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PROJECT REPORT
ON
“MARKETING STRATEGY OF DABUR VATIKA
HAIR OIL & DABUR CHYAWANPRASH”
MARKETING MIX FOR DABUR VATIKA HAIR
OIL AND DABUR CHYAWANPRASH
2
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 guide Dr. A.K. Srivastava (Director) 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.
3
TABLE OF CONTENTS
1. EXECUTIVE SUMMARY
2. INTRODUCTION
COMPANY PROFILE
PRODUCT PROFILE
3. OBJECTIVE
4. RESEARCH METHODOLOGY
MARKETING RESEARCHSAMPLING
5. ANALYSIS
6. FINDINGS
7. SWOT ANALYSIS
8. CONCLUSION
9. RECOMMENDATIONS
10.APPENDICES
11. BIBLIOGRAPHY
4
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.
5
6
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 Rise 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.
7
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
8
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
9
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
Anmol Silky Black Shampoo
VatikaHennaConditioning Shampoo
10
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
RURAL AND URBAN POTENTIAL
11
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
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
12
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.
13
14
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).
15
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.
16
“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.
17
MARKETING MIX OF VATIKA HAIR OIL
Vatika Hair Oil has made a huge impact with its innovative product offering, pricing
strategy, easy availability and promotion campaigns. In the marketing mix of Dabur, we
shall be discussing the 4 Ps of marketing mix with respect to Vatika Hair Oil. The mix
shall be analyzed as followed:
Product
Price
Place
Promotion
Product Price Promotion Place
• Product
Variety
• Quality
• Design
• Features
• Brand
Names
• Services
• List Price
• Discount
• Financing
Schemes
• Credit
Terms
• Advertising
& Promotion
• Public
Relations
• Sponsorships
• Internet
Marketing
• Channels
• Location
• Inventory
18
PRODUCT:
Brand Name: Vatika in Hindi means ‘garden’. The brand
attempts to live up to the promises – beauty and nature – that
are associated with its very name. Starting with these
associations Vatika has assiduously built a brand that
delivers on all these values through its various product
offerings, the mother brand being Vatika Hair Oil.
Innovative product offering: Vatika Hair Oil is coconut hair
oil with special ingredients adding value to the product. While coconut oil has been
regularly used by Indian women as a basic hair nutrient, a combination of herbs and
natural products such as henna, amla and lemon have been used for special hair
needs.
Coconut hair oil provides nourishment to the hair, while henna along with other
herbs coat the hair and protect it from oxidation, thereby maintaining its natural
colour. Amla strengthens hair roots and helps maintain their natural health and
thickness. Lemon with its astringent action controls sebum flow and helps in
prevention of dandruff.
Apart from henna, amla and lemon, it also contains other natural ingredients like
brahmi, neem, bahera, kapurkachari, harar, 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:
19
Bottles 75 ml, 150 ml, 300 ml
Flip cans 150 ml, 300 ml
Flip cans were introduced for the winter season.
Quality: Vatika products contain natural ingredients that have been blended
together through scientific processes at Dabur’s in-house research laboratories.
Dabur Research Foundation has more than 100 scientists working together to make
superior quality products that match international standards
PRICE/QUALITY MATRIX
Price→
Quality
↓
High Middle Low
High
Luxury
Segment
VATIKA
Ideal For
Penetration
Premiere
Offering
Middle
Overpriced Average Real
Bargain
Low
Make The
Sale and Run
Unhappy
Customers
Cheap
Goods
20
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
21
22
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.
23
STP ANALYSIS OF DABUR CHYAWANPRASH
SEGMENTATION
Dabur Chawanprash 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
Connects with the Youth. These two ads compliment each other and connect very well
with the targeted consumers
24
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.
25
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
Prom
otionProduct Price Promotion Place
• Product
Variety
• Quality
• Design
• Features
• Brand
Names
• Services
• List Price
• Discount
• Financing
Schemes
• Credit
Terms
• Advertising &
Promotion
• Public
Relations
• Sponsorships
• Internet
Marketing
• Channels
• Location
• Inventory
26
PRODUCT
Dabur Chawanprash 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 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.
27
Ingredients of Dabur Chawanprash
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
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
28
PRICE/QUALITY MATRIX
Price→
Quality
↓
High Middle Low
High
Luxury
Segment
Ideal For
Penetration
DABUR
CHYAWANPRASH
Premiere
Offering
Middle
Overpriced Average Real
Bargain
Low
Make The Sale
and Run
Unhappy
Customers
Cheap
Goods
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.
29
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
30
31
PROMOTION
The main form of promotional activities of Dabur chyawanprash is concentrated
towards advertising and it has legible sales promotional activities.
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.
.
32
33
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.
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:
34
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.
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.
35
COMPETITOR ANALYSIS OF CHYAWANPRASH
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:
36
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
37
38
39
OBJECTIVE OF THE STUDY
Following are the major objective of study: -
1. To study the Consumer, Buying behavior of Dabur Chyawanprash
2. To study the problems faced by Consumer of Dabur Product.
Seasonal Demand( like chyawanprash in winter and Vatika not in winter)
Low Penetration(Chyawanprash)
High price(Vatika)
Limited differentiation (Vatika)
Unbranded players account for the 2/3rd of the total market(Vatika)
3. To study the awareness regarding the dabur product-(Chyawanprash & Vatika Hair
oil).
4. To study the level of satisfaction of consumer regarding the dabur products.
5. To study the preferred package size of the Dabur Chyawanprash & Vatika hair oil.
6. To study a retailers preference towards Dabur Chyawanprash & Vatika hair oil.
7. To study the preference of consumer towards these Dabur Brands.
40
41
RESEARCH METHODOLOGY
As the purpose of the project report is to analyse the consumable products successfully
launched in the last three years.
In order to find out current position of dabur chyawanprash & Dabur Vatika
Hair Oil. A survey was conducted where response of retailer & consumer was
seen.
The data was collected both with the help of primary as well as secondary sources.
For primary data, I proceeded with the drafting of the questionnaire for consumers was
structured as undisguised, & Personal -interview retailers. 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,
42
newspapers, journals, and brochures and also through the Internet. For secondary sources no
fieldwork was employed.
In order to amplify the empirical findings from primary and secondary sources, a survey was
conducted both of consumers and retailers Distributor & Wholesalers in order to gauge the
market opinion.
The questionnaire was of multiple 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.
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.
43
44
CUSTOMER SURVEY RESULTS
DABUR VATIKA
AWARNESS LEVEL
INTERPRETATION
It was observed that 90% customers award about the dabur vatika hai
PREFERRED BRAND
INTERPRETATION
It was observed that 30% customers preferred the dabur vatika among the wide range of hair oil.
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SATISFACTION LEVEL
INTERPRETATION
It was observed that the satisfaction levels are high about the quality of the vatika hair oil.
REASON TO BUY THE PREFFERED BRAND
INTERPRETATION
It was observed that the reason to buy vatika hair oil is non-sticky 45%, brand loyalty 20% fragrance 10% & price 30%.
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UNAVAILABILITY OF PREFERRED BRAND
INTERPRETATION
It was observed that 25% customers could wait in case of unavailability the dabur vatika hair oil.
PREFERRED PACK SIZE
INTERPRETATION
It was observed that 55% of customers preferred 150ml, 20% of 75ml & 25% of customers preferred 300ml pack of the dabur vatika hair oil.
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REASON TO SELECT PREFERRED PACK SIZE
INTERPRETATION
It was observed that 40% of customers preferred because of availability, 25% for price, 15% for family size & 20% of customers for storage.
FREQUENCY OF PURCHASE
INTERPRETATION
It was observed that 5% of customers buy within the 15days, 32% of within the 1 month & 63% of customers buy the hair oil after the 2month.
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RETAIL SURVEY RESULTS
DABUR VATIKA
1. Which brands of Hair Oil do you stock?
INTERPRETATION
It was observed that 75% of total stock of hair oil is dabur vatika hair oil
2. Out of these, which are the most preferred?
INTERPRETATION
It was observed that 35% of total customers mostly preferred the dabur vatika hair oil.
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3. According to you what are the reasons for customers’ preferences?
INTERPRETATION
It was observed that the reasons for preferred are brand loyalty 50% availability 5% & price 20%.
4. What is the profile of your typical consumer?
INTERPRETATION
It was observed that 20% from high-class income, 50% from middle class income group & 30% from low income.
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5. What schemes are you offered by the companies?
INTERPRETATION
It was observed that schemes that are mostly provided by the companies are price discount 40%, buy one get one 35% & others are 25%.
6. What schemes does a consumer prefer most?
INTERPRETATION
It was observed that schemes that are mostly preferred by the customers are price discount 60%, buy one get one 25% & others are 15%.
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7. According to you, does in-store advertising have an affect on the consumers’ preference?
INTERPRETATION
It was observed that advertisings have an affect on the consumers’ preference yes-40% and No 60%.
8. Does a change in price affect their preferences
INTERPRETATION
It was observed that price changes might be affected the sales by
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CUSTOMER SURVEY RESULTS
DABUR CHYAWANPRASH
AWARNESS LEVEL
INTERPRETATION
It was observed that 100% of the customers already award about the DABUR CHYAWANPRASH
PREFERRED BRAND
INTERPRETATION
It was observed that 60% of the customers preferred the DABUR CHYAWANPRASH
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SATISFACTION LEVEL
INTERPRETATION
It was observed that the satisfaction level are high of the customers about the DABUR CHYAWANPRASH
REASONS FOR SELECTING A PARTICULAR BRAND
INTERPRETATION
It was observed that 65% of the customers buy for the purpose of health, 20%of for brand loyalty, 10% of customers for price & 5% of customers for taste.
HOW DID YOU COME TO KNOW ABOUT THIS BRAND?
INTERPRETATION
It was observed that 80% of the customers award about the DABUR CHYAWANPRASH through TV, and others through media, internet UNAVAILABILITY OF PREFERRED BRAND
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INTERPRETATION
It was observed that 40% of the customers could wait in case of unavailability of DABUR CHYAWANPRASH.
PREFERRED PACK SIZE
INTERPRETATION
It was observed that 50% of the customers preferred 500ml pack, 30% of customers preferred 1kg pack and 20% of customers preferred to buy 250ml pack of DABUR CHYAWANPRASH
REASON TO SELECT PREFERRED PACK SIZE
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INTERPRETATION
It was observed that 20% of customers preferred because of availability, 40% for price, 25% for family size & 15% of customers for storage.
FREQUENCY OF PURCHARE
INTERPRETATION
It was observed that 30% of customers buy within the 15days, 55% of within the 1 month & 15% of customers buy the hair oil after the 2month.
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RETAILER SURVEY RESULTS
DABUR CHYAWANPRASH
1. Which brands of Chyawanprash do you stock?
INTERPRETATION
It was observed that 90% of total stock of CHYAWANPRASH is dabur
2. Out of these, which are the most preferred?
INTERPRETATION
It was observed that 80% of total customers mostly preferred the DABUR CHYAWANPRASH
3. According to you what are the reasons for customers’ preferences?
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INTERPRETATION
It was observed that 55% of the customers buy for the purpose of brand loyalty, 30% of customers for price & 5% of customers for availability.
4. What is the profile of your typical consumer?
INTERPRETATION
It was observed that 20% from high-class income, 65% from middle class income group & 15% from low income.
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5. What schemes are you offered by the companies?
INTERPRETATION
It was observed that schemes that are mostly provided by the companies are price Discount 55%, buy one get one 5% & others are 40%.
6. What schemes does a consumer prefer most?
INTERPRETATION
It was observed that schemes that are mostly preferred by the customers are price discount 70%, buy one get one 20% & others are 10%.
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7. According to you, does in-store advertising have an affect on the consumers’ preference?
INTERPRETATION
It was observed that advertisings have an affect on the consumers’ preference yes-30% and No 70%.
8. Does a change in price affect their preferences?
INTERPRETATION
It was observed that price changes might be affected the sales by 60%.
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LIMITATION S
Training is a costly affair for the management. It needs a handsome amount and long time. So
management has to play safe game for the benefits of the company as well as the workers.
One wrong decision may enforce the company to fall into deep troubles. So selecting the
weak areas of staffs and workers should be done very carefully. For that the management
should be conduct a test.
For providing an effective training, company requires a knowledgeable trainer. Selecting a
particular trainer is again a difficult job. Trainer demands handsome money. Training needs
time and cost both.
To conclude, it is very clear that training should be provided but not at the loss of the
company. It is very costly and time taking affair. But it is most important for the development
of the company. So management can’t avoid it at any cost.
Due to lack of time (i.e., Two months) it is not possible to reach all respondents.
The lack of availability of time on the respondent’s part.
Some respondent’s was biased.
Unwillingness of the respondents.
I tried to overcome on these limitations.
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SWOT ANALYSIS OF DABUR
STRENGTHS
Strong presence in well defined
niches( like value added Hair Oil and
Ayurveda specialities)
Core knowledge of Ayurveda as
competitive advantage
Strong Brand Image
Product Development Strength
Strong Distribution Network
Extensive Supply Chain
IT Initiatives
R & D – a key strength
WEAKNESS
Seasonal Demand( like
chyawanprash in winter and Vatika
not in winter)
Low Penetration(Chyawanprash)
High price(Vatika)
Limited differentiation (Vatika)
Unbranded players account for the
2/3rd of the total market(Vatika)
OPPORTUNITIES
Untapped Market(Chyawanprash)
Market Development
Export opportunities.
Innovation
Increasing income level of the middle
class
Creating additional consumption
pattern
THREATS
Existing Competition( like Himani,
baidyanath and Zandu for Dabur
Chyawanprash and Marico,Keo
Karpin, HLL and Bajaj for Vatika
Hair Oil)
New Entrants
Threat from substitutes (like
Bryllcream for Vatika hair oil)
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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.
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CONCLUSIONS
The Chawanprash 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.
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.
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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 vatika hair oil and adopt it in making daily
food thereby increasing the market share of vatika hair oil.
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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.
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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
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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
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
9. How often do you buy?
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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. 5000
RETAILER QUESTIONNAIRE-DABUR VATIKA HAIR OIL
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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
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
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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:
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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
4. What are the primary reasons for which you use this particular brand?
Health
Brand Loyalty
Taste
Price
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5. How did you get to hear about this brand?
TV
Internet
Word of Mouth
6. If your brand is not available you would?
Purchase another brand
Wait for it to be available
Go for a substitute
Buy what is offered by the retailer
7. Which pack size do you prefer?
1 kg
500 gm
250 gm
8. On what parameters do you choose this pack size?
Availability
Price
Family size
Storage
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
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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
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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
No reason
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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:
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BIBLIOGRAPHY
BOOKS:
Kotler Philip: Marketing Management Malhotra Naresh K: Marketing research
WEBSITES:
WWW.Dabur.com
NEWSPAPERS:
Business Standard Economics Times
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