When you examine the competition between Patanjali Ayurveda and Dabur India, it can easily turn out to be one of the most interesting stories of the Indian FMCG industry. While both families are leaders in ayurvedic and natural products, the consumer market that they target, their marketing strategies, and their brand images are totally different. This article attempts to explain the consumer buying behaviour between Patanjali vs Dabur that has a bearing on their positioning in the market, with minimum attention paid to specific products.
Brand Identity and Positioning
- Patanjali: Patanjali Ayurved has sought to penetrate the market as a market disruptor. Launched by Baba Ramdev and Acharya Balkrishna in 2006, Patanjali announced itself to be a ‘swadeshi’ contender against multinational corporations. The brand sells patriotism, guaranteeing that the economic status won’t be a problem due to the low price and claiming widespread availability, targeting the middle class that cares about health.
- Dabur: Dabur India is the more established brand, having existed for over a hundred years and having focused on preserving, trust, and tradition. Several consumers with a great need for natural treatment and anti-ageing products find solace in Ayurvedic ways of healing. The trust, research, and quality that Dabur emphasises have enabled them to have a wide customer base, which includes those in urban and rural India, specifically targeting the middle class.
Consumer Trust and Perceptions
- Patanjali: The image of Baba Ramdev has remarkably affected consumer trust. His personification of a yogic figure who preaches nonmaterialistic living touches the hearts of many of the middle-class Indians. Such trust is reflected in buying behaviour, especially for health and personal care products. They provide such products as Patanjali Dant Kanti, which have been replacing the big brands of toothpaste over time.
- Dabur: The presence of Dabur for so long in the market generates unheard trust levels for traditional consumers. This is further underscored by high investments in R&D and quality focus and delivery. For example, Dabur Chyawanprash, a formulation said to be the best health supplement, is an edible good used for boosting immunity and strength in every other household.
Price Sensitivity and Affordability
Price sensitivity is a determining factor for the profit margins in many buying decisions within the Indian FMCG space.
- Patanjali: A well-known brand for selling consumer goods at relatively lower prices, Patanjali caters to budget buyers. It optimises production, which helps retain lower margins and makes ayurvedic commodities available across the country. This strategy works better in the Tier II and Tier III cities.
- Dabur: While slightly more premium in its pricing, Dabur justifies the cost with a focus on quality and heritage. Urban consumers and those willing to pay more for trusted formulations often prefer Dabur. Many customers are willing to pay a higher price for Dabur Honey as it enjoys an unparalleled reputation and is considered highly pure.
Marketing and Advertising Strategies
- Patanjali: The marketing approach of Patanjali is very basic and is based on the culture of the people. In their advertisements, the manufacturers make claims about the use of organic materials, positives for one’s health, and love for the motherland. The association of Patanjali with Yoga and Ayurveda makes it more appealing to the health-sensitive population.
- Dabur: Its advertising is focused on emotional aspects of the minds of the consumers. Their campaigns focus on various aspects such as the need for parents to protect their children, reliance on traditional medicines, and the need for a healthy lifestyle, which can be helpful to people from different age groups.
Product Availability and Distribution Networks
Both brands have extensive distribution networks, but their approaches differ.
- Patanjali: Patanjali leverages exclusive retail outlets alongside supermarkets and online platforms. The brand’s availability in rural areas, combined with its affordability, enhances its reach among lower-income groups. Among the Aloe Vera range, Patanjali Aloe Vera Gel has become popular as a natural moisturiser in the skincare range for mothers, making it a favourite for personal care purchasers.
- Dabur: Dabur’s deep-rooted distribution system spans urban and rural markets. Its presence in pharmacies, general stores, and e-commerce platforms ensures that its products are widely accessible. The best of such kinds of products is Dabur Red Paste, which is a household name for many people as it is marketed as an Ayurvedic product’s and has been passed down generations.
Consumer Segments and Demographics
- Patanjali: The brand appeals predominantly to middle-class families, health-conscious individuals, and rural consumers. Its affordability and the perception of offering “natural alternatives” to chemical-laden products make it attractive to a younger demographic seeking healthier lifestyles.
- Dabur: Dabur’s market consumers are comprised of elderly people who are inclined to use old age solutions in a medicine form and well-to-do city dwellers willing to spend on better products and medicine. The company places emphasis on tested and proven concoctions that endear the company to consumers who prefer the use of particular products and the history behind them.
Digital Influence and E-commerce
- Patanjali: While relatively slower to adapt to digital marketing initially, Patanjali sought to improve its online marketing opportunities through the use of Flipkart and Amazon, with a focus on using information technology. Further, the company has its own e-commerce website, enabling a wider range of clients, say customers of Patanjali Cow’s Ghee, to enjoy convenience.
- Dabur: Dabur has a robust digital marketing strategy leveraging social media, influencer collaborations, and targeted advertising to reach tech-savvy consumers. Products like Dabur Amla Hair Oil benefit from this digital outreach, especially among younger buyers exploring traditional haircare solutions.
Consumer Loyalty and Repeat Purchases
- Patanjali: The emotional and cultural connect Patanjali fosters results in strong brand loyalty. Consumers often purchase multiple products across categories, from food to personal care, creating a one-stop-shop effect.
- Dabur: Customer loyalty to Dabur has been evident throughout the years owing to reliability and quality of the products. Even today, families that have now used Dabur products for generations treat them as essential household items.
Challenges and Opportunities
- Patanjali: While its rapid expansion has been impressive, Patanjali faces challenges in maintaining consistent quality across its growing portfolio. The brand also competes with multinational giants introducing their “natural” product lines.
- Dabur: Dabur’s main challenge lies in balancing its heritage identity with the need to innovate and attract younger consumers. Expanding into niche markets, such as organic and vegan products, presents opportunities.
Conclusion
India’s FMCG market has two founding towers that share the same base while simultaneously being distinct and separate, Dabur and Patanjali. While for Patanjali, the focus has been on affordable products and immense cultural branding, which works with a group of consumers who are price-sensitive, for Dabur, heritage and rugged quality allow them to reach a larger set of consumers prepared to pay for reliable goods.
Both continue to create more products and renew the old ones in responsiveness to the evolving consumer needs, which will make them relevant in the competitive environment