WINTER PROJECT REPORT ON ³comparative analysis and market presence(Agra) of Dabur Hajmola´


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ROLL NO -213050

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Lal Bahadur Shastri Institute of Management and Technology, Bareilly (PGDM 2008-10)

The beatitude, bliss and euphoria that accompany the successful completion of any task would not be complete without the expression of appreciation of simple virtues to the people who made it possible. The final project report is submitted to LAL BAHADUR SHASTRI INSTITUTE OF MANAGEMENT AND TECHNOLOGY for partial fulfillment of, post graduate diploma in management (PGDM). This project is an attempt to study ³comparative analysis and market presence(Agra) of Dabur Hajmola´.. I would like to sincerely thank my faculty guide Asst. Prof .Subho chattoupadyay whose guidance has helped me to Understand and complete my project timely and with proper manner

Mohit kumar gupta PGDM (2008-10)



I do hereby declare that the project report is submitted as partial fulfillment of the requirement of PGDM Program of LAL BAHADUR SHASTRI INSTITUTE OF MANAGEMENT AND TECHNOLOGY BAREILLY The Project has been done under the guidance of Asst.Prof. Subho Chattopadhyay Faculty guide, LAL BAHADUR SHASTRI INSTITUE OF MANAGEMENT AND TECHNOLOGY BAREILLY.

No part of this report has not been published or submitted elsewhere for the fulfillment of any degree or diploma for any institute or university.


INDEX 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Company profile Product profile Research methodology Competition analysis SWOT analysis Retail data analysis Market share of Dabur Hajmola Product/Market profitability Competitive advantage Consumer survey analysis Product life cycle/Customer loyalty Tendency to buy Present performance of Dabur Hajmola BCG matrix Findings and problems Suggested strategies for increasing the Market size Conclusion Bibliography 5 8 11 12 13 15 16 18 20 22 23 25 27 30 32 33 35 36 4 .

"What is life that cannot bring comfort to others". The international facilities are located in Nepal. today one of the largest FMCG companies in India. 5 . as wholly owned subsidiary of Dabur India.5 billion. Bangladesh. The company. The management also realized the importance of scaling up its operations and decided to go public during mid-nineties. The company has over 12 manufacturing units in India & abroad. In the early 1990s.Rudrapur (Uttaranchal). Egypt and Nigeria.Dabur Foods. headquartered in Ghaziabad. Uttar Pradesh. Subsequently in 1996. the company has been ranked amongst the ³Best under a Billion´ list by Forbes.With the acquisition of Balsara. It is during this time that the company also decided to professionalize its operations by curtailing the role of the promoter family and inducting professionals from outside to take charge. with the economy opening up. Homecare and Foods. Dabur has proven its expertise in the fields of health care. Dubai. the company identified various investment opportunities to accelerate its growth. Operating through various business divisions supported by manufacturing presence spread in India and overseas. With growing demand. Dabur India set up its own foods division . The business based on the vision of founder Dr S K Burman . Two decades later the company entered the specialized area of Ayurvedic medicines and branded its products.Company Profile Dabur. Baddi (Himachal Pradesh) and Jammu. is today listed on Indian stock exchanges and commands a valuation of over US$ 1. started as a small pharmacy selling healthcare products. Dabur shifted its operations to Delhi in 1972 and a few years later set up full-fledged research operations in healthcare.With a legacy of 125 years built on attributes of quality and trust. was started by the Burman family in 1884 in Kolkata (West Bengal). Three of the facilities in India are strategically located in excise duty free zones . personal care.

the subsidiary of Dabur India has also recently acquired a fruit juice plant in Jaipur (Rajasthan).The company has a multifruit processing plant at Siliguri (West Bengal) for production of pulp and concentrates.Dabur now has additional facilities at Baddi & Silvassa (Dadar & Nagar Haveli).This is a step taken by the company towards backward integration by locating this facility in proximity to its juice plant in Nepal. 6 . Dabur Foods.

7 .

I have considered the following varients under the brand name of Dabur Hajmola.The pie-chart below shows the contribution of different product categories to the Customer Health Division (CHD) of Dabur. 8 . Hajmola Tablets Originally Ayurvedic digestive medicine. 2008-09 6% 21% 10% 33% 8% 22% Home Care Oral Care Baby &Skin care Hair care Digestive & Confectionary Health Supplement The Product under Study The product for our study is Dabur Hajmola. 1. Mix of traditional Indian culinary herbs. First to be branded as a product. maximum contribution is made by Hair Care products followed by Oral Care products and Health Supplements. Digestive and Confectionary products contribute 10% of total contribution in CHD of Dabur and least contribution is made by Home Care products. According to the chart. spices and edible salts.

That's a great way to enjoy while staying healthy ± with Hajmola Candy's khatta meetha taste and 4 fun-filled flavours. Chewing slowly improves the taste. 9 . And what's more.Controls Dyspepsia . 2.Helps in proper digestion and relieves indigestion Usage Can be taken at any time of the day. Storage: Keep in a cool.Increases appetite .Eases condition of flatulence .Health Benefits . Hajmola Candy: The zingy tangy candy that's fun to have any time of the day.2 tablets Children: 1 tablet Overdose Caution Hajmola Tablets taken in large dose can cause irritation in the stomach. dark place. Recommended Dose Adults and elderly: 1 . it gets your digestive juices working better.

Hajmola Candy Fun2: Hajmola Candy brings in an innovative and exciting offering in the confectionary categoryHajmola Fun2Candy. 5. 10 . It has a chatpata taste with the benefits of good digestive element.´ 4. with its unique chatpata taste and do good properties. Hajmola Anardana: Hajmola Anardana Churan. is the first branded churan in the market. Hajmola Mast Masala: Hajmola Mast Masala is a chaat masala with dual benefit.3. ³A centre filled candy 2 times masty and 2 times the taste.

11 . Tables are  News Papers and Articles Statistical Tools Simple statistical tools like Bar chart.2007  www. are secondary data. Pie chart.  AC Neilson survey conducted on Methodology All the data taken in this project. which is taken from various sources.

Pangebaaz Pineapple. 5. S. 1. Rangeela Santra Hajmola Fun 2 Candy Peech. Pachnol Gasgo Pachmolla Khatmolla 7. Anil Foods Chatmola Jeeragol Candy 4.S.G. Green. ITC Divya Pharmacy Canyman Pachak Anardana Churn and tablets Albelu Imli - 12 . Pharma Satmola Digestive tablets Kaccha Aam Jaljeera 3. Ltd. Mango. 6. Chulbuli Imli. No. Hamdard Poddar Alka Ayurvedic Pvt. 8. Litchi Hajmola Anardana 2. S.Competition Analysis As a part of my project i will be taking into account various players in Digestive and Confectionary (Hard-boiled Candies) market. Awaleha Albela Aam. Name of the organization Dabur Brand Hajmola Digestive tablets Hajmola Candy Product Varients Imli. Following table shows the players along with their Brands and product variants that are taken for consideration.

constituents chain.  Relatively low priced products.  Strong Media and Advertising Management. Anil Foods SWOT ANALYSIS OF DABUR STRENGTHS:  A very rich base of traditional knowledge in therapeutics i. Lack of innovative R&D culture in industry.  Successful experience in innovative process chemistry.Major Competitors: 1. Pharma 3.G.e. S.  High quality products.  Well developed engineering base to produce wide range of pharmaceutical equipment and machinery.  Modern Trade Management. Divya Pharmacy 4.S. 13 .  Distributions reach of 1.8 million retail outlets.  Strong Product Adaptation. ITC 2. Poor networking in the among innovation Ayurveda. WEAKNESSES:    Sub-critical R&D investments.  Agronomy initiative to ensure supply of rare medicinal herbs.  Inadequate trained manpower in emerging areas. Sidha & Unani.

 Expertise to blend knowledge of traditional medicines with modern science.e. greater tendency towards outsourcing and networking. Reducing tariff levels and dumping can be a threat to survival of products and industry.   Distortion in priority and public concern on health & Pharma issues.OPPORTUNITIES:  Due to rising costs of R&D overseas. 14 .  Potential for clinical research and initiating clinical trials.  Rising demand of the Ayurvedic products of prospective competitor i. Divya Pharmacy.  Opportunity standards. THREATS:  Inability to cope-up with the rapidly changing new discovery technologies and processes at the global level. to improve quality  Consumers moving up the valuechain.  Rapidly changing standards of quality and manufacturing at the international level. Lack of strategy to bring convergence between aspirations of the `small¶ and `big¶ players.   Lack of clearly articulated and facilitative national IPR policies.

S.Retail Data Analysis Data analysis gave us the following results in various segments. The closest competitor of Dabur is ITC and S.S.G. The chart clearly shows that Dabur is the market leader with 93% share in Digestive and Confectionary (hard. Market Share of Dabur Hajmola (Competition-wise June 2008) Market Share of Dabur Hajmola 0% 1% 5% 1% Dabur ITC S. Pharma Divya Pharmacy Anil Foods This pie chart shows the competition that Dabur is facing from the other major players existing in the industry.G. Thus Hajm ola Candy Hajm ola Fun 2 Candy Hajm ola A nardana 46% 15 . Pharma. Hajmola tablets have the maximum share follwed by Hajmola Candy. Distribution of market share of Dabur Hajmola among its varients Diatribution of Market Share of Dabur Hajmola among its varients This chart shows the distribution of market share of Dabur Hajmola 3% 4% among Hajm ola Tablets 47% its variants.boiled candies) industry. Market Share: This helped in finding the market share of Dabur Hajmola with respect to other players and the market share of various variants of Dabur Hajmola. Divya 93% Pharmacy and Anil Foods are other competitors.

16 .maximum revenue of Dabur Hajmola comes from Hajmola tablets and Candy with 47 percent and 46 percent of total revenue respectively. Fun2Candy and Hajmola Anardana contribute about 3 percent and 4 percent respectively of total revenue.Hajmola ** as per survey done by AC Neilson-2007(Agra). This is because of the fact that north zone has the maximum number of stores and shops penetration as 72% compared to any other zone. Market Share of Dabur Hajmola (Zone-wise) Distribution of Dabur Hajmola (Zone-wise) The chart clearly shows that maximum revenue comes from North zone 18% 2% 8% East Zone South Zone North Zone West Zone followed by East zone.

According to this pie-chart.Market share of Dabur Hajmola ( On the basis of regions) Availability of Dabur Hajmola Departmental Store 2% 2% 2% 2% Medical Store 24% General Store Kirana Shops Bakery Shops Sweets Ssops 48% 20% Canteen of Institutes ** as per survey done by AC Neilson-2007(Agra). Bakery ShoSweets Shops and Canteens contribute about 2 percent of total quantities sold as they are very few in number. maximum quantities of Dabur Hajmola in Agra sell through General Stores followed by Departmental Stores and Medical Stores. 17 . ** as per survey done by AC Neilson-2007(Agra). The quantity of Dabur Hajmola sold by each General Store is less as compared to the Departmental Store but as they are many in numbers their contribution is highest in the total quantities sold of Dabur Hajmola from Agra. The Kirana Sops.

40% ROI: y y High Market Share High Product Quality Your offering is in the best quadrant. Companies which are able to combine high product quality with high market share average around 40 percent return on investment. they are prepared to pay more for it. Here i consider quality of all aspects of dabur offer. This matrix displays this relationship. 18 . and product quality.PRODUCT/MARKET PROFITABILITY Profit Impact of Market Studies (PIMS) research has shown that there is a clear relationship between profitability. market share. If customers perceive the offering as being of higher quality.

Products in this quadrant are often oriented to a mass market and are generally quite difficult to differentiate. Although you have a low market share. 20% ROI: y y Low Market Share High Product Quality Your offering is in the group that averages a 20 percent return on investment. The principle criterion for purchase is price. customers are willing to pay a higher price for the product. These profits probably result from low costs as a result of economies of scale made possible by the high market share. Low Return: y y Low Market Share Low Product Quality 19 .**Dabur Hajmola also lies in this quadrant with 93% of market share and offering high product quality. **Divya Pharmacy lies in this quadrant. though its market share is initially low but it is offering high quality products with Ayurvedic ingredients and is a prospective threat to Dabur Hajmola. 20% ROI: y y High Market Share Low Product Quality Your offering is in the quadrant that averages about 20 percent return on investment.

S.Your offering is in the quadrant where profitability is generally very low. It measures relative costs and the degree to which the organization can differentiate its products/services from those of its competitors. COMPETITIVE ADVANTAGE This matrix examines how an organization might gain a competitive advantage. **S. 20 . Both market share and product quality are below average.G. Maintain Specialty: y Differentiation: High Relative costs: High y Indicates a specialty company that markets unique products at premium price. Companies in this quadrant generally consider withdrawing their offering and making investments elsewhere.Pharma competitor of Dabur Hajmola lies in this quadrant with 1% market share and offering low quality as compared to Hajmola.

**Dabur¶s Hajmola lies in this quadrant where it provides vast customer base with relatively low costs but high product differentiation through high quality. Hope for Growth Market: y Differentiation: Low Relative costs: High y y You have high costs and a commodity type of product. The only hope for success is rapid growth of the market. Maintain Cost Advantage: y Differentiation: Low Relative costs: Low y Your products or services are much like your competitors'. 21 . Freedom to compete at any price.Outstanding Success: y Differentiation: High Relative Costs: Low y y Outstanding opportunity for success. you can compete well as the lowest cost producer. If you can maintain your cost advantage.

Brand trust is a major factor that affects consumer¶s buying patterns. Thus a brand with a high trust value for an individual consumer is a major factor to 22 Celebrity Endorsement Easy Availability Packaging Brand Price . The trends reflected are summarized in the following chart: Factors Influencing Customers Purchase Decision 30% 25% 20% 15% 10% 5% 0% 25% 16% 15% 12% 10% 6% 6% 10% Series1 Advertising Taste Main Ingredients ** as per survey done by AC Neilson-2007(Agra). This reflects the pre-purchase decision making of the consumer before the actual point of purchase. and increasing appetite.Consumer Survey Analysis The Customer survey done by AC Neilson included a question which inquired about the factors that influence the consumers to make a decision on which brand of Digestive tablet and Candies they wished to buy. helps in easing condition of flatulence. It also helps in proper digestion and relieves indigestion. Controlling Dyspepsia. 2. The traditional Indian Culinary mix of herbs and spices it contains. 25 percent of the customers are influenced by the main ingredient Dabur Hajmola contains. Interpretations: 1.

The zingy and tangy taste of Dabur Hajmola influence them to purchase it vis. 4.influencing consumer buying and comes only after the Main ingredients on 16% of the consumer¶s priority list. Customers having Celebrity Endorsement (6%) .a. 3. Advertisement (6% of the customers) and Easy Availability (10% of the customers) were among the least counted factors that accounted for the purchase of a particular brand of Digestive tablets and candies. 15 percent of the consumers are influenced by the taste of Dabur Hajmola. PRODUCT LIFE CYCLE/CUSTOMER¶S LOYALTY This chart illustrates the value of customer loyalty in markets with different levels of growth. 23 .vis its competition.

You should not be complacent. Specialist Company: y y Low Market Growth Low Customer Loyalty The low market growth makes it questionable for you to spend resources in building customer loyalty. **S. If you are a specialist company or are in the embryonic stage of a market.Develop Loyalty: y y High Market Growth Low Customer Loyalty There are clear long term advantages to developing customer loyalty in this quadrant.G Pharma¶s products lies in this quadrant with only 1% market share and low customer loyalty and customers are high switchers. **Divya Pharmacy¶s products lies in this quadrant with only 1% market share but high customer loyalty and its customers are hard core loyals.S. Your actions should be focused at the efforts required to secure this loyalty. 24 . Maintain Loyalty: y y High Market Growth High Customer Loyalty This quadrant indicates success. **Dabur Hajmola lies in this category with only 6% customers with low brand loyalty. you should continue to work to maintain that loyalty. However. your efforts may be justified. You should be reaping the rewards of customer loyalty.

even in a low-growth market. Two of the most important factors are the nature of the product itself and the extent to which the customer knows and trusts the supplier. so do not overspend in this environment. TENDENCY TO BUY Buying decisions are influenced by many factors. This chart illustrates the relationship between these factors as it relates to you and your competitors.Try Not to Lose It: y y Low Market Growth High Customer Loyalty Some customers are very loyal to their suppliers. The market is probably mature. 25 . take care not to do anything to lose that loyalty. If you have developed their trust and support.

**This quadrant is the aspiring and most sought after segment for most products and for Dabur¶s Hajmola also. Most of your customers rebuy from you most of the time if you fall into this category.Promotion: y y Well known company Me-too Product Your company is well known but your product offers little differential advantage over its competition. It is going to be difficult. to have a unique identity in customer¶s mind. You Have It Made: y y Well known company Unique Product This quadrant implies success. **Dabur¶s Hajmola lies in this quadrant as the company is well established and has aggressive advertising strategies with focus on brand endorsements combined with high and effective sales promotion strategies. Your best chance for survival is to differentiate your product to make it attractive for some subgroup of customers. The success you can expect will depend largely on your skills in sales and your efforts in the general promotion of your product. 26 . Focused Differentiation: y y Unknown company Me-Too Product Most customers will not buy from you.

**Divya Pharmacy¶s products lie in this particular quadrant. Hajmola Candy. Hajmola Anardana. 27 . Your success depends on the impact that sales and advertising make on your image. It also helps in proper digestion and relieves indigestion. Hajmola Mast Masala. and increasing appetite. pineapple.Advertising: y y Unknown company Unique Product Customers are suspicious about dealing with companies which are unknown even if they have superior products. and Hajmola Yumstick. y Dabur Hajmola offers various new and innovative variants in its product line. You must focus your efforts in these areas of marketing to be successful. Its candies are available in many flavours. Controlling Dyspepsia.aam. litchi. etc. PRODUCT y Dabur Hajmola has a very broad product line which includes Dabur Hajmola digestive tablets. y Dabur Hajmola is famous for its traditional Indian Culinary mix of herbs and spices that helps in easing condition of flatulence. though it offers unique products but is not aggressive advertiser. imli. Present Performance Of Dabur Hajmola Present performance of Dabur Hajmola on 4Ps of marketing On the basis of Retail Audit and retailers¶ response we have tried to analyze the present performance of Dabur hajmola on 4 Ps of marketing.

y Dabur Hajmola Mast Masala is being promoted on dual-benefit i. Yumstick and Anardana are promoted on Taste platform as zingy and tangy products.PRICE y y Dabur Hajmola is a low-priced product. Dabur Hajmola tablets are preferred by consumers of all age groups and consumers belonging to 35 plus age group consume it on daily basis. y The company uses Amitabh Bachchan as its brand ambassador and tries to cash in on his popularity. y Dabur Hajmola Candy and Yumstick if famous among children as it is low-priced and can be bought in quantities with their pocket money. Digestive and Tasty. y Dabur Hajmola Candy.e. PROMOTION y y Dabur Hajmola has different promotional strategies for its different products. Promotion on mass media such as television is done by the company centrally. 28 . Dabur Hajmola Tablets are promoted on Health platform as an Ayurvedic and Digestive tablets.

One-level distribution channel: Manufacturing location Institutions Customers 29 .PLACE y Dabur Hajmola¶a Supply Chain Flow Chart The various products of Dabur Hajmola are moved from its manufacturing location to Carry & Forward Agents (C&F Agents). 3-level distribution channel: Manufacturing location C&F Agents Distributors Retailers Customers. 2. The distribution channels followed are of 4 types: 1. Institutions and Export Customers. Mother Depots. The Mother Depots then distribute it to various C&F Agents who thereafter distribute them to various distributors. From these distributors it goes to retailers. 4-level distribution channel: Manufacturing location Mother Depots C&F Agents Distributors Customers Retailers 3.

but its other brands viz. east zones. BCG M trix 30 . Hajmola Mast Masala and Yumstick are not at all available in south.4. Hajmola Anardana and Hajmola Fun2Candy are somewhat weak in their distribution. Zero ±level distribution channel: Manufacturing location Export Customers y Dabur Hajmola tablets and Hajmola Candy have a very strong distribution in North zone.

As it is market leader it needs to strengthen its position in the market.Dabur Hajmola has High Business Growth and High Market Share and hence has a Star position. All the competitors of Dabur Hajmola are at the position of Question Marks as the Business Growth is high but their Relative Market Share is low. It has 93% market Share and therefore we can increase its market size by devising appropriate strategies. 31 .

yet distribution of Hajmola yumstick and Hajmola mast masala is very weak. y In the market (Agra) 68% of the total sales comes from departmental stores and medical stores. y Dabur has very rich base of knowledge in ayurveda. y Market is full of same product some new product with different attribute can be launched with new promotional strategies. 32 . and provides high quality product at relatively low price. this is because it has the penetration in this area than to any other zones. It has strong product market presentation. that creates a strong brand image in the mind of consumers. These untapped area can provide the space for its competitors.FINDINGS AND PROBLEMS y Dabur has a wide product profile than its competitors in indigestives confectionary candies segments. y Dabur¶s weakness lies in its research and development. y Most of the sales happens from the North zone.

PLACE  Provided as a replacement or complement with mouth refreshments in restaurants/food chains. These candies will help in blood purification. Dabur Hajmola Amla Candy will be provided in pack size of 500 gms priced at Rs. 20 for 110 tablets. 1 per sachet. namely Tablets with Aijwan & Black Salt as ingredients. PRICE   Dabur Hajmola Anardana sachets will be priced at Re.  Dabur Hajmola Tablets in the flavours of Aijwain and Black Salt will be priced at Rs. 33 . 50 and 1 kg priced at Rs. These offerings would be unique for Dabur Hajmola and can boost its stagnant growth in the Digestive segment. improving the eye sight.SUGGESTED STRATEGIES FOR INCREASING MARKET SIZE PRODUCT  Providing new variants of Dabur Hajmola Tablets in form of new flavors. hair strengthening and proper digestion. These will be targeted towards consumers in the age group of 35 and above. Restaurant owners can be provided with commission after setting off profit margins of the company.  Company should planning to introduce Dabur Hajmola Amla Candy.  Dabur Hajmola Anardana will be supplied in the form of small sachets. 95.

The heights of these counters should not be more than 3 fts. .  Supplied to Low cost Airlines/Railway Catering Agencies. thus can reach the target segment of Hajmola Candy i. so as to be within the reach of children. PROMOTION  Children are a primary next focus for the company and it needs to channelise adequate promotion focus through such media as Cartoon Channel and other children related programmes  Endorsements by health care professionals. Therefore. These vendors can be hired on commission basis directly or through particular Ice-Cream manufacturing companies. as customers can trust these professionals due to their profession and experience 34 . The target segment for this strategy is children above 4 years. Dabur Hajmola can enter into strategic alliance with Indian Railways or with various Zonal Railways catering services to supply Hajmola after the meals as a digestive tablet. we are planning to enhance its shelf space by providing prompt delivery to the retailers. Hajmola Mast Masala and Hajmola Yumstick is very weak. Dabur Hajmola to promote its Digestive segment can engage it¶s products to be endorsed by health care professionals. children.  Provided to licensed Ice-Cream Vendors. Counters mean the cash or delivery counters. Can be placed at Counters in Showrooms/Malls.  The distribution of some products of Dabur Hajmola viz.e. These licensed Ice-Cream Vendors are present in every nook and corners of the country.

35 .Conclusion  All these plans have been prepared taking into consideration of the available information from various sources.  All the strategies should be implemented in a phased manner keeping both long term and short term objectives in mind. But still my strategy is open to change if required.  I would like to inform you that while preparing all these plans I have tried to consider every nook and corner and have left no stone unturned.  These strategies will be rolled out in a phased manner as in requirement with our short term and long term objectives. And once successful it can be reconsidered and launched on the national and international stage.

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