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A

PROJECT REPORT
On
MARKETING STRATEGY OF DABUR VATIKA
HAIR OIL & DABUR CHYAWANPRASH

SUMMAR TRAINING PROJECT REPORT SUBMITTED


TOWARDS
PRACTICAL FULFILLMENT
OF
MASTER OF BUSINESS ADMINISTRATION

Submitted To : Submitted By :
MR. KARTIK ANUJ KUMAR SHAHI
Faculty MBA IInd Sem.
Reg. No. :
MA91116
VEL RANGARAJAN SAKUNTHALA
COLLEGE OF MANAGEMENT &
SCIENCE
CHENNAI

MARKETING MANAGEMENT
TERM PROJECT

Marketing Mix for Dabur Vatika Hair


Oil and Dabur Chyawanprash

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ACKNOWLEDGEMENT

The present work is an effort to throw some light on “Marketing


Strategy of Dabur Vatika Hair Oil & Chyawanprash”. The work would
not have been possible to come to the present shape without the able
guidance, supervision and help to me by number of people.

With deep sense of gratitude I acknowledged the encouragement and


guidance received by my organizational guide Mr. Sumit Sharma
(BRANCH MANAGER) and other staff members of Dabur India Ltd.

I convey my heartful affection to all those people who helped and


supported me during the course, for completion of my Research Report.

{ANUJ KUMAR SHAHI}

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TABLE OF CONTENTS

1.EXECUTIVE SUMMARY 7

2.INTRODUCTION 9

• COMPANY PROFILE 10

• PRODUCT PROFILE 11

3.OBJECTIVE 39

4.RESEARCH METHODOLOGY 41

• MARKETING RESEARCH
• SAMPLING

5.ANALYSIS 45

6.FINDINGS

7.SWOT ANALYSIS 63

8.RECOMMENDATIONS 67

9. CONCLUSION 69

10.APPENDICES 72

11. BIBLIOGRAPHY 83

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EXECUTIVE SUMMARY

This report aims at analysing 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 analyse 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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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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COMPANY HISTORY

1884 Birth of Dabur


1896 Setting up a manufacturing plant
Early 1900s Ayurvedic medicines
1919 Establishment of research laboratories
1920 Expands further
1936 Dabur India (Dr. S.K. Burman) Pvt. Ltd.
1972 Shift to Delhi
1979 Sahibabad factory / Dabur Research Foundation
1986 Public Limited Company
1992 Joint venture with Agrolimen of Spain
1993 Cancer treatment
1994 Public issues
1995 Joint Ventures
1996 3 septante divisions
1997 Foods Division / Project STARS
1998 Professionals to manage the Company
2000 Turnover of Rs.1,000 crores

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PRODUCT LINE

Foods

• Real
• Real Activ
• Hommade
• Lemoneez
• Capsico

Health Care

Baby Care

• Dabur Lal Tail


• Dabur Baby Olive Oil
• Dabur Janma Ghunti

Health Supplements

• Dabur Chyawanprash
• Dabur Glucose D

Digestives

• Hajmola Yumstick
• Hajmola Mast Masala
• Anardana
• Hajmola

• Hajmola Candy Fun2


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• Hajmola Candy

• Pudin Hara (Liquid and Pearls)


• Pudin Hara G
• Dabur Hingoli

Natural Cures

• Shilajit Gold
• Nature Care
• Sat Isabgol
• Shilajit
• Ring Ring
• Itch Care
• Backaid
• Shankha Pushpi
• Dabur Balm
• Sarbyna Strong

Personal Care

Hair Care Oil

• Amla Hair Oil


• Amla Lite Hair Oil
• Vatika Hair Oil
• Anmol Sarson Amla

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• Anmol Silky Black Shampoo
• VatikaHennaConditioning
Shampoo
• Vatika AntiDandruff Shampoo
• Anmol Natural Shine Shampoo

Oral Care

• Dabur Red Gel


• Dabur Red Toothpaste
• Babool Toothpaste
• Dabur Lal Dant Manjan
• DaburBinaca
Toothbrush

Skin Care

• Gulabari
• Vatika Fairness Face Pack

Ayurvedic Specialities

• Ayurveda
• Ayurveda Vikas

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Rural and urban potential
Rural-urban profile 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$ 14.6 billion in 2008 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 are expected to rise
from 145 million in 2007-08 to 153 million in 2009-10. This presents the
largest potential market in the world. The annual size of the rural FMCG

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market was estimated at around US$ 14.5 billion in 2007-08. With growing
incomes at both the rural and the urban level, the market potential is
expected to expand further.

Urban Rural

Population 2007-08 (mn household) 53 145


Population 2009-10 (mn household) 69 153
% Distribution (2007-08) 28 72
Market (Towns/Villages) 3,768 627,000
Universe of Outlets (mn) 1 3.3
Source: Statistical Outline of India (2008-09), 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.

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OVERVIEW OF VATIKA:
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.

It was joined in 1997 by Vatika Henna Cream Conditioning Shampoo and


later, in 2000, by Vatika Anti-Dandruff Shampoo. In 2003, brand sales
crossed Rs. 1,000 million. From the company’s perspective, Vatika is
expected to continue to drive its growth in the years to come. With its
innovative offerings, the brand aims to become a frontrunner in the
market for hair care and skin care products.

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. Currently, the total
annual sales of Vatika products are over Rs. 1,000 million. Of this, Vatika
Hair Oil enjoys a 6.4% market share in the coconut hair oil category
(Source: ACNielsen ORG-MARG, 2007).

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).

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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.

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 urban pollution, frequent change of diet due to geographical
mobility and other factors. Beset by modern-day hair problems, they
are far more inclined to rely on homegrown remedies. By offering hair
oil that combined the benefits of natural products in a single pack,
Vatika created a niche for itself as the ‘total hair care’ brand.

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“Natural” offering:

Vatika is a brand that espouses traditional wisdom about health in a


modern format. It believes that nature has perennial answers to day-to-
day health issues, particularly when it comes to hair care and skin
care. In a world where modern living causes untold stress the Vatika
brand holds out the promise of providing natural ingredients that
rejuvenate and safeguard the human body in an extraordinary way.
This concept is put to work through contemporary, modern products,
offered by Vatika.

The Vatika woman:

The Vatika woman is young, contemporary, educated, multi-faceted,


achievement-driven and confident. It is in the Vatika brand that she
sees a true reflection of her own personal ideals. Through creation of
the concept of Vatika woman, it has tried to carve out a new
positioning in the minds of the new age woman.

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

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Product Price Promotion Place

• Product • List Price • Advertising & • Channels


Variety • Discount Promotion • Location
• Quality • Financing • Public Relations • Inventory
• Design Schemes • Sponsorships
• Features • Credit Terms • Internet
• Brand Marketing
Names
• Services

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.

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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, and ugdha
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
colors, 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.

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.

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PRICE/QUALITY MATRIX

Price→

Quality High Middle Low


Luxury Ideal For Premiere

High Segment Penetration Offering

VATIKA
Overpriced Average Real
Middle Bargain

Make The Unhappy Cheap


Low Sale and Customers Goods
Run

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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:

Distribution Network

• Central, North & South America


• Australia
• Asia
• Middle East
• North & South Africa
• East & West Europe

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PROMOTION:
Vatika – the key focus brand of the company – has always been well
supported. The company realized early that, from the perspective of
brand building, it was vital to invest in this brand.

Vatika Hair Oil’s first promotion: It focused on the key benefit –


beautiful hair without hair problems – that came about as a result of
the extra nourishment through the value addition of henna, amla and
lemon-derived additives.

Creating conceptual awareness: In the initial phase of the


communication, the marketing objective was to create conceptual
awareness about the new product – the goodness of coconut oil
enriched with natural herbs. Vatika was firmly established as the
leader in the new category of value-added hair oils and its promotion
campaign was so successful that the product segment itself came to
be identified with Vatika.

In 1997, the company created a new promotion campaign, which


reinforced the obvious fact that most coconut oil brands were, not
equipped to combat the effects of pollution, hard water and chemicals
– the major causes of hair ailments and hair deterioration.

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STP ANALYSIS OF DABUR CHYAWANPRASH

SEGMENTATION

Dabur Chyawanprash is the market leader in the Chyawanprash segment. It


comes under the category of health supplements. The segments that it
considers are growing kids, competitive youth, ever-busy housewives and
the aged.
For the growing kids: In today's competitive environment, the children are
under high pressure to excel.
For the competitive youth: Modern life keeps the youth busy and demands
them to be active and efficient.
For ever-busy housewives: The 'homemaker' needs to be fit in order to
shoulder all responsibilities.
For the aged: Old age weakens a person physically and mentally.
After segmenting the population into these categories it aims to keep them
fit and healthy.

TARGETING

Traditionally, chyawanprash was supposed to be a health supplement for


the aged and kids. Dabur Chyawanprash (DCP) is now targeting adults,
housewives, youth and kids. This it is trying to achieve through its
promotion activities by making Amitabh Bacchan and Vivek Oberoi do the
endorsement act. Amitabh has been projected as a user of Chyawanprash
attempting to establish the relevance of DCP amongst the adults in today’s
demanding lifestyle. Vivek, who represents an urban ambitious non-user
with a mindset that Chyawanprash is not for him, meets his moment of
truth when outperformed by a young Chyawanprash user, thus reaching
out to kids. His final conversion from a non-user to a Chyawanprash user

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connects with the Youth. These two ads compliment each other and
connect very well with the targeted consumers

POSITIONING

"Andar se strong”: Dabur chyawanprash has the tag line "Andar se strong”
By using a natural language instead of scientific language it is able to
connect with the consumers and is able to achieve a better positioning in
the minds of the Indian health conscious consumer. A category like
Chyawanprash for instance needs to understand that in employing the
category language it loses any chance of expressing its own benefit
distinctively.

Holistic Health benefit of Ayurveda: Dabur Chyawanprash helps in


stimulating immune system, relieving stress, improving stamina, fighting
aging through anti-oxidant property, improving lung function, fighting
respiratory infections & building resistance to disease. The brand conveys
this health conscious holistic view of the product.

Brand Trust: Over 100 years of Dabur’s experience in Ayurveda ensures


selection, processing and quality control of right herbs along with
scientific and clinical studies – makes DCP a trustworthy offering for
consumers. Consumers view DCP as a product by a trusted brand and
therefore do not need to think twice before making a purchasing decision.

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MARKETING MIX OF DABUR CHYAWANPRASH

Dabur Chyawanprash is the market leader in the chyawanprash segment


and has achieved this 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 Dabur
Chyawanprash. The mix shall be analyzed as followed:
• Product
• Price
• Place
• Promotion

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Product Price Promotion Place

• Product • List Price • Advertising & • Channels


Variety • Discount Promotion • Location
• Quality • Financing • Public Relations • Inventory
• Design Schemes • Sponsorships
• Features • Credit Terms • Internet
• Brand Marketing
Names
• Services

PRODUCT

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.
Known as the “elixir of life”, Chyawanprash has (clinically) proven benefits
in maintaining smooth body functioning. The principal ingredient Amla
(Indian Gooseberry) acts as an anti-oxidant and immune-stimulant. Dabur

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Chyawanprash helps in stimulating immune system, relieving stress,
improving stamina, fighting aging through anti-oxidant property, improving
lung function, fighting respiratory infections & building resistance to
disease. It is these properties that make Dabur Chyawanprash a preferred
choice for its users.

Ingredients of Dabur Chyawanprash

• Vishwast
Amla, Ashwagandha, Hareetaki, Dashmul, Ghrit and several
other herbs and herbal extracts.
• Special
Vishwast fortified with additional health beneficial herbs like
Keshar, Akarkara etc.

Available in:
Dabur Chyawanprash is available in three sizes to cater to the needs of
different types of people.
1. One kilogram pack
2. 500 gram pack
3. 250 gram pack

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PRICE

The pricing of Dabur chyawanprash is very competitive. Dabur


chyawanprash uses second-degree price discrimination i.e. more the
quantity, lower the price.
1kg Rs.175.00
500gms Rs.100.00
250gms Rs. 55.00

PRICE/QUALITY MATRIX

Price→

Quality High Middle Low


Luxury Ideal For Premiere
Segment Penetration Offering
High
DABUR
CHYAWANPRASH

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Overpriced Average Real
Middle Bargain

Make The Unhappy Cheap


Low Sale and Customers Goods
Run

PLACE

Dabur has a very wide distribution of its products through 1.6 million retail
outlets and 50 C & F agents all over India who distribute products to the
retailers. A distribution of C & F agents and manufacturing locations is
given below.

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Dabur’s distribution network extends beyond India in the following
countries as well:

Distribution Network

• Central, North & South America


• Australia
• Asia
• Middle East
• North & South Africa
• East & West Europe

PROMOTION

The main form of promotional activities of Dabur chyawanprash is


concentrated towards advertising and it has legible sales promotional
activities.

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Advertising

Nothing can happen without establishing the brand’s heritage emphasizing


technological prowess, explaining benefits and building bonds with
prospective buyers. Ads are necessary because the images are still mould
able and fluid and the consumer’s sophistication level is low. Dabur
chyawanprash is advertised on print media as well as on television.
The company has launched three ads, one each with Amitabh, M.S.DHONI
and Vivek, in national electronic media followed by a series of print media
campaign directed towards creating awareness to educate people about
the holistic benefits of Chyawanprash.The ads have been created by
McCann Ericsson and the company would be spending close to Rs 10
crore in promotional campaign this year. The ads would also be translated
in Bengali. These advertisements are supposed to target the old and the
younger generation respectively.

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COMPETITOR ANALYSIS OF VATIKA

The key competitor’s of Dabur in the Hair Oil segment are Keo Karpin,
Emami, Bajaj, Marico, HLL, which together with Dabur have about 64% of
India's domestic market.

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Dabur is one of India's largest players in the hair oil segment 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. Dabur Hair Oils
have a market share of 19%.

We have tried to analyse the competition for Dabur in the Hair Care
segment as follows:

Keo Karpin, a fifty-year old brand, is a pioneer in the light hair oil category.
The pleasantly perfumed hair oil has its main market in the Hindi belt and
also has significant presence in eastern and western India. Its share is 6%
of the total hair oil market.

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Emami has existence in hair oil market through Himani Navratan oil and
Himani Oil. Emami has taken Madhuri Dixit as brand ambassador for emami
oil and Amitabh Bachchan for Himami Navratan Oil. Overall it has a share
of 4% in hair oil market.

Bajaj has two flagship oil brands - Bajaj Brahmi Amla and Bajaj Almond
Drops — currently have a value share of 19 per cent and 12 per cent in their
respective oil categories as per ORG-Marg. Besides, the company has also
decided to enhance its retail presence by nearly 20 per cent from the
existing 5 lakh retail outlets in an attempt to reach the rural parts. Overall it
has a market share of 4% in hair oil market.

Marico’s Parachute is premium edible grade oil, a market leader in its


category. Synonymous with pure coconut oil in the market, Parachute is
positioned on the platform of purity. In fact over time it has become the
gold standard for purity. Parachute's primary targets have been women of
all age. The brand has a huge loyalty, not only in the urban sections of
India but also in the rural sector. It has a market share of 28%.

HLL has two products, Clinic Plus Hair Oil and All Clear Clinic Hair Oil.
Overall it has a 3% share in hair oil market.

COMPETITOR ANALYSIS OF CHYAWANPRASH

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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:

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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

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OBJECTIVE OF THE Study’s
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Following are the major objective of study: -

1. To study the impact(strong effect or imperission) of Budget Policies on

Marketing Strategy of Dabur Foods.

2. To study the Consumer, Buying behavior.

3. To study the problems faced by Dabur.

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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.

Primary data, I proceeded with the drafting of the questionnaire for

consumers was structured as undisguised, & Personal -interview retailers.

I handed distributors & wholesalers and it personally to the respondents to

be analysed.

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, and

brochures and also through the Internet. For secondary sources no

fieldwork was employed.

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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 choices 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.

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.

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No other fieldwork 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 analysing and interpreting the data.

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CUSTOMER SURVEY RESULTS
DABUR VATIKA

AWARNESS LEVEL

100

80

60

40 PERCENTAGE

20

0
PARACHUTE KEO KARPIN NIHAR HAIR AND DABUR
CARE VATIKA

INTERPRETATION

It was observed that 90% customers award about the dabur vatika hair oil.

PREFERRED BRAND

40
35
30
25
20
15 PERCENTAGE
10
5
0
PARACHUTE NIHAR VATIKA

NTERPRETATION

It was observed that 30% customers preferred the dabur vatika among the wide
range of hair oil.

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SATISFACTION LEVEL

4
3.5
3
2.5
2
1.5 RATING(1-LOW 5-HIGH)
1
0.5
0
PARACHUTE NIHAR VATIKA

INTERPRETATION

It was observed that the satisfaction levels are high about the quality of the vatika
hair oil.

48
CUSTOMER SURVEY RESULTS

DABUR CHYAWANPRASH

AWARNESS LEVEL
100

80

60
PERCENTAGE
40

20

0
ZANDU HIM ANI BAIDYANATH DABUR

INTERPRETATION

It was observed that 100% of the customers already award about the
DABUR CHYAWANPRASH

PREFERRED BRAND

60

50

40

30
PERCENTAGE
20

10

0
ZANDU HIMANI BAIDYANATH DABUR

49
INTERPRETATION

It was observed that 60% of the customers preferred the DABUR


CHYAWANPRASH

SATISFACTION LEVEL

2 RATING(1-LOW 5-HIGH)
1

0
ZANDU HIMANI BAIDYANATH DABUR

INTERPRETATION

It was observed that the satisfaction level are high of the customers about
the DABUR CHYAWANPRASH

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SWOT ANALYSIS OF DABUR

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STRENGTHS WEAKNESS
• Strong presence in well defined • Seasonal Demand( like
niches( like value added Hair Oil chyawanprash in winter and
and Ayurveda specialities) Vatika not in winter)
• Core knowledge of Ayurveda as • Low Penetration(Chyawanprash)
competitive advantage • High price(Vatika)
• Strong Brand Image • Limited differentiation (Vatika)
• Product Development Strength • Unbranded players account for
• Strong Distribution Network the 2/3rd of the total
• Extensive Supply Chain market(Vatika)
• IT Initiatives
• R & D – a key strength

OPPORTUNITIES THREATS
• Untapped Market(Chyawanprash) • Existing Competition( like
• Market Development Himani, baidyanath and Zandu

• Export opportunities. for Dabur Chyawanprash and

• Innovation Marico,Keo Karpin, HLL and


Bajaj for Vatika Hair Oil)
• Increasing income level of the
middle class • New Entrants

• Creating additional consumption • Threat from substitutes (like

pattern Bryllcream for Vatika hair oil)

52
53
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, stockists 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, stockist’s 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.

54
55
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.

56
57
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 unfired. Chyawanprash are yet to establish their

supplement use in the average household here in lays 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

enjoys 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.

58
Vatika hair oil has no major competition except Australian Product

Tabasco. 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.

As vatika hair oil is a new product introduced by Dabur and as Dabur is

getting excise benefit from the Government so Dabur should pass slight

Price benefit to the target market so that target market should use the

59
vatika hair oil and adopt it in making daily food thereby increasing the

market share of vatika hair oil.

60
CONSUMER QUESTIONAIRRE- DABUR VATIKA HAIR OIL

Dear Respondent,
Thanks for sparing few minutes to fill this questionnaire, which will help us
to study the consumer perception for hair oil.

Any information provided by you will strictly be used for Academic


Purpose.

1.Which brands of hair oil are you aware of?


• Parachute
• Keo Karpin
• Nihar
• Hair And Care
• Dabur Vatika

2.Which brand of Hair Oil do you use?


• Parachute
• Keo Karpin
• Nihar
• Hair And Care
• Dabur Vatika

3.Where would you rate your brand on a scale of 1 – 5 (5 being highest)?


• 1
• 2
• 3
• 4
• 5

61
4.What are the primary reasons for which you use this particular brand?
• Non sticky
• Brand Loyalty
• Fragrance
• Price

5.How did you get to hear about this brand?


• 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?


• 75 ml
• 150 ml
• 300 ml

8.On what parameters do you choose this pack size?


• Availability
• Price
• Family size
• Storage

62
9.How often do you buy?
• Once in 15 days
• Once a month
• Once in two months

10.Are you satisfied with your brand?


• Yes
• No

Personal Information: -

Age:
Location:
Income (per month):
(1) Rs. 1,000 – Rs. 10,000 (2) Rs. 10,000 – Rs. 30,000
(3) Rs. 30,000 – Rs. 50,000 (4) Above Rs. 50,00

63
RETAILER QUESTIONNAIRE-DABUR VATIKA HAIR OIL

Dear Respondent,
Thanks for sparing few minutes to fill this questionnaire, which will help us
to study the consumer perception for the Hair Oil category that we have
chosen to study.

Any information provided by you will purely and strictly be used for
Academic Purpose only.

1.Which brands of Hair Oil do you stock?


• Marico
• HLL
• Keo Karpin
• Dabur Vatika

2.Out of these, which are the most preferred?


• Marico
• HLL
• Keo Karpin
• Dabur Vatika

3.According to you what are the reasons for customers’ preferences?


• Brand loyalty
• Price
• Availability
• No reason

64
4.What is the profile of your typical consumer?
• High income
• Middle income
• Low income

5.What schemes are you offered by the companies?


• Price discounts
• Buy one get one free
• Others

6.What schemes does a consumer prefer most?


• Price discounts
• Buy one get one free
• Others

7.According to you, does in-store advertising have an affect on the


consumers’ preference?
• Yes
• No

8.Does a change in price affect their preferences?


• Yes
• No

Personal Information: -

Location of store:

65
CONSUMER QUESTIONAIRRE-DABUR CHYAWANPRASH

Dear Respondent,
Thanks for sparing few minutes to fill this questionnaire, which will help us
to study the consumer perception for chawanprash.

Any information provided by you will strictly be used for Academic


Purpose.

1.Which brands of Chawanprash are you aware of?


• Zandu
• Himani
• Baidyanath
• Dabur

2.Which brand of Chawanprash 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

66
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?


• 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
67
• Family size
• Storage

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

Personal Information: -

Age:
Location:
Income (per month):
(1) Rs. 1,000 – Rs. 10,000 (2) Rs. 10,000 – Rs. 30,000
(3) Rs. 30,000 – Rs. 50,000 (4) Above Rs. 50,000

68
RETAILER QUESTIONNAIRE-DABUR CHYAWANPRASH

Dear Respondent,
Thanks for sparing few minutes to fill this questionnaire, which will help us
to study the consumer perception for the Chyawanprash category that we
have chosen to study.

Any information provided by you will purely and strictly be used for
Academic Purpose only.

1.Which brands of Chyawanprash do you stock?


• Zandu
• Himani
• Baidyanath
• Dabur

2.Out of these, which are the most preferred?


• Zandu
• Himani
• Baidyanath
• Dabur

3.According to you what are the reasons for customers’ preferences?


• Brand loyalty
• Price
• Availability

69
• No reason

4.What is the profile of your typical consumer?


• High income
• Middle income
• Low income
5.What schemes are you offered by the companies?
• Price discounts
• Buy one get one free
• Others

6.What schemes does a consumer prefer most?


• Price discounts
• Buy one get one free
• Others

7.According to you, does in-store advertising have an affect on the


consumers’ preference?
• Yes
• No
8.Does a change in price affect their preferences?
• Yes
• No

Personal Information :-

Location of store:
70
71
BIBLIOGRAPHY

BOOKS:

 Kotler Philip: Marketing Management


 Malhotra Naresh K: Marketing research

WEBSITES:

 WWW.Dabur.com

NEWSPAPERS:

 Business Standard
 Economics Times

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