As part of Dabur India’s strategic overhaul, conducted in collaboration with McKinsey, the brand identified seven core pillars for future growth. These include investments in core brands, premiumisation, bold bets in healthcare and wellness, portfolio rationalisation, GTM (Go-to-Market) transformation, M&A, and operational optimisation.
One major area of focus is the rationalisation of underperforming products, aimed at releasing capital and resources to reinvest into higher-potential segments.
In the latest earnings call, Mohit Malhotra, CEO, Dabur India, said, “We will exit the tea category, baby diapers, the sanitising category (already exited), and the Vita/Vedixi categories. These segments have been margin-dilutive and offer limited right to win in terms of long-term strategic advantage. Additionally, we plan to exit the breakfast cereals segment. Altogether, these categories account for approximately 1% of our total revenue.”
This move will allow Dabur to sharpen focus on high-growth, high-margin categories that align better with our brand equity and core capabilities.
Malhotra further stated that the brand will reallocate resources to its stronger, scalable brands and products such as Dabur Red, Real, Chyawanprash, Honey, Hajmola, Amla, Odomos, and Vatika. These currently contribute nearly 70% of its portfolio and offer significant runway for expansion, both in India and internationally.
In addition to this, Dabur India will be focussing on premiumisation and format innovation strategy across key categories — introducing serums, conditioners, and masks in hair care; zero-sugar and preservative-free beverages in its Real portfolio; and modern healthcare formats like gummies and powders in the wellness segment.
Malhotra also highlighted the strong performance of emerging channels, specifically noting that e-commerce and quick-commerce delivered double-digit growth during the quarter. This growth came at a time when general trade in urban markets was under pressure, making these channels increasingly important for Dabur’s overall performance.
As part of Dabur’s broader strategy, dubbed GTM 2.0 (Go-To-Market 2.0), the company is placing a renewed emphasis on expanding its reach and execution across e-commerce, quick-commerce, and modern trade.
As per Malhotra, the aim is to double down on these platforms, particularly in urban markets, as they offer higher ROI, better data integration, and allow for more precise targeting of consumer segments, especially for premium and contemporary products.
Additionally, in the context of premiumisation, he also pointed out that channels like e-commerce and quick-commerce are critical enablers. For example, premium products in hair care (like serums, conditioners, and masks) and health and wellness (such as functional beverages and modern healthcare formats like gummies and powders) are often more effectively launched and scaled through digital-first platforms.
