A STUDY ON

Content
 About HUL  Market Share
 Vision  Competitors
 Mission  Edge over Competitors
 Heritage  Harnessing IT
 History  Merger & Acquisition
 SWOT Analysis  Award
 Segmentation  Future Plan
 Products  Future Technology
 Distribution System  Major Challenges
 Marketing Strategy  Finding / Suggestion
 Promotion Strategy  Conclusion
About HUL
 Hindustan Unilever Limited (HUL) is India's largest
Fast Moving Consumer Goods Company, touching
the lives of two out of three Indians with over 20
distinct categories in Home & Personal Care
Products and Foods & Beverages.
 The company was renamed in late June 2007 to
"Hindustan Unilever Limited”, to provide the
optimum balance between maintaining heritage of
the company and future benefits.
 HUL holds 100 factories across India for
manufacturing its diverse product range.
About HUL Contd…
 The turnover was Rs. 20,239 Crores in the last fiscal
year ended by March 31st , 2009.
 HUL has more than 15,000 employee, including
over 1,400 managers.
 HUL is a subsidiary of Unilever, one of the world’s
leading suppliers of fast moving consumer goods
with strong local roots in more than 100 countries
across the globe with annual sales of €40.5 billion is
holding 52 % share in HUL.
 HUL offered 10 % share for Indian market, being
the first among the foreign subsidiaries to do so.
About HUL Contd…
 HUL meets everyday needs for nutrition, hygiene,
& Personal care, with brands that help people feel
good, look good and get more out of life.
 HUL is rated among the top four companies
globally in the list of “Global Top Companies for
Leaders” by a study sponsored by Hewitt
Associates in partnership with Fortune Magazine
and the RBL group.
 HUL is the No. 1 company in the Asia – Pacific
region and in India in the same survey.
 HUL completed 75 years on October 17th , 2008.
Vision
 To meet consumer needs they will respect the
concerns of their consumers & of society.
 To make injury free organization.

Mission
 To add vitality to life.
 Bring safety on top of mind for employees &

will integrate it with all business processes &

ensuring a safe & healthy work environment.
Heritage
 In the summer of 1888, visitors to the Kolkata
harbour noticed crates full of Sunlight soap bars,
embossed with the words "Made in England by
Lever Brothers". With it, began an era of marketing
branded Fast Moving Consumer Goods (FMCG).
 Soon after followed Lifebuoy soap in 1895 and
other famous brands like Pears, Lux and Vim.
 Vanaspati ghee was launched in 1918 and became
the famous brand Dalda.
History
 On November 27th 1931, Unilever set up its first
Indian subsidiary of ‘Hindustan Vanaspati
Manufacturing Co.’
 ‘Lever brothers India Ltd.’ Incorporated on October
17th 1933.
 ‘United Traders Limited’ incorporated on May 11 th
1935.
 In 1956, Three companies merged to form ‘Hindustan
Lever Limited’, with 10% Indian equity participation.
 July 19th 2007, changed the name to Hindustan
Unilever Limited.
SWOT Analysis
 Strength :-
 Innovative Aspects.
 Presence of Established distribution network in

both.
 Strong R&D.
 Highly skilled HR.
 Effective CSR.
SWOT Analysis Contd….
 Weakness :-
 Strong Competitors.
 Low Export Level (At Present).
 Changing consumption pattern.
 High advertising costs.
SWOT Analysis Contd….

 Opportunity :-
 Large Domestic Market.
 Untapped rural Market.
 Changing Life Styles of consumer.
 Increasing the consumer income.
SWOT Analysis Contd….
 Threats :-
 Tax & Regulatory Structure.
 Mimic of Brands.
 New Entrants.
 Increasing Raw Material cost.
Segmentation
 HUL is the largest FMCG company. HUL’s
products are now in 2 hands out of 3 hands of
India.
 The customer of HUL products is every one.
Starting with child, youth to old age as well.
 Women are fond of the product of HUL. All
product are available for women’s needs & desires
 So, HUL is targeting as a whole for its product.
Products

Celebrated 75 years in India

 Food Brands

Playful banter, a little Lipton has a range India’s favorite cup Brooke Bond Taaza lifts Brooke Bond Taj Mahal
mischief, serious of vitality teas that of tea, the great taste me people unshackles is an exclusive selection
conversation… there’s truly encompass of Red Label brings the mind, allowing them of teas for the
no time for young the goodness of people closer to see and realize discerning consumer.
couples like the time tea. together and possibilities.
spent sharing a cup of 3 strengthens
Roses. relationships.

Ek cup Bru aur A good honest With Kissan, good Kissan Amaze Knorr helps Partnering with the
mood ban jae… scoop of daily food is loved not Brainfood is speci families make meal mom in nurturing her
pleasure. shoved! - fically designed times special, dreams, Annapurna
for the mental nutritious, tasty and Atta is aimed at
development of healthy. helping her provide
kids. wholesome tasty
nutrition to her
 Home Care Brands

Sunlight is a Cif- the best cleaner The world’s The sheer power of
color care brand to let you shine. largest fabric Domex bleach gives
conditioner brand. you the confidence you
need, eradicating all
known germs.

Created in 1885, the Vim Active Wheel de Rin provides ‘best in Giving your kids the
brand is still innovating "Mehnat se Aazadi" class whiteness’ which freedom to get dirty and
and using the magic of Freedom from painful is demonstrable. experience life, safe in
natural ingredients to & tiring laundry the knowledge that Surf
create unbeatable results Excel will remove those
over a hundred years stains
later.
 Personal Care Brands

Lux believes in passion
for beauty. It continues to
be a favorite with
generations of users for a
sensuous experience of
luxury.
Holistic skin care experiences Breeze, with the goodness Awaken, and enliven your
perfected over the ages to of glycerine gives soft, senses with a Liril bath.
deliver healthy, beautiful fragrant and smooth skin.
skin

Rexona gives you 24 Pears – the purest and most Lifebuoy is available in
Dove stands for real beauty.
hour protection from gentle way to skincare! multiple variants in
All around the world, Dove
sweat and body odour soaps and specialist
is making complete therapy
and therefore the formats such as liquid
for your hair.
confidence to handle hand wash, catering to
whatever the day has the entire family.
in store.
 Personal Care Brands

New Clear with Essential Oils, Clinic Plus is India’s largest selling Sunsilk encourages young women in
guarantees Zero dandruff and shampoo and has won the trust the India to live for today. Sunsilk helps you
leaves your hair feeling fabulous. millions of families across India. transform the beauty of your hair
instantly because LIFE CAN'T WAIT!!

Dove stands for real beauty. All around Freshness that brings you Closer Pepsodent India is committed to improve
the world, Dove is making complete the overall Oral health of Indians.
therapy for your hair.
 Personal Care Brands

Your skin is Rexona gives you 24 Axe with Best The new expansion Lakme is an ally to the
amazing. It hour protection from Quality Fragrance of fairness cream for Indian Woman and
deserves to be sweat and body men inspires her to express her
treated as such. odour and therefore unique beauty and
the confidence to sensuality. Thus, enabling
handle whatever the her to realize the potency
day has in store. of her beauty.

Aviance enables women
actualize their unique
potential through expert
customized beauty
solutions.
LEVER Ayush aims to
help a new generation
of Indians rediscover
everyday health and
vitality through
customized Ayurvedic
solutions.
Get the expert to look after
your skin
More than 30 years ago,
a unique brand was
born. Wrapped within a
humble lavender tube,
it went on to become
the World’s No.1
Fairness cream.
Distribution System
 Distribution system’s focus to enable easy access to
their brands, touch consumers with a three-way
convergence - of product availability, brand
communication, and higher levels of brand
experience.
 The most obvious function of distribution
system is to provide the logistics support to
get the company’s product to the end customer.
 The another important role of this system is to

maintain the information flow between

company to consumer.
Distribution System
 HUL's products, are distributed through a network
of about 7,000 redistribution stockists covering
about one million retail outlets.
 The general trade comprises grocery stores,
chemists, wholesale, kiosks and general stores.
 Company provides tailor made services to each of
its channel partners.
 HUL is using the point of purchase method for
much higher level of direct contact, through in-
store facilitators, sampling, education and
experience.
Marketing Strategies for Urban Areas
 Focuses on short supply chain for distribution.
 Meet every need of people everywhere.
 Build segments & market for the future wise
Unilever has strong expertise.
 Emphasis on Direct selling, Franchisee to reach
everyone .
Marketing Strategies for Rural Areas
 For long term benefit HUL started PROJECT
STREAMLINE in 1997.
 Appointed 6000 sub–stockists that directly covers
about 50000 villages & 250million customers.
 Integrate, economic, environment, & social
objective with Business Agenda.
Promotion Strategy
 Project Shakti :- This project was started for Co’s
promotion in rural market as well as women
empowerment. HUL's partnership with Self Help
Groups of rural women. It was started in 2001,
Project Shakti has already been extended to about
50,000 villages in 12 states - Andhra Pradesh,
Karnataka, Gujarat and others.
 Hindustan Unilever Network (HUN) :- It is the
company's arm in the Direct Selling channel. It
presents a range of customised offerings in Home
& Personal Care and Foods.
Promotion Strategy Contd…
 Lifebuoy Swasthya Chetana :- The programe
endeavours to induce adoption of hygienic practices
among rural Indians and aims to bring down the
incidence of diarrhoea.
 Out-of-Home :- This deals in providing vending
machines for hot beverages like tea and coffee. HUL’s
alliance with Pepsi Co. has significantly strengthened
the channel.
 Health and Beauty services :- (i) Lakme Salons
provide specialised beauty services and solutions, under
the recognised authority of the Lakme brand. (ii) The
Ayush Therapy Centres provide easy access to authentic
Market Share
 Market Shares of Soap – 60%.
 Market Shares of Food Brands – 70%.
 Market Shares of Oral Products – 36%.
 Market Shares of Household Cares – 62%.
 Market Shares of Personal wash – 60%.
 Market Shares of Skin Care – 53%.
Competitors
Edge over Competitors
 Unilever, in its worldwide operations, strives to be a
multi local multi national. Working since 1912.
 Reflected national priorities over the years and
remained committed towards India.
 Large market capitalization and Product Variety.
 Good Company policies such as :-
 Developing and using relevant technology
 Generating productive employment
 Stimulating industrialization and dispersing its benefits.
 Adding value to agriculture.
 Sustaining export performance.
Harnessing Information
Technology
 An IT-powered system has been implemented to
supply stocks to redistribution stockists.
 The objective is to make the product available at
the right place and right time in the most cost
effective manner.
 For this, stockists have been connected through an
Internet-based network, called RS Net, for online
interaction.
 RS Net is part of Project Leap, HUL's end-to-end
supply chain.
Mergers and Acquisitions
 In 1992, the erstwhile Brooke Bond acquired
Kothari General Foods, with significant interests in
Instant Coffee.
 The erstwhile Tata Oil Mills Company (TOMCO)
merged with HUL, effective from April 1, 1993.
 In 1993, it acquired the Kissan business from the
UB Group and the Dollops Icecream business from
Cadbury India.
 HUL formed a 50:50 joint venture with the US-
based Kimberly Clark Corporation in 1994.
Mergers and Acquisitions Contd…
 In1994, the company entered into a strategic
alliance with the Kwality Ice-cream Group families
and in 1995 the Milk food 100% Ice-cream
marketing and distribution rights too were
acquired.
 In 1995, HUL and yet another Tata company,
Lakme Limited.
 Amalgamation of new businesses -- Brooke Bond
Lipton India in 1996-97; Pond's India in 1998; and
a smaller subsidiary, Industrial Perfumes, in 1999.
 In 2003, HUL acquired the Cooked Shrimp and
Pasteurized Crabmeat business of the Amalgam
Group of Companies, a leader in value added
Marine Products exports.
Mergers and Acquisitions Contd…
 In January 2000, in a historic step, the government
decided to award 74 % equity in Modern Foods to
HUL, thereby beginning the divestment of
government equity in Public Sector Undertakings
(PSU) to Private sector partners. HUL's entry into
Bread is a strategic extension of the company's
wheat business. In 2002, HUL acquired the
government's remaining stake in Modern Foods.
Awards
 Hindustan Unilever Limited (HUL) was conferred
the Commendation Certification for Significant
Achievement in HR Excellence by the Confederation
of Indian Industry (CII). Mumbai, October 22nd ,
2007.
 Hindustan Unilever Limited (HUL) was in
September 2007 rated among the top four companies
globally in a global study of ‘Global Top Companies
for Leaders’ by Hewitt Associates in partnership with
Fortune magazine and the RBL Group.
Awards Contd…
 HLL has been declared a Mini Ratna  by the
Government of India.
 Upgraded in 2006 as a Schedule B Company by
the Department of Public Enterprises.
 HINDUSTAN Lever Ltd (HLL) has bagged 20
India Star awards and three Asia Star awards for
innovation in packaging concepts and systems.
Future Plans
 HLL has drawn up a comprehensive plan to expand
its portfolio in the area of Health Care and
Contraceptives.
 Chemicals business (encompassing Flavours,
Fragrances and other Specialty Chemicals), as well
as several non-FMCG export businesses such as
Thermometers and Mushrooms.
 HLL has been pepping up its rural distribution
systems and has launched low unit price variants of
its popular brands to draw in new users in the rural
areas.
Future Technology
 HLL has been pepping up its rural distribution
systems and has launched low unit price variants of
its popular brands to draw in new users in the rural
areas.
Major Challenges
 Inflation reducing profits.
 Competitions in core strategies.
 Consumer Behavior.
 Global Exposure.
 Help to improve nation’s nutrition.
 Give life an extra – Flavor.
Finding / Suggestion
 Crucial need to strategically place brands on strong
position.
 Hard to differentiate blue competitive brands, cash
brands.
 Avoid multiple price wars.
 Proliferation –product line.
Conclusion
 With it’s long and luminous history HUL is India’s
true pride.
 It is a company which the customers in rural as
well as urban India relate to. This explains the deep
penetration of HUL in Indian market.
 The future for HUL is demanding newer and high
level innovations so as to cope up with increasing
competition.
 However HUL is well equipped with all what is
needed of this Indian Giant.
THANK YOU
Presented By :-
Prashant Kumar Pandey
2nd Sem. (PGDM)
IMG/09-11/012
07TH March 2010