GGSIPU PROJECT REPORT ON Marketing strategy of Dabur Vatika Hair Oil & Dabur Chyawanprash SUBMITTED IN PARTIAL FULFILLMENT OF THE REQURITMENTS FOR THE AWARD OF THE DEGREE OF BACHELORS OF BUSINESS ADMINISTRATION (BBA) TO GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY, DELHI MENTOR SUBMITTED BY: Mrs.ANJALI SINGH RAHUL RANA ENROLLMENT NO. 09514217088 BBA-3
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GGSIPU
PROJECT REPORT ON
Marketing strategy of Dabur Vatika Hair Oil & Dabur Chyawanprash
SUBMITTED IN PARTIAL FULFILLMENT OF THE
REQURITMENTS FOR THE AWARD OF THE
DEGREE OF BACHELORS OF BUSINESS
ADMINISTRATION (BBA)
TO
GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY,
DELHI
MENTOR SUBMITTED BY: Mrs.ANJALI SINGH RAHUL RANA
ENROLLMENT NO. 09514217088BBA-3
JAGANNATH INTERNATIONAL MANAGEMENT SCHOOLVASANT KUNJ-70
2
CERTIFICATE
This is to certify that RAHUL RANA of BBA-III, batch 2008-11, enrolment no. – 0951421708 have undertaken a minor report on “Marketing strategy of Dabur Vatika Hair Oil & Dabur Chyawanprash” and have completed the project under my supervision. I am satisfied with the project report submitted.
(Internal Guide)
Mrs. ANJALI SINGH
Lecturer, JIMS
3
DECLARATION
I hereby declare that this project work titled “Marketing strategy of Dabur Vatika Hair Oil & Dabur Chyawanprash” is my own work and no part of this project has been submitted for any other degree purpose or published in any other film till date.
RAHUL RANA
ENROLLMENT NO. 0951421708
4
I would profusely like to thank my faculty and mentors at
JIMS VK especially Mrs. ANJALI SINGH, for their
immense help and support throughout the making of this
project. I would also like to thank my parents and friends
for their encouragement and help, without which the
project would’ve been incomplete.
Thanking you ,
RAHUL RANA
BBA 3
0951421708
5
TABLE OF CONTENT
Chapter-1 Introduction
1.1 Executive Summary
1.2 FMCG Sector Overview
1.3 Company Overview
1.4 FINANCIAL REPORT
1.5 Company History
1.6 Product Line of Dabur
1.7 SWOT Analysis
Chapter-2 Objective & Methodology
2.1 Overview of Hair Oil Segment
2.2 Overview of Vatika
2.3 STP Analysis of Vatika Hair Oil
2.4 Marketing Mix of Vatika hair Oil
2.5 Advertising
2.6 Competitor Analysis of Vatika Hair Oil
Chapter-3 Conceptual Discussion (Theoretical Backdrop & Literature Review)
3.1 Customer Questionnaire of Vatika Hair Oil
3.2 Customer Survey Results of Vatika Hair Oil
3.3 Retailer Questionnaire of Vatika Hair Oil
3.4 Retailer Survey Results of Vatika Hair Oil
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Chapter-4 Data Analysis
4.1 STP Analysis of Dabur Chyawanprash
4.2 Marketing Mix of Dabur Chyawanprash
4.3 Competitor Analysis of Dabur Chyawanprash
4.4 Customer Questionnaire of Dabur Chyawanprash
4.5 Customer Survey Results of Dabur Chyawanprash
4.6 Retailer Questionnaire of Dabur Chyawanprash
4.7 Retailer Survey Results of Dabur Chyawanprash
4.8 Ansoff’s Product Market Expansion Grid
4.9 The BCG Growth-Share Matrix
4.10 The New Dabur Entity
4.11 The Future of Dabur con
Chapter-5 Findings and Recommendations
5.1 Recommendations
5.2 References
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EXECUTIVE SUMMARY
This report aims at analyzing and reporting on the marketing strategies of Dabur India
Ltd (DIL) for the brands Dabur Vatika Hair Oil and Dabur Chyawanprash
The Vatika brand was launched in 1995 with Vatika Hair Oil as its first product. In the
very first year of its launch it crossed Rs. 100 million in turnover. Over the years, Vatika
has come to be amongst the company’s highest selling brands. Vatika is a comparatively
young brand but is already acknowledged for the qualitatively influential and pioneering
role that it has played in the evolution of the categories it has had a presence in. Dabur
Chyawanprash is the leader in the Chyawanprash category and enjoys a market share of
61 per cent. In 50s Dabur pioneered the concept of branded Chyawanprash and since has
invested heavily in product development, clinical studies and consumer awareness. The
product is essentially a health supplement.
This report is not aiming at the overall marketing mix or the marketing strategy of Dabur
India Ltd, but is an attempt to analyze the marketing mix of Dabur Vatika Hair Oil and
Dabur Chyawanprash.
The report also enlists various recommendations based on BCG Growth Share Matrix
analysis, Ansoff’s Product Matrix Expansion Grid, SWOT Analysis etc. This analysis has
been done on the basis of the information gathered from the company website and other
online resources and books and articles.
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OBJECTIVE OF THE STUDY
Following are the major objective of study:-1. To study the impact of Budget Policies on Marketing Strategy of Dabur Foods.
2. To study the Consumer, Buying behavior.
3. To study the problems faced by Dabur.
IMPORTANCE OF THE STUDY
Being student of MBA it is very essential for me to have a practical knowledge in an
organisation. Only to study business administration course knowledge is not the solution
of the problems, which arise in practical field. There is a certain formula for any
particular problem, but the aim of this study is to develop the ability of decision making.
A right decision at right time and right place itself helps an organisation to run smoothly.
This study gives an idea of all marketing activities. So the way a problem is solved right
decision making and knowledge of different types of making activities give much
importance to the study. Only in two month training it was not possible to understand it
so deeply, but an overall idea could be developed.
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OVERVIEW OF FMCG SECTOR IN
INDIA
The Indian FMCG sector is the fourth largest sector in the
economy with a total market size in excess of US$ 13.1 billion.
It has a strong MNC presence and is characterized by a well-
established distribution network, intense competition between
the organized and unorganized segments and low operational cost. Availability of key
raw materials, cheaper labour costs and presence across the entire value chain gives
India a competitive advantage.
The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in
2015. Penetration level as well as per capita consumption in most product categories like
jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market
potential. Burgeoning Indian population, particularly the middle class and the rural
segments, presents an opportunity to makers of branded products to convert consumers
to branded products. Growth is also likely to come from consumer 'upgrading' in the
matured product categories. With 200 million people expected to shift to processed and
packaged food by 2010, India needs around US$ 28 billion of investment in the food-
processing industry.
India is one of the largest emerging markets, with a population of over one billion. India
is one of the largest economies in the world in terms of purchasing power and has a
strong middle class base of 300 million. Around 70 per cent of the total households in
India (188 million) reside in the rural areas. The total number of rural households is
expected to rise from 135 million in 2001-02 to 153 million in 2009-10. This presents
the largest potential market in the world. The annual size of the rural FMCG market was
estimated at around US$ 10.5 billion in 2001-02. With growing incomes at both the rural
and the urban level, the market potential is expected to expand further.
10
Rural and urban potentialRural-urban profile
Urban Rural
Population 2001-02 (mn household) 53 135Population 2009-10 (mn household) 69 153% Distribution (2001-02) 28 72Market (Towns/Villages) 3,768 627,000Universe of Outlets (mn) 1 3.3Source: Statistical Outline of India (2001-02), NCAER
An average Indian spends around 40 per cent of his income on grocery and 8 per cent on
personal care products. The large share of fast moving consumer goods (FMCG) in total
individual spending along with the large population base is another factor that makes
India one of the largest FMCG markets.
11
Rapid urbanization, increased literacy and rising per capita income, have all caused rapid
growth and change in demand patterns, leading to an explosion of new opportunities.
Around 45 per cent of the population in India is below 20 years of age and the young
population is set to rise further. Aspiration levels in this age group have been fuelled by
greater media exposure, unleashing a latent demand with more money and a new
mindset.
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COMPANY OVERVIEW
Over its 120 years of existence, the Dabur brand has stood for goodness through a natural
lifestyle. An umbrella name for a variety of products, ranging from hair care to honey,
Dabur has consistently ranked among India’s top brands. Its brands are built on the
foundation of trust that a Dabur offering will never cause one harm.
The trust levels that this brand enjoys are phenomenally high. While Ries and Trout may
ask “What does Dabur stand for—shampoo or digestive tablets?” The answer is fairly
simple, it stands for India’s fourth largest fast moving consumer goods company that both
consumers and trade respect and trust unequivocally, and which has an annual turnover of
over Rs 15 billion.
The company has kept an eye on new generations of customers with a range of products
that cater to a modern lifestyle, while managing not to alienate earlier generations of
loyal customers.
Dabur is an investor friendly brand as its financial performance shows. There is an
abundance of information for its investors and prospective information including a daily
update on the share price (something that very few Indian brands do). There’s a great
sense of responsibility for investors’ funds on view. This is a direct extension of Dabur’s
philosophy of taking care of its constituents and it adds to the sense of trust for the brand
overall.
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FINANCIAL REPORT
Rs (Crores)
2006-2007 2005-2006
Turn over (including other income) 1280.22 1159.02
Profit before tax 165.02 113.44
Add: Provisions of earlier yr written back - 0.20
165.02 113.44
Less: provision for taxation - current 13.00 8.75
: provision for taxation – Deferred 4.00 3.49
: provision for taxation for earlier yr 0.05 00.26
PROFIT AFTER TAX 147.97 101.14
Add: Balance in profit & loss account b/f
From the previous yr
81.12 66.12
- Transferred from debenture
Redemption Reserve
-- 2.50
- Transferred from investment
Allowance Reserve
0.83 -
- Transferred from Investment
Deposit Revenue
1.82 -
PROFIT AVAILABLE FOR APPLICATION 231.74 169.76
APPROPRIATION TO:
General Revenue 25.15 22.50
Capital Revenue - 1.56
14
Interim Dividend paid 28.63 17.17
Final Dividend – proposed 42.96 40.07
Corporate tax on Dividend 9.77 7.34
Balance carried over to Balance sheet 125.23 81.12
TOTAL 231.74 169.76
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
Vatika has not just been successful in garnering a premium image but, today, stands as
the preferred and trusted brand of 11.1 million users (Source: IRS Household Data).
STP ANALYSIS OF VATIKA HAIR OIL
SEGMENTATION
Vatika Hair Oil was launched at an almost 100% premium to the market leader.
This meant that the segment of the market that dabur wanted to cater to was the
premium segment which valued nourishment of the hair above the price and it tried
to attend to that segment which was not price sensitive.
TARGETING
This was in line with its proposition and overall brand strategy of a premium up-
market product targeted for individual needs as opposed to the collectivist culture of
the category. It targeted the high income urban category of hair oil users. Since the
product was expensive it could mainly cater to the urban market as opposed to the
rural market where consumers are highly price sensitive. Being positioned as having
amla, henna and lemon extracts, the product was targeted towards the young,
contemporary, educated, multi-faceted, achievement-driven and confident women
who were positioned as the Vatika Woman.
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POSITIONING
‘Total hair Care’ brand:
The product innovation was fed by the vital consumer insight that many women in
contemporary India are worried about hair problems caused by
MARKETING MIX OF VATIKA HAIR OIL
Vatika Hair Oil has made a huge impact with its innovative product offering, pricing
strategy, easy availability and promotion campaigns. In the marketing mix of Dabur, we
shall be discussing the 4 Ps of marketing mix with respect to Vatika Hair Oil. The mix
shall be analyzed as followed:
Product
Price
Place
Promotion
Product Price Promotion Place
• Product
Variety
• Quality
• Design
• Features
• Brand Names
• Services
• List Price
• Discount
• Financing
Schemes
• Credit
Terms
• Advertising &
Promotion
• Public
Relations
• Sponsorships
• Internet
Marketing
• Channels
• Location
• Inventory
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PRODUCT:
Brand Name: Vatika in Hindi means ‘garden’. The brand attempts
to live up to the promises – beauty and nature – that are associated
with its very name. Starting with these associations Vatika has
assiduously built a brand that delivers on all these values through
its various product offerings, the mother brand being Vatika Hair
Oil..
Innovative product offering:. Vatika Hair Oil is coconut hair oil
with special ingredients adding value to the product. While coconut oil has been
regularly used by Indian women as a basic hair nutrient, a combination of herbs
and natural products such as henna, amla and lemon have been used for special
hair needs.
Coconut hair oil provides nourishment to the hair, while henna along with other
herbs coat the hair and protect it from oxidation, thereby maintaining its natural
colour. Amla strengthens hair roots and helps maintain their natural health and
thickness. Lemon with its astringent action controls sebum flow and helps in
prevention of dandruff.
Apart from henna, amla and lemon, it also contains other natural ingredients like
brahmi, neem, bahera, kapurkachari, harar, dugdha and sugandhit dravyas.
Packaging: The qualities of Vatika products, ascribed to the brand by hundreds of
thousands of satisfied consumers, have been further underlined by its attractive
packaging. In a category dominated by blue packs as analogous of pure coconut
oils, Vatika broke the norm with its white and green bottle with a mushroom cap.
The green-and-white colours, used in its packaging, reflect the brands’ natural
ancestry and give it a premium look. These also help Vatika stand out in the
cluttered environment of Indian retail.
22
Available in:
Bottles 75 ml, 150 ml, 300 ml
Flip cans 150 ml, 300 ml
Flip cans were introduced for the winter season.
Quality: Vatika products contain natural ingredients that have been blended
together through scientific processes at Dabur’s in-house research laboratories.
Dabur Research Foundation has more than 100 scientists working together to make
superior quality products that match international standards.
PRICE:
In the traditional coconut hair oil category, which presumably had price sensitive
consumers, Vatika Hair Oil with its value added proposition – henna, amla and
lemon in a pure coconut oil – broke this myth when it launched at almost a 100%
premium to the market leader; even with such a pricing strategy it was able to
garner a significant share from the leader in the very first year of its launch.
The table above shows that Dabur Vatika is one of the highest priced of hair oils
since it targets the higher income class and also that the prices have remain
unchanged since 1999.
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PRICE/QUALITY MATRIX
Price→
Quality
↓
High Middle Low
HighLuxury Segment
VATIKA
Ideal For Penetration Premiere
Offering
Middle
Overpriced Average Real Bargain
Low
Make The Sale
and Run
Unhappy Customers Cheap Goods
PLACE
Vatika products including Vatika Hair Oil are sold in 38 countries through more than 15 lakh retail outlets and 5,000 distributors who service the entire
country through a wide marketing network.
Dabur’s distribution network extends beyond India in the following countries as well:
The boy asserts, “Zaroorat hai!” and starts running. The big brother follows him but
is unable to catch him using
every way.
Running with super energy the boy dives into the river.
Not to be left behind...
...the big brother also dives in
the river but ultimately stops
when he gets tired
COMPETITOR ANALYSIS39
The key competitor’s of Dabur in the Chyawanprash segment are Baidyanath, Zandu and
Himani, which together with Dabur have about 85% of India's domestic market.
Dabur is India's largest Ayurvedic medicine supplier and the fourth largest producer of
FMCG. It was established in 1884, and had grown to a business level in 2003 of about
650 million dollars per year, though only a fraction of that is involved with Ayurvedic
medicine. Dabur Chyawanprash (herbal honey) has a market share of 61%.We have tried
to analyse the competition for Dabur in the Chyawanprash segment as follows:
Sri Baidyanath Ayurvedic Bhawan Ltd. (Baidyanath for short) was founded in 1917 in
Calcutta, and specializes in Ayurvedic medicines, though it has recently expanded into
the FMCG sector with cosmetic and hair care products; one of its international products
is Shikakai (soap pod) Shampoo.Its Chyawanprash has a market share of 10%.
Zandu Pharmaceutical Works was incorporated in Bombay in 1919, named after an
18th-century Ayurvedic. The company focuses primarily on Ayurvedic products (in 1930,
pharmaceuticals were added, but the pharmaceutical division was separated off about 30
years later).
The Emami Group , founded in 1974, provides a diverse range of products, doing 110
million dollars of business annually, though only a portion is involved with Ayurvedic
products, through its Himani line; the company is mainly involved with toiletries and
cosmetics, but also provides Chyawanprash and other health products. Its market share is
12%.
CONSUMER QUESTIONAIRRE-DABUR
CHYAWANPRASH
40
Dear Respondent,
Thanks for sparing few minutes to fill this questionnaire, which will help us to study the
consumer perception for chyawanprash.
Any information provided by you will strictly be used for Academic Purpose.
1. Which brands of Chyawanprash are you aware of?
Zandu
Himani
Baidyanath
Dabur
2. Which brand of Chyawanprash do you use?
Zandu
Himani
Baidyanath
Dabur
3. Where would you rate your brand on a scale of 1 – 5 (5 being highest)?
1
2
3
4
5
4. What are the primary reasons for which you use this particular brand?
Health
Brand Loyalty
Taste
Price
5. How did you get to hear about this brand?41
TV
Internet
Word of Mouth
Print
6. If your brand is not available you would..?
Purchase another brand
Wait for it to be available
Go for a substitute
Buy what is offered by the retailer
7. Which pack size do you prefer?
1 kg
500 gm
250 gm
8. On what parameters do you choose this pack size?
Availability
Price
Family size
Storage
42
9. How often do you buy?
Once a month
Once in two months
Once in six months
10. Are you satisfied with your brand?
Yes
No
CUSTOMER SURVEY RESULTS
DABUR CHYAWANPRASH
AWARNESS LEVEL
PREFERRED BRAND
43
SATISFACTION LEVEL
REASONS FOR SELECTING A PARTICULAR BRAND
HOW DID YOU COME TO KNOW ABOUT THIS BRAND.
44
UNAVAILABILITY OF PREFERRED BRAND
RETAILER SURVEY RESULTS
DABUR CHYAWANPRASH
1. Which brands of Chyawanprash do you stock?
45
2. Out of these which are the most preferred?
3. According to you what are the reasons for customers’ preferences?
46
DISTRIBUTION
Supply chain: Dabur has steadily improved its procurement and distribution systems to
achieve a significant reduction in material costs. Dabur has an extensive supply chain and
distribution network that has grown and spans 29 factories, 47 stocking points, 4 zonal
offices, a dozen manufacturing locations, six mother-warehouses and over 50
Carrying and Forwarding Agents(CFAs) that distribute more than 1,000 SKU’s to
several thousand stockists and dealers.
MIS: An in-house developed, easy-to-use, Intranet based data-warehouse displays as-
of-yesterday sales, stock, receivables, banking, and other MIS. Over 5,000 ASP pages
meet almost all reporting requirements and make this a single source of MIS for all levels
of decision makers.
VSATs: This Success paved the ground for the company's supply chain initiative. Fifty-
five Ku Band TDMA VSATs were used to link primary distributors to the system.
Factories were hooked up using PAMA (Permanent Assigned Multiple Access) VSATs.
At some locations VPNs had to be used because it was not possible to set up a dish. The
integrated primary and secondary system has a number of unique features. The features
like tight integration of schemes, stockist’s credit limit control, automated banking of
cheques, and online cheque reconciliation have obvious advantages in the primary
distribution. These are basically extensions to the MFG/PRO ERP system and not core
customizations. The integrated system allows each Area Manager to plan for the month's
sales forecasts, stockists performance, and sales officers' performance. The integration
allows better control on pipelines in primaries and secondaries, brings down inventories,
and offers better control on production and sales against a confirmed forecast. The idea is
to increasingly shift focus from primaries to secondaries. Schemes based on secondary
volumes will help control secondary pipelines and sales. Primary sales will therefore
come from a resultant 'pull' from secondary replenishments. Further, sales order servicing
can be improved by taking orders through the Internet, and by setting stocking norms and
replenishing stocks to improve ROI of stock holders.
47
ANSOFF’S PRODUCT MARKET EXPANSION GRID
MARKET PENETRATION: The new campaigns, featuring Amitabh Bachchan and,
for the first time, Vivek Oberoi, makes an aggressive attempt to establish the relevance
of Chyawanprash in an increasingly tough and demanding lifestyle, for the entire family.
As a market leader, Dabur’s focus has been to increase the relevance of this time-tested
and proven product in the family - both for users and non users - and increase
penetration. In their new campaign they have tried to establish the fact that
Chyawanprash, with its ‘well - being’ properties, gives an edge to the users and dispel the
myth that it should be consumed in illness or is meant only for Children or the aged.
MARKET DEVELOPMENT: Dabur has identified exports as a major thrust area for
the future. An international business division has been set up within the company to
promote exports and it expect this business to grow steadily in the coming years. The
company plans to focus on Russia and CIS countries along with Afghanistan, West
Indies and the Asia Pacific region. It has also entered the North American markets by
appointing distributors and initiating marketing of products to the ethnic Indian segment.
The company has already been exporting hair oils, shampoos and Hajmola candies to
Afghanistan. In Bangladesh, Dabur is entering into a joint venture with a local partner to
manufacture and market its products. Dabur will hold a majority stake in this joint
venture.
48
BOSTON CONSULTANCY GROUP’S GROWTH
SHARE MATRIX
↓ DABUR
In the past, the sheer diversity of Dabur's product portfolio has made an evaluation of
the company's prospects quite difficult.
Dabur's FMCG business contributes over 70 per cent of Dabur India's current revenues.
Within the FMCG business, Dabur India focusses on three key product groups — family
products, healthcare and FMCG exports. The family products portfolio boasts of quite a
few market leading brands — Dabur Amla and Vatika hair oils, Vatika shampoo, Dabur
Honey, and Dabur Lal Dant Manjan.
Dabur India also has well-recognised brand names and an established distribution set-up
in the healthcare business with brands such as Dabur Chyawanprash, Hajmola, Pudin
Hara and Dabur Lal Tail. Given Dabur's acknowledged strengths in ayurvedic
healthcare, the scope for expansion in each of these product baskets is considerable.
Though in the recent years, the growth from Dabur's FMCG portfolio has been
sedate, due to sluggish rural demand and intense competition from a host of regional
49
brands and counterfeit products. However Dabur's operating profit margins have been
more or less constant over this period.
However, the FMCG business is Dabur's cash cow contributing over 70 per cent of
Dabur India's current revenues. The business has consistently generated high cash
flows and called for minimal incremental investments. The overall growth in hair oil
industry has been 7% whereas growth in branded coconut oil has been 10%.Vatika
hair oil has a market share of 19% and Dabur Chyawanprash has a 61% market
share and is the market leader. Both of these are therefore Dabur’s cash cow.
50
THE NEW DABUR ENTITY
The New Dabur Identity modernizes the 100-year old equity of the
Dabur brand by subtly transforming the tree. While it retains the essence of the banyan
tree, it now projects a contemporary image, in consonance with today's lifestyle.
The tree, a symbol of nature, is indelibly regarded as a provider of shelter, food and
protection. On a metaphysical plane, the tree is regarded as sacred, trustworthy and a
symbol of fertility. The new Dabur identity retains these enduring and valuable attributes,
while it adds a fresh, healthy and holistic dimension to the tree.
The new identity appropriates nature as the wellspring for Dabur. It conveys Dabur's
heritage, commitment and stability through the form and colours of the tree; its branches
and leaves. It also conveys that the brand stands for wellness across age groups.Taken as
a whole, the tree appears well rooted, implying stability; and its abundant canopy implies
that it can provide amply for those who seek its produce and shade. Further, the entire
image, being well-proportioned, evokes a harmonious, well-balanced, wholesome and
holistic brand.
In India, the tree is a symbol of life. It is a giver of fuel, food and protection. It is a
heaven for creatures it generously harbours in its foliage, as well as in the shade of its
canopy. The tree is held auspicious as it spreads through the three spheres with its roots
meshing through the earth, its trunk rising through the terrestrial world and its branches
reaching into the heavens. This symbolism also occurs in cultures across the world.
Keeping these vital associations in mind, the tree in the new Dabur identity has been
carefully created to communicate Dabur's invaluable 100-year old legacy
51
RECOMMENDATIONS
Focus on growing core brands across categories.
Reaching out to new geographies, within and outside India.
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 science.
Provide consumers with innovative products within easy reach.
Vatika hair care centre: On the lines of Marico’s Kaya Skin Clinic, Dabur could start a venture called Vatika hair care centre which would provide total hair care solutions. It could have hair care experts to solve hair problems. Services could include dandruff treatment, straightening of hair, treatment for split ends,etc.
Position Dabur Chyawanprash as not more of a medicine but as something which is necessary for health.
More initiatives like “Dabur ki Deewar” to increase brand visibility. It is an initiative to occupy shelf space.
52
RESEARCH METHODOLOGY
As the purpose of the project report is to analyse the consumable products successfully
launched in the last three years. The data was collected both with the help of primary as
well as secondary sources.
For primary data, I proceeded with the drafting of the questionnaire for consumers was
structured as undisguised, & Personal -interview retailers. Distributors & wholesalers and
it was handed personally by me to the respondents to be analyzed.
The questionnaire method was used-
a) To get first and relevant and unbiased information
b) Questionnaire provides versatility and solutions can be obtained by just asking the
questions.
c) Questioning is usually faster and cheaper.
d) Moreover, there is more control over data gathering activities.
Secondary data was also collected personally by me, which the company has furnished
for the general public. The secondary data was gathered with the help of various
magazines, newspapers, journals, brochures and also through the internet. For secondary
sources no field work was employed.
In order to amplify the empirical findings from primary and secondary sources, a survey
was conducted both of consumers and retailers Distributor & Wholesalers in order to
gauge the market opinion.
The questionnaire was of multiple choice and the pattern of questions was as simple as
possible. With every question, multiple choices were given and respondents were asked
to select one of them. The questionnaire technique was structured and not disguised as
the questions followed one pattern and reason behind the questionnaire was stated
properly. All the questions were directly related to the subject.
53
For Dabur Chyawanprash and Vatika hair oil.
1. Sample size for customers were 150 in number and the universe comprised of all
the consumers within the geographical region of Delhi.
2. Sample size for retailers were 40 in number and the universe comprised of all the
consumers within the geographical region or Delhi.
3) Sample size for Distributor & Wholesaler were four in number & the universe
comprised of all the consumers within the geographical region of Delhi.
No other field work was employed to gather the information. The questionnaires were
distributed to the respondents and the data was collected through primary and secondary
sources.
The statistical technique such a Pi-chart and percentages were used in analyzing and
interpreting the data.
54
CONCLUSIONS
The Chyawanprash Industry is yet to capture the beverage market in full swing. Packed
Chyawanprash followed by Amla, Ashwagandha, Hareetaki, Dashmul, Ghrit and
several
Other herbs and herbal extracts. The market. The consumer’s patriotic love for tea and
coffee is unfared. Chyawanprash are yet to establish their supplement use in the average
household here in lies the great opportunities. Within the market, it is safe to conclude
that dabur has hit off rather well with the masses. Dabur has clearly lost it head start
advantage and thereby acquiring just 35% of the market share while others enjoy rest of
the market share. This could be well attributed to dabur successful ATA (Availability,
Taste and Affordability) marketing module, the attributes most rated by the consumers.
Lack of publicity has hampered the growth progress of the brand so aggressive
advertising is needed to promote Chyawanprash and vatika hair oil brand .The brands
such as that of Chyawanprash by vednath, Chyawanprash with its ‘sonacahndi,
‘Minute- made’ and also US food giantssDel Monte are ready to hit the Chyawanprash
market very soon.
Vatika hair oil has no major competition except an Australian Product Tobasco. As a
new product so people are not able to digest it yet Dabur is getting 8 crores from Vatika
hair oil in which accounts for 4 crores, Lemoneez 1 Crore & others 3 Crores .
As the strategies of the companies keeps on changing, be it in Chyawanprash industry,
a company has to create perceptions and cover them into realities. It is an expensive
proposition requiring huge expenditure on advertising, sponsorships and media. Thus,
the ideal company will be the one which combines the high end technology with
consumer insight.
As 16% of the excise duty is exempted on food products in this budget, many food
companies including Dabur got benefited from it. On the analysis of survey it was found
that target Market of Chyawanprash want quality benefit rather then Price benefit, so it is
better to stress on quality rather than on decreasing price to increase sales and profit. To
increase market share Dabur should give slight price benefit on Dabur brand so that
customers of other Juice brand should switch from other brand to Dabur brand.