About Dabur Company
Dabur India Ltd. is the 4th largest fast-moving consumer goods (FMCG) company in India which makes a revenue of over INR 8,454 crores (2015-16) along with Market Capitalisation of over INR 50,120 crore. The Dabur legacy is of 130 plus years. Being the most trusted name in India and the world’s largest Ayurvedic medicine manufacturer, Dabur today has over 381 trusted products across 21 categories.
It was founded by Dr S. K. Burman, a physician in West Bengal. He designed Ayurvedic medication for diseases like malaria and cholera. The medicines soon travelled and he came to be known as the trusted doctor or ‘Daktar’ who came up with effective cures. The name Dabur is derived from the Devanagri rendition of ‘Daktur Burman’. Dabur has successfully transformed itself from being a family-led business to a professionally managed enterprise.
Products of Dabur
Dabur India’s FMCG portfolio includes five flagship brands having distinct brand identities:
- Dabur: master brand for natural healthcare products.
- Vatika: Premium personal care.
- Hajmola: Digestives.
- Real: Fruit-based beverages.
- Fem: Facial bleachers and skin care.
The objective of Dabur is to fully leverage the potential of the online world and incorporate digital strategy for brand visibility and rebuilding. Growing customer base and making wider marketing strategies. The aim is to become a “young, modern, and socially conscious organisation”.
1. Presence On Online Grocery Stores
Amidst of Amazon, Flipkart, and Snapdeal, FMCG titan, Dabur recognised a new platform for reaching out a wider customer base. They marked their presence on online grocery stores like Grofers and Big Basket.
2. Focus On Their Own Websites
They also started focusing more on their own websites. This is evident from the fact that a year ago, Dabur launched three websites to serve the mother brand. Also, after six months of efforts, the website was re-launched a month ago which proved to be a single window to the world of Dabur. This means that the customers can reach the content websites directly from the homepage.
There are channels started by Dabur like NewU and DaburUveda.com for reaching a wider set of customers.
“Youngsters think of Dabur as a brand for their parents’ generation, but we are doing things nobody would’ve expected Dabur to do.” Archan Banerjee, Head of Digital Marketing, Dabur
In the last two years, Dabur has been undergoing transformation to become a “young, modern, and socially conscious organisation”.
3. Featured in Google Case Study And Customer Engagement
Dabur had featured in a Google case study for their ‘brave and beautiful’ campaign by Vatika Shampoo which made Dabur to being the only FMCG company to have done so.
One of the portals by Dabur is ‘mybeautynaturally.com’ which is a part of their customer engagement programme.
“Making the concept relevant to customers through content marketing is key. Our revamped website is a step in this direction.” Archan
4. Exploring the Marketplace
On the basis of the products available at the time, the new website directs the customer to the marketplace(s).
“We don’t sell it ourselves – because FMCG consumers seldom buy a shampoo alone. On a marketplace, there are more options.”
By adding Chyavanapravash on Amazon, Dabur has given its products a modern and contemporary look which the youth will connect better.
Dabur’s Future Plans
To Launch More Products
In the next one year, Dabur is planning to launch more products across all categories. However, none will be launched exclusively on digital mediums. The main medium for marketing will be TV which will be leveraged upon in order to reach out to customers in Tier 2 cities and above.
Will Dabur Surface on Social Media Channels?
Talking about social media, Dabur has been very agnostic. Archan says the organic reach of the brand via Twitter or Facebook is null. The FMCG giant has been building communities since 2012, by engaging with the consumers on a regular basis.
That gives us lifetime value. But on Facebook, once they change the algorithm, you can’t reach out to your customers unless you pay them.” Says Archan.
Will They Be Giving Discounts?
Dabur has stayed away from the most famous trick to win customers i.e giving discounts. The only options of ‘buy now’ or ‘try now’ are available on their website. However, Dabur Company “cannot control marketplaces giving discounts, although there are agreements on how much they will sell it for.”
Dabur online sale is a complementary but a huge effort. Online grocery stores have worked very well for them giving them good ROI (return on investment) if one does not go with the volumes. Since FMCG’s main feature is regular consumption, therefore, it makes them a favourite thing in horizontal marketplaces.
Amazon, an e-commerce giant, has launched a ‘subscribe and save’ offer for daily essentials. They offer a 10% discount on the entire order to people having at least three subscriptions on a monthly basis. According to Archan, this model provides them great opportunity to pitch the other products in their platform just like they are doing in offline platforms like Big Bazaar.
Despite having operational issues, Dabur still had 13% growth in 2015-16.
- Though the revenue from online sales for Dabur is not very substantial, yet the opportunity for brand rebuilding and visibility is crucial. Considering retail sector accounts for just 2% for the e-commerce, it is estimated that it will grow to almost 11% by 2019.
- Seeing the trends of Online sector, offline giants will have to join the online mediums sooner or later. For instance, the Reliance Group, which started selling FMCG (in 2009), launched an online version of ‘Reliance Fresh’ called reliancefreshdirect.com last year and ‘Ajio Life’, a fashion portal this year.
- The FMCG sector is worth $65 billion in India which by 2020 is expected to digitally influence over 150 million consumers.
- Dabur is iconic in nature but it is crucial to adopt online modes for pitching their products.
Dabur also leveraged digital mediums to connect to approximately 80 million women who use internet. Sounds interesting? You can learn about Dabur’s digital transformation here.