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A

Dissertation Project Report


ON

MARKET ANALYSIS OF SKIN CARE PRODUCTS


SUBMITTED IN THE PARTIAL FULFILLMENT OF THE REQUIREMENTS
FOR THE AWARD OF THE DEGREE OF

MASTER OF BUSINESS ADMINISTRATION


from

Uttar Pradesh Technical University, Lucknow


(2013-2015)

SUBMITTED TO:
Dr. Devendra Arora
(Director, MBA)

SUBMITTED BY
Kirti Rana
MBA IV Sem
Roll No.: 1307270038

IIMT Management College, Meerut


Ganga Nagar, Meerut (UP)

STUDENT DECLARATION

I Kirti Rana student of MBA at IIMT Management College, Meerut hereby declare that
the Project work entitled MARKET ANALYSIS OF SKIN CARE PRODUCTS is my original
work. I further declare that information furnished in this project report is true to the
best of my knowledge and has not submitted in any institute or university for the
award of and degree or diploma.

Date

Kirti Rana

Place

ACKNOWLEDGEMENT

I Feel proud of getting such opportunity to get myself associated with an esteemed organization like
HINDUSTAN UNILEVER LIMITED.
This project comes out to be a great source of learning and experience. A lot of efforts
have been put by various people to make this project a success. This has greatly
enhanced my knowledge about the vast field of Marketing that an individual prefers in
todays scenario.
I am extremely thankful to Dr. Abhimanyu Updhayay (Asst. Professor) and my
team members who contributed their effort and continuous encouragement in making
this project successful.
Last but not the least; I am extremely thankful to my family members and my friends
for their constant support and valuable guidance.
I hope I can build upon the knowledge and experience that I have gained here and
make a valuable contribution towards this industry in the coming future.

TABLE OF CONTENT
1.

HISTORY OF THE COMPANY

05

2.

COMPANY PROFILE

3.

MANAGEMENT STRUCTURE

18

4.

CODE OF BUSINESS PRINCIPLES

20

5.

PRODUCT PROFILE- HUL PRODUCTS

6.

OBJECTIVE OF THE STUDY

53

7.

SCOPE OF THE STUDY

54

8.

LIMITATION OF THE STUDY

9.

AN OVERVIEW

15

26

59
60

ENVIRONMENTAL POLICY

60

QUALITY POLICY

SAFETY AND HEALTH POLICY

SALES AND INCOME DISTRIBUTION

INTRODUCTION TO INDUSTRY

GROWTH PROSPECT

CHALLENGES BEFORE THE INDIAN FMCG SECTOR

63
66
70
72
72
73

10.RESEARCH METHODOLOGY

74

11.ANALYSIS & INTERPRETATION OF DATA

76
5

12.FINDINGS

85

13.SUGGESTION & RECOMMENDATION

88

14.CONCLUSION

91

15. APPENDIX
1

QUESTIONNAIRE

94

BIBLIOGRAPHY

100

HISTORY OF THE COMPANY PROFILE

Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged


Goods (CPG), are products that have a quick turnover and relatively low cost.
Consumers generally put less thought into the purchase of FMCG than they do
for other products. Though the absolute profit made on FMCG products is
relatively small, they generally sell in large numbers and so the cumulative
profit on such products can be large.

FMCG Products and Categories:1

Personal Care, Oral Care, Hair Care, Skin Care, Personal Wash (soaps);

Cosmetics and toiletries, deodorants, perfumes, feminine hygiene, paper


products;

Household care fabric wash including laundry soaps and synthetic detergents;
household cleaners, such as dish/utensil cleaners, floor cleaners, toilet cleaners,
6

air fresheners, insecticides and mosquito repellents, metal polish and furniture
polish.
4

Food and health beverages, branded flour, branded sugarcane, bakery products
such as bread, biscuits, etc., milk and dairy products, beverages such as tea,
coffee, juices, bottled water etc, snack food, chocolates, etc.

Frequently replaced electronic products, such as audio equipments, digital


cameras, Laptops, CTVs; other electronic items such as Refrigerator, washing
machines, etc. coming under the category of White Goods in FMCG;

Sector
outlook
FMCG is the fourth largest sector in the Indian Economy with a total market size of Rs.
60,000 crores. FMCG sector generates 5% of total factory employment in the country
and is creating employment

Analysis of FMCG Sector


For three million people, especially in small towns and rural India.

Strengths:
1. Low operational costs
2. Presence of established distribution networks in both urban and rural areas
3. Presence of well-known brands in FMCG sector

Weaknesses:
1. Lower scope of investing in technology and achieving economies of scale, especially
in small sectors
2. Low exports levels
3. Me-too products, which illegally mimic the labels of the established brands. These
products narrow the scope of FMCG products in rural and semi-urban market.

Opportunities:
1. Untapped rural market
2. Rising income levels i.e. increase in purchasing power of consumers
3 .Large domestic market
4. Export potential
5. High consumer goods spending

Threats:
1. Removal of import restrictions resulting in replacing of domestic brands

2. Slow down of rural demand


3. Tax and regulatory structure

Future Scenario
The Indian FMCG sector with a market size of US$13.1 billion is the fourth largest sector
in the economy. A well-established distribution network, intense competition between
the organized and unorganized segments characterizes the sector. FMCG Sector is
expected to grow by over 60% by 2010. That will translate into an annual growth of
10% over a 5-year period. It has been estimated that FMCG sector will rise from around
Rs 56,500 crores in 2005 to Rs 92,100 crores in 2010. Hair care, household care, male
grooming, female hygiene, and the chocolates and confectionery categories are
estimated to be the fastest growing segments.

Growth prospect:With the presence of 12.2% of the world population in the villages of India, the Indian
rural FMCG market is something no one can overlook. Increased focus on farm sector
will boost rural incomes, hence providing better growth prospects to the FMCG
companies. Better infrastructure facilities will improve their supply chain. FMCG
sector is also likely to benefit from growing demand in the market. Because of the low
per capita consumption for almost all the products in the country, FMCG companies
have immense possibilities for growth. And if the companies are able to change the
mindset of the consumers, i.e. if they are able to take the consumers to branded
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products and offer new generation products, they would be able to generate higher
growth in the near future. Income in rural areas is rising and it gives a fillip to FMCG
sector. However, the demand in urban areas would be the key growth driver over the
long term. Also, increase in the urban population, along with increase in income levels
and the availability of new categories, would help the urban areas maintain their
position in terms of consumption. At present, urban India accounts for 66% of total
FMCG consumption, with rural India accounting for the remaining 34%. However, rural
India accounts for more than 40% consumption in major FMCG categories such as
personal care, fabric care, and hot beverages. In urban areas, home and personal care
category, including skin care, household care and feminine hygiene, will keep growing
at relatively attractive rates. Within the foods segment, it is estimated that processed
foods, bakery, and dairy are long-term growth categories in both rural and urban areas.

10

THE TOP 10 COMPANIES IN FMCG SECTOR


Hindustan Unilever Ltd.
ITC (Indian Tobacco Company)
Nestl India
GCMMF (AMUL)
Dabur India
Asian Paints (India)
Cadbury India
Britannia Industries
Procter & Gamble Hygiene and Health Care
Marico Industries

"Challenges before the Indian FMCG Sector


&
11

Designing a Blueprint for Future"


Markets all over the world have been on a roll in 2003 and the Indian bourses are no
exception having gained almost 60% in 2003. During this period, while there are
sectors that have outperformed this benchmark index, there are also sectors that have
under performed. FMCG registered gains of just 33% on the BSE FMCG Index last year.
At the macro level, Indian economy is poised to remained buoyant and grow at more
than 7%. The economic growth would impact large proportions of the population thus
leading to more money in the hands of the consumer. Changes in demographic
composition of the population and thus the market would also continue to impact the
FMCG industry.
Recent survey conducted by a leading business weekly, approximately 47 per cent of
India's 1 + billion people were under the age of 20, and teenagers among them
numbered about 160 million. Together, they wielded INR 14000 Cr worth of
discretionary income, and their families spent an additional INR 18500 Cr on them
every year. By 2015, Indians under 20 are estimated to make up 55% of the population
- and wield proportionately higher spending power. Means, companies that are able to
influence and excite such consumers would be those that win in the market place.
The Indian FMCG market has been divided for a long time between the organized
sector and the unorganized sector. While the latter has been crowded by a large
number of local players, competing on margins, the former has varied between a twoplayer-scenario to a multi-player one.
Unlike the U.S. market for fast moving consumer goods (FMCG), which is dominated by
a handful of global players, India's Rs.460 billion FMCG market remains highly
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fragmented with roughly half the market going to unbranded, unpackaged home made
products. This presents a tremendous opportunity for makers of branded products who
can convert consumers to branded products. However, successfully launching and
growing market share around a branded product in India presents tremendous
challenges. Take distribution as an example. India is home to six million retail outlets
and super markets virtually do not exist. This makes logistics particularly for new
players extremely difficult. Other challenges of similar magnitude exist across the
FMCG supply chain. The fact is that FMCG is a structurally unattractive industry in
which to participate. Even so, the opportunity keeps FMCG makers trying.

Structural Analysis Of FMCG Industry


Typically, a consumer buys these goods at least once a month. The sector covers a
wide gamut of products such as detergents, toilet soaps, toothpaste, shampoos,
creams, powders, food products, confectioneries, beverages, and cigarettes. Typical
characteristics of FMCG products are: 1

The products often cater to 3 very distinct but usually wanted for aspects necessity, comfort, luxury. They meet the demands of the entire cross section of
population. Price and income elasticity of demand varies across products and
consumers.

Individual items are of small value (small SKU's) although all FMCG products put
together account for a significant part of the consumer's budget.

13

The consumer spends little time on the purchase decision. He seldom ever looks
at the technical specifications. Brand loyalties or recommendations of reliable
retailer/ dealer drive purchase decisions.

Limited inventory of these products (many of which are perishable) are kept by
consumer and prefers to purchase them frequently, as and when required.

Brand switching is often induced by heavy advertisement, recommendation of


the retailer or word of mouth.

Distinguishing features of Indian FMCG Business


FMCG companies sell their products directly to consumers. Major features that
distinguish this sector from the others include the following: -

Design and Manufacturing

Low Capital Intensity - Most product categories in FMCG require relatively


minor investment in plan and machinery and other fixed assets. Also, the
business has low working capital intensity as bulk of sales from manufacturing
take place on a cash basis.

Technology - Basic technology for manufacturing is easily available. Also,


technology for most products has been fairly stable. Modifications and
improvements rarely change the basic process.

Third-party Manufacturing - Manufacturing of products by third party vendors


is quite common. Benefits associated with third party manufacturing include (1)
flexibility in production and inventory planning; (2) flexibility in controlling labor
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costs; and (3) logistics - sometimes its essential to get certain products
manufactured near the market.

Marketing and Distribution

Marketing function is sacrosanct in case of FMCG companies. Major features of the


marketing function include the following: 1

High Initial Launch Cost - New products require a large front-ended


investment in product development, market research, test marketing and
launch. Creating awareness and develop franchise for a new brand requires
enormous initial expenditure on launch advertisements, free samples and
product promotions. Launch costs are as high as 50-100% of revenue in the first
year. For established brands, advertisement expenditure varies from 5 - 12%
depending on the categories.

Limited Mass Media Options - The challenge associated with the launch
and/or brand-building initiatives is that few no mass media options. TV reaches
67% of urban consumers and 35% of rural consumers. Alternatives like wall
paintings, theatres, video vehicles, special packaging and consumer promotions
become an expensive but required activity associated with a successful FMCG.

Huge Distribution Network - India is home to six million retail outlets,


including 2 million in 5,160 towns and four million in 627,000 villages. Super
markets virtually do not exist in India. This makes logistics particularly for new
players extremely difficult. It also makes new product launches difficult since
retailers are reluctant to allocate resources and time to slow moving products.
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Critical factors for success are the ability to build, develop, and maintain a robust
distribution network.

Competition
Significant Presence of Unorganized Sector - Factors that enable small, unorganized
players with local presence to flourish include the following:

Basic technology for most products is fairly simple and easily available.

The small-scale sector in India enjoys exemption/ lower rates of excise duty,
sales tax etc. This makes them more price competitive vis--vis the organized
sector.

A highly scattered market and poor transport infrastructure limits the ability of
MNCs and national players to reach out to remote rural areas and small towns.

Low brand awareness enables local players to market their spurious look-alike
brands.

Lower overheads due to limited geography, family management, focused


product lines and minimal expenditure on marketing.

A general assessment of this would lead to the conclusion that FMCG is not a
Structurally attractive Industry to Enter.

16

COMPANY PROFILE

Hindustan Unilever Limited, erstwhile Hindustan Lever Limited (also called HLL),
headquartered in Mumbai, is India's largest consumer products company, formed in
1933 as Lever Brothers India Limited. Its 41,000 employees are headed by
Mr.Harish Manwani, the non-executive chairman of the board. HUL is the market leader
in Indian products such as tea, soaps, detergents, as its products have become daily
household name in India. The Anglo-Dutch company Unilever owns a majority stake in
Hindustan Unilever Limited.
A number of prominent companies came into the HUL fold as result of Unilevers
international acquisitions. These included Brooke Bond (1984), Lipton (1972) and
Ponds (1986). In 1993, Tata Oil Mills Company (TOMCO) merged with HLL. Two years
later, HLL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture,

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Lakme Lever Limited. Subsequently in 1998, Lakme Limited sold its brands to HLL and
divested its 50 per cent stake in the joint venture to the FMCG giant.
The leading business magazine, Forbes Global, has rated Hindustan Lever as the best
consumer household products company. Far Eastern Economic Review has rated HLL as
Indias most respected company. Asia money has rated HLL as one of Indias best
managed companies.
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, spread across 20 distinct consumer categories, touch the lives of two out
of three Indians. They endow the company with a scale of combined volumes of about
4

million

tonnes

and

sales

of

Rs.13,718

crores.

The mission that inspires HUL's over 15,000 employees is to "add vitality to life". With
35 Power Brands, HUL meets everyday needs for nutrition, hygiene, and personal care
with brands that help people feel good, look good and get more out of life.

It is a mission HUL shares with its parent company, Unilever, which holds 52.10% of the
equity. A Fortune 500 transnational, Unilever sells Foods and Home and Personal Care
brands in about 100 countries worldwide.

MISSION
Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition,
hygiene, and personal care with brands that help people feel good, look good and get
more out of life.
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CORPORATE PURPOSE
Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition,
hygiene and personal care with brands that help people feel good, look good and get
more out of life.
Our deep roots in local cultures and markets around the world give us our strong
relationship with consumers and are the foundation for our future growth. We will bring
our wealth of knowledge and international expertise to the service of local consumers a

truly

multi-local

multinational.

Our long-term success requires a 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 succeed also requires, we believe, the highest standards of corporate behaviour
towards everyone we work with, the communities we touch, and the environment on
which we have an impact.
This is our road to sustainable, profitable growth, creating long-term value for our shareholders,
our people, and our business partners.

BUSINESS
HULs business activities are divided into four broad areas:

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Home & Personal Care

Foods

Personal Wash

Tea

Fabric Wash

Coffee

Home Care

Branded Staples

Oral Care

Culinary Products

Skin Care

Ice Creams

Hair Care

Modern Foods ranges

Deodorants & Talcs


Color Cosmetics

New Ventures

Exports

Hindustan Lever Network

HPC

Ayush ayurvedic products & services

Beverages

Sangam

Marine Products

Pureit water purifiers

Rice
Castor

Brands
HUL s brands are household names across the country. They include Lifebuoy, Lux, Surf
Excel, Rin, and Wheel, Fair & Lovely, and Pond s, Sunsilk, Clinic, Pepsodent, Close-up,
Lakme, Brooke Bond, Kissan, Knorr-Annapurna and Kwality Walls.

20

Management Structure
Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods (FMCG)
Company. It is present in Home & Personal Care and Foods & Beverages categories.
HUL and Group companies have about 16,000 employees, including 1200 managers.
The fundamental principle determining the organization structure is to infuse speed
and flexibility in decision-making and implementation, with empowered managers
across the company's nationwide operations. For this, HUL is organized into two selfsufficient divisions - Home & Personal Care & Foods - supported by certain central
functions and resources to leverage economies of scale wherever relevant.
1

Board

Divisions

Central functions

Businesses

Board of Directors / Key Personnel


Mr. Harish Manwani

Chairman

Mr Douglas Baillie

CEO & MD

Mr Sanjiv Kakkar

Director

Mr Nitin Paranjpe

Executive Director

Mr Aditya Narayan

Director
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Mr V Narayanan

Director

Mr D.S Parerkh

Director

Mr C.K Prahlad

Director

Mr S. Ramdorai

Director

Mr D. Sundaram

Finance & IT Director

CODE OF BUSINESS PRINCIPLES


Unilever has earned a reputation for conducting its business with integrity and with respect for the
interests of those our activities can affect. This reputation is an asset, just as real as our people and
brands.

Our first priority is to be a successful business and that means investing for growth and balancing
short term and long term interests. It also means caring about our consumers, employees and
shareholders, our business partners and the world in which we live.
To succeed requires the highest standards of behaviour from all of us. The general principles
contained in this Code set out those standards. More detailed guidance tailored to the needs of
different countries and companies will build on these principles as appropriate, but will not include
any standards less rigorous than those contained in this Code.
We want this Code to be more than a collection of high sounding statements. It must have practical
value in our day to day business and each one of us must follow these principles in the spirit as well
as the letter.
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Standard of Conduct
We conduct our operations with honesty, integrity and openness, and with respect for the human
rights and interests of our employees.
We shall similarly respect the legitimate interests of those with whom we have relationships.

Obeying the Law


Unilever companies and our employees are required to comply with the laws and regulations of the
countries in which we operate.
Employees
Unilever is committed to diversity in a working environment where there is mutual trust and respect
and where everyone feels responsible for the performance and reputation of our company.
We will recruit, employ and promote employees on the sole basis of the qualifications and abilities
needed for the work to be performed.
We are committed to safe and healthy working conditions for all employees. We will not use any
form of forced, compulsory or child labor.
We are committed to working with employees to develop and enhance each individual's skills and
capabilities.

We respect the dignity of the individual and the right of employees to freedom of association.
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We will maintain good communications with employees through company based information and
consultation procedures.
Consumers
Unilever is committed to providing branded products and services which consistently offer value in
terms of price and quality, and which are safe for their intended use. Products and services will be
accurately and properly labeled, advertised and communicated.
Shareholders
Unilever will conduct its operations in accordance with internationally accepted principles of good
corporate governance. We will provide timely, regular and reliable information on our activities,
structure, financial situation and performance to all shareholders.
Business Partners
Unilever is committed to establishing mutually beneficial relations with our suppliers, customers and
business partners.
In our business dealings we expect our business partners to adhere to business principles consistent
with our own.
Community Involvement
Unilever strives to be a trusted corporate citizen and, as an integral part of society, to fulfill our
responsibilities to the societies and communities in which we operate.

24

Public Activities
Unilever companies are encouraged to promote and defend their legitimate business interests.
Unilever will co-operate with governments and other organisations, both directly and through bodies
such as trade associations, in the development of proposed legislation and other regulations which
may affect legitimate business interests.
Unilever neither supports political parties nor contributes to the funds of groups whose activities are
calculated to promote party interests.
The Environment
Unilever is committed to making continuous improvements in the management of our environmental
impact and to the longer-term goal of developing a sustainable business.
Unilever will work in partnership with others to promote environmental care, increase understanding
of environmental issues and disseminate good practice.

Innovation
In our scientific innovation to meet consumer needs we will respect the concerns of our consumers
and of society. We will work on the basis of sound science applying rigorous standards of product
safety.

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Competition
Unilever believes in vigorous yet fair competition and supports the development of appropriate
competition laws. Unilever companies and employees will conduct their operations in accordance
with the principles of fair competition and all applicable regulations.

Business Integrity
Unilever does not give or receive whether directly or indirectly bribes or other improper advantages
for business or financial gain. No employee may offer give or receive any gift or payment which is,
or may be construed as being, a bribe. Any demand for, or offer of, a bribe must be rejected
immediately and reported to management.
Unilever accounting records and supporting documents must accurately describe and reflect the
nature of the underlying transactions. No undisclosed or unrecorded account, fund or asset will be
established or maintained.

Conflicts of Interests
All Unilever employees are expected to avoid personal activities and financial interests which could
conflict with their responsibilities to the company.

26

Unilever employees must not seek gain for themselves or others through misuse of their positions.

Compliance Monitoring Reporting


Compliance with these principles is an essential element in our business success. The Unilever
Board is responsible for ensuring these principles are applied throughout Unilever.
The Group Chief Executive is responsible for implementing these principles and is supported in this
by the Corporate Code Committee comprising the General Counsel, the Joint Secretaries, the Chief
Auditor, the SVP HR, the SVP Communications and the Corporate Code Officer, who presents
quarterly reports to the Unilever Executive.
Day to day responsibility is delegated to all senior management of the regions, categories, functions
and operating companies. They are responsible for implementing these principles, if necessary
through more detailed guidance tailored to local needs, and are supported in this by Regional Code
Committees comprising the Regional General Counsel together with representatives from all
relevant functions and categories.
Assurance of compliance is given and monitored each year. Compliance with the Code is subject to
review by the Board supported by the Corporate Responsibility and Reputation Committee and for
financial and accounting issues the Audit Committee.
Any breaches of the Code must be reported in accordance with the procedures specified by the
General Counsel. The Board of Unilever will not criticise management for any loss of business
resulting from adherence to these principles and other mandatory policies and instructions.
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The Board of Unilever expects employees to bring to their attention, or to that of senior
management, any breach or suspected breach of these principles.
Provision has been made for employees to be able to report in confidence and no employee will
suffer as a consequence of doing so.

Products Profile - HUL Product

SKIN CATEGORY
PEARS
Introduced in India in 1902, Pears soap has no equal. It is gentle enough, even for
baby's skin.
Pears is manufactured like any other soap, but unlike in conventional soaps, the
glycerine is retained within the soap. That is the cause if its unique transparency. After
manufacturing, the soap is mellowed under controlled conditions over weeks. At the
end of this maturing process, it is individually polished and packed in cartons.
Today Pears is available in three variants - the traditional amber variant, a green
variant for oil control and a blue variant for germ protection.

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PEARS AMBER

125 GM

PEARS AMBER

75 GM

PEARS AMBER

45 GM

PEARS OIL CONTROL

75 GM

PEARS GERMSHILD

75 GM

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FAIR & LOVELY


A woman's passion for beauty is universal and catering to this strong need is Fair
&Lovely. Based on a revolutionary breakthrough in skin lightening technology, Fair &
Lovely was launched in 1978.
The Hindustan Lever Research Centre (it is among the largest research establishments
in India's private sector, including pharmaceutical companies, with facilities in Mumbai
and Bangalore) deployed technology, based on pioneering research in the science of
skin lightening to develop Fair & Lovely. The formulation is patented. Its formulation
acts safely and gently with the natural renewal process of the skin, making complexion
fairerover a period of six weeks.
Fair & Lovely is formulated with optimum levels of UV sunscreens and Niacinamide that
is known to control dispersion of melanin in the skin. It is a patented and proprietary
formulation, which has been in the market for 25 years. Niacinamide (Vitamin B3) is a
water-soluble vitamin and is widely distributed in cereals, fruits and vegetables - and its
use in cosmetic formulations has been known for various end benefits. The UV
components of the formulation are scientifically chosen and used at optimum levels to
provide wide spectrum protection against UV rays of the sun. Specifically, this patented
formulation offers a high UVA protection, which is more relevant to Asian skin than
plain SPF protection creams sold in the West. All the active ingredients in the Fair &
Lovelyformulation function synergistically to lighten skin colour through a process that
is natural, reversible and totally safe.

FAIR & LOVELY MULTI VITAMIN

80 GM

FAIR & LOVELY MULTI VITAMIN

25GM

30

FAIR & LOVELY MULTI VITAMIN

9 GM

FAIR & LOVELY SKIN CLEARITY

9 GM

FAIR & LOVELY AYURVEDIK

50 GM

FAIR & LOVELY AYURVEDIK

25 GM

FAIR & LOVELY AYURVEDIK

9 GM

FAIR & LOVELY MENZ ACTIVE

50 GM

FAIR & LOVELY SUN BLOCK

50 GM

FAIR & LOVELY MULTI VITAMIN

50 GM

FAIR & LOVELY SUN BLOCK

25 GM

FAIR & LOVELY SKIN CLEARIT

50 GM

FAIR & LOVELY SKIN CLEARITY

25 GM

FAIR & LOVELY MENZ ACTIVE

25 GM

PONDS

Pond's has been synonymous with skin care in India since 1947.
The impressive track record of Pond's began when Theron T Pond, a pharmacist from
Utica New York, introduced 'Pond's Golden Treasure' in 1846, a witch-hazel based
wonder product. In 1914, Pond's Cold Cream and Vanishing Cream marked the brand's
evolution to a beauty icon. In 1955 Pond's Extract Company merged with Chesebrough
Manufacturing and in 1987 Unilever purchased Chesebrough-Pond's. By this time the
Pond's brand had built up a powerful international presence. From one man in a tiny
home-made laboratory, to today's state of the art R&D facilities led from Bangkok,
Mumbai, New York and Tokyo, the Pond's promise has remained the same across 58
countries - to deliver products that make a real difference to women's skin and the way
they live their lives.

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PONDS TALCUM
PONDS DFT 400 GM
PONDS DFT 200 GM
PONDS DFT 100 GM
PONDS DFT 50 GM
PONDS DFT 20 GM
PONDS MAGIC 400 GM
PONDS MAGIC 100 GM
PONDS MAGIC 50 GM
PONDS MAGIC 20 GM
PONDS SANDAL TALC 300 GM
PONDS SANDAL TALC 100 GM
PONDS SANDAL TALC 50 GM
PONDS SANDAL TALC 20 GM
PONDS OIL CONTROL 400 GM
PONDS OIL CONTROL 100 GM

Vaseline

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Vaseline is a trusted brand worldwide associated with daily skin care and healthy skin
for the entire family. Vaseline has been keeping skin healthy since 1870.
The Vaseline Philosophy:
The need for Vaseline is based on real skin facts. We believe our skin is amazing. It
protects us,heals itself, connects us to the world, transmits emotions. And this amazing
skin needs to be looked after. Nobody knows skin, and how to keep it at its healthy
best.This why HUL make products that maintain our skin condition at its best and
enhances its natural health.

Vaseline Petroleum Jelly I.P.

Vaseline Petroleum Jelly is a mixture of Mineral oils, Paraffin and microcrystalline waxes,
is that when blended together, create something remarkable- it literally melts into your
body, protecting the skin from within.Vaseline petroleum Jelly serves two functions.
First it helps keep the outside world out it protects skin from effects of weather and
exposure. Second it acts like a sealant to keep the inside world in, thereby acting as a
barrier to the natural water loss from our skin. So Skin that is dry and chapped is
protected from drying elements, enabling skin softening moisture to build up naturally
from inside the skin itself.
Vaseline Total Moisture Body Lotion:

Beneath the surface, your skin is 90% water, enabling it to act as a moisture and
nutrient reserve. So keeping your skin well hydrated is critical to your wellbeing.Unfortunately however, our body tends to lose moisture throughout the day.
Bathing,casual contact, washing, sitting in the AC for too long, seasonal changes, all
robs the body of its moisture. Vaseline Total Moisture is a fast-absorbing lotion enriched
with Soya and Oat protein that are known to nourish the skin from deep inside while
33

Vitamin E feeds your skin with the nutrient that is essential to keep it glowing. Together
they result in healthy looking skin.
Vaseline Aloe Cool and Fresh Body Lotion:

With the goodness of Cucumber and Aloe Vera, this light moisturising body lotion is
especially made to meet your skin needs in summer. Cucumber is a surprising beauty
secret for the skin with its hydrating, cooling and soothing properties. Aloe Vera on the
other hand, is an unparalleled moisturiser and cell rejuvenator which is excellent for
dry skin. Together, these two ingredients can keep your skin looking and feeling its
healthiest best.

VASELINE & PONDS


VASELINE BODY LOTTION 300 ML
VASELINE BODY LOTTION 100 ML
VASELINE BODY LOTTION 25 ML
VASELIN ALOE FRESH 300 ML
VASELIN ALOE FRESH 100 ML
VASELINE PETOLIUM JELLY 100 GM
VASELINE PETOLIUM JELLY 50 GM
VASELINE PETOLIUM JELLY 25 GM
VASELINE PETOLIUM JELLY 8 GM
VASELINE LIPCARE 10 GM
PONDS COLD CREAM 100 GM

34

PONDS COLD CREAM 55 GM


PONDS COLD CREAM 30 GM
PONDS COLD CREAM 8 GM
PONDS BODY LOTTION 300 ML
PONDS BODY LOTTION 100 ML

LAKME

Half a century ago, as India took her steps into freedom, Lakme, India's first beauty
brand was born. At a time when the beauty industry in India was at a nascent stage,
Lakme tapped into what would grow to be amongst the leading, high consumer interest
segments in the Indian Industry - that of skincare and cosmetic products. Armed with a
potent combination of foresight, research and constant innovation, Lakme has grown to
be the market leader in the cosmetics industry.
Lakme today has grown to have a wide variety of products and services that cover all
facets of beauty care, and arm the consumer with products to pamper her from head to
toe. These include products for the lips, nails, eyes, face and skin, and services like the
Lakme Beauty Salons.
LAKME SUMMER COLLECTION
Lakme Sun Expert Ultra matte - SPF 20*

35

Lakme presents a revolutionary light sunscreen, with insta oil absorb complex. This
broad spectrum fluid instantly absorbs excess oil from the surface of the skin, leaving
your face matte and shine-free.
Finally sunscreen comfortable enough to become a daily habit. Enabling you to do what
is right for your skin- no matter what the weather.Its UVA and UVB absorbers give you
perfect protection for medium levels of sun exposure,defending your skin from harmful
sun damage.
How to Use:
Apply on face, neck and other exposed areas atleast 20minutes before stepping out in
the skin. Wait for a minute before applying makeup re-apply every 3 to 4 hours.

Lakme Sun Expert


sun protection creme
moisture intense sunscreen

Lakme Sun Expert Moisture Intense Sunscreen SPF 30*


with UVA and UVB Protection controls sun related
damage like skin darkening, sun spots, premature ageing
With extracts of Aloe Vera and Sweet Orange, this intense
Protection)

36

SPF 30*(High

creme has a deep moisturising action. Best suited for Dry and Dehydrated skin. This
formulation is water and sweat resistant.
To Use:
Apply daily to face and other exposed areas. Re-apply every 3 to 4 hours.
Results:
Moisturised skin that is protected from the harmful effects of the Sun.
Key Ingredients:
Aqua, Octyl Methoxycinnamate, Cyclomethicone, Benzophenone-3, Titanium Dioxide,
Perfume.

Lakme Sun Expert


Sunscreen Lotion
Lakme Sun Expert Sunscreen Lotion SPF-15
For All Skin types

A 100% oil-free formulation that protects normal skin


from 70% of skin damage. Specially formulated for
Indian skin that tans easily, new Lakme Sun Expert
has SPF 15 to prevent tanning and block out harmful rays.
How it Works
37

Moisturises, nourishes and prevents tanning, wrinkling,


types

spots and keeps skin soft.

38

SPF 15 For All Skin

How to Use
Massage gently onto face, neck, hands and other exposed parts of the body. Use daily,
all year round, whether you are indoors or outdoors. .

PONDS WHITE BEAUTY

Part of the Unilever portfolio since 1986, Pond's recently announced the launch of
'Pond's White Beauty Detox' range that gives a visibly illuminated and nourished pink
glow.Talking of luminous, Pond's White Beauty is not just about skin whitening for the
consumer, but about a radiant healthy skin that gives a nourished pink glow. Pond's
White Beauty has detoxifying vitamins B3, B6, E, and C, which neutralizes the effect of
darkness-causing impurities found in the environment and reduces accumulated
melanin, thus giving a smooth, pure and bright skin.
Pond's White Beauty represents the international expertise of Pond's in providing
superlative skincare regimes. Increasingly, Indian women are looking for the complete
skincare regime of cleansing, toning and moisturizing and this product range provides
all beauty regime requirements.
The range consists of White Beauty Detox Cleanser which cleans thoroughly, White
Beauty Detox Toner, which tightens the open pores and smoothens out the rough
appearance of the skin; White Beauty Skin Lightening Cream with Detox vitamins that
nourish skin from within, and White Beauty Detox Lotion, which replenishes skin's
natural moisture level and gives visibly glowing and smooth pinkish skin.
39

40

ONDS AGE MIRACLE


As a brand that understands women, around the world, Pond's recognizes that true
beauty is derived from love and warmth as well as the credibility of an international
skincare heavyweight. Pond's is offering a variety of ranges for women. Ponds Age
Miracle is another example of that. Candlelight dinners, long drives and the sound of
saxophones will be part of your lives, once again. The smell of love in the air, the
feeling of your heart skipping a beat, once again. When Hindustan Lever threw a party
to formally launch its premium Pond's Age Miracle range it used these words in
invitation. . The FMCG major promised to bring romance back into the 35-plus woman's
life with a new look courtesy Pond's Age Miracle.

41

42

COMPETITIVE BRANDS
PRODUCT PROFILE

FIAMA DI WILLS (ITC)


The Fiama Di Wills range of soaps has been launched under the sub - brand
SkinSense. The first variant to be introduced in this range is Soft Green. This is a
gentle caring soap, which helps enhance retention of skin proteins making skin look
beautiful and youthful. In February 2008, ITC launched two new ranges of soap - Vivel
Di Wills and Vivel to cater to the skincare needs of a wide range of consumers.
Backed by consumer insights, the ranges offer a unique value proposition of bringing
together ingredients that provide multiple benefits of Nourishment, Protection and
Hydration in a single product. Hence providing the ever discerning consumer complete
care.
The packaging, reflecting the philosophy of the brand, fuses multiple benefits. The
unique carton pack has been developed by ITCs design team to provide a novel
consumer experience.The Vivel Di Wills range is available in two variants:
Vivel Di Wills Sheer Radiance is enriched with Olive Oil, to provide skin lustre to
make it radiant.
Vivel Di Wills Sheer Crme is enriched with Shea Butter, to moisturize skin to
make it soft and supple. The Vivel range is available in four variants
Vivel Young Glow is enriched with Vitamin E and Fruit Infusions which help in
providing youthful glow to the skin.
43

Vivel Satin Soft is enriched with Vitamin E and Aloe Vera which help the skin feel
beautifully soft.
Vivel Sandal Sparkle is enriched with Sandalwood Oil and Active Clay which helps
in providing clear skin.
Vivel Ayurveda Essence is enriched with multiple Ayurvedic Ingredients which help
protect skin from germs and harsh environment, keeping it healthy and beautiful.
Although the market trend shows that these ITC brands are no competition to
Pears right now. But if ITC improves its distribution network then these
brands can be a threat to HUL.

Fairness creams

FAIR ONE
'Fairone Fairness Cream' was launched jointly by Elder Pharmaceuticals and Shahnaz
Husain. Elder Pharmaceuticals Ltd and Shahnaz Husain, herbal beauty specialist, had
entered into an agreement to launch four skin care products during 2006-2007. Elder
undertakes the manufacturing and marketing of the products, while the conception and
composition is done by Husain. Elder Pharmaceuticals Ltd. is one of the leading
companies in India in the skin care sector. The company is a major manufacturer of
aloe vera-based skin care products.

44

Indications
FAIR ONE cream has a unique blend of herbal ingredients like saffron,
honey, apricot oil, rose, cucumber and lemon distillate. The formulation
protects the skin from the darkening effects of the sun. Honey, a natural
moisturizer, nourishes the skin, keeping it smooth and supple. FAIR ONE
cream helps to make your skin look fairer and brighter.

Method of Use

Apply to face, neck and arms twice daily. See


results in One fortnight.

FAIR AND HANDSOME

A fair complexion has always been associated with success and popularity. Men and
women alike desire fairness, it is believed to be the key to a successful life. Well for
women the market is loaded with fairness cream but for men there are very few
creams. Emami Fair and Handsome is one such cream for men. Emami herbalists and
dermatologists from India along with Activor Corp USA, has
created Fair & Handsome a fairness cream for Men with a breakthrough Five Power
Fairness System to make skin fair and handsome in 4 weeks.
45

Emami - Fairness Cream for Men


Fair and Handsome

First time ever fairness cream for men


Emami in collaboration with Activor Corp, USA has created a unique fairness cream for
men with a
breakthrough Peptide complex patented in the USA.This wonder molecule peptide
works on the collagen structure of male skin and dramatically improves skin texture
and fairness in just 4 weeks. Its pleasant cooling gives an after-shave effect.

Emami - Fairness

How does it work?

Cream for Men


1

Active ingredients regulate production of


Handsome
melanin. Natural sunscreen protects against
UV rays.

Peptide in combination with Vetiver and


Rose Water makes skin fair and fresh with a
pleasant cooling sensation.

46

Fair and

What it does:

Improves fairness in 4 weeks.

Protects against sun's UV rays.

Moisturises skin even after shaving.

Relieves stress and fatigue signs.

The efficiency of this cream has been dermatologically tested on Indian male skin. 73%
were found to be fairer. 78% found it to be an effective after shave moisturiser.75%
found effective oil-control.

GARNIER
Garnier is a division of L'Oral that produces hair care products, including the Fructis
line, and most recently, skin care products under the name, Nutritioniste, that are sold
around the world. One of their key ingredients is a fruit concentrate used in all their
products. It is a combination of fruit acids, vitamin B3 and B6, fructose and glucose.
Fairness + dark spots prevention daily
Moisturiser
Lightens skin
Prevents dark spots from reappearing.

47

Anti-marks + fairness concentrate


Enhances the skin's overall fairness
Reduces the number & intensity of dark
spots.

FAIREVER
Natural Fairever was initially launched in A.P. in 1998, following that a national launch
was made in 1999. Fairever is the brand of CavinKare Pvt Ltd(CKPL). This cream has a
blend of saffron and milk. It claims to work from within to provide a distinctly fairer,
glowing complexion much like that of Kashmiri beauties in just 4 weeks Triple
sunscreens also retain your fairness and reduce the harmful effects of UV rays. It
comes in a pack of 50g and 100g. The 50g pack costs Rs.55.
The Fairever claims to have consumers as a woman who is the young and
contemporary woman of today. She has strong values and believes in using a natural
product that will help bring out her natural beauty from within.

Fairever
Fairness Cream

48

Fairever Fairness Cream with Saffron, Milk


and Fruit Vitalisers
Use twice every day.

TALCUM POWDER

CINTHOL

49

Cinthol talc is a product of GODREJ Consumer Products Ltd (GCPL). GCPL identifies
Cinthol as its power brand. GCPL has launched new Cinthol range of soap, talc and
deodorant with Bollywood actor Hrithik Roshan as its new brand ambassador. Cinthol
offers a range of soaps, talc and deo sprays in three exciting fragrance - Classic,
Cologne
and Sport - in a new packaging.
Cinthol has come out with a combi pack for this summer. It is in pack of 300g + 100g
for
M.R.P Rs.80.

SPINZ

Spinz talc is CavinKare Pvt Ltd(CKPL) brand.


Spinz Talc is packed in sizes of 20 g, 50 g, 100 g and 400 g and comes in three
fragrances:
1
2

Exotic
Exchante
50

Sandal

The Spinz talcs target are girls of around 18 to 26 years old from SEC A and B.
Easygoing

and fun-loving, who loves to have a lot of friends with whom she spends time.

SUN CARE
LOTUS
Lotus sun care range is by Lotus Herbals. Lotus suncare has a wide range of variants
available for all skin types. Their SPF(Sun Protection Formula) ranges from 15 to 60.This
caters to the needs of all kind of people who need different type of SPF according to
their exposure to the sun. Lotus is more priced than Lakme but gives a good margin to
the retailers. This brand specializes in sunscreen manufacturing and it is very old in this
field, due to this it has gained trust of people. It offers a wide range of facewash,
creams and facepacks which provides protection against sun. The most sellind variant
of Lotus are as follows:-

Block Cream (SPF30)


(Suits all skin types)

This unique sun block cream has been specially made for Indian
Summer. It provides complete protection against harmful UVA
& UVB rays of sun, reducing chances of skin tanning and ageing.
51

Directions for use: Apply liberally and evenly on face, neck


and any other exposed part of the body, atleast 30 minutes
before stepping out in the sun. The cream will not get wiped offwith perspiration /
water. Avoid contact with eyes.
Active

Ingredients:

Octyle

Methoxy

Cinnamate

Z-Cote,

Titanium

Dioxide

and

Benzophenone-3.

Safe Sun - Daily Sun Block


(SPF 40)
3-in-1 Matte Look Daily Sun Block
Birch Extract SPF 40
(Suits all skin types) Sun Protection
Skin Lightening
Mattifying
Incredibly Light, Fast Absorbing, Non-Shiny, NonGreasy
For all skin types.

52

Daily sun block - water proof, Sweat proof


Daily Sunblock is a revolutionary sun protection
formulation which combines Broad-Spectrum UVA /UVB protection with skin lightening
ingredients to give a uniform matte finish to the skin. Its fast absorption and nongreasy formula ensures a shinefree,light & clean feel.Contains herbals extracts of
Birch: Mattifying
Mallow: Sun Protection
Hops: Skin Lightening
Directions for use:
Apply safe Sun 3-in 1 Daily Sun Block Cream liberally and evenly on face and exposed
parts of the body (neck, arms, legs, etc.,) before exposure to Sun. Re-apply frequently.
Caution ======
For external use only. In a rare case, if rash or irritation occurs, discontinue use.

Location
HUL products are manufactured in 80 factories. The operations involve over
2,000 suppliers and associates. HUL s distribution network, comprising about
7,000 redistribution stockiest, directly covers the entire urban population, and
about 250 million rural consumers.

Past Milestones

53

In the summer of 1888, visitors to the Kolkata harbor 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 in 1895 and other famous brands like Pears, Lux and Vim.
Vanaspati was launched in 1918 and the famous Dalda brand came to the market in
1937.
In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing
Company, followed by Lever Brothers India Limited (1933) and United Traders Limited
(1935). These three companies merged to form HLL in November 1956; HLL offered
10% of its equity to the Indian public, being the first among the foreign subsidiaries to
do so. Unilever now holds 51.55% equity in the company. The rest of the shareholding
is distributed among about 380,000 individual shareholders and financial institutions.
The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the
company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India
Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an
international acquisition. The erstwhile Lipton's links with India were forged in 1898.
Unilever acquired Lipton in 1972 and in 1977 Lipton Tea (India) Limited was
incorporated.
Pond's (India) Limited had been present in India since 1947. It joined the Unilever fold
through an international acquisition of Chesebrough Pond's USA in 1986.Since the very
early years, HLL has vigorously responded to the stimulus of economic growth. The
growth process has been accompanied by judicious diversification, always in line with
Indian opinions and aspirations.
54

The liberalization of the Indian economy, started in 1991, clearly marked an inflexion in
HLL's and the Group's growth curve. Removal of the regulatory framework allowed the
company to explore every single product and opportunity segment, without any
constraints on production capacity.
Simultaneously, deregulation permitted alliances, acquisitions and mergers. In one of
the most visible and talked about events of India's corporate history, the erstwhile Tata
Oil Mills Company (TOMCO) merged with HLL, effective from April 1, 1993. In 1995, HLL
and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme
Lever Limited, to market Lakme's market-leading cosmetics and other appropriate
products of both the companies. Subsequently in 1998, Lakme Limited sold its brands
to HLL and divested its 50% stake in the joint venture to the company.
HLL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in
1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex Sanitary
Pads. HLL has also set up a subsidiary in Nepal, Nepal Lever Limited (NLL), and its
factory represents the largest manufacturing investment in the Himalayan kingdom.
The NLL factory manufactures HLL's products like Soaps, Detergents and Personal
Products both for the domestic market and exports to India.
The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the
Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired Kothari
General Foods, with significant interests in Instant Coffee. In 1993, it acquired the
Kissan business from the UB Group and the Dollops Ice-cream business from Cadbury
India.

55

As a measure of backward integration, Tea Estates and Doom Dooma, two plantation
companies of Unilever, were merged with Brooke Bond. Then in July 1993, Brooke Bond
India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL),
enabling greater focus and ensuring synergy in the traditional Beverages business.
1994 witnessed BBLIL launching the Wall's range of Frozen Desserts. By the end of the
year, 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.
Finally, BBLIL merged with HLL, with effect from January 1, 1996. The internal
restructuring culminated in the merger of Pond's (India) Limited (PIL) with HLL in 1998.
The two companies had significant overlaps in Personal Products, Specialty Chemicals
and Exports businesses, besides a common distribution system since 1993 for Personal
Products. The two also had a common management pool and a technology base. The
amalgamation was done to ensure for the Group, benefits from scale economies both in
domestic and export markets and enable it to fund investments required for
aggressively building new categories.
In January 2000, in a historic step, the government decided to award 74 per cent equity
in Modern Foods to HLL, thereby beginning the divestment of government equity in
public sector undertakings (PSU) to private sector partners. HLL's entry into Bread is a
strategic extension of the company's wheat business. In 2002, HLL acquired the
government's

remaining

stake

in

Modern

Foods.

In 2003, HLL acquired the Cooked Shrimp and Pasteurized Crabmeat business of the
Amalgam Group of Companies, a leader in value added Marine Products exports.
56

Chronology

YEA MILESTONES
R
1888 Sunlight soap introduced in India.

1895 Lifebuoy soap launched; Lever Brothers appoints agents in Mumbai, Chennai, Kolkata, and Karachi.

1902 Pears soap introduced in India.

1903 Brooke Bond Red Label tea launched.

1905 Lux flakes introduced.

1913 Vim scouring powder introduced.

1914 Vinolia soap launched in India.

1918 Vanaspati introduced by Dutch margarine manufacturers like Van den Berghs, Jurgens, Verschure
Creameries, and Hartogs.

1922 Rinso soap powder introduced.

1924 Gibbs dental preparations launched.

1925 Lever Brothers gets full control of North West Soap Company.

1926 Hartogs registers Dalda Trademark.


57

1930 Unilever is formed on January 1 through merger of Lever Brothers and Margarine Unie.

1931 Hindustan Vanaspati Manufacturing Company registered on November 27; Sewri factory site bought.

1932 Vanaspati manufacture starts at Sewri.

1933 Application made for setting up soap factory next to the Vanaspati factory at Sewri; Lever Brothers
India Limited incorporated on October 17.

1934 Soap manufacture begins at Sewri factory in October; North West Soap Company's Garden Reach
Factory, Kolkata rented and expanded to produce Lever brands.

1935 United Traders incorporated on May 11 to market Personal Products.

1937 Mr. Prakash Tandon, one of the first Indian covenanted managers, joins HVM.

1939 Garden Reach Factory purchased outright; concentration on building up Dalda Vanaspati as a brand.

1941 Agencies in Mumbai, Chennai, Kolkata and Karachi taken over; company acquires own sales force.

1942 Unilever takes firm decision to "train Indians to take over junior and senior management positions
instead of Europeans".

1943 Personal Products manufacture begins in India at Garden Reach Factory.

1944 Reorganization of the three companies with common management but separate marketing operations.

1947 Pond's Cold Cream launched.

58

1951 Mr. Prakash Tandon becomes first Indian Director. Shamnagar, Tiruchy, and Ghaziabad Vanaspati
factories bought.

1955 65% of managers are Indians.

1956 Three companies merge to form Hindustan Lever Limited, with 10% Indian equity participation.

1957 Unilever Special Committee approves research activity by Hindustan Lever.

1958 Research Unit starts functioning at Mumbai Factory.

1959 Surf launched.

1961 Mr. Prakash Tandon takes over as the first Indian Chairman; 191 of the 205 managers are Indians.

1962 Formal Exports Department starts.

1963 Head Office building at Back bay Reclamation, Mumbai, opened.

1964 Etah dairy set up, Anik ghee launched; Animal feeds plant at Ghaziabad; Sunsilk shampoo launched.

1965 Signal toothpaste launched; Indian shareholding increases to 14%.

1966 Lever's baby food, more new foods introduced; Nickel catalyst production begins; Indian shareholding
increases to 15%. Statutory price control on Vanaspati; Taj Mahal tea launched.

1967 Hindustan Lever Research Centre, opens in Mumbai.

1968 Mr. V. G. Rajadhyaksha takes over as Chairman from Mr. Prakash Tandon; Fine Chemicals Unit
commissioned at Andheri; informal price control on soap begins.

59

1969 Rin bar launched; Fine Chemicals Unit starts production; Bru coffee launched

1971 Mr. V. G. Rajadhyaksha presents plan for diversification into chemicals to Unilever Special Committee
- plan approved; Clinic shampoo launched.

1973 Mr. T. Thomas takes over as Chairman from Mr. V. G. Rajadhyaksha.

1974 Pilot plant for industrial chemicals at Taloja; informal price control on soaps withdrawn; Liril
marketed.

1975 Ten-year modernization plan for soaps and detergent plants; Jammu project work begins; statutory
price control on Vanaspati and baby foods withdrawn; Close-up toothpaste launched.

1976 Construction work of Haldia chemicals complex begins; Taloja chemicals unit begins functioning.

1977 Jammu synthetic Detergents plant inaugurated; Indian shareholding increases to 18.57%.

1978 Indian shareholding increases to 34%; Fair & Lovely skin cream launched.

1979 Sodium Tripolyphospate plant at Haldia commissioned.

1980 Dr. A. S. Ganguly takes over as Chairman from Mr. T. Thomas; Unilever shareholding in the company
comes down to 51%.

1982 Government allows 51% Unilever shareholding.

1984 Foods, Animal Feeds businesses transferred to Lipton.

1986 Agri-products unit at Hyderabad starts functioning - first range of hybrid seeds comes out; Khamgaon
Soaps unit and Yavatmal Personal Products unit start production.

60

1988 Launch of Lipton Taaza tea.

1990 Mr. S. M. Datta takes over as Chairman from Dr. A. S. Ganguly.

1991 Surf Ultra detergent launched.

1992 HLL recognised by Government of India as Star Trading House in Exports.

1993 HLL's largest competitor, Tata Oil Mills Company (TOMCO), merges with the company with effect
from April 1, 1993, the biggest such in Indian industry till that time. Merger ultimately accomplished
in December 1994; Launch of Vim bar; Kissan acquired from the UB Group.

1994 HLL forms Nepal Lever Limited, HLL and US-based Kimberley-Clark Corporation form 50:50 joint
venture - Kimberley-Clark Lever Ltd. - to market Huggies diapers and Kotex feminine care products.
Factory set up at Pune in 1995; HLL acquires Kwality and Milkfood 100% brand names and
distribution assets. HLL introduces Wall's.

1995 HLL and Indian cosmetics major, Lakme Ltd., form 50:50 joint venture - Lakme Lever Ltd.; HLL
enters branded staples business with salt; HLL recognized as Super Star Trading House.

1996 Mr. K. B. Dadiseth takes over as Chairman from Mr. S. M. Datta; Merger of Group company, Brooke
Bond Lipton India Limited, with HLL, with effect from January 1; HLL introduces branded aatta; Surf
Excel launched.

1997 Unilever sets up International Research Laboratory in Bangalore; new Regional Innovation Centers
also come up.

1998 Group company, Pond's India Ltd., merges with HLL with effect from January 1, 1998. HLL acquires
Lakme brand, factories and Lakme Ltd.'s 50% equity in Lakme Lever Ltd.

2000 Mr. M. S. Banga takes over as Chairman from Mr. K. B. Dadiseth, who joins the Unilever Board; HLL
acquires 74% stake in Modern Food Industries Ltd., the first public sector company to be disinvested
61

by the Government of India.


200
2

HLL enters Ayurvedic health & beauty centre category with the Ayush range and Ayush Therapy
Centers.

2003
Launch of Hindustan Lever Network; acquisition of the Amalgam Group
200
5

Launch of "Pureit" water purifiers

2006
Brookefields food operations moved to Mumbai
2007
Company name formally changed to Hindustan Unilever Limited after receiving
the approval of share holders during the 74th AGM on 18 May 2007
Sales of Brooke Bond and Surf Excel each cross the Rs 1,000 crore mark
2008
HUL

completes

75

years

on

17th

October

2008

Pureit national launch across India


2010
HUL moves to its new headquarters Unilever House in Andheri, Mumbai. Pureit
international launch. Unilever Sustainable Living Plan launched in India
2013
HUL completes 80 years on October 17 2013

HINDUSTAN UNILEVER LOGO


Logo of Hindustan Unilever Is Contaning the legacy of their parent company unilever.
Logo of Hindustan Unilever has also been changed with company name. This logo
coincides with the announcement of new corporate identity. Name HUL was approved

62

by shareholder at the year annual meeting on May 18 & new identity was officially
announced on 25 June following government approval.
New identity provides optimum balance between maintaining the heritage of the
company & synergies of global alignment with the corporate name of unilever. Most
importantly it retains Hindustan as the first word in its name to reflect the companys
continued commitment to local economy, consumers, partners, & employers
New logo symbolizes the company mission of Adding Vitality to life & play a very
strongly in our vision of Earning the love & respect of India by making a real
difference to every Indian. It comprises 25 different icons representing organization,
its brands & idea of vitality.

OBJECTIVE OF THE STUDY


Major objective of the study entitled name Market analysis of skin
care products
63

Analysis of the marketing strategies of the products of the HUL


and to know about the major competitors strategies about the
skin care products.

To know about the buying behavior of consumers.

Analysis of the impact of the brand of the mind of the


consumers.

Analysis of the strategies adopted by the HUL for their skincare


products

To know about the behavior of the distributors

64

65

Scope of the study


PRESENT STATUS
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. They endow the company with a scale of combined volumes
of about 4 million tonnes and sales of nearly Rs.13718 crores.

HUL is also one of the country's largest exporters; it has been recognised as a Golden Super Star
Trading House by the Government of India.

The mission that inspires HUL's over 15,000 employees, including over 1,300 managers, is to "add
vitality to life." HUL meets everyday needs for nutrition, hygiene, and personal care with brands that
help people feel good, look good and get more out of life. It is a mission HUL shares with its parent
company, Unilever, which holds 52.10% of the equity. The rest of the shareholding is distributed
among 360,675 individual shareholders and financial institutions.
HUL's brands - like Lifebuoy, Lux, Surf Excel, Rin, Wheel, Fair & Lovely, Pond's, Sunsilk, Clinic,
Pepsodent, Close-up, Lakme, Brooke Bond, Kissan, Knorr-Annapurna, Kwality Wall's are
household names across the country and span many categories - soaps, detergents, personal products,
tea, coffee, branded staples, ice cream and culinary products. They are manufactured over 40
factories across India. The operations involve over 2,000 suppliers and associates. HUL's

66

distribution network comprises about 4,000 redistribution stockists and covers 6.3 million retail
outlets reaching the entire urban population, and about 250 million rural consumers.
HUL has traditionally been a company, which incorporates latest technology in all its operations.
The Hindustan Unilever Research Centre (HURC) was set up in 1958, and now has facilities in
Mumbai and Bangalore. HURC and the Global Technology Centres in India have over 200 highly
qualified scientists and technologists, many with post-doctoral experience acquired in the US and
Europe.

HUL believes that an organisation's worth is also in the service it renders to the community. HUL is
focusing on health & hygiene education, women empowerment, and water management. It is also
involved in education and rehabilitation of special or underprivileged children, care for the destitute
and HIV-positive, and rural development. HUL has also responded in case of national calamities /
adversities and contributes through various welfare measures, most recent being the village built by
HUL in earthquake affected Gujarat, and relief & rehabilitation after the Tsunami caused devastation
in South India.
In 2001, the company embarked on an ambitious programme, Shakti. Through Shakti, HUL is
creating micro-enterprise opportunities for rural women, thereby improving their livelihood and the
standard of living in rural communities. Shakti also includes health and hygiene education through
the Shakti Vani Programme, and creating access to relevant information through the iShakti
community portal. The program now covers 15 states in India and has over 45,000 women
entrepreneurs in its fold, reaching out to 100,000 plus villages and directly reaching to 150 million

67

rural consumers. By the end of 2010, Shakti aims to have 100,000 Shakti entrepreneurs covering
500,000 villages, touching the lives of over 600 million people.
HUL is also running a rural health programme Lifebuoy Swasthya Chetana. The programme
endeavours to induce adoption of hygienic practices among rural Indians and aims to bring down the
incidence of diarrhoea. It has already touched 84.6 million people in approximately 43890 villages
of 8 states. The vision is to make a billion Indians feel safe and secure.
If Hindustan Unilever straddles the Indian corporate world, it is because of being single-minded in
identifying itself with Indian aspirations and needs in every walk of life.
Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods (FMCG)
Company. It is present in Home & Personal Care and Foods & Beverages categories.
HUL and Group companies have about 15,000 employees, including 1200 managers.
The fundamental principle determining the organisation structure is to infuse speed
and flexibility in decision-making and implementation, with empowered managers
across the companys nationwide operations.
1

Board

Management Committee

Board
The Board of Directors as repositories of the corporate powers act as a guardian to the
Company as also the protectors of shareholders interest.

68

This Apex body comprises of a Non- Executive Chairman, four whole time Directors and
five independent Non Executive Directors. The Board of the Company represents the
optimum mix of professionalism, knowledge and experience.

Management Committee
The day-to-day management of affairs of the Company is vested with the Management
Committee which is subjected to the overall superintendence and control of the Board.
The Management Committee is headed by Mr. Nitin Paranjpe and has functional heads
as its members representing various functions of the Company.

Mr. Nitin Paranjpe


Chief Executive Officer
and Managing Director

Mr. D Sundaram
Vice Chairman

Mr. Shreejit Mishra


Executive Director
Foods

69

Mr. Sanjiv Kakkar

Mr. Dhaval Buch

Executive Director

Executive Director

Sales and Customer Development

Supply Chain

Mr. Ashok Gupta

Ms Leena Nair

Executive Director

Executive Director

Legal

HR.

LIMITATIONS

70

Though HUL seems to be ruling the roost in various segments of


household goods industry, findings suggest that its marketing strategies
are not without loopholes. Let us have a look at these loopholes or
limitations in brief.
1

One very striking limitations is the fact that even though these
products with all-percasive marketing and distribution channels,
flourishing increasingly in different parts of the world there
appears to be a visible lack of channels providing them substantial
access to semi-urban and rural areas. In other words, the products
of HUL have a weaker grassroots bases.

The availability of these products to common people does not only


depend on marketing network, but also on the advertising
strategies adopted by HUL. On this count culinary products dont
seem to offer much to create any stir and betray manifest upward
trends in terms of widening consumer base.

The

pricing

strategy

adopted

by

HUL

shows

considerable

fluctuation, which has led the consumer base to remain almost


stagnant in many segments. Usually, the prices of these products
are too high to make these affordable to the common masses and
particularly

those

belonging

to

low-income

groups.

This

phenomenon seems to be most evident in culinary goods segment,


which constitutes the backbone of HULs industrial base.

71

AN OVERVIEW

ENVIRONMENT POLICY
Hindustan Unilever Limited (HUL) supplies high quality goods and services to meet the
daily needs of consumers and industry. In doing so, the Company is committed to
exhibit the highest standards of corporate behaviour towards its consumers,
employees, the societies and the world in which we live.
The company recognises its joint responsibility with the Government and the Public to
protect environment and is committed to regulate all its activities so as to follow best
practicable means for minimising adverse environmental impact arising out of its
operations.
The company is committed to making its products environmentally acceptable, on a
scientifically established basis, while fulfilling consumers' requirements for excellent
quality, performance and safety.
The aim of the Policy is to do all that is reasonably practicable to prevent or minimise,
encompassing all available knowledge and information, the risk of an adverse
environmental impact arising from processing of the product, its use or foreseeable
misuse.

72

This Policy document reflects the continuing commitment of the Board for sound
Environment Management of its operations. The Policy applies to development of a
process, product and services, from research to full-scale operation. It is applicable to
all company operations covering its plantations, manufacturing, sales and distribution,
research & innovation centres and offices. This document defines the aims and scope
of the Policy as well as responsibilities for the achievement of the objectives laid down.

The Vision
Our vision is to continue to be an environmentally responsible organisation making
continuous improvements in the management of the environmental impact of our
operations.
We will achieve this through an Integrated Environment Management approach, which
focuses on People, Technology and Facilities, supported by Management Commitment
as

the

prime

driver.

The Environment Policy


Hindustan Unilever Ltd. (HUL) is committed to meeting the needs of customers and
consumers in an environmentally sound manner, through continuous improvement in
environmental performance in all our activities. Management at all levels, jointly with
employees, is responsible and will be held accountable for company's environmental
performance.
Accordingly, HUL's aims are to:

73

Ensure safety of its products and operations for the environment by using
standards of environmental safety, which are scientifically sustainable and
commonly acceptable.

Develop, introduce and maintain environmental management systems across


the company to meet the company standards as well as statutory requirements
for environment. Verify compliance with these standards through regular
auditing.

Assess environmental impact of all its activities and set annual improvement
objectives and targets and review these to ensure that these are being met at
the individual unit and corporate levels.

Reduce Waste, conserve Energy and explore opportunities for reuse and recycle.

Involve all employees in the implementation of this Policy and provide


appropriate training. Provide for dissemination of information to employees on
environmental objectives and performance through suitable communication
networks.

Encourage suppliers and co-packers to develop and employ environmentally


superior processes and ingredients and co-operate with other members of the
supply chain to improve overall environmental performance.

Work in partnership with external bodies and Government agencies to promote


environmental care, increase understanding of environmental issues and
disseminate

good

74

practice.

QUALITY POLICY
Quality is fundamental to our Business Success
Unilevers mission is to meet everyday needs for nutrition; hygiene and personal care
with brands that help people feel good, look good and get more out of life. And a key
requirement is building in the quality expectations of our consumers into our products.
To win consumers confidence and loyalty, we need to consistently deliver branded
products of excellent quality. We understand the different needs of our consumers and
customers and strive to develop and deliver superior brands to ensure that theyre the
preferred choice. And by applying consistently high standards, were able to do things
right

first

time,

cut

waste,

reduce

costs

and

drive

profitability.

Our Quality Policy describes the principles that everyone in Unilever follows, wherever
75

they are in the world, to ensure that we are recognised and trusted for our integrity,
the quality of our brands and products, and the high standards we set.
Principles of the Quality Policy:- (in their own words)
Putting the safety of our products and our consumers first.
We have stringent mandatory quality standards in place against which compliance is
verified through regular audits and self assessments. These standards ensure we
design, manufacture and supply products that are safe, of excellent quality, and
conform to the relevant industry and regulatory standards in the countries in which we
operate. Comprehensive management procedures are in place to mitigate risks and to
protect our consumers and markets.

Putting consumers and customers at the heart of our business


We actively engage our consumers and customers, translating their needs and
requirements into our products and services, thus creating consumer value wherever
we position our products. This is at the very heart of our innovation process.
Quality is a shared responsibility
Quality and consumer safety is the responsibility of every Unilever employee and
Unilever demonstrates visible and consistent leadership to meet this policy. The drive
for quality, in all that we do, is a passion reflected in our brand development,
manufacturing and customer service processes and is also expected of our business
partners. We partner with stakeholders to provide leadership, promote transparency
76

and share best practice. And weve forged effective working relationships with
suppliers and contract manufacturers.
Building and maintaining excellent systems to ensure the quality and
safety of our products
Were proactively and continuously developing our systems and processes to ensure
quality and safety throughout the whole value chain, and were setting a benchmark
for the business. We provide appropriate training and resources, and will ensure that
we deliver our quality objectives and targets. We regularly measure and improve our
performance

using

both

internal

and

external

measures.

We actively promote our Quality Policy and have a quality assurance organisation in
place to ensure consistency and visibility of quality standards, processes and
performance indicators across all Unilever businesses at all levels, and to anticipate
and develop future quality capability requirements.

77

SAFETY AND HEALTH POLICY


Hindustan Unilever Limited (HUL) supplies high quality goods and services to meet the
daily needs of consumers and customers. In doing so, the Company is committed to
exhibit the highest standards of corporate behavior towards its consumers, employees,
the societies and the environment in which we operate.
Towards this, the Company recognises its responsibility to ensure safety and protection
of health of its employees, contractors and visitors in all its operating sites, which
include manufacturing, sales and distribution, research laboratories and offices during
work and work related travel.
This Policy document defines the vision, principles, aim, required actions and scope of
the policy application as well as the responsibility for execution.
Our Vision
Our vision is to be an injury free organization.
Our Mission
We will bring safety on top of mind for all employees and will integrate it with all
business processes. We will realize our Vision through an Integrated Safety
Management approach, which focuses on People, Processes, Systems, Technology and
Facilities, supported by demonstrated leadership and employee commitment at all
levels as the prime drivers for ensuring a safe and healthy work environment.

78

Safety Principles
HUL's Occupational Safety and Health Policy is based on and supported by the
following

eight

Principles.

These Principles have the same status as the Company's Code of Business Principles:
1

All injuries and occupational illnesses are preventable

All operational exposures can be safeguarded

Safety evaluation of all business processes is vital

Working safely is a condition of employment

Training all employees to work safely is essential

Management audits are a must

Employee involvement is essential

All deficiencies must be reported and corrected promptly


Note: In order to make the Safety Principles operational, a separate document
has been prepared, which covers:
a) Safety Principles
b) Success Criteria
c) Illustrative KPI
79

This document will form the basis for the concerned Line / Organisations in
developing KPI's for their respective functions / sites.

Scope of Application
This section defines the scope of application of this Policy (where, when and to
whom is this Policy applicable).
Where does this policy apply?
1

All own/leased sites Manufacturing, Research/Innovation, Offices, Depots,


Warehouses

In-house purchased services i.e. canteen, travel desk, IT implementation etc.

Sites

of

associates

with

HUL

holding

>

24%

while carrying out operations of making, handling, using, transporting, selling or


disposing off of our products
Who does the policy apply to?
1

All employees at business anywhere

Contractors and visitors while at our own sites


When does it apply?

At work (our employees, contractors and visitors)

80

Travel between home and work of our employees

Business related travel including stay out of headquarter

All Company organized business events i.e. training programmes, conferences,


business related get-togethers, annual sports etc.
Implementation Responsibility
HUL Management at all levels is responsible for Policy implementation. Every site
shall prepare a responsibility matrix with respect to this Policy. Such SHE
responsibilities shall form an integral part of overall job responsibilities of all
employees.

All Unilever and HUL Standards, Rules and Procedures on Occupational Safety
and Health, including those that may be specific to a site are integral to this
Policy and its implementation. All employees are required to ensure strict
adherence.

81

SALES AND INCOME BREAK-UP FROM DIFFERENT BUSINESS


ACTIVITIES OF HINDUSTAN UNILEVER LTD. :
(Values

in Rs. Crores)

(Source:

SALES

www.hll.com)

82

PBIT Break-up

(Values

in Rs. Crores)

83

Introduction of the industry


Hindustan Unilever Limited, erstwhile Hindustan Lever Limited (also called HLL),
headquartered in Mumbai, is India's largest consumer products company, formed in
1933 as Lever Brothers India Limited. Its 41,000 employees are headed by
Mr.Harish Manwani, the non-executive chairman of the board. HUL is the market leader
in Indian products such as tea, soaps, detergents, as its products have become daily
household name in India. The Anglo-Dutch company Unilever owns a majority stake in
Hindustan Unilever Limited.
A number of prominent companies came into the HUL fold as result of Unilevers
international acquisitions. These included Brooke Bond (1984), Lipton (1972) and
Ponds (1986). In 1993, Tata Oil Mills Company (TOMCO) merged with HLL. Two years
later, HLL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture,
Lakme Lever Limited. Subsequently in 1998, Lakme Limited sold its brands to HLL and
divested its 50 per cent stake in the joint venture to the FMCG giant.
The leading business magazine, Forbes Global, has rated Hindustan Lever as the best
consumer household products company. Far Eastern Economic Review has rated HLL as
Indias most respected company. Asia money has rated HLL as one of Indias best
managed companies.

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, spread across 20 distinct consumer
categories, touch the lives of two out of three Indians. They endow the
company with a scale of combined volumes of about 4 million tonnes
and

sales

of

Rs.13,718
84

crores.

The mission that inspires HUL's over 15,000 employees is to "add vitality
to life". With 35 Power Brands, HUL meets everyday needs for nutrition,
hygiene, and personal care with brands that help people feel good, look
good and get more out of life.

Growth prospects

1. Untapped rural market


2. Rising income levels i.e. increase in purchasing power of consumers
3 .Large domestic market
4. Export potential
5. High consumer goods spending

Challenges before the Indian FMCG sector

1. Removal of import restrictions resulting in replacing of domestic brands


2. Slow down of rural demand
3. Tax and regulatory structure

85

RESEARCH METHODOLOGY

RESEARCH DESIGN

In my project I have used various tools of Exploratory Research. This research will be
done to gain background information of the problem. An initial research will be
conducted to clarify and define the nature of the problem. The various tools used are
experience surveys, in depth interviews, secondary data analysis. Descriptive research
was done where questionnaires were given to the retailers and the wholesalers to find
out the competition in HUL skin category.

QUESTIONNAIRE DESIGN
86

The questionnaire consists of predominantly closed ended and option based question in
Order to provide some ease to the respondents. In order to make the questionnaire
more
effective following points are covered:
Uniformity in questions and ease of tabulation and analysis.
Reduce subjectivity
Easier to receive response
Less time consuming.
The questions tried to cover all aspects required to analyze the skin category of HUL
and
other competitive brands. The various variables are analyzed in the questions.

87

SAMPLING METHODOLOGY

SAMPLE PLAN

The project was conducted for the geographical region of Delhi. The sample size
comprised of 10 Super Value Store (SVS), 5 exclusive wholesale, 10 Smart PP. The
sample consists of both the retailers and wholesalers of the general trade.

DATA COLLECTION

The data collection exercise was carried over a period of 10 days, in the various
markets
of the region. Over the period of 10 days the data was collected and then all the data
was
very carefully studied and the results were found out.

88

DATA ANALYSIS
Sources of Data Collection:
1

Primary source:
Marketing personnel and HR personnel of concerned locations were approached
to obtain the information. It is collected by Questionnaire and Personal
Interviews at Hubs and Outlets Secondary source:
Internet, Articles from various newspapers and magazines., Company brochures,
literature and pamphlets. Research Methodology is a way to systematically solve
the problems.
(2)

Research Approaches
1

Survey: Survey is an effective way of gathering information for any kind


of research. During the information, same respondents were fully
cooperative and some were indifferent.

Observation: Observation is done by only observing the respondent


behavior.In this research observation is done along with the survey.

Unstructured Interview: Unstructured Interview also takes place during


the survey with many of the respondents

89

SKIN CREAMS

FAIR & LOVELY


Fair & lovely is the most successful fairness cream in the country. Based on a
revolutionary breakthrough in skin lightening technology, Fair & Lovely is in market
since 1978. The brand is very famous amongst the consumers because of the trust that
they have developed with the company. People are satisfied with the quality and price.
It
is the mass product. The most selling variant of the FAL is multi-vitamin.
The competitors of FAL and the margins provided by them are as follows:COMPETITORS MARGINS

MARGINS

Fair One

20%

Fair & Handsome

20%

Garnier

15%

Although the sale of these brands are far behind FAL but these creams are a direct
competition.

VASELINE

90

Vaseline Aloe fresh is the variant for the summers and it is doing very well. It does not
have any direct competition because there is no other cream in the market for the
summers. The other variants are Vaseline Body lotion and Vaseline Petroleum jelly
these
are the winter creams and there sale in summers is slightly low.
The competitors of Vaseline and their margins are as follows:-

COMPETITORS

MARGINS

Emami (boroplus lotion)

20%

Nivea

20%

Ayur

18%

Garnier

15%

The projection of market share of the skin creams in Delhi is as follows:MARKET SHARE OF HUL AND OTHER COMPANIES IN THE SKIN CREAMS
SEGMENT:-

91

HUL
EMAMI
GARIER
OTHERS

The finding of the research shows that the estimated market share of HUL is 42%.
The share of HUL skin category creams in this 42% share is as follows:-

FAL
VPJ
PCC
PVL
VBL

Here we can see that the major portion is covered by Fair & Lovely. It covers 77%.
Vaseline body lotion has a share of 10%. Ponds cold cream is 8% Ponds body lotion is
92

3%.

93

TALCUM POWDER

PONDS
Ponds came into being in 1947. Ponds talc is feminine talc. It is perfume talc and
caters
to the needs of the women. It has got a very strong hold in the market. The consumers
prefer to buy at least two type of talc for their family, ponds talc form the part of the
every basket.
Its competitors and their margins are as follows:-

COMPETITORS

MARGINS

Spinz
Wipro(santoor & enchanteur)

25%

Nivea

20%

Cinthol

14%

There are other competitors as well like Premiun and Emami which comes in the combi
pack of 400g + 400g. Cinthol comes in the combi pack of 300g +100g. These kinds of

94

schemes affect the purchase pattern of people who are not brand loyal and are looking
for
some free gifts or scheme. A person from lower middle section of the society prefers to
buy these talcs because of the value of money that they offer. Johnson & Johnson baby
talc is not the direct competitor of Ponds but it is also a competition because women
buy
this talc because of the softness and fresh fragrance that it provides.
The market share of these talc are as follows:-

HUL
SANTOOR
SPINZ
CINTHOL
J&J
EMAMI
OTHERS

The share of the variants of Ponds in this 45% is as follows:-

95

DFT
DFM
POC
PST

The largest selling variant of Ponds is Dream Flower Magic which is 46%, next comes
Dream Flower Talc which is 40%. Ponds Oil Control and Sandal Talc are 11% and 3%
respectively.

96

PEARS
ITC has launched Fiama Di Wills in competition of Pears. Pears comes in 3 variants
Pears Amber, Oil Control, Germ Shield. The largest selling variant is Amber. The
consumer pattern shows that those who are loyal to this brand do not switch it easily.
The brand loyalty of this product is more than any other. The other soaps which are is
competition of Pears are Dettol with moisturizers, Johnson & Johnson, Fiama Di Wills.
Fiama Di Wills is a new product and is being liked by people. It is lagging behind in its
distribution network as there is always stock out of this product. In the long run it can
provide good competition to HUL.
The present market share of pears and it competitors are as follows:-

PEARS
FIAMA
DETTOR
J&J

97

98

LAKME SUN CARE


The major competitor of Lakme Suncare range is Lotus herbals. Lotus comes in lots of
variants which cater to the needs of all types of Indian skin and texture. The SPF (Sun
Protection Formula) in Lakme is 15,20 and 30. but in Lotus it ranges from 15 to 60.
Although if we compare the price, Lotus is more expensive than Lakme, but still people
who are satisfied with this brand do not care about its high price. The market share of
Lakme and Lotus is very close but still Lotus is ahead of Lakme.
The competitors and their margins are as follows:-

COMPETITORS

MARGIN

Lotus

35%

Garnier

15%

Shahnaz Husain

25%

The market share of Lakme and its competitors is as follows:-

99

LAKME
LOTUS
GARNIER
OTHERS

100

PONDS WHITE BEAUTY AND PONDS AGE MIRACLE


Ponds white beauty and Ponds age miracle are in their initial stage of launch. These
are
premium brands, that is , they are high priced and their target customers are upper
middle
class and upper class. These 2 products face competition from premium creams like
Olay,
Loreal, and VLCC. The market of these creams is small but slowly these creams are
doing well are doing well. People like the quality of Ponds and also the price that it
is offering. The competition in this segment although is tough. This is because the
consumer of these premium creams is very loyal to their brand and they do switch
creams
easily. They are not attracted by the schemes. Quality and brand name alone can
attract
their attention. A customer who is using Loreal will not easily switch Ponds.
The estimated market share of Ponds and its competitors is as follows:-

101

Ponds
Loreal
Garnier
Olay
Others

102

FINDINGS

103

FINDINGS

As it is obvious from the study the products of HUL have approached the
high water mark of sale in the global consumer market. However, there
are genuine reasons to observe that they have yet to attain the cutting
edge status on many counts. In this regard a few suggestions can be
made to give the required boost to the marketing prospects of HUL
products. These can be summed up as follows:
1

An attempt should be made by HUL management to tap all the


potentials offered by the global market by devoting a more
substantial, efficient and better equipped resource base. This task
can be accomplished in the first place by implementing a stronger
and more ending distribution channel for various products so that
even those sections of consumers who are not accessible so easily,
can be covered with greater ease.

Agricultural pursuits required to meet the demands of certain agro


based and culinary product segments should be more planned,
systematized, efficiently viable and less cost-effective.

The price structure for various products should be more within the
limit of affordability for consumers; the grassroots consideration in
this regard should not be ignored. Here, the policy of loco-centric
104

rather than uniform price structure would certainly be more


advantageous.
4

Industrial manufacturing units of these products should be set up


at places lying nearest to the places where sources and raw
materials for different products could be available in the easiest
possible way.

105

SUGGESTIONS &
RECOMMENDATION

106

SUGGESTIONS & RECOMMENDATION

The company can launch a new variant of Ponds, which could be Ponds Fairness

Body Lotion. This will cater to the fairness need of whole body and not just hands
and face. The target customer of this variant can be the youth who are more
boldly dressed and want the whole texture of the skin to be same. Most of the
time the face looks fairer than the hands and the legs.
2

To launch a display scheme for Pears which can counter the competition from

Fiama Di Wills that it may face in the future. HUL can buy windows from the
retailers for the display of Pears soap and face wash.
3

The youth of today is not much into the consumption of fairness cream because

they think it to be harmful for the skin and they are very conscious about the
health of their skin. To cater to this segment of population which is very huge,
Fair & Lovely can initiate activities which makes the youth aware about the
qualities of the brand and to make them understand that the cream is not harmful
for their skin.
4

The company can emphasize on the other qualities of Ponds talc and not just as

perfume talc. It can highlight its medicinal value which is of very necessary for
107

the summers.
5

The company can launch a new variant of Ponds talc with new fresh fragrance.
This will be

for the people who like the brand due to the good quality that it provides but are
bored of the fragrance that has been provided for so long. This will counter the
competition and satisfy the target customers.
6

Lakme can come up with sunscreen which has more SPF so that it can counter
the

competition that it faces from its biggest competitor Lotus. As of now Lakme
come in SPF 15 to SPF 30. It can also come up with sunscreen with higher SPF.
Lotus ranges from SPF 15 to SPF 60. This way Lakme can cater to the needs of
people who are more exposed in the sun and need more protection against it.
7

Ponds White Beauty and Ponds Age Miracle are in their initial stage so these

brands need to communicate more to their customers. The company can promote
activities in the mall where they are sold the most as these are premium brands
and their target customer comes in the malls only. This will help in brand
communication of these brands.
8

The company should emphasize more on mass retail than the wholesale as the

whole sale is very price sensitive. The ideal ratio of wholesale is to retail is 30:70.
108

The universal ratio is 40:70 and the HUL ratio is 50:50.

109

CONCLUSION

110

Conclusion

A look at the contemporary profit of the global industrial segment of


household goods brings it into clear focus that the situation prevailing in
major markets is very much in favour of HUL. The fact that should be
acknowledged on the basis of current trends betrayed by this segment
tells us that HUL veritably stand out as on indisputable market leader in
this field and is sure to surge way ahead of other players in future. The
competitive strength, strategic acumen and ability to reach out for a
considerably larger consumer base that the company has been able to
attain through the years since its inception also point to this fact
categorically.

An extremely pertinent views that emerges out of it amply suggests that


it is the dominance of HUL operating under the banner of Unilever in
most of the countries that contribute in a large measure to the creation
of a market situation in which consumers are nearly forced to purchase
their choice at prices that might not be in congruence with their
speculations and calculative consideration of affordability something
that largely determines the phenomenon called consumer behaviour. It is

111

absolutely doubtless to assume are incomparable in term of their


qualitative excellence.

It is a bit surprising to observe that HUL is the market leader even though
its capable of manufacturing and marketing a vast range of products
with an international consumer base. Moreover, the tie-up of Prima India
with HUL reflects that the latter is not unwilling to share its technological
expertise and infrastructural contrivances with others. So, inspite of the
near monopoly situation caused by HULs presence in the global market,
it points to a healthy flexibility in the companys fundamental approach.

112

QUESTIONNAIRE
1. Which kind of Outlet do you follow?
o Exclusive wholesale
o Semi wholesale
o Family grocer
o Mass retail
o Chemist
o Super Value Store
2. Which of the following HUL Skin product you keep in your store?
o Fair & Lovely
o Ponds Dream Flower
o Vaseline
o Pears Soap
o Lakme Sunscreen
o Ponds White Beauty
o Ponds Age Miracle
3.What is the value of the monthly sales of the following products?

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PRODUCT

VALUE

Fair & Lovely


Ponds Talcum
Vaseline
Pears Soap
Lakme Sunscreen
Ponds White Beauty
Ponds Age Miracle

4. Which products are in competition with the following range of products and their
competitive share?

Fair
lovely

& Ponds
dream

Vaselin Pears Lakme


e

soap

Ponds

sunscream white

flower

beauty

5. What are the margins and inventory of competitors of HUL products?

Fair & lovely

114

Ponds age
miracle

COMPETITOR
MARGIN

INVENTORY

MARGIN

INVENTORY

MARGIN

INVENTORY

PRODUCT

Ponds Talcum
COMPETITOR
PRODUCT

Vaseline
COMPETITOR
PRODUCT

115

Pears soap
COMPETITOR
MARGIN

INVENTORY

MARGIN

INVENTORY

PRODUCT

Lakme suns cream


COMPETITOR
PRODUCT

Ponds white beauty


116

COMPETITOR
MARGIN

INVENTORY

MARGIN

INVENTORY

PRODUCT

Ponds age miracle


COMPETITOR
PRODUCT

6. How much Inventory do you stock for the following HUL products?
PRODUCTS

QUANTITY

Fair & Lovely


Ponds Talcum
Vaseline
Pears Soap
Lakme Sunscreen
117

Ponds White Beauty


Ponds Age Miracle

7. What are your kind suggestions to increase the sale of HUL Skin category?
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BLIOGRAPHY

119

BLIOGRAPHY
There were several sources which provided me with the valuable information about
Hindustan unilever limited. This information helped me in enhancing the affectivity of
this presentation.

Some of my valuable sources are:


Books:
Kotler Philip Marketing Management, Prentice hall India Pvt. Ltd. New Delhi
Kothari C.R.- Research methodology, New Age International Publisher, New Delhi
Web sites1

www.yahoo.com

www.hll.com

www.wikipedia.com

www.businessworldindia.com

www.answers.com

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