Indraprastha University
Submitted By:-
Akash Bansal
BBA-3
Enrollment No. 0786111708
I wish to thank all those with whom I have worked, interacted and whose thoughts and insights
helped me in furthering my knowledge and understanding of the subject.
I would especially like to express my gratitude and sincere thanks to Mrs.Neha Verma whose
excellent teaching has left an undeniable print on my mind leading me to prepare this project
report in a better way and which would not have been possible without his support and active
guidance. I am highly obliged to him for the opportunity that he gave me to work on the
marketing strategies of ‘Dabur India Ltd.’. The present report has made me learn a lot about the
marketing industry as a whole.
Akash Bansal
This is to certify that this research report entitled “Dabur India Ltd.” Is the original work of
“Akash Bansal” and it has been completed under my supervision.
I Acknowledgement
II Certificate
1. ORGANISATIONAL PROFILE
a. Objectives
b. Introduction
c. Company’s History
d. Management and Ownership structure
e. Vision
f. Company’s Profile
5 CONCLUSION
6 BIBLIOGRAPHY
OBJECTIVE
Before the industrial revolution the emphasis was on production of better quality article.
Production was carried on small scale and in most cases production was carried on in small
quantities only when an order was placed in advance. In modern days production is carried on
not only in large scale but also in anticipation of future demand. This situation had brought into
sharp focus the other function of management as Marketing, Finance and Human Resources etc.
The functioning of all these areas of management in a vibrant way full of vitality is important to
the sustenance and advancement of the company towards prosperity.
Dabur India Ltd. Is a company where a balance of all these fields exists and where they perform
in a perfect harmony. Dabur was set up in 1884 by Dr. S. K. Burman, a physician tucked away in
Bengal, to produce and dispense Ayurvedic medicines. His mission was to provide effective and
affordable cure for ordinary people living in far-flung villages. Reaching out to a wide mass of
people who had no access to proper treatment, Dr. S. K. Burman's commitment and ceaseless
efforts resulted in the company growing from a fledgling medicine manufacturer in a small
Calcutta house, to a household name that at once evokes trust and reliability.
Dabur India Limited is India's leading FMCG Company with interests in health care, personal
care and foods. Dabur has a history of more than 100 years and the company has carved a niche
for itself in the field of Ayurvedic medicines. The products of Dabur are marketed in more than
50 countries worldwide.
The company has 2 major strategic business units (SBU) - Consumer Care Division (CCD),
Consumer Health Division (CHD) 3 Subsidiary Group companies - Dabur Nepal and Dabur
Foods Ltd & and Dabur International. Dabur International has 4 step down subsidiaries – Dabur
Egypt Ltd., Asian Consumer Care Pvt. Ltd. (Bangladesh), African Consumer Care Ltd. (Nigeria)
and Weikfield Intl. (Egypt)
HISTORY OF DABUR
From a small beginning and upholding the values of its founder, Dabur entered the august
league of large corporate business. Dabur has also ventured into the specialized health care area
of cancer treatment with its oncology formulation plant at Baddi in Himachal Pradesh and
extended its global partnerships by entering into joint ventures with Osem of Israel for food and
Bongrain of France for cheese and other dairy products.
Dabur India Limited today is the third largest FMCG Company in India after a takeover of
Balsara India Limited and with interests in Health care, Personal care and Food products.
Powerful brands like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real are the
major contributors to Dabur’s turnover of Rs.2396 crore.
Board of Directors
Dabur has an illustrious Board of Directors who are committed to take the company onto newer
levels of human endeavour in the service of mankind. The Board comprises of:
Chairman Vice-Chairman
Dr. Anand Burman Mr. Amit Burman
The C.E.O
Sunil Duggal
Chief Executive Officer
Dabur India Limited
VISION
COMPANY’S PROFILE
Dabur India Limited is India’s fourth largest FMCG company. The first Dabur plant was set up
in 1896 and research laboratories established in 1919. Dabur became a public limited company in
1986. In 1998, the Burman family, the original promoters, handed over the day-to-day running of
the company to professionals. With effect from 1 April 2005, Balsara Home Products became a
subsidiary of Dabur. Apart from Balsara, Dabur has five other subsidiaries — Dabur Foods,
Dabur Nepal, Dabur Egypt, Dabur Oncology and Dabur Pharma.
Dabur has been marketing its products in more than 50 countries all over the world. The
company has offices and representatives in Europe, America and Africa. Manufacturing facilities
are spread across three overseas locations.
Dabur India Limited holds its speciality in AYURVEDA. Ayurveda, the ancient Indian system of
medicine based on natural and holistic living, derives from two Sanskrit words -Ayu or life, and
Veda or knowledge. This Science of Life analyses the human body through a combination of the
body, mind and spirit.
Originating nearly 5,000 years ago, Ayurvedic texts were researched by Dabur in its quest for
natural remedies. Today, its application in modern life has been renewed through the scientific
research and validation undertaken at Dabur.
Other than “ ayurvedic specialities “ Dabur’s product range also encompasses health care, hair
care, oral care, baby care, home care, food segments and digestive products . Some of the well-
known brands include Amla Chyawanprash, Hajmola, Lal Dantmanjan, Nature Care and Pudin
Hara.
Part of the company’s success came from its highly active sales network. A significant
proportion of Indian population, which would be top one billion before the drawn of the 21st
century, still lived in rural regions and in extreme poverty. For much of this population, personal
care products remained luxury items. Yet the company recognized the importance of building its
brand in this region and as such the company developed a vast sales network and much of this
network was based on an army of independent, direct sales agents, who hawked the company’s
products in more than 150000 villages.
In 2002 the company prepared to enter a new management era and appointed Mr. Sunil Duggal
as the C.E.O of the company. He joined in 1995 as General Manager (Sales & Marketing), and
since then, with his dynamic spirit and leadership abilities he has led the company to achieve
new heights and becamer the CEO of the Company, and with his valuable experience steering the
company ahead in its growth plans.
Dabur India Limited has marked its presence with some very significant achievements and today
commands a market leadership status. Their story of success is based on dedication to nature,
corporate and process hygiene, dynamic leadership and commitment to their partners and
stakeholders. The results of the policies and initiatives speak for themselves.
The shareholding pattern of the company last year is as follows -:
Promoters 70.81%
Non promoter corp. hold 21.24%
Public & others 7.94%
Promoters
21%
8% Non promoter's
holdings
71% Public andothers
D
abur India Limited is India's leading FMCG Company with interests in health care, personal care
and foods. Dabur has a history of more than 100 years and the company has carved a niche for
itself in the field of Ayurvedic medicines. The products of Dabur are marketed in more than 50
countries worldwide. The company has 2 major strategic business units (SBU) - Consumer Care
Division (CCD) & Consumer Health Division (CHD), and 3 Subsidiary Group companies -
Dabur Foods, Dabur Nepal and Dabur International. Dabur International has 5 step down
subsidiaries - Dabur Foods, Dabur Nepal, Dabur Egypt, Dabur Oncology and Dabur Pharma.
Shankha Pusphi
Dabur balm
Sarbyna strong
The Consumer Care Division (CCD) — that deals with pure FMCG products is a
result of the merger between the personal care products division and the healthcare products
division. The division’s portfolio includes health supplements, digestives and confectionery, oral
care, hair care, and baby and skin care.
The various categories under CCD are:
Hair care oil Skin care Hair care shampoo Oral care
- Amla hair oil - Gulabari - Anmol silky black - Dabur red gel
shampoo
- Amla lite hair oil - Vatika fairness - Dabur red
face pack - Vatika henna toothpaste
conditioning shampoo
- Vatika hair oil
- Dabur lal dant
- Vatika anti-dandruff manjan
- Anmol sarson
shampoo
amla
- Dabur binaca
- Anmol natural shine toothbrush
- Amla Hair Oil
shampoo
-Anmol Sarson
Amla
SUBSIDARIES
Dabur Foods a 100% subsidiary of US $ 3 billion Dabur Group realized the potential of the
processed & packaged food industry (4th largest in the world), began operations as a separate
division in the year 1999. It established brands in a market where the barrier to accept packaged
food is high, and the fledging processed food industry was in a nascent stage in India. Today,
Dabur Foods has kept its promise not only to the Indian consumers but to the world by providing
them the very best products in packaged food class.
Dabur Foods has a distribution networkthat covers175 towns and 75 thousand retail outlets
making its product available to the consumers across the country at ease.
With an understanding on the nuances of food distribution, the company has developed a unique
handling and storage process, which ensures the minimum damage and expiries. To deliver fresh,
the company has created a separate channel for retail and food services. With a dedicated system
and logistics process, it achieves a balance between sales and production.
Realizing the potential in the distribution network, Dilmah Tea, world’s 3rd largest tea brand,
partnered with Dabur to reach the Indian Market.
Dabur Nepal Limited
The guiding force behind Dabur’s Growth and success has been the wealth of nature and its
limitless capacity to support life. And they have constantly taken care to preserve and protect this
natural bounty. With this overall vision of and to eco-sustenance, expand Dabur’s resource and
product base, Dabur Nepal Private Ltd.was set up as an independent group company in 1992.
This new company set amidst the verdant greens and the towering mountains of the Himalyan
kingdom of Nepal, has established a unique bond of technology and preservation
Dabur International Ltd. is the most important subsidiary company of Dabur. It is responsible for all the
actions of Dabur worldwide. Dabur International has 4 step down subsidiaries – Asian Consumer Care in
Bangladesh, African Consumer Care in Nigeria, Dabur Egypt and Weikfield Intl.
in U.A.E
MARKETING ANALYSIS
OF
‘Market in common language is a place where business is conducted or in other words where
goods and services are exchanged. The term market is used in variety of contexts. It can be a
wholesale market & Retail market. The managerial awareness and desire reflected in the
consumer orientation for an all-out commitment to the market consideration and marketing
operations to the consumer needs has given birth to new operational notion called the ‘Marketing
concept’.
‘Marketing’ as the word suggests simply means identifying needs of the customers or in others
words ‘to know about the pulse of each & every customer’. ‘A social process by which
individuals and groups obtain what they need and want through creating, offering and freely
exchanging products & services of value with others.’
The following are important elements for a marketing exchange to take place:-
Marketing involves different functions- marketing research, product planning, buying and
assembling, packaging, storage, warehousing, Transportation, promotion & selling. These
functions helps the firm to realize its profit goal by actualizing potential exchanges with the
customers.
MARKETING MIX
Marketing mix refers to the ingredients or the tools or the variables which the marketeer mixes in
order to interact with a market. It is a set of marketing tools that the firm uses to pursue its
marketing objectives in the target market. Marketing mix includes the following activities
-product planning, pricing, branding, packaging, channels of distribution, displays, physical
handling, advertising etc.
All the activities listed above create what a marketeer offers to the market. It is through these that
market is created and managed. The above list of marketing mix elements was reclassified by
McCarthy into four categories popularly known as four P’s of marketing -: product, price, place
and promotion.
PRODUCT PLACE
Product mix Channel strategy
Packaging Intermediaries
Labeling Channel conflict
Product quality Channel selection
Branding Physical distribution
PRICE PROMOTION
Price methods Promotion mix
Pricing strategies Advertising
Price policy Sales promotion
Price changes Personal selling
Publicity
Public relations
4 P’S
PRODUCT
OF
PRICE
The product is the physical good or service offered to the consumer. The product is the most
visible element of the marketing mix. When a firm introduces a number of products over time
gradually, its offerings become many. That is, the firm becomes a multi product firm.
Similarly, Dr. S. K. Burman started a small pharmacy in Calcutta in 1884 where he launched his
mission of providing health care products. Which was later made a full fledged company Dabur
(Dr. S. K. Burman) India Limited started with only few ayurvedic medicines. But now it has a
bigger portfolio of products of variety of brands like hair care, health care, baby care & other
different types of Home & Personal care products along with food and digestive products.
Further the company can increase the depth of an item in the line by adding new variants. For
example Dabur has added different flavours like orange and lime to its Glucon D.
Dabur’s diverse product range is today manufactured in 9 manufacturing facilities within India
and 5 other worldwide. Dabur's Ayurvedic Specialities Division has over 260 medicines for
treating a range of ailments and body conditions-from common cold to chronic paralysis.
Over the past two years, Dabur’s product portfolio has been systematically overhauled through
re-launches and brand extensions, even as fresh forays have been made into new categories such
as hair, skin care and home care. Recently two new products, disinfectant cleaner and kitchen
cleaner under ‘Dazzl’ brand. All these launches of new kinds of products will help the company
to capture the potential market arising from the growing needs of the fast expanding market,
especially the aspiring and affluent Indian household categories.
1) Health Care
2) Personal Care
3) Home Care
4) Ayurvedic Specialities
5) Foods
6) Guar Gum
Dabur Glucon D
It's a
ready
Dabur Honey
Odomos
It is a effective mosquito repellent and safe for the skin.
Odonil
Odopic
Sanifresh
HAIR OILS
Dabur Amla Hair Oil contains natural extracts from “Amla” which is good for
hair.
Dabur Amla Lite Hair Oil
Dabur Amla Lite Hair Oil is the non sticky version of Dabur Amla Hair Oil.
It is the oil made from the extracts of Amla and Sunflower seeds.
SHAMPOOS
It is a natural shampoo made from herbs like Henna, Shikakai and Green
Almonds
It is a naturall shampoo fighting dandruff problems in a better way without and side-effects as in
case of chemical shampoos.
Vatika root strengthening shampoo
It is a special shampoo enriched with coconut milk that nourishes hair from
the root to the tip and strengthens them.
SKIN CARE
Dabur Gulabari
Dabur Gulabari Premium Gulab Jal is the extract from fragrant roses.
The new Vatika soap variant has natural ingredient like Saffron and Sandal.
ORAL CARE
Toothpast prepared from hebs that fight oral problems like bad breath, toothache and
germs.
Bianca Toothbrush
Babool Toothpaste
Meswak Toothpaste
Promise Toothpaste
General Health
Stresscom
Lung Support
Broncorid
Madhuvaani
Madhuvani is a blend of age-old traditional cough formula Sitopaladi churna with honey.
Digestive Support
Trifgol
Trifgol is an Isabgol based natural fiber laxative, which also contains the goodness of Triphala
(Amlaki, Hareetaki and Vibheetaki). Besides a laxative action Trifgol has other multiple health
benefits as well.
Cardiac Support
Lipistat
Uterine Support
Mensta
Joint Support
Rheumatil – gel
Rheumatil-tab
Rheumatil tablet is a potent herbal combination of Anti-arthritic, Anti-inflammatory as well as
Disease Modifying Anti Rheumatic drugs and has been found very effective in all arthritic
problems.
Rheumatil – oil
FOODS
Real juices are prepared from the best quality fruits to ensure consistent quality all round the
year. Packed with natural goodness of fruits, these juices have all the ingredients to keep you
happy and healthy. Real juices have nine variants namely, Orange, Mango, Litchi, Guava,
Tomato, Mixed Fruit, Grape, Pineapple and Cranberry.
REAL ACTIV
The Real Activ ranges of natural fruit juices are free of any
additives and preservatives. They are thus, cholesterol free and
sodium-free and also contain all the essential nutrients required for
good health.
Dabur foods have recently launched the fruit-veggie range under the brand of Activ. The variants
in this range of juices are:
These fruit drinks/juices are the latest addition to the kitty of Dabur Foods Limited. Coolers
are drinks of cooling fruits, summer fruits like watermelon, green mango, pomegranate and
Jamun. These drinks are cooling drinks which help you to beat the summer heat by cooling you
from inside and maintaining the body water level. There are four variants of this range available
in the market currently namely,
-- Watermelon
-- Pomegranate
-- Aampanna
-- Jamoon
CAPSICO
This is a hot fiery sauce which is made from pepper and chilli .It can be used in various
ingredients like pizzas ,salads etc.
LEMONEEZ
HOMMADE
Dabur Foods has launched a couple of products under the Homemade brand
portfolio. These include:
-- Homemade Coconut Milk -- Homemade Ginger-Garlic Pastes
-- Homemade Soups -- Homemade Tomato Puree
Homemade Tomato Puree:
Homemade Soups:
Baby Care
Dabur Lal Tail is a natural Ayurvedic baby massage oil, which contains
the properties of time tested herbs. These strengthen the baby's bones
and muscles, and help him/her stay ahead, It is useful for flabby, dry
skin and wrinkles occurring during rickets.
Dabur Janma Ghunti, an Ayurvedic medicine, plays a dual role in the all-round growth of infants.
It acts as an effective remedy for stomach ailments arising out of teething such as flatulence,
constipation, diarrhoea, vomitting etc. Dabur Janma Ghunti also helps in the growth process by
expelling intestinal worms and toning up the digestive system of the infant with the
goodness of traditional Ayurvedic ingredients like Anjeer,
Kishmish, Ajwain etc.
Dabur Gripe Water contains ingredients like Sarjikakshara and Mishreya tail, which
are very useful in guarding your baby against common stomach problems like afara,
aittan, indigestion and acidity. It's regular use ensures that teething causes no problems
for your baby.
Digestives
Hajmola
Hingoli
Pudin Hara G
Dabur's Pudin Hara G - for quick relief from gas and acidity. Completely natural, herbal and
safe. And reinforced with the extra goodness of mint (pudina) for instant action against
conditions of flatulence.
Pudin Hara
Dabur Pudin Hara gives quick relief from stomachache, gas and
indigestion. Its is a trusted fast action remedy for stomach disorders. Pudin Hara is completely
natural and safe.
Dabur’s pioneering efforts to develop techniques to bring natural branded products to India’s
people gradually had an impact on their entire portfolio of brands. Still, Dabur looks to exploit
other growth opportunities by renewing its products and entering into new segments.
Dabur India Ltd, plans to double its revenues in two years by ramping up its product range and
launching new categories of food and personal care merchandise, a top official said. The
company will soon introduce male grooming, skincare and ready-to-eat products to widen its
consumer base. “The male grooming market in India has less momentum and is an interesting
segment. We plan to introduce products in the hair care, deodorant and skincare range for male
care,” said V.S. Sitaram, executive director of the consumer care division at Dabur.
While Dabur intends to aggressively enter new segments, it is also revamping its existing
personal care portfolio by repackaging and adding new product lines. For instance, it will launch
Vatika hair conditioner in the next few days, and other hair care products such as gels and creams
would follow suit. “We are looking at launching a completely new skincare line with products
such as cleansing lotion, anti-ageing solutions, and body skincare range under a different brand
name,” Sitaram said.
In the past one year, the company has relaunched almost 60% of its products and introduced 10
new items such as Dazzle surface cleaner and health drink Chyawan Junior. Dabur is also
extending its Gulabari rose water brand to launch lotions, cold creams and face freshener sprays.
Dabur’s new strategic focus is to go beyond fruit juices. They are looking forward to enter the
processed foods, fruit-based milk or yogurt and ready-to-cook and ready-to-eat market under a
different brand name.
Dabur India Ltd. is India’s third largest fast moving consumer goods company by sales.
Strategic positioning of Honey as food product, leading to market leadership (over 40%)
in branded honey market
Dabur Chyawanprash the largest selling Ayurvedic medicine with over 65% market
share.
Leader in herbal digestives with 90% market share
Hajmola tablets in command with 75% market share of digestive tablets category
Dabur Lal Tail tops baby massage oil market with 35% of total share
Exports
Dabur India Limited is a leader in manufacturing and marketing herbal, nature-based products,
marked with quality and trust gained through more than 100 years of experience. Today Dabur’s
products are available for people in more than 50 countries across the world, helping them move
towards a healthy, natural and holistic lifestyle. Dabur’s products are available in the markets of
the Middle East, South-East Asia, Africa, the European Union and America.
Dabur Amla Hair Oil - for strong hair with full body
Dabur Amla Lite Hair Oil - for nourishment and lightness
Dabur Vatika Hair Oil - premium coconut hair oil enriched with henna, amla and
lemon
Dabur Special Hair Oil - herbal oil for healthy & lustrous hair
Dabur Jasmine Hair Oil - with delicate natural fragrance of jasmines
Dabur Anmol Coconut Oil - pure coconut oil enriched with Vitamin E
1. Cost
2. Competition
3. consumer demand
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
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:-
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.
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
Channels 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.
Dabur’s distribution network is recognised 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.
The above diagram it 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
C O N S U M E R S
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.
• Getting the raw material and packaging material requirement from the production unit in
charge
• 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
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.
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 ASM & 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.
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
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”
• Price promotions
• 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
• Awards & prizes
• Premium gifts
• Sales Meetings
• Samples/product sampling
• Trade Fairs & exhibitions
• Contests & Sweepstakes
• Exchange Offers/buyback
• Refund / Rebate
• Price / Bonus Packs
PROMOTIONAL SCHEMES USED FOR STOCKIESTS
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.
Sales Contests: Sales contest are held annually and which ever stockiest has the best sales
record a prize is given to him, like free holiday to the family etc.
Allowances: Special allowances are given to both stockiest and stockiest sales man if they
achieve their monthly target.
Subsidy for Promotion Budget: Company gives subsidy to the stockiest, who spend some
money on the promotional schemes, like conducting a sampling activity.
Danglers and Posters: Company gives posters and danglers to stockiest which are further
pasted and distributed by stockiest sales man.
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.
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.
Fun Trip: A zone wise fully paid fun trip is organized by the company for all the stockiest
once a year.
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.
Special Trade Schemes: Special trade schemes like two SKU free with the 12 SKU.
Buyback: Dabur foods has a scheme of replacement of products which gets expired.
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.
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.
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.
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.
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.
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.
Sundesh is a non – profit organization engaged in carrying out welfare activities with the aim of
improving the quality of life of the people in rural areas. Mr. Pradip Burman is the Founder
Chairman. Sundesh is majorly involved in Health Care, Education and other socio economic
activities.
Sundesh started with Health Care and today its activities have diversified into various other
projects like education, veterinary services and income generation activities. These projects were
implemented after the need assessment survey of the rural community. The enthusiastic
volunteers support the society in implementing various projects in the rural areas through their
consistent efforts. Sundesh is executing various integrated rural development projects in the
villages of Ghaziabad and Gautam Budh Nagar Districts (Uttar Pradesh) in India.
Education
Health Care
Self Help Groups (Micro Credit Society)
Income Generation
Veterinary Services
Dabur Nepal
Since its inception in 1992, Dabur Nepal has been an active member of the socio-economic
development of Nepal. We have not only established some benchmark facilities in production
and scientific research, but also set in place social programmes that help local communities.
Through our initiatives, we continue to be a trusted friend of Nepal:
• Set up social welfare schemes to develop infrastructure facilities in health and education
sectors
• Sponsor and support sporting events to help build up Nepal's presence in the world of
sports.
CONCLUSION
It was really a very great experience to study this FMCG company “Dabur India Limited”. After
going into all its aspects i.e. its marketing strategies, policies, pricing strategies etc. we can
conclude that the company is excellent on all the fronts. The company’s different projects like
Sundesh and its social initiatives in Nepal etc. indicates that the company is also loyal towards
the society, and all such social responsibilities are very necessary to build a strong customer base
and brand loyalty
Through its comprehensive range of products it touches the lives of all consumers, in all age
groups, across all social boundaries. And this legacy has helped them develop a bond of trust
with our consumers. That guarantees us the best in all products carrying the Dabur name.
BIBLIOGRAPHY
Websites
www.dabur.com
www.wikipedia.org