Brand management individual assignment pgp30348

An analysis of Brand Extension of Dabur Lal Dant Manjan to Dabur Red Toothpaste

Professor: Sameer MathurSubmitted by: Tanvi Dhanuka

PGP30348

Studying the Transition

The Extension Dabur lal dant manjan is a natural ayurvedic toothpowder

with spicy taste made of herbs and spices The company targeted rural market for the product with

peculiar flavour similar to tambaku Also rural people rely more on ayurvedic products Due to increase in urbanization and its influence on rural

population, they came up with Dabur Red Toothpaste after 20 years of success of lal dant manjan

It was mainly done to cater to consumers who upgraded from tooth powder to toothpaste

5 years since its launch red toothpaste saw a growth of 20%

Dabur – Company History India’s one of the largest consumer goods companies

The company operates in healthcare, personal care and packaged foods

It has strong national presence with nationwide distribution network

It ranks 3rd in beauty and personal care with a value share of 5%

Oral care is the second largest contributor of company’s revenue

It continues to be the only major company offering dental powder to rural segment

Market Share of Dabur

2009 2010 2011 2012 2013 201410

10.5

11

11.5

12

Market Share of Dabur in Oral Care

Years

Sh

are

in

Perc

en

tag

e

Competitive Positioning of Dabur,2013

Product Type Value Share Rank

Beauty and personal care 4.8% 3

Baby and child products 11.1% 2

Bath and shower Neg 19

Depilatories 26.1% 2

Hair Care 10.7% 2

Oral Care 10.8% 3

Source: Euromonitor International

Oral Care in India

Oral care is expected to have a value CAGR of 9% at constant 2013 prices to reach INR131.0 billion by 2018

Toothpaste continues to be the biggest category with 80% value share of oral care and mouthwashes/dental rinses has the highest value growth of 44% in 2013

Oral care sees value growth of 15% to reach INR83.5 billion in 2013

New product launches and increase in penetration in rural India aids value and volume growth

Sale of Oral Care by Category in India

INR Million

2008 2009 2010 2011 2012 2013 2008-13 CAGR

Dental Floss -

-

-

52

71

96 36%

Denture Care -

-

-

-

-

- 0%

Mouth Fresheners -

-

-

-

-

- 0%

Mouthwashes/Dental Rinses

134

409

697 1,080 1,550

2,231 44%

Tooth Whiteners -

-

-

-

-

- 0%

Toothbrushes 7,836

8,812

9,923 11,187 12,626

14,269 13%

Toothpaste 38,257 40,897 44,795 50,978 58,127

66,854 15%

Oral Care - Total 46,227

50,118

55,414

63,296

72,375

83,450

15%

Source: Eurmonitor International

4PS of Dabur Red Toothpaste

Product1. Blend of traditional indian medicine and modern pharmaceutical technology2. 13 Ayurvedic ingredients keeps plaque,gingivitis and bed breath away

PriceAvailable in 5 SKU’s:1. 50gm at Rs.182. 100gms at Rs.453. 150gms at Rs.604. 200gms at Rs.845. 300gms at Rs.129

PlaceDabur has a trannational distribution network serving 1.3 million retail outlets across the globe. Their main players in distribution channel are:1.Dealer2.Wholeseller3.Kirana Store4. Agent5. Retailer

Promotion1. Marketed as the first-ever toothpaste that gives you healthy teeth2. Promotions like gift a toothpaste for free3. Endorsed mostly by children and not celebrities4. Slogan of “still facing dental problems despite brushing daily” and exchange your old toothpaste with dabur red for free

STP - SegmentationThis segmentation is done on the basis of benefits sought from product. They are broadly classified into four segments:1. Protection: The value proposition offered to this segment is protection of teeth & gums from germs, preventing cavity and controlling plaque.2. Social Interaction: The sale is on proposition of fresh breath and white teeth.3. Economy: The toothpaste sale is on "Value for money“ proposition for families with low to medium level of income4. Therapeutic: This is a niche segment. The toothpaste is positioned to offer medicinal benefits

STP - SegmentationSegmentation is also done on the basis of the following:

Demographic

• People of all ages especially children

Behavioral

• People who have dental problems

Geographic

• Caters to both rural and urban population

STP – Targeting and Positioning

The target group comprised of people in rural areas who were accustomed to lal dant manjan but were willing to switch to gel based toothpaste because of urban influence

Also they targetted people with dental problems to give them strong healthy teeth

They targeted small children and advertised around mother and child

Most of the advertisements were not celebrity endorsed but by young children of the age group of 7-12

It was positioned as a gel toothpaste with a blend of ancient Ayurveda and modern pharmaceutical technology which cures dental problems

The main competitors of as per market share are given below:

Points of Parity and Points of Difference

48%

22%

5%

12%

2%

11%

Market Share

Colgate HUL P & G Dabur GSK Others

POP and POD with respect to Colgate

POPGel Based

Formulation

Priced at par with colgate

Packaging, labelling,

homogeneity, ease of use, foaming

etc are similar to colgate

PODScientifically validated formulation and Ayurvedic ingredientsDoes not contain fluoride-a toxic industrial waste which most toothpastes containContains ingredients trusted by Indians as home remedies for dental problems

References https://www.daburdentalcare.com/daburproducts/pages/daburproductbrand.aspx?

GSLS8strLLw

http://www.dabur.com/Products-Health%20Care-Dabur%20Red

http://consumeraffairs.nic.in/consumer/writereaddata/Herbal_Toothpastes_13.pdf

http://marketingofdaburr.blogspot.in/2012/06/marketing-strategy-of-dabur-india-ltd.html

http://www.mbaskool.com/brandguide/fmcg/985-dabur-red.html

http://www.slideshare.net/VivekSharma/dabur-rural-project

http://www.marketing91.com/marketing-mix-dabur/

https://www.google.co.in/url?sa=t&rct=j&q=&esrc=s&source=web&cd=4&cad=rja&uact=8&ved=0CDIQFjAD&url=http%3A%2F%2Fwww.marketing91.com%2Fmarketing-mix-dabur%2F&ei=SnWfVYubD4e7uATqvLaABQ&usg=AFQjCNE7Muj4DrochcP83xNgIUMlbyjCRA&bvm=bv.97653015,d.c2E

http://abr.sagepub.com/content/1/1/102.full.pdf+html

https://books.google.co.in/books?id=K9k_rchHhlcC&pg=PA815&lpg=PA815&dq=dabur+red+target+segment&source=bl&ots=V0JUuabe7L&sig=l9rvc-9hNlh-ScVeZg51TCGycVA&hl=en&sa=X&ei=g4OfVdz_NIOYuQSFrKawBA&ved=0CDkQ6AEwBA#v=onepage&q=dabur%20red%20target%20segment&f=false