Dabur Aims For Rs 5000 Cr In Healthcare Sales, Rs 7000 Cr In Home, Personal Care In 5-7 Years
Dabur India, a prominent homegrown FMCG (Fast-Moving Consumer Goods) company, has set ambitious sales targets for its healthcare and home and personal care divisions in the next five to seven years. The company aims to achieve Rs 5,000 crore in sales from its healthcare segment and Rs 7,000 crore from the home and personal care vertical.
These two segments, integral to Dabur's business, collectively accounted for 56.2 per cent of the company's consolidated sales in FY23, which totalled Rs 11,530 crore.
One significant driver of growth is the increasing demand for natural products, particularly herbal and Ayurvedic offerings. Dabur expects this demand to surge in tandem with rising per capita incomes. Moreover, as the number of upper-middle-class consumers continues to grow, Dabur plans to introduce more premium products in its power brands.
In rural markets, there is anticipated growth in the consumption of Low Unit Packs (LUP), which cater to the affordability needs of these areas. Simultaneously, Dabur is exploring opportunities for expansion in its food and beverage segment, both within existing categories and by entering new ones.
Presently, Dabur is a leader in the juice segment with its "Real" brand and is working to broaden its market reach. This involves dividing the Real brand into three sub-brands: food, milk, and health.
Additionally, Dabur is taking its Badshah Masala brand to international markets, launching region-specific spice ranges. The acquisition of Badshah Masala last year marked Dabur's entry into the rapidly growing spices and seasoning category.
Dabur's Food & Beverages (F&B) business, which includes fruit-based beverages and various food products, contributes 15.1 per cent of its consolidated sales. The company has plans to double its F&B business within the next five years. Furthermore, Dabur intends to expand its Gulabari brand into body wash and soap categories.
Despite its market leadership in some categories, Dabur acknowledges that the penetration of healthcare products remains low compared to neighbouring markets. The company sees an opportunity to grow this category substantially and aims to secure a prominent position within it. Regarding potential acquisitions, Dabur remains open to opportunities but has not disclosed any imminent targets at this time.
