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UNILEVER PAKISTAN LIMITED


MARKETING MANAGEMENT
2010





ACKNOWLEDGMENT


I bow my head in gratitude to Almighty Allah, who blessed me with the ability and energy to
complete this work
I wish to express my deep sense of gratitude to my great and honorable teacher Mr. Awais
Afzal for his friendly behavior and his keen interest. His kind advises and guidance helped me
throughout the progress of this report. I would like to thank all persons for their contribution
and coordination in completion of this work. They provided very beneficial information, which
increased my knowledge.


















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DEDICATION


We want to dedicate over statistical project under the subject ORGANIZATIONAL BEHAVUIR to
our beloved teacher name as Miss Faiza Khan. As they gave us such an opportunity to
continuous our education after intermediate so got admission in Gujranwala Institute of Future
Technology for doing Bachelor in Business Administration. Its one of our fourth semesters
subjects so that they can improve our understanding about potential organizational behavior.












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EXECTIVE SUMMARY


We have been informed by our Principles of Marketing's teacher named as Mr. Awais Afzal that
we have make an assignment that is a project. As we are aware of that we were assigned a
project regarding our course. This included of selection of an organization and implication and
analysis of different marketing situations and ending up at conclusions. If we figure out the
contents and the track we followed during the project that would be as following. Initially we
selected an organization and highlighted its history and the brand we selected. Then we did pest
analysis that is a sort of environmental scanning. Then we forward moved forward to an
intractable task of analyzing how large the market is for the product. The situation the product
is facing is it growing shrinking or static. What amount of share does this product have in
market? Then further we evaluated the factors influencing the level of product. Then we came
across the competitor analysis and focused on the competitor serving the market. Then SWOT
analysis. In order to highlight the strength weakness, opportunities, and threats. Then we
analyzed the buyer behavior and different factors regarding it. We determined the marketing
goals to be met. Then there was a review of market segment strategy differentiation and
positioning. Then we moved forward to a product pricing distributive communicative strategy.
To focus on every stage of product life cycle analyzed what situations it faces in the market. We
have started from very first chapter that is introduction, it's contain are easy to find as it is easy
available on company website like History of company, Branches of company and third one is
Reason for selection of this topic and organization. As last is our perception what we have to
include in our project and how much excess we have to the firm. Secondary data is the
information already present in different sources related to our topic it may be one internet,
magazine, Yellow page, and Business release, it easy to collect. Third chapter is the primary
data, primary data is the data collected at first hand. It's a little bit difficult task to make
personal visit to company. As it include preparing a questionnaire and interviewing one of
company's managers. Ask things that are not available on secondary sources. As our task is
segmentation so most of data is not available so we have put lot of effort to done this portion.
For this task we have to manage a proper contact with a company which is most difficult one,
its a proper channel to visit such a multinational organization. Fourth chapter is the SWOT
analysis of Unilever. That contains strength, weakness, opportunity and Threats as it's necessary
to proper check of such events to explore in the market. Fifth chapter is recommendation to
company as up till now we have known each and other stop of company for segmentation. Now
we have to suggest to a company how they can better organize their function. How they can
increase their market share and get more customer value. Last chapter is the conclusion what
we get by doing all this.


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UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010

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INTRODUCTION

No matter who you are, or where in the world you are, the chances are that our products are a
familiar part of your daily routine. Every day, around the world, people reach for Unilever
products.
Unilever Today
William Lever (its originator) commences business in England as a
grocer. He established Lever Brothers in 1827 in England Sunlight was
the first product of Lever Brothers, which makes the beginning of the
marketing of branded products at the same time Margarine Uni was
established in Nether Land by Simon Van Berg and Anton. These two
companies in term of:
1. Buying raw material
2. Selling finished goods
Consequently both the companies losing out money in term of profit. These problems led to
think of the mergers in 1930. These two companies merged together and renamed the business
as Unilever PLC / the word UNI is taken from margarine Uni and Lever is taken from Lever
Brothers. Its head quarter was established in England and Rotter Dam.
For more than 70 years Unilever has been providing consumers with quality products and services.
Unilever has a portfolio of global, regional and local brands. Some, such as Dove, Hellmanns, Lipton, Lux,
Magnum, and Vaseline, are popular around the world. Others are the first choice for consumers in
particular countries.
Unilever products are at home everywhere: favorites with consumers throughout the world,
from the emerging markets of Asia and Latin America to the developed economies of Western
Europe and North America.
Unilever meets the needs of consumers around the world, in both new and established markets.
Consumers vary from country to country in their preferences and habits and Unilever adapt many of its
brands to suit local tastes. For example, among Unilevers many teas, it produces around 20 separate
brands of black tea specifically tailored for consumption in over 20 different countries and Unilever is
constantly sharpening the flavors to suit all its local markets.
Unilevers research and development teams help to anticipate and meet consumer needs.
Unilevers research and development expertise allows to anticipate the evolving needs of
consumers and to create the innovations to meet them. Internet technology is improving the
way Unilever share best practice and innovation around the world.

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UNILEVER PAKISTAN LIMITED
Unilever Pakistan Limited is largest fast moving consumer Products Company in Pakistan.
Unilever Pakistan Limited is a part of Unilever- a global company. Unilever Pakistan Limited is
producing more than 50 brands in Pakistan.
Company Information
Unilever Pakistan limited is a wholly owned subsidiary of Unilever
Overseas Holding, UK, Unilever PLC (A company incorporated in
the United Kingdom.)
The Company is incorporated in Pakistan and listed on the Karachi, Lahore, and Islamabad Stock
Exchanges. It manufactures and Markets foods, beverages, detergents & personal Products.
Brooke Bond Pakistan Limited was incorporated in 1948. Companys 40% shares are held by Unilever,
21% by financial institutions, 24% by individuals, and 10% by insurance companies. The company is
quoted on Karachi and Lahore Stock Exchange market. The company is manually engaged in the
blending, packaging and marketing of tea. It also has a small business in the sale of packing apices. The
company employs around 850 persons. And has three manufacturing locations situated in Karachi and
Khanewal. It also has three regional sales offices. The head office of the company is located in Karachi.
BOARD OF DIRECTORS
Ms. Musharaf Hai ( Chairman & Chief Executive)
Mr. Soomro Mohammad Ibrahim
Mr. Mohammad Abid Javeed
Mr. Perwaiz Hasan Khan
Mr. Fatehali W. Vellani
Mr. Syed Baber Ali
Mr. Omar H Karim
Mr. Irtiza Husain
Mr. Robert Zoon


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UNILEVER PAKISTAN LIMITED
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CEO INTRODUCTION:

As one of the worlds leading consumer goods companies, it is through our brands that
Unilever has the biggest potential to make a difference.

Our mission
Unilever's mission is to meet the everyday needs of people all
around the world for nutrition, hygiene and personal care. We do
this with products that help people feel good, look good and get
more out of life. Every day around 160 million people in 150
countries will buy a Unilever brand. Unsurprisingly, therefore, the
social and environmental impacts which we have on the world
around us come largely from our brands. We are increasingly
embedding sustainability thinking into the day-to-day activities of our brand management and
R&D teams. We have done this through a simple tool called Brand Imprint.
Our 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, keeping their homes fresh and
clean, or by enjoying a great cup of tea, satisfying meal or healthy snack.
Brand imprint
Brand Imprint forces management to think carefully about both the resources they use (such as
water, packaging, energy and raw materials) and the social and economic impacts that our
brands have in the countries where they are sold. For example, it encourages managers selling
soap to consider the positive effects which they can have on public health through improved
hygiene. For those marketing tea, it prompts them to think about where they source their
ingredients and how they can get value from communicating this to consumers.
Our achievements
We are making progress. Around half the tea used in Lipton Yellow Label and PG Tips tea bags
in Western Europe is now sourced from Rainforest Alliance Certified farms. In an effort to halt
deforestation we have committed to draw all of our palm oil from sustainable sources by 2015.
Our Lifebuoy brand has reached 120 million people in India with its education programmed
about the importance of washing hands with soap.

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OUR HISTORY
Unilever's corporate mission to add vitality to life shows how clearly the business
understands 21st century-consumers and their lives. But the spirit of this mission forms a thread
that runs throughout our history.
Helping people get more out of life
In the 1890s, William Hesketh Lever, founder of Lever Bros, wrote down
his ideas for Sunlight Soap his revolutionary new product that helped
popularise cleanliness and hygiene in Victorian England. It was 'to
make cleanliness commonplace; to lessen work for women; to foster
health and contribute to personal attractiveness, that life may be more
enjoyable and rewarding for the people who use our products'.
This was long before the phrase 'Corporate Mission' had been invented, but these ideas have
stayed at the heart of our business even if their language - and the notion of only women doing
housework has become outdated.
In a history that now crosses three centuries, Unilever's success has been influenced by the
major events of the day economic boom, depression, world wars, changing consumer lifestyles
and advances in technology. And throughout we've created products that help people get more
out of life cutting the time spent on household chores, improving nutrition, enabling people to
enjoy food and take care of their homes, their clothes and themselves.
Balancing profit with responsible corporate behavior
In the late 19th century the businesses that would later become Unilever were among the most
philanthropic of their time. They set up projects to improve the lot of their workers and created
products with a positive social impact, making hygiene and personal care commonplace and
improving nutrition through adding vitamins to foods that were already daily staples.
Today, Unilever still believes that success means acting with 'the highest standards of corporate
behavior towards our employees, consumers and the societies and world in which we live'. Over
the years we've launched or participated in an ever-growing range of initiatives to source
sustainable supplies of raw materials, protect environments, support local communities and
much more.
Through this timeline you'll see how our brand portfolio has evolved. At the beginning of the
21st century, our Path to Growth strategy focused us on global high-potential brands and our
Vitality mission is taking us into a new phase of development. More than ever, our brands are
helping people 'feel good, look good and get more out of life' a sentiment close to Lord
Leverhulme's heart over a hundred years ago.

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ABOUT UNILEVER
Unilever is one of the world's leading consumer goods companies with a strong portfolio of
trusted foods, home and personal care brands. 13 of our brands achieve annual sales of 1
billion or more Axe/Lynx, Blue Band, Dove, Flora/Becel, Heartbrand ice creams, Hellmann's,
Knorr, Lipton, Lux, Omo, Rexona, Sunsilk and Surf. Our top 25 brands account for over 70% of
sales.
We have operations in around 100 countries and our products are on sale in about 50 more.
With consumers, customers, suppliers and shareholders on every continent, we describe
ourselves as a 'multi-local multinational'. An important part of the local communities in which
we operate, we bring our international expertise to the service of people everywhere.
The Americas
Operating profit (millions): 2 945
Turnover (millions): 13 199
Purchases of goods and services (millions): 9
391
Employees (year end): 42 000
Manufacturing sites: 71

Western Europe
Operating profit (millions): 2 521
Turnover (millions): 12 853
Purchases of goods and services (millions):
8 510
Employees (year end): 30 000
Manufacturing sites: 68


Asia, Africa, Central & Eastern Europe
Operating profit (millions): 1 701
Turnover (millions): 14 471
Purchases of goods and services (millions):
11 445
Employees (year end): 102 000
Manufacturing sites: 134


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THE BOSTONE CONSULTING GROUP APPROACH
Using the Boston Consulting Group (BCG) Approach a company classifies all its SUBs according
to the growth-share matrix.
BCGA STRATEGIC BUSINESS UNIT is a significant organization segment that is analyzed to
develop organizational strategy aimed at generating future business or revenue. Exactly what
constitutes an SBU varies from organization to organization in larger organizations; a SBU could
be a company division, a single product or a complete product line.
BCG matrix has two dimensions market share and market growth .the basic idea behind it is: if a
product has biggest market share, or if the products market grows faster, it is better of the
company.
The four segment of BCG matrix:
STAR, high growth and high market share.
CASH COW, low growth and high market share
DOG, low growth and low market share
QUESTION MARK high growth and low market share.
Unilever Products B.C.G Matrix



STAR

SURF EXCEL




QUESTION MARK

SUN LIGHT WSHING POWDER




CASH COW

POWER SURF




DOG

SOAP WHEEL

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PEST ANALYSIS OF UNILEVER
PEST analysis is used to assess that what environmental factors affecting different organization
and which of them are more important and how they affect the organization. It is indicator of
political, economical, social and technological influences on organization.


Political & Legal Factors
As far as the Lever Brothers Pakistan Limited concerns according to them that political
instability have do affect but not particularly Lever Brothers Pakistan Limited same as it affects
any other organization around and specially they are in consumer products business which
never make them out of business.
In case of legal factors, any trade policy or import duties are not affecting particularly Lever
Brothers Pakistan Limited. In Pakistan right now following liberalization policy under SAP by IMF
made which they have to waive off all restrictions and moreover due to huge investment by
Lever Brothers Pakistan Limited no government can afford to create hurdles in the way of an
organization like Lever Brothers Pakistan Limited.
And they dont have to go for only lobbying or what so ever as not action of Pakistan
government has affected them adversely as such.
Economical Factors

Economical factors affect Lever Brothers Pakistan Limited in the same way as it affect any other
organization like current economic situation in Pakistan and inflation has reduced consumers

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disposable income too, which in turn has reduced the purchasing power of consumer but affect
is same for every organization and according to them Lever Brothers Pakistan Limited have edge
that they have targeted all possible segments through their vast product category i.e. the width
and length too so one way or other they find way to cover it up.

Socio-Cultural Factors
In socio-cultural factors, factors like lifestyle changes and level of education affects an
organization. In case of change in lifestyle, the world has converted into global town now and
people have readily access to every sort of information and they are becoming more quality
conscious. Now more concerned towards environmental issues now and demand more social
responsibility on the part of organizations now. To cope up with all these factors now Lever
Brothers Pakistan Limited which always maintained the quality standards needs to work
towards other social factors like social responsibility and environmental concerns like P&G did in
its Arial campaign and image of a society responsible organization.

Technological Factors

In technological factors comes R&D first and foremost that how much an organization spending
in terms of product improvement or development of new products or improvement in
production process or in the raw material etc. and what is the trend in the industry as Pakistan
is not that big and not very much innovation seeking as the other developed countries. Yet they
keep on finding new ways of doing things and new things as well they continuously launched
variants in brands etc. and moreover in the market like Pakistan in product categories of
consumer products rates of obsolescence is not very high rather very slow so no great
pressure to launch new products,.











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OUR BRAND IN SOCIETY
By addressing social and sustainability issues, our brands can make a real difference and create
growth opportunities for our business.



Our approach
Anticipating that this would become a big trend, the Unilever Executive decided in 2005 that
social, economic and environmental factors should be integrated more deeply into the
development and innovation plans of our brands.
To help evaluate the risks and opportunities presented by this agenda, we developed an
approach called Brand Imprint. This provides our brand teams with a 360 scan of the social,
economic and environmental impact that their brand has on the world.
For each brand a multidisciplinary team conducts a detailed assessment, looking first at the
direct and indirect impacts of our products, or their 'imprint', across the value chain. The team
then gathers insights about the external influences on the brand's future growth, drawing from
consumer and stakeholder research.

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Our Brand Imprint process


The first brands to conduct a Brand Imprint were Dove and Lipton in 2006.
Our major brands and categories have now completed a Brand Imprint. This has resulted in
important commitments and inspired new ideas for addressing social and environmental issues.
For example, the process helped Lifebuoy and Signal/Pepsodent/Close Up develops their social
missions.
Our laundry brands have recently launched a new consumer-facing sustainability initiative - the
Cleaner Planet Plan. The initiative aims to:
Reduce the environmental footprint of our laundry brands
Design products that help our consumers to reduce their environmental impacts
Help and motivate people to adopt laundry habits that reduce their environmental
impacts.
The experience we gained through the Brand Imprint process helped us develop the next stage
of our approach. In 2008 we finalized a Vitality Framework to help us deliver our Vitality Mission
in a systematic and measurable way.
The Brand Imprint process provides the building blocks for brand teams to understand and
assess how sustainability issues impact and is impacted by our products. The Vitality Framework
and metrics help integrate sustainability considerations into the everyday business processes of
our categories and brands. This helps us drive a common, aligned plan across our brands.
Together, these tools help us integrate social and environmental sustainability into the heart of
our business strategy.

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OUR SELECTED PRODUCT
As Unilever is producing many products. So we have selected one of a product SURF EXCLE.
Surf Excel was introduced in 1959

SURF EXCEL
Dominating the washing powders markets in Pakistan for four decades; Surf has continued to
change according to consumer needs. Being a pioneer, Surf had to work hard to gain acceptance
in the early days. To educate housewives about its use, house to house demonstration were
organized in Lahore and Karachi. Free sample and coupons were also distributed to recruit
consumer. There has been no looking back since the brand has undergone numerous product
quality improvements to offer best cleaning results. Over the year, there has been a shift from
cartons to poly as and emergence of low unit price packs.
S U R F E X C E L

Surf Excel who brought with himself complete cleaning and care was launched 8 years back in
1995. Surf Excel is a laundry detergent that has a different kind of consumer perception as
compared to the competing ones. From the day it was launched, has been met with a persistent
success and growth.
Lever Brothers Pakistan limited started Surf Excel with 6 different sizes i.e. what they call SKUs
(Stock Keeping Unit).

Surf Excel is an elegant product. Just as other products launched by LBPL are renowned for
various purposes (e.g. Lifebuoy relates to health, Liril relates to freshness, Lux relates to beauty,
Wheel relates to economical washing and cleanliness) Surf Excel is reknown due to its ability of
stain removing, bright washing and color guard.


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P R O D U C T I D E A

The idea arose in the mind of management when they saw that the customer wants a premium
quality washing powder with something extra in it. That something to know about was a
challenge for LBPL, which they accepted and came up with such a product, which was not even
visualized by anyone i.e. Surf Excel.
In 1995 when its launch was under the product development stage another study was going on
inside the LBPL so as to merge the existing brands of Super Active Surf and Ultra Surf which were
loosing the market at that time in one single brand or to merge them into Excel. Although it
seems to be a very big gamble on the part of the project team but the risk was taken. Both the
brands were merged with the formula of Surf Excel. It was launched and fortunately met with
success because it got some extra strength in the shape of two more formulas of the previous
Surfs. it is meant to be made for the upper and middle class people but as we said it has 6 SKUs
and of different prices starting from Rs. 5 to maximum Rs. 125. So the detergent won the heart
of people in every social class and is now in front of you.




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MARKET SHARE
In Market Surf Excel 50 grams has huge market share with respect to other Sashes. While
demand of 500 grams is very low.50 grams is facilitating the class B and Lower B and 500 grams
are facilitating the Class A and Class B+.
L A U N D R Y M A R K E T
In Pakistan laundry market consists of two segments:
Detergent Market.
Soap Market.
The total of laundry market consists of 500000 tones among which soap market has a share of
400000 tones and only 100000 tones of share is of detergent market. The graph of detergent
market also shows the same:




20% share is of detergent market and among that branded products has a share of 91% and
unbranded has a share of 9%. Among the branded products economical detergents has 39%
overall share is distributed as WHEEL has a share of 21% and the competitors i.e. Bonus Power
has 12% and BONUS Tri Star has a share of 6% rest of the share is with of Top Gain segment i.e.
with Surf Excel, Aerial, Express. So WHEEL is the market leader among all branded washing
products of its category i.e. SENSIBLE CHOICE SEGMENT which are targeted towards lower end
of the consumers. Top Gain segment has a share of 52% among which Surf Excel has 23%
market share, Ariel with 19% and Express with only 10%. So Surf Excel is the overall market
leader in the Top Gain segment.

20%
80%
PAKISTAN LAUNDARY MARKET
SOAP
DETERGENT

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MISSION STATEMENT
DIRT IS GOOD
Let your kids do what they want.

In product some elements are involved which are Variety, Quality, Size, Features Brand Name,
Packaging and Services.
Varity
Surf Excel is at present situation available in two varities
1. Surf Excel
2. Surf Excel Matic
Quality
Surf Excel quality is very popular among the peoples as Dominating the washing powders
markets in Pakistan for four decades; Surf has continued to change according to consumer
needs. Since the brand has undergone numerous product quality improvements to offer best
cleaning results.


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Brand Name
Surf Excel is not only the product for washing the cloths but also it has created the relationship
with customers as making grounds to promote their kids.
Surf Excel is the brand that is targeting the peoples through believes and values. Therefore they
define their product on the basis of some relating activities.
As regarding the image there is message for the peoples to avoid on the occasions to restrict
when kids are in situation of doing something extra ordinary.
Parents should encourage them.
Size
Surf Excel is available in different quantities which are as
follows
25g, 50sg, 115g, 500g, 1kg and 2kg.
List prices of surf excel

Quantity Price in rupees
25 grams 5
50 grams 10
115 grams 20
500 grams 115
1 000 grams 210
2000 grams 405



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PRODUCT LIFE CYCLE
A new product progresses through a sequence of stages from introduction to growth, maturity,
and decline. This sequence is known as the product life cycle and is associated with changes in
the marketing situation, thus impacting the marketing strategy and the marketing mix.
The product revenue and profits can be plotted as a function of the life-cycle stages as shown in
the graph below:
Product life cycle diagram



Introduction Stage
In the introduction stage, the firm seeks to build product awareness and develop a market for
the product.
Growth Stage
In the growth stage, the firm seeks to build brand preference and increase market share.
Maturity Stage
At maturity, the strong growth in sales diminishes. Competition may appear with similar
products. The primary objective at this point is to defend market share while maximizing profit.
Decline Stage
As sales decline, the firm has several options:


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Product life cycle of surf excel
Surf Excel:
Surf Excel is a product of Unilever which is at growth stage as it has large market because

Product
Its quality is maintained and additional features and support services are added.

Pricing
Its price maintained as the firm enjoys increasing demand with little competition.

Distribution
Its channels are added as demand increases and customers accept the product.

Promotion
Its aimed at a broader audience







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COMPETITOR ANALYSIS
ARIEL
History
When we talk about P & G then question arises what stands for
it, basically it stands for Proctor & Gamble. Basically it came into
existence in 1837 in queen city of west.
William Procter quickly established himself as a candle maker.
James Gamble apprenticed himself to a soap maker. Soon they
started to work combine in 1837, a bold new enterprise was born:
Procter & Gamble. On April 12, 1837, William Procter and James
Gamble start making and selling their soap and candles. On
August 22, they formalize their business relationship by pledging
$3,596.47 apiece. The formal partnership agreement is signed on October 31, 1837.
They are also in the process to facilitate on the base of providing washing powder
Customer Benefit
Ariel is associating the brand with customer on the bases to give them superior quality and
makes the ground for customer to provide a theme which cause to have happiness
TARGET MARKET OF ARIEL
Ariel has adopted the strategy of market aggregation. ARIEL target market includes Middle
Class, Upper Middle Class and Upper Classes of the population of Pakistan. The Ladies of
Pakistan who are very conscious about their family.
MARKETING POSITIONING
Ariel is considered to be a trusted and premium brand of Pakistan. Procter and Gamble is
positioning their product in the best of their customer satisfaction. As charging money they are
positioning their product as best use as well as providing quality in response.
They are focusing on the quality and they are also in a motive to facilitate the customer as
providing a whole range which they can.


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Price Comparison with different brands

Brand Name Quantity Price in rupees
Surf Excel 1000 grams 210
Ariel 1000 grams 210
Brite 1000 grams 170
Express Power 1000 grams 125
Bonus 1000 grams 60












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SWOT ANALYSIS
SWOT analysis is done to know what the strength is and weaknesses of the brand are and what
are the opportunities and threats that company has to face from the environment. So here we
go:



Strengths
Enjoying economies of scale
Good will in the market
Strong financial position
Surf has become the generic name in detergents
Have Strong distribution channel in Pakistan
Abundant financial resources
Well-known brand name
Well brand image
Committed employees


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Weakness
Low market share in N.W.F.P.
Loss of market share to ARIEL.
High rates of skin care products.
Huge inventory stock of raw material & finished goods.

Opportunities
Rapid market growth
Changing customers needs & wants as life style change
To create relation with society on the social marketing basis
Pakistan peoples moves from soap to detergent
Market opportunity for Surf Excel to penetrate in the new segments and
market discussion coming in after few pages.

Threats
There is very tough competition in detergents markets
Low profit margins
Smuggled brands of CHINA
New competition in the market
Increases in taxes
Increases in prices due to fuel prices
Apart from all this one major advantage they have is their own forecasting software named
ABACUS, which is used for Variance Reporting, Forecasting, Drill down Analysis and Graphing. It
helps in maintaining financial data consistency across the company. This is an added strength of
LBPL which none of its competitors have in any of the competing segment.



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FIVE FORCES MODEL
Five forces analysis looks at five key areas namely the threat of entry, the power of buyers, the
power of suppliers, the threat of substitutes, and competitive


Pressure of Buyers
When there are a lot of sellers lying in the market then buyer has power to influence.
Pressure of Suppliers
One supplier for a company can exploit the company. Therefore Surf Excel has 3 Suppliers for the
purpose to bargain with them effectively.
Threats of Substitutes
In the detergent market people have choices as they can take Surf Excel and Ariel alternatively.
Threats of new Entrance
New coming brands of China and other smuggled brands are huge threat for Surf Excel.
Threat of rivalry Competition
We have already discussed the threat of competitors in the detergent industry.

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VALUE CHAIN ANALYSIS
Lever Brothers Pakistan Limited is basically focusing on cost leadership in branded shampoos market. For
their raw material procurement they have opted outsourcing strategy. Many contents of shampoos are
procured from Europe, America, Far East and some of raw material is locally available it increases the
lead-time. Lever Brothers Pakistan Limited handles this situation with near to JIT system i.e. called
Automatic Replenishment System. Through this system the suppliers of raw material are well connected
through computer terminal, the detail and current level of all raw materials, inventory level is reflected
on supplier terminal and on specific interval they ship the raw material automatically which reduces time
for repeated requisition.

After releasing the material from customs the ingredients are shipped to Rahim Yar Khan Plant. These
ingredients are processed (both local and imported) in the machinery specifically designed for this
purpose. Normally for sache packs 8 lanes are processed at a time in one lot.
8 lanes = 8 reels
1 r eel = 1 ton or 1000 kg of shampoo in quantity
Its cutting and packaging is completed as final step. Packaging material is typically not available around
factory area. Lever Brothers Pakistan Limited has to purchase all packaging material from Packages
Limited Lahore.
Hence both primary and secondary packaging material comes from Packages Limited Lahore. Primary
packaging material includes bottles and sache packaging while that of secondary material includes the
cartons. After packaging of shampoo bottles and sache passes through distributor to retailer.
Outbound logistics start from here on demand of 6 depots of Lever Brothers Pakistan Limited, the lot is
packed and delivered to the wholesaler.
Now we will discuss that how each individual activity of value chain (both primary and supporting
activity contributes towards the maximization of profits to deliver value to final customer.

28
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
BUYER BEHAVIOR
Research suggests that customers go through a five-stage decision-making process in any
purchase. This is summarized in the diagram below:




This model is important for anyone making marketing decisions. It forces the marketer to
consider the whole buying process rather than just the purchase decision






29
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
MARKET ATTRACTIVENESS

This analysis is based on how every person who purchases Surf Excel give precedence to which
attribute and the result is somewhat like this:




FEATURES
CUSTOMERS
UPPER CLASS MIDDLE CLASS LOWER CLASS
PRICE 2 5 9
QUALITY 10 9 5
STAIN REMOVAL 10 8 6
BRIGHTNESS 10 7.5 5
COLOUR PRESERVATION 9 8 4
EFFECT ON HANDS 9 7 3
FRAGRANCE 8 5 2




Now we have given a maximum of 10 to most successful and attractive segment and minimum
1 for least and the result is that quality of washing powder, stain removing abilities and
brightness got maximum 10 points with upper class and so is with the middle but lower class are
of just price conscious because of low earnings. Now we look at how these ratings will fit in the
segment of Surf Excel.





30
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
OBJECTIVES
The objectives of the Surf Excel is
To meet the everyday needs of people everywhere to anticipate the aspirations of consumers
and customers and to respond creatively and competitively with branded products and services,
this arose the quality of life.
Total commitment to exceptional standards of performance and productivity, to working
together effectively and to a willingness to embrace new ideas and learn continuously.
To maintain highest standards of corporate behavior towards employees, consumers and the
societies and world to acquire success.
The major points are as fallows.

Sales growth
Revenue
Market positioning
Enhance Market shares
Customer satisfaction
Goodwill & reputation




31
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
MARKET SEGMENTATION
Dividing a market into smaller groups with distinct needs characteristics or behaviors who might
require separate products or marketing mix, instead like Dunkin` donuts, a company must
identify the parts of the market that it can serve best and most profitably.




Most companies are moved away from mass marketing and toward target marketing-
identifying markets segments, selecting one or more of them and developing products in
marketing programs tailored to each. Instead of scattering their marketing efforts (the
shotgun approaches), firms are focusing on the buyers who have greater interest in the values
they create well (the rifle approach).

The four major steps in designing a customer-driven marketing strategy. In the first two steps,
the company selects the customers that it will serve. These steps are as follows...





32
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
S E G M E N T A T I O N O F T A R G E T M A R K E T

GEOGRAPHIC SEGMENTATION
Country Pakistan
Density Urban, Sub-urban, Rural
Population 140 million
Climate All weather
DEMOGRAPHIC SEGMENTATION
Age 20 and above
Sex Female
Occupation One earning member usually the male
Family size Nuclear family size
Family income A & B class

PSYCHOGRAPHIC SEGMENTATION
Social class Upper and Middle class
Opinions They are aware that they have to look
good and socially conscious
Personality Authoritarian



Lifestyle Strivers and Achievers

BEHAVIOURAL SEGMENTATION
Purchase Occasion All occasion
Benefit sought Cleanliness and brightness
User status Regular user, Non user, Potential user
Usage rate Heavy user
Loyalty status Strong loyalty
Readiness stage Aware, Interested and Intending to buy
Attitude towards product Positive

33
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
T A R G E T M A R K E T

As Surf Excel is targeted towards the upper class of consumers basically of A & B category
housewives but would be made available everywhere throughout the country thats why LBPL
followed UNDIFFRENTIATED marketing. As the product is marketed towards a particular
segment despite the fact that it uses the mass marketing approach because lower class
consumers are also using it as it is under their reach thats why they advertise keeping in mind
all the possibilities.

In short the whole lot of customers using Surf Excel could be summarized according to their
use of different variants in a matrix which seems to appear like this:


CONSUMER CLASS
SURF EXCEL SKUs UNDER USE
5 GMS 30 GMS 100
GMS
500
GMS
1 KG
UPPER CLASS *** *******
***
*****
*****
MIDDLE CLASS ******* *******
***
*****
**
LOWER CLASS ********
**
*******
*
****





34
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
DIFFERENTIATION & POSITIONING STRATEY
MARKETING POSITIONING
Surf Excel is considered to be a trusted and premium brand because of its unique association.
Unilever is positioning their product in the best of their customer satisfaction which also
differentiate from their competitors. They are creating environment for people to have a life
easy chance.
As regarding the image there is message for the peoples to avoid on the occasions to restrict
when kids are in situation of doing something extra ordinary.
They are also positioning as considering the fact of Strongs competition .So they are also
focusing different type of facilities.

A
AA I
II S
SS E
EE Y
YY D
DD A
AA A
AA G
GG H
HH ,
,, W
WW A
AA I
II S
SS E
EE Y
YY
D
DD A
AA A
AA G
GG H
HH ,
,, J
JJ A
AA I
II S
SS E
EE Y
YY B
BB H
HH I
II
D
DD A
AA A
AA G
GG H
HH H
HH O
OO O
OO N
NN S
SS U
UU R
RR F
FF
E
EE X
XX C
CC E
EE L
LL H
HH A
AA I
II N
NN A
AA A
AA A
AA A
AA A
AA


The above statement is right now the positioning of Surf Excel, which is for sure giving more
focus to stain removal than anything else and also is the main function of the detergent but they
use various other strategies to deliver the customer the message that Surf Excel also cares for
the color of their clothes as well as brightness.
As being recently recommended by Gul Ahmed Textile Mills for the best fabric care detergent of
the present decade is not prejudiced as Surf Excel is fully tested by them on cloth in their
laboratories before they recommend it to public on T.V commercials which somewhat appears to
be like this:




35
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010

S
SS I
II R
RR F
FF S
SS U
UU R
RR F
FF E
EE X
XX C
CC E
EE L
LL H
HH E
EE E
EE E
EE E
EE E
EE E
EE
D
DD E
EE Y
YY A
AA A
AA P
PP K
KK E
EE Y
YY K
KK A
AA P
PP R
RR O
OO O
OO O
OO N
NN K
KK O
OO
K
KK A
AA R
RR R
RR R
RR I
II D
DD H
HH U
UU L
LL A
AA A
AA I
II A
AA U
UU R
RR
B
BB E
EE H
HH T
TT A
AA R
RR E
EE E
EE N
NN S
SS A
AA F
FF A
AA I
II


While positioning Surf Excel it was kept in mind that all the benefits should be communicated to
the consumers in a way that they could relate to easily.

Initially when it was launched in 1995 the positioning of the Super Active Surf and Micro Surf
was modified as:

S
SS U
UU R
RR F
FF E
EE X
XX C
CC E
EE L
LL K
KK I
II E
EE K
KK
D
DD H
HH U
UU L
LL L
LL A
AA I
II D
DD E
EE Y
YY K
KK A
AA P
PP R
RR O
OO O
OO N
NN
K
KK E
EE Y
YY B
BB E
EE H
HH T
TT A
AA R
RR E
EE E
EE N
NN
S
SS A
AA F
FF A
AA E
EE E
EE .
.. S
SS U
UU R
RR F
FF E
EE X
XX C
CC E
EE L
LL H
HH I
II
N
NN A
AA A
AA


Similarly when it was relaunched in 1998 with an improved formula of cleansing the clothes
which the team of Surf Excel thought will blew off the competitors as it contains the more
advanced chemicals which give your clothes extraordinary care and brightness its positioning
was changed to:

S
SS U
UU R
RR F
FF E
EE X
XX C
CC E
EE L
LL A
AA B
BB N
NN A
AA E
EE E
EE Y
YY
Q
QQ O
OO O
OO W
WW A
AA T
TT K
KK E
EE Y
YY S
SS A
AA A
AA T
TT H
HH J
JJ O
OO
A
AA A
AA P
PP K
KK E
EE Y
YY K
KK A
AA P
PP R
RR O
OO O
OO N
NN K
KK O
OO
R
RR A
AA K
KK H
HH E
EE Y
YY S
SS A
AA A
AA F
FF A
AA U
UU R
RR
C
CC H
HH A
AA M
MM A
AA K
KK D
DD A
AA R
RR


36
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
They want that customer feels very pleased when they use Surf Excel which leads to the new
idea of Smart Power wash System which is the latest campaign started LBPL by giving a Magic
Care which requires less effort and make user free of using brushes, bleach and bar soap, is
economical and saves a lot of time of the user. Infect in Pakistan they started this trend of smart
wash by devising a new cleaning system for white and colored clothes.
UNIQUE SELLING PROPOSITION

The USP for Surf Excel is C
CC o
oo m
mm p
pp l
ll e
ee t
tt e
ee c
cc l
ll e
ee a
aa n
nn i
ii n
nn g
gg a
aa n
nn d
dd c
cc a
aa r
rr e
ee .
Protection against dirt and to use when stains get in deep. A Tough cleaner with color
protection formula, containing Stain pretreatment and removal activity. The company was
trying to make the point that although other brands were providing protection against dirt or
anything, Surf Excel is the detergent for all temperatures for all occasions.
DIFFERENTIATION
Differential strategy when we see towards the Unilever they have really provide the good
quality products to the consumers like packing and beautiful appearance with beautiful colors
and images as well as Unilever focusing on best quality of Surf Excel as charging the premium on
it.
COST LEADERSHIP STRATEGY
As concern of matter with the Unilever they have really adopted such technique, which shows
that they have really focused on the cost minimization through adopting different techniques &
new modern technologies.


37
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
MARKETING MIX
Product
In product some elements are involved which are Variety, Quality, Size, Features Brand Name,
Packaging and Services.
Varity
Surf Excel is at present situation available in two
varieties
1. Surf Excel
2. Surf Excel Matic
Quality
Surf Excel quality is very popular among the
peoples as Dominating the washing powders
markets in Pakistan for four decades; Surf has
continued to change according to consumer needs. Since the brand has undergone numerous
product quality improvements to offer best cleaning results.
Brand Name
Surf Excel is not only the product for washing the cloths but also it has created the relationship
with customers as making grounds to promote their kids.
Surf Excel is the brand that is targeting the peoples through believes and values. Therefore they
define their product on the basis of some relating activities.
As regarding the image there is message for the peoples to avoid on the occasions to restrict
when kids are in situation of doing something extra ordinary.
Parents should encourage them.
Size
Surf Excel is available in different quantities which are as follows
25g, 50sg, 115g, 500g, 1kg and 2kg.



38
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
Price
Here the firms have to consider many factors for determining the price.
Selecting the price objective
Analyzing competitors costs,
Prices and offers.
Selecting a pricing method.

Price is simply the cost plus profit of the firm. There are many competitors in the market. So the
firms have to consider about the competitive price while selecting new price and schemes.
Comparison of cost price with sale price of Products in product line.
Surf Excel
Quantity Cost Price in Rupees Sale Price in Rupees
25 grams 4.7 5
50 grams 9.5 10
115 grams 19 20
500 grams 110.50 115
1000 grams 199.50 210
2000 grams 385 405
Basic Method of Setting Prices
Unilever is using the following methods for price setting.
Price to Distributors
The company provides products to the distributors for the prices decided keeping in view the
cost, the target revenue and competitors prices. All distributors are being equally treated.


39
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
Prices Charged by Distributors to Retailers
Unilever gives margin of certain percentage to distributors so in this way prices to be charged by
distributors to retailers are fixed.
Prices Charged by Retailers to Ultimate Consumers
Company influences prices charged by retailers. So retailers are bound to charge fix price to
ultimate product.
List prices of surf excel
Surf Excel
Quantity Price in rupees
25 grams 5
50 grams 10
115 grams 20
500 grams 115
1 000 grams 210
2000 grams 405
Discounts
A quantity discount is price reduction to those who buy large
volumes. This is given to increase company sales. So that firm
can have more revenues. However Unilever is allowing 1%
discount to distributors & whole sellers on purchase of Surf
Excel of worth Rs 600.
Discounts on payment period
It is a price reduction to buyers who pay their bills promptly. A
typical example is 2 /10 net 30. Which means payment is due
within 30 days and buyer can deduct 2 % by paying the bill within 10 days but Unilever is not
offering such discount. They are dealing on cash basis.

40
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
Place
HEAD OFFICE
7
th
floor, the forum, suit 701-713, Khyaban-e-jami, Clifton Karachi
Phone: (92-21)111-234-234 Fax: (92-21)111-567-567, 5301729

BRANCH OFFICES
Karachi Registered Office
7
th
floor Nacon house, MDM Wafai Road, Karachi
Phone: (92-21)5687494 Fax: (92-21)5684087

Karachi- KSE
Room # 70, 1
st
floor, KSE bldg, Karachi stock exchange rate, Karachi
Phone: (92-21) 2429601-06 Fax: (92-21)2429607

LAHORE
5-F.C.C Ground floor, Syed Maratib Ali Road, Gulberg Lahore
Phone: (92-42) 5756701, 5777861-70 Fax (92-42) 5762790

LAHORE- DHA
75-T, Phase 2, DHA (Near lalak chowk), Lahore
Phone: (92-42) 5707411-33, Fax: (92-42)5748935



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UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
ISLAMABAD
Mezzanine Road, RAZIA SHARIF Plaza, 90- Blue Area, G-7 ISLAMABAD
Phone: (92-51) 111-234-234, 2802241-43 Fax: (92-51) 2802244

FAISALABAD
9
th
floor, State life building, 2-liaqat Road Faisalabad
Phone: (92-51)2540843-45, Fax: (92-41) 2540815

MULTAN
C-2, 1
st
floor, HASSAN Arcade, MULTAN Cantt
Phone :( 92-61)4784401-02, Fax: (92-61)4784403

GUJRANWALA OFFICE
Nasir Plaza, Main GT Road GUJRANWALA
Phone: (92-55)3841346-48, Fax: (92-55)3257453

PESHAWAR OFFICE
Mall Tower, 2
nd
floor, 35. The Mall Peshawar
Phone :( 92-91)5253980-88, Fax :(92-91)5253989





42
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
Locations
As on the basis of Surf Excel Unilever is focusing on all areas through which it is possible to cover
different classes needs.
Thats why Unilever products are available at general stores as well as departmental stores, eg:
Akbari store, Al Fatah & Decent departmental store.
Promotion
Promotion consist of a diverse collection of incentive tools, mostly short term, designed to
stimulate quicker and greater purchase of particular product/services by consumer as the trade.
Unilever Pakistan Limited places their products in local as well as in foreign market. They export
directly and indirectly. Unilever promote their products through media, and other trade
incentives to distributors and wholesalers.
Promotion methods
Advertising
Newspaper
Jang and Naway Waqt are being used for advertisement in
front page.
Television
All nationwide channels are being used to run the campaign of
Surf Excel.
Unilever has to pay the huge amount for it as advertise through
different channels, e.g.: ATV & PTV.
Radio
FM 100, FM 103 and FM 106.2 is now a days being used.
Road display
Bill Boards such like at Chuburji chowk is being used where a

43
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
kid is showing the functionality & Purpose of Surf Excel.
Sales promotion
Incentives:
Last year Surf Excel was selling as giving 1kg mango on the base of purchasing of 1kg Surf Excel
at selected areas such as Gulberg.
Samples:
Surf Excel is well known brand therefore there is no need to promote it by samples.
Personal selling
Order takers
Company has employees who perform the activity of order taking from different areas to
facilitate the retailers. There usually one day company performs the activity of order taking and
very next day they deliver the Surf Excel to the destination.
Stalls
Company arranges their stalls in the exhibition at which the products are displayed.
Public relations
Through Events
Surf Excel is creating the relationship with peoples as
associating as considering the kids importantly because they
know that when they will capture the feelings of the kids they
have the strong grounds as this segment is more favorable.
Surf Excel game masti is a chain of public relations which held
over year. Last year it was hold at Race Course Park.



44
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
A REVIEW OF DISTRIBUTORS:
Distributors
Distributors are the institution through which availability of products is possible. Unilevers
distributors have a very good relationship with them and the important thing is that they must
integrated into total marketing mix because of time and money required to setup an efficient
channel.
Unilever has Six distributors in Lahore which are as follow.
Allied Marketing at Gulberg II
Shahzad Brothers Enterprises at Murgi Hana
Sigma at Kotlakhpat
Munner & Phips at Sham Nagar
Munner & Phips at Ravi Road
Munner & Phips at Johar Town
DISTRIBUTION STRATEGIES
Unilever uses the following multiple channel of distribution.
FIRST CHANNEL
Wholesaler
Distributor
Retailer
Consumer
SECOND CHANNEL
Company
Distributor
Consumer
THIRD CHANNEL
Company
Consumer
Unilever uses a lot of distributors and retailers to supply its products in each market where the
final customer might reasonably look for it. While appointing a distributor for a particular area,
management uses its own judgment to select such a person that has a potential to operate

45
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
effectively. At present Situation for Surf Excel they are focusing by intensive manners and for
new products like Surf Excel Matic they are focusing the distribution channel by Exclusive
manners

Designing channel for Surf Excel
Unilever has adopted the method of intensive distribution for Surf Excel because the target
market of this product is segmented for washing clothes using any method.
The customer want to purchase this product from nearest shop as this is convenience product.

























46
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
S U G G E S T I O N S

We would like to suggest that first of all going for the segments of Hospitals, Hotels and
Laundries devise for them Industrial bags of about 10/20 Kg and sell it to them with economical
prices in order to make them comfortable with the deal. Provide them discounts to encourage
repeat purchase.

As far as the fragrance is concerned its ratio could be increased without increasing the price by
big numbers, as its not very expensive for them to do. It gives very pleasant feelings to the
customer and also the danger of cannibalization is not there because of not introducing a line
extension.

As the Surf Excel 1 Kg pack is growing very faster approximately by 80% a year its sales is
increasing so no problem with this. But on the other hand the growth of 5 Gms and 30 Gms is
just 35% a year. So now important is to persuade lower class people to buy this Surf Excel.

We will also suggest that on regular basis the experts will do study of market within 3 months so
as to discover any rapid change in demand or behavior of the consumer because we have to get
on with it as and when a change is required to be successful in the market.

Product tests must be conducted in order to realize what additional benefits could be given with
it if possible and in a cheaper way so as to no one will feel overburdened while buying it .So
these are few suggestions which we made for Surf Excel.
There are some points through these Unilever can improve their overall performance
Reorganize and streamline Unilever's organizational structure.
1) Implement Unilever Believer Product and brand extensions.
2) Provide a greater clarity of leadership, responsibility, and accountability.
3) Allow Unilever to focus on the needs of their customers thus reigniting growth and
increasing sales potential.
4) Provide the ability to leverage scale of operations.
5) Create a strategic platform for brand management
6) Consumers demand high quality products that both are convenient and delicious.
7) Consumers look for new ways to use products
8) More females are working full time jobs
9) Large population of single parent households.
10) Increase consumer focus on health and nutrition.
11) Delivers innovative products that capitalizes on changing consumer preferences
12) Allows Unilever to focus on the needs of their customers and Consumers thus reigniting
growth and increasing sales potential.
13) Provides a strong competitive platform against major competitors and private label
brands.

47
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
CONCLUSION
As the end of every task we have to draw conclusion about that task. Either is good or bad. We
have to summaries our project in a way that what we have done in the project or what we learn.
In this portion we have answer of what when and why. As it a last portion of our project we
have lot about topic and selected organization. As Unilever is a multinational organization. It
has branches in almost all over the world. It uses almost all type of segmentation as there is
different type of segmentation so it also have different type of target market so different
segmentation strategies some with target strategies. Due to different region whether people,
perception, value and Ideas. That means there are many people in Unilever on quite a steep
learning curve! Until now, most of the performance reporting was based on production-related
metrics. Those metrics will now be reinforced by measures looking at different impacts per
consumer use. That may not sound like a big shift, but its fundamental to enabling Unilever to
manage the impacts of its brands As it also have kind of differentiation and positional maps to
get customer values. Company has different strength and opportunities to explore its. This is a
hard task made harder by today's pressures from the financial markets and consumers alike.
Unilever's analysis in this sustainability report shows how much is happening across the
company as it seeks to embed principles of sustainability and vitality with integrity. None of this
has reached perfection, but, as the examples of its tea, palm oil and greenhouse gas reduction
efforts show, progress is a moving target Importantly, the report shows how much more can be
done if customers and supply chains play their role in greening demand and greening supply. A
prerequisite if we are to use todays crisis as an opportunity to green economic recovery. It also
has lot of care about weaknesses and threats that may severely affect the organization. Due to
present situation of inflation, working of firm can have large impact. In short, its a
multinational organization. They are putting their best efforts to for the betterment of
companys working.










48
UNILEVER PAKISTAN LIMITED
MARKETING MANAGEMENT
2010
BIBLOGRAPHY
PERSONALITIES
COMPANY SECRETARY
MR AMAR NASEER

CHANNEL DEVELOPMENT MANAGER
NASIR MEHMOOD

TARITARY MANAGER
ZAIN-UL-ABDIN

TARITARY MARCHENDISING MANAGER
AKBAR ALI CHEEMA
CELL NO-3006143553

WEBSITES
WWW.UNILEVER.COM
WWW.SMEDS.COM
www.google.com