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Submitted To KURUKSHETRA UNIVERSITY KURUKSHETRA
In the partial fulfillment of the Bachelor of degree of Commerce in Advertising, Sales promotion and sales management.
(Session 2010-2011) Under Guidance of: Miss Shivani Puri Lecturer in Commerce
D.A.V College for Girls
Under Supervision of: Mrs. Vivek Narula Lecturer in Commerce. D.A.V College for Girls Submitted By: Juhi Class: B.Com. II Roll No: 20092016 University Roll No.
D.A.V COLLEGE FOR GIRLS
I, JUHI here by declare that project report “PRODUCT STATERGIES OF FMCG (HUL)”. Assigned to me for the requirement of the degree of B.COM with advertising marketing and sales promotion from Kurekshetra University, is the original work and done by my personally and the information provided in the study is the authenticated to the best of my knowledge.
The study has not been submitted to any other institution of University for the award of any degree. If this statement is wrong I shall be personally liable the consequences.
JUHI B.COM IInd ROLLNO.20092016
First and foremost I would like to convey my sincere thanks to all mighty God, and then MISS SHIVANI PURI (lecturer in commerce) of D.A.V GIRLS COLLEGE YAMUNANAGAR. She has been source of perpetual inspiration to me. She gently guided and inspired me towards a bright career through my course. I was very fortunate to have herself as my project guide. She is willing to give all kind of support and encourage me with her valuable suggestions.
I also owe my special thanks to the Principal “MS. SUSHMA ARYA” for providing the project title “PRODUCT STATERGIES OF FMCG (HUL)”. The special course with the required equipment in our college. I am also thankful to MRS. VIVEK NARULA (lecturer) in commerce for helping in making this project report.
Juhi B.COM IInd
” . Prior to making reference to working of the project prepared. .During my tenure of research. I studied the various development tools and deeply analyzed the functions. the analysis and feasibility and all the other aspect were taken into consideration.PREFACE The main objective of the project is familiarization with the necessary theoretical inputs and to gain sufficient practical exposure to establish a distant linkage between the conceptual knowledge acquired at the institute and practices those concepts. The project is concerned with the “PRODUCT STATERGIES OF FMCG(HUL).
CONTENTS Introduction Introduction to Organization Industry profile Approach to study Objective to study Research Methodology Database report Gathered Data Interpretation and Analysis SWOT Analysis Findings and Bibliography Findings Limitations Suggestions Bibliography Questionnaire INTRODUCTION .
The sector consists of consumer non-durable products which broadly consists. So basically. and relatively low cost. The Indian FMCG industry is largely classified as organized and unorganized. Consumers generally put less thought into the purchase of FMCG than they do for other products. they generally sell in large numbers and so the cumulative profit on such products can be large. FMCG industry is innovative. Though the absolute profit made on FMCG products is relatively small. household care and food & beverages. Besides competition. also known as Consumer Packaged Goods (CPG products that have a quick turnover. . reaches world wide. this industry is also marked By a robust distribution network coupled with increasing influx of MNCs across the entire value chain sector continues to remain highly fragmented. gets experience very quickly and chances to rise in status is much easier Unlike other sectors FMCG shares float in a steady manner irrespective of market dip world wide. This The Fast Moving Consumer Goods (FMCG) industry in India is one of the largest sectors in the country and over the years has been growing at a very steady pace. people working with FMCG may get frequent opportunity to travel meet new culture.INTRODUCTION TO ORGANISATION Fast Moving Consumer Goods (FMCG). fast moving consumer goods are pretty awesome. personal care. full of rich experience. This sector is also buoyed by intense competition.
The Fast Moving Consumer Goods (FMCG) industry primarily deals with the production. distribution and marketing of consumer packaged goods. heavy advertising. human resources. The premium segment caters mostly to the higher/upper middle class which is not as price sensitive apart from being brand conscious. Reckitt Benckiser. Kleenex. marketing. product development and general Management. The FMCG industry is volume driven and is characterized by low margins. i. Procter & Gamble. The products are branded and backed by marketing. paper & stationery and household products etc. operations. Unilever. Following are the segment-wise product details along with the major players: INDUSTRY PROFILE . Pepsi and Mars etc. The FMCG segment can be classified under the premium segment and popular segment. Products sold in the popular segment have considerably lower prices than their premium counterparts. Examples include food & beverage. those categories of products that are consumed at regular intervals. Global leaders in the FMCG segment are Sara Lee. slick packaging and strong distribution networks. The industry is vast and offers a wide range of job opportunities in functions such as sales. purchasing.e. supply chain. Carlsberg. The price sensitive popular or mass segment consists of consumers belonging mainly to the semi-urban or rural areas who are not particularly brand conscious. pharmaceuticals. Coca-Cola. plastic goods. finance. General Mills. Nestlé. personal care.
such as Buckets. The main segments of this sector are personal care (oral care. although these are often categorized separately. The term Consumer Packaged Goods (CPG) is used interchangeably with Fast Moving Consumer Goods (FMCG). However the huge number of goods sold is what makes the difference. branded and packaged food. and chocolate bars. bulbs. teeth cleaning products. shaving products. Pepsi and Believe. paper products and plastic goods. tissue paper. detergents. and toiletries). household care (fabric wash and household cleaners). Fast Moving Consumer Goods is a classification that refers to a wide range of frequently purchased consumer products including: toiletries. The category may include pharmaceuticals. Hence profit in FMCG goods always translates to number of goods sold. Kleenex. hair care. The margin of profit on every individual FMCG product is less. Examples of FMCG brands are Coca-Cola. batteries. Unilever and Procter & Gamble. at relatively low cost and don't require a lot of thought. cosmetics. cosmetics. consumer electronics and packaged food products and drinks. time and financial investment to purchase. Three of the largest and best known examples of Fast Moving Consumer Goods companies are Nestlé. soaps.Fast Moving Consumer Goods (FMCG) FMCG are products that have a quick shelf turnover. . soaps. other non-durables such as glassware. ‘Fast moving’ is in opposition to consumer durables such as kitchen appliances That is generally replaced less than once a year. The FMCG sector represents consumer goods required for daily or frequent use. Examples of FMCGs are soft drinks.
cereals. chocolates. bakery products) and tobacco. It is the fourth largest sector in the economy and is responsible for 5% of the total factory Employment in India. Furthermore. As a result. Rural markets account for 56% of the total domestic FMCG demand. in reality. the boom has also been fuelled by the reduction in excise duties. The lower-middle income group accounts for over 60% of the sector's sales. Cadbury and Nestle have been a dominant force in . soft drinks. The Indian FMCG sector is an important contributor to the country's GDP. dairy products. increase in the disposable incomes and altered lifestyle. many of the smaller rung Indian FMCG companies have gained in scale. The industry also creates employment for 3 m people in downstream activities. companies like ITC. HUL. de-reservation from the small-scale sector and the concerted efforts of personal care companies to attract the burgeoning affluent segment in the middle-class through product and packaging innovations . This has been due to liberalization. But in the last ten years. the sector meets the every day needs of the masses. HISTORY OF FMCG In India.beverages (health beverages.Unlike the perception that the FMCG sector is a producer of luxury items targeted at the elite. Many of the global FMCG majors have been present in the country for many decades. the unorganized and regional players have witnessed erosion in market share. much of which is disbursed in small towns and rural India. urbanization. Colgate. This industry has witnessed strong growth in the past decade. staples.
In this context. able to charge a premium for their products. therefore. margins have been compromised. FMCG companies have been forced to fight for a market share. as the per-capita consumption of almost all products in the country is amongst the lowest in the world. CURRENT SCENARIO The growth potential for FMCG companies looks promising over the long term horizon. more so in the last six years (FMCG sector witnessed decline in demand). . In the process. the margins were also on the higher side. These companies were. With the gradual opening up of the Economy over the last decade.the FMCG sector well supported by relatively less competition and high entry barriers (import duty was high).
Although companies like HUL and ITC have dedicated initiatives targeted at the rural market. Aspiration levels in this age group have been fuelled by greater media exposure. increased literacy and rising per capita income are the key growth drivers for the sector. Shopper’s Stop and Shoprite. The bottlenecks of the conventional distribution system are likely to be removed once organized retailing gains in scale. organized retailing accounts for just 3% of total retail sales and is likely to touch 10% over the next 3-5 years. of the total consumption expenditure. MAJOR PLAYERS IN FMCG SECTOR • • Britannia India ltd Dabur India ltd. Given the aggressive expansion plans of players like Pantaloon.As per the Consumer Survey by KSA Techno pak. In this backdrop. these are still at a relatively nascent stage. In our view. organized retailing results in discounted prices. almost 40% and 8% was accounted by groceries and personal care products respectively. Currently. Trent. companies were unable to grow faster. Around 45% of the population in India is below 20 years of age and the proportion of the young population is expected to increase in the next five years. industry estimates suggest that the industry could Triple in value by 2015 (by some estimates. . the industry could double in size by 2010). Due to infrastructure constraints (this influences the cost-effectiveness of the supply chain). In our view. testing times for the FMCG sector are over and driving rural penetration will be the key going forward. Rapid urbanization. we are confident that the FMCG sector has a bright future. unleashing a latent demand with more money and a new mindset. forced-buying by offering many choices and also opens up new avenues for growth for the FMCG sector.
2 ITC (Indian Tobacco Company) . HUL Nestle Pepsi co.• • • • • • • • • • • • Marico Nirma ltd. Cadbury India ltd Cargill Coca-cola Colgate-Palmolive India Hj Heinz co. Procter & Gamble Jyothy Laboratories TOP FMCG COMPANIES IN INDIA 1 Hindustan Unilever Ltd.
12 Gillette India Ltd.) Procter & Gamble HINDUSTAN LEVER LIMITED (HUL) Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company. vanish. 15 Johnson & Johnson 17 Nestle 18 Nirma Ltd Some of the best known examples of Fast Moving Consumer Goods companies are Reckitt Benckiser(manufacturers of dettol. brylcreem) Unilever(unsilk.) Sara Lee(goodknight. kiwi shoe polish. Hindustan Unilever Limited has traditionally been a company. hit. which incorporates latest .3 Nestlé India 4 GCMMF (AMUL) 5 Dabur India Ltd 7 Cadbury India 8 Britannia Industries Ltd. 11 Colgate-Palmolive (India) Ltd. strepsils etc. dove. 9 Procter & Gamble Hygiene and Health Care 10 Marico Industries Ltd. lux etc.
look good and get more out of life.” HUL meets everyday needs for nutrition. Kwality Wall’s. is to “add vitality to life.300 managers. Hindustan Unilever Limited’s distribution network. Hindustan Unilever Limited is India’s largest Fast Moving Consumer Goods Company. Knorr-Annapurna. The products of Hindustan Unilever Limited are manufactured over 40 factories across India. For achieving all the goals set. many with postdoctoral experience acquired in the US and Europe. Pond’s. HURC and the Global Technology Centers in India have over 200 highly qualified scientists and technologists.000 redistribution stockiest. Rin. Surf Excel. touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. covering 6.3 million retail outlets reaching the entire urban population. . These products are popular in Indian as well as foreign markets. they had 110 brands. comprising about 4. and now has facilities in Mumbai and Bangalore. Pepsodent.000 employees. In 2000. Fair & Lovely. The operations involve over 2. Clinic Plus. Wheel.000 suppliers and associates. Some of the products manufactured by Hindustan Unilever Limited are: Lifebuoy. and personal care with brands that help people feel good.technology in all its operations. Brooke Bond. BRANDING STRATEGY Their main challenge was to reverse the down trading in the categories and reestablish the relevance of their brands in the mind of the consumer. and about 250 million rural consumers. The mission that inspires Hindustan Unilever Limited’s over 15. Sunsilk. Kissan. it has been recognized as a Golden Super Star Trading House by the Government of India. Lakme. Close-up. Lux. hygiene. The Hindustan Unilever Research Centre (HURC) was set up in 1958. the company needs its employees and to get their support the company needs to motivate them. Hindustan Unilever Limited is also one of the country’s largest exporters. including over 1.
They chose to focus on 35 power brands covering all consumer appeal and price segments. Lifebuoy. Forbes Global. Six brands — Brooke Bond. Rin and Wheel — have emerged as mega brands in the last five years.425 managers. HUL's brands.10.000 including Group Companies). touch the lives of two out of three Indians. is to “meet everyday needs of people everywhere .000 crores.500 crores. Far Eastern Economic Review has rated HUL as India’s most respected company. They are already seeing the benefits.400 employees (40. has rated Hindustan Lever as the best consumer household products company.to anticipate the aspirations of our consumers and customers and to respond creatively and competitively with branded products and services which raise the quality of life. They endow the company with a scale of combined volumes of about 4 million tones and sales of Rs. Meeting Everyday Needs of People Everywhere Hindustan Lever Limited (HUL) is India's largest fast moving consumer goods company. with leadership in Home & Personal Care Products and Foods & Beverages.many undifferentiated and lacking scale. The leading business magazine. spread across 20 distinct consumer categories. Lux. Fair & Lovely. each with sales of more than Rs. .” This objective is achieved through the brands that the company markets. including about 1. The vision that inspires HUL's 32.
Soups. The top five brands together account for sales of over Rs. and 10 other brands which are strong in certain regions. HUL is India's largest exporter of branded fast moving consumer goods. and one of the largest global players in castor. Products. The company’s strategy is to concentrate its resources on 30 national power brands. it is a net foreign exchange earner. Color Cosmetics. Unilever sells Foods and Home and Personal Care brands through 300 subsidiary companies in about 100 countries worldwide with products on sale in a further 50. A Fortune 500 transnational. leading in Shampoos. Ice cream. Business nature HUL is India's largest marketer of Soaps.55% of the equity.It is an ethos HUL shares with its parent company. Unilever. Market leading brands HUL’s brands have become household names. branded Wheat Flour.1000 crores in the foreseeable future. Detergents and Home Care products. HUL is also one of the country's biggest exporters and has been recognized as a Golden Super Star Trading House by the Government of India. HUL is also the market leader in Tea. It has the country’s largest Personal Products business.3000 crores. It is India's largest exporter of Marine Products. Processed Coffee. Castor Oil and its Derivatives. Skin Care Products. Jams and Squashes. Some of the big brands in Soaps . Basmati Rice. Tomato Products. and Deodorants. which holds 51. Each of these mega brand has a potential scale of Rs.
In Color Cosmetics. and HUL's Largest). Axe. HUL is one of the world’s largest packet Tea marketer. Liril. a brand developed in India. in line with the strategy to take brands across relevant categories. Liril. HUL has recently launched Lever Ayush Ayurvedic Health & Personal Care Products. Vaseline and Lifebuoy. the portfolio comprises Close-up and Pepsodent toothpastes and toothbrushes. an under-eye cream. HUL has started franchised Lakme Beauty Salons. 3Roses . Denim and Pond's. it is now exported to over 30 countries. offering standardized services. the key brands are Rexona. in line with the strategy to add a service dimension to relevant brands. Fair & Lovely. Wheel (the number one detergent brand in India. A1. a soap and a talc. while the Talc brands are Pond's. Lux.are among the top brands in the country.and Detergents are Lifebuoy. HUL also markets the Vim and Domex range of Home Care Products. Red Label. Taaza. 501. the company markets Nihar oil. Surf Excel. the largest selling Skin Care Product in India. Lakme and Pears. The other major Skin Care franchises are Pond’s. Sunlight (all detergents). (all soaps). Rin. HUL markets the Lakme and Elle-18 ranges. It has been extended as an Ayurvedic cream. Sunsilk and Lux shampoos. Hamam. In Oral Care. Surf. Its Tea brands – Taj Mahal. In Skin Care. In Deodorants. . HUL and Pepsi have formed an alliance to distribute a full range of tea and coffee and soft beverages through vending machines. HUL's Hair Care franchises are Clinic. In the Personal Products business. Axe and Denim are HUL’s franchises for Men’s toiletries. Vaseline. Dove. HUL markets Fair & Lovely Skin Cream and Lotion. it also markets Lipton Ice Tea. HUL already has a base of around 15000 such machines. Breeze.
combined with the introduction of lower-sized packs to get volumes. More than benchmarking competition. Of late. “The round of freebies has already been played out by the FMCG companies. freebies and promotions have finally been replaced by direct price reductions to lure consumers. an analyst At Kotak Securities. They are now coming back to their core brands at a lower price.” HUL have deliberately introduced small pack sizes. HUL is also expected to follow suit with its Surf sachets with the obvious purpose of gaining volumes at the lower end of the market. “ Considering almost every FMCG brand was doling out a freebie. . HUL has also been trying to upgrade its consumers. Hindustan Lever has announced ‘new’ prices for their various brands to beat sluggish sales. Observes A. Managing Director of market research firm. “Promotions have shifted to the trade while freebies have been replaced by price cuts. Besides. HUL managers describe the exercise as that of dropping price barriers to induce growth for their brands rather than trying to beat the smaller players with their pricing. Sundarajan. large FMCG companies have been on a price-cutting spree. Observes Sujoy Mishra. even at the cost of cannibalizing its own brands.Hindustan Lever Ltd (HUL) currently on a price discount includes 150 gm Lifebuoy Gold (Rs 3 OFF) TRYING to match prices with the smaller players. dropping prices is all about triggering growth and this has always been an integral part of their strategy. it was time for FMCG players to differentiate themselves. Straddling almost every price segment with its SKUs. Market Search.
being the first among the foreign subsidiaries to do so. embossed with the words "Made in England by Lever Brothers". followed by Lever Brothers India Limited (1933) and United Traders Limited (1935).BRIEF HISTORY In the summer of 1888. visitors to the Kolkata harbour noticed crates full of Sunlight soap bars. With it. In 1931. The rest of the shareholding is distributed among about 380. Hindustan Vanaspati Manufacturing Company. Unilever set up its first Indian subsidiary. HUL offered 10% of its equity to the Indian public. These three companies merged to Form HUL in November 1956. began an era of marketing branded Fast Moving Consumer Goods (FMCG).000 individual shareholders and financial .55% equity in the company. Unilever now holds 51.
PRESENT STATURE Hindustan Lever Limited (HUL) is India's largest Fast Moving Consumer Goods company. a leader in value added Marine Products exports. HUL acquired the government's remaining stake in Modern Foods.institutions. 1993. HUL and yet another Tata company. In one of the most visible and talked about events of India's corporate history. In 2002. effective from April 1. They endow the company with a scale of combined volumes of about 4 million tones and sales of Rs. HUL acquired the Cooked Shrimp and Pasteurized Crabmeat business of the Amalgam Group of Companies. Removal of the regulatory framework allowed the company to explore every single product and opportunity segment. the government decided to award 74 per cent equity in Modern Foods to HUL.000 crores. deregulation permitted alliances. it has been recognized as a Golden Super Star Trading House by the . without any constraints on production capacity. In 2003. Pond's (India) Limited had been present in India since 1947. the erstwhile Tata Oil Mills Company (TOMCO) merged with HUL. in a historic step. In 1995.10. It joined the Unilever fold through an international acquisition of Chesebrough Pond's USA in 1986. clearly marked an inflexion in HUL's and the Group's growth curve. HUL is also one of the country's largest exporters. thereby beginning the divestment of government equity in public sector undertakings (PSU) to private sector partners. started in 1991. acquisitions and mergers. In January 2000. touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. HUL's entry into Bread is a strategic extension of the company's wheat business. The liberalization of the Indian economy. Simultaneously.
They are manufactured in close to 80 factories. personal products. and relief & rehabilitation after the Tsunami caused devastation in South India. Kwality Wall's – are household names across the country and span many categories . It is also involved in education and rehabilitation of special or underprivileged children. Lakme.000 suppliers and associates. branded staples. coffee. . Wheel. Knorr. and about 250 million rural consumers. The price of Re 1 and 2 for Sunsilk shampoo sachets shows how the price also reflects a concern to make the purchase more convenient.000 redistribution stockiest. HUL's distribution network. HUL is focusing on health & hygiene education. comprising about 7.like Lifebuoy. HUL believes that an organization’s worth is also in the service it renders to the community. Rin. Surf Excel. since the rupee is denoted in this value. Kissan. The operations involve over 2. women empowerment. ice cream and culinary products. Lux. Brooke Bond. Fair & Lovely. most recent being the village built by HUL in earthquake affected Gujarat. The research department determines this price usually by using focus groups. Sunsilk is also available in Rs 45 and Rs 169 price bottles to cater to the demands keeping in mind the wants of this particular customer segment. Pepsodent. Sunsilk. detergents. HINDUSTAN LEVER claims to practice value-based pricing in which the customers’ perception of the product’s price provides a starting point for developing the marketing mix of the product. Close-up. care for the destitute and HIV-positive. Pond's. tea.Annapurna. Clinic. HUL has also responded in case of national calamities / adversities and contributes through various welfare measures.Government of India. and water management. and rural development. HUL's brands .soaps. directly covers the entire urban population.
. the advertising objectives are set avoiding to the advertising strategy for each product. One crucial concern for value-based pricing is strict management of cost in order to be able to make a profit at the value-based price. PROMOTION • • Build top of the line consumers’ awareness. Besides having these general objectives. e. Conditioning benefits.g. HINDUSTAN UNILEVER then uses target costing in order to achieve the required profits. Makes the hair appear clean and shiny. Creating a personality of the brand.The primary importance of this value-based pricing is that the product demand will be much higher if its price is in line with the customer’s perception of its value. After the initial price is determined. Sunsilk advertising objectives since it was being relaunched were: • • • To increase the usage.
• • • • Imparts a feeling of freshness-due to fragrance. Promotional strategy Innovative campaigns such as ‘Hairapy’ and ‘Life Can’t Wait’ were launched to attract women to the brand Sponsored short films that were broadcast during popular television shows. Unique shampoo for every hair type. silky. soft hair. Media platforms used Print media internet rural campaign environment concern ads Music videos Free sample distribution Demo campaigning Promotion of the products in the sunsilk range through movies such as “Fashion” Sunsilk has come up with a new promotional campaign GOOD HAIR DAYS in six major cities in collaboration with famous hair stylists of the country. Effectively communicate brand promise. Easy to manage. Sponsorships Enhancement of product mix New product formulations according to changing consumer preferences .
HINDUSTAN UNILEVER believes that messages about product delivered by credible sources can be very persuasive. Hence Jawed Habib who is an hair care expert endorses Sunsilk and more value is added to the brand. Consumers relate to products itself, they can relate to a human being who consumers believe is an expert so Jawed Habib is an expert so is Sunsilk. Jawed Habib a recognized and highly qualified hair stylist is used by Sunsilk in its ads because they want to bring out an expert’s image.
MAIN PRODUCT LINE
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 food & beverages. They endow the company with a scale of combined volumes of about 4 million tones and sales of over Rs. 13,000 crores. HUL has a diverse portfolio of brands offering home care solutions for millions of consumers across India. The various segments where HUL has strong presence are as follows:
Food brands Home care brands Personal care brands Water Nutrition Health, hygiene & beauty A brief study of the various product lines is done in the following section. Food brands: HUL is one of India’s leading food companies and their products are the leaders in their respective fields. Some of the food brands are as follows:
Brooke Bond 3 Roses Playful banter, a little mischief, serious conversation… there’s no time for young couples like the time spent sharing a cup of 3 Roses.’
Annapurna Partnering with the mom in nurturing her dreams, Annapurna Atta is aimed at helping her provide wholesome tasty nutrition to her family.
Red Label India’s favorite cup of tea, the great taste of Red Label brings people closer together and strengthens relationships.
Brooke Bond Taaza Brooke Bond Taaza lifts me and unshackles my mind, allowing me to see and realize possibilities.
Taj Mahal Brooke Bond Taj Mahal is an exclusive selection of teas for the discerning consumer.
Bru Ek cup Bru aur mood ban jae…
Kissan With Kissan, good food is loved not shoved!
Knorr helps families make meal times special, nutritious, tasty and healthy.
Home care brands: HUL has a diverse portfolio of brands offering home care solutions for millions of consumers across India.Kwality Wall’s A good honest scoop of daily pleasure. Lipton has a range of vitality teas that truly encompass the goodness of tea. Active Wheel aims at giving freedom from painful & tiring laundry .
Domex Introduced as a strong toilet cleaner that eradicates all the germs. Rin aims at providing the best whiteness’ which can be demonstrable. . Comfort Is the world’s largest fabric conditioner brand.Cif targets being the best cleaner to let the utensils shine. Sunlight is a color care brand Surf Excel The washing powder brand.
Personal care brands: HUL’s personal care brands. Axe is a leading deodorant brand. Dove. . Aviance provides women with customized beauty solutions. the Vim brand is placed as a domestic appliances cleaning brand. LEVER Ayush Therapy provides customized ayurvedic solutions. Pond's. Lux. including Axe. Rexona and Sunsilk. They are aimed at helping to look good. are recognized and known by consumers across India.Vim Created in 1885.
Clinic Plus is India’s largest selling shampoo. . Clear New Clear is a hair washing shampoo.Breeze beauty soap targeted towards the lower end of the market. Closeup The dental care product. Dove is premium beauty soap.
Hamam Holistic skin care experiences perfected over the ages to deliver healthy. Thus. Lakme is an ally to the Indian Woman and inspires her to express her unique beauty and sensuality. Lifebuoy is available in multiple variants in soaps and specialist formats such as liquid hand wash. . enabling to realize the potency of beauty. beautiful skin. catering to the entire family.Fair & Lovely Built more than 30 years ago.1 Fairness cream. World’s No.
Lux believes in passion for beauty.Liril Awaken. It continues to be a favorite with generations of users for a sensuous experience of luxury. . and enliven your senses with a Liril bath. Pears the purest and most gentle way to skincare! Pepsodent India is committed to improve the overall Oral health of Indians.
Pond’s Get the expert to look after your skin Rexona gives you 24 hr protection from sweat and body odor and therefore the confidence to handle whatever the day has in store. Sunsilk helps you transform the beauty of your hair instantly because LIFE CAN'T WAIT!! Vaseline Your skin is amazing. It deserves to be treated as such. . Sunsilk encourages young women in India to live for today.
The way this works is simple. Hence if your family is a big one say consisting of at least 8-9 members. it may also be a disadvantage that you need to manually put in water every time the water level depletes to near zero. then you may have to add water every couple of days. We add water to the top chamber which is unfortunately not transparent and so have to be very careful when it is just about to fill completely. This one is about Hindustan Unilever PureIt and is not a recommendation to buy but just a review on how it works and performs over others. then you may have to fill the water chamber multiple times a day.More HUL Products You may have seen a variety of water purifier advertisements and so may be confused on which one to buy. The moment . The main advantage of Pure IT water purifier is that you don’t have to worry about either continuous water supply or electricity supply. However. like most of the families if only 4 or 5 people exist. Having said that. The bottom transparent bottom chamber can store up to a maximum of 9 liters of water and the top chamber another 9 liters.
it goes through a ‘Microfiber Mesh‘ that removes any visible dirt.2000. Graduating from its existing vending machines. The life is indicated by a bar. The next stage is to go through a Compact carbon Trap that further removes any dirt. Then the water reaches the lower part of the Unit where it goes through a polisher that adds taste to the water and makes it completely odorless. "Unlike the vending . According to HUL officials. The battery has a life indicator and normally lasts for nearly a year (for single family consisting of 4 members). Then the water rises above the chamber and falls into the visible lower chamber from which a tap arises. The battery costs only Rs. railway stations and airports.350 and the entire unit cost just Rs. if present besides removing any parasites or pesticides. Hindustan Unilever Ltd (HUL) is extending its OOH (Out of Home) business by setting up 'experiential kiosks' under the Lipton brand. almost 50 such kiosks are planned this year which it would set up at corporate parks. which when turns red should be immediately being replaced.you pour in the water. The water will then be purified using the proprietary Germ kill battery that kills harmful bacteria and Viruses.
HUL's brands . personal products. there would be more products under the Knorr franchise but these would be adapted from our international portfolio.” HUL officials stated. tea. Kwality Wall's – are household names across the country and span many categories . Knorr-Annapurna. Clinic. Fair & Lovely. Meanwhile within the foods business. branded staples.” added the official. the kiosks are also expected to serve ice-creams. Pond's.machines where you just need to push a button. HUL intends staying away from the ready-to-eat (RTE) business. “We would have a business partner on board and the kiosks will be run on 10 by 10 sq ft area. In future. Rin. the new experiential kiosks would serve mock tails and heath oriented beverages made from HUL's beverage brands. Close-up. ice cream and culinary products. Lux. Kissan. coffee. ice-creams have become a profitable business for HUL within its foods portfolio which includes beverages and processed foods.like Lifebuoy. Brooke Bond. In fact. Apart from beverages. Lakme. Surf Excel.Swirl’s which is also run through franchisees." The kiosks would be run on a franchise model. “We have recently introduced the ready-to-cook range under Knorr but we certainly would not be entering the RTE category in foods. They are manufactured . HUL is now poised to roll out these kiosks nationally along the lines of its existing icecream parlor brand . Pepsodent. Having done a pilot test in Delhi recently. Through the kiosks we want to give experiential bursts for our beverage brands. Wheel. Sunsilk. detergents.soaps.
working to design future products by estimating the needs of the market. The majority of large corporations devote significant resources to market research. For example. Asking current customers how existing products can be improved and what products they would like to see being offered gives companies an insight into the mind of the consumer. Market research is one of the most important parts of product planning strategy. Companies need to be forward-thinking. Depending on the product cycle and industry.000 suppliers and associates. . which includes focus groups. Market Research 2. Every company needs to think about product planning strategies.over 40 factories across India. Market research is crucial for efficient product planning. beta testers (new product testers) and market analysis. HUL's distribution PRODUCT PLANNING STRATEGIES 1. The operations involve over 2. this process requires a month's preparation or years. many large ship manufacturers plan their products years in advance because it will take years for those products to be built and completed.
Employees must spend 80% of their time working on mandatory projects and 20% of their time working on whatever they like. Current Advances 5. if an electronics manufacturer uses a certain processor. Watch the competition. and they are able to see more keenly where advances can be made. This free. you may be able to improve on the new products your competitor is working on and offer cheaper or better alternatives. so too do the products that industry produces. In addition. you may be left in the dust. For example. Google famously uses the 80/20 rule. The Competition 4. If you overlook what the competition is doing. Internal research and development is often where those who know the company's products best are allowed to suggest and develop improvements and even whole new products. You need to be aware of the latest manufacturing innovations and conscious of not only your industry but the industries of all related technologies. Monitor what competitors are doing. that processor may not be a core component in their technology but an . what their press releases say about upcoming products. Companies need to be aware of current advances in technology. The competition provides valuable clues as to the direction the industry is headed.Internal Research and Development 3. what products they are releasing. including Gmail. As the technology in an industry advances. The engineers and researchers are intimately familiar with the workings of product technology. creative time has resulted in some of Google's most popular products.
your strategic angle in a pricebased strategy is to set the price in such a way that your product has a competitive advantage over other similar products. When using a price-based product strategy. Discount examples include quantity discounts (to be offered for . After choosing a price-based method. Essentially. the product is planned according to such things as cost-plus pricing (where you set the price of the product at the production cost plus a specific profit margin). what your position is in the marketplace. and target-return pricing (where you set a price in order to receive a certain profit return). When developing a strategy. Discounting the price lowers the list price.advance in processor speeds may increase the functioning of their product. value-based pricing (where the price is derived according to the product's value in relation to competitor's products). This is why you need to pay attention to the industries of your parts suppliers. When implementing a price-based product strategy. strive to answer the following questions: who the product is aimed at. what benefit the product brings. and after formulating your strategy according to the factors in the overview. PRICE-BASED PRODUCT STRATEGY 1. Two major product strategies include price-based product strategy and product differentiation. A business looking to introduce some product into the stream of commerce must plan and design a product strategy carefully. and what advantage the strategy will have over those of your competitors. 2. you will arrive at a list price (the price that you want to sell the product). but makes purchasing the product more lucrative. consider another facet: price discounts.
4. in your strategy. Use a product-differentiation strategy when your firm and competing firms offer a product that fulfills the same need (such as coffee). Horizontal differentiation focuses on your customers' preferences and should be used when the features of your product cannot differ substantially from the features of your competitors. one common example of horizontal differentiation is with ice cream: different flavors are not "better" than others. Essentially. According to economicswebinstitute. Product Differentiation 3. you need to produce Coffee Blend B so that coffee lovers find yours to be superior to your competitor's. your goal is to put distance (in a good way) between your product and your competitor's product. If you cannot make your product "better. your goal is to improve features of your product so that the customers perceive a difference in quality due to your improvements. your competitor sells Coffee Blend A." focus instead on marketing to customer taste and preference (such as conducting research to discover more people like one flavor over another\ . In a product-differentiation strategy.customers who purchase a specific bulk quantity of your product) or seasonal discounts (to be offered during the year).com. To implement a vertical product-differentiation strategy. but you Sell Coffee Blend B. There two forms of product differentiation: vertical differentiation and horizontal differentiation.
” said Pradeep Banerjee. Banerjee said. doubling output. HUL. the Japanese management . and one of the executives at the centre of the change process. even as it plans aggressive expansion.PRODUCT PLANNING OF HUL Hindustan Unilever Ltd (HUL) is reacting faster to competition and market trends to avoid being caught unawares by events such as the volatility in raw material prices in 2008. “We have taken a number of steps organizationally. For instance. Given the increased number of new launches and promotions. Such moves reduce the amount of old inventory lying with retailers and get new innovations to market faster. its Silvassa detergents factory turned a single assembly line into a twin track last year. reducing inventory levels and improving the percentage of orders satisfied from stock at hand. supply chain director. India’s largest consumer goods maker by revenue has adopted a strategy to defend and raise market share by increasing production capacities. business teams across functions from planning to production and sales are involved in the introductory exercise. after some modification of the machines. resulting in better service and volume growth. The process has been replicated on two more lines in the unit and follows the principles of kaizen.
works “on volumes and their competition is regional and HUL national”. . said Shirish Pardeshi. industry specialist. said a company spokesperson. “Smaller batch sizes and flexibility in production help it to respond faster to volatility and competition.philosophy of constant improvement based on a common-sense approach and the use of costeffective techniques.000 pieces by 50% and a drop in wrapper wastage by 70%. Banerjee. The twin-line innovation has helped meet demand “without the need for investing in newer machines”. which has been in India for over 75 years. Anand Rathi Financial Services Ltd. HUL in most categories—except shampoos—in the first two months of the fiscal. a reduction in defects per 1. While sales volume rose in the March quarter.” The changes mark a new aggressive phase at the company. adding capacity. is planning ahead for the next 18-24 months. though. institutional equities. The installation of new capacities follows an increase in sales in the last six-eight months.. according to lost market share on a year-on-year basis market researcher The Nielsen Co. The effects have been dramatic: HUL has seen overall machine production levels improve from 75% in 2009 to 92% in 2010.
“These are all we sell 2.” HUL sells 2 million tones of products a year through a primary distribution network of 2.500 stock-keeping units. Volumes have since recovered to 11% growth in the quarter ended March 2010 because of price cuts in key categories such as laundry. which means lesser working capital. Will Banerjee said. The maker of Surf and Rin detergents and Sunsilk services one million retailers directly and reaches six million indirectly. It has a portfolio of 1. but they indicate a change from the past and indicate substantially more than what we have got at present.” indicative numbers. we will. “We have reduced the finished goods and raw materials in the chain dramatically by 30-40%. HUL has also improved its customer order fill rate—a measure of an inventory’s ability to meet demand—and speed to market.600 distributors.“Will we sell 1 million tones of laundry? Yes. Volume growth fell 4% in the quarter ended March 2009. $40 from $140 a barrel led to HUL while rivals were quick to take advantage and launch cheaper products. cheaper detergents were launched on the back of the commodities market volatility that year. The 2008 collapse in the price of crude oil.000 tones of tea? Of course. soaps and shampoos. we will. besides a 39% increase in spending on advertising in the quarter. a key input. or different-sized packs in 61 formats. having risen 10% in the year-earlier quarter. to being stuck with high levels of old inventory. faster response and better service. This . The company lost some 5 percentage points of market share as low-end.” said Banerjee.
it can now do so in 35 days. “At any given time. Over the last year. At the end of 2009. “In the last five-six months. HUL has relaunched 80% of its portfolio. we have reduced the time by 50% in half of our networks. a measure of HUL stock availability with distributors.” said stockiest in Mumbai. “We expect to .” Banerjee said. it improves sales pick-up.effectively means that the number of days that stock is held has dropped to 60 days from close to 90 days. Additionally. the company started expanding its distribution reach. Suleiman Hussain. while modern formats account for the rest. Sunshine Agency. making sure that prices reflect market trends. The delivery of orders “has improved from 75-76% to 90% over the last 12-18 months. the stock we have is not older than one-two months and. an HUL Traditional retailers account for 90% of overall business. if it earlier took the company 70 days to land a product in the market. has also sought to improve its fill rate. and we are looking at further halving this.” Banerjee said. with full range availability. proprietor.
Food inflation and higher input costs will hit growth and profit at consumer goods companies in the three months ended June. it said. based on a survey of four brokerages.triple rural coverage and improve urban coverage by 15%. Earnings will.” it said in its annual general report released last week. however.6% in net profit in the April-June quarter. Mint reported on Monday.2% in revenue and 5. be shored up by rural markets. Brokerage Sharekhan Ltd said in its quarterly preview report that it expects the firm to post growth of 9. thanks to welfare schemes and higher incomes from rising commodity prices. Higher raw material costs and advertisement spending coupled with lower sales realization in the soap and detergent categories will affect overall profitability. PRODUCT DISTRIBUTION CHANNEL .
HUL has established a single distribution channel by consolidating categories. And concurrently. It has already appointed 6000 such sub-stockiest. In a significant move. HUL undertakes line pruning and .For rural India. The really important thing is to profit from your mistakes. As a result. In every product line. HUL has mounted an initiative. to further increase its rural reach with the help of rural sub-stockiest. the distribution network directly covers about 50. It has also acquired several ongoing brands from the market.000 villages.” BRANDING STRATEGIES ADOPTED BY HUL HUL has a large brand portfolio consisting of nearly 110 bands. HUL also vigorously pursues brand extension strategy. “The most important thing in life is not to capitalize on your successes . reaching about 250 million consumers corporate relationships which in turn prove beneficial for the functioning of the company. it has built a number of brands over a period of time. Project Streamline. with long-term benefits. Quite a few brands have come to its fold from the parent company.any fool can do that.
brand restructuring and consolidation. Lifebuoy is 100 years old and Liril 15 years old. In fact. Dove. As a corporate. HUL has the objective of being a national player (not a niche or a regional marketer) and the leader therein. We shall examine how HUL handles the complex demands in brand management. HUL opted for the strategy of developing quite a few strong brands in this line. Such an array of brands is the outcome of a conscious corporate strategy by HUL. If we take the business of bathing soaps. HUL Locates Positioning Opportunities: HUL methodically goes about the task of developing a brand portfolio across a product category. It first identifies the various positioning opportunities across benefits. Pears and Lifebuoy are the outcome of such a well planned brand strategy implemented over time. HUL also wants about 30 per cent of the corporate income to come from this line. It is this strategy that is getting reflected in the development of a multitude of strong brands. Liril. So. The point is that decisions on brand portfolio are a fundamental expression of the company’s objectives and strategy governing a given business. HUL is also playing the rejuvenation and re-launch game. HUL has about 10 brands of toilet soaps each having good volume of sale to its credit. With great benefit the corporate-level endeavors at business expansion and diversification are also throwing new challenges on the brand strategy front. and among them they cover different market segments and price points. target groups and price . Rexona. HUL lends itself for a proper understanding of the complexity of the brand management task. as an example. Lux. HUL wants to be a leader in every one of its businesses and the strategy is to fight on the strength of the competitive advantage arising from the possession of strong brands. based on marketing compulsions.
Savlon was a successful antiseptic lotion. HUL found that the germicide segment of the soap market was growing fast. a decision has to be taken as to whether new brands should be created or extensions if existing brands should be preferred or ongoing brands from the market acquired. Lifebuoy was not strictly meeting the particular benefit. HUL hires brands to capture new opportunities: Towards the close of the 1990s. It was in this background that HUL decided to hire the Savlon brand from J&J. HUL assessed that a Savlon antiseptic soap could be successfully extended from the Savlon lotion. if the company decides to go in for the new offer. . and gaps for possible new offers are explored.points. It examines the existing set of brands with the company. and the company would miss the market if it chose this route. HUL did not have the product formula either to enter this segment. Finally. HUL goes ahead with the plans. HUL did not have suitable offer in its stable to capture a share of this segment. Existing brads are mapped across these positioning opportunities. HUL knew that launching and developing a new brand would take a lot of time and resources. a competitor to Dettol lotion. the benefits that can be provided and other considerations that have a bearing on the company’s long term interests in the business. with RCI’s Dettol antiseptic soap leading it. Just as the Dettol soap owed its origin to the success of the Dettol lotion. the product technologies available. If some of these gaps look promising. The company then estimates the likely volumes for each of the possible opportunity and the financial viability and sustainability of the propositions in the long term.
intense competition between the organized and unorganized segments characterizes the sector. An estimated double-digit growth over the next few years shows that the good times are likely to continue.It entered into an agreement with J&J for the use of Savlon brand name and the product formula. HUL very deftly managed successfully new brand launch and merged as a challenger to Dettol soap. FMCG sector is also likely to benefit from growing . Growth Prospects With the presence of 12. For example. and the chocolates and confectionery categories are estimated to be the fastest growing segments. female hygiene. That will translate into an annual growth of 10% over a 5-year period.2% of the world population in the villages of India. hence providing better growth prospects to the FMCG companies. Though the sector witnessed a slower growth in 2002-2004. Hindustan Levers Limited (HUL) has shown a healthy growth in the last quarter. Better infrastructure facilities will improve their supply chain.100 crores in 2010. and launched the Savlon antiseptic soap. household care. It is a potentially win-win arrangement for both companies. male grooming. it has been able to make a fine recovery since then. FUTURE PROSPECTS The Indian FMCG sector with a market size of US$13.1 billion is the fourth largest sector in the economy. says an HSBC report. Increased focus on farm sector will boost rural incomes. Hair care.500 crores in 2005 to Rs 92. A well-established distribution network. FMCG Sector is expected to grow by over 60% by 2010. the Indian rural FMCG market is something no one can overlook. J&J secures a good royalty from HUL for lending the brand. It has been estimated that FMCG sector will rise from around Rs 56.
FMCG companies have immense possibilities for growth. it is estimated that processed foods. along with increase in income levels and the availability of new categories. And if the companies are able to change the mindset of the consumers. urban India accounts for 66% of total FMCG consumption. At present. home and personal care category. Because of the low per capita consumption for almost all the products in t the country. boosting purchasing power in the countryside. and dairy are long-term growth categories in both rural and urban areas. . The following are some of the specific objectives of the study. To assess the product strategy used in consumer market. APPROACH TO STUDY Objectives of the Study The research aims at identifying salient features of the Product Strategies adopted by FMCG companies with reference to HUL in respect of some of their offerings. However. and hot beverages. bakery. will keep growing at relatively attractive rates. rural India accounts for more than 40% consumption in major FMCG categories such as personal care. 1. increase in the urban population. fabric care. In urban areas. if they are able to take the consumers to branded products and offer new generation products. However. with rural India accounting for the remaining 34%. Within the foods segment. including skin care.e. i. would help the urban areas maintain their position in terms of consumption. Also. the demand in urban areas would be the key growth driver over the long term. It is expected that the rural income will rise in 2007. they would be able to generate higher growth in the near future. household care and feminine hygiene.demand in the market.
2. More explicitly the designing decision happened to be in respect of following: • • • • • What is study about? Why is study being made? Where will the study be carried out? What type of data is required? What will be the sample design? . Consumer opinion on the product mix strategy of the HUL is collected with the aid of designed questionnaire. 3. Scope of the Study The scope of the study deals with the area that has been considered in the research. To evaluate the Product mix strategy of HUL in Indian Market. The collected data is analyzed to meet the research objectives. The sample respondents are selected from the various segments in Bangalore and Mysore. it includes not only the research method but also consists the logic behind the methods used in the context of the study and explains why only a particular method of technique had been used so that search lend themselves to proper evaluation. At the outset may be noted that there are several ways of studying and tacking a problem. To assess the existing and desired products of HUL. The formidable problem that follows the task of defining the research problem is the preparation of the design of research project popularly known as research design. The area considered in the research is product mix strategies of Hindustan Uni-Lever in Indian Market. To determine the customer perception and opinion on product lines offered by HUL 4. RESEARCH METHODOLOGY Research methodology has many dimension.
newspapers. This gives the researcher sufficient support to give his argument for opting certain alternatives and to justify his position. It include all those steps that are generally adopted to solve the research problem. Data collection is to gather the data from the population. SAMPLE SIZE is 100 METHOD USED IN STUDY . and thus happened to be original in character.• • • What period of time will the study include? How will the data be analyzed? In what style will the report will prepared? The purpose of this section is to describe the research procedure. websites and the data has been collected through other approaches. The data can be collected of two types: • • Primary Data Secondary data PRIMARY DATA are those which are collected afresh and for the first time. journals. Methods of primary collection are as follows: Questionnaire SECONDARY DATA is being search sites like magazines. IT GENERALLY INVOLVES DATA COLLECTION: The task of data collection is being after a research problem has been defined and research designed/plan chalked out. Research methodology is a way to systematically solve the research problem.
DATA BASED REPORT GATHERED Data Analysis and Interpretation. the data consists of information that already some where that have been collected for another purpose. Secondary Source for collecting data used in this research are internet and from Magazines the information collected from the retailers and the consumers. Marketing Strategy attract the consumer. SOURCE OF DATA The data source are secondary as well as primary. The cluster sampling technique is decided to collect the data from consultants in Yamuna Nagar city. In secondary.In this study both primary and secondary method of Data collection is used in primary the observation method and interview method was used Research taken the interview of the retailer and consumers and find what is the advertising effect on different brand of “FMCG. In primary source the data consist of original information gathered for the specific purpose. This is finding out that what type of advertisement. The study is fresh and for the first time and happen to the original in character. Q1-You are dealing with the FMCG Products from? No of years 5 years 5-10 years No of respondents 65 25 %age of respondents 65% 25% . Not used any previous reports of company in Primary Data.
NIRMA COCA COLA Interpretation:-This chart is showing that %age of sales of HUL is 32% which is more than that of others. It means the selling of HUL is more than that of other FMCG products .More than 10 years 10 10% Interpretation: . Q2-Which products of FMCG are most preferable by customers? Product HUL DABUR NESTLE BRITANIA NIRMA COCA COLA No of respondents 32 16 20 8 16 8 %age of selling of products %age of respondents 32% 16% 20% 8% 16% 8% 16% 8% HUL 32% DABUR NESTLE. 8% 20% 16% BRITANIA.Above Table shows that 60% of the dealers selling from 5 years and rest of them more than 5 years that means they are satisfied with company. So they are doing regularly.
it mean it may after that in the month of October to December the sales of FMCG product is also more. In which season the selling of products is more? Months Jan-March Apr-June July-Sep Oct-Dec No of respondents 15 45 5 35 %age of respondents 15% 45% 5% 35% selling of product 15% 35% 45% 5% jan-mar aprjune Interpretation:-This chart is showing that in the month of April to June the sales of FMCG products is very high than that of other which is 4%.Which factors influence the consumers to purchase the HUL products? Factors No of respondent %age of respondents 18% 14% 9% Quality 18 Price 14 Sales promotion activities 9 .Q3. Q4.
Q5. Media plays an important role of making the awareness of the product.Brand image Services 54 5 54% 5% %age of factors influence consumer to purchase FMCG product quality 5% 18% price sales promotion activities brand image services 54% 14% 9% Interpretation:-Brand image is influenced most of the people to purchase the consumer durable. What do you think? Percentage 20%-30% 30%-50% 50%-70% No of respondents 4 16 36 .
Q6. improved and innovative products and technology? Factors of media Television News paper Internet Magazine Hoardings % of respondents No of respondents 59 17 14 3 7 %age of respondents 59% 17% 14% 3% 7% 14% 3% 7% telev ision news paper intrnet 59% magazines hoardings 17% .70%-90% 24 30% 5% 20% 20%-30% 30%-50% 50%-70% 70%-90% 45% Interpretation:-60%to 70% of the people get aware from media. What are the factors in media which makes the consumer more attentive towards the new.
the factor in media which makes the consumer more attentive towards the new. .Interpretation: . improved and innovative products and technology is Television which plays important role in advertisement in comparison to others.
It could look at introducing products from its parent company like margarine in order to cater to changing consumer tastes and opportunities in food sector. high quality coverage – The launch of project “Shakti” has helped HUL to create brand awareness and extensive reach in rural India. 7. 9. Distinctly placed products providing reach to every segment of society. 6. . It can be a leader in exports by positioning itself as a sourcing hub for Unilever companies in various countries. Access to Unilever global technology. Integrated supply chain and well spread manufacturing units 5. Consumer understanding and systems for building consumer insight 4.SWOT ANALYSIS OF HUL Strengths 1. 3. Well placed to take advantage of growth in rural India and lower strata of the society through “Shakti”. capability and sharing of best practices from other Unilever companies. 8. Distribution structure with wide reach. Strong and well differentiated brands with leading share positions 2.
Limited success in changing eating habits of people. Growing consumer base due to increasing income levels and new consumers from lower strata of the society 2. Heavy onslaught of competition in the core categories from emerging players like ITC will result in higher advertising expenditure 3. . Competitors focusing on a particular product and eating up HUL’s share. 3. 2. Expansion of horizons towards more and more countries Threats 1. Spurious/counterfeit products in rural areas and small towns. 2. 4. 3. Untapped market in branded Ayurvedic medicines and other such consumer products. Opportunities 1. Reduction in real income of consumers due to high inflation.Weaknesses 1. Opportunity in Food sector: changing consumer tastes 4. reducing profitability. Price positioning in some categories allows for low price competition like Amul captured Quality’s market. like Nirma focusing on soaps and detergents. Unfavorable raw material prices due to inflation.
• The %age of sales of HUL is 32% which is more than that of others. • Brand image is influenced most of the people to purchase the consumer durable. improved and innovative products and technology is Television which plays important role in advertisement in comparison to others. So they are doing regularly. It means the selling of HUL is more than that of other FMCG products • In the month of April to June the sales of HUL products is very high than that of other which is 4%.FINDINGS AND BIBLIOGRAPHY Findings • The dealers selling from 5 years and rest of them more than 5 years that means they are satisfied with company. LIMITATIONS . • The factor in media which makes the consumer more attentive towards the new. • 60%to 70% of the people get aware from media.it mean it may after that in the month of October to December the sales of HUL product is also more.
2. . CONCLUSION: . The products should be cheap the home delivery system to deliver the products so the delivery should be instant. 3. Lack of time is also a limitation in my project. There must be multiple options for purchasing the products for distributers like online. People don’t want to answer the question so it is very difficult make exact results. tale and instant purchasing. SUGGESTIONS • • • Trial packs should be used because customer must have to introduce the product. Some respondents were biased. they are not interested in advertising. Once customer gets idea about product he comes to know advantages of products.1.
BIBLIOGRAPHY . Further. the companies like TATA and HUL are using CSR i. According to my views the product or the brand or the company which has a positive image in the minds of the people and which is innovative in its ideas to fast changing consumer preference and which gives the best value for price is going to survive in the long run or else they have to either change their strategy or quit the Indian FMCG market.e.The FMCG industry in India is having huge potential to grow. and the companies in the FMCG sector are becoming more cautious on making false claims as the consumer in India has evolved and is more informed than its ancestors. Corporate social responsibility to further strengthen their brand or create a positive image in the minds of people thus it will help in increasing their revenues. The advertising campaigns have also changed to the changing scenario in Indian economy. so by focusing on these aspects of Indian economy the FMCG sector in India has a huge potential to grow further. The Industry is now focusing towards the semi-urban and rural market for growth as there are many remote areas in our country which are untouched and they don’t have the exposure to number of alternatives or brands.
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Q1-You are dealing with the FMCG Products from? 5 years 5 years 5-10 years More than 10 years Q2-Which products of FMCG are most preferable by customers? HUL DABUR NESTLE BRITANIA NIRMA COCA COLA Q3.Which factors influence the consumers to purchase the HUL products? Quality Price Sales promotion activities Brand image Services . In which season the selling of products is more? Jan-March Apr-June July-Sep Oct-Dec Q4.
Q5. Media plays an important role of making the awareness of the product. What do you think? 20%-30% 30%-50% 50%-70% 70%-90% Q6. improved and innovative products and technology? Television News paper Internet Magazine Hoardings . What are the factors in media which makes the consumer more attentive towards the new.
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