dabur vatika

.Soumya Ranjan Sahoo. . Asian School of Business Management . (ASBM) .Bhubaneswar.Sub-“The Availability and visibility analysis of Shampoo market in Bhubaneswar with special reference to Dabur Vatika Shampoo.”

Table of Contents

Acknowledgement Executive Summary Introduction

- FMCG Industry - Hair care Shampoo Industry In India

Company Profile of Dabur Objectives of Study Scope and Limitations Research Methodology Data Analysis and Interpretation Findings Suggestions Conclusion Bibliography Annexure-Questionnaire

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INTRODUCTION

FMCG INDUSTY

FMCG refers to consumer non-durable goods required for daily or frequent use. Typically, a consumer buys these goods at least once a month. FMCG industry, alternatively called as CPG (Consumer packaged goods) industry primarily deals with the production, distribution and marketing of consumer packaged goods. The Fast Moving Consumer Goods (FMCG) is those consumables which are normally consumed by the consumers at a regular interval. Some of the prime activities of FMCG industry are selling, marketing, financing, purchasing, etc. The industry also engaged in operations, supply chain, production and general management.

Typical Characteristics of FMCG products

• Individual products are of small value. But, all FMCG products put together account for a significant part of the consumer’s budget.

• The consumer keeps limited inventory of these products and prefers to purchase them frequently, as and when required.

• Many of these products are perishable.

• The consumer spends little time on the purchase decision. Rarely do he / she look for technical specifications (in contrast to industrial goods).

• Brand loyalties or recommendations of reliable retailer / dealer drive purchase decision.

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• Trial of a new product i.e. brand switching is often induced by heavy advertisement, recommendations of the retailer or neighbors / friends.

• These products cater to necessities, comforts as well as luxuries.

• They meet the demands of the entire cross section of population.

• Price and income elasticity of demand varies across products and consumers.

The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. It has a strong MNC presence and is characterized by a well established distribution network, intense competition between the organized and unorganized segments and low operational cost. Availability of key raw materials, cheaper labor costs and presence across the entire value chain gives India a competitive advantage.

The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer 'upgrading' in the matured product categories.

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

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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.

FMCG Category and productsHousehold Care:

- Fabric wash (laundry soaps and synthetic detergents)- Household cleaners (dish/utensil, cleaners, floor

cleaners, toilet cleaners, air fresheners, insecticides and mosquito repellents, metal polish and furniture polish)

Food and Health beverages: - Soft drinks - Staples/cereals- Beverages bakery products (biscuits, bread, cakes)- Snack Food- Chocolates, ice cream, tea, coffee- Processed fruits, vegetables; dairy products- Bottled water- Branded flour, branded rice, branded sugar, juices etc.

Personal Care: - Oral care- Hair care- Skin care- Personal wash (soaps)- Cosmetics and toiletries- Deodorants, perfumes, feminine hygiene, paper

Current FMCG Scenario

Key Drivers Concerns

Rural penetration Price cuts/Deflation

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Urban demographics story Slow down in volume growthsLower input costs Consumer DowntradingInnovation Unraveling of Modern Trade

FOOD PRODUCTS43%

PERSONAL CARE22%

FABRIC CARE12%

HAIR CARE8%

BABYCARE2%

OTC PRODUCTS4%

HOUSEHOLD4%

OTHERS5%

Categorywise share of FMCG sector

HAIR CARE SHAMPOO INDUSTRY

The hair care market in India is valued at $200 million. It contributes 8% in the total Fmcg sector and has registered a growth of 3.8% over the previous year. The hair care market can be segmented into hair oils, shampoos, hair colorants & conditioners, and hair gels.

The Size of shampoo market - 930 Cr with urban areas accounting for 80% of shampoo sold and rural areas accounting for 20% of shampoo sold in country. The market is expected to increase due to

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increased marketing by players, lower duties, and availability of shampoos in affordable sachets. Sachet makes up to 70% and anti-dandruff shampoo up to 20%of the total shampoo sale. This is primarily a middle class product because more than 50% of the population uses toilet soaps to wash hair. The penetration level is only 30% in metros. The major players are HUL and Procter & Gamble.

The Indian shampoo market is divided in two parts

Cosmetic (health, shine, strength)

Anti-dandruff

Herbal

Brand loyalties in shampoo are not very strong. Consumers frequently look for a change, particularly in fragrance. Major expectations from the product are improvement in texture and manageability, giving softness and bounce to hair, curing and avoiding damage to the hair. Southern market is predominantly a sachet market, accounting for 70 % of sachet volumes. In Contrast, shampoo bottles are more popular in the Northern markets. About 50 % of the shampoo bottles are sold in the Northern region alone. The shampoo industry has lot of scope to be penetrated with all India penetration level at 51% with urban penetration at 62% and rural penetration at 46% till now.

Evolution of Shampoo in India

HLL undisputed leader from the early 90’s Sunsilk launched in 1964 ( General Shampoo platform )

Clinic Plus launched in 1971 ( Family, health shampoo platform )

Clinic All Clear launched in 1987 ( Therapeutic AD Shampoo ) Sunsilk re-launched in 1987 - Shampoo + Conditioner ( Beauty

platform ) with Sachet SKU HLL Goes rural with Sachet Clinic Active launched in 1991 ( with Pro Vitamin B - health

platform )

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Sunsilk re-positioned and re-launched in 1994 (Nutracare) - Pink for dry hair, yellow for normal hair, green for oily hair and black for long hair.

P & G enters India in Nov 1995, with the world’s largest selling brand - Pantene

P & G launched its internationally acclaimed A & D shampoo H & S in 1997 with Zinc Pyrithine (ZPT) - a unique anti-microbial agent. There were 2 variants - regular and menthol.

Dabur entered the shampoo market in 2000 with its premium brand, the first natural antidandruff shampoo of India, Dabur Vatika Antidandruff Shampoo.

Hindustan Uni-lever45%

P&G24%

Cavin Care11%

Others 8%

Dabur6%

Loreal3%

ITC2%

Shampoo Industry in India

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COMPANY PROFILE

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Dabur India limited is the fourth largest FMCG Company and one of India's leading Companies. It has a turnover of USD 2479 million with the largest herbal & natural portfolio in India. Building on a legacy of quality and experience for over 125 years, Dabur is today India's most trusted name and the world's largest Ayurvedic and Natural Health Care Company. Dabur India's FMCG portfolio today includes four flagship brands with distinct brand identities -- Dabur as the master brand for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, and Real for fruit-based beverages. It has over 350 plus products with a retail reach of 2,500,500 through 4000 distributors in India. The evolution of Dabur is quite interesting and its root takes us back to the 19th century where it all started in Bengal by a visionary by name Dr. S.K Burman, a physician by profession. His mission was to provide effective and affordable cure for ordinary people in far-flung villages. With missionary zeal and fervor, Dr. Burman undertook the task of preparing natural cures for the killer diseases of those days, like cholera, malaria and plague. Soon the news of his medicines travelled, and he came to be known as the trusted 'Daktar' or Doctor who came up with effective cures. And that is how his venture Dabur got its name - derived from the Devanagri rendition of Daktar Burman. The name is formed by joining the first half of Daktar and Burman i.e DABUR.

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Founding Thoughts

"What is that life worth which cannot bring comfort to others"

The Doorstep Doctor

The story of Dabur began with a small, but visionary endeavour by Dr. S. K. Burman, a physician tucked away in Bengal. His mission was to provide effective and affordable cure for ordinary people in far-flung villages. With missionary zeal and fervour, Dr. Burman undertook the task of preparing natural cures for the killer diseases of those days, like

cholera, malaria and plague.

Soon the news of his medicines traveled, and he came to be known as the trusted 'Daktar' or Doctor who came up with effective cures. And that is how his venture Dabur got its name - derived from the Devanagri rendition of Daktar Burman. Dr. Burman set up Dabur in 1884 to produce and dispense Ayurvedic medicines. 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.

Vision

“Dedicated to health and well being of every household”

GROWTH STRATEGY

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Company History

1884 Birth of Dabur

1896 Setting up a manufacturing plant

Early 1900s

Ayurvedic medicines

1919 Establishment of research laboratories

1920 Expands further

1936 Dabur India (Dr. S.K. Burman) Pvt. Ltd.

1972 Shift to Delhi

1979 Sahibabad factory / Dabur Research Foundation

1986 Public Limited Company

1992 Joint venture with Agrolimen of Spain

1993 Cancer treatment

1994 Public issues

1995 Joint Ventures

1996 3 separate divisions

1997 Foods Division / Project STARS

1998 Professionals to manage the Company

2000 Turnover of Rs.1,000 crores

2003 Dabur demerges Pharma Business

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EXPANSION

AQUISITION INNOVATION

2005 Dabur acquires Balsara

2005 Dabur announces Bonus after 12 years

2006 Dabur crosses $2 Bin market Cap, adopts US GAAP

2006 Approves FCCB/GDR/ADR up to $200 million

2007 Celebrating 10 years of Real

2007 Foray into organised retail

2007 Dabur Foods Merged With Dabur India

CORE VALUES

Ownership: This is our company. We accept personal responsibility, and accountability to meet business needs.

Passion for Winning: We all are leaders in our area of responsibility, with a deep commitment to deliver results. We are determined to be the best at doing what matters most.

People Development: People are our most important asset. We add value through result driven training, and we encourage & reward excellence.

Consumer Focus: We have superior understanding of consumer needs and develop products to fulfill them better.

Team Work: We work together on the principle of mutual trust & transparency in a boundary-less organization. We are intellectually honest in advocating proposals, including recognizing risks.

Innovation: Continuous innovation in products & processes is the basis of our success.

Integrity: We are committed to the achievement of business success with integrity. We are honest with consumers, with business partners and with each other.

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STRATEGIC INTENT

Focus on growing our 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 our target consumers with safe, efficacious, natural solutions by synthesizing our deep knowledge of Ayurveda and herbs with modern science

Provide our 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 our peer group, to our shareholders

Business Structure

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Dabur India LimitedConsumer Care

Division(72.8%)

ConsumerHealthDivision

(7.3%)

International Division(18.5%)

CONSUMER HEALTH DIVISION

Consumer Health Division dealing with classical Ayurvedic medicines

It has more than 250 products sold through prescriptions as well as over the counter products. Major categories in traditional formulations include:-AsavArishtas-RasRasayanas-Churnas- Medicated Oils

ProprietaryAyurvedic medicines developed by Dabur include:-NatureCareIsabgol-Madhuvaani- Trifgol

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Division also works for promotion of Ayurveda through organised community of traditional practitioners and developing fresh batches of students

JanmaGhunti, Hingoli, Sat Isabgol & Gripe Water transferred to CHD from CCD for greater focus.

Key initiatives: New Honitus variants- mulethi

& mint Dabur Activ Antacid Launched Campaigns to promote ethicals

portfolio.

INTERNATIONAL HEALTH DIVISION

IBD continued its strong growth reporting 43.3% growth during 9MFY09.

Robust performance in GCC and North African Markets.GCC 47%Dabur Egypt 85% North Africa 96%Bangladesh 52%Nepal 14%

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CHD STRUCTURE

OTC (57% ) Generics

Branded Products

ETHICALS (43%)

Tonics

Classicals

Key Category Drivers for growth are Hair Cream, Toothpaste, Hamamzaithand Olive Oil.

Strong New Product Development rolls out continues: Amla Hair Cream and new variants of shampoos being launched in Q4.

New markets opened during the quarter are Lebanon, Turkey, Mauritania and China

Key Initiatives

1980’s: DIL Started as an Exporter. Focus on Order fulfillment

through India Mfg.

Early 90’s: Set up a franchisee at Dubai in 1989. Demand

generation led to setting up of mfg in Dubai & Egypt.

1995-2000: Renamed franchisee as Dabur International Ltd.

Local operations further strengthened. Set up new mfg facilities

in Nigeria, RAK & Bangladesh.

Now: Building scale-18% of overall Dabur Sales (9MFY09).High

Levels of Localization & Global Supply chain.

CONSUMER CARE DIVISION

CCD, dealing with FMCG Products relating to Personal Care and Health Care

Leading brands -

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Dabur - The Health Care Brand Vatika-Personal Care Brand Anmol- Value for Money Brand Hajmola- Tasty Digestive Brand and Dabur Amla, Chyawanprash and Lal Dant

Manjan with Rs.100 crore turnover each

Vatika Hair Oil & Shampoo are the high growth brand. 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 60% market share of digestive tablets category. Dabur Lal Tail is the 2nd Largest Brand of Baby Massage Oil with 33% Market share.

HAIR CARE17%

ORAL CARE16%

HEALTH SUPPLE-MENTS

13%DIGESTIVES &

CANDIES14%

BABY OILS & SKIN CARE

16%

HOMECARE6%

FOODS17%

CCD category performance of Dabur

DABUR VATIKA SHAMPOO

The shampoo industry in India is Rs 20 billion business where Dabur‘s shampoo brands is at Rs 1.3 billion in the India. In shampoos, the company has outperformed the

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market growing at 25% compared to an overall market growth of 15%. The focus here is in establishing Dabur' shampoos as natural / herbal shampoos-as a credible herbal alternative to existing shampoos in the market. The Vatika shampoo now has much more modern packaging and communication. The newly launched Vatika Black Shine Shampoo has been well received in the market.

Strong performance of Vatika range of shampoos with a growth of 34% during Q3 and 32.2% during FY09.

Vatika shampoos growing at double the category growth of 19% (Value-April-December 08)

Volume Market Share up from 5% to 6.3% and Value Market Share up from 5.1% to 5.9%

The focus of this initiative is to continue rapid growth in revenue and profits leveraging three key strategic drivers - Expansion, Acquisition and Innovation. In this roadmap, while Dabur will continue to be positioned as an herbal specialist leveraging its knowledge and credentials, it will also widen its business canvass by extending its products and organization capabilities to service the entire 'Health and Wellness' space.

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. Vatika products contain natural ingredients that have been blended together through scientific processes at Dabur’s in-house research laboratories.

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ALL ABOUT DABUR VATIKA

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

The Vatika woman 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.

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. In this category where players talk about chemicals – ZPTO, Ketakenazole etc – Vatika Anti-Dandruff Shampoo has capitalised on the consumers’ fear of chemicals by showcasing the efficacy of lemon to eliminate dandruff – with no ill effects on the hair.

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.

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Dabur Vatika offers a wide range of hair care shampoo- Vatika Dandruff control, Vatika Black shine & Vatika smooth & silky shampoo. All these shampoo serve for a variety of Hair problems faced by the consumers and a very strong alternative for the chemical & medicated shampoos available in the market.

“Removes Dandruff loves hair”

Vatika Dandruff Control Shampoo removes dandruff without being violent on hair. Discover non-violence, the new beauty mantra captured in Vatika Dandruff Control shampoo range. Enriched with the goodness of nature, Vatika gently removes 100% dandruff and prevents recurrence, without causing any damage to hair. So what you get is dandruff-free, beautiful hair. That's the power of non-violence.

“Beautiful Hair Naturally”

Vatika Smooth & Silky Shampoo is a natural shampoo that conditions from deep within, while gently cleansing and nourishing the hair. Its offers the gentle & caring touch of nature that leave

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the hair soft, silky and radiant. It has the perfect balance of natural ingredients like Henna, Green Almonds and Shikakai that turn dull & lifeless hair into smooth & silky without damaging them.

“Khoobsurat raho Befikar Raho”

Vatika Black Shine shampoo is packed with the goodness of Black Olives and Amla that help maintain the black colour of the hair and give it incredible shine. Unlike normal shampoos, Vatika Black Shine Shampoo does not have any harmful chemicals. Its active natural ingredients help maintain the black colour of the hair without damaging them.

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“Beautiful strong hair naturally”

The power of Almonds & Coconut Milk with Vatika Root Strengthening Shampoo nourishes the hair from root to tip and helps strengthen hair, reducing hair fall. Its deep conditioning formula restores dry, damaged hair and makes it soft & silky.

Dabur now presents a range of natural conditioners under brand Vatika. The Vatika range of conditioners is packed with active natural ingredients that ensure your crowning glory shines with health. Dabur’s in-depth knowledge of nature & natural ingredients has helped create a range of conditioners that offer the goodness of nature without any side-effects, and give problem-free hair.

Vatika Smooth & Silky Conditioner

Vatika Smooth & Silky Conditioner has active natural ingredients like Henna and Amla that ensure natural conditioning of hair, and Green Almonds, which help nourish scalp and hair.

Vatika Root Strengthening Conditioner

Vatika Root Strengthening Conditioner is packed with natural ingredients like Coco Milk, which provides conditioning, and Almonds that help strengthen the hair from root to tip.

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Distribution network

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The distribution network of Dabur India Limited is a very simple but effective distribution network spreading across various channels providing for an in depth coverage facilitating the products to reach the consumers. The products come from factory to the D.C situated in each state of India and then the distribution divides into URBAN DISTRIBUTION, RURAL DISTRIBUTION and MODERN TRADE.

URBAN DISTRIBUTION

The urban distribution basically needs various stockiest who are responsible to reach the market regions of a place. They collect the stocks from the stockiest and supply to wholesalers, semi wholesalers and retailers which finally reaches the customers. The market regions are divided into BEAT PLANS which consist of various areas to be covered through distribution process. This beat plans consist of BEAT TYPES which deal with WHOLESALE & LINEWISE divisions for products that would help in efficient distribution.

Objectives of the study

All companies are having their own planning and business strategies but the company who is having the best, is the most successful company among its competitors. So the company can get success within its competitors by applying best and effective marketing strategies.

The Primary objective of the project was to understand the prevailing market conditions of Dabur Vatika Shampoo in Hair-care shampoo market segment in the area of Bhubaneswar through a market survey.

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To attain this objective various other sub objectives are needed to be achieved. These are listed below.

To analyze the Availability & Visibility of various brands of shampoo with special reference to Dabur Vatika Shampoo in Bhubaneswar.

To find out the Market share of Dabur Vatika Shampoo in terms of Sales and other brands of shampoo in Bhubaneswar.

To analyze the consumer preference to various brands of Shampoo through the Retailers.

To analyze Sales & Promotion of Dabur Vatika Shampoo & other Shampoo’s

To analyze the level of service provided by the Stockiest of the various brands of Shampoo available in the Retail market

Finally, to carry out a competitor analysis of the various brands of Shampoo for various aspects of service provided.

Scope and Limitations

SCOPE:

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The study has been done for the hair care-shampoo market by studying the market condition through the retailers’ point of view so more or less it helps in understanding the consumer preference towards the shampoo market with special reference to Dabur Vatika shampoo.

The study can help in analyzing certain weak point, improving on which a company can overcome the low sales of Dabur Vatika Shampoo but only in the Bhubaneswar region covering the areas Saheed nagar,Unit 3& 4 , Rasulgarh ,Jaydev vihar,C.S .Pur.

LIMITATIONS:

The study is based on the perception, ideas and preferences of the respondent (retailers), which are complex in nature and depend upon subjectivity of the individual.

At times there was lack of cooperation from respondent for research.

The research was carried out in certain parts of Bhubaneswar only therefore findings and suggestions are limited to those parts only.

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RESEARCH METHODOLOGY

“Marketing research is a systematic problem analysis, model building and fact finding for the purpose of important decision making and control in the marketing of goods and services.” - Phillip Kotler

Marketing research plays an important role in the process of marketing starting with market component of the total marketing tasks. It helps the firm to acquire a better understanding of the consumers, the competition and the marketing environment. Research extends knowledge about a particular case through the researcher who builds up a wealth of knowledge through their research findings.

It is a step-by-step logical process, which involves:

Defining a problem Laying the objectives of the research Sources of data Methods of data collection Tabulation of data Data analysis & tabulation Conclusions & recommendations

Research Plan

The Primary objective of the project was to understand the prevailing market conditions of in Hair-care shampoo market in chosen areas of Bhubaneswar with special reference to Dabur Vatika Shampoo through a market

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survey. What is the trend in shampoo market and brand awareness of Dabur Vatika Shampoo.

Nature of Research

Pure and applied research

Pure research is taken for the sake of knowledge without any intention to apply it in practice. It is undertaken out of intellectual curiosity or inquisitiveness. It lays the foundation for applied research. Applied research is carried on to find solution to a real-life problem so it is problem oriented and action oriented.

Exploratory research

Exploratory research is preliminary study of an unfamiliar problem about which the researcher has little or no knowledge at all. It is done at two levels- first, the discovery of variables in the situation. Second, is the discovery of relationship between the variables.

Experimental research

It is designed to assess the effects of particular variables on a phenomenon by keeping the other variables constant or controlled.

Descriptive research

A descriptive study is a fact finding investigation aimed at identifying the various characteristics of a problem under study but it does not deal with testing of hypothesis. Data

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are collected by using observation, interviewing and mail questionnaire.

My project involved descriptive research of study

Data Collection

The descriptive nature of research necessitates collection of primary data from retailers through market survey, personal interview technique was used and interview was conducted through structured questionnaire the question was asked in prearranged manner. The market research was conducted over a period of 60 days. Data was tabulated, analyzed and suggestion and recommendation were given.

Sources of data:

Data refers to a collection of natural phenomena, descriptors, including the results of experience, observation or a set of premises. This may consist of nos., words or images particularly as measurements or observations of a set of variables.

There are two sources of data:

• Primary Source

• Secondary Source

Primary Source

Data obtained from the first hand by the researcher is called the primary data. This data is that the researcher collects himself. It is reliable way to collect data as it requires researcher to interact with the source and extract

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information. It allows the learner to access original & unedited information.

Its methods are -

SurveysObservationsQuestionnaireExperiments

I collected data using the primary method by interviewing the retailers through a structured questionnaire.

Secondary Source:

Secondary data refers to the data available in some form or another and may include the result of the previously performed research or the available materials. Secondary sources take the role of analyzing, explaining & combining the information from the primary source with additional information.

Its sources are-

INTERNAL SOURCE EXTERNAL SOURCE

Sales Records InternetMarketing activities Standardized Sources - Store audits, CPP, etc.Cost Information Electronic Published DataDistribution Report Printed Published DataFeed back

The secondary source for my project is collected from Dabur India Ltd website and by the data given by Mr. Dheeman

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Bhattarcharya, the Regional Sales Manager of Dabur India for Orissa. I was also provided with needed information from Senior Sales Officer, Bhubaneswar

Research instrument

The Research instrument chosen for conducting the survey was structured questionnaire as shown in the annexure. The questionnaire includes open ended as well as close ended question, few open ended question were included to obtain the perception of the retailers.

Sampling Technique

The procedure by which some members of a given population are selected as representatives of the entire population.

Probability sampling: ones in which members of the population have a known chance (probability) of being selected

Non-probability sampling: instances in which the chances (probability) of selecting members from the population are unknown. The project involves non-probability sampling technique

• Quota Sampling: samples that set a specific number of certain types of individuals to be interviewed. Often used to ensure that convenience samples will have desired proportion of different respondent classes.

My sample technique involved quota sampling as I was provided five beat areas with definite number of retail outlets to be covered in my project.

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Sampling units

Sampling units were geographical area of Bhubaneswar which were divided into four market beat plan.

Geographical areas visited:1. Saheed nagar.2. Unit -3& 4.3. Rasulgarh –Laxmi, Palasuni.4. Jaydev Vihar-Bda,Mayfair,M .Vihar,A.Vihar.5. C.S Pur- Damana,Saileshri Vihar,Niladri vihar.

The retailers visited during the survey were considered the sampling units.

Sample Size

The sample size according to the quota sample was 184retailers but I covered 118retailers so the actual sample size is 118 units. This is because some of the outlets were closed or did not respond to the survey, some were medicine shops which did not keep shampoo’s and some did not keep Dabur products which was the special focus of my research.

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Data Analysis and Interpretation

Shampoo available in the counter

Availability (Quantity in Lari)

Sunsilk H&S

Pantene

Clinic All Clear

Clinic Plus

Vatika

Garnier Fructis Dove

1 to 10 0 0 0 0 0 0 0 010 to 20 0 0 0 0 0 0 10 320 to 30 0 0 3 1 0 0 15 3230 to 40 20 6 17 16 0 23 46 5540 to 50 41 35 37 39 8 46 6 2150 to 60 36 36 35 21 11 35 1 160 to 70 4 34 18 6 34 10 0 070 to 80 3 6 3 1 25 1 0 080 to 90 1 1 0 1 15 0 0 090 to 100 0 0 0 0 7 0 0 0100 above 0 0 0 1 12 0 0 0TOTAL 105 118 113 86 112 115 78 112

Sunsilk H&S Pantene Clinic All

ClearClinic Plus Vatika Garnier

FructisDove

0

20

40

60

80

100

120

140

Series1

INTERPRETATION:

As per the data collected in survey and represented in the table, we can observe the number of outlets where the various shampoo brands are available. We found that HEAD&SHOULDERS Shampoo is leading in availability, present in 118 store, followed by VATIKA, PANTENE,CLINIC PLUS, DOVE, SUNSILK,CLINIC ALLCLEAR,GARNIER FRUCTIS

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DABUR VATIKA comes in 2nd place with 115 outlets having the availability in Sachet Shampoo category.

Shampoo Visible in the Counter

QUANTITY VISIBLE

pantene

H&S Vatika

Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier

1 to 10 89 97 91 68 89 76 96 6710 to 20 11 11 3 5 18 1 2 020 to 30 0 0 0 0 0 0 0 030 to 40 0 0 0 0 0 0 0 040 to 50 0 0 0 0 0 0 0 050 to 60 0 0 0 0 0 0 0 060 to 70 0 0 0 0 0 0 0 070 to 80 0 0 0 0 0 0 0 080 to 90 0 0 0 0 0 0 0 090 to 100

0 0 0 0 0 0 0 0

100 Above

0 0 0 0 0 0 0 0

TOTAL 100 108 94 73 107 77 98 67

pantene H&S Vatika Clinic All

Clear

Clinic Plus

Sunsilk Dove Garnier

89 9791

6889

7696

6711 11

3 5 181 2 0

Shampoo Visible in the Counter

Series1 Series2

INTERPRETATION:

Visibility of various shampoo brands means the amount of Lari of Sachets that are in display in the counter so that it is visible to the consumers. Here we have H&S shampoo with the visibility in highest

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no. of counters i.e. 97 followed by DOVE,VATIKA,PANTENE,CLINIC PLUS,SUNSILK,CLINIC ALLCLEAR,GARNIER.

DABUR VATIKA comes in 3th place with visibility in 91 outlets in Sachet Shampoo category.

Sale of Shampoo per Month

Quantity in Lari Pantene

H&S Vatika

Clinic All Clear

Clinic Plus

Sunsilk

Dove Garnier

Saheed Nagar 590 734 742 863 1484 748 372 323

Unit 3&4 421 702 942 549 1821 692 518 316

Rasulgarh 248 338 490 320 993 411 224 161

Jaidey vihar 495 644 730 560 941 595 319 255

C.S.Pur 368 501 665 390 877 454 310 202

Total 2122 2919 3569 2682 6116 2900 1743 1257

Pantene10%

H&S13%

Vatika13%

Clinic All Clear15%

Clinic Plus25%

Sunsilk13%

Dove6%

Garnier6%

Sale of Shampoo Per Month

INTERPRETATION:

As per the data represented in the graph, it can be clearly seen that CLINIC PLUS is the market leader in terms of sales of sachets followed by CLINIC ALL CLEAR, SUNSILK ,VATIKA, H&S, PANTENE,DOVE and GARNIER.

VATIKA acquired no.5 in terms of sale in LARI.

36

Ranking as per sale & consumer Preference

Ratings-Ranking Sunsilk H&S Pantene

Clinic All Clear

Clinic Plus Vatika

Garnier Fructis Dove Chik Others

10-RANK 1 3 24 1 0 53 1 6 6 0 09-RANK 2 19 31 7 6 10 9 5 8 0 18-RANK 3 19 13 13 4 15 9 6 16 1 07-RANK 4 20 15 11 15 6 18 5 9 0 06-RANK 5 21 9 10 12 3 18 10 14 0 05-RANK 6 4 2 22 23 3 17 6 17 0 04-RANK 7 5 2 20 24 4 14 11 12 1 03-RANK 8 2 0 8 11 1 8 28 10 0 02-RANK 9 0 0 0 0 0 1 0 2 9 01-RANK 10 0 0 0 0 0 0 0 0 2 0

Pantene H&S Vatika Clinic All Clear

Clinic Plus Sunsilk Dove Garnier0

20

40

60

80

100

120

1-RANK 102-RANK 93-RANK 84-RANK 75-RANK 66-RANK 57-RANK 48-RANK 39-RANK 210-RANK 1

INTERPRETATION:

37

The rankings of various Shampoo brands are done according to response from 118 retail outlets. CLINIC PLUS has been rated the most preferred shampoo brand with 53 from 118 outlets

Dabur Vatika is rated rank 1 only by one outlet.

Analysis of Dabur Vatika

Quality of services provided by distributors

Frequency of salesman visit Excellent Very Good Good Fair PoorSaheed Nagar 3 16 4 2 1Unit 3&4 1 12 8 8 1Rasukgarh 3 8 1 2 0Jaydev vihar 0 14 5 4 1C.S Pur 2 10 8 1 3Total 9 60 26 17 6

8%

51%22%

14%5%

Frequancy of sales promotionExcellent Very Good Good Fair Poor

INTERPRETATION:

The rating given by 73% retailers is “Very Good” when they were asked about the number of times the salesman of Dabur visits their

38

outlets. This shows that the salesman visit frequently to the retail outlets. The response from Bhubaneswar market is not satisfactory.

Salesman relationship with you

Salesman relationship with youExcellent

Very Good Good Fair Poor

Saheed Nagar 0 5 15 4 2Unit 3&4 1 10 14 4 1Rasulgarh 2 5 5 2 0Jaydev Vihar 0 4 15 3 2C.s pur 0 2 10 5 7Total 3 26 59 18 12

INTERPRETATION:

The rating given by 50% retailers is “Good” when they were asked about the behavior and relationship maintained by the salesman of Dabur Vatika with them. This shows that the salesman have a good relationship with the retailers.

Providing all schemes & discounts

Providing all schemes & discounts

Excellent

Very Good

Good Fair Poor

Saheed Nagar 0 2 8 6 10unit 3&4 0 3 8 8 5Rasulgarh 1 2 4 6 1Jaydev vihar 0 0 7 5 12C .S PUR 0 2 3 4 15Total 1 9 30 29 43

39

INTERPRETATION:

The rating given by 38% retailers is “POOR” which shows that the retailers are not getting proper schemes and discounts for Dabur Vatika Shampoo.

Credit facility provided by distributorCredit facility provided by distributor

Excellent


Saheed Nagar 1 5 10 5 3Unit 3&4 0 4 8 5 7Rasulgarh 2 2 3 4 2Jaydev vihar 0 3 6 5 10C. s pur 0 0 5 8 11Total 3 14 32 27 33

INTERPRETATION:

The rating given by 33 retailers is “POOR” which shows that the retailers are not getting credit while purchasing Dabur Vatika Shampoo. Quality of Sales Promotion/Schemes of Vatika

Frequency of Sales Promotion/Schemes

Excellent


Saheed Nagar 0 1 7 8 8Unit 3&4 0 2 10 6 12Rasulgarh 1 4 3 2 2Jaydev vihar 0 0 10 6 8C.s pur 0 3 6 8 7Total 1 10 36 30 37

INTERPRETATION:

There should be clear and proper sales promotion when it comes to promoting the Dabur Vatika Shampoo to the customers as well as the retailers because there is a mixed response towards it as 10 retailers rate the promotional activities as very good,36 retailers rate it as “Good”,30 retailers rate as Fair and 37 as poor.

Attractiveness of Sales Promotion/Schemes

40


Excellent



INTERPRETATION:

The sales promotion activities are not attractive to create consumer purchase and generate traffic for Dabur Vatika shampoo as 7 retailer’s rate the Attractiveness of Sales Promotion/Schemes is as “very good”, 36 retailer’s say “good” and 33 say its “fair”, and 39 say poor.

Innovativeness of Sales Promotion/schemes


Excellent


Saheed nagar 0 2 8 7 9Unit 3&4 0 0 10 8 3Rasulgarh 1 2 3 4 4Jaydev vihar 0 0 10 4 10C.s pur 0 2 6 5 11Total 1 6 37 28 37

INTERPRETATION:

The sales promotion activities are not innovative to create consumer purchase and generate traffic for Dabur Vatika shampoo as 37 retailer’s rate the Innovativeness of Sales Promotion/Schemes is as “good”, 28 retailer’s say “Fair” and 37 say its “poor”.

Response to Competitors Schemes

Response to Competitors SchemesExcellent


Saheed Nagar 0 2 8 6 10Unit 3&4 0 1 12 9 9Rasulgarh 0 3 4 5 2

41

Jaydev vihar 0 0 5 5 14C.s pur 0 2 7 8 7TOTAL 0 8 36 33 42

INTERPRETATION:

The response of 42 retailers was “POOR”,33 say “FAIR”,36 say “GOOD” and 8 “VERY GOOD” which implies that when it comes to introduction of more schemes and immediate response of Dabur towards the marketing activities and strategies of competitor shampoo brands of HUL, P&G and Garnier is NOT adequate.

Sufficient supply of stocks with Schemes/offers


Excellent



INTERPRETATION:

There is adequate supply of stocks with schemes/offers as 35 retailers rate the performance of stockiest of Dabur Vatika shampoo as “good” and 39 retailers rated as ”POOR” which was inadequate.

Advertising & Merchandising Adequacy of Advertising support

Adequacy of Advertising supportExcellent



INTERPRETATION:

42

The advertisements for Dabur Vatika Shampoo is fairly adequate but not sufficient enough as 49 retailers rate it as “Fair” while 42 rate it as “Good” in terms of adequacy.

Effectiveness of the advertising in increasing sales


Excellent



INTERPRETATION:

The advertisements for Dabur Vatika Shampoo are “poor” to “very good” when it comes to increasing sales as 16 retailers’ rate it as “poor” and 8 retailers rate it as “very good”.

Adequacy of shop-based material like posters, stickers, danglers etc

Adequacy of shop-based materialExcellent



INTERPRETATION:

There is insufficiency in shop-based materials as 33 retailers have responded “Poor” when it comes to shop-based materials for Dabur Vatika Shampoo.

43

Quality of Media advertising

Quality of Media advertisingExcellent



INTERPRETATION:

The quality of media advertisements is “poor” to “fair” as 56 retailers rated it as “poor” and 41 retailers rated it as “Fair”.

Frequency of merchandising

Frequency of merchandisingExcellent



INTERPRETATION:

There is merchandising problem for Vatika shampoo as the 63 retailers rate it as “Poor”

44

Quality of merchandising

Quality of merchandisingExcellent



INTERPRETATION:

The quality of merchandising for Vatika shampoo is also not good as the 55 retailers rate it as “Poor”.

COMPETITOR ANALYSIS

Frequency of Sales Promotion/Schemes

RANKINGPantene H&S vatika

Clinic All Clear Clinic Plus

Sunsilk Dove

Garnier Fructis

RANK 1 3 19 3 13 31 15 8 2RANK 2 9 18 1 22 16 14 6 3RANK 3 4 17 7 21 11 11 12 2RANK 4 13 16 9 7 8 13 13 6RANK 5 21 13 10 14 11 11 8 3RANK 6 17 6 38 5 7 5 12 6RANK 7 19 5 16 2 12 9 10 11RANK 8 9 4 7 4 7 1 5 20

45

Pantene H&S vatika Clinic All Clear

Clinic Plus Sunsilk Dove Garnier Fructis

0

5

10

15

20

25

30

35

40

RANK 1RANK 2RANK 3RANK 4RANK 5RANK 6RANK 7RANK 8

INTERPRETATION:

From the interpretation of the data, we come to know that Clinic plus and Clinic Allclear are on no.1 and no.2 respectively. Head & Shoulders, Sunsilk, Pantene are ranked after them.Dabur Vatika is ranked at no.6 that means it needs extra effort to penetrate the market.

Attractiveness of Sales Promotion/Schemes]


Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier Fructis


46



0

5

10

15

20

25

30

35

40



INTERPRETATION:

From the interpretation of the data, we come to know that Clinic plus and Clinic Allclear are on no.1 and no.2 respectively. Head & Shoulders, Sunsilk, Pantene are ranked after them.Dabur Vatika is ranked at no.6 that means it needs more attractive schemes and promotion to penetrate the market


RANKINGPantene H&S Vatika

Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier Fructis


47



0

5

10

15

20

25

30



INTERPRETATION:

From the interpretation of the data, we come to know that Clinic plus and Pantene are on no.1 and no.2 respectively.,H&S and Sunsilk are ranked after them.

Dabur Vatika is ranked at no.5 that means it needs to be more innovative than its competitors in Sales promotion/schemes.




Sunsilk Dove

Garnier Fructis

RANK 1 10 22 15 8 38 12 4 1RANK 2 7 13 12 18 13 10 6 2RANK 3 6 14 14 15 8 15 8 1RANK 4 10 18 22 13 13 12 11 3RANK 5 16 13 13 11 10 13 8 2RANK 6 11 2 17 4 7 3 14 5RANK 7 14 2 8 5 11 9 10 7RANK 8 5 5 2 4 2 3 32

48



0

5

10

15

20

25

30

35

40



INTERPRETATION:

From the interpretation of the data, we come to know that Clinic plus and Clinic allclear are on no.1 and no.2 respectively. Sunsilk, Head & Shoulders, Pantene are ranked after them. Basically HUL & P&G are very good in keeping their market share by responding quickly to other competitor schemes.

Dabur Vatika is ranked at no.6 followed by Dove & Garnier Fructis shampoo.



Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier Fructis

RANK 1 5 17 0 11 37 14 6 2RANK 2 8 15 0 14 16 2 7 2RANK 3 6 18 12 13 11 16 8 1RANK 4 8 19 11 11 10 14 5 2RANK 5 21 11 13 9 10 13 8 2

49

RANK 6 17 9 31 6 11 5 11 3RANK 7 18 4 16 3 2 6 13 8RANK 8 3 2 12 7 3 3 2 19



0

5

10

15

20

25

30

35

40



INTERPRETATION:

From the interpretation of the data, we come to know that Clinic plus and Clinic allclear are on no.1 and no.2 respectively.Head & Shoulders,sunsilk and Pantene are ranked after them.

Dabur Vatika is ranked at no.6 that means it needs extra effort to make the products with schemes/offers available in the market.

Adequacy of Advertising support



Sunsilk Dove

Garnier Fructis

RANK 1 5 14 0 16 20 15 4 1RANK 2 7 23 0 15 8 13 10 1RANK 3 8 10 22 23 7 10 9 RANK 4 20 12 15 7 10 9 6 4

50

RANK 5 16 20 18 10 7 5 15 1RANK 6 15 10 21 11 6 11 5 11RANK 7 18 0 14 1 15 5 9 29RANK 8 5 0 4 0 20 7 5 34



0

5

10

15

20

25

30

35

40

Adequacy of Advertising support


INTERPRETATION:

When it comes to advertising Clinic plus and Head & Shoulders are no.1 and no.2 respectively. Clinic all clear is no.3 followed by Pantene, sunsilk and Dabur are on no.6 after that Garnier fructis and Dove ranked at 7 and 8 respectively.




Sunsilk

Dove

Garnier Fructis


51




0

5

10

15

20

25

30



INTERPRETATION:

When it comes to advertising Clinic plus and Head & Shoulders are no.1 and no.2 respectively. Sunsilk is no.3 followed by Pantene and Dove. Dabur Vatika(no.6), Garnier Fructis and Clinic all Clear in other positions. The advertising of Dabur Vatika is not able to communicate to its target market.

Adequacy of shop-based material like posters, stickers, danglers etc


Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier Fructis

RANK 1 3 19 3 13 31 15 8 2RANK 2 9 18 1 22 16 14 6 3

52

RANK 3 4 17 7 21 11 11 12 2RANK 4 13 16 9 7 8 13 13 6RANK 5 21 13 10 14 11 11 8 3RANK 6 17 6 38 5 7 5 12 6RANK 7 19 5 16 2 12 9 10 11RANK 8 9 4 7 4 7 1 5 20



0

5

10

15

20

25

30

35

40


INTERPRETATION:

From the interpretation of the data, we come to know that Clinic Plus and Clinic allclear are on no.1 and no.2 respectively.Head & Shoulders and Sunsilk are ranked after them.Pantene is ranked at no.5 followed by Dabur Vatika which is ranked at no.6 that means it needs to give effort towards more POP Displays in the retail outlets.Dove & Garnier are no.7 and no.8 respectively.


RANKING Panten H&S Vatika Clinic All Clinic Sunsil Dov Garnier

53

e Clear Plus k e FructisRANK 1 8 12 1 10 15 11 4 1RANK 2 9 30 3 18 12 17 6 1RANK 3 12 16 17 20 3 13 7 2RANK 4 21 12 11 10 4 11 5 3RANK 5 20 9 21 7 6 2 11 2RANK 6 7 8 20 4 9 9 10 5RANK 7 12 8 13 3 22 1 12 10RANK 8 3 8 30 2 10 25



0

5

10

15

20

25

30

35



INTERPRETATION:

When it comes to advertising Clinic Plus and Head & Shoulders are no.1 and no.2 respectively. Clinic all clear is no.3 followed by Pantene, Dabur Vatika, Dove, Garnier Fructis and Sunsilk in other positions.

The quality of media advertising of Dabur Vatika is at no.5 which can be improved.

54



Clinic All Clear

Clinic Plus

Sunsilk

Dove

Garnier Fructis

RANK 1 4 12 1 12 13 10 4 2RANK 2 12 16 1 13 9 12 8 RANK 3 7 11 7 16 10 9 10 1RANK 4 9 23 10 14 9 14 7 1RANK 5 19 12 13 8 12 15 10 2RANK 6 12 5 19 1 14 8 4 3RANK 7 10 17 3 20 6 3 6RANK 8 1 6 6 2 1 32



0

5

10

15

20

25

30

35



INTERPRETATION:

From the interpretation of the data, we come to know that Sunsilk and Clinic allclear are on no.1 and no.2 respectively. Dove, Head & Shoulders, Pantene are ranked after them. Dabur Vatika is ranked at no.6 that means it needs to give maintain more merchandising activities at the retail outlets. Clinic plus & Garnier are no.7 and no.8 respectively.

55




Sunsilk

Dove

Garnier Fructis

RANK 1 2 10 1 15 18 15 4 2RANK 2 10 15 1 11 4 13 8 RANK 3 11 8 4 14 8 10 10 1RANK 4 8 7 7 6 6 11 7 1RANK 5 12 10 12 4 7 9 2RANK 6 12 5 20 2 13 8 6 4RANK 7 10 6 18 3 15 8 11 9RANK 8 1 8 15 6 2 1 25



0

5

10

15

20

25

30



INTERPRETATION:

From the interpretation of the data, we come to know that Clinic Plus and H&S are on no.1 and no.2 respectively.Clinic all clear , sunsilk, Pantene are ranked after them. Dabur Vatika is ranked at no.7 that means it needs to provide high quality merchandising at par with its

56

other competitors at the retail outlets.Garnier is at no.8 respectively.

FINDINGs During the survey it was found that the availability of Dabur

Vatika shampoo (in lari) was less as compared to other competitor brands.

The visibility of Dabur Vatika shampoo (in lari) was also not good in most of the retail outlets.

All the variants Dabur Vatika Shampoo (sachets) are not properly merchandised.

The retailers not satisfied with the credit system. They want more credit days for the payment.

We found that in some of the retail outlet which are located in the interior don’t get the adequate and frequent supply of the Dabur product.

The profit margin on Dabur Vatika shampoo (sachets) is less as compared to other competitor brands.

The frequency of consumer sales promotion and retailer sales promotions is not upto the mark.

The retailers are not satisfied with the damage settlement of Dabur Vatika shampoo done by the stockiest.

The retailers responded negatively when it came to marketing and promotional activities of Dabur Vatika shampoo with respect to other competitor brands.

In some of the store we found that retailers are complaining about the behavior of the sales person as they are saying that they will supply the Dabur products only when if the purchase more than 5000 at a time.

57

There are 10 outlets are covered indirectly through wholrsalers.

There are 10 outlets using self managed transportation to get their required products from the nearer market.

RECOMMENDATIONS

The availability and visibility of a product should be emphasized.

Better distribution channel should be maintained.

Company should introduce sales promotion schemes like free weight, contest, free gifts trials, offers etc and consider more below the line promotion for Bhubaneswar.

A proper feedback mechanism should be established so that feedback from consumer & retailers should be taken and implemented.

There should be incentives for merchandisers for every display they enroll.

Selection of skilled and trained salesman affects the sales.

Right on time concept is very important in the FMCG Industry because in the absence of it retailers purchase other company products.

Frequency of advertisement should be increased to make the consumer familiar to products.

Promote Vatika anti-dandruff variants- so that it will compete with the Head & shoulder and Cilinic all Clear.

Consumers have strong perception and belief about the Ayurvedic nature of the Dabur, so that company should come with the Ayurvedic concept Shampoo to harness that segment of the consumer.

58

CONCLUSION

In the era of the tough competition in FMCG market. The major sales and distribution make

the product available and visible in the marketing effective coverage play a vital role for

sustain or make the product growing.

So, in my project as Dabur is already having a very good distribution network in the market.

It should focus on new strategies product like Vatika . Vatika goal can be achieved

efficiently and effectively distribution system.

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BIBLIOGRAPHY

Websites

www.google.com www.dabur.com www.business-standard.com www.wikipedia.com www.marketresearch.com www.timesofindia.com

Books referred to;

60

http://www.timesofindia.com/

http://www.marketresearch.com/

http://www.wikipedia.com/

http://www.business-standard.com/

http://www.dabur.com/

http://www.google.com/

dabur vatika

Documents

hair care market

fmcg market

products household care

personal care

fabric care

food products

fmcg category

total fmcg sector