Analyzing Business Market – Buyer’s Black Box

Marketers want to understand how the stimuli are changed into responses
insider the consumer’s black box, which has two parts.
1) Buyer’s Characteristics

The Buyer’s Characteristics influences how he or she perceives and reacts to the
stimuli. Consumer behaviour is influenced by four factors-
1) Cultural (Culture, Subculture, and social class)
2) Social (Reference group, Family and Social roles and status)
3) Personal (Age and stage life cycle, Occupation, Economic situation,
Lifestyle, and personality and self-concept)
4) Psychological (Motivation, Perception, Learning, and Beliefs and attitudes)
When it comes to the product Dabur honey the physiological process which
affects the buying behaviour of the customer is
 Motivation - The product its self is a motivational product for the health-
conscious people and help to lose weight. Specifically, Honey is deemed
as one of the best health foods across the globe.
 Perception – It is the band loyalty and purity of the product. Dabur
Honey has always been the preferred choice of consumers when it comes
to Pure Honey, and it is this love that has made Dabur Honey not only
one of the Best Honey Brands in India but also one of the Best Honey
Brands in the World.
 Learning- Learning and memory is the use of brand ambassadors such as
M.S Dhoni and Amitabh Bachchan and the tag line used as "Cheeni Ko
Maaro Dhakka", in a new campaign to push forward Dabur Honey's
brand's message, 'Drop Sugar and switch to honey." Which engaged in a
competition on 'Who Will Make India Healthier' by getting consumers to
switch to Dabur Honey. They go on to talk about how Dabur Honey
provides one with unbelievable amounts of energy, fitness, and a perfect
figure.
 Beliefs and Attitudes – Dabur believes, every individual should take
advantage of the various benefits of pure honey by making it a part of
 their daily routine. Consumers can do this by either having a spoon of
honey first thing in the morning for weight management. You can also
substitute it for sugar in your daily diet. Consumers have attitudes
towards honey recognized as herbal and medicated thousands of years, it
has been used by mankind in many capacities to help the human body
energy and health.

2) Buyer’s Decision Behaviour and Process

The Buyer’s Decision Behaviour
Consumer buying behaviour is determined by the level of involvement that a
consumer shows towards a purchase decision. The amount of risk involved in
purchase also determines the buying behaviour. Higher priced goods tend to
high higher risk, thereby seeking higher involvement in buying decisions.

There are four types of consumer buying behaviour:

1. Complex buying behaviour
Consumers undertake complex buying behavior when they are highly involved
in a purchase and perceive significant differences among brands. Consumers
may be highly involved when the product is expensive, risky, purchased
infrequently, and highly self-expressive.
This buyer will pass through a learning process, first developing beliefs about
the product, then attitudes, and then making a thoughtful purchase choice.
Marketers of high-involvement products must understand the information-
gathering and evaluation behavior of high-involvement consumers. They need
to help buyers learn about product-class attributes and their relative importance.
They need to differentiate their brand’s features, perhaps by describing the
brand’s benefits using print media with long copy. They must motivate store
salespeople and the buyer’s acquaintances to influence the final brand choice

2. Dissonance-reducing buying behaviour

Dissonance-reducing buying behavior occurs when consumers are highly
involved with an expensive, infrequent, or risky purchase but see little
difference among brands. For example, consumers buying carpeting may face a
high-involvement decision because carpeting is expensive and self-expressive.
Yet buyers may consider most carpet brands in a given price range to be the
same. In this case, because perceived brand differences are not large, buyers
may shop around to learn what is available but buy relatively quickly. They may
respond primarily to a good price or purchase convenience.
After the purchase, consumers might experience post-purchase dissonance
(after-sale discomfort) when they notice certain disadvantages of the purchased
carpet brand or hear favorable things about brands not purchased. To counter
such dissonance, the marketer’s after-sale communications should provide
evidence and support to help consumers feel good about their brand choices.

3. Habitual buying behaviour

Habitual buying behavior occurs under conditions of low-consumer
involvement and little significant brand difference. For example, take table salt.
Consumers have little involvement in this product category—they simply go to
the store and reach for a brand. If they keep reaching for the same brand, it is
out of habit rather than strong brand loyalty. Consumers appear to have low
involvement with most low-cost, frequently purchased products.
In such cases, consumer behavior does not pass through the usual belief-
attitude-behavior sequence. Consumers do not search extensively for
information about the brands, evaluate brand characteristics, and make weighty
decisions about which brands to buy. Because they are not highly involved with
the product, consumers may not evaluate the choice, even after purchase. Thus,
the buying process involves brand beliefs formed by passive learning, followed
by purchase behavior, which may or may not be followed by evaluation.
 4. Variety seeking behaviour
Dabur Honey Falls in Variety Seeking Behaviour where the consumers buy
Dabur Honey and next time the consumers switch to different brands
because a greater number of brands are available in the market. Patanjali
Honey and Local Honey are available. Consumers try different brands that
they prefer and regularly switch into brands.
Consumers undertake variety-seeking buying behavior in situations
characterized by low consumer involvement but significant perceived brand
differences. In such cases, consumers often do a lot of brand switching. For
example, when buying cookies, a consumer may hold some beliefs, choose a
cookie brand without much evaluation, and then evaluate that brand during
consumption. But the next time, the consumer might pick another brand out of
boredom or simply to try something different. Brand switching occurs for the
sake of variety rather than because of dissatisfaction.
In such product categories, the marketing strategy may differ for the market
leader and minor brands. The market leader will try to encourage habitual
buying behavior by dominating shelf space, keeping shelves fully stocked, and
running frequent reminder advertising. Challenger firms will encourage variety
seeking by offering lower prices, special deals, coupons, free samples, and
advertising that presents reasons for trying something new.

The Buyer’s Decision Process

1) Need Recognition
As the buyer recognizes a problem or needs for choosing honey for losing
weight or a remedy for cough and cold, by seeing the advertisements of Dabur
Honey buyers might think to buy the product.
2) Information Search
An interested consumer may or may not search for more information. If the
consumer’s drive is strong and a satisfying product is near at hand, he or she is
likely to buy it then. If not, the consumer may store the need in memory or
undertake an information search related to the need.
Dabur Honey is being sourced from various beehives; raw honey is tested on
various parameters; including adulteration. After these tests, honey is blended in
the right proportion to get that perfect texture, aroma, taste, and colour. Before
sealing the various Dabur Honey bottles, they are sterilized
3) Evaluation of Alternatives
Consumers might evaluate another alternative brand in the market. They might
make a buying decision on their own, sometimes they ask family or friends,
online reviews, or salesperson for buying decision. Consumers will be interested
in a different brand of pricing, availability in their locality, or buying online,
Taste, and Preferences. Dabur Honey has many competitors in the market with
different pricing and the taste and purity of honey differ from brands.
4) Purchase Decision
Consumers will make the decision to buy the most preferred brand. Dabur
Honey as a brand preferred most consumers to buy pure honey.
5) Post-purchase Behaviour
The post-purchase behaviour of the consumers for the brand Dabur Honey has
satisfied the need with the taste and as a brand. However, Consumers might
dissatisfy and might switch to other brands in the market.

Market Segmentation Target and Positioning:

Market Segmentation
Segmentation: Identifying all segments for the product/service.
The market consists of many types of customers, products, and needs. The
marketer must determine which segments offer the best opportunities.
Consumers can be grouped and served in various ways based on geographic,
demographic, psychographic, and behavioral factors. The process of dividing a
market into distinct groups of buyers who have different needs, characteristics,
or behaviors, and who might require separate products or marketing programs,
is called market segmentation.
Dividing a market into distinct groups of buyers who have different needs,
characteristics, or behaviours, and who might require separate marketing
strategies or mixes. Segmenting Consumer Markets:
1) Geographic Segmentation
Dabur Honey is available across all the cities of every nook and corner of
different parts in India. Dabur Honey is also exported in North American and
South Asian Segments.
2) Demographic Segmentation
Dabur Honey is consumed to all age groups, all income groups, and all gender
groups.
3) Psychographic Segmentation
Dabur Honey can create a better lifestyle for the consumers where honey helps
the human body to be fit, energy, and health. Healthy Recipes cam be made
using Honey like Drinking Hot water or green tea mixing with honey.
4) Behavioural Segmentation
Dabur Honey is consumed on every occasion whether it is summer, monsoon,
or winter. Honey is among the most popular and widely used sweetener with
enormous health benefits. It is used by several cultures around the world serving
as a base for many traditional medicines, especially in Ayurveda. It is useful in
weight management, strengthens immune systems, nourishes your face and
skin, home remedy for cough, remedy for dandruff, and use for healing wounds.

Targeting
Target Marketing refers to a concept in marketing which helps the
marketers to divide the market into small units comprising of like-minded
people. Such segmentation helps the marketers to design specific strategies and
techniques to promote a product amongst its target market. A target market
refers to a group of individuals who are inclined towards similar products and
respond to similar marketing techniques and promotional schemes.
Once a company decides on its target audience, it implements various
promotional strategies to make a brand popular amongst them.
Basis of Target Marketing
 Age
 Gender
 Interests
 Geographic location
 Need
 Occupation

Positioning
Positioning is an essential component - and skill - in good marketing. Perceptual
maps are used to determine the position of a product, firm, person, service, or
idea. Positioning maps or perceptual maps can be simple, yet very effective
marketing tools. One definition of Positioning Theory is the science of
perceptual strategy. It is based on a theory that strategy can only be planned in
the mind of the consumer, not the marketplace.
A good positioning makes a product unique and makes the users consider using
it as a distinct benefit to them. A good position gives the product a USP (Unique
selling proposition)

Dabur Honey Brand Analysis

Parent Company Dabur
Category Food Products
Sector FMCG - Food & Beverages
Maar Dhakka; Drop Sugar, Switch to
Tagline/ Slogan
Dabur honey; Guaranteed Pure
Healthy honey which provides energy
USP
and taste

The STP for dabur honey is as below

STP
Segment People seeking sweet honey as a food ingredient
Target Group All age groups, Lower, middle, Upper Income class
Positioning Replacement for sugar

Branding:
For the repositioning of Dabur product, the company changed the logo, Dabur
decided to revamp its brand identity. Dabur associated itself with Amitabh
Bachchan, Vivek Oberoi, Rani Mukherjee, and Virender Sehwag for
endorsements. The new packaging and advertising campaign saw the sales of
honey growing rapidly.
And the recent logo of dabur honey is

The year 2004-05 saw a whole new brand identity of Dabur. The old Banyan
tree was replaced with a new, fresh Banyan tree.
The logo was changed to a tree with a younger look. The leaves suggesting
growth, energy, and rejuvenation, twin colours reflecting perfect combination of
stability and freshness, the trunk represented three people raising their hands in
joy, the broad trunk symbolized stability, multiple branches were chosen to
convey growth, and warmth and energy were displayed through the soft orange
colour. ‘Celebrating Life’ was chosen as a new tag that completely summarized
the whole essence.
Dabur has released a compilation of honey-based recipes, titled ‘Big Bee’s
Secret Honey Recipes.’ Amitabh Bachchan, after whom the book is titled, is the
brand ambassador of Dabur Honey along with M.S Dhoni.

SWOT Analysis of Dabur Honey

Strengths
1.Strong Dabur brand name
2.Excellent branding and advertising
3.Excellent distribution and
availability
Weaknesses
1. Dabur honey has only one type of
honey flavor
2. although honey is good for health
but it contains natural sugar which is
not good for diabetic patients

Opportunities Threats
1. Leverage successful brand Dabur 1. People preferring local made honey
2. Advertise more 2. New Entrants in Market like
3. Buy out competition Patanjali
4. Innovation in different types of 3. Honeybees are becoming extinct
honey

Dabur India CSR activity

1) Sustainable Development Society (Sundesh)
Sundesh is a non – profit organization engaged in carrying out welfare activities
with the aim of improving the quality of life of the people in rural areas. Mr.
Pradip Burman is the Founder Chairman. Sundesh is majorly involved in Health
Care, Education, and other socio-economic activities.
Sundesh started with Health Care and today its activities have diversified into
various other projects like education, veterinary services, and income generation
activities. These projects were implemented after the need assessment survey of
the rural community. The enthusiastic volunteers support the society in
implementing various projects in rural areas through their consistent efforts.
Sundesh is executing various integrated rural development projects in the
villages of Ghaziabad and Gautam Budh Nagar Districts (Uttar Pradesh) in
India.
SUNDESH is associated with the following activities
 Education
 Health Care
 Self Help Groups (Micro Credit Society)
 Income Generation

2) A Greener Tomorrow

Dabur has identified environmentally sensitive species of medicinal plants and

herbs, and develop methodologies to address their sustainability concerns.
Dabur has joined hands with local NGOs across the country and has been
involved in undertaking special training programs for farmers, villagers, and
tribal communities across the country to train them on sustainable and
environment-friendly cultivation processes.
For protecting rare species of herbs and medicinal plants, we engage directly
with the community through these NGOs. Our continuous engagement with the
community has not only helped revive a host of these endangered species but
also establish a sustainable source of livelihood for these forest-based
communities.
Dabur sign MoUs with four NGOs – Madurai-based Covenant Centre for
Development, Asha Gramodyoga Sansthaan of U.P., Kovel Foundation of A.P.,
and Katni-based Manav Jeewan Vikas Samity. Together with these
organizations, Dabur undertook a host of interventions across India to not just
protect rare medicinal and aromatic plants, but also enhance the livelihood of
local farmers. In all, 12 training camps were organized for farmers and tribal
community members, benefiting 800 farmers.
In addition, Dabur has established three field demonstration units for local
communities, besides 500,000 seedlings/saplings were given free of cost to
farmers across the country. Our agronomical initiatives today cover India and
Nepal. In India, the coverage of our agronomical endeavours is now spread over
13 states. Across these states, the total area under cultivation stands at over
1,411.50 acres, a 41.5% increase over 2013-14. This exercise now involves
1,674 beneficiary farmers who have been linked to our program, an increase of
nearly 57% from the previous year.

3) Beekeeping Project by Dabur Honey

Dabur has started a great initiative of the Beekeeping project in Bihar and in
Madhya Pradesh (Umaria & Katni District). Dabur has planned the same in the
Sundarban forest area of West Bengala as well. The aim of this project is to
provide a new stream of income and to alleviate poverty through the training
and support of local NGOs in the practice of beekeeping.

Madhya Pradesh

In Katni District, 200 colonies were distributed and 20 persons are trained. The
main flora in this region is Mahua flower. Nectar flow in this region is very low.
The main factors responsible are: -
Mahua Flower once thought to be the best source of nectar, but actually, this
flower is a source of honeydew that is present in the petals of a flower.
In order to get honeydew from the flower, it has to be crushed or damaged with
something.
This flower is also used for making alcohol, so while dropped from trees these
flowers are collected by local people. In Bandhavgarh (Umaria district), the
flora is very vast which is very good for beekeeping practices. But the main
problem is of bears.
Bihar

Dabur has been doing a beekeeping initiative with the help of Jeevika BRLPS
(Bihar Rural Livelihood Promotion Society) in Bihar state. The main district
under this program is Khagria & Muzaffarpur. Money, subsidy, and other
financial help are being provided by Jeevika BRLPS.
Under this Initiative, 3000 Beehives were distributed to 300 rural families (10
hives to each family). Dabur trained 640 villagers about Beekeeping. People in
this area are basically bee hunters. So, this initiative has helped in transforming
these villagers from bee hunters to beekeepers.
Bees help in the pollination in flowers and pollination help in enhancing the
quality & quantity of fruits or crops. So, beekeeping will help the rural people in
both ways, honey & other product of bees will give them money and also
increases the production of crops and fruits.
Bees help in the pollination in flowers and pollination help in enhancing the
quality & quantity of fruits or crops. So, beekeeping will help the rural people in
both ways, honey & other product of bees will give them money and also
increases the production of crops and fruits.
The Positive impact of this Initiative seen in near future: -
 Provision of an additional high energy food source for Men, women, and
their families hence improved health status.
 Due to proper pollination, the productivity of the crop will increase.
 The improved income of rural people through the selling of bee products.
 Reduce rural-urban migration, unemployment.
 The presence of beehives lowers the risk of deforestation. Hence helps in
restoring biodiversity.