Fast moving consumer goods major, Dabur India is targeting Rs 5,000 crore in sales from its healthcare segment and Rs 7,000 crore from home and personal care vertical in the next 5-7 years, the company said in an investor meeting on Friday.
Both healthcare and home and personal care verticals, part of the consumer care business, are major contributors to Dabur‘s business. In FY23, these accounted for 56.2% of the consolidated sales of Dabur, which was Rs 11,530 crore.
Besides, the company expects demand for natural products like herbal and ayurvedic to grow in line with increasing per capita income.
“We have seen our power brands grow from 69% in FY19 to 76% in FY23 and have gained market share in all our brands. We will be adding more premium range in the power brand category,” Mohit Malhotra, CEO, Dabur said.
He said that currently the company’s premium portfolio accounted for about 8-9% of the total business. “We have always been a rural brand but going forward building premiumisation in each category is the goal. We want to inch up our gross margins through premiumisation,” Malhotra added.
Dabur will create a Rs 500 crore power brands from each of its product category, he said.
“Low unit packs (LUP) penetration would grow in this country. Dabur as an organisation, should add more LUP for more penetration in rural. More premium products would be added in all power brands going forward,” Malhotra said.
Even in the food and beverage segment, the company has plans to expand in the existing categories and enter into new categories as well. Currently, in the food segment, Dabur leads in the Juice segment with brand real.
“We are trying to increase the addressable market of Real,” he said, adding it has been now divided into three sub-brands – food, milk and health.
Dabur is also extending its Badshah Masala to global markets with the launch of an international region-specific spice range.
