In an interaction with Industry Outlook, Mohit Malhotra, CEO, Dabur India Ltd. shares his views on the evolution of traditional medicine market and the role played by Dabur India.
Nearly 75 per cent of people in India use some form of traditional medicine, a category that includes Ayurveda. How do you see the current evolution of this market in India? What are the major factors driving its growth?
The rapid spread of the COVID-19 pandemic led to a surge in demand for immunity-boosting Ayurvedic Health Care products in India.
Ayurveda, with its time-tested remedies and benefits, gained prominence in the minds of consumers who were seeking natural remedies to fight against the illness.
The demand surge led to a significant increase in penetration of Ayurvedic products like Chyawanprash with a growing number of younger consumers adopting this time-tested remedy to
build immunity. However, there's still a lot of potential for growth. Chyawanprash penetration, for instance, has doubled in the last one year but still remains at only around 8%. Similarly, branded Honey penetration in India is still at 23%. Ayurveda penetration in India is still low and there is immense scope to increase penetration and bring more non-users into the fold.
At Dabur, we are committed to our Mission of ‘GharGhar Ayurveda’ and have been working towards modernizing and contemporizing Ayurveda to increase its appeal for the millennials and centennial consumers.
How is Dabur positioned in this market?
Dabur has always believed in the benefit of Ayurveda and has been spreading the goodness among our consumers in India with a range of Ayurvedic products. For the past 135 years, we have been developing and successfully introducing products based on Ayurveda to cater to the ever-changing needs of the consumer. We maintain an edge over our competitors with our 135-year-old herbal and Ayurvedic heritage. We remain true to our heritage and are continuously working to update our portfolio in line with changing consumer demands and aspirations.
With the increasing demand for Ayurveda and Ayurvedic interventions in the post-COVID world, Dabur leveraged this opportunity by aggressively increasing the awareness and visibility of our products and enhancing their availability on e-commerce platforms as well as kirana stores, which were the preferred channels during the lockdowns. We also went a step ahead by providing immunity at the doorstep of our consumers through our Immunity Van programme.
While a lot of players are talking about or introducing their so-called Ayurvedic variants, Dabur offers authentic Ayurveda backed with Science. It’s this Science-based Ayurveda that’s our USP in this market and has helped us grow ahead of others. We have been investing in Ayurveda for over a century now and have been introducing products that offer the benefit of traditional Ayurveda in modern-day formats, backed with scientific tests.
Our Ayurvedic toothpaste Dabur Red paste has been among the fastest growing toothpaste brands in the country and we have emerged as the third largest player in this market. We have recently introduced the country’s first Ayurvedic Gel toothpaste. Another recent example is the launch of an Ayurvedic kadha for cough and cold in a ready-to-use format called Honitus Hot Sip. In addition, a number of new Ayurvedic products and medicines have been launched for digestive care, women’s health care, liver care etc.