Introduction to HUL

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company with a heritage of over 75 years in India and touches the lives of two out of three Indians.

HUL works to create a better future every day and helps people feel good, look good and get more out of life with brands and services that are good for them and good for others. With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and water purifiers, the Company is a part of the everyday life of millions of consumers across India. Its portfolio includes leading household brands such as Lux, Lifebuoy, Surf Excel, Rin, Wheel, Fair & Lovely, Pond’s, Vaseline, Lakmé, Dove, Clinic Plus, Sunsilk, Pepsodent, Closeup, Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality Wall’s and Pureit. The Company has over 16,000 employees and has an annual turnover of around Rs.19, 401 crores (financial year 2010 - 2011). 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 about €44 billion in 2011. Unilever has about 52% shareholding in HUL.

HUL at a glance
Hindustan Unilever Limited (HUL) is India's largest fast moving consumer goods company, with leadership in Home & Personal Care Products and Foods & Beverages.

HUL's brands touch the lives of two out of three Indians. They endow the company with turnover of Rs.19, 401 crores (for the 12 month period – April 1, 2010 to March 31, 2011). The mission that inspires HUL's more than 16,000 employees, including over 1,500 managers, is to help people feel good, look good and get more out of life with brands and services that are good for them and good for others. It is a mission HUL shares with its parent company, Unilever, which holds about 52 % of the equity.

or by enjoying a great cup of tea. keeping their homes fresh and clean. original. look good and get more out of life with brands and services that are good for them and good for others. We will develop new ways of doing business that will allow us to double the size of our company while reducing our environmental impact LAKME Lakme is the Indian woman’s Beauty Sutra” – inspiring expression of her unique beauty and sensuality Lakme brings expert products and services that are borne out of true understanding of the needs of the Indian woman. We will inspire people to take small everyday actions that can add up to a big difference for the world. beauty and sensuality Key facts • Lakme was the first major beauty brand in India and takes pride in being the expert on Indian Beauty for over 50 years. skin care & hair styling products and extending to beauty services through the network of Lakme Beauty Salons.VISION Unilever products touch the lives of over 2 billion people every day ± whether that's through feeling great because they've got shiny hair and a brilliant smile. expressive. . • It is complete beauty brand spanning colour cosmetics. satisfying meal or healthy snack. A clear direction The four pillars of our vision set out the long term direction for the company ± where we want to go and how we are going to get there: We work to create a better future every day We help people feel good. They help the Indian woman in expression of her best self – sensual. alive and intuitive Lakme inspires her to unleash the potency of her femininity.

Almost everyone has a Lakmésomething in their (cosmetics) collection . estimated at Rs 700 crore. research and constant innovation. Lakme has a foot print of over 1200 assisted sales outlets. eyes. At a time when the beauty industry in India was at a nascent stage. Lakme Lever's Business Head ABOUT TH BRAND Half a century ago. Lakme. In the skincare market. India's first beauty brand was born. and arm the consumer with products to pamper herself from head to toe. Although stif competition has emerged for Lakme Lever within the Rs 250-crore colour cosmetics market. Lakme Lever ''Lakmé is at the forefront of product-innovation. Lakme has grown to be the market leader in the cosmetics industry.that of skincare and cosmetic products. We constantly integrate a lot of the above the line campaigns like 'Whose watching your lips' with below the line initiatives Anil C hopra. which is now the largest fashion event of its kind in the country. Catalyst spoke to Anil Chopra. it continues to lead. beauty advisors and dealer aids. the rural market is turning out to be the stronghold of smaller. high consumer interest segments in the Indian Industry . T he Indian cosmetics industry is in churn.• Its bond with beauty and fashion is manifested through the Lakme Fashion Week. Below the line initiatives are extremely important in the cosmetic segment since the buying experience is as important as brand image and advertising. Significant focus is on sales counters.'' said Mumbai-based fashion choreographer Lubna Adams . Armed with a potent combination of foresight. These include products for the lips. nails. Business Head. Even as the premium segment is getting crowded. Lakme today has grown to have a wide variety of products and services that cover all facets of beauty care. as India took her steps into freedom. Lakme tapped into what would grow to be amongst the leading. and services like the Lakme Beauty Salons. which is the largest span of outlets with “Beauty Advisors” in the country. face and skin. regional players. Lakme's market share averages 7-8 per cent. .

A little bit of Lakmé history: In 1995. Lakmé. 26. which targeted . Modi Revlon: ''The numbers say it all. Executive Director. he says ORG-MARG does not have a representative sample of the 60. we have an 84 per cent share of the premium end of the colour cosmetics market. Lakmé sold its brands (and the 50 per cent it owned in the JV) to HLL.'' The positioning bit.000 outlets through which colour cosmetics are sold in India. Says Meghna Modi. its aspirational colour cosmetics brand. According to ORG-MARG's retail audit. Chopra accepts that distribution has been the company's Achilles heel for some time: ''The supply-chain hasn't been as robust as it should have been. for this it has introduced a range of skincare products from 1987. The 'aspirational' qualification would mean Lakmé would compete at what the company terms the 'upper-mass' (premium) end of the colour cosmetics spectrum (products priced between Rs 85 and Rs 250) where a slew of competitors. Only.'' Chopra is quick to rubbish this claim. it is conceivable that Lakmé's new-found aspirational strategy could have been brought about by competitors like Revlon and Maybelline. Still. are already slugging it out. but that has been the result of our efforts to reposition and reintroduce the brand. is clear: Ponds is Lever's primary skincare brand. it offered a range of cosmetics with nail polishes & lipsticks from the early 80’s. renamed itself Trent and entered a different business (retail). the years between 1995 and 2000 saw HLL wrestling with several issues with a bearing on Lakmé's future. Lakmé Ltd (a Tata Group company) and HLL formed a 50:50 venture Lakmé Lever that would market and distribute Lakmé's products. These ranges have been constantly innovated to bring specialized beauty care and complete the range for the definitive women. although complex. A brand that has over 5 decades talked of beauty is none other than Lakmé. ranging from Revlon (through Modi Revlon) to Chambor. Launched in 1952. Lakmé also understands the importance of maintaining and accentuating a women’s natural beauty. In 1998. which also has a presence in skincare.

. the company's non-transfer lip-colour range follows in the wake of Maybelline's launch of a similar range. Eyes From dramatic to natural look.lakme perfect radiance) . Lakme offers a range of products in the face. 1. And fashion consultants like Meher Castelino believe the brand commands an edge at the high-end: ''By appropriating the fashion platform for itself. Lakmé Kajal: 2. Lakmé Flawless Matte Complexion Compact Lips Lakmé Enrich Lipcolor . The company's defense is that it takes at least 15 months from the conceptualization to the actual launch of products. lips.Lakmé Radiance Compact .Lakmé Perfecting liquid Foundation . Indeed.(lakme fruit blast facewashes. Lakme Lakmé Shimmer Eye Cube: Nails True Wear Nail Enamel -Nail Enamel with Lacquer-like finish.'' Lakme products Colours From the spicy shades to the flattering look. Perfecting Definition Lip Pencil .this segment. Face Lakmé Daily Wear Soufflé .a wide range of products are on offer to create the perfect eyes. Lakmé has entrenched itself at the glamour-end. eyes and nail segment for the beauty aficionados. Lame Insta Eyeliner eyelids 3.Starshine Lipgloss Glosses in lustrous shades available in 14 shades. Contains resins and silicone with colour lock technology that gives brilliant long lasting shine Skin For radiant skin Lakmé is there to pamper your skin with specialized products for the diva in you. and its new nail-enamel colours come soon after Maybelline and Revlon launched their nail-enamel range.

First. A SWOT analysis may be incorporated into the strategic planning model. Lakme fruit moisturizer Sun Protection The range comprises of lotions to keep your skin healthy and younger looking. who led a convention at Stanford University in the 1960s and 1970s using data from Fortune 500 companies. If the objective is NOT attainable a different objective must be selected and the process repeated. the decision makers have to determine whether the objective is attainable. A SWOT analysis must first start with defining a desired end state or objective. Opportunities. • Weaknesses: are characteristics that place the firm at a disadvantage relative to others. • Opportunities: external chances to make greater sales or profits in the environment. . The technique is credited to Albert Humphrey. given the SWOTs. Weaknesses.Cleansing Strawberry Silk Splash Face Wash . It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective.[citation needed] • Strengths: characteristics of the business or team that give it an advantage over others in the industry. • Threats: external elements in the environment that could cause trouble for the business. Lakmé Fundamental Deep Pore Cleansing Milk - Moisturizing 1. and Threats involved in a project or in a business venture. SWOT analysis is a strategic planning method used to evaluate the Strengths. Lakmé Fundamental Winter Care Lotion 3. 2. Strategic Planning has been the subject of much research. Lakmé Fundamental Peach Milk Moisturiser skin. Identification of SWOTs is essential because subsequent steps in the process of planning for achievement of the selected objective may be derived from the SWOTs.

Falling Quality of Lame salons Opportunities : 1.[citation needed] It is particularly helpful in identifying areas for development. 4. Strong R&D capability. 3. 3. 2. Building brand image by collaborating with top designers in Lakme Fashion week . 3. 2.The SWOT analysis is often used in academia to highlight and identify strengths. opportunities and threats. Brand growth through increased consumption depth and frequency of usage across all categories. Upgrading consumers through innovation to new levels of quality and performance. local brand of specific relevance to India. Access to Unilever global technology capability and sharing of practices from other Unilever best Weaknesses : 1. weaknesses. Varying quality range in its products. well linked with business. 5. 2. Ability to deliver Cost Savings. Price positioning in some categories allows for low price competition.[citation needed] SWOT ANALYSIS OF LAKME Strengths : 1. Integrated supply chain and well spread manufacturing units.

Spurious/counterfeit products in rural areas and small towns.Threats : 1. Lakmé provide the complete package with the skin care range and the wide range of colors to spice up the look. it has not been communicated well enough. It can proved to very detrimental. 2. perhaps. “Some sort of an alliance or co-branding with the salons that already exist may. in the short-term. To add to this vast repertoire is a range of specialized skin care products for the discerning women. 3.  The general perception is that company-owned salons are expensive. Though Lakme beauty salons are reasonably priced.  For vast reach unlikely. Keeping skin looking healthy and glowing is also a part of looking great. have been a better strategy.  Promotions beyond fashion week  The brand should not lose its focus away from cosmetics. Non Existence of brand image in long Run Everything a girl wants Lakmé has a wide range of products in color cosmetics that bring visible results. Aggressive price competition from local and multinational players. Strengths • • • • • • • Cost advantage High R&D Innovation Loyal customers Market share leadership Strong brand equity Supply chain .

• Pricing • Reputation management • Unique products Weaknesses • No online presence • Weak management team Opportunities Threats • • • • • Online • Product and services expansion Competition Lower cost competitors or imports Price wars Product substitution .


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