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INDUSTRY ANALYSIS

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, and household accessories and
extends to certain electronic goods. These items are meant for daily of frequent consumption
and have a high return. 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.

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.

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TOP TEN FMCG COMPANIES

1. HINDUSTAN UNILEVER LIMITED

2. INDIAN TOBACCO COMPANY(ITC)

3. NESTLE INDIA

4. GCMMF(AMUL)

5. DABUR INDIA

6. ASIAN PAINTS(INDIA)

7. CADBURY INDIA

8. BRITANNIA INDUSTRIES

9. PROCTER&GAMBLE HYGIENE AND HEALTH CARE

10. MARICO INDUSTRIES

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COMPANY PROFILE

INTRODUCTION
Dabur India Ltd. (DIL), a leading name in the Indian FMCG industry was promoted by S K
Burman in 1884. The company was formed by way of amalgamation with Vidogum Limited in
Oct.'86. Prior to this, the company was operating under the name Dabur (S K Burman) Pvt Ltd,
since 1936.

EVOLUTION
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 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 travelled, and he came to be known as the trusted 'Daktar' or Doctor who came up

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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.

Largest Herbal & Natural Portfolio

4000 Distributors in India
Retail Reach 2,500,000
5 Umbrella Brands
350+ products
4000 employees
15 Manufacturing Plants

JOURNEY SO FAR . . .
1884 The birth of Dabur
1972 The company shifts base to Delhi from Kolkata
1986 Registered as Public Limited Company
1994 Listed on the Bombay Stock Exchange
1998 Professional team inducted to run the company
2000 Crosses Rs 1000 Crore Turnover
2003 Pharmaceutical Business de-merged to focus on core FMCG
2004 Profit exceeds Rs.100 Crore
2005 Acquires Balara strengthening Oral care & provided entry into Home care segment
2006 Dabur Figures in Top 10 Great Places To Work
2007 Dabur ranked among 'Asia's best under a Billion' enterprises by Forbes
2008 Acquired Fem Care Pharma entering the mainstream Skin care segment
2009 Strong growth momentum continued in spite of general economic downturn

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AWARDS & ACHIEVEMENTS (2008-09)

Dabur At-a-Glance
Dabur India Limited has marked its presence with significant achievements and today commands
a market leadership status. Our story of success is based on dedication to nature, corporate and
process hygiene, dynamic leadership and commitment to our partners and stakeholders. The
results of our policies and initiatives speak for themselves. Leading consumer goods Company in
India with a turnover of Rs. 2834.11 Crore (FY09)

3 major strategic business units (SBU) - Consumer Care Division (CCD), Consumer Health
Division (CHD) and International Business Division (IBD)

3 Subsidiary Group companies - Dabur International, Fem Care Pharma and newu and 8 step
down subsidiaries: Dabur Nepal Pvt Ltd (Nepal), Dabur Egypt Ltd (Egypt), Asian Consumer
Care (Bangladesh), Asian Consumer Care (Pakistan), African Consumer Care (Nigeria),
Naturelle LLC (Ras Al Khaimah-UAE), Weikfield International (UAE) and Jaquline Inc. (USA).

17 ultra-modern manufacturing units spread around the globe. Products marketed in over 60
countries. Wide and deep market penetration with 50 C&F agents, more than 5000 distributors
and over 2.8 million retail outlets all over India.

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a. Dabur’s Business Structure

Dabur operates through three focused Strategic Business Units:

IBD: INTERNATIONAL BUSINESS DEPARTMENT

CCD: CONSUMER CARE DEPARTMENT
CHD: CONSUMER HEALTH DEPARTMENT

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CHD
Janma Ghunti, Hingoli, Sat Isabgol & Gripe

Shampoos
Market Size- 21 Billion
Dabur Brands- 1.3 Billion

Digestives
Market Size-5 Billion
Dabur Brands- 1.5 Billion

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FOODS
Market Size-5 Billion
Dabur Brands- 2.5 Billion

Consumer Care Division

Market Size-33 Billion
Dabur Brands- 5.6 Billion

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b. Manufacturing Facilities in India

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d. Sustainability Report
At Dabur, environment and nature is the lifeline of our business. With a portfolio of Ayurveda
and nature-based products, conservation of nature & natural resources is deep rooted in our
organizational DNA, and in every aspect of our ever-growing business. We, at Dabur, have not
merely incorporated the concept of sustainability into the core of our business but have, in fact,
expanded it to encompass our aspirations and responsibilities to the society and to the
environment. It is this concept that inspires us to optimize our business performance to tackle the
new and growing challenges of environment and technology. It is a concept on which we aspire
to build an organization that will continue to increase value for all our stakeholders for
generations to come, through intensive focus on Conservation of Energy and Technology
Absorption, along with Health, Safety and Environment Protection.

Conservation of Energy
Dabur has been undertaking a host of energy conservation measures. Successful implementation
of various energy conservation projects have resulted in a 13.8% reduction in the Company’s
energy bill in the 2008-09 fiscal alone. What was noteworthy was the fact that this reduction has
come despite an 8-9% volume increase in manufacturing, and an average 11.7% increase in cost
of key input fuels. The host of measures – key among them being use of bio-fuels in boilers,
generation of biogas and installation of energy efficient equipment – helped lower the cost of
production, besides reduce effluent and improve hygiene conditions & productivity.

Health Safety & Environmental Review

Renewing the commitment to Health Safety and Environment, Dabur has formulated a policy
focusing on People, Technology and Facilities. A dedicated “Safety Management Team” has also
been put in place to work towards the prevention of untoward incidents at the corporate and unit
level, besides educate & motivate employees on various aspects of Health, Safety and
Environment. The Company is also continuously monitoring its waste in adherence with the
pollution control norms. In pursuance of its commitment towards the society, efforts have also
been initiated to conserve and maintain the ground water level. The efforts include
implementation of rainwater harvesting, which has delivered encouraging results and has put the
company on the path to becoming a Water-Positive Corporation. Dabur also initiated a Carbon

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Foot Print Study at the unit level with an aim to become a carbon positive Company in years to
come. At Dabur, we are committed to sustainable development throughout our diverse
operations. And, we will strive to translate the good intentions into concrete and lasting results,
contributing to the ultimate good of the society.

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SWOT ANALYSIS OF DABUR

STRENGTHS: WEAKNESSES:

 A very rich base of traditional

knowledge in therapeutics i.e.  Sub-critical R&D investments.
Ayurveda, Sidha & Unani.  Lack of innovative R&D culture in
 Well developed engineering base to industry.
produce wide range of pharmaceutical  Poor networking among
equipment and machinery. constituents in the innovation
 Successful experience in innovative chain.
process chemistry.  Inadequate trained manpower in
 Relatively low priced products. emerging areas.
 High quality products.
 Strong Product Adaptation.
 Strong Media and Advertising
Management.
 Modern Trade Management.
 Distributions reach of 1.8 million
retail outlets.
 Agronomy initiative to ensure supply
of rare medicinal herbs.

OPPORTUNITIES: THREATS:

 Inability to cope-up with the rapidly

changing new discovery technologies
 Due to rising costs of R&D overseas,
and processes at the global level.
greater tendency towards outsourcing
 Rapidly changing standards of quality
and networking.
and manufacturing at the international
 Expertise to blend knowledge of
level.
traditional medicines with modern sci.
OPPORTUNITIES continue….

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 Potential for clinical research and THREATS continue……..

initiating clinical trials.
 Lack of clearly articulated and
 Opportunity to improve quality
facilitative national IPR policies.
standards.
 Lack of strategy to bring convergence
 Consumers moving up the value-
between aspirations of the `small’ and
chain.
`big’ players.
 Distortion in priority and public
concern on health & Pharma issues.
 Reducing tariff levels and dumping
can be a threat to survival of products
and industry.
 Rising demand of the Ayurvedic
products of prospective competitor i.e.
Divya Pharmacy.

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DEVELOPING WITH THE BHARAT GAS CHAIN IN DELHI

IN A TIE UP OF DABUR WITH BHARAT GAS

UNDER
“BPCL BEYOND LPG INITIATIVE”

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BPCL BEYOND LPG INITIATIVE: e- bharat gas

BPCL: Bharat Petroleum Corporation Limited is now focusing on the 'Beyond LPG' service.
BPCL has spun its division that offered the value added service 'Beyond LPG,' into a full-fledged
business unit for its LPG customers. The company hopes to double its turnover to Rs137 crore in
the current fiscal.

Introduced in October 2003, the initiative envisages BPCL's LPG distributors selling household
appliances, kitchen utensils and even tea and pickles, along with gas cylinders. Branded products
are home delivered to BPCL customer using the existing delivery system for LPG cylinders. The
customers have to place orders over the phone.

Company officials said the `Beyond LPG' service was launched three years ago to give a boost to
the flagging business of LPG distributors by providing them an extra revenue source. The
business works on the basis of BPCL negotiating with manufactures to get goods in bulk for its
LPG distributors at lower-than-market prices.

In the process the company gets 1-2 per cent margin. By end of the current fiscal, the company
hopes to make a profit of about Rs 8 crore from this scheme.

The `Beyond LPG' is a voluntary scheme and no distributor is forced to offer it. The
company is also in the process of tying up with leading mobile operators for pre-paid and post-
paid connections and recharge vouchers.

Bharat Petroleum Corporation Ltd (BPCL), in a bid to cut its losses incurred on liquefied
petroleum gas (LPG) distribution, is lining up a direct-to-home delivery model based on
extensive retailing plan.

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The state-run company is expecting to achieve a turnover of Rs 700 crore from the new initiative
-- “Beyond LPG” -- by the end of 2010 under its strategic business unit - Bharat Gas.

The company has already joined hands with 36 major consumer goods brands and is in the
process of tying up with several others. These include Bharti Cellular, Godrej Sara Lee,
gensets from Honda, tea from Goodricke and Duncans, Dabur and Bajaj Electricals. The
company is the process of tying up with Western Union Money Transfer, Maharaja Whiteline
and groceries suppliers.

“We are embarking on a change in our image among the consumers from pure gas suppliers of
the controlled regime to a service-oriented company and we expect to increase our sales five-fold
in the next two years,” SK Jain, executive director (LPG), BPCL, told FE.

The company achieved a sales turnover of Rs 140 crore in the last fiscal after it began the
initiative as a pilot project. Currently, 500 of BPCL's 2,200-strong cooking gas distributors
across the country have already embarked into retailing of household goods and kitchenware,
including consumables.

The company’s business strategy is to increase its turnover and sales of the LPG unit through
allied products without investing significantly. Once a consumer brand ties-up with BPCL, the
LPG distributors can directly place orders through a web-based interface with BPCL as the
mediator.

The new retailing initiative is different from the retailing plans of various other oil companies
that are setting up specialized retail outlets where the consumers go and shop. “We are already
reaching 22 million households through our LPG distribution and no retail chain supplies goods
at home on demand. Our strength will be to supply goods at the doorstep at discounts over the
MRP,” Jain stated.

To cut down on losses incurred on LPG business, BPCL has also embarked on a new product --
‘Bharat Cutting Gas’ - for the first time in the country. The product - in which BPCL has a
monopoly - has the potential to replace acetylene used in metal cutting, heating and brazing
operations leads at a cost reduction of 50% and requires one third of storage space.

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Developing with the Bharat gas chain in Delhi

OBJECTIVE: To expand the customer base in collaboration with the Bharat Gas.

Bharat Gas is expanding its customer base by doing door to door marketing and Dabur in
collaboration with that will offer their products at discounted prices to them and will increase the
awareness amongst the customers.

METHODOLOGY:

A comprehensive list of Bharat gas distributors was given by the company guide.

The list contained around 75 distributors all across Delhi with full address and
contact numbers.

Cold calling and seeking appointment by the distributors were done.

Mapping the possibility of selling Dabur products at Bharat gas agency by

physically going to accounts.

On a visit to accounts, following things were done:

 Introducing myself.
 Appreciating BPCL- beyond LPG initiative.
 Giving a short power point presentation on Dabur- company profile and food
products. I have to only deal with food products as customer care products were
already doing good business as they have long shelf life of two years.
 Handing over the Dabur brochures and price list of Dabur products.
 DBP- dealer basic price was explained by telling that 13% margin is provided i.e.
13% discount on MRP- maximum retail price.
 Product shelf life was explained- Every food product like Real and Activ juices,
honey, tomato ketchup etc comes with an expiry of six months. If the products don’t

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get sell in the period of four months i.e., still two months left for the expiry- they
can call any Dabur representative to replace the product with a fresh stock.

 Another important thing told was not to order in bulk. Ask for small quantities to
get an idea first. This again shows Dabur’s non profit motive and business ethics.

 Most selling products were told.

 Dabur is a 350 crores company in which Real has 60% market share.
 Strong hold in north because of the preference.

Most selling food products explained are as follows:

Juices: Real, Activ, Burrst

 According to FCI (Food Corporation of India) juices need to have 85% of

pulp content into it to be called as a juice. E.g., Real and Activ.
 Activ has no sugar and no preservatives. Very healthy.

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 Burrst is a lite and refreshing. It has a lesser pulp content.

Hommade: These are convenient products and sell good in

household. E.g., Ginger, Tamarind and Garlic Paste, Tomato puree,
Capsico Red Pepper Sauce, Coconut Milk, Lemoneez

Sharbat: Nothing like summer cooler Sharbat-e- azam

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Health issue: People are becoming more health conscious. They are switching from carbonated
beverages to juices. Activ juices have no sugar and preservatives added. Tomato puree also does
not have any preservative added.

HONEY: Again the most selling product is Dabur honey. It is another healthy
product.

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OBSERVATIONS AND LIMITATIONS

AREA PROBLEM
1. Some areas like Nazafgarh etc in Delhi are under developed. People are reluctant to buy
packaged food products. They prefer fresh juices and milk over Activ and real juices.
They also don’t prefer homemade pastes and purees. Their disposable income is less to
spend on these products.
2. In Mayur vihar phase 3 there is a wholesale market which provides food products at
fewer prices. This makes the residents to buy from there only.
3. In the areas like Rajokri, Arjangarh and Palam the Bharat gas agencies comes under air
force. In these areas there is a canteen which provides all products at lesser price. This
makes residents buy from there only. No one wants to buy from Bharat Gas agency
which sells products at MRP in spite of bringing the products at their door step.

MARKET PRICE DIFFERENCE AND COMPETETION WITH

RETAIL STORES

1. Modern Trade like Big bazaar, Spencer’s etc brings special discounts on all products from
time to time. Special Wednesday market in big bazaar also attracts customers.
2. Buying from stores people have special touch and feel kind of a thing attached with the
products. It gives them satisfaction that they have bought the products after properly
checking and analyzing the particular product.
3. Often the Bharat gas distributors are more concerned in knowing the margin we give in
market. They want to dump the stock in market of which they are not supposed to do.
4. Most of the distributors have complained that Dabur offers up to 20% margin in market
whereas to them only 13% margin is given which they consider the major problem.

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CUSTOMER’S TENDENCY

1. After buying the high cost gas connection people tend to expect these Dabur and other
products for free.
2. Consumers also don’t entertain delivery boys of Bharat gas at their home. They are only
limited to getting the gas connection and getting it refilled from time to time.
3. In some areas consumers are even reluctant to order on telephone. They are comfortable
in coming to the agency themselves and order.

PROBLEMS RELATED TO DISTRIBUTORS

1. The `Beyond LPG' is a voluntary scheme and no distributor is forced to offer it. This is
the reason the Bharat gas distributors don’t take it seriously. For them their main business
is confined only to the gas.
2. Surprisingly few distributors didn’t even know that Real & Activ comes under the brand
umbrella of Dabur.
3. To my surprise one distributor asked “Do Dabur makes cement?”

SHELF SPACE

1. They have less storage space. Of all the gas agencies I have visited until now only ten
percent had shelves or window for keeping the products.
2. Another very few have refrigerators and air cooled storing place which is an important
factor for keeping the food products fit to consume.
3. There is always fear of rodents destroying the products.

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UNEDUCATED OR INEFFICIENT DELIVERY

They complain that their delivery boys don’t hold any expertise in selling non- LPG products.
They don’t posses convincing power.

BRAND CANNIBALIZATION
Too many products of Dabur start competing with each other.
Sharbat-e- azam has more demand in summers than real juices

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RESULTS

Cluster analysis has been done to find out the group of distributors to be targeted first.

CLUSTER 1: Distributors are clustered together on the basis of” LOW INTEREST AND FEW
PROBLEMS. Below is the list of distributors falling under this cluster. These are the distributors
who have shown less interest during meeting with them and they face few problems. The reason
for facing few problems may be because of the less interest shown by them. so they are clustered
together.

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BHARAT GAS SERVICE K-1/52-53,JAHANGIR PURI   NEW DELHI 110033

ESS ESS ENTERPRISES A-247-248, NEHRU VIHAR, VAZIRABAD   NEW DELHI 110054
PANKAJ GAS SERVICE U-4, MANGOLPURI   NEW DELHI 110083
PRATAP JYOTI B-27, POCKET 00, SECTOR-1 ROHINI   NEW DELHI 110085
PRIYANIKA GAS SERVICE 604/5A, HAMILTON ROAD, KASHMIRI GATE,   NEW DELHI 110006
SANTOSHI GAS SERVICE G-1118-19,SHAKURPUR   NEW DELHI 110034
UNITED AGENCIES 3580,NETAJI SUBHASH MARG,DARYA GANJ   NEW DELHI 110002
VIJAY GAS AGENCY 44\26, BADLI,   NEW DELHI 110042
ANAND GAS SERVICE 426/1, OLD MEHRAULI ROAD, BADARPUR   NEW DELHI 110044
ASHOKA STORES K-1/51, CHITARANJAN PARK,   NEW DELHI 110048
FRIENDS GAS SERVICE 4-B, BHARAT NAGAR (NEAR BANK OF BARODA) NEW FRIENDS COLONY   NEW DELHI 110025
JWALA AGENCIES SHOP NO 5 UDAY PARK-D.D.A MARKET, KHEL GAON MARG   NEW DELHI 110049
OORJA AGENCIES SHOP NO.8&9, NAGER MARKET TANKI ROAD(NR. MITHAPUR CHOWK)   NEW DLEHI 110044
VARUN GAS SERVICE 275, SCHOOL ROAD, SECTOR 1 DR. AMBEDKAR NAGAR   NEW DELHI 110062
AIR FORCE GAS AGENCY, RAJOKRI AIR FORCE STATION, RAJOKRI,   NEW DELHI 110038
AIR FORCE GAS
AGENCY,ARJANGARH AIRFORCE STATION, ARJANGARH, MEHRAULI-GURGOAN ROAD   NEW DELHI 110047
BRIGADE GAS AGENCY H.Q. 16,INFANTRY BRIGADE C/O 56 APO,NEAR PALAM AIRPORT   NEW DELHI 110010
DURGA AGENCIES 258/5, NEW ROHTAK ROAD KAROL BAGH   NEW DELHI 110005
HITESH GAS SERVICE 8742, SIDDHIPURA MODEL BASTI   NEW DELHI 110005
KAVERI ENTERPRISES SHOP NO 4,F15A, MOTI NAGAR   NEW DELHI 110015
MAYAPURI GAS CO. S-33, JANTA MARKET,RAJOURI GARDEN   NEW DELHI 110027
NIRMAL GAS B-3, CHANDER VIHAR CHANDER VIHAR MAIN CHOWK, NILOTHI   NEW DELHI 110041
RAMAN GAS SERVICE 7,BASRURKAR MARKET,MOTI BAGH-I   NEW DELHI 110021
RATAWAL GAS SERVICE BG-6/271-A,JANATA FLATS, PASCHIMVIHAR   NEW DELHI 110063
SEEMA PRAHARI GAS AGENCY BORDER SECURITY FORCE, CHAWLA CAMP,   NEW DELHI 110071
SUNNY GAS SERVICE SHOP NO. 7, DDA MARKET,MIG, RAJOURI GARDENS   NEW DELHI 110027
WESTEND GAS SERVICE WZ-69\C, TODAPUR NEAR INDERPURI   NEW DELHI 110012
AKASHDEEP GAS AGENCY AF STN, RACE COURSE   NEW DELHI 110023
ARORA GAS AGENCY 11/53, GEETA COLONY   NEW DELHI 110031
ASHWINI ENTERPRISES D 503, MAIN WAZIRABAD ROAD, ASHOK NAGAR   DELHI 110093
DAMMO ENTERPRISES 64-A,LIG FLATS,JHILMIL COLONY, SHADRA   NEW DELHI 110032
GAS PLAZA SHOP NO 8,CMO MKT, HARGOBIND ENCLAVE,   NEW DELHI 110092
GAUTAM ENTERPRISES C-3/G-2,DILSHAD GARDEN,SHADRA   NEW DELHI 110095
KAYSON ENTERPRISES N.D.M.C. SHOP-1\2,DOCTOR`S LANE, GOLE MKT,   NEW DELHI 110001
KITCHEN CARE S-537, SCHOOL BLOCK, SHAKARPUR   NEW DELHI 110092
SARLA ENTERPRISES SHOP NO 8,B-6, MARKET, SAFDARJUNG ENCLAVE   NEW DELHI 110029
SOBHAGYA AGENCY D-1/239,NEW KONDLI, MAYUR VIHAR   NEW DELHI 110092
VEEJAY GAS SERVICE-BLOCKED FLAT NO 261, POCKET - V, MAYUR VIHAR- PHASE - I   NEW DELHI 110092
ENGINEERS ENTERPRISES WZ-80, PANKHA ROAD,NANGALRAYA   NEW DELHI 110058
SUPER CARE GAS AGENCY G-1-OPP BRAHMAAAPPT. PALAM EXTN. SECTOR 7,DWARKA   NEW DELHI 110045

CLUSTER 2: LOW INTEREST HIGH PROBLEM

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EMINENT
COMPUTERS PVT
LTD Shop No.5&6, Block - L1 Devli Bandh Road, Sangam Vihar   NEW DELHI 110062
RAHUL AGENCIES 31/5, JANGPURA EXTN.   NEW DELHI 110014
KAUSHIK GAS
AGENCY SH.NO.9 DHARMA COMPLEX, ROHTAK ROAD,   NEW DELHI 110041
SHYAMJI B-7, SHOP NO.17, GROUND FLOOR, VASANT KUNJ VASANT KUNJ   NEW
ENTERPRISES DELHI 110030
NOUSHEEN GAS
AGENCY 719/J,SHOP NO 3/5, MAHA BAGHVATI COMPLEX,   NEW DELHI 110043
SURYA GAS
AGENCY 9, JAGBIR SINGH MARKET, NEAR KRISHNAMANDIR,   NEW DELHI 110043
1-A, GOPAL NAGAR, MITRAON ROAD NEAR KHERA MORE, NAJAFGARH  
YOGENDRA GAS NEW DELHI 110043
RUCHIKA GAS
AGENCY B-51,LAXMIBAI NAGAR MKT   NEW DELHI 110023
VIRAAT SHOP NO. 2 & 3 GROUND FLOOR,GALI NO. 7 GARHI MENDU, PUSTA ROAD,
ENTERPRISES BHAJANPURA   DELHI 110053
ALOK GAS
SERVICES SHOP NO 1640,THANA ROAD, NAJAFGARH   NEW DELHI 110043

The Above cluster is of distributors with Low interest but face high problems.As the interest level is low
and the no. of problems faced are high so it is advisable not to target these distributors as they may not
give much sales.

CLUSTER 3: HIGH INTEREST FEW PROBLEMS

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KITCHEN FLAME B-2/15,CYCLE MKT,MANGOLPURI   NEW DELHI 110083

M. D. ENTERPRISES SHOP NO 5,VISHAL MKT, KINGS WAY CAMP WEST   NEW DELHI 110009
RAJA GAS SERVICE SHOP NO.7, BLOCK C-8 DDA MARKET, KESHAVPURAM   NEW DELHI 110035
ROBIN GAS SERVICE DDA SHOP NO.15,CSC-2,SECTOR 5, ROHINI   NEW DELHI 110085
142,I FLOOR,SHIVA MKT, PITAMPURA, ROHINI/BAWANA   NEW DELHI
ROHIT GAS AGENCY 110034
SAURABH GAS SERVICE SHOP NO 82 POCKET 13 SECTOR 24 ROHINI   NEW DELHI 110033
SHIV SHAKTI GAS SERVICE SHOP NO. 3,1/10,INDIRA VIKAS COLONY   NEW DELHI 110009
KAIN GAS AGENCY 1406A/13, GOVINDPURI, KALKAJI   NEW DELHI 110019
SACHIN GAS SERVICE 4/51, GUPTA MKT, LAJPAT NAGAR-IV   NEW DELHI 110024
CHANAKYA & SIDHARTH
GAS CO. SHOP NO A-3/24, DDA MKT, JANAKPURI   NEW DELHI 110058
DEEPAK GAS SERVICE 18/32, EAST PATEL NAGAR   NEW DELHI 110008
KHERA GAS SERVICE 3893, ROSHANARA ROAD   NEW DELHI 110007
MILIND GAS SERVICE WZ-5,KESHOPUR VILLAGE, VIKAS PURI   NEW DELHI 110018
NIKHIL GAS SERVICE SHOP NO 3, PHASE-II,POCKET-2, PASCHIM PURI   NEW DELHI 110063
UMIKA AGENCIES A-37, RING ROAD,RAJOURI GARDEN MKT   NEW DELHI 110027
DHRUV LPG DISTRIBUTORS 85-C, POCKET-B, MAYUR VIHAR PHASE-II   DELHI 110091
EASTEND ENTERPRISES B-7, DILSHAD GARDEN,GT ROAD, NAVEEN SHADRA   NEW DELHI 110095
NIHAL GAS SERVICE 149,POCKET D,MAYUR VIHAR-PHASE -II   NEW DELHI 110091
SATISH & COMPANY G-2,HAUZ KHAS MKT,   NEW DELHI 110016
SHARMAN GAS COMPANY C-4/15, SAGAR SADAN, KRISHNA NAGAR   NEW DELHI 110051
BLUE FLAME GAS SERVICES C-2-D,SHOP NO 6, JANAKPURI   NEW DELHI 110058
DELHI GAS D-5A, MILAP NAGAR BEHIND DESU, UTTAM NAGAR   NEW DELHI 110059

The Above are the potential distributors. They show high interest and have few problems. If their
problems are solved they can give high sales and help in increasing further awareness amongst the people.
So the company should focus on targeting these distributors.

CLUSTER 4: HIGH INTEREST HIGH PROBLEM

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MODERN COOKERIES D-160,KAMLA NAGAR MARKET   NEW DELHI 110007

VICTORY ENTERPRISES E-92/93,CAMP NO 2 ,ROHTAK ROAD, NAGLOI   NEW DELHI 110041
E-2,CHAND BAGH,VAZIRABAD ROAD, BHAJANPURA   NEW DELHI
MANVIR GAS AGENCY 110053
F-37/A,GROUND FLOOR DAYAL PUR EXTN, MAIN KARAWAL NAGAR
RAINBOW GAS AGENCY DELHI 110094

The above cluster is of distributors with high interest level and high number of problems faced. As they
have good interest so they can be the potential distributors. If not all some of their problems can be solved
so that they continue to show high interest and can increase sales.

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Chart 1 : Problems faced :

Problem Faced
Shelf Space uneducated delivery boy Rural Area
Price Difference Quicker Expiry Date

4%

20% 27%

18%

31%

The above chart shows the different type of problems faced by the 76 distributors. We can see that
31 % of the distributor face problem of “Uneducated Delivery Boys” which is the highest
percentage of problem. Next comes the Shelf Face problem which is being faced by 27% of the
distributors. So this is the second important problem which should be resolved. we can also see
that Price difference between market and the distributor’s basic price and the problem of Rural
area in which the distributor is operating are also the important problems which should be
resolved.

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Chart 2 : Interest Shown :

Interest Shown
Very Less/Negligible Less Medium
High Very High

11%
5%

17%
51%

16%

The above pie chart shows the interest level shown by the distributors for selling Dabur products.

We can see that 51 % of the total distributors showed negligible or very less interest which is not
good for the company. The less interest level may be because of the various problems which are
being faced by them. The company should focus on developing the interest amongst the
distributors to make this program successful. Only 11 % of the distributors show very high interest
rate, So these are very high potential distributors for the company. Dabur should also focus on
distributors showing less and medium interest level which contributes to about 33 % of total
distributors.

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Chart 3 : No. of problems faced by distributor :

No.of Problems Faced

0 = Nil 1 = Less 2 = Few 3 = Medium 4 = High 5 = Very High
1%
5%

12%

38%

18%

25%

From above graph we can see that 38% of distributors faces no problem, this may be due to the
fact that these distributors fall under the category of those who have shown very less or negligible
interest level in selling Dabur products at their Stores or offices. We can also see that 44 %
distributors face less or few problems which is good for the company. If these problems are
resolved then we can increase the sales through this project.

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Chart 4 : Clusters

Clusters
Low Interest Few Problem Low Interest High Problem
High Interest Few Problem High Interest High Problem

5%

29%

53%

13%

Above pie chart shows the percentage of distributors falling under different clusters formed.53%
of distributors are those who have less interest in this project and face few problems. The interest
should be developed amongst these distributors because they contribute to very high percentage.
Total of 34 % distributors show high interest rate but still it is very less as compared to those who
are showing less interest rate. The distributors should be given more discounts and facilities to
develop interest and make this project a success.

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SUGGESTIONS

Dispensers or Refrigerators: Dabur dispensers or cool

cage or small refrigerators can be provided to keep the food products like
juices in suitable condition. It will protect them from rodents also. Juices if available cold in
refrigerator would prove to be favorable.

Incentive based referral scheme. Incentive & Loyalty Points

Management system allows you to create your own points-based incentives, promotions and
loyalty system to reward your visitors, customers and members for purchases, promoting engaging
in feedback, taking tests, and much more. Create your own viral grass roots marketing system, or
street team system, to offer rewards to your most loyal members in exchange for promoting your
website throughout the internet. Similar to a frequent flyer program, your rewards system will
keep your customers coming back as they build their points and redeem them on your ecommerce
site in your online auctions. Incentives, points and rewards create the ultimate promotional tools,
rewarding frequent purchasers, new customers and your own internet marketing street team to
virally promote your products and services.
Special incentives can be given to the distributor who sells the high volume so as to encourage
him. As beyond LPG initiative is not mandatory for any distributor to follow from BPCL’S side,
something should be done to motivate them towards this initiative.

Approach managers and delivery boys: Distributors don’t sit for long in the
gas agencies. Train the delivery boys and managers well so that they can sell the products well
by convincing the consumers. Distributors should be encouraged to motivate the delivery boys.
Seasonal discounts on MRP: Little discounts should be given to the consumers so that they tend to
buy the products.

Marketing enhancements for increasing awareness that Real is a

product from Dabur: It is strange to know the fact that some
distributors were not knowing that Real and Activ juices come under the brand umbrella

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of Dabur. Thus marketing enhancements for increasing awareness should be

undertaken.

Advertising the Dabur- Bharat gas tie up: Consumers are not aware of any such
tie up. Therefore it is necessary to advertise for the same. This can be done by putting up banners
and posters at bharat gas agencies. Attractive brochures and leaflets in large numbers should be given
to the distributors at their agencies. It will also improve the ambience of the agencies and can be
attractive and eye- catching for the customers.

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 SIGNATURE TOWER 37
CYBER

TOWER

UDYOG VIHAR
INFINITY TOWER

GURGAON

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SALES PROCESS TESTING & DEVELOPMENT 

 

                           

Typical Sales Process Steps and Issues Addressed

 Cold calling to qualify leads

 Cold calling to reach decision makers
 Warm calling to expand the number of contacts in key accounts
 Quickly developing trust, rapport and credibility
 Getting critical information early in the sales cycle
 Minimizing phone tag and decision-maker voicemail shields
 Creating urgency and prospect motivation
 Closing and gaining commitment
 Negotiating
 Selling to big companies and multiple decision makers

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OBJECTIVE:

To map the packaged juice market of Gurgaon Corporate, identify the potential accounts and

add new accounts to increase the business of Dabur’s Real Fruit Juices in corporate.

METHODOLOGY:

 Major corporate clusters in Gurgaon were identified.

 Mapped the market of Gurgaon corporate by physically going to accounts.
 On a visit to the account, tried to find out information regarding the consumption of beverages.
 The consumption point and who provides it (Admin/Facility or direct vendor/caterer)
 Number of employees
 Beverages provided free of cost to the employees or charged
 The contact details for the concerned person who influences the decision regarding the sale
of beverages in the corporate.
 Whether packaged juices provided to the employees or not
 If yes, then which brands
 Cold calls were made to the key persons.
 Case 1: Packaged juice was not being provided to employees.
 Case 2: Packaged juice was being provided to employees.
 The brands of juices being purchased
 From where the packaged juices were being purchased
 At what price, if the person is ready to divulge the rates
 Average weekly sale/consumption of packaged juices
 If not keeping Real juices, then what is the reason behind it
 Would they be interested in doing business with Dabur
 In case a meeting was fixed or quotations were requested for, the lead was passed on to the Senior
Business Development Officer.
 In some cases, sales call was closed on the phone itself.
 Meetings were held with the interested accounts.
 Regular follow up of the leads was done till a deal was made or a negative response was given.

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 All the information collected was recorded in an excel sheet for future references.

OBSERVATIONS:
 Some vendors sell only Real fruit juices as there is demand for Real from their customers.
 Real is preferred over Tropicana in most direct corporate accounts.
 Many small vendors exist in Gurgaon.
 Vendors are concerned with profit margins and not with quality.
 Many vendors keep only Tropicana due to higher margins.
 Wholesalers provide rates lower than what Dabur’s distributors can offer.
 Mixed Fruit and Guava flavors have the maximum demand.

SUGGESTIONS:
 Continuous exploring of corporate as many new corporate complexes have come up in far off
areas.
 Dispensers or Refrigerators.
 Incentive based referral scheme.
 Approach admin managers.
 Marketing enhancements for increasing awareness that Real is a product from Dabur.

LIMITATIONS:

1. Some of the issues that come up when you are selling to people you cannot actually meet face-to-
face. You get around the issues of trust when you are selling exclusively via remote channels such
as telephone and e-mail.
2. Corporate people are busy. Difficult to get appointment.
3. Corporate are reluctant to change.
4. They are dependent on the middlemen/caterers/private vendors for providing juices etc
5. They don’t want to directly buy from Dabur as they have to maintain a different account for that.
With middlemen they have to maintain only one account with them and middlemen see to these
things.

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LEARNINGS

 The practical aspect of the Sales apart from the theoretical part studied in the classroom.

 The institutional sales process for a FMCG.

 Ground level understanding of the non-carbonated beverage market.

 The difficulties one faces in selling the products and finding new clients.

 Negotiating and convincing skills.

 The difference in the way of selling directly to the corporate and to the vendors.

 The importance of relationship building and the art of dealing with people.

 A bit of the operations of the distributor.

 The game of profit margins in the market.

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REFERENCES

o www.dabur.com

o www.financialexpress.com/...bpcl...beyond-lpg/89586/ - Angola

o bharatpetroleum.co.in/Admin/.../F000000038_Chairman_Speech_08.pdf

o http://www.pearsoned.co.uk/Bookshop/detail.asp?item=100000000015461

Book: YOU CAN SELL by Shiv Khera

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