higher, as in Computer
LAPTOPS have replaced the PC. This shows that the technology becomes obselete very fast.

Research & development : This department plays a vital role in the development of the organization. As this
department always do research that what are the demand of the markets & how to make advancements so the
organization can survive in the competitive world.

5.ENVIRONMENTAL FACTORS :

Environment regulations : The preferred company to meet the health and personal grooming
needs of there target consumers with safe, efficacious, natural solutions by synthesizing the deep

knowledge of ayurveda and herbs with modern science.

Environmental protection : Responsible company to protect Ecological system & use Eco-friendly

products.
6.LEGAL FACTORS:

Companies law : The company fulfill all the Company law requirement so as to grow & develop & to sustain
in the compitative market.

Employment law : Employment law provides equal opportunities to every citizen to work & earn his
livelihood. It provides equal opportunities to every citizen.

Consumer protection : This law helps to protect the rights of consumers & he can file a case against seller if
he find that he is cheated.

Industry-specific regulations : These laws are related to industry for example- no industry can establish in
between cities i.e. it should be outside the cities.
 RESEARCH AND METHODOLOGY
Research is an art of scientific investigation that means “A careful investigation or inquiry especially through
search for new facts in any branch knowledge .’’ Redman and Mory define research as a “Systematized efforts to
gain new knowledge.’’ It has helped in knowing the significant impact of market segmentation on the FMCG and
what changes are going to be there in the future related to the marketing segmentation for the FMCG companies.
The study has helped to identify what needs to be done while segmenting the market by FMCG companies. To
study that the following research design was chosen.

Universe: The universe is all the customers of the FMCG companies mainly Hindustan Unilever Limited, Procter
& Gamble, ITC Limited, Dabur India Limited, and Godrej.

Locale: The research has been carried out in Punjab and Chandigarh. The first reason was that the researcher is
born and lived in this region, and was having knowledge about the major aspects of this region. Secondly, this
region was best suited for the studying the existing segmentation i.e. Demographic, Physiographic, Geographic,
Behavioural etc. that can help in knowing what FMCG companies need to do. This has helped in minimizing the
biasness.

Sample: To meet the objective of the study the researcher has selected 500 customers using random sampling
technique, which were taken from the Punjab 57 and Chandigarh region considering FMCG companies mainly
Hindustan Unilever Limited, Procter & Gamble, ITC Limited, Dabur India Limited and Godrej.

Data Collection: Data has been collected from both primary sources and secondary sources. Secondary data has
been collected from company reports, company surveys, journals, trade bulletins, internet and other published
sources. The primary data has been collected from the respondents by a structured questionnaire. A few customers
whom the researcher has felt were very important in the process; an unstructured interview was carried out.

Data Analysis: The data collected from primary and secondary sources was coded and then tabulated with
various tabulation methods, as per the researcher’s requirements. Then traditional statistical tools and modern
tolls like IBM PASW 18 and IBM SPSS 19 were used to analyze the various forms of data.
 4P’s of Marketing Mix

1. Product

Dabur is committed in offering its customers products that are of excellent quality and are herbal. Their mission is
in providing goods that prove healthy for its customers, as health is wealth. Nature provides inspiration to all its
products. Dabur deals in many categories of merchandises like oral care, hair care, skin care, food products, and
health-care and home-care products.
In1940 Dabur launched Dabur Amla Hair Oil and even today, it is one of the leading products of the company. In
1949, it gave the world Dabur Chyawanprash. From children to the old-age group it is the favorite of every
generation. In 1970, Dabur added Oral products like Dabur Lal Dant Manjan to its portfolio. Hajmola tablets and
Hajmola candy were introduced in the market in the year 1978 and 1989 respectively.
In1994 Dabur became the world’s second company to enter the market for anti-cancer medicines. Its research and
foundation team helped in developing a drug thatis extracted from the Asian Yew tree leaves. This eco-friendly
process is unique and one of its kind. Its health products include Dabur’s Honitus Cough Syrup, Dabur Active
Blood Purifier for women, Dabur Shankha Pushpi to enhance the memory, Dabur Balm Strong for headache and
Shilajit Gold for rejuvenation.
In 1996, it stepped in the food market for the first time with the launch of Real Fruit Juice and later introduced
cooking paste, homemade pappad, coconut milk and tomato puree. Its skin products, under the name ‘Gulabari’,
include Rose water, Moisturizing cream, Face freshener, Moisturizing lotion and under the name, ‘Fem’, include
Pink bleach, Gold bleach, Blue bleach, Herbal bleach, Liquid hand wash and Hair removing cream.
 2. PRICE:

Price is normally expressed in monetary terms. It is worth of a product or service in monetary terms. Price is
the value which a buyer passes on to the seller in lieu of the product or service provided. Price is a crucial
determinant of the fact whether the exchange between the buyer and seller should materialize or not. While
pricing the products three main factors should be kept in mind -:
1. Cost
2. Competition
3. consumer demand
Pricing Strategies of Dabur
Dabur has stepped up the pace of new product launches and is investing ad spend and marketing. The entire
product portfolio is also tweaked to include premium offerings such as more variants under almost every
category, like Dabur Vatika Hair Oil is available in 3 different versions.
Dabur is today seen as far more proactive in the market. Dabur is now an external oriented company. Across
the whole organization the company have one definition of winning, and that means not just growing, but
growing completely. Over the last two years, Dabur has maintained its operating margins through judicious
price hikes across products and reduction in pack sizes.
The three main factors affecting the pricing strategies have been discussed below -:
I.COST
One of the most important factor to take care while pricing is the cost costs set the floor for pricing decisions.
There are two types of cost variable cost and fixed cost. It is important that the price should recover all costs
including a fair return for undertaking the marketing effort and risk.
II.COMPETITION
Competition is another important consideration while pricing. When a firm does not face any competition it
can enjoy complete freedom in fixing its price. But when there are competitors selling the same or similar
products, the pricing freedom is considerably reduced. Its price must fall in line with the competitors.
Similarly Dabur India Limited also has many competitors. But Dabur’s top selected competitors are:-
1. Hindustan Unilever Limited
2. Proctor and Gamble
3. Pepsi co.
4. Colgate Palmolive
5. Godrej Industries
6. Marico Ltd. etc.

III.CONSUMER DEMAND
Dabur learned that the majority of Indian population tends to go towards the Indianised natural and herbal
products thus they made it their USP. Dabur is efficiently leading the market with this product range,
providing the customers with special products easily.
3.PLACE:

Place in the context of marketing mix refers to a set of decisions that need to be taken in order to make the
products available to the customers for purchase and consumption. Making the products available to the
customers require development of channels of distribution and physical distribution of products.

CHANNELS OF DISTRIBUTION

A channel of distribution refers to the path taken by the goods in their movement to the customers. For
instance, the toothpaste we use is manufactured in the factory of a company Dabur. But before it reaches us it
passes through the hands of many middlemen who help it come to you in right time, at right place and in right
quantity.
Dabur’s distribution network is recognized as one of its key strengths. Its focus is not only to enable easy
access to our brands, but also to touch consumers with a three-way convergence - of product availability, brand
communication, and higher levels of brand experience.
A Diagram explaining the channels of Distribution is given below
The diagram shows channel of distribution of dabur foods, here first the products are manufactured and
from Manufacturing plants the packed goods are supplied to Clearing And Forwarding Agents(C&FA) and from
here the goods are then further supplied to number of Stockiest or Distributors, from here goods reaches to large
number of Retailers and it is the duty of Stockiest to take orders from retailers and then supply the goods to them,
this work is generally done by stockiest salesman through ready stock or by taking orders first and then placing
the order. From here the goods finally reaches to Customers. Customer purchases the product from retailers.
 4. PROMOTION :

Once the product has been manufactured, priced rightly and is distributed, the next task of the marketer is to
inform potential customer about the product and persuade them to buy the same. The promotion element of
marketing mix is concerned with activities that are undertaken to communicate with both customers and
participants in the channel of distribution such that sales goals are realized. There are different promotional
activities like-: Advertising, Sales promotion, trade promotion, personal selling etc. but one of the most
convenient and effective one that most of the industries uses is the Advertising and Sales Promotion.

Advertising
Advertising is a form of communication that typically attempts to persuade potential customers to purchase or
to consume more of a particular brand of product or service. Many advertisements are designed to generate
increased consumption of those products and services through the creation and reinforcement of "brand image"
and "brand loyalty". For these purposes, advertisements sometimes embed their persuasive message with factual
information. Every major medium is used to deliver these messages, including television, radio, cinema,
magazines, newspapers, video games, the Internet and billboards. Advertising is often placed by an advertising
agency on behalf of a company or other organization.
Dabur has created the huge brand image and a vast product following by associating mega-names like
Amitabh Bachchan, Rani Mukhurjee, Vivek Oberoi, Mandira Bedi etc. Dabur invested Rs. 150 crore just on the
advertising of Real “Fruit Juice” and “Real Active”. So far the company has been successful in this mission as the
people now know the brand and ask for its products by name.

Sales promotion
“An activity designed to boost the sales of a product or service. It may include an advertising campaign,
increased PR activity, a free-sample campaign, offering free gifts or trading stamps, arranging demonstrations or
exhibitions, setting up competitions with attractive prizes, temporary price reductions, door-to-door calling,
telemarketing, personal letters on other methods”.
In marketing, sales promotion is one of the four aspects of promotion. (The other three parts of the
promotional mix are advertising, personal selling, and publicity/public relations.) Sales promotions are non-
personal promotional efforts that are designed to have an immediate impact on sales.
Sales promotion involves short-term incentives to encourage buyers to purchase a product. It's aim is to
encourage immediate purchase of a product. If used too often however, sales promotion can create a situation
where consumers will not buy unless there is a bonus offer. This will result in loss of profit for the company.
 More than any other element of the promotional mix, sales promotion is about “action”. It is about stimulating
customers to buy a product. It is not designed to be informative – a role which advertising is much better suited
to.

Sales promotion can be directed at:-

•The ultimate consumer (a “pull strategy” encouraging purchase)
•The distribution channel (a “push strategy” encouraging the channels to stock the product). This is usually
known as “selling into the trade”

SALES PROMOTIONAL TOOLS OF DABUR FOODS

 Price promotions
 Coupons
 Gift with purchase
 Competitions and prizes
 Money refunds
 Point-of-sale displays
 Free samples
 Contest /demos
 Festival Sales
 Retailer coupons
 Multi-packs
 Special price for twos
 Allowances for additional shelf space
 Merchandising
 Sales contest
 Incentives
 Awards & prizes
 Premium gifts
 Sales Meetings
 Samples/product sampling
 Contests & Sweepstakes
 Exchange Offers/buyback
 Refund / Rebate
 Price / Bonus Packs

PROMOTIONAL SCHEMES USED FOR STOCKIEST

Encourage stockiest to participate in displays and sales contests.
 Higher Margins: Tries to give higher margins to stockiest so that they don’t loose interest in the product
and can earn good profits after meeting all the expenses.
 Sales Contests: Sales contest are held annually and whichever stockiest has the best sales record a prize is
given to him, like free holiday to the family etc.
 Allowances: Special allowances are given to both stockiest and stockiest sales man if they achieve their
monthly target.
 Subsidy for Promotion Budget: Company gives subsidy to the stockiest, who spend some money on the
promotional schemes, like conducting a sampling activity.
 Danglers and Posters: Company gives posters and danglers to stockiest which are further pasted and
distributed by stockiest sales man.
 Training: Special Training is given to Stockiest Sales Man, a training workshop is organized by the
company for stockiest sales man so that they don’t face any problem while placing their products and taking
orders from retailers.
 Annual Gathering: All the stockiest meet under one roof at least once a year and then the stockiest whose
performance was best in term of sales is awarded.
 Fun Trip: A zone wise fully paid fun trip is organized by the company for all the stockiest once a year.
 Gathering While Launch of New Products: All the stockiest and their sales man gather when there is a
launch of a new product. Company gives free samples & gifts to stockiest and their sales man.
 Special Trade Schemes: Special trade schemes like two SKU free with the 12 SKU.
 Free danglers and posters for publicity.
 Buyback: Dabur foods have a scheme of replacement of products which gets expired.

PROMOTIONAL SCHEMES USED FOR RETAILERS

 Trade allowances: Short term incentives are offered to induce a retailer to stock up more dabur products.
 Dealer loader: An incentive given to induce a retailer to purchase and display the products of dabur.
 Trade contest: A contest to reward retailers those sells the most product of dabur foods and after a
specific period they are rewarded.
 Point-of-purchase displays: Extra sales tools given to retailers by dabur to boost sales, like danglers,
posters, banners etc helps in promoting sales.
 Push money: Also known as "spiffs". An extra commission paid to retail employees to push products.
This kind of practice dabur hardly follows.
 Free samples: Dabur foods gives free samples are given to retailers so that they can try that product if the
product is new, or gives some discounts.
 Demos: Special demos are given to retailers and even some stands, fridge are given by retailers.
 Discount Sales: Some special discounts are given to retailers from time to time, like 1% cash discounts if
payment is made in cash.
 Retailer Coupons: Dabur gives some coupons like free lunch for family etc if the retailer buys and sells a
specific amount of products.
 Higher Margins: Retailer has the highest margins and dabur foods also have the same criteria, and
retailer can further sell the dabur product to consumer at discount keeping his margin safe.
 Allowances for additional shelf space: Company as such does not pay anything to retailer but gives
some additional benefits for giving them shelf space which is visible to customer when ever they enter the
shop.
 Merchandising Allowances: Allowances are given to Stockiest sales man for merchandising dabur
products. When ever the Stockiest sales man goes to take orders then he also merchandises dabur products.
 Bonus Packs: Time to time dabur gives bonus packs to retailers like buy 10 get 2 free with that.
 Trade Allowance: Dabur comes with different types of trade discounts from time to time, like sometime
price discounts, sometimes gifts etc.
 Free goods: Dabur gives free goods on the purchase of specific number of goods.
 Cash Rebate: Generally cash rebate is given by stockiest if retailer makes the payment in cash at the time
of purchase.
 Product sampling: Dabur organizes sampling activities for its products which are new, these activities are
generally at the place where footfall is very high.
 Displays: Dabur tries to give special displays to the retailers, so that they can display their products on
that.
 Point-of-Purchase Material: POP material is available in the form of stickers, banners, displays, posters,
signs, streamers, etc. put up inside and outside the stores & other possible purchase locations.
PROMOTIONAL SCHEMES USED FOR CONSUMERS

 Price deal: A temporary reduction in the price is given to consumer during some festival session by dabur
foods.
 Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same
price (for example, 25 percent extra).
 Coupons: Dabur foods gives coupons during different sampling activities to consumers and it have become
a standard mechanism for sales promotions.
 Loss leader: Dabur foods temporarily reduce the price of its popular product in order to stimulate other
profitable sales.
 On-shelf coupons: Coupons are present at the shelf where the product is available.
 Rebates: Consumers are offered money back, rebate at different point of time.
 Contests/sweepstakes/games: if a customer wins some game or contest at the time of sampling activities
then they are given a discount coupon of products of dabur foods.
 Point-of-sale displays: Displays helps the consumer easily recognize their products, dabur keeps a special
check on the displays and merchandising of dabur products.

 Sampling Activities: Dabur organizes different sampling actives at different retail outlets.
 Gift with purchase: Dabur foods gives gift items with purchase like a glass, spoon etc.
 Money Refunds: Customer can claim for refund of money if they face some problem with the product
 Contest /demos: There are different contests where customers play games and win contests.
 Festival Sales: Dabur foods come out with some special offers during festival seasons like buy one get one
free.
 Multi-packs: Dabur foods has some products in multiple packaging which are comparatively priced lower
to the products sold in a single pack.
 Trade Fairs & exhibitions: Here dabur foods displays all range of its products, making it easier for
customers to know about product line and choose the best out of that.
 Customer feedback: dabur foods consider its customer most important and in case of any complaint by
customer the foods department will leave all its important work and will contact the customer.
 Contact points: Customer can contact dabur foods by writing the mail or letter on the addresses given at the
back of dabur products,
MARKETING STRATEGY

Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest
opportunities to increase sales and achieve a sustainable competitive advantage.
Marketing strategy consists of the analysis, strategy development, and implementation activities in:
“Developing a vision about the market(s) of interest to the organization, selecting market target strategies, setting
objectives, and developing, implementing, and managing the marketing program positioning strategies designed
to meet the value requirements of the customers in each market target”.
Strategic marketing is a market-driven process of strategy development, taking into account a constantly
changing business environment and the need to deliver superior customer value. The focus of strategic marketing
is on organizational performance rather than a primary concern about increasing sales. Marketing strategy seeks
to deliver superior customer value by combining the customer-influencing strategies of the business into a
coordinated set of market-driven actions. Strategic marketing links the organization with the environment and
views marketing as a responsibility of the entire business rather than a specialized function.
Because of marketing’s boundary orientation between the organization and its customers, channel
members, and competition, marketing processes are central to the business strategy planning process. Strategic
marketing provides the expertise for environmental monitoring, for deciding what customer groups to serve, for
guiding product specifications, and for choosing which competitors to position against. Successfully integrating
cross-functional strategies is critical to providing superior customer value. Customer value requirements must be
transformed into product design and production guidelines. Success in achieving high-quality goods and services
require finding out which attributes of goods and service quality drive customer value.
 AWARDS AND ACHIEVEMENTS

1. Dabur ranked 182 in the ET-500 list Of India Inc's Heroes

2. Dabur ranked 7th Most Respected Company in the Fast Moving Consumer Goods space in India

3. Dabur ranked among Top 10 Best Companies to Work For in the Consumer Goods and Durables
sector

4. Dabur ranked 45 among Most Trusted Brands In India, according to Brand Trust Report, India
Study, 2011

5. The Burman family, promoters of Dabur, ranked 20th in Forbes' 'The 100 Richest Indians' list

6. Dabur listed among the enterprises that are

'Doing India Proud' in Limca Book of Records
2010

7. Dabur ranked 200 in the Fortune India 500 list

That ranks India's 500 largest corporations

8. Dabur India Ltd ranked as India's Most Customer Responsive FMCG Company

9. Dabur Chyawanprash Immune India Campaign and Dabur Glucose-D Ace of Pace bag international
Promotion Marketing Award of Asia 2010
 Strategic Intent

We intend to significantly accelerate profitable growth. To do this, we will:

 Focus on growing our core brands across categories, reaching out to new geographies, within and outside
India, and 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 our deep knowledge of ayurveda and herbs with modern
science

 Provide our consumers with innovative products within easy reach

 Build a platform to enable Dabur to become a global ayurvedic leader

 Be a professionally managed employer of choice, attracting, developing and retaining quality personnel

 Be responsible citizens with a commitment to environmental protection

 Provide superior returns, relative to our peer group, to our shareholders

 RECOMMENDATIONS

è Focus on growing core brands across categories.

è Reaching out to new geographies areas.

è Improve operational efficiencies by leveraging technology.

è Be the preferred company to meet the health and personal grooming needs of our target consumerswithsafe,
efficacious, natural solutions by synthesizing the deep knowledge of ayurveda and herbs with modern
science.

è Provide consumers with innovative products within easy reach.

è 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.

è Position Dabur Chyawanprash as not more of a medicine but as something which is necessary for health.

è More initiatives like “ Dabur ki Deewar” to increase brand visibility. It is an initiative to occupy shelf
space.
 CONCLUSION

It was really a very great experience to study this FMCG Company “Dabur India Limited”. After going into all its
aspects i.e. its marketing strategies, policies, pricing strategies etc. we can conclude that the company is excellent
on all the fronts. The company’s different projects like Sundesh and its social initiatives in Nepal etc. indicates
that the company is also loyal towards the society, and all such social responsibilities are very necessary to build a
strong customer base and brand loyalty
Through its comprehensive range of products it touches the lives of all consumers, in all age groups, across all
social boundaries. And this legacy has helped them develop a bond of trust with our consumers. That guarantees
us the best in all products carrying the Dabur name. Dabur has Strong distribution network. Dabur is the Fourth
largest FMCG Company of India. Dabur is one of the most trusted brand.
 BIBLOGRAPHY

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http://www.dg.gov.cn/gjhycs/s33353/201206/514125.htm

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marketing-strategiesof-berger-paints-limited.html

3. Dec 25, 2012, [online] Available at: http://global.dabur.com/about/

4. Keller, D. P., 2008. Pearson education, Inc and Dorling Kindersley publishing, Inc. 5. 15/12/2003, [online]
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