This document summarizes the past performance, objectives, and marketing strategy for a new herbal toothpaste product called SensiCure aimed at the sensitive teeth market in India. It discusses expanding the product portfolio and geographical reach in recent years. The objectives are to gain 3% market share in the sensitive toothpaste category worth 150 crore rupees within 3 years. The marketing strategy involves penetrating tier 2 and 3 cities through distributors and retailers while providing them higher margins. Pricing is set at Rs. 70 through a penetration strategy. Most promotion spending will be on sales promotions to stimulate customer purchases.

1. Past Performance
Product
• Oral care
portfolio
grew by
13.9%
during
2013-14
• Dabur
Red
toothpaste
most
successful
product
• Available
in various
size and
shapes
Price
• Pricing for
every
segment of
the country
• Introductio
n of
smaller
packs
• Re 1
sachet of
Vatika hair
oil
• Cutting
price to
stand out
competitio
n
Place
• Constantly
expanding
its
geographi
cal reach
• South
India and
Internation
al market
• Focus
areas-
Asia
pacific,
Afghanista
n, Russia
and other
CIS
countries
• Separate
team for
each
product
• Utilized
popularit
y of
Indian
films
• Various
partners
hips and
new
means
Promotion

2. STP
Segment Factor: Family
Target Audience: Lower and Middle income groups, Tier I, II cities and
towns among the age group 18-45

3. Objectives
 25% of sensitivity market in 3 years which is 3% of
toothpaste industry and stand at a business of 150+ Cr.
 Till the year 2016, the oral industry is expected to grow at a
CAGR of 14% out of which sensitive toothpaste industry is
growing at 32%.
 We aim in the first year at:
Equivalent volume = 44.5 lakh units
Market Share = 5%
Value = Rs 35.6 Cr

4. Positioning Statement
“India's first totally ayurvedic/herbal toothpaste
that attempts to cure tooth problems caused due
to sensitivity and gives relief throughout the day,
ensuring lasting protection consistently when
used regularly.”

5. Product Strategy
 India’s first herbal sensitive toothpaste SensiCure
 No chemicals. Green colored cream based.
 Available in 40g and 80g packs.
 Provides relief against sensitive teeth and gums.
 Plesant taste and 100% veg.
 Opaque tube in a paper box.
 Maintains natural whiteness.

6. PRICING
• Maximizing market share through penetration.
Target market share is 7% at the end of 1st yearObjective
• Projected size – Rs 673 Cr, 52% met by
leader(sensodyne) and challenger(colgate)
• Equivalent units – 8.4 Cr, to be met by Dabur – 33.66 lakh
units
Demand
• Manufacturing cost will be 50% of the total selling price to the
customer.
• Industry average for Promotion is 10%, Distribution cost will be
20-25%, sales force spending will be 8% of per unit price for
the product.
• Dabur will pay handsome margins to the retailers for effective
promotion..
Cost

7. PRICING
• Prices hover around Rs 80, not much of a
difference.
• It can be inferred that price is perceived by the
customers as fair
Competitors
price
• Penetration pricing method
• Capitalize on herbal content of the product
Selecting
method
• Target segment price sensitive, Providing a product
that will be considered value for money.
• Would have to spend a huge amount on advertising,
to compensate for that the final price will be Rs. 70
Final price

8. DISTRIBUTION
 Dabur’s distribution network is one of its key strengths. Its focus is to touch consumers with
a three-way convergence - of product availability, brand communication, and higher levels
of brand experience.
 Carrying and forwarding agents
 CFA at the following locations for the distribution: Chandigarh , New Delhi , Calcutta,
Ahmadabad, Mumbai, Hyderabad, Chennai, Bangalore, Pune
 They would be responsible for further penetration to distributors and retailers in tier II
& III cities.
 Retailers
 Better margins provided to retailers compared to those provided by the competitors
 Additional shelf space will be sought
 POP material would be provided in the form of stickers, banners, displays, posters,
signs, streamers, etc.
 Usage of existing distribution network.
 The product will also be available at
 Dentists offices
 Retail outlets: Big Bazaar, Spencers etc ( mostly in tier I cities)
 Small retailers like Religare and pharmaceutical outlets( teir II & III cities)

9. Distribution Strategy
Production (Rs
35), transferred to
CFA at 40%
margin.
CFA sells to distributors at
a margin of 5%
Distributors sell to
unorganized retailers
at a margin of 5.5%
and organized
retailers at a margin
of 5%.
Unorganized & organized
retailers get a margin of 15-
20% (depending on factors
like location, promotion exp,
sales promotion, etc.)
Customer is sold the
product at Rs 70

10. PROMOTION
Advertising and Public
relations
Majorly in radio and print
media (26% ~ Rs 1.56Cr)
Direct Marketing
4% allotted, as per
industry average
Used for building
awareness and
communities
Sales Promotion
70% of the budget
stimulating customers to
buy the product
Promotion Strategy is different for each
stage
Total Promotion Budget: Rs 6 Cr
COMMUNICATION MIX