The factors that drove Dabur to reposition itself from a provider of Ayurvedic products to a herbal FMCG company

The factors that drove Dabur to reposition itself from a provider of Ayurvedic products to a herbal FMCG company
As a rule, a company tends to reposition its product because competitive pressures, new channels, and changing customer needs have eroded their brand's positions of strength. Product repositioning is changing the place a product occupies in consumer's mind relative to competitive products. As Ries and Trout outlined, positioning is not what you do to a product, but what you do to the mind of the prospect.

First and the most important, I should admit that Dabur's outdated umbrella brand strategy prompted the situation when a wide range of products from shampoo, massage oil and toothpaste to digestive, honey and juice turned out to be under one roof. On the one hand, this approach can ensure low advertising and promotion cost and successful line extension. Consumers who had a good experience with the product will transfer this favourable attitude to other items in the product class with the same name. However, this strategy works best when it provides company sales by taking business away from competing brands or attracting new buyers.

Dabur couldn't straddle so many categories. Besides, in the public perception this brand was associated with ayurvedic medicines and targeted 35-plus age group, missing therefore up to 70% of Indian population. Consequently, Dabur needed differentiated strategy for each product group of its portfolio. In addition, its brand equity required a strong appeal to youth.

However, Dabur's exclusive ayurvedic approach, 100-year experience, substantial research background and a reputation as an herbal expert could open a window of opportunity within India and in global expansion.

Professional paper writers each thoroughly vetted by quality team prepare custom essays to suit your demands and needs. Such help with written assignments is especially important for those who lack time and resources.

The factors that drove Dabur to reposition itself from a provider of Ayurvedic products to a herbal FMCG company 9.9 of 10 on the basis of 1485 Review.