MINOR PROJECT

ON

MARKETING STRATEGY OF DABUR INDIA LTD

Submitted in partial fulfilment of the requirement

for the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION (BBA)

Semester II (Paper Code – BBA 114)

SUBMITTED TO: SUBMITTED BY:

DR. NIRAJ RBL DEEPALI
ENROLLMENT NO.: 06815501722
BATCH: 2022-2025

1
 Certificate

I, DEEPALI, Enrolment No. 06815501722 certify that the Minor Project Report (Paper Code

BBA-114) entitled “MARKETING STRATEGY OF DABUR INDIA LTD” is completed by

me by collecting the material from the referenced sources. The matter embodied in this has

not been submitted earlier for the award of any degree or diploma to the best of my

knowledge and belief.

Signature of the Student:

Date:

Certified that the Minor Project Report (Paper Code BBA -114) entitled “Marketing Strategy

of DABUR INDIA LTD” done by DEEPALI, Enrolment No. 06815501722, is completed

under my guidance.

Signature of the Guide

Dr. Niraj RBL

Date:

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 ACKNOWLEDGEMENT

At the very outset I would express my sincere thanks and deep sense of gratitude to all the

personnel who helped me during the collection of data and gave me rare and valuable

guidance for the preparation of the project.

My profound gratitude to Dr. Niraj RBL, faculty guide for giving me an invaluable

opportunity without whose guidance this project would not have been seen the light of the

day. I am also thankful for his timely help, guidance and encouragement that influenced the

development of this project.

Last but not the least I would like to thank my college NEW DELHI INSTITUTE OF

MANAGEMENT for providing me this opportunity to work in this project.

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 CONTENT

S.NO. TOPIC PAGE NO.

1. CERTIFICATE 2

2. ACKNOWLEDGEMENT 3

3. CHAPTER 1 INTRODUCTION 5-34

4. CHAPTER 2 LITERATURE 35-39

REVIEW

5. CHAPTER 3 RESEARCH 40-44

METHODOLOGY

6. CHAPTER 4 DATA ANALYSIS AND 45-53

INTERPRETATION

7. CHAPTER 5 FINDINGS AND 54-56

CONCLUSION

8. BIBLOGRAPHY 57

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CHAPTER – 1
INTRODUCTION

5
COMPANY PROFILE: -
Dabur India Limited is the fourth largest FMCG Company in India with Revenues of over Rs.

9,500 Crore & Market Capitalization of over Rs 100,000 Crore. Building on a legacy of

quality and experience of over 137 years, Dabur is today India’s most trusted name and the

world’s largest Ayurvedic and Natural Health Care Company with a portfolio of over 250

Herbal/Ayurvedic products. Dabur today operates in key consumer product categories like

Hair Care, Oral Care, Health Care, Skin Care, Home Care and Foods. The ayurvedic

company has a wide distribution network, covering 6.7 million retail outlets with a high

penetration in both urban and rural markets.

The story of Dabur began with a small, but visionary endeavour by Dr S.K. Burman, a

physician tucked away in Bengal. His mission was to provide effective and affordable cure

for ordinary people in far-flung villages. Dr S.K. Burman started Dabur in 1884 as a small

pharmacy. Initially, he prepared Ayurvedic medicines to treat diseases like malaria, plague

and cholera that had no cure during that period. It was his dedication, commitment and

empathy that made Dabur a renowned name among the masses. And today, after more than

120 years, Dabur is known for its trustworthiness more than anything else. During this

passage of time. Dabur went through several structural and strategic changes to maintain its

market strength. The real mass production started in 1896. Early 1900's saw Dabur emerge as

the first company to provide health care through scientifically tested methods. It achieved

significant improvements after setting up Research and Development centres and

manufacturing automation.

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The launch of Dabur's Amla hair oil and Chyawanprash was a boon to the expanding

business. To keep up with the times, Dabur computerized its operations in 1957.It’s Dant

Manjan and digestive tablets were widely accepted as well. 5 However with a large product

portfolio in the market, Dabur had to maintain operational efficiency. To make sure it

adjusted to the business environment it became a public limed company in 1986 followed by

diversification in Spain in 1992 major change came when 5Dabur came up with its IPO in

1994, Because of its position, Dabur's issue was 21 times oversubscribed.

HISTORY

Dabur was founded in Kolkata by Dr. S. K. Burman in 1884. Burman's family had migrated

from Punjab to Kolkata and are Punjab Khatris by origin. In the mid-1880s, as an Ayurvedic

practitioner in Kolkata, he formulated Ayurvedic medicines for diseases like cholera,

constipation and malaria. As a qualified physician, he went on to sell his medicines

in Bengal on a bicycle. His patients started referring him and his medicines as "Dabur",

a portmanteau of the words daktar (doctor) and Burman. He later went on to mass-produce

his Ayurvedic formulations.

C.L. Burman, set up Dabur's first R&D unit. Later, his grandson, G.C Burman was gherao-
ed by his own workers during a labour unrest in Kolkata. Due to the unpleasant situation, G.C
Burman decided to move the factory to Delhi, where his brothers later relocated. In Delhi, the
business thrived and the company soon became headquartered there. In the words of business
historian Sonu Bhasin "Calcutta's loss was Delhi's gain."

The current chairman, Dr. Anand Burman, and vice-chairman Amit Burman, are part of the
fifth generation of the family. They were among the first business families in India to
separate ownership from management, when they handed over the management of the
company to professionals in 1998.

In 1997, Dabur set up a wholly-owned consumer goods subsidiary called Dabur Foods under
which it launched its fruit juice brand called Real.

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In 2022, Dabur acquired a 51% stake in the Indian spices company Badshah Masala for ₹588
crore.

Dabur further divided its business into three separate groups.

 Health Care Products Division

 Family Products Division

 Dabur Ayurvedic Specialties Limited

Dabur India Limited is a consumer care and health care products company. Product portfolio

offered by the company includes personal care product, health care products, home can

products and foods. Dabur also offers ayurveda-based healthcare products It markets its

products in India as well as in international markets as Middle East, South-East Asia, Africa,

the European Union and America. The company operates through four divisions namely

Consumer Care Division (CCD) that deals in FMCG products across a wide spectrum of

market segments International Business Division (IBD) that focuses on developing Dabur's

business abroad. Consumer Healthcare Division (CHD) that deals in the classical and OTC

range of products which are granthi based and which follow strict Ayurvedic formulations;

and Retail Division which is currently in the development phase. The company is

headquartered at Ghaziabad, Uttar Pradesh, India. In 1998, for the first time in the history of

Dabur, a non-family member took charge. Dabur handed over the operations to professionals.

Successful implementation of procedures, timely changes and maintaining its essence. Dabur

achieved its highest-ever sales figure of Rs 1166.5 crones in 2000-01. 6 As FMCG sector was

struggling with the slow growth in the Indian economy. Dabur decided to take numerous

strategic initiatives, recognized operations and improvise on its brand architecture beginning

2002. I decided to concentrate is marketing efforts on Dabur, Vatika, Anmol. Real and

Hamala to strengthen their brand equity, create differentiation and emerge as a pure FMCG
8
player recognized as a herbal brand. This was chosen after a study with Accenture, which

revealed that Dabur was mainly perceived as a Herbal brand and connected more with the age

group above 35. Also, larger retailers were making their foray into the FMCG market. Apart

from HLL, P&G, Marico and Himalayan, TTC was also posing a challenge. The supply chain

of Dabur way becoming complex because of the large array of products Southern markets

share in the sales figure was negligible. These factors posed a threat to Dabur and hence small

changes were not enough.

COMPANY’S LOGO

Date of Establishment :1975

Revenue :478 61(USD in Millions)

Market Cap: 1372954373975 (Rs, in Millions)

Corporate Address :83 Asaf All Road, New Delhi-110002 Delhi

Management Details: Chairperson Anand Burman

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Business Operations: Household and Personal Product

Company Secretary: Ashok Jain

Bankers: ABN Ammo Bask, Citi Bank, HDFC Bank, HSBC Bank IDRI Bank,

Punjab National Hank, Standard Chartered Bank Ste Bank of India and United Bank

of India.

Major Milestones: -

1919-First R&D unit established

Early 1900s- Production of Ayurvedic medicines

1930- Automation and upgradation of Ayurvedic products manufacturing initiated

1936-Dabur Dr SK Burman Pvt Ltd Incorporate

1940-Personal care through Ayurveda

1949- Launched Dabur Chyawanprash in tin pack

1957-Computerisation of operations initiated

1970- Entered Oral Care & Digestives segment

1972- shifts base to Delhi from Calcutta

1978-Launches Hajmola tablet

1979-Dabur Research Foundation set up

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

that time.

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1984-Dabur completes 100year

1988- Launches pharmaceutical medicines

1989-Care with fun The Ayurvedic formulation is converted into a children's fun product with

the launch of Hajmola Candy. In an innovation move, a curative project is converted to a

confectionary item for wider usage.

1994-Comes out with first public issue

1994-Enters oncology segment

1994-Leadership in health care

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

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

2000-The 1,000crore mark Dabur establishes its market leadership status by staging a

turnover of Rs 1,000 2001-Super specialty drugs

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

2003-Dabur demerges pharmaceuticals business

2007-Celebrating 10 years of Real 2007-Dabur Foods merged with Dabur India

2008-Acquires Fem Care Pharma

2009-Dabur Red Toothpaste joins ‘Billion Rupee Brands’ club Dabur Red Toothpaste

becomes the Dabur’s ninth Billion Rupee Brand.

Dabur Red Toothpaste crosses the billion-rupee turnover mark within five years of its launch.

2010– Dabur Acquires Namaste Group For $100 Million''.

2010– Dabur Chyawanprash was launched in Orange and Mango flavoured variants.

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2010– Dabur Amla Hair Oils enters Limca Book of Records for achieving a record feat of

hosting the longest ever non–stop head massage marathon.

2011– Dabur enters professional skin care market with the launch of Oxylife Professional

Facial Kit, created exclusively for professional use.

2011– Dabur India acquires 30–Plus from Ajanta Pharma.

2011– Dabur India Ltd sets up new subsidiary in Sri Lanka Dabur Lanka (Pvt.) Ltd.

2011– Dabur India Ltd launches Dabur Almond Hair Oil.

2012– Namaste Cosmeticos Ltd, has been added as the Company's new step-down

subsidiary Company in Brazil.

2012– Dabur India has expanded its range of fruit juices viz. Real Active

2016-Dabur Gulabari and Dabur Lal Dant Manjan clock a turnover of Rs 1.00 billion (US$

14.88 million) each

2018-Dabur acquired D&A Cosmetics Proprietary Ltd and Atlanta Body & Health Products

Proprietary Ltd through its subsidiary

2019-Dabur launched an entire range of ayurvedic baby products only on the e-commerce

sales platform. For excellence in Corporate Governance, Dabur won the ICSI National Award

2020-Dabur entered the edible oil segment with the launch of ‘Dabur Cold Pressed Mustard

Oil’.

Dabur announced the expansion of its Healthcare OTC portfolio with the launch of ‘Dabur

Tulsi Drops’, an ayurvedic remedy to help build respiratory health and provide protection

from cough and cold.

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Dabur announced the expansion of its Baby Care portfolio with the launch of eight new

products for ‘Dabur Baby Range’.

2021-In September 2021, Dabur entered the face wash category with the launch of Vatika

face wash.

Dabur set up a new plant in Madhya Pradesh for the manufacturing of food products,

ayurvedic medicines and health supplements with an investment of Rs. 550 crore (US$ 75.6

million).

Dabur expanded the Vatika portfolio with the launch of ‘Vatika Germ Protection Shampoo.

Dabur launched ‘Vatika Select’, a premium range of shampoos, expanding its product

portfolio.

Dabur incorporated Herbo dynamic India, a consumer care manufacturer as a wholly-owned

subsidiary of the company.

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Organization structure
Dabur India Ltd operates three (3) strategic business units (SBUs), three (3) subsidiary

Groups companies, eight (8) stems down subsidiaries and other collaborations and associate

companies. The company operates a hierarchical structure of Organization from CEO to the

lowest staff, which is a top-down approach. Dabur India ltd has more power on their all-

product categories and international segments. Dabur’s power structure flows from top to

bottom, hence top-level managers have more power &decision making than bottom level

managers and they have more power on their next lower-level managers.

Organization structure flows in contradictory way; hence low- level managers report to next

top level and get authorization before taking any action.

14
 NAME DESIGNATION

A K Jain Executive Vice President & Co. Secretary

Aditya Burman Director

Ajay Dua Director

Ajit Mohan Sharan Director

Amit Burman Chairman

Ankush Jain Chief Financial Officer

Falguni Sanjay Nayar Director

Mohit Burman Vice Chairman

Mohit Malhotra Whole Time Director & CEO

Mukesh Bhutani Director

P D Narang Whole Time Director

P N Vijay Director

R C Bhargava Director

S Narayan Director

Saket Burman Director

TOP MANAGEMENT

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Product line of Dabur

Foods:

 Real
 Real Activ
 Hommade
 Lemoneez
 Capsico

Health Care:

 Baby Care
 Dabur Lal Tail
 Dabur Baby Olive Oil
 Dabur Janma Ghunti

 Health Supplements

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  Dabur Chyawanprash
 Dabur Glucose D

 Digestives
 Hajmola
 Dabur Hingoli
 Pudin Hara G
 Pudin Hara (liquid and pearls)
 Hajmola Candy

 Natural Cures
 Shilajit Gold 15
 Nature Care
 Shilajit
 Backaid
 Itch Care
 Dabur Balm

Personal care:

 Hair Care Oil

 Amla Hair Oil
 Vatika Hair Oil
 Anmol Sarson Amla

 Hair Care Shampoo

 Anmol Silky Black Shampoo
 Vatika Henna Conditioning
 Vatika Antidandruff Shampoo
 Anmol Natural Shine Shampoo

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 Oral care
 Dabur Red Gel
 Dabur Red Toothpaste
 Babool Toothpaste
 Dabur Lal Dant Manjan

 Skin care
 Gulabari
 Vatika Fairness Face Pack

 Ayurvedic Specialities
 Ayurveda

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Marketing Strategies of the Company

Market share:
Market share of the company Dabur is having a 13.4% market share. Dabur Chyawanprash

has 65% market share in a Rs 1,000 crore category. And in the honey segment, the company

has 59% market share in the Rs 2,000 crore category. Dabur Honitus has 16% market share in

the Rs 400crore category. Dabur PudinHara has 95% market share in Rs 100crore category.

Dabur Lal Tail has 30% market share in Rs550crore category. Dabur, a small player in

coconut oil with 6% market share. Dabur Anmol has 45% market share in Rs1800cr. Vatika

Ayurvedic has 2%market share in e-commerce. Dabur milk-based beverages under Real

Frappe Milkshakes has 1.3% market share. Dabur has 60% market share in juices and nectars

market (Rs 1700Cr).

Market share vis.a vis major competitors.

Dabur India Competitors

1.Marico

2.L’OREAL

3.Nirma ltd

4. HUL (Hindustan Unilever Limited)

5. Colgate-Palmolive

6. Procter and Gamble

7. ITC Ltd

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Marico

Marico is one of India’s leading consumer products companies operating in the global beauty

and wellness space. During 2018-19, Marico recorded a turnover of INR 7734 crores (USD

1.05 billion) through its products sold in India and chosen markets in Asia and Africa. Marico

touches the lives of 1 out of every 3 Indians, through its portfolio of brands such as

Parachute, Parachute Advanced, Saffola FITTIFY Gourmet, Hair & Care, Nihar Naturals,

Livon, Set Wet Studio X range, Coco Soul, Kaya Youth O2, Mediker and Revive. The biggest

rival for both -- Bajaj and Dabur -- is ultimately Marico, which dominates the category with

62 per cent market share and continues to grow the same.

Colgate

Colgate-Palmolive Company is an American multinational consumer products company

headquartered on Park Avenue in Midtown Manhattan, New York City. It specializes in the

production, distribution and provision of household, health care, personal care and veterinary

products.

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As of March 2020, Colgate Palmolive India Limited (CPIL) is the leader in the toothpaste

market by value at 48.3%.

Colgate has the Vedshakti brand in the naturals segment, experts say the product has not

helped stem market share loss for the oral care major. Colgate has a volume and value market

share of 49.9 per cent and 46.9 per cent, respectively, according to the Nielsen data sourced

from the industry. The figures are for calendar 2023.

Dabur, on the other hand, has 16.4 per cent and 13.9 per cent volume and value market shares

for 2023. This is an increase over 15.5 and 13.3 per cent volume and value market shares

registered in 2019.

Patanjali, while credited for growing the naturals segment in toothpastes, has slowed in terms

of market share gains. This is visible in its value market share, which stood at 9.5 per cent in

2020, ahead of the 9.3 per cent share seen in 2019. Volume market share for Patanjali,

however, inched up 100 basis points, touching 11 per cent in 2020 from 10 per cent in 2019.

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HUL

Hindustan Unilever Limited (HUL) is a consumer goods company headquartered in

Mumbai, India. It is a subsidiary of Unilever, a British company. Its products include foods,

beverages, cleaning agents, personal care products, water purifiers and other fast-moving

consumer goods. As of 2019, Hindustan Unilever's portfolio had 44 product brands in 14

categories.

HUL has 16% market share in Indian market.

Patanjali

Patanjali Ayurved, (known as Patanjali), is an Indian multinational conglomerate holding

company, based in Haridwar, India. It was founded by Ramdev and Balkrishna in 2006. Its

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office is in Delhi, with manufacturing units and headquarters in the industrial area of

Haridwar. The company manufactures cosmetics, ayurvedic medicine, Personal care and food

products. The CEO of the company, with a 94-percent share hold, is Balkrishna. Ramdev

represents the company and makes strategic decisions. 19 Patanjali has grown to have a 9.2%

share of the toothpaste market in India.

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Dabur Advertisements Strategy

Dabur already holds on to print and television advertising and recently is planning to take

over digital media as a medium for advertising its products.

As we have seen, the cancer patients were paid homage in the advertising of Dabur Vatika, as

a salutation notice for battling with the disease. The commercial will reach the consumer’s

emotional side; mostly the ladies who use the Dabur Vatika.

And in the case of Dabur amla hair oil, Dabur featured Priyanka Chopra for the promotion of

the product and she is seen getting a hair massage from her mother, which shows how Dabur

amla hair oil improves mother-daughter relation while getting hair massage.

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Digital Marketing of Dabur

Dabur is known for its use of traditional promotional mediums but they are shifting their

marketing strategy to a digital-first approach. In an insightful interview taken by Brand

Equity of A.C. Burman, the Chairman of Dabur, he talked very intensely about the digitalfirst

approach for Dabur and how the company will shift it’s marketing efforts to a newer medium.

The rationale for such a shift of marketing strategy comes from the acknowledgement of the

fact that social media and other digital platforms provide far more to a marketer in terms of

24 effectiveness than any previous medium of promotions. Dabur has been increasing its

digital spend over the last few years. From the year 2017, they have increased their digital

marketing spending by 33% in 2018. They spent a total of RS1.99 billion in the year 2018-

19.

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Another aspect that Dabur wishes to capitalise on is the e-commerce store trend. These ecommerce

stores have shown their efficiency and effectiveness in the Indian market. Dabur pushes its products

through multiple e-commerce stores and targets fitness-conscious millennials as a part of its digital

strategy.

BCG MATRIX IN MARKETING STRATEGY OF DABUR

BCG Matrix is created by the Boston Consulting Group – It is also known as Boston or Growth-Share

Matrix. This planning tool is used by companies to gain insights from which products are generating

better profits, which products need more improvements, and helps businesses identify the strategic

position of the brand and its potential. This tool uses two aspects to measure the growth of the

products, which are: -

 Relative market share- Relative market share is one of the dimensions used to measure a

company portfolio. Increased corporate market share results in higher returns on cash.

 Market growth rate- High growth rates in the sector mean higher earnings and often income,

but they also absorb lots of cash that is used as an investment to drive more growth. The

BCG growth-share matrix contains four distinct categories: “Dogs,” “Cash cows,” “Stars,” and

“Question marks.”.

 Cash Cows: - These are the products that are low in growth rate but have a high market

share. They are leaders in their industry and do not require much investment to

maintain their position. They 25 prove to be money churners for the company and

because of major competitors in the same sector they are not expected to show any

growth soon and are considered cash cows.

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  Stars: - Stars are the products that are high in growth rate as well as market share. These are

the bestselling products and have an important role in boosting up the financial strength of

an organization. They have a constantly rising demand and high opportunity for future.

 Question Marks: - As the BCG matrix considers the current position of the products, the

products that are not financially contributing and have an uncertain performance at present

are put under this category, but there are some chances of future growth and demand of

these products.

 Dogs: - Products that are not performing well and prove to be a liability for the firm, rather

than an income source, are considered under the dog category. There are very few chances

of future growth and the company often decides to discontinue these types of products.

Being one of the top FMCG companies in India, Dabur has a wide range of products in the

market-leading in personal, health care, and food and beverages. Dabur has touched many

lives in India and is considered to be an integral part of Indian families as it has a spread of

goods in distinct consumer categories.

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In the past few years, Dabur has leveraged its brand and potential to the new online markets

and has largely incorporated its business in digital means. The brand has been since then

continuously rebuilding and renovating its brand so as to have a digital strategy for brand

visibility.

26 Dabur aims and objectifies itself as a young, modern, and socially conscious brand.

Working Extensively on Websites

Dabur constantly envisions providing the best experience to its consumers. They have started

to focus a lot on improving the website in order to improve the user experience. Customers

can order anything and explore all range of products from their website homepage.

Not only has the website focused on its diversified ayurvedic and herbal product range but

also covers the social activities the company is indulged in and various paths through which

the public or the customers can collaborate with the company.

Presence on Online Grocery Stores

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Dabur already had its presence in online and offline stores. E-commerce websites like

FMCG titan, Snapdeal, Flipkart, etc, all were and are selling Dabur products. In fact, Amazon

has a separate page for Dabur’s product range display.

In order to increase this customer base and reach, Dabur marked its presence over online

grocery stores like Big Basket, and Grofers. Since people prefer to buy groceries online

today, it has become easy for them to order their personal care products or Ayurvedic

products of Dabur from such places.

Marketplace Exploration

Dabur wants to increase its reach extensively, for which the company has been working hard

on market place exploration. Whenever a consumer visits the website of Dabur, the website

27 redirects the customers to the marketplace/s. The more and more options the consumers

get, the more sales the company makes.

Youthful Packaging

Dabur India Ltd has continued to move towards targeting the youth and modern lifestyle

consumers. Even though the generation today doesn’t bother to consider Ayurveda as

seriously as the earlier generations did, but Dabur has been constantly attracting the youth by

its appealing packaging of products and marketing strategies.

The target market of the company covers the consumers in the 15 – 40 years age bracket of

which most of them are closer to the upper limit. The smell, taste, and looks of all Dabur

products are made consciously with the approach to appeal to this target market.

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Pricing Strategies

Dabur has tactfully organized its pricing strategies. The company has differentiated its

premium products from other variants under every category due to which prices of the

products vary from one another. Considering the competitors like HUL, Pepsi co. etc, Dabur

has kept its price affordable so that every family of all income classes can buy Dabur

products.

Also, by providing premium products, Dabur also targets upper-class families to fulfil their

needs as well. Also, the company tries to give a high margin to all the stockholders so that

they don’t lose interest in the company’s products and also enjoy good profits on sales.

Social Initiatives

Dabur often invests its resources in many social initiatives and campaigns, for example, in

uplifting the rural areas. By doing such activities, Dabur attracts the attention of the masses

by touching the sentiments of Indian consumers.

SWOT Analysis of Dabur

One of the most unique applications of the SWOT (Strength Weaknesses Opportunities &

Threats) analysis is to use it to analyses the effectiveness of a company’s supply chain. The

30
approach is to review whether the supply chain properly addresses the company’s short-term,

time-sensitive delivery requirements, while also addressing its long-term cost objectives.

Since the purpose of supply chain management is to ensure timely delivery of parts, raw

materials and finished goods, it makes sense to use the SWOT analysis to accentuate the

positives and address the negatives within the company's supply chain.

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.

 Having alliances with other strong and popular businesses is a major plus point for Dabur

India as it helps bring in new customers and make business more effective.

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

specialties)

 Core knowledge of Ayurveda as competitive advantage

 Focused market: South Asia, North Africa, Middle East, West Africa, North America

 Being a market leader, as Dabur India is, is key to their success as it boosts reputation,

profit and market share.

 Competitive pricing is a vital element of Dabur India’s overall success, as this keeps them

in line with their rivals, if not above them.

 Riding high in the niche market in FMCG industry has helped boost Dabur India and raise

deputations and turnover.

 Growth in Net Profit with increasing Profit Margin

 Growth in Quarterly Net Profit with increasing Profit Margin

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Dabur is among the oldest herbal brands in India which was founded in 1884. It has a diverse

product portfolio that consists of health care products, beauty products, juices as well as

dental care products. It is also one of the financially strong herbal care brands in India. Dabur

acquired a few significant brand names in the Indian market including Fem care pharma and

the hygiene and home care businesses of Balsara. These acquisitions have helped it diversify

its product line. Its deal with Balsara helped it expand its product line to home care through

Odonil products. Apart from it, Dabur is also into strategic partnership with several

international brands. It has entered into joint ventures with Israeli and French companies.

Weaknesses: -

• Limited presence in foreign markets.

• Lack of brand stores

• Lack of awareness regarding Ayurvedic products and medicines.

The foreign presence of Dabur is still limited. To a large extent, it is because the strict

regulations in overseas markets. These regulations make it difficult to gain market share

without strategic partnerships with the local brands. Apart from this Dabur, has not focused

on promoting its products through brand retail stores. Its products are sold alongside the other

brands in general stores or medicine stores.

Several of its herbal health care products do not enjoy a high degree of awareness either.

Even in the Indian market, Ayurvedic medicines and products are still lagging in terms of

market share before allopathic medicines or chemical products. While the trends might be

shifting, Ayurvedic products are still a lot behind the chemical products in terms of brand

awareness.

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Opportunities:

 Growing awareness of yoga and Ayurveda in international markets.

 Expansion of product line.

 Growing popularity of herbal beverages.

 Brand promotion through Ayurvedic health clubs and brand retail stores. The awareness of

yoga and Ayurveda is growing fast in the international markets. More and more people are

adopting herbal products for personal care. Yoga and meditation for physical and mental

wellness are also getting popular. The increasing health consciousness among people around

the world has boosted the sales of herbal products in overseas markets. It is an opportunity

that Dabur could exploit to increase its revenue. It presents an opportunity of rapid growth for

brands like Dabur in the international markets including the Western markets and the Middle

East. Dabur can also expand its product line to increase the number of home care and beauty

products. The popularity of herbal beverages is also growing. Dabur can open its own brand

outlets for the promotion of its brand throughout India. It can partner with health clubs and

healthcare institutions to help its brand grow at a faster rate.

Threats:

 Rising competition in Indian markets

 Competition from allopathic medicines.

 Competition from foreign brands in beauty care and homecare segment.

The competition against Dabur from other rival brands has kept rising. The advent of

Patanjali brought a new and potent competitor to the market. Patanjali has established its

presence in a short period through its brand retail outlets. However, Dabur is years ahead in

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terms of brand name and market presence. Zandu, Emami and a number of other smaller 22

brands are already there. Apart from that the competition from the allopathic medicines is

also high. The Ayurvedic medicines are still considered a secondary option. They are taken as

supplements mainly. Even if people’s reliance on them might have increased a bit, they are

still not considered as reliable and effective as the allopathic medicines. The competition in

home care and beauty care segment also poses a major threat. There are both herbal and non-

herbal brands in this segment fighting for market share. The competition only keeps

intensifying.

Chapter- 2
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 LITERATURE REVIEW

REVIEW OF LITERATURE

The while the literature contains significant differences in the definition of satisfaction, all the

definitions share some common elements. When examined as a whole, three general

components can be identified:

1) Consumer satisfaction is a response (emotional or cognitive).

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2) The response pertains to a particular focus (Expectations, product, consumption experience

etc.).

3) The response occurs at a particular time (after consumption, after choice, based on

accumulated Experience, etc). Consumer responses followed a general pattern similar to the

literature, satisfaction was comprised of three basic components, a response pertaining to a

particular focus determined at a particular time.

Ciavolino & Dahlgaard (2017)

Suggest that customer satisfaction can be defined as the overall evaluation of the service

performances or utilization. Customer satisfaction can also be measured using questions like,

considering all your experience of company X, how satisfied are you in general on a scale

from completely satisfied to dissatisfied? Another question could be to what degree did

company X fulfil your expectation? On a scale of much less than expected to much more than

expected?

The focus identifies the object of a consumer’s satisfaction and usually entails comparing

performance to some standard. This standard can vary from very specific to more general

standards. There are often multiple foci, to which these various standards are directed

including the product, consumption, purchase decision, salesperson, or service. The

determination of an appropriate focus for satisfaction varies from context to context.

However, without a clear focus, any definition of satisfaction would have little meaning since

interpretation of the construct would vary from person to person (chameleon effects).

36
Hasemark and Albinsson (2015) cited in Singh (2017:1) \ satisfaction is an

overall attitude towards a product provider or an emotional reaction to the difference between

what customers expect and what they actually receive regarding the fulfilment of a need .

Kotler (2016); Hoyer & Maclinnis (2017)

Customer satisfaction is widely recognized as a key pressure in the formation of consumers'

future purchase intentions. Satisfied customers are also likely to tell others of their favourable

experiences and thus engage in positive word of mouth advertising. The present study aims to

investigate customer satisfaction in the organized retail outlets in Erode city of Tamil Nadu

state in India. The objectives are to identify the determinants of customer satisfaction in the

organized retail outlets in Erode city, to identify the attitude and behaviour of the customers

those who are purchasing in organized retail outlets, and to study about the future prospects

of organized retail outlets in the city. Customer satisfaction is a significant subject for most

marketers. Advertising U. Dineshkumar1, P. Vikkraman 2 1 Department of Management

Studies, Erode Sengunthar Engineering College, Erode, India 2 School of Management

Studies, Anna University, Coimbatore Centre, Coimbatore, India Customer satisfaction is

widely recognized as a key pressure in the information of customers future purchase

intentions. Satisfied customers are also likely to tell others favourable experience and thus

engage in positive work of mouth advertising. As retail chain store business is gaining

popularity very quickly, people engaged in this sector should pay special attention to the

growth of this sector. The present study aims at determining the factors constituting customer

satisfaction of retail chain stores in Bangladesh. Customer satisfaction of this sector can be a

pivotal indicator of how well the stores are meeting the expectations of the customers.

37
Also define satisfaction as person feelings of pleasure, excitement, delight or disappointment

which results from comparing a products perceived performance to his or her expectations.

Satisfaction means the contentment one feels when one has fulfilled a desire, need or

expectation. Furthermore, customer satisfaction can be a measure of how happy customers

are with the services and products of a supermarket. Keeping customers happy is of

tremendous benefit to companies. Satisfied customers are more likely to stay loyal consume

more likely to recommend their friends to the business.

Furthermore, Zairi (2017) says that many studies have viewed the impact of customer

satisfaction on repeat purchase, loyalty and retention and they have all echoed concern that

customers who are satisfied are most likely to share their experiences with other people with

regards to about five to six people.

Retailing is playing a vital role in our Indian economy. It ensures the prosperity of the nation

in terms of employment creation and deployment of resources. It is also increase the standard

of living of the people. They are providing lot of innovative services to their customers like

all things under one roof, desired goods, affordable prices, ambience facility etc.

38
 CHAPTER – 3

RESEARCH

METHODOLOGY

39
“Research Methodology comprises of defining and redefining

problems, collecting, organizing and evaluating the data, making

deductions and researching to conclusions.”

Research is a common language refers to a search of knowledge. Research is a scientific and

systematic search for pertinent information on a specific topic, infect research is an art of

investigation. Research Methodology is a scientific way to solve research problem. It may be

understood as a science of studying how research is doing scientifically. In it we study

various steps that are generally adopted by researchers in studying their research problems. It

is necessary for researchers to know research method techniques.

It has many dimensions and research methods do constitute a part of the research

methodology.

Therefore, research mythology is the way to systematically solve the research problem.

Research methodology not only talks of the method but also logic behind the methods used in

the context of a research study and it explain why a particular method has been used in the

preference to the other method. Every project work is based on certain methodology, which is

a way to systematically solve the problem or attend it objective. It is a very important

guideline that leads to the completion of any project work through observation, data

collection and data analysis.

Accordingly, the methodology used in the project is as follows: -

 Research Design

 Method of data collection

 Limitations of the study

40
Research design

“Research Design is a plan, conceptual structure structure, and

strategy of investigation conceived as to obtain answers to

research questions and to control variance.”

Research Design is important primarily because of the increased complexity in the market as

well as marketing approaches available to the researchers. In fact, it is the key to the

evolution of the successful marketing strategies and programmers. It is an important tool to

study buyer’s behaviour, consumption pattern, brand loyalty, focus market changes. A

Research Design specify the methods and procedures for conducting a particular study.

Method of data collection

Instrument for the data collection is secondary data. In today's world correct information is

key to success. Secondary data collected by other utilized or used by the researcher.

Secondary data is that data that has been already collected and collated by somebody for

some reason other than the current study. It can be used to get a new perspective on the

current study, to supplement or compare the work or to use parts of it, as another study may

prove costly and time consuming.

ADVANTAGES

1. It is economical. Its safe efforts and expenses.

2. It is time saving.

41
 3. It helps to make primary data collection most specific since with the help of the

secondary data, we are able to make out what are the gas in the deficiencies and what

additional information need to be collected.

4. It helps to improve the understanding of the problem.

5. It provides a basis for the comparison for the data that is collected by the researcher.

Evaluation of the secondary data

Evaluation means the following four requirements must be satisfied: -

 Availability- It has to be seen that the kind of data you want is available or not. If it is

not available then you have to go for primary data.

 Relevance- It should be meeting the requirements of the problem. For this we have

two criteria: -

 Use of the measurement should be the same.

 Concepts used must be same and currency of the data should not be outdated.

 Accuracy- In order to find out how accurate the data is, the following points must be

considered: -

 Specification and methodology used.

 Margin of error must be examined.

 The dependability of the source must be seen.

 Sufficiency- Adequate data must be available.

Precaution in the use of the secondary DATA

42
Investigator should consider the following points before using the secondary data

 Are the data reliable?

 Are the data suitable for the purpose of Investigation?

 Are the data adequate?

 Are the data collected by a proper method?

 From which source were the data collected?

 Who has the collected data?

Thus, the secondary data should not be used as its face value. It is risky to use such statistics

collected by others unless they have been properly scrutinized and found reliable, suitable

and adequate.

This is my opinion, this was the best method, that could have been

used which provided such an in- depth and detailed information.

43
 CHAPTER – 4
Data Analysis and Interpretation

44
DABUR has announced its results for the year ended March 2023. Let us have a look at the
detailed performance review of the company during FY22-23
.
DABUR Income Statement Analysis
 Operating income during the year rose 5.9% on a year-on-year (YoY) basis.

 The company's operating profit decreased by 0.2% YoY during the fiscal.
Operating profit margins witnessed a fall and stood at 18.7% in FY23 as
against 19.9% in FY22.

 Depreciation charges increased by 23.0% and finance costs increased by

102.7% YoY, respectively.

 Other income grew by 13.3% YoY.

 Net profit for the year declined by 2.4% YoY.

 Net profit margins during the year declined from 16.0% in FY22 to 14.8% in
FY23

45
DABUR Balance Sheet Analysis
 The company's current liabilities during FY23 stood at Rs 36 billion as

compared to Rs 33 billion in FY22, thereby witnessing an increase of 8.6%.

 Long-term debt stood at Rs 3 billion as compared to Rs 3 billion during FY22,

a growth of 19.4%.

 Current assets fell 2% and stood at Rs 42 billion, while fixed assets rose 18%

and stood at Rs 94 billion in FY23.

 Overall, the total assets and liabilities for FY23 stood at Rs 137 billion as

against Rs 123 billion during FY22, thereby witnessing a growth of 11%.

46
DABUR Cash Flow Statement Analysis

 DABUR's cash flow from operating activities (CFO) during FY23 stood at Rs

15 billion on a YoY basis.

 Cash flow from investing activities (CFI) during FY23 stood at Rs -6 billion

on a YoY basis.

 Cash flow from financial activities (CFF) during FY23 stood at Rs -10 billion

on a YoY basis.

 Overall, net cash flows for the company during FY23 stood at Rs -1 billion

from the Rs 384 million net cash flows seen during FY22.

47
Current Valuations for DABUR
 The trailing twelve-month earnings per share (EPS) of the company stands at

Rs 9.6, an decline from the EPS of Rs 9.9 recorded last year.

 The price to earnings (P/E) ratio, at the current price of Rs 572.3, stands at 59.5

times its trailing twelve months earnings.

 The price to book value (P/BV) ratio at current price levels stands at 11.4

times, while the price to sales ratio stands at 8.8 times.

 The company's price to cash flow (P/CF) ratio stood at 48.2 times its end-of-

year operating cash flow earnings.

48
Ratio Analysis for DABUR
 Solvency Ratios
Current Ratio: The company's current ratio deteriorated and stood at 1.2x during

FY23, from 1.3x during FY22. The current ratio measures the company's ability to

pay short-term and long-term obligations.

Interest Coverage Ratio: The company's interest coverage ratio deteriorated and

stood at 29.4x during FY23, from 59.8x during FY22. The interest coverage ratio of a

company states how easily a company can pay its interest expense on outstanding

debt. A higher ratio is preferable.

 Profitability Ratios
Return on Equity (ROE): The ROE for the company declined and down at 19.1%

during FY23, from 21.2% during FY23. The ROE measures the ability of a firm to

generate profits from its shareholders capital in the company.

Return on Capital Employed (ROCE): The ROCE for the company declined and

down at 24.9% during FY23, from 27.2% during FY22. The ROCE measures the

ability of a firm to generate profits from its total capital (shareholder capital plus debt

capital) employed in the company.

Return on Assets (ROA): The ROA of the company declined and down at 13.0%

during FY23, from 14.5% during FY22. The ROA measures how efficiently the

company uses its assets to generate earnings.

49
To see how DABUR has performed over the last 5 years.

DABUR Share Price Performance

Over the last one year, DABUR share price has moved up from Rs 543.8 to Rs 572.3,
registering a gain of Rs 28.5 or around 5.2%.
Meanwhile, the S&P BSE FMCG Index is trading at Rs 18,985.5 (down 1.5%). Over the last
one year it has moved up from 14,868.3 to 18,985.5, a gain of 4,117 points (up 27.7%).
Overall, the S&P BSE SENSEX is up 22.9% over the year.
(To know more, check out historical annual results for DABUR and quarterly results for
DABUR)

Annual Report FAQs

What is the current share price of DABUR?

DABUR currently trades at Rs 574.8 per share. You can check out the latest share price
performance of DABUR.

What was the revenue of DABUR in FY23? How does it compare to earlier years?

The revenues of DABUR stood at Rs 119,753 m in FY23, which was up 6.1% compared to
Rs 112,818 m reported in FY22.

DABUR's revenue has grown from Rs 87,931 m in FY19 to Rs 119,753 m in FY23.

Over the past 5 years, the revenue of DABUR has grown at a CAGR of 8.0%.

50
What was the net profit of DABUR in FY23? How does it compare to earlier years?

The net profit of DABUR stood at Rs 17,013 m in FY23, which was down -2.4% compared
to Rs 17,423 m reported in FY22.

This compares to a net profit of Rs 16,950 m in FY21 and a net profit of Rs 14,479 m in
FY20.

Over the past 5 years, DABUR net profit has grown at a CAGR of 4.1%.

What does the cash flow statement of DABUR reveal?

The cash flow statement is the financial statement that presents the cash inflows and
outflows of a company during a given period of time.
This statement is one of the most useful tools for judging a company's liquidity position. The
ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of DABUR reveals:

 Cash flow from operations decreased in FY23 and stood at Rs 14,884 m as

compared to Rs 18,023 m in FY22.

 Cash flow from investments increased in FY23 and stood at Rs -5,865 m as

compared to Rs -12,755 m in FY22.

 Cash flow from financial activity decreased in FY23 and stood at Rs -10,352 m
as compared to Rs -4,905 m in FY22.

Here's the cash flow statement of DABUR for the past 5 years.

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What does the Key Ratio analysis of DABUR reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio

analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of DABUR reveals:

 Operating profit margins witnessed a fall and stood at 18.7% in FY23 as

against 19.9% in FY22.

 Net profit margins declined from 16.0% in FY22 to 14.8% in FY23.

 Debt to Equity ratio for FY23 stood at 0.0 as compared to 0.0 in FY22.

Here's the ratio/financial analysis of DABUR for the past 5 years.

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 CHAPTER - 5
FINDINGS AND

CONCLUSION

Conclusions and Suggestions

CONCLUSION

Dabur is one of the biggest Indian suppliers of FMCG and ayurvedic/health products. It has a

global presence on almost all of the world’s continents. Dabur went through a tie-up in 2017

with Amazon, the largest e-commerce platform. So, the company has got exposure to a

marketplace to sell Ayurvedic products online. The company has established a laboratory to

examine the key food products such as honey to remove the condition of adulteration. Dabur

53
is often responsible for providing consumers with authentic Ayurvedic medicines and FMCG

products.

Dabur has primarily faced the challenge of rigid competition and because of its brand name

and high-quality product, customers believe that Dabur provides 100 per cent natural

products, it has always overcome the issue. The social factors that influenced the clients’

emotions were targeted by Dabur. The desire to change ahead of others and to always set new

standards in corporate governance & creativity is what separates Dabur from others.

Thank you for reading this case study. If you like this please comment below and let us know

your views and if you want to connect with us please comment down your email id, we will

try to reach out to you.

Suggestion

 Focus on growing core brands across categories.

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

 Provides consumers with innovation products within easy reach.

 Improve operational efficiencies by leveraging technology.

 Be the preferred company to meet the health and personal grooming needs of our

target consumers with safe, efficacious, natural solutions by synthesizing the deep

knowledge of ayurveda and herbs with modern sciences.

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BIBLOGRAPHY
1. https://www.equitymaster.com/research-it/annual-results-analysis/DABR/DABUR-

2022-23-Annual-Report-Analysis/4841?utm_source=annual-result-

analysis&utm_medium=website&utm_campaign=latest-results

2. https://www.ndtv.com/business/stock/dabur-india-ltd_dabur/reports

3. https://www.ibef.org/industry/fmcg/showcase/dabur-india-ltd

4. https://www.moneycontrol.com/financials/daburindia/ratiosVI/DI

5. https://www.dabur.com/

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