A PROJECT TO STUDY “Dabur India Limited” PRODUCT LINE
Indraprastha University
Under the guidance of:Mrs . Neha Verma
Submitted By:Akash Bansal BBA-3 Enrollment No. 0786111708
MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES
Affiliated to GGS Indraprastha University, Delhi (An ISO 9001:2000 Certified Institution, Recognized by UGC u/s 2(f))
Acknowledgement
I wish to thank all those with whom I have worked, interacted interacted and whose thoughts thoughts and insights insights helped me in furthering my knowledge and understanding of the subject. I would especially like to express my gratitude and sincere thanks to Mrs.Neha Verma whose excellent teaching has left an undeniable print on my mind leading me to prepare this project report in a better way and which would not have been possible without his support and active guidance. I am highly obliged to him for the opportunity that he gave me to work on the marketing strategies of ‘Dabur India Ltd.’. The present report has made me learn a lot about the marketing industry as a whole.
Akash Bansal Enrollment No. 0786111708
Acknowledgement
I wish to thank all those with whom I have worked, interacted interacted and whose thoughts thoughts and insights insights helped me in furthering my knowledge and understanding of the subject. I would especially like to express my gratitude and sincere thanks to Mrs.Neha Verma whose excellent teaching has left an undeniable print on my mind leading me to prepare this project report in a better way and which would not have been possible without his support and active guidance. I am highly obliged to him for the opportunity that he gave me to work on the marketing strategies of ‘Dabur India Ltd.’. The present report has made me learn a lot about the marketing industry as a whole.
Akash Bansal Enrollment No. 0786111708
Certificate
This is to certify that this research report entitled “Dabur India Ltd.” Is the original work of “Akash Bansal” and it has been completed under my supervision.
Mrs. Neha Verma
CONTENTS
I Acknowledgement II Certificate S.No. 1.
CHAPTER NAME ORGANISATIONAL PROFILE a. Objectives b. Introduction c. Company’s History d. Management and Ownership structure e. Vision f. Company’s Profile
2
MARKETING ANALYSIS OF DABUR INDIA LIMITED a. Conc Concep eptt of Mark Market etin ing g b. b. Mar Market keting Mix Mix c. 4 P’s P’s of Mark Market etin ing g 1. Produ oduction 2. Price 3. Place 4. Promotion
3
THE PATH AHEAD
4
SOCIAL INITIATIVES OF DABUR
5
CONCLUSION
6
BIBLIOGRAPHY
OBJECTIVE
To study 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” 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 DABUR
Dabur 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 & OWNERSHIP STRUCTURE 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-Chairman Mr. Amit Burman
Dr. Anand 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
The C.E.O
Sunil Duggal Chief Executive Officer Dabur India Limited
VISION
Dr. S. Narayan
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 wellknown 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.
The shareholding pattern of the company last year is as follows -: Promoters Non promoter corp. hold Public & others
70.81% 21.24% 7.94%
SHAREHOLDINGPATTERN
Promoters
21 8 71
Nonpromoter's holdings Publicandothers
D abur 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), and 3 Subsidiary Group companies Dabur Foods, Dabur Nepal and Dabur International. Dabur International has 5 step down subsidiaries - Dabur Foods, Dabur Nepal, Dabur Egypt, Dabur Oncology and Dabur Pharma. STRATEGIC BUSINESS UNITS
CONSUMER HEALTH DIVISION (CHD)
The consumer healthcare division includes products of the erstwhile Ayurvedic Specialists Division and a set of over the counter (OTC) products based on the ayurvedic medicinal platform. The division is supported continuously by in-house research to provide complete care for varying individual needs. These products are backed by the most modern scientific test and trials and ensure unfailing quality and safety. The CHD is divided in the following four categories:
Health supplement
Dabur Chyawanprash Glucose D
Baby care
Digestives
Natural cures
Dabur lal tail
Hajmola Mast Masala
Shilajit fold
Dabur baby olive oil
Hajmola Candy F
Nature care
Pudin hara
Sat isabgol
Pudin hara G
Shilajit
Anardana
Ring Ring
Dabur janma ghunti
Hajmola Candy
Itch care
Dabur Honey
Back-Aid Shankha Pusphi Dabur balm Sarbyna strong
CONSUMER CARE DIVISION (CCD)
The Consumer Care Division (CCD) — that deals with pure FMCG products is a result of the merger between the personal care products division and the healthcare products division. The division’s portfolio includes health supplements, digestives and confectionery, oral care, hair care, and baby and skin care.
The various categories under CCD are:
Hair care oil
Skin care
- Amla hair oil
- Gulabari
- Amla lite hair oil
- Vatika fairness face pack
- Vatika hair oil - Anmol sarson amla - Amla Hair Oil
Hair care shampoo
- Anmol silky black shampoo - Vatika henna conditioning shampoo - Vatika anti-dandruff shampoo - Anmol natural shine shampoo
Oral care
- Dabur red gel - Dabur red toothpaste - Dabur lal dant manjan - Dabur binaca toothbrush
- Amla Lite Hair Oil - Vatika Hair Oil -Anmol Sarson Amla
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.
in U.A.E
MARKETING ANALYSIS OF DABUR INDIA LIMITED
CONCEPT OF MARKETING
‘Market in common language is a place where business is conducted or in other words where goods and services are exchanged. The term market is used in variety of contexts. It can be a wholesale market & Retail market. The managerial awareness and desire reflected in the consumer orientation for an all-out commitment to the market consideration and marketing operations to the consumer needs has given birth to new operational notion called the ‘Marketing concept’. ‘Marketing’ as the word suggests simply means identifying needs of the customers or in others words ‘to know about the pulse of each & every customer’. ‘A social process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products & services of value with others.’ The following are important elements for a marketing exc hange to take place:a. Presence of at least two parties- Buyer and Seller. b. Both parties must have something viewed valuable by each other. c. Both parties are free to accept or reject the offer. d. Each party feels desirable to deal with each other. e. Each party is capable of communication and delivery. Marketing involves different functions- marketing research, product planning, buying and assembling, packaging, storage, warehousing, Transportation, promotion & selling. These functions helps the firm to realize its profit goal by actualizing potential exchanges with the customers.
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
PRODUCT OF
PRICE DABUR INDIA LIMITED
PLACE PROMOTION
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. Dabur brands are broadly divided in to six categories:1) 2) 3) 4) 5) 6)
Health Care Personal Care Home Care Ayurvedic Specialities Foods 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 Glucon D
It's a ready
source of energy to fight tiredness and refresh you instantly
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’.
Sanifresh
Sanifresh is a specialist toilet cleaner that comes with a guaranteed germ kill formula.
PERSONAL CARE PRODUCTS
HAIR OILS
Dabur Amla Hair Oil
Dabur Amla Hair Oil contains natural extracts from “Amla” which is good for hair.
Dabur Amla Lite Hair Oil
Dabur Amla Lite Hair Oil is the non sticky version of Dabur Amla Hair
Oil.
Dabur Vatika Hair Oil
It is a delicate mix of coconut oil with special hair care herbs.
Dabur Anmol Sarson Amla Hair Oil
It is the oil made from the extracts of Amla and Sunflower seeds.
SHAMPOOS
Vatika Henna Conditioning Shampoo
It is a natural shampoo made from herbs like Henna, Shikakai and Almonds
Green
Vatika Anti-dandruff Shampoo
It is a naturall shampoo fighting dandruff problems in a better way without and side-effects as in case of chemical shampoos.
Vatika root strengthening shampoo
It is a special shampoo enriched with coconut milk that nourishes hair from the root to the tip and strengthens them.
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.
Babool Toothpaste
It is a natural toothpaste containing Ayurvedic and medicinal benefits of Babool tree.
Meswak Toothpaste
Meswak is scientifically formulated toothpaste from pure extract of the “miswak plant” the famous toothbrush tree that has been used for centuries.
Promise Toothpaste
This toothpaste contains natural and time tested “clove oil”, that helps keep the teeth strong and the healthy.
gums
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 ho ney.
Digestive Support Trifgol
Trifgol is an Isabgol based natural fiber laxative, which also contains the goodness of Triphala (Amlaki, Hareetaki and Vibheetaki). Besides a laxative action Trifgol has other multiple health benefits as well.
Cardiac Support Lipistat
Lipistat offers a potent combination of Ayurvedic herbs to promote Hypolipidemia and to maintain an optimum cardiac function. Lipistat brings down high cholesterol, triglycerides as well as LDL and increases HDL levels in the blood thereby promoting a healthy blood circulation.
Uterine Support Mensta
Mensta is the first Non Hormonal Menstrual modulator with anti spasmodic activity. The menstrual modulation activity enables Mensta to be useful in DUB as well as Oligomenorrhoea.
Joint Support Rheumatil – gel
Rheumatil gel has a special significance in the management of painful conditions of all small and large joints. Rheumatil is quickly absorbed and relieves joint pain and stiffness. It contains more than 90% active ingredients and is enriched with Kesar and milk, which ensures quick absorption and rapid onset of action.
Rheumatil-tab
Rheumatil tablet is a potent herbal combination of Anti-arthritic, Anti-inflammatory as well as Disease Modifying Anti Rheumatic drugs and has been found very effective in all arthritic problems.
Rheumatil – oil
Rheumatil oil has a special significance in the management of painful conditions of all small and large joints. Rheumatil is quickly absorbed and relieves joint pain and stiffness. It contains more than 90% active ingredients and is enriched with Kesar and milk, which ensures quick absorption and rapid onset of action.
FOODS
Real Fruit Juice
Real juices are prepared from the best quality fruits to ensure consistent quality all round the year. Packed with natural goodness of fruits, these juices have all the ingredients to keep you happy and healthy. Real juices have nine variants namely, Orange, Mango, Litchi, Guava, Tomato, Mixed Fruit, Grape, Pineapple and Cranberry.
REAL ACTIV
The Real Activ ranges of natural fruit juices are free of any additives and preservatives. They are thus, cholesterol free and sodium-free and also contain all the essential nutrients required for good health.
Dabur foods have recently launched the fruit-veggie range under the brand of Activ. The variants in this range of juices are:
1. Fruit Juices: Orange Orange
2. Fruit Veggie range: Beetroot-Carrot
Carrot Spinach-Cucumber
Apple
COOLERS
These fruit drinks/juices are the latest addition to the kitty of Dabur Foods Limited. Coolers are drinks of cooling fruits, summer fruits like watermelon, green mango, pomegranate and Jamun. These drinks are cooling drinks which help you to beat the summer heat by cooling you from inside and maintaining the body water level. There are four variants of this range available in the market currently namely,
--
Watermelon
--
Pomegranate
--
Aampanna
--
Jamoon
CAPSICO
This is a hot fiery sauce which is made from pepper and chilli .It can be used in various ingredients like pizzas ,salads etc.
LEMONEEZ
No matter how
expensive lemons get,
Dabur Lemoneez makes sure they don’t pinch the customers wallet. Priced at very reasonable prices for the natural juices of 30 handpicked lemons.
HOMMADE
Dabur Foods has launched a couple of products under the Homemade brand portfolio. These include: -- Homemade Coconut Milk -- Homemade Soups
Hommade Ginger-Garlic Paste
-- Homemade Ginger-Garlic Pastes -- Homemade Tomato Puree
Homemade Coconut Milk:
Homemade Tomato Puree :
Homemade Soups:
Baby Care
Dabur Lal Tail
Dabur Lal Tail is a natural Ayurvedic baby massage oil, which contains the properties of time tested herbs. These strengthen the baby's bones and muscles, and help him/her stay ahead, It is useful for flabby, dry skin and wrinkles occurring during rickets.
Dabur Janma Ghunti
Dabur Janma Ghunti, an Ayurvedic medicine, plays a dual role in the all-round growth of infants. It acts as an effective remedy for stomach ailments arising out of teething such as flatulence, constipation, diarrhoea, vomitting etc. Dabur Janma Ghunti also helps in the growth process by expelling intestinal worms and toning up the digestive system of the infant with the goodness of traditional Ayurvedic ingredients like Anjeer, Kishmish, Ajwain etc.
Dabur Gripe Water
Dabur Gripe Water contains ingredients like Sarjikakshara and Mishreya tail, which are very useful in guarding your baby against common stomach problems like afara, aittan, indigestion and acidity. It's regular use ensures that teething causes no problems for your baby.
Digestives Hajmola
It is originally a Ayurvedic digestive medicine, which was first to be branded as a product. It is a mix of Indian culinary herbs, spices and edible salts. Hajmola is the market leader with 75% share of digestive tablets segment in India.
Hingoli
It is a Ayurvedic medicine to stimulate digestion and relieve from gas.
Pudin Hara G
Dabur's Pudin Hara G - for quick relief from gas and acidity. Completely natural, herbal and safe. And reinforced with the extra goodness of mint (pudina) for instant action against conditions of flatulence.
Pudin Hara
Dabur Pudin Hara gives quick relief from stomachache, gas and indigestion. Its is a trusted fast action remedy for stomach disorders. Pudin Hara is completely natural and safe.
EXPANDING PRODUCT PORTFOLIO
Dabur’s pioneering efforts to develop techniques to bring natural branded products to India’s people gradually had an impact on their entire portfolio of brands. Still, Dabur looks to exploit other growth opportunities by renewing its products and entering into new segments.
Dabur India Ltd, plans to double its revenues in two years by ramping up its product range and launching new categories of food and personal care merchandise, a top official said. The company will soon introduce male grooming, skincare and ready-to-eat products to widen its consumer base. “The male grooming market in India has less momentum and is an interesting segment. We plan to introduce products in the hair care, deodorant and skincare range for male care,” said V.S. Sitaram, executive director of the consumer care division at Dabur. While Dabur intends to aggressively enter new segments, it is also revamping its existing personal care portfolio by repackaging and adding new product lines. For instance, it will launch Vatika hair conditioner in the next few days, and other hair care products such as gels and creams would follow suit. “We are looking at launching a completely new skincare line with products such as cleansing lotion, anti-ageing solutions, and body skincare range under a different brand name,” Sitaram said. In the past one year, the company has relaunched almost 60% of its products and introduced 10 new items such as Dazzle surface cleaner and health drink Chyawan Junior. Dabur is also extending its Gulabari rose water brand to launch lotions, cold creams and face freshener sprays. Dabur’s new strategic focus is to go beyond fruit juices. They are looking forward to enter the processed foods, fruit-based milk or yogurt and ready-to-cook and ready-to-eat market under a different brand name.
Market Share of Dabur
Dabur India Ltd. is India’s third largest fast moving consumer goods company by sales. Some of their achievements are
Strategic positioning of Honey as food product, leading to market leadership (over 40%) in branded honey market
Dabur Chyawanprash the largest selling Ayurvedic medicine with over 65% market share.
Leader in herbal digestives with 90% market share
Hajmola tablets in command with 75% market share of digestive tablets category
Dabur Lal Tail tops baby massage oil market with 35% of total share
Exports
Dabur India Limited is a leader in manufacturing and marketing herbal, nature-based products, marked with quality and trust gained through more than 100 years of experience. Today Dabur’s products are available for people in more than 50 countries across the world, helping them move towards a healthy, natural and holistic lifestyle. Dabur’s products are available in the markets of the Middle East, South-East Asia, Africa, the European Union and America. The international range of Dabur includes:Health Care Product Range Chyawanprash - health tonic, immune stimulator Hajmola- tangy digestive aid, appetite stimulant Hajmola candy - digestive candy with a punch Pudin Hara/ Pudin Hara-G - instant relief from stomach disorders Dabur Balm - quick-action pain reliever Restora - restorative Lal Tail - Baby massage oil - strengthening bones & muscles
Honitus syrup - cough syrup Rheumatil gel - relief for arthritis, joint pains Itch Care - itch reliever Ring Ring - relief from ring worms Back Aid - back pain reliever Baby Olive Oil - Extra nourishing baby massage oil Lavan Bhaskar Churan - Useful for indigestion & loss of apetite Hingwastak Churan - useful for stomach ailments Sitopladi Churan - treats cough & cold Herbal Supplements Range Nature Care Isabgol - aiding bowel function Nature Care CleanNClear / GreNeem - skin care, blood purifier Nature Care Boswellia - smooth joint functioning Nature Care Gymnema - blood sugar regulator Nature Care Forskohlin - regulating blood pressure, hypertension Nature Care new Livfit Vegecaps - liver protection Nature Care Triphla - immunomodulator, internal cleanser Nature Care Ashwagandha / Stresscom - maintaining psychosomatic equilibrium Nature Care Shilajit - immune stimulator, general tonic Nature Care Punarnava - aids renal functioning Nature Care Guggulu - controls blood cholestrol Nature Care Gotu Kola - improves brain functions Nature Care Arjuna - helps maintain proper cardiac functions Nature Care Phyllanthus - helps maintain healthy liver functioning Nature Care Picrorrhiza - strengthens hepatic functionas and digestion Nature Care Kutkin and Silymarin - supports liver metabolism Nature Care Shankha Pushpi - maintains smooth functioning of nervous system Nature Care Shatavari - supports immunity & builds body resistance
Skin Care Product Range Natural Sandalwood Soap - refreshing daylong fragrance Natural Neem Soap - deep cleansing and toning Natural Aloe Vera Soap - soft and supple skin Natural Beauty Soap - freshening and soothing the skin Gulabari (Premium Rose water) - skin toner and refreshing fragrance Boroglow - non-sticky Ayurvedic Anti-septic cream Gulabari Face Pack - natural recipe for younger looking glowing skin Vatika Fairness Face Pack enriched with the goodness of natural ingredients giving your skin radiant fairness Oral Care Product Range Dabur Neem Toothpaste - anti-bacterial & anti-inflammatory action
Dabur Basil Toothpaste - refresher, removing plaque Dabur Clove Toothpaste - analgesic action & fighting cavities Dabur Red Toothpowder - herbal combination for strong teeth & healthy gums Dabur Red Toothpaste - herbal combination for strong teeth & healthy gums Hair Care Product Range
Dabur Hair Oil Range Dabur Amla Hair Oil - for strong hair with full body Dabur Amla Lite Hair Oil - for nourishment and lightness Dabur Vatika Hair Oil - premium coconut hair oil enriched with henna, amla and lemon Dabur Special Hair Oil - herbal oil for healthy & lustrous hair Dabur Jasmine Hair Oil - with delicate natural fragrance of jasmines Dabur Anmol Coconut Oil - pure coconut oil enriched with Vitamin E Dabur Shampoo Range Dabur Vatika Anti-dandruff Shampoo - for natural dandruff control Dabur Vatika Body & Bounce Shampoo - for Oily Hair Dabur Vatika Henna Conditioning Shampoo- for balanced and appropriate conditioning Dabur Vatika Nourishing Hair Conditioner - for oily hair Dabur Vatika Gentle Cleansing Shampoo - for dry hair Dabur Vatika Nourishing Cream Shampoo - for normal hair Food Product Range Honey - fine flavor of 100% pure honey Real Fruit Juice - fresh fruit juices reinforced with nutrients Real Activ - pure fruit juices with no added sugar or preservatives Hommade Cooking Pastes - thick & grainy cooking pastes for the right flavor Coconut milk - thick first pressing extract of coconuts Capsico Red Pepper Sauce - tangy, extra-hot sauce from the best red peppers Lemoneez - natural lemon juice from fresh-picked lemons Cardamom Extract - easy-to-blend flavor of cardamoms Glucose D - extra-refined supplement with Vitamin D & calcium Mustard Oil - fine mustard oil from the best mustards
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. Cost 2. Competition 3. 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 av ailable 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. 2. 3. 4. 5. 6. III.
Hindustan Unilever Limited Proctor and Gamble Pepsi co. Colgate Palmolive Godrej Industries Marico Ltd. etc. 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
Retailers
Retailers
Stockist B
Retailers
Retailers
Stockist C
Retailers Retailers
C O N S U M E R S
Supply Chain Management
Supply chain management starts before physical distribution: it involves procuring the right inputs (raw materials, components and capital equipment), converting them into finished products and dispatching them to the final destinations. The supply chain perspective can help identify superior suppliers and distributors and help them improve productivity, which ultimately brings down the company’s costs. A broader view sees a company at the center of a value network that includes its suppliers, its immediate customers and their end customers. The value network includes valued relations with others such as university researchers, government approval agencies and so on.
MANUFACTURING PLANT Dabur Foods has Number of products in its product line but its main area of interest or the product on which they concentrate the most is Real Juice & Coolers. Dabur has its manufacturing plant at Nepal and at Jaipur where juice is manufactured and tested.
PROCUREMENT & TRANSPORT •
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Getting the raw material and packaging material requirement from the production unit in charge Constant updates on the procurement of materials and transport details Production details and ingredient content information from the different personnel and coordinating this activity
PACKAGING •
Approval and coordination of the supply of packaging material to the production unit
CLEARING AND FORWARDING AGENTA (C&FA)
From manufacturing plant the stock is transported or supplied to clearing and forwarding agents. Clearing and Forwarding Agents is a third party and Dabur gives contract to them, so company has nothing to do in building the relationship with them. Here C&FA keep or stock the goods with them. They charge Dabur for stocking the good and even Dabur don’t mind doing so as it is a measure of cost cutting as well as there is no need for gowdowns and maintenance.
STOCKIEST OR DISTRIBUTORS
Stockiest store the products in their godowns, C&FA supplies the goods to them as per their order.
Stockiest has some sales men working under him, they are known as stockiest sales man. Their work is to place the products in the market and take order from retailers and then supply goods to them.
Sales man either take ready stock with them or they first take orders and then supply goods later on.
There is a beat which is a schedule route of sales man, means sales man has to daily cover the route as mention in the beat.
Merchandising, making products visible, pasting posters, putting banners, and seeing that goods are properly placed in the retail outlets is also the duty of stockiest sales man.
Companies’ sales officer keeps a check on the stockiest and monthly report is also prepared which is further analyzed by ASM & ZSM.
RETAILERS
Retailers are backbone of the company as they are the one who can take the product on new heights or can bring it down to toes.
Stockiest supplies goods to retailers and tries Persuading retailers to give the brand special displays (using merchandising tools) to get affective brand presence, and arranging it in more noticeable manner.
Margin of retailers is always higher than stockiest.
Retailers are the ones who have direct contact with the customers.
Dabur Foods has a distribution network that covers 175 towns and 75 thousand retail outlets making its product available to the consumers across the country at ease.
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" a n d " 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 hav e 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
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Coupons
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Gift with purchase
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Competitions and prizes
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Money refunds
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Point-of-sale displays
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Free samples
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Contest /demos
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Festival Sales
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Retailer coupons
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Multi-packs
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Special price for twos
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Allowances for additional shelf space
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Merchandising
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Sales contest
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Incentives
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Awards & prizes
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Premium gifts
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Sales Meetings
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Samples/product sampling
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Trade Fairs & exhibitions
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Contests & Sweepstakes
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Exchange Offers/buyback
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Refund / Rebate
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Price / Bonus Packs PROMOTIONAL SCHEMES USED FOR STOCKIESTS
Encourage stockiest to participate in displays and sales co ntests.
Higher Margins: Tries to give higher margins to stockiest so that they don’t loose interest
in the product and can earn good profits after meeting all the expenses.
Sales Contests: Sales contest are held annually and which ever stockiest has the best sales
record a prize is given to him, like free holiday to the family etc.
Allowances: Special allowances are given to both stockiest and stockiest sales man if they
achieve their monthly target.
Subsidy for Promotion Budget: Company gives subsidy to the stockiest, who spend some
money on the promotional schemes, like conducting a sampling activity.
Danglers and Posters: Company gives posters and danglers to stockiest which are further
pasted and distributed by stockiest sales man.
Training: Special Training is given to Stockiest Sales Man, a training workshop is
organized by the company for stockiest sales man so that they don’t face any problem while placing their products and taking orders from retailers.
Annual Gathering: All the stockiest meet under one roof at least once a year and then the
stockiest whose performance was best in term of sales is awarded.
Fun Trip: A zone wise fully paid fun trip is organized by the company for all the stockiest
once a year.
Gathering While Launch of New Products: All the stockiest and their sales man gather
when there is a launch of a new product. Company gives free samples & gifts to stockiest and their sales man.
Special Trade Schemes: Special trade schemes like two SKU free with the 12 SKU.
Free danglers and posters for publicity.
Buyback: Dabur foods has a scheme of replacement of products which gets expired.
PROMOTIONAL SCHEMES USED FOR RETAILERS
Trade allowances: Short term incentives are offered to induce a retailer to stock up more
dabur products.
Dealer loader: An incentive given to induce a retailer to purchase and display the
products of dabur.
Trade contest: A contest to reward retailers those sells the most product o f dabur foods
and after a specific period they are rewarded.
Point-of-purchase displays: Extra sales tools given to retailers by dabur to boost sales,
like danglers, posters, banners etc helps in promoting sales.
Push money: Also known as "spiffs". An extra commission paid to retail employees to
push products. This kind of practice dabur hardly follows.
Free samples: Dabur foods gives free samples are given to retailers so that they can try
that product if the product is new, or gives some discounts.
Demos: Special demos are given to retailers and even some stands, fridge are given by
retailers.
Discount Sales: Some special discounts are given to retailers from time to time, like 1%
cash discounts if payment is made in cash.
Retailer Coupons: Dabur gives some coupons like free lunch for family etc if the retailer
buys and sells a specific amount of products.
Higher Margins: Retailer has the highest margins and dabur foods also have the same
criteria, and retailer can further sell the dabur product to consumer at discount keeping his margin safe.
Allowances for additional shelf space: Company as such does not pay anything to
retailer but gives some additional benefits for giving them shelf space which is visible to customer when ever they enter the shop.
Merchandising Allowances: Allowances are given to Stockiest sales man for
merchandising dabur products. When ever the Stockiest sales man goes to take orders then he also merchandises dabur products.
Bonus Packs: Time to time dabur gives bonus packs to retailers like buy 10 get 2 free
with that.
Trade Allowance: Dabur comes with different types of trade discounts from time to
time, like sometime price discounts, sometimes gifts etc.
Free goods: Dabur gives free goods on the purchase of specific number of goods.
Cash Rebate: Generally cash rebate is given by stockiest if retailer makes the payment in
cash at the time of purchase.
Product sampling: Dabur organizes sampling activities for its products which are new,
these activities are generally at the place where footfall is very high.
Displays: Dabur tries to give special displays to the retailers, so that they can display
their products on that.
Point-of-Purchase Material: POP material is available in the form of stickers, banners,
displays, posters, signs, streamers, etc. put up inside and outside the stores & other possible purchase locations.
PROMOTIONAL SCHEMES USED FOR CONSUMERS
Price deal: A temporary reduction in the price is given to consumer during some festival
session by dabur foods.
Price-pack deal: The packaging offers a consumer a certain percentage more of the product
for the same price (for example, 25 percent extra).
Coupons: Dabur foods gives coupons during different sampling activities to consumers and
it have become a standard mechanism for sales promotions.
Loss leader: Dabur foods temporarily reduce the price of its popular product in order to
stimulate other profitable sales.
On-shelf coupons: Coupons are present at the shelf where the product is available.
Rebates: Consumers are offered money back, rebate at different point of time.
Contests/sweepstakes/games: if a customer wins some game or contest at the time of
sampling activities then they are given a discount coupon of products of dabur foods.
Point-of-sale displays: Displays helps the consumer easily recognize their products, dabur
keeps a special check on the displays and merchandising of dabur products.
Sampling Activities: Dabur organizes different sampling actives at different retail outlets.
Gift with purchase: Dabur foods gives gift items with purchase like a glass, spoon etc.
Money Refunds: Customer can claim for refund of money if they face some problem
with the product.
Contest /demos: There are different contests where customers play games and win
contests.
Festival Sales: Dabur foods come out with some special offers during festival seasons
like buy one get one free.
Multi-packs: Dabur foods has some products in multiple packaging which are
comparatively priced lower to the products sold in a single pack.
Trade Fairs & exhibitions: Here dabur foods displays all range of its products, making
it easier for customers to know about product line and choose the best out of that.
Customer feedback: dabur foods consider its customer most important and in case of
any complaint by customer the foods department will leave all its important work and will contact the customer.
Contact points: Customer can contact dabur foods by writing the mail or letter on the
addresses given at the back of dabur products, or even they can call and visit the dabur web site.
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.
DABUR’S SOCIAL INITIATIVES
Sustainable Development Society (Sundesh)
Sundesh is a non – profit organization engaged in carrying out welfare activities with the aim of improving the quality of life of the people in rural areas. Mr. Pradip Burman is the Founder Chairman. Sundesh is majorly involved in Health Care, Education and other socio economic activities. Sundesh started with Health Care and today its activities have diversified into various other projects like education, veterinary services and income generation activities. These projects were implemented after the need assessment survey of the rural community. The enthusiastic volunteers support the society in implementing various projects in the rural areas through their consistent efforts. Sundesh is executing various integrated rural development projects in the villages of Ghaziabad and Gautam Budh Nagar Districts (Uttar Pradesh) in India.
SUNDESH is associated with the following activities
Education
Health Care
Self Help Groups (Micro Credit Society)
Income Generation
Veterinary Services
Dabur Nepal
Since its inception in 1992, Dabur Nepal has been an active member of the socio-economic development of Nepal. We have not only established some benchmark facilities in production and scientific research, but also set in place social programmes that help local communities. Through our initiatives, we continue to be a trusted friend of Nepal:
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Set up social welfare schemes to develop infrastructure facilities in health and education sectors
Promote cultural events to give a boost to Nepalese art
Sponsor and support sporting events to help build up Nepal's presence in the world of sports.
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
