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] Dabur India is the 4th Largest FMCG Company in India


] Legacy of over 100 years
] Strategic Business Units in Health care, Personal care
and Food products
] Dabur has a turnover of Rs.1899.57 crore with powerful
brands like Dabur Amla, Dabur Chyawanprash, Real,
Vatika and Hajmola
] Bottom Line Driven Company
] Product marketed in over 50 countries
] Leader in Herbal Digestives with 90% market share


  


] ïstablished : 1884
] Founder : Dr. S K Burman
] Basic Motive : Manufacture of Ayurvedic Drugs
] Achieved : By setting up manufacturing units and
setting up Research and Development Labs
] ï panded its product line in the mid 1900¶s by launching
Dabur Hair Oil and Chyawanprash
] Added Oral Care Products in the 1970¶s
] Shifted base from Kolkata to New Delhi in 1972
] Launched Hajmola tablet in 1978


  



] In 2004, restructured its portfolio and structured itself


into three main SBU¶s
] Has 5 power brands under its portfolio
] ïntered new markets like the Juice segment, branded
packaged soups segment
] Developed its Oral Care Market
] Increasing its geographical spread
] Aims at doubling its revenue and profit by the end of
20011-2012
=

 
] =  
 :
å Hair Care Oil and Shampoo (VATIKA)
å Skin Care (FAIRïNïSS FACï PACK)
å Oral Care (DABUR RïD GïL AND TOOTHPASTï)

] ë =   


å Juice ( RïAL/ RïAL ACTIV)
å Dabur Honey
å Hommade (Packaged Soups)
=
  

]     =  
å Digestive Segment (HAJMOLA)
å Dabur Chyawanprash
å Pudin Hara
]     
] =
 
½
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] Image : Ayurvedic Company


] Association: 35 - plus age group
] Problems :
å Diversified into too many product ranges
å Image
å Association with a particular age group and hence
losing on the other potential customers
å Lower Sales and Profits
!  !"#!"$%c
' # 

] Cut down on all its low Contribution Brand


] Positioned itself as an Herbal specialist in the FMCG
sector
] Set Higher Targets
] Identified Growth Drivers
] Filling up the gaps in Oral Care as well as Hair Care
market
] Set itself a new Brand Strategy
] ïntered new potential areas and targeted the youth as
well school children
%$%c!! c

] Changed its branding strategy by moving from the


Umbrella Strategy to the Key brand Strategy
] Categorized itself into  
å Dabur (HïALTHCARï)
å Vatika (HAIR CARï)
å Anmol (PïRSONAL CARï)
å Real ( JUICïS)
å Hajmola (DIGïSTIVï SUPPLïMïNTS)
%$%c!! c
()*

] =     


å In the ‰   range Dabur introduced :
å Coolers (Low fruit Content)
å Real ( High fruit pulp Content)
å Real ACTIV (Health Conscious Youth)
å Real Juniors (for the children below 6 years of age)
å Real Schoolpack
½!  
!! c$ &

] Line ï tension Strategy was adopted by Dabur because:


å It could attract different target audience
å Could renew Interest and liking for the brand by introducing
new variants
å It could increase its market share
å Diversify without much risk
å Moved from its Core strategy and hence could give customers
something better and different
 
]    
å Century Old Company
å ïstablished Brand
å Ayurvedic/ herbal Product line
å Leader in Herbal Digestives where the product has 90% of
the market share
å Innovativeness in Promotions
] ½   
å Profitability is uneven across product line
å The lack of business alliances is a major weakness for
dabur india
 

] ==   
å ï tend Vatika brand to new categories like Skin Care and
body wash segments
å Launch several OTC brands
å Southern India Market
å ï ploring new geographical areas- local as well global
å Oral Care Segment
å Launching new Products like Hair oils, Herbal and Gel
Toothpastes etc.
 

]   
å Competition in the FMCG sector from well established
names
å Other fields of medicine- Allopathic and Homeopathic
å Markets where Herbal products are not recognised
DABUR¶S GROWTH STRATïGY ± ïPANSION, INNOVATION &
ACQUISITION.

*Dabur India outlined a three-pronged strategy involving an aggressive


e pansion in domestic and foreign market, new product launches and
acquisitions, which is e pected to double sales and profits by 2012.

*The company, which is looking at double-digit growth across all


product segments over the ne t four years, e pects its sales to be around
Rs 4,000 crore and profits around Rs 400 crore by the end of 2012.

*This strategy has paid rich dividends for Dabur and has delivered sales
growth ahead of the consumer non-durable sector average, over the past
1 year already.
*Dabur laid down a business strategy called a a to boost rural sales
and to achieve a steady growth in retail.

*Taking help of a to improve the supply chain and


distribution network and with the demerger of Dabur¶s FMCG and
pharma business.

*Dabur also aims at achieving doubled sales by the end of 2012


through aggressive a   .

*The growth strategy for international markets would revolve around



a  

*Dabur India has also chalked out its plans to enter the health and
beauty a market in the country.
*Dabur is targeting sales growth of above 15 per cent after
implementing Astra, and e pects nearly 40 per cent growth in sales.

*It runs refresher-training courses every si months. About 75 per cent


of the company's sales come form rural areas, hence, it has created the
Astra training consultancy module in five vernacular languages -
Bengali, Tamil, Telugu, Malayalam and Kannada.

* Under Astra, Dabur has categorized its sales and distribution


channels into finer segments, such as key grocers, mass grocers,
chemist, wholesale, small outlet and modern trade.
*Accenture suggested separation of Dabur`s pharmaceutical and FMCG
business to provide greater focus and growth to each business under
separate business heads.

*Accenture and Dabur team optimized the company¶s internal logistics


and distribution processes for mega retail customers.

*How Accenture helped DABUR?


-Implementing a new sales and distribution strategy
-Developing a new supply chain management capability
-Optimizing Dabur¶s ïRP capabilities.
-Leveraging IT for business initiatives.
-Outsourcing IT operation
*The company acquired the u    of companies in 2005.
This acquisition gave Dabur new brands in toothpaste, mosquito
repellants, toilet cleaners, and air freshners.

*In line with its strategy of growing aggressively in foreign markets, it


acquired a Nigerian firm - a 
     in late 2007.

*Dabur has successfully acquired 72.15% of ë    .

*The acquisition offers Dabur a strong platform to enter newer


product categories and markets. The acquisition of these firms will
serve as fuel for the company¶s growth and enhance the shareholder
value.
*International business will be spearheaded by two business heads
± one based in Dubai and the other in India.

*For the developed markets in the US and ïurope, Dabur is looking


at alliances with distributors, focusing mainly on over-the counter
herbal healthcare products.

* The company had initiated talks with local FMCG players in the
neighboring countries and finalized a deal to start manufacturing
hair oils and shampoos initially by the end of 2005.
*In order to drive its retail subsidiary !   , Dabur has
appointed Peter Gerard Baker as the Chief ï ecutive Officer.

*As part of the growth initiative of this brand, the company plans to
set up 350 retail stores across India in 5 years and e pand it to over
1,000 stores by its 10th year of operation.

*The µnewu¶ brand image presents a new dimension to lifestyle


branded retail in India, designed by Pikefell, UK-based brand agency.

*Accenture is the technology partner for µnewu¶ retail operations.


As they are focusing on rural selling, Dabur should give more
stress on making more competitive logistics and inventory
management system so that reach in every nook and corner of the
country in the given span of time is possible.

*Dabur should come up with advertising strategy like radio adds or


television adds which are directly targeting the rural people so that
they could get high results.

*The retail stores currently opened by Dabur is only one, in northern


region i.e. in Delhi, and they have proposed 7,300 retail outlets.
Atleast they should open one in south region so as to have reality
check of their distribution. Also giving clear view of their strategy for
retail.

*Rural plan i.e. ASTRA is only operated in south region of India


which should be implemented in northern area as well since it is the
main hub of Dabur.