DABUR INDIA LIMITED

Sinthu.S Pradeep Kumar.C Vignesh.C Sabarish.M

Established in 1884 : 127 Years of Trust & Excellence Among top 4 FMCG companies in India Worlds largest in Ayurveda and natural healthcare 10 Brands with sales of over Rs. 1 billion each 17 world class manufacturing plants catering to needs of diverse markets Dabur has successfully transformed itself from being a family-run business to become a professionally managed enterprise. What sets Dabur apart from the crowd is , ability to change ahead of others and to always set new standards in corporate governance & innovation.

Vision "Dedicated to the health and well being of every household "Going forward, the company is planning to speed up its innovation exercise," said Dabur India CEO, Sunil Duggal 2 major strategic business units (SBU) - Consumer Care Business and International Business Division (IBD)

Dr. Anand Burman Chairman

Mr. Amit Burman Vice Chairman

Recent news about DIL

Dabur India crossed the $1 billion mark in 2011-12 .(ET

Apr 17, 2012) Dabur chalks out new rural expansion plan.(ET Jun 4, 2012) Dabur India Q1 net jumps 31% to Rs 119 cr.The total income increased 20.6% to Rs 1,039 cr(BS Reporter / Mumbai Jul 23, 2012) Dabur to expand retail chain NewU, launch eportal(Press Trust of India / New Delhi May 18, 2012) Expecting 10% volume growth in FY13: Sunil Duggal, Dabur India.(ET May 1, 2012)

Dabur India Limited Revenues (in Rs. crores)

Source: Dabur annual report 2011-2012

Health Care

Personal Care

Home Care

Foods

SBU wise contribution to sales(FY12)

Category wise sale of customer care business(FY12)

Source: Dabur annual report 2011-2012

Competitors in each segment

Source: Report by Indbank Merchant Banking Services Ltd

Source: Report by Indbank Merchant Banking Services Ltd

Source: Report by Indbank Merchant Banking Services Ltd

Consumers
Healthcare: Healthcare brands.? Growing awareness among Indian consumers about health and wellness. Stress and health issues that people in urban India face due to lifestyle related problems, Due to this consumers are increasingly turning to holistic and convenient solutions.

Digestives: Products: Pudin Hara,Hingoli, Nature Care, Sat Isabgol, Lavan Bhaskar Churan and Triphala Churan. Hajmola- the brands post-meal connect and helping it report strong growth during the year. Hajmolas huge success can be gauged by the fact that over 2.6 crore Hajmola tablets are consumed in India daily. Dabur launching this variant pan-India, besides introducing the same in a sugar-free avatar, targeting the diabetic population.

OTC Products:

Womens Health care, Baby Care, Cough & Cold, Rejuvenation, Oils and proprietary products. Honitus, Dabur Lal Tail Focuses on Women, children and babies.

Oralcare segment:

Key brands: Dabur Red Toothpaste, Babool, Meshwak, Lal Dant Manjan. strong differentiated positioning for Dabur Red Toothpaste delivered strong performance during the year. Babool is positioned as an economy product and has a strong preference among rural consumers.

Personal care segment: Hair Oils, Shampoos, Skin & Body Care, besides the range of Home Care products like Mosquito Repellents, Air Fresheners and Hard Surface Cleaners. key brands-Dabur Amla Hair Oil, Vatika. launch of Dabur Almond hair oil-the only product in the almond hair oil category with Almond Protein. Vatika faced pressure due to heavy competition. Entered antiageing and face scrub categories with its Ayurvedic skin care brand Uveda

Homecare segment: Key brands- Odonil, sanifresh, odomos. Sanifresh- second largest by volume in that category. The mosquito repellent brand Odomos witnessed some decline during the year as the mosquito menace was relatively low.

Food segment: Key Brands- Ral,Ral Activ,Hommade. Ral Activ were the key drivers of growth during 2011-12 led by strong demand for new variants like Plum and Apricot under Ral and PomegranateBerry, Grape and Fiber enriched juices under Ral Activ. fourth largest fruit juice variant for Dabur. Hommade Bhuna Masala, ready to cook paste is being test marketed in Delhi and Punjab.

OUR STRATEGY
Acquire Acquisitions critical for building scale in existing categories & markets. DILs acquisition of three Balsara India group companies, Balsara Hygiene Products, Besta and Balsara Home Products(2005) Acquisition of Fem Care Pharma Ltd, a leading player in the womens skin care products (2009). Later it made two strategic international acquisitions: Hobi Kozmetik in Turkey and Namaste Laboratories in US

Expand

Build a platform to enable Dabur to become a global ayurvedic leader. Dabur is setting up a beverage plant in Sri Lanka, with a capacity of 280,000 cases. Dabur is expanding its distribution reach in rural India very aggressively. Daburs presence in even the remotest corners of the country. Dabur products are today available even in villages with a population of 3,000, and Daburs most widely distributed product is available in 3.4 million, outlets.

Innovate Provide our consumers with innovative products within easy reach The company has launched new variants of Real Juices - Plum, Pomegranate and Blueberries. Hommade segment- Bhuna Masala Dabur Almond hair oil, antiageing and face scrub categories with its Ayurvedic skin care brand Uveda. Hajmola variant pan-India, a sugar-free avatar, targeting the diabetic population.

Environment
During the 2011-12 fiscal the consumer market faced many challenges. deceleration in Industrial production and GDP growth rates. Steep inflation and disruptive competition. Despite these challeges the DIL has performed well. DILs revenues grew by 29.6% to end the year at Rs. 5,283.2 crores, and the Net Profit rose 13.4% to Rs. 644.9 crores. The steady growth achieved by Dabur has been enabled by sustained investments in marketing and brand building, distribution, production, supply chain management, and by driving operational efficiencies across functions.

Technology
Technology is key to Daburs future growth strategy. Substantial investments were made in IT solutions, positively impacting various aspects of S&D. The stockist transaction software, Drishti covers about 75% of business, gathering real-time market information. Dynamic dashboards have been created to enable stockists and sales teams to focus their actions in the marketplace. The Sales system implemented a Sales Forecasting System in the APO module of SAP during the year. The tool has significantly enhanced the forecast accuracy, resulting in improved stock availability across the year. A comprehensive IT-enabled Order Capture System was made available to all Stockists on Drishti.

Swot Analysis of Dabur

Strenghts: Dabur has its own heritage, it is more than 100 years old , established in the year 1884 It has presence in around 60 countries across the world. Dabur is the worlds largest ayurvedic medicine provider. The top performing five master brands are Dabur, Vatika, Hajmola, Real, Fem

Weakness: Lack of awareness of products by customers Doctors prescribe allopathy medicines as they get more incentives from medical companies and the share of ayurvedic companies are less compared to allopathy According to a survey the number of registered practitioners in Ayurveda is less than 3.7 lacks which is a meagre figure compared to allopathy doctors Ayurvedic medicine takes time to cure compare to allopathy medicine

Oppurtunities:
Dabur is the worlds largest ayurvedic medicine and its export quantities are constantly in demand in foreign market. Growing womens earning power has made them independent and has made them to be more health and beauty conscious a segment in which Dabur too is trying to capitalise with its products Improper and unhealthy food habits due to modernization has forced people to take ayurvedic supplementary like Chavanaprash, Hajmola, and life style medicines. Ayurveda as a field is receiving much more attention across the world in the last 23 years. Thus huge opportunity for Dabur to capitalize on the market sentiments.

Threats The allopathy players are of major threat as they invest heavily on advertising and distribution of their products through medical representatives etc Intense and increasing competition amongst other FMCG companies. Competition from unbranded and local products