Dabur has decided to revise its strategic vision cycle from four years to three years to create a more agile organisation
In a quarter marked by high food inflation, continued moderation in urban demand and a strong resurgence in rural markets, Mohit Malhotra, the Chief Executive Officer (CEO) of Dabur India, a fast-moving consumer goods (FMCG) major has stated that the company’s focus on premiumisation is paying off and that portfolio has been outperforming its overall business in the country.
In a regulatory filing by the company, Malhotra stated, “Our focus on premiumisation is also paying off, with our premium portfolio growing 2.5 to 3 times faster than our overall business in India. We intend to continue this journey and keep delivering products that exceed our consumers’ expectations.”
Highlighting that as the geopolitical landscape remains volatile in the short term, shrouded by uncertain macroeconomic indicators, Malhotra added that the company has decided to revise its strategic vision cycle from four years to three years to create a more agile organisation that can quickly navigate the challenges and capture the emerging opportunities.
“We have engaged a Leading consulting firm, McKinsey & Co to refine and align our strategies for the next three years in line with the evolving dynamics,” he mentioned.
With consistent market share gains across key categories and continued investments in consumer-centric innovation to drive demand, Dabur India marked a 3.1 per cent surge in consolidated revenue for the third quarter ended 31 December 2024. The revenue for Q3FY25 stood at Rs 3,355 crore, up from Rs 3,255 crore in the same quarter last year.
“We focused on strengthening our competitive edge in the marketplace to gain market share in 95 per cent of our portfolio and enhancing brand superiority to strengthen and consolidate our position in the categories where we operate,” Malhotra said.
The company’s rural distribution network expanded by 15,000 villages this financial year and has reached over 1,31,000 villages. Stating that this reach has given the company a distinct advantage, allowing it to drive rural growth at a pace nearly 140 basis points (bps) ahead of urban areas, Malhotra added, “The positive trend in rural consumption is a testament to our commitment to this consumer base and our ability to adapt to their unique needs.”
The India Business saw Dabur’s key brands and products post category-leading growths with market share gains across 95 per cent of the portfolio, led by a 150 bps improvement in Hair Oils market share. With this, Dabur’s total hair oils market share now stands at its highest-ever 18 per cent. Dabur also reported a 101 bps gain in Air Freshener market share and a 318 bps gain in Juices & Nectars market share, as per the company’s statement.
On the Environmental, Social and Governance (ESG) front, the CEO added that as the company moves forward, it remains steadfast in its mission to drive sustainable growth and make a meaningful impact on the world.
