A

Project Report
On

Market strategy of Dabur Vatika Hair Oil

TOWARDS PARTIAL FULFILLMENT

OF
MASTER OF BUSINESS ADMINISTRATION
(Affiliated To UPT University, Lucknow)
Academic Session : 2007-2009

Institute Of Technology and Science

Mohan Nagar

SUBMITTED TO : SUBMITTED BY:

DR. MANOJ K. DASH

ARUN KUMAR

~ 1~
 MBA-II Year
RollNo.: 0703870016

~ 2~
MARKETING MANAGEMENT
TERM PROJECT

Market Strategy
Of
Dabur Vatika Hair Oil

~ 3~
 Contents

Part 1

 ACKNOWLEDGEMENT
 EXECUTIVE SUMMARY
 IMPORTANCE OF STUDY
 OBJECTIVE OF STUDY
 INTRODUCTION OF FMCG
 BOARD OF DIRECTORS
 COMPANY’S OVERVIEW
 COMPANY’S HISTORY
 PRODUCT LINE

PART 2

 SWOT ANALYSIS OF DABUR

 OVERVIEW OF HAIR OIL SEGMENT & DABUR VATIKA
 STP ANALYSIS OF DABUR VATIKA
 MARKETING MIX OF DABUR VATIKA
 COMPETITOR ANALYSIS
 FUTURE FOR DABUR
 GROWTH STRATEGY
 RESEARCH METHODOLOGY
 QUESTIONNAIRE
 RECOMMENDATIONS
 CONCLUSIONS
 REFERENCES

~ 4~
 ACKNOWLEDGEMENT

The present work is an effort to throw some light on “Market Strategy of

Dabur Vatika Hair Oil”. The work would not have been possible to come to
the present shape without the able guidance, supervision and help to me by
number of people.

With deep sense of gratitude I acknowledged the encouragement and

guidance received by my organizational guide Mr. Sachin Dutt Sharma
(Area Sales Executive), Dabur India Ltd and my institute mentor Dr. Manoj
Kumar Dash.

I convey my heartful affection to all those people who helped and

supported me during the course, for completion of my summer training report.

(Arun Kumar)

~ 5~
 EXECUTIVE SUMMARY

This report aims at analyzing and reporting on the Market Strategy of Dabur
India Ltd (DIL) for the brands Dabur Vatika Hair Oil.
The Vatika brand was launched in 1995 with Vatika Hair Oil as its first product.
In the very first year of its launch it crossed Rs. 100 million in turnover. Over
the years, Vatika has come to be amongst the company’s highest selling
brands. Vatika is a comparatively young brand but is already acknowledged
for the qualitatively influential and pioneering role that it has played in the
evolution of the categories it has had a presence in.

The report also enlists various recommendations based on BCG Growth

Share Matrix analysis, Ansoff’s Product Matrix Expansion Grid, SWOT
Analysis etc. This analysis has been done on the basis of the information
gathered from the company website and other online resources and books
and articles.

~ 6~
 IMPORTANCE OF THE STUDY

Being student of MBA it is very essential for me to have a practical knowledge

in an organisation. Only to study business administration course knowledge
is not the solution of the problems, which arise in practical field. There is a
certain formula for any particular problem, but the aim of this study is to
develop the ability of decision making. A right decision at right time and right
place itself helps an organisation to run smoothly.

This study gives an idea of all marketing activities. So the way a problem is
solved right decision making and knowledge of different types of making
activities give much importance to the study. Only in two month training it was
not possible to understand it so deeply, but an overall idea could be
developed.

~ 7~
 Objective of study

1. To study the impact of Budget Policies on Improvement of sales of

Dabur Vatika.
2. To study the Consumer, Buying behavior.
3. To study the problems faced by Dabur.

~ 8~
 INTRODUCTION OF FAST MOVING CONSUMER
GOODS

What are FMCGs?

We regularly talk about things like butter, potato chips, toothpastes, razors,
household care products, packaged food and beverages, etc. But do we know
under which category these things come? They are called FMCGs. FMCG is
an acronym for Fast Moving Consumer Goods, which refer to things that we
buy from local supermarkets on daily basis, the things that have high turnover
and are relatively cheaper.

Fast Moving Consumer Goods (FMCG), are products that are sold quickly at
relatively low cost. Though the absolute profit made on FMCG products is
relatively small, they generally sell in large quantities, so the cumulative profit
on such products can be large. Examples of FMCG generally include a wide
range of frequently purchased consumer products such as toiletries, soap,
cosmetics, teeth cleaning products, shaving products and detergents, as well
as other non-durables such as glassware, light bulbs, batteries, paper
products and plastic goods. FMCG may also include pharmaceuticals,
consumer electronics, packaged food products and drinks, although these are
often categorized separately.
FMCG products contrast with durable goods or major appliances such as
kitchen appliances, which are generally replaced less than once a year. In
Britain, "white goods" in FMCG refers to large household electronic items
such as refrigerators. Smaller items such as TV sets and stereo systems are
sometimes termed "brown goods".[citation needed]
Some of the best known examples of Fast Moving Consumer Goods
companies include Clorox, Colgate-Palmolive, General Mills, H. J. Heinz,
Reckitt Benckiser, Sara Lee, Nestlé, Unilever, Procter & Gamble, Coca-
Cola, Carlsberg, Kimberly-Clark, Kraft, Pepsi, Warburtons, Wilkinson and
Mars.

FMCG SECTOR

Fast Moving Consumer Goods (FMCG) goods are popularly named as

consumer packaged goods. Items in this category include all consumables
(other than groceries/pulses) people buy at regular intervals. The most
common in the list are toilet soaps, detergents, shampoos, toothpaste,
shaving products, shoe polish, packaged foodstuff, household accessories
and extends to certain electronic goods. These items are meant for daily of
frequent consumption and have a high return.

~ 9~
A major portion of the monthly budget of each household is reserved for
FMCG products. The volume of money circulated in the economy against
FMCG products is very high, as the number of products the consumer use is
very high. Competition in the FMCG sector is very high resulting in high
pressure on margins.

FMCG companies maintain intense distribution network. Companies spend a

large portion of their budget on maintaining distribution networks. New
entrants who wish to bring their products in the national level need to invest
huge sums of money on promoting brands. Manufacturing can be outsourced.
A recent phenomenon in the sector was entry of multinationals and cheaper
imports. Also the market is more pressurized with presence of local players in
rural areas and state brands.

FMCG Products and Categories

Personal Care, Oral Care, Hair Care, Skin Care, Personal Wash (soaps).
Cosmetics and toiletries, deodorants, perfumes, feminine hygiene,
paper products.

Household care fabric wash including laundry soaps and synthetic

detergents; household cleaners, such as dish/utensil cleaners, floor
cleaners, toilet cleaners, air fresheners, insecticides and mosquito
repellents, metal polish and furniture polish;

FMCG in 2006

- The performance of the industry was inconsistent in terms of sales and

growth for over 4 years. The investors in the sector were not gainers at
par with other booming sectors. After two years of sinking performance
of FMCG sector, the year 2005 has witnessed the FMCGs demand
growing. Strong growth was seen across various segments in FY06.
With the rise in disposable income and the economy in good health,
the urban consumers continued with their shopping spree.

- Food and health beverages, branded flour, branded sugarcane,

bakery products such as bread, biscuits, etc., milk and dairy
products, beverages such as tea, coffee, juices, bottled water etc,
snack food, chocolates, etc.

- Frequently replaced electronic products, such as audio

equipments, digital cameras, Laptops, CTVs; other electronic
items such as Refrigerator, washing machines, etc. coming under
the category of White Goods in FMCG.

Sector Outlook

~ 10 ~
 FMCG is the fourth largest sector in the Indian Economy with a total
market size of Rs. 60,000 crores. FMCG sector generates 5% of total
factory employment in the country and is creating employment for three
million people, especially in small towns and rural India.

SWOT Analysis of FMCG Sector

Strengths:
1. Low operational costs.
2. Presence of established distribution networks in both urban and rural
areas.
3. Presence of well-known brands in FMCG sector.

Weaknesses:
1. Lower scope of investing in technology and achieving economies of
scale, especially in small sectors.
2. Low exports levels.
3. "Me-too" products, which illegally mimic the labels of the established
brands. These products narrow the scope of FMCG products in rural and
semi-urban market.

Opportunities:
1. Untapped rural market
2. Rising income levels, i.e. increase in purchasing power of consumers
3. Large domestic market- a population of over one billion.
4. Export potential
5. High consumer goods spending

Threats:
1. Removal of import restrictions resulting in replacing of domestic brands
2.Slowdown in rural demand
Tax and regulatory structure.

Scope Of The Sector

The Indian FMCG sector with a market size of US$13.1 billion is the fourth
largest sector in the economy. A well-established distribution network, intense

~ 11 ~
competition between the organized and unorganized segments characterize
the sector. FMCG Sector is expected to grow by over 60% by 2010. That will
translate into an annual growth of 10% over a 5-year period. It has been
estimated that FMCG sector will rise from around Rs 56,500 crores in 2005 to
Rs 92,100 crores in 2010. Hair care, household care, male grooming, female
hygiene, and the chocolates and confectionery categories are estimated to be
the fastest growing segments, says an HSBC report. Though the sector
witnessed a slower growth in 2002-2004, it has been able to make a fine
recovery since then.

For example, Hindustan Levers Limited (HLL) has shown a healthy growth in
the last quarter. An estimated double-digit growth over the next few years
shows that the good times are likely to continue.

Growth Prospects
With the presence of 12.2% of the world population in the villages of India, the
Indian rural FMCG market is something no one can overlook. Increased focus
on farm sector will boost rural incomes, hence providing better growth
prospects to the FMCG companies. Better infrastructure facilities will improve
their supply chain. FMCG sector is also likely to benefit from growing demand
in the market. Because of the low per capita consumption for almost all the
products in the country, FMCG companies have immense possibilities for
growth. And if the companies are able to change the mindset of the
consumers, i.e. if they are able to take the consumers to branded products
and offer new generation products, they would be able to generate higher
growth in the near future. It is expected that the rural income will rise in 2007,
boosting purchasing power in the countryside. However, the demand in urban
areas would be the key growth driver over the long term. Also, increase in the
urban population, along with increase in income levels and the availability of
new categories, would help the urban areas maintain their position in terms of
consumption. At present, urban India accounts for 66% of total FMCG
consumption, with rural India accounting for the remaining 34%. However,
rural India accounts for more than 40% consumption in major FMCG
categories such as personal care, fabric care, and hot beverages. In urban
areas, home and personal care category, including skin care, household care
and feminine hygiene, will keep growing at relatively attractive rates. Within
the foods segment, it is estimated that processed foods, bakery, and dairy are
long-term growth categories in both rural and urban areas.
Indian Competitiveness and Comparison with the World Markets

The following factors make India a competitive player in FMCG sector:

Availability of raw materials

Because of the diverse agro-climatic conditions in India, there is a large raw
material base suitable for food processing industries. India is the largest
producer of livestock, milk, sugarcane, coconut, spices and cashew and is the
second largest producer of rice, wheat and fruits &vegetables. India also
produces caustic soda and soda ash, which are required for the production of

~ 12 ~
soaps and detergents. The availability of these raw materials gives India the
location advantage.

Labour cost comparison

Low cost labour gives India a competitive advantage. India's labour cost is
amongst the lowest in the world, after China & Indonesia. Low labour costs
give the advantage of low cost of production. Many MNC's have established
their plants in India to outsource for domestic and export markets.

Presence across value chain

Indian companies have their presence across the value chain of FMCG
sector, right from the supply of raw materials to packaged goods in the food-
processing sector. This brings India a more cost competitive advantage. For
example, Amul supplies milk as well as dairy products like cheese, butter, etc.

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

Mr. V.C. Burman

Vice-Chairman

Dr. Anand Burman

~ 13 ~
Whole Time Directors

Mr. P.D. Narang

Mr. Sunil Duggal

Mr. Pradip Burman

Mr. Amit Burman

~ 14 ~
 COMPANY OVERVIEW

Over its 120 years of existence, the Dabur brand has stood for goodness
through a natural lifestyle. An umbrella name for a variety of products, ranging
from hair care to honey, Dabur has consistently ranked among India’s top
brands. Its brands are built on the foundation of trust that a Dabur offering will
never cause one harm.

The trust levels that this brand enjoys are phenomenally high. While Ries and
Trout may ask “What does Dabur stand for—shampoo or digestive tablets?”
The answer is fairly simple, it stands for India’s fourth largest fast moving
consumer goods company that both consumers and trade respect and trust
unequivocally, and which has an annual turnover of over Rs 15 billion.

The company has kept an eye on new generations of customers with a range
of products that cater to a modern lifestyle, while managing not to alienate
earlier generations of loyal customers.

Dabur is an investor friendly brand as its financial performance shows. There

is an abundance of information for its investors and prospective information
including a daily update on the share price (something that very few Indian
brands do). There’s a great sense of responsibility for investors’ funds on
view. This is a direct extension of Dabur’s philosophy of taking care of its
constituents and it adds to the sense of trust for the brand overall.

~ 15 ~
 COMPANY HISTORY

Dabur India Ltd. made its beginnings with a small pharmacy, but has
continued to learn and grow to a commanding status in the industry. The
Company has gone a long way in popularising and making easily available a
whole range of products based on the traditional science of Ayurveda. And it
has set very high standards in developing products and processes that meet
stringent quality norms. As it grows even further, Dabur will continue to mark
up on major milestones along the way, setting the road for others to follow.

1884 - Established by Dr. S K Burman at Kolkata

1896 - First production unit established at Garhia
1919 - First R&D unit established

Early 1900s - Production of Ayurvedic medicines

Dabur identifies nature-based Ayurvedic medicines as its area of specialisation. It is
the first Company to provide health care through scientifically tested and automated
production of formulations based on our traditional science.
1930 - Automation and upgradation of Ayurvedic products manufacturing initiated
1936 - Dabur (Dr. S K Burman) Pvt. Ltd. Incorporated

~ 16 ~
 1940 - Personal care through Ayurveda
Dabur introduces Indian consumers to personal care through Ayurveda, with the
launch of Dabur Amla Hair Oil. So popular is the product that it becomes the largest
selling hair oil brand in India.
1949 - Launched Dabur Chyawanprash in tin pack
Widening the popularity and usage of traditional Ayurvedic products continues. The
ancient restorative Chyawanprash is launched in packaged form, and becomes the
first branded Chyawanprash in India.
1957 - Computerisation of operations initiated
1970 - Entered Oral Care & Digestives segment
Addressing rural markets where homemade oral care is more popular than
multinational brands, Dabur introduces Lal Dant Manjan. With this a conveniently
packaged herbal toothpowder is made available at affordable costs to the masses.
1972 - Shifts base to Delhi from Calcutta
1978 - Launches Hajmola tablet
Dabur continues to make innovative products based on traditional formulations that
can provide holistic care in our daily life. An Ayurvedic medicine used as a digestive
aid is branded and launched as the popular Hajmola tablet.
1979 - Dabur Research Foundation set up
1979 - Commercial production starts at Sahibabad, the most modern herbal
medicines plant at that time
1984 - Dabur completes 100 years
1988 - Launches pharmaceutical medicines
1989 - Care with fun
The Ayurvedic digestive formulation is converted into a children's fun product with
the launch of Hajmola Candy. In an innovative move, a curative product is converted
to a confectionary item for wider usage.
1994 - Comes out with first public issue
1994 - Enters oncology segment
1994 - Leadership in health care
Dabur establishes its leadership in health care as one of only two companies
worldwide to launch the anti-cancer drug Intaxel (Paclitaxel). Dabur Research
Foundation develops an eco-friendly process to extract the drug from its plant
source
1996 - Enters foods business with the launch of Real Fruit Juice
1996 - Real blitzkrieg
Dabur captures the imagination of young Indian consumers with the launch of Real
Fruit Juices - a new concept in the Indian foods market. The first local brand of
100% pure natural fruit juices made to international standards, Real becomes the
fastest growing and largest selling brand in the country.
1998 - Burman family hands over management of the company to professionals

~ 17 ~
 2000 - The 1,000 crore mark
Dabur establishes its market leadership status by staging a turnover of Rs.1,000
crores. Across a span of over a 100 years, Dabur has grown from a small beginning
based on traditional health care. To a commanding position amongst an august
league of large corporate businesses.
2001 - Super specialty drugs
With the setting up of Dabur Oncology's sterile cytotoxic facility, the Company gains
entry into the highly specialised area of cancer therapy. The state-of-the-art plant
and laboratory in the UK have approval from the MCA of UK. They follow FDA
guidelines for production of drugs specifically for European and American markets.

2002 - Dabur record sales of Rs 1163.19 crore on a net profit of Rs 64.4

crore

2003 - Dabur demerges Pharmaceuticals business

Dabur India approved the demerger of its pharmaceuticals business from the FMCG
business into a separate company as part of plans to provider greater focus to both
the businesses. With this, Dabur India now largely comprises of the FMCG business
that include personal care products, healthcare products and Ayurvedic Specialities,
while the Pharmaceuticals business would include Allopathic, Oncology formulations
and Bulk Drugs. Dabur Oncology Plc, a subsidiary of Dabur India, would also be part
of the Pharmaceutical business.
Maintaining global standards
As a reflection of its constant efforts at achieving superior quality standards, Dabur
became the first Ayurvedic products company to get ISO 9002 certification.

Science for nature

Reinforcing its commitment to nature and its conservation, Dabur Nepal, a
subsidiary of Dabur India, has set up fully automated greenhouses in Nepal. This
scientific landmark helps to produce saplings of rare medicinal plants that are under
threat of extinction due to ecological degradation.
2005 - Dabur aquires Balsara

As part of its inorganic growth strategy, Dabur India acquires Balsara's Hygiene and
Home products businesses, a leading provider of Oral Care and Household Care
products in the Indian market, in a Rs 143-crore all-cash deal.
2005 - Dabur announces bonus after 12 years

Dabur India announced issue of 1:1 Bonus share to the shareholders of the
company, i.e. one share for every one share held. The Board also proposed an
increase in the authorized share capital of the company from existing Rs 50 crore to

~ 18 ~
Rs 125 crore.

2006 - Dabur crosses $2 bin market cap, adopts US GAAP.

Dabur India crosses the $2-billion mark in market capitalisation. The company also
adopted US GAAP in line with its commitment to follow global best practices and
adopt highest standards of transparency and governance.
2006 - Approves FCCB/GDR/ADR up to $200 million

Moving forward on the inorganic growth path, Dabur India decides to raise up to
$200 million from the international market through Bonds, FCCBs, GDR, ADR, QIPs
or any other securities.The capital raised will be used to fund Dabur's aggressive
growth ambitions and acquisition plans in India and abroad.
2007 - Celebrating 10 years of Real

Dabur Foods unveiled the new packaging and design for Real at the completion of
10 years of the brand. The new refined modern look depicts the natural goodness of
the juice from freshly plucked fruits.
2007 - Foray into organised retail

Dabur India announced its foray into the organised retail business through a wholly-
owned subsidiary, H&B Stores Ltd. Dabur will invest Rs 140 crores by 2010 to
establish its presence in the retail market in India with a chain of stores on the
Health & Beauty format.
2007 - Dabur Foods Merged With Dabur India

Dabur India decides to merge its wholly-owned subsidiary Dabur Foods Limited with
itself to extract synergies and unlock operational efficiencies. The integration will
also help Dabur sharpen focus on the high growth business of foods and beverages,
and enter newer product categories in this space.

PRODUCT LINE
Foods

~ 19 ~
Real
Real Active
Hommade
Lemoneez
Capsico

Health Care

Baby Care
Dabur Lal Tail
Dabur Baby Olive Oil
Dabur Janma Ghunti

Health Supplements
Dabur Chyawanprash
Dabur Glucose D

Digestives

~ 20 ~
Hajmola Yumstick
Hajmola Mast Masala
Anardana
Hajmola
Hajmola Candy
Hajmola Candy Fun2

Pudin Hara (Liquid and Pearls)

Pudin Hara G
Dabur Hingoli

Natural Cures

Nature Care
Sat Isabgol
Shilajit
Ring Ring
Itch Care
Backaid
Shankha Pushpi
Dabur Balm
Sarbyna Strong

~ 21 ~
Personal Care

Hair Care Oil

Amla Hair Oil
Amla Lite Hair Oil
Vatika Hair Oil
Anmol Sarson Amla

Hair Care Shampoo

Anmol Silky Black Shampoo

Vatika Henna Conditioning Shampoo
Vatika AntiDandruff Shampoo
Anmol Natural Shine Shampoo

Oral Care

Dabur Red Gel

Dabur Red Toothpaste
Babool Toothpaste

~ 22 ~
Dabur Lal Dant Manjan
Dabur Binaca Toothbrush

Skin Care

Gulabari
Vatika Fairness Face Pack

Ayurvedic Specialities

Ayurveda
Ayurveda Vikas

SWOT ANALYSIS OF DABUR

~ 23 ~
 STRENGTHS WEAKNESS
Strong presence in well defined Seasonal Demand( like
niches( like value added Hair Oil chyawanprash in winter and Vatika
and Ayurveda specialities). not in winter)
Core knowledge of Ayurveda as Low Penetration(Chyawanprash)
competitive advantage. High price(Vatika)
Strong Brand Image Limited differentiation (Vatika)
Product Development Strength Unbranded players account for the
Strong Distribution Network 2/3rd of the total market(Vatika)
Extensive Supply Chain
IT Initiatives
R & D – a key strength

OPPORTUNITIES THREATS
Untapped Market(Chyawanprash) Existing Competition( like Himani,
Market Development baidyanath and Zandu for Dabur
Export opportunities. Chyawanprash and Marico,Keo
Innovation Karpin, HLL and Bajaj for Vatika
Increasing income level of the Hair Oil)
middle class New Entrants
Creating additional consumption Threat from substitutes (like
pattern Bryllcream for Vatika hair oil)

Overview of the Hair Oil segment

In the last quarter of the previous century Indian women have imbibed global
mores, ethics, fashions and styles in a remarkable way. Yet the popular
iconography of Indian beauty still associates them with beautiful fair skin and

~ 24 ~
dark, long lustrous hair – a commonly accepted definition of beauty in Indian
society.
Across the country, mothers spend endless hours teaching their daughters
what their mothers had taught them about maintenance of their natural beauty
– taken primarily as caring for the skin and hair. In the hair care regime, of the
numerous prescriptions none is more universally accepted than the oiling of
hair for nourishment and use of home-made concoctions of henna and
shikakai paste for conditioning them.
It would come as a surprise to only a few that hair oils have a penetration of
almost 98% (Source: IRS). Of the branded market, hair oils form a major
chunk accounting for Rs. 13 billion with coconut hair oils as the prime
segment at Rs. 9.1 billion. (Source: ACNielsen ORG-MARG).

OVERVIEW OF VATIKA

~ 25 ~
The Vatika brand was launched in 1995 with Vatika Hair Oil as its first product.
In the very first year of its launch it crossed Rs. 100 million in turnover. Over
the years, Vatika has come to be amongst the company’s highest selling
brands.

It was joined in 1997 by Vatika Henna Cream Conditioning Shampoo and

later, in 2000, by Vatika Anti-Dandruff Shampoo. In 2007, brand sales crossed
Rs. 1,000 million. From the company’s perspective, Vatika is expected to
continue to drive its growth in the years to come. With its innovative offerings,
the brand aims to become a frontrunner in the market for hair care and skin
care products.

Vatika is a comparatively young brand but is already acknowledged for the

qualitatively influential and pioneering role that it has played in the evolution of
the categories it has had a presence in. Currently, the total annual sales of
Vatika products are over Rs. 1,000 million. Of this, Vatika Hair Oil enjoys a
6.4% market share in the coconut hair oil category (Source: ACNielsen ORG-
MARG).

Vatika has not just been successful in garnering a premium image but, today,
stands as the preferred and trusted brand of 11.1 million users (Source: IRS
Household Data).

STP ANALYSIS OF VATIKA HAIR OIL

~ 26 ~
 SEGMENTATION

Vatika Hair Oil was launched at an almost 100% premium to the market
leader. This meant that the segment of the market that dabur wanted to cater
to was the premium segment which valued nourishment of the hair above the
price and it tried to attend to that segment which was not price sensitive.

TARGETING

This was in line with its proposition and overall brand strategy of a premium
up-market product targeted for individual needs as opposed to the collectivist
culture of the category. It targeted the high income urban category of hair oil
users. Since the product was expensive it could mainly cater to the urban
market as opposed to the rural market where consumers are highly price
sensitive. Being positioned as having amla, henna and lemon extracts, the
product was targeted towards the young, contemporary, educated, multi-
faceted, achievement-driven and confident women who were positioned as
the Vatika Woman.

POSITIONING
‘Total hair Care’ brand

The product innovation was fed by the vital consumer insight that many
women in contemporary India are worried about hair problems caused by
urban pollution, frequent change of diet due to geographical mobility and other
factors. Beset by modern-day hair problems, they are far more inclined to rely
on home-grown remedies. By offering hair oil that combined the benefits of
natural products in a single pack, Vatika created a niche for itself as the ‘total
hair care’ brand.

“Natural” offering:

Vatika is a brand that espouses traditional wisdom about health in a modern

format. It believes that nature has perennial answers to day-to-day health
issues, particularly when it comes to hair care and skin care. In a world where
modern living causes untold stress the Vatika brand holds out the promise of
providing natural ingredients that rejuvenate and safeguard the human body
in an extraordinary way. This concept is put to work through contemporary,
modern products, offered by Vatika.

~ 27 ~
 The Vatika woman

The Vatika woman is young, contemporary, educated, multi-faceted,

achievement-driven and confident. It is in the Vatika brand that she sees a
true reflection of her own personal ideals.Through creation of the concept of
Vatika woman,it has tried to carve out a new positioning in the minds of the
new age woman.

~ 28 ~
 MARKETING MIX OF VATIKA HAIR OIL

Vatika Hair Oil has made a huge impact with its innovative product offering,
pricing strategy, easy availability and promotion campaigns. In the marketing
mix of Dabur, we shall be discussing the 4 Ps of marketing mix with respect to
Vatika Hair Oil. The mix shall be analyzed as followed:

Product
Price
Place
Promotion

Product Price Promotion Place

Product List Price Advertising Channel

Variety Discount & Promotion Location
Quality Financing Public Invento-
Design Schemes Relations ry
Features Credit Sponsorship
Brand Terms Internet
Names Marketing
Services

PRODUCT:

Brand Name: Vatika in Hindi means ‘garden’. The brand attempts to live up
to the promises – beauty and nature – that are associated with its very name.
Starting with these associations Vatika has assiduously built a brand that
delivers on all these values through its various product offerings, the mother
brand being Vatika Hair Oil.

Innovative product offering: Vatika Hair Oil is coconut hair oil with
special ingredients adding value to the product. While coconut oil has been
regularly used by Indian women as a basic hair nutrient, a combination of
herbs and natural products such as henna, amla and lemon have been
used for special hair needs.

~ 29 ~
Coconut hair oil provides nourishment to the hair, while henna along with
other herbs coat the hair and protect it from oxidation, thereby maintaining its
natural colour. Amla strengthens hair roots and helps maintain their natural
health and thickness. Lemon with its astringent action controls sebum flow
and helps in prevention of dandruff.
Apart from henna, amla and lemon, it also contains other natural ingredients
like brahmi,neem,bahera,kapurkachari,harar,dugdha and sugandhit dravyas.

Packaging: The qualities of Vatika products, ascribed to the brand by

hundreds of thousands of satisfied consumers, have been further underlined
by its attractive packaging. In a category dominated by blue packs as
analogous of pure coconut oils, Vatika broke the norm with its white and green
bottle with a mushroom cap.The green-and-white colours, used in its
packaging, reflect the brands’ natural ancestry and give it a premium look.
These also help Vatika stand out in the cluttered environment of Indian retail.
Available in:
Bottles 75 ml, 150 ml, 300 ml
Flip cans 150 ml, 300 ml
Flip cans were introduced for the winter season.

Quality: Vatika products contain natural ingredients that have been

blended together through scientific processes at Dabur’s in-house research
laboratories. Dabur Research Foundation has more than 100 scientists
working together to make superior quality products that match international
standards.

PRICE:

In the traditional coconut hair oil category, which presumably had price
sensitive consumers, Vatika Hair Oil with its value added proposition – henna,
amla and lemon in a pure coconut oil – broke this myth when it launched at
almost a 100% premium to the market leader; even with such a pricing
strategy it was able to garner a significant share from the leader in the very
first year of its launch.

~ 30 ~
 PRICE/QUALITY MATRIX
Price→

Quality High Middle Low

Luxury Ideal For Premiere

Segment Penetratio Offering
High n
VATIKA

Overpric Average Real Bargain

Middle ed

Make The Unhappy Cheap Goods

Sale and Customer
Low Run s

~ 31 ~
PLACE

Vatika products including Vatika Hair Oil are sold in 38 countries through more
than 15 lakh retail outlets and 5,000 distributors who service the entire country
through a wide marketing network.

Dabur’s distribution network extends beyond India in the following countries

as well:

Distribution Network

Central, North & South America

Australia
Asia
Middle East
North & South Africa
East & West Europe

~ 32 ~
 DISTRIBUTION
Supply chain: Dabur has steadily improved its procurement and distribution
systems to achieve a significant reduction in material costs. Dabur has an
extensive supply chain and distribution network that has grown and spans 29
factories, 47 stocking points, 4 zonal offices, a dozen manufacturing locations,
six mother-warehouses and over 50 Carrying and Forwarding Agents(CFAs)
that distribute more than 1,000 SKU’s to several thousand stockists and
dealers.
MIS: An in-house developed, easy-to-use, Intranet based data-warehouse
displays as-of-yesterday sales, stock, receivables, banking, and other MIS.
Over 5,000 ASP pages meet almost all reporting requirements and make this
a single source of MIS for all levels of decision makers.
VSATs :This Success paved the ground for the company's supply chain
initiative. Fifty-five Ku Band TDMA VSATs were used to link primary
distributors to the system. Factories were hooked up using PAMA (Permanent
Assigned Multiple Access) VSATs. At some locations VPNs had to be used
because it was not possible to set up a dish.The integrated primary and
secondary system has a number of unique features. The features like tight
integration of schemes, stockists credit limit control, automated banking of
cheques, and online cheque reconciliation have obvious advantages in the
primary distribution. These are basically extensions to the MFG/PRO ERP
system and not core customizations. The integrated system allows each Area
Manager to plan for the month's sales forecasts, stockists performance, and
sales officers' performance.The integration allows better control on pipelines
in primaries and secondaries, brings down inventories, and offers better
control on production and sales against a confirmed forecast. The idea is to
increasingly shift focus from primaries to secondaries. Schemes based on
secondary volumes will help control secondary pipelines and sales. Primary
sales will therefore come from a resultant 'pull' from secondary
replenishments. Further, sales order servicing can be improved by taking
orders through the Internet, and by setting stocking norms and replenishing
stocks to improve ROI of stock holders.

PROMOTION:
~ 33 ~
Vatika – the key focus brand of the company – has always been well
supported. The company realised early that, from the perspective of brand
building, it was vital to invest in this brand.

Vatika Hair Oil’s first promotion: It focussed on the key benefit –

beautiful hair without hair problems – that came about as a result of the
extra nourishment through the value addition of henna, amla and lemon-
derived additives.

Creating conceptual awareness: In the initial phase of the

communication, the marketing objective was to create conceptual awareness
about the new product – the goodness of coconut oil enriched with natural
herbs. Vatika was firmly established as the leader in the new category of
value-added hair oils and its promotion campaign was so successful that the
product segment itself came to be identified with Vatika.
In 1997, the company created a new promotion campaign which reinforced
the obvious fact that most coconut oil brands were not equipped to combat
the effects of pollution, hard water and chemicals – the major causes of hair
ailments and hair deterioration.

ADVERTISING

“Advertising is some form of paid-for method of communicating with the

target audience to inform, educate, reinforce or persuade, leading to mutually
satisfactory exchange”
Nothing can happen without establishing the brand’s heritage emphasizing
technological prowess, explaining benefits and building bonds with
prospective buyers. Ads are necessary because the images are still
mouldable and fluid and the consumer’s sophistication level is low.
Vatika Hair Oil uses a number of advertising media like television, print,
internet, outdoor media which includes hoardings.

Events: In a series of other promotional activities, Vatika has been

associated with shows and sponsored events such as the Vatika Super
Model India 2001 and Vatika Zee Sangeet Awards. It has also had a strong
association, since its inception, with Mover’s and Shakers’ – the popular TV
show.

~ 34 ~
Celebrity Endorsements: The idea of using an extraordinary hair oil
that offered extra nourishment was communicated through campaigns
featuring icons such as Mandira Bedi, Shefali Chhaya and Sudha
Chandran– all modern, young women perceived to have that extra edge in
their personality.A number of commercials over the years have featured
personalities like Aditi Govitrikar, Preeti Jhangiani and Shweta
Jaishankar.To infuse the values of youthfulness and natural beauty, Rani
Mukherjee is the current brand ambassador.

~ 35 ~
 COMPETITOR ANALYSIS

The key competitor’s of Dabur in the Hair Oil segment are Keo Karpin,
Emami, Bajaj, Marico, HLL which together with Dabur have about 64% of
India's domestic market.
Dabur is one of India's largest player in the hair oil segment and the fourth
largest producer of FMCG. It was established in 1884, and had grown to a
business level in 2003 of about 650 million dollars per year. Dabur Hair Oils
have a market share of 19%.
We have tried to analyse the competition for Dabur in the Hair Care segment
as follows:

Keo Karpin, a fifty-year old brand, is a pioneer in the light hair oil category.
The pleasantly perfumed hair oil has its main market in the Hindi belt and also
has significant presence in eastern and western India. Its share is 6% of the
total hair oil market.
Emami has existence in hair oil market through Himani Navratan oil and
Himani Oil. Emami has taken Madhuri Dixit as brand ambassador for emami
oil and Amitabh Bachchan for Himami Navratan Oil. Overall it has a share of
4% in hair oil market.

Bajaj has two flagship oil brands - Bajaj Brahmi Amla and Bajaj Almond Drops
— currently have a value share of 19 per cent and 12 per cent in their
respective oil categories as per ORG-Marg. Besides, the company has also
decided to enhance its retail presence by nearly 20 per cent from the existing
5 lakh retail outlets in an attempt to reach the rural parts. Overall it has a
market share of 4% in hair oil market.

Marico’s Parachute is premium edible grade oil, a market leader in its

category. Synonymous with pure coconut oil in the market, Parachute is

~ 36 ~
positioned on the platform of purity. In fact over time it has become the gold
standard for purity. Parachute's primary target has been women of all ages.

The brand has a huge loyalty, not only in the urban sections of India but also
in the rural sector. It has a market share of 28%.

HLL has two products, Clinic Plus Hair Oil and All Clear Clinic Hair Oil. Overall
it has a 3% share in hair oil market.
ANSOFF’S
PRODUCT MARKET EXPANSION GRID

MARKET PENETRATION: The new campaigns, featuring Amitabh Bachchan

and, for the first time, Vivek Oberoi, makes an aggressive attempt to establish
the relevance of Chyawanprash in an increasingly tough and demanding
lifestyle, for the entire family. As a market leader, Dabur’s focus has been to
increase the relevance of this time-tested and proven product in the family -
both for users and non users - and increase penetration. In their new
campaign they have tried to establish the fact that Chyawanprash, with its
‘well - being’ properties, gives an edge to the users and dispel the myth that it
should be consumed in illness or is meant only for Children or the aged.

MARKET DEVELOPMENT: Dabur has identified exports as a major thrust

area for the future. An international business division has been set up within
the company to promote exports and it expect this business to grow steadily
in the coming years. The company plans to focus on Russia and CIS
countries along with Afghanistan, West Indies and the Asia Pacific region. It
has also entered the North American markets by appointing distributors and
initiating marketing of products to the ethnic Indian segment. The company
has already been exporting hair oils, shampoos and Hajmola candies to
Afghanistan. In Bangladesh, Dabur is entering into a joint venture with a local
partner to manufacture and market its products. Dabur will hold a majority
stake in this joint venture.

~ 37 ~
PRODUCT DEVELOPMENT: Dabur India Ltd (DIL),buoyed by a bottom-line
growth of 84 per cent in the first quarter this fiscal, would be investing
significantly in the launch of several new products including Dabur Herbal
Toothpaste and Vatika Henna Conditioning hair packs over the coming
months.

The Vice-President-Sales, Mr S. Raghunandan, said, "The FMCG industry

cannot be defined only by the performance of large players. Smaller
companies are now dictating terms and defining the market. DIL will launch
new products backed by adequate research."

Diversification: Diversification across product segments and markets is one

of the key factors in favour of Dabur India. In 2001-02, Dabur India had three
major revenue contributors — FMCG products, pharmaceuticals and
ayurvedic specialties, accounting for 76 per cent, 14 per cent and 7 per cent
respectively, of its revenues. Dabur's FMCG product basket includes such
strong brands as Dabur Chyawanprash, Vatika hair products, Hajmola
digestive candy, Pudin Hara, Dabur Lal Dant Manjan and Dabur Lal Tail
massage oil. In pharmaceuticals, Dabur India markets branded as well as bulk
formulations, both in the domestic and export markets; oncologicals is a key
focus area. Dabur's anticancer molecule DRF 7295 is currently in Phase I
clinical trials on humans.

In a bid to diversify its product portfolio, Dabur India Ltd (DIL) has entered the
toilet soap market besides expanding its over-the-counter (OTC) medicine
range with 10 new additions over the next few months. The company has
begun test marketing toilet soaps under the brand name Vatika in West
Bengal. There is a single variant, containing saffron and honey, right now and
Dabur is positioning it on the herbal platform. Manufacturing of the soaps
category is being outsourced at present.

Besides diversifying its product portfolio under the Consumer Care Division
(CCD) with a foray into soaps, DIL has also decided to enhance focus on the
Consumer Healthcare Division (CHD) this fiscal. The newly created CHD
division within DIL deals in prescription-based Ayurvedic medicines and over-
the-counter (OTC) products. Traditionally a business with low growth
prospects, CHD closed 2004-05 at Rs 107.8 crore.

Some of the existing OTC products of DIL include cough and cold formulation
Honitus, isabgol called Naturecure, and memory enhancer Shankhpushpi .
The company plans to launch other products under its own brand name in
Russia and has already launched Dabur Boro Glow.

~ 38 ~
DABUR

In the past, the sheer diversity of Dabur's product portfolio has made an
evaluation of the company's prospects quite difficult.

Dabur's FMCG business contributes over 70 per cent of Dabur India's current
revenues. Within the FMCG business, Dabur India focusses on three key
product groups — family products, healthcare and FMCG exports. The family
products portfolio boasts of quite a few market leading brands — Dabur Amla
and Vatika hair oils, Vatika shampoo, Dabur Honey, and Dabur Lal Dant
Manjan.

Dabur India also has well-recognised brand names and an established

distribution set-up in the healthcare business with brands such as Dabur
Chyawanprash, Hajmola, Pudin Hara and Dabur Lal Tail. Given Dabur's
acknowledged strengths in ayurvedic healthcare, the scope for expansion in
each of these product baskets is considerable.

Though in the recent years, the growth from Dabur's FMCG portfolio has been
sedate, due to sluggish rural demand and intense competition from a host of
regional brands and counterfeit products. However Dabur's operating profit
margins have been more or less constant over this period.

However, the FMCG business is Dabur's cash cow contributing over 70 per
cent of Dabur India's current revenues. The business has consistently
generated high cash flows and called for minimal incremental investments.
The overall growth in hair oil industry has been 7% whereas growth in
branded coconut oil has been 10%.Vatika hair oil has a market share of 19%
and Dabur Chyawanprash has a 61% market share and is the market leader.
Both of these are therefore Dabur’s cash cow.

THE NEW DABUR ENTITY

The New Dabur Identity modernizes the 100-year old equity of the Dabur
brand by subtly transforming the tree. While it retains the essence of the
banyan tree, it now projects a contemporary image, in consonance with
today's lifestyle.

The tree, a symbol of nature, is indelibly regarded as a provider of shelter,

food and protection. On a metaphysical plane, the tree is regarded as sacred,
trustworthy and a symbol of fertility. The new Dabur identity retains these
enduring and valuable attributes, while it adds a fresh, healthy and holistic
dimension to the tree.

The new identity appropriates nature as the wellspring for Dabur. It conveys
Dabur's heritage, commitment and stability through the form and colours of

~ 39 ~
the tree; its branches and leaves. It also conveys that the brand stands for
wellness across age groups.Taken as a whole, the tree appears well rooted,
implying stability; and its abundant canopy implies that it can provide amply
for those who seek its produce and shade. Further, the entire image, being
well-proportioned, evokes a harmonious, well-balanced, wholesome and
holistic brand.

In India, the tree is a symbol of life. It is a giver of fuel, food and protection. It
is a heaven for creatures it generously harbours in its foliage, as well as in the
shade of its canopy. The tree is held auspicious as it spreads through the
three spheres with its roots meshing through the earth, its trunk rising through
the terrestrial world and its branches reaching into the heavens. This
symbolism also occurs in cultures across the world.

Keeping these vital associations in mind, the tree in the new Dabur identity
has been carefully created to communicate Dabur's invaluable 100-year old
legacy as well as its future aspirations. It now takes on a younger avatar, in its
form and colours, and strikes a rapport with the consumer as a proactive
brand with a commitment to wellness and to nurturing an active lifestyle
across age groups.

Thus, through its form and colours, the new logo identity combines freshness
and stability. It expresses a brand that is positive, proactive and progressive.
The burst of leaves and their colours symbolize growth, rejuvenation and
inner strength. The form and colour of the trunk convey growth, youthfulness
and stability. Thus, the logo identity lock up presents Dabur as a stable yet
evolving, contemporary, vibrant and active brand cherishing nature as the
source of all its endeavours along with an abiding commitment to the wellness
of consumers across age groups.

~ 40 ~
 FUTURE FOR DABUR

Tapping the world markets: Dabur India, under its new brand architecture,
has five power brands under its portfolio with distinct offerings — Vatika, a
herbal beauty brand with products like Vatika Shampoo, Hair oil and Fairness
Face pack; Dabur, the natural healthcare brand with products like
Chyawanprash and Pudin Hara; Hajmola, the tasty digestive brand with
Hajmola candy, Fun2 and Anardana Churna; Real which offers fruit beverages
and has products like Real Fruit juices, Lemoneez; and the recently launched
Anmol which is a cross category value-for-money brand. Dabur has decided
to take two of its five power brands — Dabur and Vatika — global through its
Dubai-based arm Dabur India.

And the Big B and Rani Mukherjee will help the company get a toehold in the
world’s herbal hair oil, shampoos and hair creams market. The Rs 1,232-crore
FMCG major has also decided to give a new impetus to its international food
supplement brand, Nature4u, by now launching it in the burgeoning Gulf
market. It is currently being sold only in UK and EU. “We have drawn an
aggressive plan to launch Dabur and Vatika globally, starting from the Middle
East , GCC and SAARC countries. We expect our market share to double
within two years in the 10 countries we will focus on initially,’’ said Mr Arvind
Kumar, CEO, Dabur International. The 10 top-of-mind markets for Dabur right
now are UAE, Saudi Arabia , Kuwait , Bahrain , Oman, Bangladesh, Pakistan,
Egypt and Nigeria.

To develop Dabur International as its major overseas hub to service all

markets except Russia , the company is setting up a new plant which is
expected to be ready in a year. Dabur International already has a plant in
Jabel Ali to both package products sourced from India and produce some
local variants. Dabur India has been selling its product in Dubai and GCC
countries since 1992 through a franchise — Redrock Limited. The company
had acquired this franchise last year at investments of about USD five million.
Growing market share: While there is no doubt that Dabur now has a
presence in several product categories ranging from hair care to oral care to
home care to health supplements to juices and even soaps, it is also true that
in some of these segments its market share is very low and trails the market
leader by a huge margin. For instance, Dabur only has a 6% market share in
shampoos against HLL’s 53%, and a 12% share in the oral care segment
against Colgate’s 46%.
Company officials believe that low market share means that there are
substantial growth opportunities even if these categories do not grow. “Our
market shares are low in some segments. This gives us opportunity to
penetrate these categories,’’ says Mr Narang.

~ 41 ~
Drivers of growth: For the future, Dabur has identified foods, home care
products, skin care and OTC health care products as its growth engines. The
company plans to ramp up its home care business and in the food category it
is looking at expanding its Hommade range of cooking pastes and purees. In
the skin care segment, the company launched the Dabur Anmol cold cream
last year and its Vatika honey and saffron soap is currently under test launch.

Expansion in south India: Dabur is looking at expanding its business in south

India, which currently accounts for around 15% of its total sales.

GROWTH STRATEGY

~ 42 ~
 RESEARCH METHODOLOGY

As the purpose of the project report is to analyse the consumable products

successfully launched in the last three years.
The data was collected both with the help of primary as well as secondary
sources.

For primary data, I proceeded with the drafting of the questionnaire was
structured as undisguised, & Personal -interview retailers. Distributors &
wholesalers and it was handed personally by me to the respondents to be
analysed.

The questionnaire method was used-

a) To get first and relevant and unbiased information
b) Questionnaire provides versatility and solutions can be obtained by just
asking the questions.
c) Questioning is usually faster and cheaper.
d) Moreover, there is more control over data gathering activities.

Secondary data was also collected personally by me, which the company has
furnished for the general public. The secondary data was gathered with the
help of various magazines, newspapers, journals, brochures and also through
the internet. For secondary sources no field work was employed.
In order to amplify the empirical findings from primary and secondary sources,
a survey was conducted both of consumers and retailers Distributor &
Wholesalers in order to gauge the market opinion.

The questionnaire was of multiple choice and the pattern of questions was as
simple as possible. With every question, multiple choices were given and
respondents were asked to select one of them. The questionnaire technique
was structured and not disguised as the questions followed one pattern and
reason behind the questionnaire was stated properly. All the questions were
directly related to the subject.

For Vatika hair oil.

1.Sample size for retailers were 150 in number and the universe comprised of
all the retailers within the geographical region of Ghaziabad.
No other field work was employed to gather the information. The
questionnaire were distributed to the respondents and the data was collected
through primary and secondary sources.

~ 43 ~
The statistical technique such a Pi-chart and percentages were used in
analyzing and interpreting the data.

RETAILER QUESTIONNAIRE-DABUR VATIKA HAIR OIL

Dear Respondent,

Thanks for sparing few minutes to fill this questionnaire, which will help us to
study the consumer perception for the Hair Oil category that we have chosen
to study.
Any information provided by you will purely and strictly be used for Academic
Purpose only.

Q. 1: Which brands of Hair Oil do you stock?

[A]Marico
[B]HLL
[C]Keo Karpin
[D]Dabur Vatika

Q.2: Out of these which are the most preferred?

[A]Marico
[B]HLL
[C]Keo Karpin
[D]Dabur Vatika

Q.3. According to you what are the reasons for customers’ preferences?
[A]Brand loyalty
[B]Price
[C]Availability
[D]No reason

Q.4: What is the profile of your typical consumer?

[A]High income
[B]Middle income
[C]Low income

Q.5: What schemes are you offered by the companies?

[A]Price discounts
[B]Buy one get one free
[C]Others

Q.6: What schemes does a consumer prefer most?

[A]Price discounts
[B]Buy one get one free
[C]Others

~ 44 ~
Q.7: According to you, does in-store advertising have an affect on the
consumers’ preference?
[A]Yes
[B]No

Q.8: Does a change in price affect their preferences?

[A]Yes
[B]No

Personal Information :-

Location of store:

~ 45 ~
RETAIL SURVEY RESULTS

DABUR VATIKA

1. Which brands of Hair Oil do you stock?

80
70
60
50
40
PERCENTAGE
30
20
10
0
marico hll karrpikeo karpin vatika

2.Out of these which are the most preferred?

50

40

30

20 PERCENTAGE

10

0
marico hll karrpikeo karpin vatika

3. According to you what are the reasons for customers’ preferences?

~ 46 ~
50

40

30
PERCENTAGE
20

10

0
brand loyalty price availability no reason

4. What is the profile of your typical consumer?

50

40

30
PERCENTAGE
20

10

0
high income middle income low income

5. What schemes are you offered by the companies?

40
35
30
25
20
PERCENTAGE
15
10
5
0
price discount buy one get one others

6. What schemes does a consumer prefer most?

~ 47 ~
 60

50
40
30
PERCENTAGE
20
10
0
price discount buy one get one others

7. According to you, does in-store advertising have an affect on the

consumers’ preference?

60
50
40
30 PERCENTAGE
20
10
0
yes no

8.Does a change in price affect their preferences

~ 48 ~
 60
50
40
30 PERCENTAGE
20
10
0
yes no

Recommendations

1. Focus on growing core brands across categories.

2. Reaching out to new geographies, within and outside India.
3. Improve operational efficiencies by leveraging technology.
4. Be the preferred company to meet the health and personal grooming needs
of our target consumers with safe, efficacious, natural solutions by
synthesizing the deep knowledge of ayurveda and herbs with modern
science.
5. Provide consumers with innovative products within easy reach.
6. Vatika hair care centre: On the lines of Marico’s Kaya Skin Clinic, Dabur
could start a venture called Vatika hair care centre which would provide total
hair care solutions. It could have hair care experts to solve hair problems.
Services could include dandruff treatment, straightening of hair, treatment for
split ends, etc.

7. More initiatives like “ Dabur ki Deewar” to increase brand visibility. It is an

initiative to occupy shelf space.

~ 49 ~
 CONCLUSIONS

The Vatika Hair Oil Industry is yet to capture the Hair Oil market in full swing.
Packed Vatika are yet to establish their supplement use in the average
household here in lies the great opportunities. Within the market, it is safe to
conclude that dabur has hit off ratherwell with the masses. This could be well
attributed to dabur successful ATA (Availability, Taste and Affordability)
marketing module, the attributes most rated by the consumers. Lack of
publicity has hampered the growth progress of the brand so aggressive
advertising is needed to promote vatika hair oil brand .The brands such as
that of Vatika by Keo karpin,

Vatika hair oil has no major competition except an Australian Product

Tobasco. As a new product so people are not able to digest it yet Dabur is
getting 8 crores from Vatika hair oil in which accounts for 4 crores,
Lemoneez 1 Crore & others 3 Crores .

~ 50 ~
As the strategies of the companies keeps on changing, be it in Hair Oil
industry, a company has to create perceptions and cover them into realities.
It is an expensive proposition requiring huge expenditure on advertising,
sponsorships and media. Thus, the ideal company will be the one which
combines the high end technology with consumer insight.

As vatika hair oil is a new product introduced by Dabur and as Dabur is

getting excise benefit from the Government so Dabur should pass slight Price
benefit to the target market so that target market should use the vatika hair oil
and adopt it in making daily food thereby increasing the market share of vatika
hair oil.

~ 51 ~
 REFERENCES

Books:
Marketing Management: Twelfth Edition – Philip Kotler & Kevin Lane Keller

Websites:
www.google.com
www.dabur.com
www.tutor2u.net
www.brandchannel.com
www.blonnet.com
www.superbrandsindia.com

~ 52 ~