Preface

The Project work is field which uses tools and techniques to transfer

subjectivity in the environment into objectives, also the findings of the research,

when applied show results, which can be measured and evaluated so there is

feedback this is what makes it a dynamic activity.

This survey is an analytical study of a different facts of the product. The focus is

given on the Brand profile. This project entitled Company Profile of “A STUDY OF

MARKET EXPANSION PLAN OF DABUR INDIA LTD ”, is for the partial

fulfillment of M.B.A. IIIRD SEM. Degree.

The idea behind this project is to give practical knowledge and to make them to

face real life situation. The project survey is commonly used for the collection from

the respondents through questionnaire. In this method statistical techniques have

been used systematically. This project survey is not only with my own efforts but also

that of others.

SWAPNIL JAIN

M.B.A. IIIRD SEM.

ACKNOWLEDGEMENT

I would like to whole hearty thank and express my sincere gratitude to Dr. Jayant

Dubey Head of the Department of Busines Studies, Babulal Tara Bai Institute of

Research and Technology , Sagar for suggesting me this problem and for giving an

insight in dealing with the subject

.I am highly obliged to MISS MOHITA MISHRA and All Faculty member, for

guiding me in various aspects of this project like conducting field work and designing

questionnaire and suggesting me the Project Work and helping me in finalising the

Report. I express my gratitude to all the customers who very kindly discussed various

aspects of this study and provided useful suggestions for discussing various problems.

Lastly, I Must express my gratitude to all the elders of the family and citizen of

the city who blessed me in course of discussion. I also extend my sincere thanks to my

family and my friends for their encouragement and support.

SWAPNIL JAIN

MBA IIIRD SEM.

CERTIFICATE

This to certify that SWAPNIL JAIN Student of M.B.A. IIIrd Sem.

Department of Business Studies Babulal Tarabai Institute of Research and

Technology Has diligently worked on the Project Report of the “A STUDY OF

MARKET EXPANSION PLAN OF DABUR INDIA LTD ”. He has done this Work

under My Guidance and Supervision. This project work is original and not submitted

earlier for the award of any degree or associate ship of any other University.

During this study he made meticulous efforts for its completion. I wish him all

the best in this sincere endeavors for a bright and successful future.

Signature of the Signature of the Signature of the

Supervisor Head of the Department Examiner

-

-

DECLARATION

I hereby declare that the project work entitled “TO STUDY OF

PROMOTIONAL ACTIVITIES ORGANISZED BY HDFC LIFE ” submitted to

the Department of Business Studies Babulal Tarabai Institute of Research and

Technology, is a record of an original work done by me under the guidance of

MISS PRIYANKA SARAFLecturer & Faculty Member at the Department of

Business Studies Babulal Tarabai Institute of Research and Technology. I also

ensure that this work done by me is purely original and is my own creativity.

Date : MISS PRIYANKA SARAF

Place :

OBJECTIVE

To study the present marketing strategy of “Dabur India Limited”

To study the effectiveness of marketing strategy Of “Dabur India Limited”

To know about the portfolio of “Dabur India Limited”

INTRODUCTION

Before the industrial revolution the emphasis was on production of better quality

article. Production was carried on small scale and in most cases production was carried

on in small quantities only when an order was placed in advance. In modern days

production is carried on not only in large scale but also in anticipation of future

demand. This situation had brought into sharp focus the other function of management

as Marketing, Finance and Human Resources etc.

The functioning of all these areas of management in a vibrant way full of vitality is

important to the sustenance and advancement of the company towards prosperity.

Dabur India Ltd. Is a company where a balance of all these fields exists and where they

perform in a perfect harmony. Dabur was set up in 1884 by Dr. S. K. Burman, a

physician tucked away in Bengal, to produce and dispense Ayurvedic medicines. His

mission was to provide effective and affordable cure for ordinary people living in far-

flung villages. Reaching out to a wide mass of people who had no access to proper

treatment, Dr. S. K. Burman's commitment and ceaseless efforts resulted in the

company growing from a fledgling medicine manufacturer in a small Calcutta house, to

a household name that at once evokes trust and reliability.

Dabur India Limited is India's leading FMCG Company with interests in health

care, personal care and foods. Dabur has a history of more than 100 years and the

company has carved a niche for itself in the field of Ayurvedic medicines. The products

of Dabur are marketed in more than 50 countries worldwide.

The company has 2 major strategic business units (SBU) - Consumer Care

Division (CCD), Consumer Health Division (CHD) 3 Subsidiary Group companies -

Dabur Nepal and Dabur Foods Ltd & and Dabur International. Dabur International has

4 step down subsidiaries – Dabur Egypt Ltd., Asian Consumer Care Pvt. Ltd.

(Bangladesh), African Consumer Care Ltd. (Nigeria) and Weikfield Intl. (Egypt)

HISTORY OF DABURDabur was incorporated in 1884 in a small Calcutta

pharmacy where Dr. S. K. Burman launched his mission of making

health care products. With the growing popularity of Dabur products,

in 1986 Dr. S. K. Burman set up Dabur’s first manufacturing plant

for mass production and in the early 1900s Dabur ventured

into the business of nature based ayurvedic medicines for which

standardized drugs were not available in the market. In 1936 Dabur

sets up Dabur India Limited and a new manufacturing plant is set up in Faridabad on

the outskirts of Delhi. In 1979 one of the largest and best equipped production facility

was started near Sahibabad along with the formation of Dabur Research Foundation

(DRF) signaling the launch of research operation in the pioneering area of health care.

In 1986 Dabur became a public limited company and raised its first public issue in 1994

with the company share issued at a high premium and oversubscribed twenty one times.

For better operation and management 3 separate divisions were created in 1996

according to the product mix, namely Health care products division, Family production

division and Dabur ayurvedic specialties limited. In 1997 Dabur enters full scale in the

nascent processed foods market with the creation of the food division. Project STARS

(Strive To Achieve Record Success is initiated to give a jump start to the company and

accelerate its growth performance) and in 2000 Dabur established its market leadership

status with a turnover of Rs 1000 Crores. In 2005, Dabur acquired Balsara. Dabur

crossed $ 2 billion market cap in 2006. Dabur foods merged with Dabur India in 2007.

From a small beginning and upholding the values of its founder, Dabur entered the

august league of large corporate business. Dabur has also ventured into the specialized

health care area of cancer treatment with its oncology formulation plant at Baddi in

Himachal Pradesh and extended its global partnerships by entering into joint ventures

with Osem of Israel for food and Bongrain of France for cheese and other dairy

products.

Dabur India Limited today is the third largest FMCG Company in India after a

takeover of Balsara India Limited and with interests in Health care, Personal care and

Food products. Powerful brands like Dabur Amla, Dabur Chyawanprash, Vatika,

Hajmola and Real are the major contributors to Dabur’s turnover of Rs.2396 crore.

MANAGEMENT & OWNERSHIPSTRUCTURE

Board of Directors

Dabur has an illustrious Board of Directors who are committed to take the company onto newer levels of human endeavour in the service of mankind. The Board comprises of:

Chairman Vice-ChairmanDr. Anand Burman Mr. Amit Burman

Whole Time Directors

Mr. P.D. Narang Mr. Sunil Duggal Mr.Pradeep Burman

Non Whole Time Promoters, Directors

Mr. Mohit Burman

Independent Directors

Maharaja Gaj Singh Mr. P N Vijay Mr. R C Bhargava Dr. S. Narayan

The C.E.O

Sunil DuggalChief Executive Officer

Dabur India Limited

VISION

COMPANY’S PROFILE

Dabur India Limited is India’s fourth largest FMCG company. The first Dabur plant

was set up in 1896 and research laboratories established in 1919. Dabur became a

public limited company in 1986. In 1998, the Burman family, the original promoters,

handed over the day-to-day running of the company to professionals. With effect from

1 April 2005, Balsara Home Products became a subsidiary of Dabur. Apart from

Balsara, Dabur has five other subsidiaries — Dabur Foods, Dabur Nepal, Dabur Egypt,

Dabur Oncology and Dabur Pharma.

Dabur has been marketing its products in more than 50 countries all over the world. The

company has offices and representatives in Europe, America and Africa. Manufacturing

facilities are spread across three overseas locations.

Dabur India Limited holds its speciality in AYURVEDA. Ayurveda, the ancient Indian

system of medicine based on natural and holistic living, derives from two Sanskrit

words -Ayu or life, and Veda or knowledge. This Science of Life analyses the human

body through a combination of the body, mind and spirit.

Originating nearly 5,000 years ago, Ayurvedic texts were researched by Dabur in its

quest for natural remedies. Today, its application in modern life has been renewed

through the scientific research and validation undertaken at Dabur.

Other than “ ayurvedic specialities “ Dabur’s product range also encompasses health

care, hair care, oral care, baby care, home care, food segments and digestive products .

Some of the well-known brands include Amla Chyawanprash, Hajmola, Lal

Dantmanjan, Nature Care and Pudin Hara.

Part of the company’s success came from its highly active sales network. A significant

proportion of Indian population, which would be top one billion before the drawn of the

21st century, still lived in rural regions and in extreme poverty. For much of this

population, personal care products remained luxury items. Yet the company recognized

the importance of building its brand in this region and as such the company developed a

vast sales network and much of this network was based on an army of independent,

direct sales agents, who hawked the company’s products in more than 150000 villages.

In 2002 the company prepared to enter a new management era and appointed Mr. Sunil

Duggal as the C.E.O of the company. He joined in 1995 as General Manager (Sales &

Marketing), and since then, with his dynamic spirit and leadership abilities he has led

the company to achieve new heights and becamer the CEO of the Company, and with

his valuable experience steering the company ahead in its growth plans.

Dabur India Limited has marked its presence with some very significant achievements

and today commands a market leadership status. Their story of success is based on

dedication to nature, corporate and process hygiene, dynamic leadership and

commitment to their partners and stakeholders. The results of the policies and

initiatives speak for themselves.

SUBSIDARIES

DABUR FOODS LIMITED (DFL)

Dabur Foods a 100% subsidiary of US $ 3 billion

Dabur Group realized the potential of the processed

& packaged food industry (4th largest in the world),

began operations as a separate division in the year

1999. It established brands in a market where the

barrier to accept packaged food is high, and the fledging processed food industry was in

a nascent stage in India. Today, Dabur Foods has kept its promise not only to the Indian

consumers but to the world by providing them the very best products in packaged food

class.

Dabur Foods has a distribution networkthat covers175 towns and 75 thousand retail

outlets making its product available to the consumers across the country at ease.

With an understanding on the nuances of food distribution, the company has developed

a unique handling and storage process, which ensures the minimum damage and

expiries. To deliver fresh, the company has created a separate channel for retail and

food services. With a dedicated system and logistics process, it achieves a balance

between sales and production.

Realizing the potential in the distribution network, Dilmah Tea, world’s 3rd largest tea

brand, partnered with Dabur to reach the Indian Market.

Dabur Nepal Limited

The guiding force behind Dabur’s Growth and success has been the wealth of nature and its limitless capacity to support life. And they have constantly taken care to preserve and protect this natural bounty. With this overall vision of and to eco-sustenance, expand Dabur’s resource and product base, Dabur Nepal Private Ltd.was

set up as an independent group company in 1992. This new company set amidst the verdant greens and the towering mountains of the Himalyan kingdom of Nepal, has established a unique bond of technology and preservation

Dabur International Limited

Dabur International Ltd. is the most important subsidiary company of Dabur. It is responsible for all the actions of Dabur worldwide. Dabur International has 4 step down subsidiaries – Asian Consumer Care in Bangladesh, African Consumer Care in Nigeria, Dabur Egypt and Weikfield Intl.

MARKETING ANALYSIS

OF

DABUR INDIA LIMITED

MARKETING MIX

Marketing mix refers to the ingredients or the tools or the variables which the marketeer mixes in order to interact with a market. It is a set of marketing tools that the firm uses to pursue its marketing objectives in the target market. Marketing mix includes the following activities -product planning, pricing, branding, packaging, channels of distribution, displays, physical handling, advertising etc.

All the activities listed above create what a marketeer offers to the market. It is through these that market is created and managed. The above list of marketing mix elements was reclassified by McCarthy into four categories popularly known as four P’s of marketing -: product, price, place and promotion.

PRODUCT Product mix Packaging Labeling Product quality Branding

PLACE Channel strategy Intermediaries Channel conflict Channel selection Physical distribution

PRICE Price methods Pricing strategies Price policy Price changes

PROMOTION Promotion mix Advertising Sales promotion Personal selling Publicity Public relations

4 P’S

OF

DABUR INDIA LIMITED

PRODUCT

The product is the physical good or service offered to the consumer. The product is the most visible element of the marketing mix. When a firm introduces a number of products over time gradually, its offerings become many. That is, the firm becomes a multi product firm.

Similarly, Dr. S. K. Burman started a small pharmacy in Calcutta in 1884 where he launched his mission of providing health care products. Which was later made a full fledged company Dabur (Dr. S. K. Burman) India Limited started with only few ayurvedic medicines. But now it has a bigger portfolio of products of variety of brands like hair care, health care, baby care & other different types of Home & Personal care products along with food and digestive products. Further the company can increase the depth of an item in the line by adding new variants. For example Dabur has added different flavours like orange and lime to its Glucon D.

Dabur’s diverse product range is today manufactured in 9 manufacturing facilities within India and 5 other worldwide. Dabur's Ayurvedic Specialities Division has over 260 medicines for treating a range of ailments and body conditions-from common cold to chronic paralysis.

Over the past two years, Dabur’s product portfolio has been systematically overhauled through re-launches and brand extensions, even as fresh forays have been made into new categories such as hair, skin care and home care. Recently two new products, disinfectant cleaner and kitchen cleaner under ‘Dazzl’ brand. All these launches of new kinds of products will help the company to capture the potential market arising from the growing needs of the fast expanding market, especially the aspiring and affluent Indian household categories.

PRODUCT PRICE

PLACE

PROMOTION

Dabur brands are broadly divided in to six categories:-

1) Health Care2) Personal Care3) Home Care4) Ayurvedic Specialities5) Foods6) Guar Gum

HEALTH CARE PRODUCTS

Dabur Chyawanprash and Chyawanshakti

Dabur Chyawanprash has anti-oxidant properties & strengthens your body's internal defense mechanism, the

immune system. Thereby protecting you from everyday infections, cough, cold & stress etc.

Dabur Honey

Health Ka Meetha Meetha Raaz. The purest golden honey collected from freshly harvested beehives. With the finest flavor, texture, and aroma, right down to the last drop. Absolutely pure, natural and with no artificial preservatives, additives or sweeteners. Dabur honey adds health and good taste to your food table.

HOME CARE PRODUCTS

Odomos

It is a effective mosquito repellent and safe for the skin.

Odonil

It is a range of perfumed air fresheners, available in forms of block and aerosol forms.

Odopic

It is an effective and economical dish washing product containing ‘feldspar’.

PERSONAL CARE PRODUCTS

HAIR OILS

Dabur Amla Hair Oil

Dabur Amla Hair Oil contains natural extracts from “Amla” which is good for hair.

Dabur Vatika Hair Oil

It is a delicate mix of coconut oil with special hair care herbs.

SHAMPOOS

Vatika Henna Conditioning Shampoo

It is a natural shampoo made from herbs like Henna, Shikakai and Green Almonds

SKIN CARE

Dabur Gulabari

Dabur Gulabari Premium Gulab Jal is the extract from fragrant roses. Vatika Fairness Face pack

It is a ready to use fairness face pack.

Vatika Saffron Glow Soap

The new Vatika soap variant has natural ingredient like Saffron and Sandal.

ORAL CARE

Dabur Red Toothpaste

Toothpast prepared from hebs that fight oral problems like bad breath, toothache and germs.

Bianca Toothbrush

Toothbrush that comes in different variants with different features.

Dabur Lal Dant Manjan

The hebal Ayurvedic red toothpowder wich is widely used in the rural areas.

AYURVEDIC SPECIALITIES

General Health

Stresscom

Stresscom offers Ashwagandha (Withania somnifera) extract capsules standardized to 4.5% Withanoloides. The lipid form enables Stresscom to provide incomparable benefits in various psychosomatic health complaints.

Lung Support

Broncorid

Broncorid is a unique herbal combination of drugs, which manifests Anti histaminic, anti-inflammatory, mucolytic, expectorant and bronchodilator effect. Broncorid syrup has been enriched with Shireesh Chaal, which has a Sodium Cromoglycate like activity.

Madhuvaani

Madhuvani is a blend of age-old traditional cough formula Sitopaladi churna with honey.

Digestive Support

‘PRICE

Price is normally expressed in monetary terms. It is worth of a product or service in monetary terms. Price is the value which a buyer passes on to the seller in lieu of the product or service provided. Price is a crucial determinant of the fact whether the exchange between the buyer and seller should materialize or not. While pricing the products three main factors should be kept in mind -:

1. Cost2. Competition3. consumer demand

Pricing Strategies of Dabur

Dabur has stepped up the pace of new product launches and is investing ad spend and marketing. The entire product portfolio is also tweaked to include premium offerings such as more variants under almost every category, like Dabur Vatika Hair Oil is available in 3 different versions .

Dabur is today seen as far more proactive in the market. Dabur is now an external oriented company. Across the whole organization the company have one definition of winning, and that means not just growing, but growing completely. Over the last two years, Dabur has maintained its operating margins through judicious price hikes across products and reduction in pack sizes.

The three main factors affecting the pricing strategies have been discussed below -:

I. COST

One of the most important factor to take care while pricing is the cost costs set the floor for pricing decisions. There are two types of cost variable cost and fixed cost. It is important that the price should recover all costs including a fair return for undertaking the marketing effort and risk.

II. COMPETITION

Competition is another important consideration while pricing. When a firm does not face any competition it can enjoy complete freedom in fixing its price. But when there are competitors selling the same or similar products, the pricing freedom is considerably reduced. Its price must fall in line with the competitors. Similarly Dabur India Limited also has many competitors. But Dabur’s top selected competitors are:-

1. Hindustan Unilever Limited

2. Proctor and Gamble3. Pepsi co.4. Colgate Palmolive5. Godrej Industries6. Marico Ltd. etc.

III. CONSUMER DEMAND

Dabur learned that the majority of Indian population tends to go towards the Indianised natural and herbal products thus they made it their USP. Dabur is efficiently leading the market with this product range, providing the customers with special products easily.

PLACE

Place in the context of marketing mix refers to a set of decisions that need to be taken in order to make the products available to the customers for purchase and consumption. Making the products available to the customers require development of channels of distribution and physical distribution of products.

CHANNELS OF DISTRIBUTION

Channels of distribution refers to the path taken by the goods in their movement to the customers. For instance, the toothpaste we use is manufactured in the factory of a company Dabur. But before it reaches us it passes through the hands of many middlemen who help it come to you in right time, at right place and in right quantity.

Dabur’s distribution network is recognised as one of its key strengths. Its focus is not only to enable easy access to our brands, but also to touch consumers with a three-way convergence - of product availability, brand communication, and higher levels of brand experience.

A Diagram explaining the channels of Distribution is given below

The above diagram it shows channel of distribution of dabur foods, here first the products are manufactured and from Manufacturing plants the packed goods are supplied to Clearing And Forwarding Agents(C&FA) and from here the goods are then further supplied to number of Stockiest or Distributors, from here goods reaches to large number of Retailers and it is the duty of Stockiest to take orders from retailers and then supply the goods to them, this work is generally done by stockiest salesman through ready stock or by taking orders first and then placing the order. From here the goods finally reaches to Customers. Customer purchases the product from retailers.

Manufacturing Plant

Clearing and forwarding agent (different regions)

Stockist A Stockist B Stockist C

Retailers Retailers Retailers Retailers Retailers Retailers

C O N S U M E R S

PROMOTION

Once the product has been manufactured, priced rightly and is distributed, the next task

of the marketer is to inform potential customer about the product and persuade them to

buy the same. The promotion element of marketing mix is concerned with activities that

are undertaken to communicate with both customers and participants in the channel of

distribution such that sales goals are realized. There are different promotional activities

like-: Advertising, Sales promotion, trade promotion, personal selling etc. but one of the

most convenient and effective one that most of the industries uses is the Advertising

and Sales Promotion.

Advertising

Advertising is a form of communication that typically attempts to persuade potential

customers to purchase or to consume more of a particular brand of product or service.

Many advertisements are designed to generate increased consumption of those products

and services through the creation and reinforcement of "brand image" and "brand

loyalty". For these purposes, advertisements sometimes embed their persuasive

message with factual information. Every major medium is used to deliver these

messages, including television, radio, cinema, magazines, newspapers, video games, the

Internet and billboards. Advertising is often placed by an advertising agency on behalf

of a company or other organization.

Dabur has created the huge brand image and a vast product following by associating

mega-names like Amitabh Bachchan, Rani Mukhurjee, Vivek Oberoi, Mandira Bedi

etc. Dabur invested Rs. 150 crore just on the advertising of Real “Fruit Juice” and “Real

Active”. So far the company has been successful in this mission as the people now

know the brand and ask for its products by name.

Sales promotion

“An activity designed to boost the sales of a product or service. It may include an

advertising campaign, increased PR activity, a free-sample campaign, offering free gifts

or trading stamps, arranging demonstrations or exhibitions, setting up competitions with

attractive prizes, temporary price reductions, door-to-door calling, telemarketing,

personal letters on other methods”.

In marketing, sales promotion is one of the four aspects of promotion. (The other three

parts of the promotional mix are advertising, personal selling, and publicity/public

relations.) Sales promotions are non-personal promotional efforts that are designed to

have an immediate impact on sales.

Sales promotion involves short-term incentives to encourage buyers to purchase a

product. It's aim is to encourage immediate purchase of a product. If used too often

however, sales promotion can create a situation where consumers will not buy unless

there is a bonus offer. This will result in loss of profit for the company.

More than any other element of the promotional mix, sales promotion is about “action”.

It is about stimulating customers to buy a product. It is not designed to be informative –

a role which advertising is much better suited to.

Sales promotion can be directed at:-

• The ultimate consumer (a “pull strategy” encouraging purchase)

• The distribution channel (a “push strategy” encouraging the channels to stock the

product). This is usually known as “selling into the trade”

SALES PROMOTIONAL TOOLS OF DABUR FOODS

Price promotions

Coupons

Gift with purchase

Competitions and prizes

Money refunds

Point-of-sale displays

Free samples

Contest /demos

Festival Sales

Retailer coupons

Multi-packs

Special price for twos

Allowances for additional shelf space

THE PATH AHEAD

Dabur intends to significantly accelerate profitable growth. To do this, Dabur will:

Focus on growing their core brands across categories, reaching out to new

geographies, within and outside India, and improve operational efficiencies by

leveraging technology.

Be the preferred company to meet the health and personal grooming needs of

their target consumers with safe, efficacious, natural solutions by synthesizing

our deep knowledge of ayurveda and herbs with modern science.

Provide the consumers with innovative products within easy reach.

Build a platform to enable Dabur to become a global ayurvedic leader.

Be a professionally managed employer of choice, attracting, developing and

retaining quality personnel.

Be responsible citizens with a commitment to environmental protection.

Provide superior returns, relative to their peer group, to the shareholders.

CONCLUSION

It was really a very great experience to study this FMCG company “Dabur India

Limited”. After going into all its aspects i.e. its marketing strategies, policies, pricing

strategies etc. we can conclude that the company is excellent on all the fronts. The

company’s different projects like Sundesh and its social initiatives in Nepal etc.

indicates that the company is also loyal towards the society, and all such social

responsibilities are very necessary to build a strong customer base and brand loyalty

Through its comprehensive range of products it touches the lives of all consumers, in

all age groups, across all social boundaries. And this legacy has helped them develop

a bond of trust with our consumers. That guarantees us the best in all products

carrying the Dabur name.