Himalaya Drug Company

HIMALAYA DRUG COMPANY
BRANDING AYURVEDA
BY :-
Abhishek Tayal – 906
Arif Masud - 918
Narendra V - 942
I would like to see Himalaya as a trusted
brand in every household,symbolizing
global leadership in herbal health care …
- Meeraj Manal
Chairman,
Himalaya Drug
Company,2002
Brief History ..HDC
1930 - Group’s founder M Manal visits Burma,

highly impressed to see the soothing
effects of a herb ,Rauwolfia Serpentina on
restless elephants.
1930 - Establishes HDC as a partnership concern.
1934 - HDC launches SERPENIA ,world’s first anti
hypertensive drug.
1950 - Dr. Roshan M Captain joins HDC as R & D Head.
1955 - Launches LIV-52, a hepatoprotective
medicine,becomes one of the highest selling drugs.
1960 – Karstein, a German pharmaceutical consultant joins.
Directs HDC’s attention to allopathic medical
practitioners.
Company increases its product portfolio .
Introduces popular drugs like Bonnisan,Geriforte..
1975 – Establishes modern manufacturing facility at
Bangalore,later becomes it’s headquarters.
1980 – Established strongly in the area of ‘Research
Ayurveda’
Decides to enter personal care segment, but due to
some findings puts plan on hold.
1995 – Company’s R & D center shifted to Bangalore.
Develops an experimental herb firm,first of it’s kind.
1996 – US Food and Drug Administration permits herbal
products,HDC seizes oppurtunity and launches a range
of personal care products in the market under name
‘Himalaya’.
Opens offices in Houston ,Texas.
1998 – Company launches its animal health product range for
commercial livestock.
1999 – Launches personal care products under the name
‘Ayurvedic Concepts’.
2002 – HDC offers products in four segments :-
medicinal supplements.
Personal care products.
Pure herbs.
Animal health products.
Questions to be discussed……
- Comment on the HDC’s strategy of branding the

ayurveda and diversified product portfolio?
- Evaluate the company’s ‘Dadima’ advertising

campaign?
- Weigh the chances of HDC flourishing in the market

after the entry of players like HLL and specialists like
Shahnaz Hussain ?
Q:- Comment on the HDC’s
strategy of branding the Ayurveda
and a diversified product
portfolio?
THE CHALLENGE FOR HDC
According to the marketing research conducted
by HDC, most consumers perceived Ayurveda
as an age-old branch of medicine, which was
revered but not accepted as being reliable for
treating ailments. Thus, the two major tasks
for HDC in India were -
 to establish an image for itself and
 promote the message that Ayurveda was as
modern and vibrant a science as any other.
APPROACH OF THE COMPANY
A three-pronged strategy was adopted by HDC-
 It tried to create a perception that products
under the Ayurvedic Concepts range
addressed the complete body.
 The brand was promoted with a tagline, `Get
on with your life
 The product's positioning had to be conveyed
strongly by a protagonist.So the concept of
“Dadima” emerged.
THE RESULTS…..
 The strategy used by HDC responded very well
 The advertisement campaign proved to be a
great success as because the company was able
to link the product directly with the customers.
 The campaign became a great success and and
the name AYURVEDA became a household
name.
 Due to this the company was able to open its
stores.
And finally…
 Due to its strong R&D, product development

and marketing efforts, Ayurvedic Concepts was
able to garner business worth Rs. 150 mn in
1999, Rs. 250 mn in 2000 and Rs. 400 mn in
2001.
BUT
 Immense popularity of Ayurvedic Concepts' as a
brand was posing a threat to the company's
identity.
 Medical practitioners as well as consumers were
reportedly unaware about Himalaya being the
mother brand of Ayurvedic Concepts.
So the brand name was changed to HIMALAYA

The case of diversified portfolio
Rather than introducing new products, HDC decided
to consolidate its existing portfolio which included
39 products under hair, skin, oral and health care
products and company decided to focus on
shampoos and skin care products. BUT
 In April 2001, HDC launched a new product portfolio
under the `Pure Herbs' brand, classified under the
`Fast Moving Health Goods' (FMHG) category.
 The portfolio comprised a range of 12 pure herbs, as
`soft health' products, with therapeutic claims sold
as over-the-counter (OTC) products in packs of 60
capsules each and priced between Rs. 49 and Rs. 60.
ALSO
 By 2002, HDC was offering products in four
segments— medicinal supplements, personal
care products, pure herbs and animal health
products.
 In the financial year 2000-01, the company's
revenues amounted to Rs. 2.5 bn and its
operations were spread over 55 countries
around the world .
 Company sources expected revenues to reach
Rs. 3 bn by 2002 and to Rs. 5 bn by 2004.
So according to our group
 The decision of diversified portfolio proved to be
beneficial for the company.
 As the company had to change its brand name
from “AYURVEDA” TO “HIMALAYA”
introduction of new products under the new
name was necessary.
 Also HDC was facing competition from
companies like HLL, DABUR, P&G, SHAHNAZ
HUSSAIN, AYUR. So a diversified portfolio was a
complete necessity.. And this proved to be
successful…….
Q:- Evaluate the company’s
‘Dadima’ advertising campaign?
Our Answer…..
According to marketing research conducted by

HDC,most consumers perceived Ayurveda as an age-old
branch of medicine,which was revered but not accepted
as being reliable for treating ailments.
Two major tasks for HDC :-
- Establish an image for itself.
- Promote the message that Ayurveda was as modern
and vibrant a science as any other.
-HDC required a campaign which would be able to

destroy the commonly accepted notion of Ayurveda as
something developed by sadhus.
Plan of Action……
- In 1999,HDC launches an advertising campaign for its

range of personal care products branded Ayurvedic
Concepts.
- The Television Commercials for the brand featured an
unusual brand ambassador.
- Indians, who were used to advertisements featuring
celebrities, young , good looking models watched in
amusement an old “Grandmotherly” lady promoting the
brand.
Continued…..
- It was decided that the protagonist would be

Dadima( played by model Ava Mukherjee).
- “In our constitution,the Grandmother is still a very warm, loved

,trusted & resepected figure” - Soumitro Banerji, Executive vice
president,
Consumer products ,HDC…..
- “Dadima” – the brand ambassador broke the stereotype
image associated with grandmothers.
- Unlike the typical grandmothers, she was aware of the
latest trends & happenings.
Continued…
- Moreover ,she conveyed her knowledge of age old health

tips and HDC’s products in fluent English.
- Thus, successful in presenting a contemporary image of
Ayurveda.

Himalaya Drug Company

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HIMALAYA DRUG COMPANY

1930 - Group’s founder M Manal visits Burma,

- Comment on the HDC’s strategy of branding the

- Evaluate the company’s ‘Dadima’ advertising

- Weigh the chances of HDC flourishing in the market

 Due to its strong R&D, product development

So the brand name was changed to HIMALAYA

According to marketing research conducted by

-HDC required a campaign which would be able to

- In 1999,HDC launches an advertising campaign for its

- It was decided that the protagonist would be

- “In our constitution,the Grandmother is still a very warm, loved

- Moreover ,she conveyed her knowledge of age old health

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