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Project Report
on
Marketing Strategies of Dabur Products
Submitted in Partial Fulfillment for the
Degree of Bachelor of Business
Administration

S.S. JAIN SUBODH P.G (Autonomous) COLLEGE JAIPUR

(2021-22)

SUBMITTED BY SUBMITTED To
DR.Devendra kumar sharma
Harman Singh(2041069)
Harsh Dixit(2041070)
Harsh Jain(2041071)
Harsh phalor(2041072)
Harsh Soni(2041073)
Harsha Jotwani(2041074)
CERTIFICATE

Certified that this project report entitled Marketing Strategies of Dabur Products
is a record of project work done in group by Mr. Harman Singh,Harsh
Dixit,Harsh Jain,Harsh Phalor,Harsh Soni,Harsha Jhotwani under my guidance
and supervision and that it has not previously formed the basis for the award of
any degree, fellowship or associate ship to his/her.

Dr. Devendra kumar sharma

S.S.Jain Subodh P.G.(Autonomous)College

Jaipur
DECLARATION

Our group student of BBA Sem VI hereby declare that the project work presented in this report is my own
work and has been carried out under the supervision OF DR. DEVENDRA KUMAR SHARMA of S.S Jain
Subodh P.G(Autonomous) College.
This work has not been previously submitted to any other university for any examination.

Harman Singh
Harsh Dixit
Harsh Jain
Harsh Phalor
Harsh Soni
Harsha Jhotwani
S.S. Jain Subodh P.G.(Autonomous) College
Jaipur
ACKNOWLEDGEMENT

It is not often in life that you get a chance of appreciating and expressing your feelings in black
and white to thank the people who have been a crucial part of your successes, your
accomplishments, and your being what you are today. I take this opportunity to first of all thank
the Faculty at S.S. Jain Subodh P.G.(Autonomous)College, especially Prof. K.B.Sharma,
Principal, and Dr.Priti Gupta for inculcating and instilling in me the knowledge, learning, will-
power, values and the competitiveness and professionalism required by me as a management
student.
I would like to give special thanks to Dr.devendra kumar sharma for educating me silver lining in every
dark cloud. Her enduring efforts, guidance, patience and enthusiasm have given a sense of direction and
purposefulness to this project and ultimately made it a success.
I express my sincere and heartiest thanks to everyone who has contributed towards the successful
completion of the Project.

Last but not the least; I would like to thank my family: my parents, for supporting me spiritually
throughout my life.
The errors and inconsistencies remain my own.

Harman Singh
Harsh Dixit
Harsh Jain
Harsh Phalor
Harsh Soni
Harsha Jhotwani
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PREFACE

This project had been undertaken for “MARKETING STRATEGIES OF DABUR


PRODUCTS”.

Dabur India Limited is the fourth largest FMCG Company in India with interests in Health care,
Personal care and Food products. Building on a legacy of quality and experience for over 100
years, today Dabur has a turnover of Rs.2233.72 crore with powerful brands like Dabur
Amla, Dabur Chyawanprash, Vatika, Hajmola & Real.

In order to gather the most appropriate and accurate data survey was conducted in

various location and markets in NCR Region. The data was assimilated with the help of

a questionnaire aimed and designed to extract the most correct and conclusive
information.

The consumers were requested to fill the questionnaire and were also asked various

other relevant questions revealing detailed information apart from that in the

questionnaire.

The survey was conducted successfully and its findings have been studied, analyzed

and have led to a conclusion, included in the report, which could prove to be fruitful for

the project.

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TABLE OF CONTENT

Ch-1 Introduction and nature of job assigned


Ch-2 Company profile
History
Vision, Mission and objectives of the company
Organizational structure/Management hierarchy
Products and services offered
Future plans
Ch-3 Research Methodology
Major findings
Future growth prospects
Ch-4 Analysis and Interpretation
Ch-5 Conclusion and suggestions

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CHAPTER 1
INTRODUCTION

INTRODUCTION

Dabur India Limited is one of the leading consumer goods company of India with interests in
healthcare, personal care and foods. For more than a century Dabur has worked in active
collaboration with nature to provide the best of herbal health and personal care products to its
consumers. Today, Dabur is all set to take this abundant knowledge of Ayurveda to global
frontiers.
Dabur India Limited is the fourth largest FMCG Company in India with interests in Health
care, Personal care and Food products. Building on a legacy of quality and experience for
over 100 years, today Dabur has a turnover of Rs.2233.72 crore with powerful brands like
Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola & Real.

CORPORATE PHILOSOPHY:

Knowledge is the key to growth in today's world. Whatever the industry, it is the knowledge,
which provides cutting edge to individual and organizations. For more than a century nature has
been a rich source of knowledge for Dabur. Nature has not only given us the ingredients for all
our products but has also taught us how to create a harmony within and without the organization.
Nature has inspired us in all our acts. Ayurveda - the science of life is based on principles of
nature. All Ayurvedic preparations have their ingredients derived from Nature. Dabur has
converted the healing properties of natural ingredients and the age-old knowledge of Ayurveda
into contemporary healthcare products to alleviate health problems of its consumers.

Dabur is committed to expand the reach of this age-old knowledge of Ayurveda and Nature
through web. Through web, they aim to overcome the physical boundaries to take Ayurvedic
way of life to global frontiers.
Dabur India Limited understands its responsibility as a corporate house. We have not only set our
sight on increasing turnover and profitability of the company but also onpropagating Ayurveda - the
Indian system of medicine.

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INDUSTRY OVERVIEW

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Past Present and Future of The Industry

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Major Players and The Market Share

Name Last Price Market Cap. Sales Net Profit Total Assets
(Rs. cr.)

Turnover

HUL 796.70 172,395.59 30,805.62 4,315.26 3,724.78

Dabur India 267.55 47,065.82 5,431.28 762.58 2,465.32

Godrej Consumer 1,255.80 42,764.13 4,429.80 654.45 3,383.39

Colgate 948.25 25,791.04 3,981.94 558.98 770.31

Marico 397.70 25,655.05 4,681.20 545.17 2,520.27

Emami 1,012.20 22,973.66 2,030.64 471.63 1,220.53

P and G 5,716.80 18,557.15 2,333.79 346.14 1,228.68

Gillette India 4,647.55 15,144.14 1,973.50 158.13 742.34

Godrej Ind 382.65 12,856.61 1,454.64 148.81 3,453.43

Bajaj Corp 426.75 6,294.56 821.29 173.31 491.80

Jyothy Labs 300.95 5,450.60 1,437.82 142.79 1,361.69

GKB Ophthalmics 84.05 34.91 29.85 -2.26 22.88

JHS Svendgaard 12.50 30.12 55.32 -22.14 120.59

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CHAPTER 2

COMPANY PROFILE

Company History

OVER THE YEARS:

The story of Dabur goes back to 1884, to a young doctor armed with a degree in medicine and a
burning desire to serve mankind. This young man, Dr. S. K. Burman, laid the foundations of
what is today known as Dabur India Limited. From those humble beginnings, the company has
grown into India's leading manufacturer of consumer healthcare, personal care and food
products. This phenomenal progress has seen many milestones, some of which are mentioned
below:

1884 Birth of Dabur

1896 Setting up a manufacturing plant

Early 1900s Ayurvedic medicines

1919 Establishment of research laboratories

1920 Expands further

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

1972 Shift to Delhi

1979 Sahibabad factory / Dabur Research Foundation

1986 Public Limited Company

1992 Joint venture with Agrolimen of Spain

1993 Cancer treatment

1994 Public issues

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1995 Joint Ventures

1996 3 separate divisions

1997 Foods Division / Project STARS

1998 Professionals to manage the Company

2000 Turnover of Rs.1,000 crores

2003 Dabur demerges Pharma Business

2005 Dabur aquires Balsara

2005 Dabur announces Bonus after 12 years

2006 Dabur crosses $2 Bin market Cap, adopts US GAAP

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

2007 Celebrating 10 years of Real

2007 Foray into organised retail

2007 Dabur Foods Merged With Dabur India

1884 -
Dr. S K Burman lays the foundation of what is today known as Dabur India Limited. Starting
from a small shop in Calcutta, he began a direct mailing system to send his medicines to even the
smallest of villages in Bengal. The brand name Dabur is derived from the words 'Da' for Daktar
or doctor and 'bur' from Burman.

1896 -As the demand for Dabur products grows, Dr. Burman feels the need for mass production
of some of his medicines. He sets up a small manufacturing plant at Garhia near Calcutta.

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1900s -
The next generation of Burmans takes a conscious decision to enter the Ayurvedic medicines
market, as they believe that it is only through Ayurveda that the healthcare needs of poor Indians
can be met.

1919 -
The search for processes to suit mass production of Ayurvedic medicines without compromising
on basic Ayurvedic principles leads to the setting up of the first Research & Development
laboratory at Dabur. This initiates a painstaking study of Ayurvedic medicines as mentioned in
age-old scriptures, their manufacturing processes and how to utilize modern equipment to
manufacture these medicines without reducing the efficacy of these drugs.

1920s -
A manufacturing facility for Ayurvedic Medicines is set up at Narendrapur and Daburgram.
Dabur expands its distribution network to Bihar and the north-east.

1936 -
Dabur India (Dr. S K Burman) Pvt. Ltd. is incorporated.

1940 -
Dabur diversifies into personal care products with the launch of its Dabur Amla Hair Oil. This
perfumed heavy hair oil catches the imagination of the common man and film stars alike and
becomes the largest hair oil brand in India.

1949 -
Dabur Chyawanprash is launched in a tin pack and becomes the first branded Chyawanprash of
India.

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1956 -
Dabur buys its first computer. Accounts and stock keeping are one of first operations to be
computerized.

1970 -
Dabur expands its personal care portfolio by adding oral care products. Dabur Lal Dant Manjan
is launched and captures the Indian rural market.

1972 -
Dabur shifts base to Delhi from Calcutta. Starts production from a hired manufacturing facility
at Faridabad.

1978 -
Dabur launches the Hajmola tablet. This is the first time that a classical Ayurvedic medicine is
branded - from Shudhabardhak bati to Hajmola tablet.

1979 -
The Dabur Research Foundation (DRF), an independent company, is set up to spearhead Dabur's
multi-faceted research.

1979-
Commercial production starts at Sahibabad. This is one of the largest and most modern
production facilities for Ayurvedic medicines in India at this time.

1984 -
The Dabur brand turns 100 but is young enough to experiment with new offerings in the market.

1986 -
Dabur becomes a public limited company through reverse merger with Vidogum Limited, and is
re-christened Dabur India Limited.

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1989 -
Hajmola Candy is launched and captures the imagination of children and establishes a large
market share.

1992 -
Dabur enters into a joint venture with Agrolimen of Spain for manufacturing and marketing
confectionery items such as bubble gums in India.
1993 -
Dabur sets up the oncology formulation plant at Baddi, Himachal Pradesh.

1994 -
Dabur India Limited comes out with its first public issue. The Rs.10 share is issued at a premium
of Rs.85 per share. The issue is oversubscribed 21 times.

1994 -
Dabur reorganizes its business with sales and marketing operations being divided into 3 separate
divisions.

1994 -
Dabur enters the oncology (anti-cancer) market with the launch of Intaxel (Paclitaxel). Dabur
becomes only the second company in the world to launch this product. The Dabur Research
Foundation develops the unique eco-friendly process of extracting the drug from the leaves of
the Asian Yew tree.

1995 -
Dabur enters into a joint venture with Osem of Israel for food and Bongrain of France for cheese
and other dairy products.

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1996 -
Dabur launches Real Fruit Juice which heralds the company's entry into the processed foods
market.

1997 -
The Foods division is created, comprising of Real Fruit Juice and Hommade cooking pastes to
form the core of this division's product portfolio.

Project STARS (Strive To Achieve Record Successes) is initiated by the company to achieve
accelerated growth in the coming years. The scope of this project is strategic, structural and
operational changes to enable efficiencies and improve growth rates.

1998 -
The Burman family hands over the reins of the company to professionals. Mr. Ninu Khanna joins
Dabur as the Chief Executive Officer.

1999-2000 - Dabur achieves the Rs.1000 crore turnover mark.

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OBJECTIVE

VISION

"Dedicated to the Health and Well Being of Every Household."

Dabur is a company with a set of established business values, which direct its

functioning as well as all its operations. In this, Dabur is guided by the words of its

founder Dr. S K Burman "What is that life worth that cannot give comfort to others."

The company offers its consumers, products to suit their needs and give them good

value 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 material but also an

inspiration and the company is committed to protect the ecological balance.

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MISSION

"To be the leader in the Natural Foods & Beverages Industry."

Strive to deliver this by:

 Consistently delighting the


consumer through quality
products

 Being the company of choice


for our business partners

 Delivering higher returns to stakeholders.

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BRAND MANAGEMENT STRATEGIES

The caselet provides an overview of brand management strategy adopted by Dabur for its
personal care brand Dabur Vatika. The caselet follows the meticulous brand building initiatives
taken by the company, from the launch of Dabur Vatika in 1995 to it becoming a Rs 1 bn brand
by 2003. The caselet also examines the objectives and elements that were involved in Vatika’s
brand building exercise.

Marketing strategies

» Brand management strategies


» Product differentiation
» Packaging as a marketing communication tool
» Importance of choosing the right celebrity and its influence on the brand equity
» Brand extensions and communication strategy

Until the early 1990s, Dabur, the 100-year old ayurvedic products manufacturer, was looked
upon as a rather staid company that marketed herbal and ayurvedic products.

Dabur Vatika in 1995 brought about a sea change in that perception. Within six years of its
launch, Vatika had become the market leader in the value-added hair oils segment. Its success
pushed Dabur into the league of top FMCG product companies in India. Dabur Vatika’s success
can be attributed to the company’s differentiated product offering and meticulous brand building
initiatives. The company concentrated on differentiating the brand in all aspects, right from
positioning to packaging. At the time of its launch, Dabur positioned Vatika as value-added hair
oil that contained pure coconut oil enriched with natural ingredients such as henna, amla
(gooseberry), and lemon. Till then, the hair oil market had been dominated by plain coconut oil

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brands with Marico’s flagship brand, Parachute, being the market leader.

1. Dabur Vatika, one of the youngest brands in the country (launched in 1995), has become a
leading brand in the natural personal care product segment. What were the factors that
enabled Vatika to become a flagship brand of Dabur in such a short span of time?

2. Marketing communications play an important role in building brands. Discuss the role
played by marketing communications in making Dabur Vatika a successful brand.

Chyawanprash

The leader in the chyawanprash market in India, Dabur Chyawanprash is one of the most well

known Ayurvedic product in India and abroad. An effective herbal immunomodulator, Dabur

Chyawanprash has the essential goodness of amla and over 50 other herbs. Dabur has conducted

several clinical trials on this product which confirm its efficacy as a unique product that

strengthens the body from within.

Digestives

Hajmola Tablets

Hajmola Tablets are the first classical Ayurvedic product to be branded and positioned as fun-

filled product with medicinal properties. It finds mention in Ayurvedic scriptures as

Kshudhavardhak Bati, and was branded as Hajmola, a name derived from Hajma which means

digestion in Urdu. It is available in regular and tamarind flavour.

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HajmolaCandy

To cash in on the brand equity enjoyed by Hajmola, Dabur launched Hajmola Candy in 1989.

Since then, the company has added Mango and tamarind flavours besides the regular one.

PudinHara

One of the oldest products in Dabur portfolio, Pudin Hara is available in liquid as well as capsule

form. It has a special combination of mint oils and cures gastric problems without any side

effects.

Hingoli

Asafoetida or Hing is mentioned in Ayurveda as an effective aid in digestion, and is used a lot in

Indian cooking. Dabur's Hingoli has all the goodness of asafoetida and other herbs.

Childcare Products

DaburLalTail

The largest baby massage oil in India, it has the goodness of herbs which helps in strengthening

the bones of infants.

DaburJanmaGhutti
This Ayurvedic preparation helps in strengthening the digestive system of new borns.

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FAMILYCARE PRODUCTS

The largest division in terms of sales, the Family Products Division of Dabur has in its portfolio
hair care and skin care products, oral care and select foods like honey.

Hair & Skin Care

Dabur is the leader in hair care products in India, and has covered almost all the categories of

hair oils.

Dabur Amla Hair Oil -

As a brand has made its mark beyond India and is a leading hair oil brand in middle East and

Africa. A perfumed heavy hair oil, it is Dabur's largest brand.

Dabur Special Hair Oil -

It is light hair oil that combines the natural hair care properties of lemon and hibiscus.

Vatika -

The fastest growing hair oil brand of India, Vatika has single handedly created an altogether new

category of herbal enriched natural oils. The Vatika range also includes a herbal shampoo which

has made its mark in the very first year of its launch in the competitive shampoo market of India.

Gulabari -

Rose water derived from best of Indian roses makes the skin supple and glowing.

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ORAL CARE

Dabur Lal Dant Manjan - It is the second largest tooth powder brand of India and the largest in

coloured tooth power category. This herbal tooth powder is very popular in rural parts of India.

Binaca Toothbrushes - After having acquired this dormant brand a few years back, Dabur

launched toothbrushes under this umbrella. There are plans to launch other oral care products

under the Binaca brand.

AYURVEDIC SPECIALITIES

Ayurvedic Specialities is a range of over 350 Ayurvedic Medicines -

Both classical Ayurvedic drugs and proprietary Ayurvedic medicines - developed by Dabur's

own research and development. Dabur has products for all the 16 categories as defined in the

Ayurveda. Some of the leading products in this category are:

Asav Arishtas -
These are medicated decoctions with a self generated alcohol content. Dabur has a range of over

30 Asav Arishtas. Some of the well known ones include Dashmularishta, Drakshasava,

Lohasava, Parthadyarishta and Ashokarishta.

Chumas -

These are finely ground medicinal powders used to treat a variety of ailments ranging from

digestive problems to cough and fever.

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Ras Rasayanas -

Preparations containing mineral drugs as main ingredients are called Ras Rasayanas. Dabur has a

range of more than 50 Ras Rasayans which are used by Ayurvedic practitioners in the cure of

host of ailments.

Medicated Oils -

The oils boiled alongwith certain prescribed durgs are known as medicated oils. These oils

retain the curative properties of herbs and is used for inunction and massage.

PHARMACEUTICALS

Branded Pharmaceuticals -

It includes a range of natural ethical products like New Livfit, Honitus, Ulgel etc. and a range of

contrast media and gynecological.

Oncology -

This wide and formidable range includes brands such as Intaxel, Docetaxel and Topotecan, all of

which were manufactured for the first time in India by Dabur. Little wonder then, that Dabur is

the undisputed market leader in this category in India and has plans to establish itself as a generic

oncology player in select global markets.

Bulk Drugs and Chemicals -

This range consists primarily of bulks in the oncology category.

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FOODS

Launched over two years back, the Dabur Foods range include juices under the brand name Real

and cooking pastes under the brand name Hommade. To give a better focus to this division. This

division has been carved out as a subsidiary company of Dabur India Limited.

SUBSIDIARIES

Dabur Foods Limited - Dabur Foods Limited, a 100% subsidiary of Dabur India Limited, is

spearheading Dabur's foray into food processing industry. The company, set up in April 1999, is

marketing a range of fruit juices under the brand name Real, Hommade Cooking Paste and

Sauces and Lemoneez lemon juice.

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DABUR GROUPS
With a basket including personal care, health care and food products, Dabur India
Limited has set up subsidiary Group Companies across the world that can manage its
businesses more efficiently. Given the vast range of products, sourcing, production and
marketing have been divested to five leading group companies that conduct their
operations independently:

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MILESTONES TO SUCCESS

Dabur India Ltd. made its beginnings with a small pharmacy, but has continued to learn and
grow to a commanding status in the industry. The Company has gone a long way in
popularising and making easily available a whole range of products based on the traditional
science of Ayurveda. And it has set very high standards in developing products and processes
that meet stringent quality norms. As it grows even further, Dabur will continue to mark up on
major milestones along the way, setting the road for others to follow.

1884 - Established by Dr. S K Burman at Kolkata

1896 - First production unit established at Garhia

1919 - First R&D unit established

Early 1900s - Production of Ayurvedic medicines


Dabur identifies nature-based Ayurvedic medicines as its area of specialisation. It is the first
Company to provide health care through scientifically tested and automated production of
formulations based on our traditional science.

1930 - Automation and upgradation of Ayurvedic products manufacturing initiated

1936 - Dabur (Dr. S K Burman) Pvt. Ltd. Incorporated

1940 - Personal care through Ayurveda


Dabur introduces Indian consumers to personal care through Ayurveda, with the launch of
Dabur Amla Hair Oil. So popular is the product that it becomes the largest selling hair

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oil brand in India.

1949 - Launched Dabur Chyawanprash in tin pack


Widening the popularity and usage of traditional Ayurvedic products continues. The
ancient restorative Chyawanprash is launched in packaged form, and becomes the first
branded Chyawanprash in India.

1957 - Computerisation of operations initiated

1970 - Entered Oral Care & Digestives segment

Addressing rural markets where homemade oral care is more popular than multinational
brands, Dabur introduces Lal Dant Manjan. With this a conveniently packaged herbal
toothpowder is made available at affordable costs to the masses.

1972 - Shifts base to Delhi from Calcutta

1978 - Launches Hajmola tablet

Dabur continues to make innovative products based on traditional formulations that can
provide holistic care in our daily life. An Ayurvedic medicine used as a digestive aid is
branded and launched as the popular Hajmola tablet.

1979 - Dabur Research Foundation set up

1979 - Commercial production starts at Sahibabad, the most modern herbal medicines plant
at that time

1984 - Dabur completes 100 years

1988 - Launches pharmaceutical medicines

1989 - Care with fun

The Ayurvedic digestive formulation is converted into a children's fun product with the
launch of Hajmola Candy. In an innovative move, a curative product is converted to a

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confectionary item for wider usage.

1994 - Comes out with first public issue

1994 - Enters oncology segment

1994 - Leadership in health care


Dabur establishes its leadership in health care as one of only two companies worldwide to
launch the anti-cancer drug Intaxel (Paclitaxel). Dabur Research Foundation develops an
eco-friendly process to extract the drug from its plant source

1996 - Enters foods business with the launch of Real Fruit Juice

1996 - Real blitzkrieg


Dabur captures the imagination of young Indian consumers with the launch of Real Fruit
Juices - a new concept in the Indian foods market. The first local brand of 100% pure natural
fruit juices made to international standards, Real becomes the fastest growing and largest
selling brand in the country.

1998 - Burman family hands over management of the company to professionals

2000 - The 1,000 crore mark


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

2001 - Super specialty drugs


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

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

2003 - Dabur demerges Pharmaceuticals business

Dabur India approved the demerger of its pharmaceuticals business from the FMCG
business into a separate company as part of plans to provider greater focus to both the
businesses. With this, Dabur India now largely comprises of the FMCG business that include
personal care products, healthcare products and Ayurvedic Specialities, while the
Pharmaceuticals business would include Allopathic, Oncology formulations and Bulk Drugs.
Dabur Oncology Plc, a subsidiary of Dabur India, would also be part of the Pharmaceutical
business.

Maintaining global standards

As a reflection of its constant efforts at achieving superior quality standards, Dabur became
the first Ayurvedic products company to get ISO 9002 certification.

Science for nature

Reinforcing its commitment to nature and its conservation, Dabur Nepal, a subsidiary of
Dabur India, has set up fully automated greenhouses in Nepal. This scientific landmark helps
to produce saplings of rare medicinal plants that are under threat of extinction due to
ecological degradation.

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 Rs 143-crore all-cash deal.

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2005 - Dabur announces bonus after 12 years

Dabur India announced issue of 1:1 Bonus share to the shareholders of the company, i.e. one
share for every one share held. The Board also proposed an increase in the authorized share
capital of the company from existing Rs 50 crore to Rs 125 crore.

2006 - Dabur crosses $2 bin market cap, adopts US GAAP.

Dabur India crosses the $2-billion mark in market capitalisation. The company also adopted
US GAAP in line with its commitment to follow global best practices and adopt highest
standards of transparency and governance.

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

Moving forward on the inorganic growth path, Dabur India decides to raise up to $200
million from the international market through Bonds, FCCBs, GDR, ADR, QIPs or any
other securities.The capital raised will be used to fund Dabur's aggressive growth ambitions
and acquisition plans in India and abroad.

2007 - Celebrating 10 years of Real

Dabur Foods unveiled the new packaging and design for Real at the completion of 10 years
of the brand. The new refined modern look depicts the natural goodness of the juice from
freshly plucked fruits.

2007 - Foray into organised retail

Dabur India announced its foray into the organised retail business through a wholly- owned
subsidiary, H&B Stores Ltd. Dabur will invest Rs 140 crores by 2010 to establish its
presence in the retail market in India with a chain of stores on the Health & Beauty format.

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2007 - Dabur Foods Merged With Dabur India

Dabur India decides to merge its wholly-owned subsidiary Dabur Foods Limited with itself
to extract synergies and unlock operational efficiencies. The integration will also help Dabur
sharpen focus on the high growth business of foods and beverages, and enter newer product
categories in this space.

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TECHNOLOGY USED IN DABUR

In Dabur India Limited knowledge and technology are key resources which have helped the
Company achieve higher levels of excellence and efficiency. Towards this overall goal of
technology-driven performance, Dabur is utilizing Information Technology in a big way. This
will help in integrating a vast distribution system spread all over India and across the world. It
will also cut down costs and increase profitability.

Our major IT Initiatives

 Migration from Baan and Mfg ERP Systems to centralized SAP ERP system from 1st
April 2006 for all business units.
 Implementation of a country wide new WAN Infrastructure for running centralized ERP
system.
 Setting up of new Data Centre at KCO Head Office.
 Extension of Reach System to distributors for capturing Secondary Sales Data.
 Roll out of IT services to new plants and CFAs.

Future Challenges

 Forward Integration of SAP with Distributors and Stockists.


 Backward Integration of SAP with Suppliers.
 Implementation of new POS system at Stockist point and integration with SAP- ERP.
 Implementation of SAP HR and payroll.
 SAP Roll-out to DNPL and other new businesses.

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ENVIRONMENTAL PROSPECTS

"What is that life worth which cannot bring comfort to others", these words of Dr. S K Burman
have inspired generations of Dabur. Keeping these golden words in mind, Sundesh or the
Sustainable Development Society was set up to carry out welfare activities aimed at improving
the quality of life of the rural people in its area of operation. This society is given complete
financial and managerial support by Dabur India Limited.

Sundesh is engaged in providing health services, non-formal education and training in income
generating activities. The society has a dedicated team consisting of a doctor, a community
organiser, a lady social worker, instructors for income generating activities, traditional birth
attendants and village level workers. Sundesh organises regular OPDs and health camps in the
villages.

In addition to the mobile OPDs, other health services rendered include training of traditional
birth attendants, immunisation programmes for children, maintenance of family health records,
ante-natal check ups, pulse polio programmes and health awareness meetings for women on
topics such as family planning, ante-natal care, post-natal care, the importance of vaccinations,
baby care and AIDS prevention.
jvs & subsidiaries:

Dabur India has entered into joint ventures with well established international firms as well as
created subsidiary units that further highlight its business philosophy of providing the best
products to its customers.

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JOINT VENTURES

Dabon International Limited - Dabur has also collaborated with Bongrain of France for the
manufacture and marketing of specialty cheese and other dairy products. This joint venture
company has already made its presence felt in the Indian cheese market through the launch of
processed cheese under the brand name LeBon, and a specialty cheese under the brand name
Delicieux.

SUBSIDIARIES

Dabur has six subsidiary units, which come under the umbrella of the Dabur India organization.
These are:

Dabur Foods Limited -


Dabur Foods Limited, a 100% subsidiary of Dabur India Limited, is spearheading Dabur's foray

into food processing industry. The company, set up in April 1999, is marketing a range of fruit

juices under the brand name Real, Homemade Cooking Paste and Sauces and Lemoneez lemon

juice. Dabur was the first company in India to introduce fruit juices in packaged form without

any artificial additive. Real is today the market leader in this category with more than 50%

market share. Homemade cooking paste is the only national brand in this category. Lemoneez is

the only product in its category available in unique drop and trickle pack and uniquely shaped

tabletop pack.

Dabur Nepal Private Limited -

Dabur Nepal was the first manufacturing base overseas for Dabur group. The company is today

the leading exporter of Nepal and the third largest and most modern manufacturing base for

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Dabur. Dabur Nepal is today involved in promoting cultivation of herbs and apiculture activities

in Nepal. The company has set up state of the art greenhouse at Banepa for developing saplings

for 20 medicinal plants. Dabur Nepal has also set up an Apiculture centre for promoting bee-

keeping activity in Nepal and developing queen bees and bee colonies for exports.

Dabur Egypt Limited -

Dabur Egypt is groups gateway to Africa. This manufacturing base set up a couple of years back

to cater to the demands of Middle East and African market is producing Hair Care, Skin Care

Products and Foods.

Dabur Oncology Plc. -

Set up recently in UK, this subsidiary of Dabur India Limited will be manufacturing anti-cancer

formulations for European market. The company is in the process of setting up manufacturing

base near London and is expected to start operation from year 2001.

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DABUR OVERSEAS LIMITED

TOWARDS GREEN TOMMOROW

One of the thrust areas of foundation is conservation and cultivations of medicinal plants. DRF

has developed cultivation packages for a number of herbs especially of endangered ones. A

15,000sq. ft. greenhouse built in Nepal is now functional and provides millions of saplings of

various medicinal herbs.

Dabur Research Foundation has to its credit development of a unique technique of isolation of
paclitaxel from leaves instead of bark of Himalayan Yew. This not only saved the tree but also
improved the growth as pruning of leaves gave a positive impact on growth of the plant.

DRF conducts training for harvesting and post harvesting processing of herbs to ensure the
sustainable usage of this natural resource. The Foundation promotes cultivation and organizes
planting materials for selected herbs to farmers. It imparts training to farmers for cultivation of
these medicinal plants, their drying and proper packaging in roadworthy condition. The
foundation also organizes complete buy back arrangement for these select herbs. This effort has
not only ensured development of a sustainable source of rare herbs but also has provided an
alternative source of income to the farmers.

Dabur Research Foundation has improved the extraction procedures of herbs in a fashion so that
to increase the productivity of extracts/isolates and hence reduce pressure on natural habitats.

DRF has developed tissue culture protocols for a number of herbs specially those of alpine
habitat and those diminishing in the nature.

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PROTECTION FOR NATURE AND PROTECTION FROM NATURE

For well over a century, Dabur has worked hand in hand with nature. Drawing its strength and
inspiration from nature's vast resources, Dabur has used herbs and minerals found in natural form
as the ingredient for its products. As a company, Dabur understands its responsibility to
contribute towards maintaining the ecological balance, and realises the need to replenish what it
takes from nature. The direct result of this realisation has been 'Project Plant for Life', under
which the company has set up tissue culture laboratories, a state-of-the-art greenhouse and
contract cultivation with complete buy back facilities. This project not only ensures sustainable
source of medicinal plants, but also improves the standard of living of the participating villagers.
Since time immemorial, Dabur has received lots from nature, and it takes pride in

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DABUR RESEARCHFOUNDATION

Dabur Research Foundation (DRF), incorporated in 1979, is a premier research organization

recognized by Department of Scientific and Industrial Research, Government of India. Situated

at Sahibabad, DRF is today a known name for its pathbreaking research in the field of healthcare

and personal care.

The Foundation is at the forefront of oncology research, and is in the process of developing

many new molecules to fight this dreaded disease. In fact, DRF was the first organization in the

world to develop a process for extraction of paclitaxel, a drug for cancer, without harming the

source tree. The process is now followed worldwide.

THE PEOPLE:

Herbal health care is an area where Dabur Research Foundation has made immense contribution

by doing research and development work using modern pharmaceutical protocols. The

foundation has been doing clinical trials on traditional herbal drugs to validate the claims made

in.

For a research organization like Dabur Research Foundation, people are its biggest asset. At

DRF, more than 125 scientists are engaged full time in interdisciplinary R&D of health and

personal care products. The foundation has on its board independent

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advisors and consultants for guiding the team in their specific areas. The team of scientists is

culled from various disciplines and includes Ayurvedic doctors, Chemists and phytochemists,

botanists, agronomists, clinical pharmacologists, microbiologists, food technologists, bio-

technologists, oil technologists, oncologists etc.

Scientists at many research institutions, universities and hospitals supplement the effort of this

team of scientists with whom Dabur has networked for research in the areas of new molecules

and drug delivery system.

Dabur Research Foundation is possibly the only of its kind in the country carrying out research

in diverse fields. Today, the scientists at DRF are pursuing research in more than 10 disciplines.

SCIENTIFIC NETWORK & AFFILIATIONS:

Dabur Research Foundation has over the years built associations with various agencies,

organizations, Hospitals, Universities Colleges, Public Laboratories etc. engaged in the

Research & Development activities. This network has helped the foundation in research in the

areas of clinical research, reverse pharmacology of Ayurvedics/Herbals and novel molecules

& new drugs delivery system.

DRF is also affiliated with various professional bodies, organizations, Institutions in the country

and abroad. Some of the organizations with which DRF has affiliations are-

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DSIR, Government of India

Expert Committee on Herbal Medicines

Bureau of Indian Standards

Expert Committee of United States Pharmacopoeia

DRF conducts training for harvesting and post harvesting processing of herbs to ensure the

sustainable usage of this natural resource. The Foundation promotes cultivation and organizes

planting materials for selected herbs to farmers. It imparts training to farmers for cultivation of

these medicinal plants, their drying and proper packaging in roadworthy condition. The

foundation also organizes complete buy back arrangement for these select herbs. This effort has

not only ensured development of a sustainable source of rare herbs but also has provided an

alternative source of income to the farmers.

Dabur Research Foundation has improved the extraction procedures of herbs in a fashion so that

to increase the productivity of extracts/isolates and hence reduce pressure on natural habitats.

DRF has developed tissue culture protocols for a number of herbs specially those of alpine

habitat and those diminishing in the nature.

Drug technical Advisory Board, MOH&FW, Government of India

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DRF gave new dimension to Chyawanprash after investigating the goodness of Chyawanprash in

building general immunity. The foundation conducted more than 12 clinical trials on

Chyawanprash to validate its immunomodulation properties. This research helped Dabur

Chyawanprash to reposition it as herbal immunomodulator that builds you up from deep within.

Dabur Research Foundation developed a value-added coconut based hair oil that experimentally

proved to be better than coconut oil alone. Today, that product, christened Vatika Hair Oil, has

created a niche for itself with others trying to emulate it. Vatika shampoo normal and anti-

dandruff are well set to follow in the footsteps of Vatika Hair Oil.

DRF is the first organization in the world to isolate the anticancer drug, Paclitaxel, from the

leaves of Himalayan Yew Tree using a unique eco-friendly process without causing any harm to

the tree. The Foundation is only the second organization in world to evolve the technology for

isolation of Paclitaxel.

The research done by DRF facilitated availability of far cheaper anticancer medicine for the

patients in India and many other countries of the world.

DRF has developed Standardisation Protocols for number of Ayurvedic herbs in order to ensure

the quality of raw herbs as well as finished products manufactured out of it.

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This facilitated testing of each lot of raw materials with sophisticated analytical tools before they

are used for manufacturing.

DRF has till date conducted more than 200 studies to validate the claims recommended by

Ayurvedic Granthas. This includes 49 Pharmacological Studies, 135 Clinical Trials and 10

Toxicological Studies. At DRF, blending the modern findings with traditional concepts is a

routine.

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TIMELINE

1979 - Incorporated as independent research organization

1986 - Starts experimental and clinical studies on Ayurvedics/herbals

1988 - Develops Hajmola Candy - a candy variant of Hajmola tablets having the taste and
digestive properties of tablets in sugar base

1990 - Modern analytical lab equipped with HPLC, HPTLC, GLC etc. set up

1991 - Sets up oncology screening lab

1993 - Re-launches Chyawanprash as an immunity builder after clinically proving it

1994 - Develops eco-friendly method for extraction of paclitaxel from the leaves of Asian Yew
Tree

1995 - Develops Vatika Hair Oil that creates a new product category

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SWOT ANALYSIS

The following SWOT analysis looks at Dabur India which is operating in fmcg industry. The analysis shows
Dabur India’s Strengths, Weaknesses, Opportunities and Threats. The SWOT analysis will give you a clear picture
of the business environment Dabur India is operating in at the present time.
Strengths
The strengths of a business or organization are positive elements, something they do well and is under their
control. The strengths of a company or group and value to it, and can be what gives it the edge in some areas over
the competitors. The following section will outline main strengths of Dabur India.

 Dabur India Ltd. is the century old company.

 Well established brands in Dabur India.

 High quality machinery, staff, offices and equipment ensure the job is done to the utmost standard, and is
strength of Dabur India.

 Leader in Herbal Digestive where the product has 90% of the market share.

 Ayurvedic / Herbal Product line.

 Product development strength

 Strong Distribution Network.

 Extreme Supply chain.

Weakness
Weaknesses of a company or organization are things that need to be improved or perform better, which are under
their control. Weaknesses are also things that place you behind competitors, or stop you being able to meet
objectives. This section will present main weaknesses of Dabur India.

 A serious weakness for Dabur India is the fact their products/services are of low quality, meaning people
will have better-quality substitutes.

 Not reducing costs in the same way as their competitors\' means Dabur India is outlaying more of their
profits. Having higher costs than competitors is a major weakness.

 Over pricing, setting too high prices for Dabur India products/services makes them uncompetitive, which
is a major weakness.

 Seasonal Demand (like Chayawanprash in winter and Vatika not in winter).

 Low penetration (Chayawanprash)

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Opportunities
Opportunities are external changes, trends or needs that could enhance the business or organization’s strategic
position, or which could be of a benefit to them. This section will outline opportunities that Dabur India is
currently facing.

 Extends Vatika brand to new categories like Skin Care & Body Wash segments.

 Untapped Market (Chayawanprash).

 Market Development.

 Southern India Market.

Threats
Threats are factors which may restrict damage or put areas of the business or organization at risk. They are factors
which are outside of the company's control. Being aware of the threats and being able to prepare for them makes
this section valuable when considering contingency plans and strategies. This section will outline main threats
Dabur India is currently facing.

 Competition in the FMCG sector from well established names.

 Substitute products available on the market present a major threat to Dabur India.

 Consumer lifestyle changes could lead to less of a demand for Dabur India products/services.

 Existing Competition (like Himani, Baidyanath and Zandu for Dabur Chayanwanprash and Marico, Keo
Karpin, HLL and Bajaj for Vatika Hair Oil).

 New Entrants in the market.

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CHAPTER 3

Research Methodology

RESEARCH DESIGN

Ownership: This is our company. We accept personal responsibility, and accountability to meet
business needs

Passion For Winning: We all are leaders in our area of responsibility, with a deep commitment
to deliver results. We are determined to be the best at doing what matters most

People Development: People are our most important asset. We add value through result driven
training, and we encourage & reward excellence

Consumer Focus: We have superior understanding of consumer needs and develop products to
fulfill them better

Team Work: We work together on the principle of mutual trust & transparency in a boundary-
less organization. We are intellectually honest in advocating proposals, including recognizing
risks

Innovation: Continuous innovation in products & processes is the basis of our success

Integrity: We are committed to the achievement of business success with integrity. We are
honest with consumers, with business partners and with each other

It has surveyed 100 outlets covering NCR region.

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Ayurvedic Research:

Standardization of herbs and finished products

Validation of the processes

Formulation development taking lead from Ayurveda

Pharmaceutical Research:

Development of new formulations of existing and new molecules

Parenteral Formulations development

Compatibility and shelf life studies

Validation of processes

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PHYTOPHARMACEUTICALS:

Isolation of existing and new therapeutic ingredients from natural sources

Extraction technologies

Processes development and transfer of technology

Biotechnology:

Tissue culture of medicinal plants especially endangered ones

Cell and callus culture

AGRONOMY:

Agro-technology development for medicinal plants

Micro-propagation of medicinal plants

Cultivation of medicinal and fruit plants

Generation of quality planting material through greenhouse technology

Personal Care Products:

Development of skin and hair care products

Oral care product development

Ayurvedic medicated oil development

Herbal extracts in cosmetics

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ANALYTICAL:

Protocols and methods development for natural and synthetic products

Bio-equivalence studies of Pharmaceutical Dosage forms

Reaction monitoring of synthetic chemistry processes

Marker compound testing as a tool for standardization of Botanicals

Synthetic Chemistry:

Synthesis of known and new molecules and intermediates (APIs)

Process development

Technology development and transfer to pilot plant and production scales

Oncology Research and Molecular Biology:

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Anticancer screening of herbal extracts/compounds, peptides and synthetic molecules

Anti-angiogenic screening

Tumor xerography

Pharmacokinetic and metabolite studies

Proteomics and Genomics

New Drug & Peptide Research:

Lab scale synthesis of new molecules

Scale up and purification methods

Formulation and stability studies

Novel drugs delivery systems

RESEARCH APPROACH

Survey approach was chosen for this research work. Survey research is the best suited for

gathering descriptive information company that wants to know about individuals knowledge,

attitudes, preferences or buying behavior can often find out by asking individuals directly. The

major advantage of survey research is its flexibility. It can be used to obtain many different kinds

of information in many different situations

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RESEARCH INSTRUMENTS

Schedules, which is the most commonly used instrument, was opted for this research.

One copy of schedule framed is enclosed after this.

CONTACT METHOD

Personal individual interview method was opted for this research work, as it is the most flexible

method of all.

DATA ANALYSIS AND INTERPRETATION

The data thus collected was tabulated, analyzed and interpreted with view to make the study

more meaningful. They were tabulated in manner so that results could be viewed easily. Some

statistical techniques were used to examine the views of respondents. The use of tables, charts

and diagrams had been made to present the data in the analysis form.

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FOOD RESEARCH

Fruit juices development

Nutritional products development

Consumer friendly ethnic foods and spices

Clinical Research:

TOXICOLOGY STUDIES

Animal studies for new and existing products/molecules

Clinical trials of pharmaceuticals, anticancer drugs, new molecules

Reverse Pharmacology

Clinical trials of Ayurvedics/Herbals

Post Marketing Surveillance

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DIFFICULTIES AND MAJOR LIMITATIONS OF THE STUDY:

 AREA LIMITATION:

Geographical scope of the study was limited to a small area, Delhi only, which may not represent
the whole sector of India. Hence findings may differ from other parts of India.
 SIZE OF THE SAMPLE:

Size of the sample is 50, which is of course small in comparison to entire population.
 NON-RESPONSE ERROR:

It is almost impossible to obtain data from each & every respondent covered in sample. There
were some respondents who refused to give information.
 TIME CONSTRAINT:

Due to limitation of time only few people were selected for the study. So the sample of consumer
was not enough to generalize the findings of the study.
 BIASED RESPONDENT:

The chance of biased response cannot be eliminated through all necessary steps were taken to
avoid the same.
 OTHER LIMITATIONS:

 There can be many interpretations and explanation to the data collected. This is empirical
study and the research provides the explanations as understand by the researcher only.
 The source of the data for the study was primary data with the help of self-administered
questionnaire. Hence the chances of unbiased information are less.
The data taken from the secondary source like internet, newspaper, books may lack some proper
explanation or may be not correctly interpreted.

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Competiton information
Dabur does not afford to have one single strategy to compete against its competitors effectively. It
operates in the highly competitive FMCG industry consisting of large MNCs, such as HUL, P&G,
PATANJALI, ITC, etc. It cannot afford to go for purely offensive strategies that directly affect the
bottom line. Moreover, the basic nature of the marketplace is dynamic.
The deciding criteria for any policy adoption are that it should be based on the company’s strength, clear
sustainable competitive advantage, and consumers’ needs and requirements.
 Dabur has a very strong and wide supply chain network that covers both rural and urban areas through
600+ distributors&2.8 million retailers. This network has helped Dabur reach every corner of India,
which gives it a competitive edge over well-established players like HUL, P&G, ITC, etc.
 The FMCG & pharma industry is already overcrowded with local & national players. Dabur has many
brands that don’t have a stronghold in the market like Home care & personal care products while it is the
market leader in some of the product categories Chyawanprash, Health supplements, Glucose-D & Real
Fruit juice.
 All the sections of society are targeted by Dabur, like other companies, but middle-class customers form
the major group because of more purchasing power.

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CHAPTER 4

Analysis and Interpretation

Marketing strategies

1. 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

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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.

2. 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.

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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.

Manufacturing Plant

Clearing and forwarding agent (different regions)

Stockist A Stockist B Stockist C

Retailers Retailers Retailers Retailers Retailers Retailers

C O N S UM E R S

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Supply Chain Management


Supply chain management starts before physical distribution: it involves procuring the right inputs (raw
materials, components and capital equipment), converting them into finished products and dispatching
them to the final destinations. The supply chain perspective can help identify superior suppliers and
distributors and help them improve productivity, which ultimately brings down the company’s costs.

A broader view sees a company at the center of a value network that includes its suppliers, its immediate
customers and their end customers. The value network includes valued relations with others such as
university researchers, government approval agencies and so on.

MANUFACTURING PLANT
Dabur Foods has Number of products in its product line but its main area of interest or the product on
which they concentrate the most is Real Juice & Coolers.

Dabur has its manufacturing plant at Nepal and at Jaipur where juice is manufactured and tested.

PROCUREMENT & TRANSPORT


 Getting the raw material and packaging material requirement from the production unit in charge
 Constant updates on the procurement of materials and transport details
 Production details and ingredient content information from the different personnel and coordinating this
activity

PACKAGING
 Approval and coordination of the supply of packaging material to the production unit

CLEARING AND FORWARDING AGENTA (C&FA)


 From manufacturing plant the stock is transported or supplied to clearing and forwarding agents.
 Clearing and Forwarding Agents is a third party and Dabur gives contract to them, so company has
nothing to do in building the relationship with them. 
 Here C&FA keep or stock the goods with them.
 They charge Dabur for stocking the good and even Dabur don’t mind doing so as it is a measure of cost
cutting as well as there is no need for gowdowns and maintenance. 
STOCKIEST OR DISTRIBUTORS
 Stockiest store the products in their godowns, C&FA supplies the goods to them as per their order.

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 Stockiest has some sales men working under him, they are known as stockiest sales man. Their work is to
place the products in the market and take order from retailers and then supply goods to them. 
 Sales man either take ready stock with them or they first take orders and then supply goods later on.
 There is a beat which is a schedule route of sales man, means sales man has to daily cover the route as
mention in the beat.
 Merchandising, making products visible, pasting posters, putting banners, and seeing that goods are
properly placed in the retail outlets is also the duty of stockiest sales man. 
 Companies’ sales officer keeps a check on the stockiest and monthly report is also prepared which is
further analyzed by SM & ZSM. 

RETAILERS
 Retailers are backbone of the company as they are the one who can take the product on new heights or
can bring it down to toes.
 Stockiest supplies goods to retailers and tries Persuading retailers to give the brand special displays
(using merchandising tools) to get affective brand presence, and arranging it in more noticeable manner. 
 Margin of retailers is always higher than stockiest.
 Retailers are the ones who have direct contact with the customers.
 Dabur Foods has a distribution network that covers 175 towns and 75 thousand retail outlets making its
product available to the consumers across the country at ease.

3. 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
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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

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 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

PROMOTIONAL SCHEMES USED FOR STOCKIESTS

Encourage stockiest to participate in displays and sales contests.

1. 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.

2. 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.

3. Allowances: Special allowances are given to both stockiest and stockiest sales man if they
achieve their monthly target.

4. Subsidy for Promotion Budget: Company gives subsidy to the stockiest, who spend some
money on the promotional schemes, like conducting a sampling activity.

5. Danglers and Posters: Company gives posters and danglers to stockiest which are further pasted
and distributed by stockiest sales man.

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6. 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.

7. 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.

8. Fun Trip: A zone wise fully paid fun trip is organized by the company for all the stockiest once a
year.

9. 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.

10. Special Trade Schemes: Special trade schemes like two SKU free with the 12 SKU.Free
danglers and posters for publicity.

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.

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 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.

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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.

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 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, or even they can call and visit the dabur web site.

THE PATH AHEAD:

Dabur intends to significantly accelerate profitable growth. To do this, Dabur will:

 Focus on growing their 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 their target consumers with
safe, efficacious, natural solutions by synthesizing our deep knowledge of ayurveda and herbs with modern
science.

 Provide the 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 their peer group, to the shareholders

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The ANALYSIS faced during the research were: -

 The sample size taken is 100, which is not sufficient to represent the entire universe. The size
could not be increased due to time constrained.
 The areas covered were restricted to NCR Region only and as such the results of the survey
are valid for the above said areas.
 All information, which has been collected form, the respondents have been considered
authentic and final.
 Besides all this the report has been on individual attempt and also involves the human
process of interpretation and analysis, so there are chances of human error.
 Despite repeated proof reading there is a possibility of spelling error of otherwise which may
have been overlooked
 













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RESEARCH METHODOLY

AREA : Shastri Nagar, Vidhyadhar Nagar,


Tonk Phatak
RESEARCH
DESIGN : Primary Data, Secondary Data

DATA
COLLECTION
METHOD : Questionnarie

TYPES OF
QUESTION :Multiple choice
USED

TARGET : Retailers,Ladies(mother), Kids


GROUPS

SAMPLING : Random Sampling


METHOD

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90

80

07
E ats
06
Wets
5

30N orth

20
10

Q trQ trQ tr

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ANALYSIS II KIDS

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APPENDICES

BIBLIOGRAPHY

1. Books : Kotler Philip, Marketing Management.


C.B. Kothari, Research Methodology.

2. Internet : www.dabur.com
www.google.com
www.hll.org.
www.daburproducts.co.
in

3. Newspapers : The Times of India


The Hindustan Times Business
World Economics Times

4. Schedules : Personal interaction with Individuals


5. Websites : https://rb.gy/aossar
https://rb.gy/oy25eh

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