A

Research Report ON

―Impact of Advertising on Buying Behavior A Comparative Study of Advertising of

Patanjali & Hindustan Unilever Limited”

THE PARTIAL FULFILLMENT OF THE AWARD OF THE

DEGREE OF “POST GRADUATE DIPLOMA IN MANAGEMENT ”
FROM
GNIOT INSTITUTE OF MANAGEMENT STUDIES (GIMS)
PGDM: 2020-2021

Submitted to: Submitted By:

Prof.Mudit Tomar Madhuri Verma

1
 DECLARATION

I Madhuri Verma of GNIOT Institute of Management Studies (GIMS) Greater Noida here by declare that the Research
project report entitled impact of advertising on buying behavior a comparative study of advertising of patanjali &
hindustan unilever limited‖ submitted by me in the partial fulfillment of the requirements for the award of Post Graduate
Diploma In Management (PGDM).

Name of Student – Madhuri Verma

Date : (Signature of Supervisor)

……………………………………………..

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 ACKNOWLEGEMENT

The present work is an effort throw some light in Impact of Advertising on Buying Behavior .A Comparative
Study of Advertising of Patanjali & Hindustan Unilever Limited‖ This would not had been possible to come to
the present shape without the able guidance, supervision and help to me by number of people.
I convey my heart full affection to all those people who helped me and support me during the course, for
completion of my Project Report.

(MADHURI VERMA)
Date :
Name : MadhuriVerma
Enroll No. : 920021
Course : PGDM (V- Trimester)

3
 PREFACE
PGDM is a stepping –stone to the management carrier to develop good manager. It is necessary that
the theoretical must be supplemented with exposure to the real environment.
Theoretical knowledge just provides the base and it is not sufficient to produce a good manager that‟s
why practical knowledge is needed.

Therefore the research product is an essential requirement for the student of PGDM. This training
report not only help the student to utilize his skills properly learn field realities but also provide a
chance to the organization to find out talent among the building manager in the very beginning.

In accordance with the requirement of PGDM course I have done my training project on topic
―Impact of Advertising on Buying Behavior A Comparative Study of Advertising of Patanjali &
Hindustan Unilever Limited”
The information regarding the project collected through the questionnaire formed by me which was
fulfilled by mobile user.

(MADHURI VERMA)

4
 CONTENTS
S No Topic Page No.
1 Certificate
2 Purpose of Submitted of Project
3 Acknowledgement
4 Patanjali Ayurved 6
5 Sales & Distribution 9
6 Patanjali SWOT Analysis 10
7 Consumer Behaviour Towards Patanjali Products 12
8 Objectives 14
9 Conclusion 15
10 References 16
11 Introduction To HUL 18
12 Brands and Products 19
13 Awards 22
14 Performance Trends 24
15 Fast moving Consumer Goods 25
16 Company Overview 26
17 HUL Plans to cut Advertising & Marketing Exp. 27
18 HUL Adopts new Promoting Policies 28
19 Conclusion 30
20 References 32

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Patanjali Ayurved

Patanjali Ayurved Limited is an Indian FMCG company. Manufacturing units and

headquarters are located in the industrial area of Haridwar while the registered office is
located at Delhi. The company manufactures mineral and herbal products. It also has
manufacturing units in Nepal under the trademark Nepal Gramudhyog and imports majority
of herbs in India from Himalayas of Nepal. According to CLSA and HSBC, Patanjali is the
fastest growing FMCG company in India. It is valued at 30 billion(US$460 million) and
some predict revenues of 5,000 crore (US$770 million) for the fiscal 2015–16. Patanjali
declared its annual turnover of the year 2016-17 to be estimated 10,216
crore (US$1.6 billion). Baba Ramdev has stated in his interview with CNN-News18 that
profit from Patanjali Products goes to charity.

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History
Baba Ramdev established the Patanjali Ayurved Limited in 2006 along with Acharya
Balkrishna with the objective of establishing science of Ayurveda in accordance and
coordination with the latest technology and ancient wisdom.
Balkrishna owns 98.6% of Patanjali Ayurved, and as of March 2018, has a net worth of
US$6.1 billion.
Revenues
Year Revenues(In Rs Crore)
2009-10 200
2010-11 317
2011-12 446
2012-13 850
2013-14 1200
2014-15 2006
2015-16 5008
2016- 17 11526

Production

Patanjali Food and Herbal Park at Haridwar is the main production facility operated by
Patanjali Ayurved. The company has a production capacity of 350 billion (US$5.4 billion)
and is in the process of expanding to a capacity of ₹600 billion (US$9.2 billion) through its
new production units at several places, including Noida, Nagpur, and Indore.The company
plans to establish further units in India and in Nepal.

In 2016, the Patanjali Food and Herbal Park was given a full-time security cover of 35
armed Central Industrial Security Force (CISF) commandos.The park will be the eighth
private institute in India to be guarded by CISF paramilitary forces. Baba Ramdev is himself
a "Z" category protectee of central paramilitary forces

Products

Patanjali Ayurved produces products in the categories of personal care and food. The
company manufactures more than 900 products including 45 types of cosmetic products and
30 types of food products. According to Patanjali, all the products manufactured by Patanjali

7
are made from Ayurveda and natural components Patanjali have also launched beauty and
baby products. Patanjali Ayurvedic manufacturing division has over 300 medicines for
treating a range of ailments and body conditions, from common cold to chronic paralysis.

Patanjali launched instant noodles on 15 November 2015. Food Safety and Standards
Authority of India slapped a notice on the company as neither Patanjali nor Aayush, which
are the two brand names under which Patanjali got licenses, have got any approval for
manufacturing instant noodles.
In 2016, Patanjali has announced to enter the textile manufacturing centre. The company is
reported to manufacture not only traditional clothes such as Kurta Payjama but also popular
western clothes such as jeans.

On 5 November 2016, Patanjali announced that it will set up a new manufacturing plant
Patanjali Herbal and Mega Food Park in Balipara, Assam by investing ₹1,200
crore(US$180 million) with the manufacturing capacity of 1,000,000 tonnes (2.2×109 lb) of
goods per year. The new plant will be the largest facility of Patanjali in India and will be
operational by March 2017. Patanjali already has around 50 manufacturing units across India.

Sales and distribution

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Patanjali Ayurved sells through nearly 4,700 retail outlets as of May 2016. Patanjali also sells
its products online and is planning to open outlets at railway stations and airports Patanjali
Ayurveda has tied up with Pittie Group and Kishore Biyani's Future Group on 9 October
2015. As per the tie-up with Future Group, all the consumer products of Patanjali will be
available for the direct sale in Future Group outlets. Patanjali Ayurveda products are also
available in modern trade stores including Reliance retail, Hyper city and Star Bazaar apart
from online channels. Patanjali Ayurved, co-founded by yoga guru Ramdev, is targeting Rs
10,000-crore revenue in 2016-17, after sales grew 150 per cent in the previous financial year
to Rs 5,000 crore.
Patanjali Ayurved has also started its FMCG expansion in form of dealership and
distributorship channels across the country and expects wider growth in overseas distribution
as well.

Controversies

On 21 June 2017, The Nepal Department of Drug Administration asked Patanjali Ayurved in
a public notice to immediately recall six medical products as they were found to be of
―substandard quality‖. All medicines mentioned in the notice — six out of seven from
Patanjali — had failed the microbial tests used to detect bacteria, mold and other toxins.
In 2015, the Maharashtra government announced plans to sell excessive material from its Van
Dhan Jan Dhan scheme to Patanjali. The government set up this scheme to sell medicinal and
herbal products, derived from the forests of Maharashtra, to the consumer in government-
established shops.[61] Forest Minister Sudhir Mungantiwar stated that its plan to sell
wholesale to Patanjali is an effort to increase production from the Van Dhan Jan Dhan
scheme. Members of the opposition party have stated that the forest products are a national
asset, and plans to sell them to Patanjali is a form of favoritism.
Patanjali‘s Amla juice had also been suspended by the armed forces‘ Canteen Stores
Department (CSD) in April after it failed the quality test at a Public Health Laboratory in
Kolkata.

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 Patanjali SWOT Analysis, USP & Competitors

SWOT Analysis of Patanjali with USP, Competition, STP (Segmentation, Targeting,

Positioning) - Marketing Analysis

Patanjali

Parent Company Patanjali Ayurved Limited

Category Consumer products

Sector FMCG

Tagline/ Slogan Prakriti ka aashirwaad

USP Patanjali sells only Ayurveda based products in food, cosmetics and FMCG

STP

Segment People looking for healthy FMCG products

Target Group Middle and upper middle class families who prefer ayurvedic products

Positioning Patanjali offers healthier and safer products in the FMCG category

SWOT Analysis

1. Patanjali has grown at a rapid pace within a short span of time

2. Extensive marketing has pulled people into accepting its products as a
healthier and safer option
3. Strong brand ambassador with Baba Ramdev as its face helped boost the
business for Patanjali
4. Patanjali offers new products, new style of marketing etc has changed the
market dynamics
5. The venture has generated tremendous revenues, which are comparable to
existing players
6. More than 200,000+ employees with Patanjali
Strengths 7. Excellent word of mouth marketing has helped the brand grow

Weaknesses 1. Launched too many products in a short time

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 2. Patanjali faced issue with advertising council of India

1. Patanjali can tap overseas market as Ayurveda is increasingly getting

awareness
2. Can enter more segments in personal hygiene, FMCG etc
Opportunities 3. Can also diversify in apparels

1. Prominent FMCG players coming up with their own variants of ayurvedic

products
2. Big players have their existing model which is sturdy, which can
Threats overcome new competition from Patanjali

Competition

1. Dabur India
2. Procter and Gamble
3. Marico
4. Nestle Ltd
5. HUL (Hindustan Unilever Limited)
Competitors 6. Himalaya Herbal Healthcare

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Consumer Behavior Towards Patanjali Products: A Study on Consumers

Introduction: A well-known yoga guru Baba Ramdev started an association Patanjali

Ayurved in 2007. The main aim of the company is to bring awareness among Indian people
towards swadeshi products. Also the profits earn by the company will be either plough back
or profits will be used for social welfare. The firm, to increase its sales, also provides its
products at discount. Patanjali is also said that it will be very beneficial for consumer to shift
in their preferences towards herbal and ayurvedic products which are deemed to be healthy
and also closure to nature. It has also placed itself as a swadeshi brand, which has a request
among a class of consumers.

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Foundation of patanjali brand and ayurved patanjali:
Firstly Baba Ramdev started 1divya Yog Mandir in 1995 under the guidance of Swami
Shankardev ji with the help of Acharya Balkrishna and Acharya Karamveer. The main focus
of this mission was to keep Yoga and Ayurved prior in world wide. To make it more
popularize small camps and shivirs were started to teach a huge number of people about
yoga. Now it has become a multinational enterprise with its many branches located in many
countries like US, UK Nepal etc. By providing many resources like raw material, human
resources and technical knowhow, these institutions have also provided a lot of success to
this enterprise.

As per the report of the Edelweiss

―The Company is working on plugging the gaps in the supply chain and distribution with
plans afoot to implement ERP (for better inventory management) and consolidate its online
presence. Strong innovation and new products pipeline, pricing discounts to the peers (15‐
30%), ayurvedic and natural propositions with low A&P spends (leveraging Baba Ramdev‘s
brand pull) lend Patanjali‘s products an edge over competition. However, distribution
remains a key monitorable.‖

Products manufactured by Patanjali Ayurved:

Personal care, food and FMCG are the main category of products which are produces by the
patanjali ayurved. . It has also manufactured around 300 types of medicines for curing many
diseases like from common cold to acute paralysis. According to patanjali all products
manufactured by it are prepare from natural ingredients. The total sales of patanjali in FY15,
food and cosmetics contributed INR8bn each, while healthcare products comprised the
balance. The company has adequate capacity to achieve its revenue target of INR50‐60bn in
FY16. Patanjali

Review of literature:
Rani, S., and Shukla, C.(2012 Conducted a study to know the trends of patanjali products.
For the purpose of above study they collected a sample of 90 consumers in pantnagar. On the
basis of above study they concluded that within a very short period of time patanjali products
captured a number of consumers. Also they found that from 2008 to 2012 there is a huge
increment in number of products which is from 26 to 120. They also suggested about
limitation of patanjali products that delivery system should be improved by Patanjali
Company.
Ali, M.I., and Yadav, M.(2015) carried a study to know about consumer perception towards
herbal products. The objectives of the above study were to know the reasons of using various
herbal products. For the purpose of above study researcher collected data from 60 consumers
using herbal products in three cities of Bhopal. On the basis of their study they found that due
to hazards created by chemical products people shift it to natural products. Also they
concluded that all consumers had a positive attitude towards herbal products and there was no
side effect faced by these people. Khanna, R.(2015) carried a study on consumer perception
regarding Patanjali products.
The objectives of the above study were to know about the perception, satisfaction level and
attributes of consumer with regard to patanjali products. The data was collected by the

13
researcher from 100 respondents in Punjab. They found that consumer were highly satisfied
with patanjali products due to reasonable prices and due to curing ability. Shinde, D.T., and
Gharat, S.J.(2017) examined a study on product positioning of patanjali products.
The purpose of above study was to find the various prospects of patanjali products and also
factors influencing these products. They concluded that patanjali has captured a huge market
share within a very short time period but shortage of these products is the major problem
faced by consumers these days.

1. Statement of the problem:

Consumer is the king of the market and consumers effect market with their activities because
consumer has ability to coordinate their choice of spending or saving in the purchase
decision. Attitude of consumer can affect the purchasing decision of them also. So it is very
much required for any marketer to access the consumer‘s requirements so the present study
will contribute in this regard and focuses to know the consumer behavior, awareness and
satisfaction level regarding the Patanjali cosmetic product of Rohtak district.

2. Research Methodology:
The present paper is wholly based on primary data which was collected by researcher through
questionnaires from 100 consumers of Patanjali Products within Rohtak district of Haryana.
The questionnaire was design in such a way that will help to know the types of products
people use and also to know the various reasons for purchasing such product and their post
buying behavior and satisfaction level from that these products.

3. Objectives of the study:

(a). To study the factors affecting consumer behavior towards patanjali products.
(b). To know the association between independent variables and satisfaction level of
consumers.

4. Tools and techniques:

For analyzing the collected data, various statistical tools have been used to fulfill the research
objectives and test the hypothesis of the study. Data collected through the questionnaire were
analyzed statistically by using the Software Package for Social Science (SPSS). Besides, it
we also presented our data or information through graphical presentation (e.g. bar chart,
histogram). Certain measures like mean, std. deviation and percentage were forms of
descriptive analysis used to describe the sample data. SPSS was also used to test the
hypotheses using chi- square test.

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5. Reliability:

Analysis Reliability analysis is important and widely used in measuring the accuracy of a
study. Reliability tests, like Cronbach‘s alpha, are most commonly used to see if
questionnaires with multiple Likert scale questions are reliable. In general, a score of more
than 0.7 is considered acceptable.

6. Data analysis and interpretations:

The data was collected by researcher from different respondents. The demographic profiles of
respondents are shown as under:

Present the number of respondents belongs to various category of ages:

Shows that there were 50 males and 50 females respondents in the above research:

Shows the occupations of respondents to which they belong:

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Table 8.4 shows the income levels of the various respondents:

Table 8.5 shows the marital status of the various respondents:

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Objective

Association between demographic variables and satisfaction level: In most of the cases the
buying behavior of consumer is influenced by demographic variables. Gender, age ,
occupation and incomes are the four variables that has been taken by the researcher for the
above study. With the help of suitable statistical techniques the association between
independent variables and satisfaction level will be measure.
1.1 Gender and level of satisfaction
: due to many reasons of society there is always a difference between males and females,
known as gender disparity. This can also be a reason of difference in the satisfaction
level.
1.2 Age and level of satisfaction:
Age can also be taken as important factor to Determine of the satisfaction level of
consumer. This part focus in analyzing the level of satisfaction for different age
group.
1.3 Marital status and satisfaction level:
Marriage brings important change in one‘s life. The responsibility of men and women
become more in their personal life, due to which their satisfaction level can also
affected
1.4 Occupation and satisfaction level:
Occupation plays an important role in satisfaction of any consumer because occupation
affects expectation and perception of a person. Respondents working profile also
affect their satisfaction level.
1.5 Monthly income and level of satisfaction:
Income is also one of the crucial factors which can determine the behavior of human
being. Income level can also affect the satisfaction level of consumers. In this part of
study an attempt has made to analyze the significant relationship between income
level and satisfaction level.

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Introduction to HUL
FMCG Company has been playing a key role in the national economy in both rural and urban
sector. Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods
Company, touching the lives of two out of three Indians with over 20 distinct categories in
Home & Personal Care Products and Foods & Beverages.

The company‗s Turnover is Rs. 20,239 crores (for the 15 month period –
January 1, 2008 to March 31, 2009). HUL is a subsidiary of Unilever, one of the world‗s
leading suppliers of fast moving consumer goods with strong local roots in more than 100
countries across the globe with annual sales of Rs.2368.42 billion in 2008. Unilever has about
52%shareholding in HUL. Hindustan Unilever was recently rated among the top four
companies globally in the list of Global Top Companies for Leaders‖ by a study sponsored by
Hewitt Associates, in partnership with Fortune magazine and the RBL Group.

The company was ranked number one in the Asia-Pacific region and in India. The mission
that inspires HUL's more than 15,000 employees, including over 1,400 managers, is to add
vitality to life". The company meets every day 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 about 52 % of the
equity. The vision of HUL is to "meet everyday needs of people everywhere- to anticipate the
aspirations of our consumer & customer & to respond creatively &competitively with
branded products & services which raise the quality of life." The objectives is achieved
through the brands that the company markets. HUL's Brands have been household names.
Some of the big Brand in soaps and detergents are Life-Buoy, Lux, Breeze, Dove, liril,
Hamam, Surf, Rin, and Wheel. In order to know about the effect of the brands LIFE-BUOY,
LUX, HAMAM,PEARS, DOVE, LIRIL & ―BREEZE‖, which are very popular among the
people?

I have tried to study the consumer behavior towards these soaps, although there are other
brands. It has also been seen that Life-Buoy, Breeze & Lux are popular among the rural area.
Being soap, consumers especially youth are very sensitive while choosing the brand, so this
has made me to study the consumer behavior towards these soaps.

Hindustan Unilever Limited (HUL) is an Indian consumer goods company based

in Mumbai, Maharashtra. It is a subsidiary of Unilever, a British-Dutch company. HUL's

18
products include foods, beverages, cleaning agents, personal care products and water
purifiers.
HUL was established in 1933 as Lever Brothers and, in 1956, became known as Hindustan
Lever Limited, as a result of a merger among Lever Brothers, Hindustan Vanaspati Mfg. Co.
Ltd. and United Traders Ltd. It employs over 16,000 workers, while it also indirectly helping
to facilitate the employment of over 65,000 people. The company was renamed in June 2007
as "Hindustan Unilever Limited".

Brands and products

HUL is the market leader in Indian consumer products with presence in over 20 consumer
categories such as soaps, tea, detergents and shampoos amongst others with over 700 million
Indian consumers using its products. Sixteen of HUL's brands featured in
the ACNielsen Brand Equity list of 100 Most Trusted Brands Annual Survey (2014), carried
out by Brand Equity, a supplement of The Economic Times.

Food

 Annapurna salt and spices

 Bru coffee
 Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
 Kissan squashes, ketchups, juices and jams
 Lipton tea
 Knorr soups & meal makers and soupy noodles
 Kwality Wall's frozen dessert
 Modern Bread, ready to eat chapattis and other bakery items(now sold to Everstone
Capital)
 Magnum (ice cream)

Homecare Brands

 Active Wheel detergent

 Cif Cream Cleaner
 Comfort fabric softeners
 Domex disinfectant/toilet cleaner
 Rin detergents and bleach
 Sunlight detergent and colour care
 Surf Excel detergent and gentle wash
 Vim dishwash
 Magic – Water Saver

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 Personal Care Brands:

 Aviance Beauty Solutions

 Axe deodorant and aftershaving lotion and soap
 LEVER Ayush Therapy ayurvedic health care and personal care products
 Breeze beauty soap
 Brylcreem hair cream and hair gel
 Clear anti-dandruff hair products
 Clinic Plus shampoo and oil
 Close Up toothpaste
 Dove skin cleansing & hair care range: bar, lotions, creams and anti-perspirant
deodorants
 Denim shaving products
 Fair & Lovely skin-lightening products
 Hamam
 Indulekha ayurvedic hair oil
 Lakmé beauty products and salons
 Lifebuoy soaps and handwash range
 Liril 2000 soap
 Lux soap, body wash and deodorant
 Pears soap, body wash
 Pepsodent toothpaste
 Pond's talcs and creams
 Rexona

 Sunsilk shampoo
 Sure anti-perspirant
 Vaseline petroleum jelly, skin care lotions
 TRESemmé
 TIGI

Water Purifier Brand

 Pureit Water Purifier

Research facilities
The Hindustan Unilever Research Centre (HURC) was set up in 1966 in Mumbai, and
Unilever Research India in Bangalore in 1997. Staff at these centres developed many
innovations in products and manufacturing processes. In 2006, the company's research
facilities were brought together at a single site in Bangalore

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Sustainable living

Unilever launched Sustainable Living Plan in on 15 November 2010 at London, Rotterdam,

New York and New Delhi simultaneously.

Headquarters
Hindustan Unilever's corporate headquarters are located at Andheri (E), Mumbai. The
campus is spread over 12.5 acres of land and houses over 1,600 employees. Some of the
facilities available for the employees include a convenience store, a food court, an
occupational health centre, a gym, a sports & recreation centre and a day care centre. The
Campus is designed by Mumbai based architecture firm Kapadia Associates.
The campus received a certification from LEED (Leadership in Energy and Environmental
Design) Gold in 'New Construction' category, by Indian Green Building Council (IGBC),
Hyderabad, under license from the United States Green Building Council (USGBC)
The company's previous headquarters was located at Backbay Reclamation, Mumbai at the
Lever House, where it was housed for over 46 years.

Controversy
Mercury pollution

Main article: Kodaikanal mercury poisoning

In 2001 a thermometer factory in Kodaikanal run by Hindustan Unilever was accused of
dumping glass contaminated with mercury in municipal dumps, or selling it on to scrap
merchants unable to deal with it appropriately.After much work by activists, Hindustan lever
finally admitted in the court to being guilty in the case.

Skin lightening creams

Main article: Fair & Lovely (cosmetics)

Hindustan Unilever's "Fair and Lovely" is the leading skin-lightening cream for women in
India. The company had to cease television advertisements for the product in 2007.
Advertisements depicted depressed, dark-complexioned women, who had been ignored by
employers and men, suddenly finding new boyfriends and glamorous careers after the cream
had lightened their skin. In 2008 Hindustan Unilever made former Miss World Priyanka
Chopra a brand ambassador for Pond's and she then appeared in a mini-series of television
commercials for another skin lightening product, 'White Beauty', alongside Saif Ali
Khan and Neha Dhupia; these advertisements, showing Priyanka's face with a clearly darker

21
complexion against the visibly fairer Neha Dhupia, were widely criticised for perpetuating
racism and lowering the self-esteem of women and girls throughout India who were misled
by HULN to believe that they needed to be white to be beautiful.

Triclosan

Several academic papers have pointed out the firm's continued use of
the antibacterial agent Triclosan ('Active B') in India because it is under review by the
American Food and Drug Administration (US FDA).

Awards
The Institute of Competitiveness, India, has recognized Hindustan Unilever Limited‘s Project
Shakti for ‗Creating Shared Value‘ and bestowed upon the company the Porter Prize for
2014. It ranked number one on the Forbes list of ‗Most Innovative Companies‘ across the
globe for 2014 and was ranked number three on Fortune India‘s list of India‘s most admired
companies in a list compiled with the help of a global management consultancy Hay
Group. It received an award from Dun & Bradstreet Corporate Awards in 2014. and was
Client of the Year at Effies 2013 – 2014. It also received an award as a 'Conscious Capitalist
of the Year' at the 2013 Forbes India Leadership Awards. HUL won 12 awards overall with 4
Golds, 4 Silvers and 4 Bronzes at the 2013 Emvies Awards. In 2013, HUL ranked number
two on the on Fortune India's 2013 '50 Most Admired Companies list'. and was declared the
fourth most Respected Company in India in a survey conducted by Business World in 2013.

As per a 2015 Nielsen Campus Track-business school survey, Hindustan Unilever emerged
among the top employers of choice for B-school students graduating that year . It has often
been called a 'Dream Employer' for application by B-School students in India.

In 2012, HUL was recognised as one of the world's most innovative companies by Forbes.
With a ranking of number 6, it was the highest ranked FMCG company. Hindustan Unilever
Limited (HUL) won the first prize at FICCI Water Awards 2012 under the category of
'community initiatives by industry' for Gundar Basin Project, a water conservationist
initiative. Hindustan Unilever Limited won 13 awards at the Emvies 2012 Media Awards
organised by the Advertising Club Bombay in September 2012.

The company received four awards at the Spikes Asia Awards 2012, held in September. The
awards included one Grand Prix one Gold Award and two Silver Awards.

HUL's Chhindwara Unit won the National Safety Award for outstanding performance in
Industrial Safety. These awards were instituted by the Union Ministry of Labour and
Employment in 1965.
HUL was one of the eight Indian companies to be featured on the Forbes list of World's Most
Reputed companies in 2007.

22
In July 2012 Hindustan Unilever Limited won the Golden Peacock Occupational Health and
Safety Award for 2012 in the FMCG category for its safety and health initiatives and
continuous improvement on key metrics.

Hindustan Unilever Limited is rated as best 3Ci Company which is registered with National
Industrial Classification Code 15140.
Pond's Talcum Powder's packaging innovation has secured a Silver Award at the prestigious
24th DuPont Global Packaging Award, in May 2012.The brand was recognized for cost and
waste reduction.

In May 2012, HUL & Star Bazaar received the silver award for 'Creating Consumer Value
through Joint Promotional and Event Forecasting' at the 13th ECR Efficient Consumer
Response Asia Pacific Conference.

In 2011, HUL was named the most innovative company in India by Forbes and ranked 6th in
the top 10 list of most innovative companies in the world.

Hindustan Unilever Ltd received the National Award for Excellence in Corporate
Governance 2011 of the Institute of Company Secretaries of India (ICSI) for excellence in
corporate governance

In 2012, Hindustan Unilever emerged as the No. 1 employer of choice for B-School students
who will graduate in 2012. In addition, HUL also retained the 'Dream Employer' status for
the 3rd year running

Hindustan Unilever ranked No. 2 in Fortune India's Most Admired Companies list, which
was released by Fortune India in partnership with the Hay Group. The company received the
highest scores for endurance and financial soundness

HUL was ranked 47th in The Brand Trust Report 2014 published by Trust Research
Advisory. 36 HUL brands also featured in the list including Lux, Dove, Lipton, Vim, Kissan,
Bru, Rexona, Close Up, Clinic Plus, Pond's, Knorr, and Pepsodent among others.

HUL emerged as the top 'Dream Employer' as well as the top company considered for
application in the annual B-School Survey conducted by Nielsen in November 2010. This
was the second successive year that HUL has been rated as the top 'Dream Employer' in
India. HUL has also emerged as the top employer of choice among the top six Indian
Institutes of Management (IIMA, B, C, L, K and I).

HUL won three awards at the 'CNBC Awaaz Storyboard Consumer Awards' in 2011 – Most
Recommended FMCG Company of the Year; Most Consumer Conscious Company of the
Year and Digital Marketer of the Year.

23
The company was felicitated in April 2010 for receiving the highest number of patents in the
year 2009 at Annual Intellectual Property Awards 2010.
In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25
years by Businessworld, one of India's leading business magazines. The rating was based on a
compilation of the magazine's annual survey of India's most reputed companies over the past
25 years.

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

Performance Trend

24
Fast-Moving Consumer Goods
Fast-moving consumer goods (FMCG) or consumer packaged goods (CPG) are products that
are sold quickly and at relatively low cost. Examples include non-durable goods such
as packaged foods, beverages, toiletries, over-the-counter drugs and many
other consumables.[1][2] In contrast, durable goods or major appliances such as kitchen
appliances are generally replaced over a period of several years.

Many fast moving consumer goods have a short shelf life, either as a result of high consumer
demand or because the product deteriorates rapidly. Some FMCGs, such as meat, fruits and
vegetables, dairy products, and baked goods, are highly perishable. Other goods, such as pre-
packaged foods, soft drinks, chocolate, candies, toiletries, and cleaning products, have
high turnover rates. The sales are sometimes influenced by holidays and seasons.

Packaging is critical for FMCGs. The logistics and distribution systems often require
secondary and tertiary packaging to maximize efficiency. The unit pack or primary package
is critical for product protection and shelf life and also provides information and sales
incentives to consumers.

Though the profit margin made on FMCG products is relatively small (more so for retailers
than the producers/suppliers), they are generally sold in large quantities; thus, the cumulative
profit on such products can be substantial. FMCG is a classic case of low margin and high
volume business.

Cleaning agent
Cleaning agents are substances (usually liquids, powders, sprays, or granules) used to
remove dirt, including dust, stains, bad smells, and clutter on surfaces. Purposes of cleaning
agents include health, beauty, removing offensive odor, and avoiding the spread of dirt and
contaminants to oneself and others. Some cleaning agents can kill bacteria, e.g. on door
handles, worktops and other metallic surfaces, and clean at the same time. Others, called
degreasers, contain organic solvents to help dissolve oils and fats.[1]

25
Company Overview

Hindustan Unilever plans to cut advertising, marketing expenses

Retail giant Hindustan Unilever (HUL) is partnering over a dozen content creators from
Star Network and Yash Raj Films to Facebook and Google to produce content across
channels where HUL brands can participate, perhaps subtly, as part of the conversati on.

Last week, the maker of Dove and Rin invited 13 producers including broadcasters, radio
channels, film producers and top-notch digital companies to its campus to ideate how they
can seamlessly weave HUL brands in their content, messages and shows, instead of just
product placement and brand plugs.

"As media is changing, there is a skill that needs to get evolved as content explodes, how
to tell compelling brand stories and really cut through to consumers by making sure the
brand is able to tell a story that consumer can relate to," said Gaurav Jeet Singh, HUL's
head of media services in South Asia.

While the latest move of HUL, the country's largest advertiser, won't replace
advertisements, the company is trying to partner media channels beyond obvious
marketing. "Through popular culture, how can we ride on content that is designed to
entertain, engage and connect? Something that is not force fit. But something that naturally
fits into the content and can carry the brand story seamlessly," explained Singh.

HUL's media agency, Mindshare, is a partner in the initiative. "As the consumer's media
consumption habits change, we understand the need to create and curate differentiated
communication platforms, to build lasting brands with an engaged audience," said
Prasanth Kumar, chief executive of Mindshare.

"The consumer is no longer a passive viewer, but an active participant in the brand's story-
telling journey. Brand ideas and content that resonate with the audience are further seeded
by them into their own circle of influence that has a far more powerful effect," Kumar

26
said.

With over 35 brands across food, personal care and home care portfolios, cutting through
structures and processes to execute an idea quickly becomes an issue. Hence, the company
through 'Content Day' encourages brand team members to share ideas which can be
approved or perfected quickly so as to become scalable.

It wasn't easy. In the last six months, HUL has been working on the novel concept from
identifying nearly a dozen brands to sending briefs to 35 content creators for ideas. The
company that initially received around 300 ideas, narrowed it to 40 with 13 companies
meeting individual brand teams on Content Day for possible brand integration.

Two ideas from Star Network and one each from YRF and Disney made it to the top four,
which were presented to the top management and the entire marketing team of HUL. "We
want to create a strong ecosystem of for branded content as that is crucial to the future of
marketing," said Samir Singh, HUL's executive director-personal care.

Sample this. In the latest blockbuster Piku, while there were several brand integration,
there were two that particularly stood out: Amul milk and Red Label tea. Both these
products were placed on the dining table when the protagonists in the film ere having
breakfast and they effortlessly became part of the movie scene.

"But they can be part of song lyrics, movie title, we can co-create product with the
company and integrate the brand in several other ways depending on the marketing
objective", said Ashish Patil, business & creative head and vice president at YRF. "The
unique thing about Content Day is that it is not a random one off project, but HUL wants
to make it an annual event. And, it's a cultural shift for them. It is about looking at content
differently, as an important marketing tool. And it is about infusing new thinking which
they or their ad agency may not be geared to do," he said.

While executing ideas into branded content could be challenging, media partners are
hopeful that HUL's move will break the clutter. "There was no strict brief and it was
unstructured and gave us a lot of freedom to do as we thought. It was a proactive and
innovative idea. This is an opportunity that is more open about possibilities of
collaborating across brands," said Myleeta Aga Williams, MD of BBC Worldwide

"But they can be part of song lyrics, movie title, we can co-create product with the
company and integrate the brand in several other ways depending on the marketing
objective", said Ashish Patil, business & creative head and vice president at YRF. "The
unique thing about Content Day is that it is not a random one off project, but HUL wants
to make it an annual event. And, it's a cultural shift for them. It is about l ooking at content
differently, as an important marketing tool. And it is about infusing new thinking which
they or their ad agency may not be geared to do," he said.

While executing ideas into branded content could be challenging, media partners are
hopeful that HUL's move will break the clutter. "There was no strict brief and it was
unstructured and gave us a lot of freedom to do as we thought. It was a proactive and
innovative idea. This is an opportunity that is more open about possibilities of
collaborating across brands," said Myleeta Aga Williams, MD of BBC Worldwide

27
Hindustan Unilever adopts new promotion strategy
Retail giant Hindustan Unilever (HUL) is partnering over a dozen content creators from Star
Network and Yash Raj Films to Facebook and Google to produce content across channels
where HUL brands can participate, perhaps subtly, as part of the conversation.

Last week, the maker of Dove and Rin invited 13 producers including broadcasters, radio
channels, film producers and top-notch digital companies to its campus to ideate how they
can seamlessly weave HUL brands in their content, messages and shows, instead of just
product placement and brand plugs.

"As media is changing, there is a skill that needs to get evolved as content explodes, how to
tell compelling brand stories and really cut through to consumers by making sure the brand is
able to tell a story that consumer can relate to," said Gaurav Jeet Singh, HUL's head of media
services in South Asia.

While the latest move of HUL, the country's largest advertiser, won't replace advertisements,
the company is trying to partner media channels beyond obvious marketing. "Through
popular culture, how can we ride on content that is designed to entertain, engage and
connect? Something that is not force fit. But something that naturally fits into the content and
can carry the brand story seamlessly," explained Singh.

HUL's media agency, Mindshare, is a partner in the initiative. "As the consumer's media
consumption habits change, we understand the need to create and curate differentiated
communication platforms, to build lasting brands with an engaged audience," said Prasanth
Kumar, chief executive of Mindshare.

"The consumer is no longer a passive viewer, but an active participant in the brand's story-
telling journey. Brand ideas and content that resonate with the audience are further seeded by
them into their own circle of influence that has a far more powerful effect," Kumar said.

With over 35 brands across food, personal care and home care portfolios, cutting through
structures and processes to execute an idea quickly becomes an issue. Hence, the company
through 'Content Day' encourages brand team members to share ideas which can be approved
or perfected quickly so as to become scalable.

It wasn't easy. In the last six months, HUL has been working on the novel concept from
identifying nearly a dozen brands to sending briefs to 35 content creators for ideas. The
company that initially received around 300 ideas, narrowed it to 40 with 13 companies
meeting individual brand teams on Content Day for possible brand integration.

Two ideas from Star Network and one each from YRF and Disney made it to the top four,
which were presented to the top management and the entire marketing team of HUL. "We
want to create a strong ecosystem of for branded content as that is crucial to the future of
marketing," said Samir Singh, HUL's executive director-personal care.
Sample this. In the latest blockbuster Piku, while there were several brand integration, there
were two that particularly stood out: Amul milk and Red Label tea. Both these products were
placed on the dining table when the protagonists in the film ere having breakfast and they
effortlessly became part of the movie scene.

"But they can be part of song lyrics, movie title, we can co-create product with the company
and integrate the brand in several other ways depending on the marketing objective", said

28
Ashish Patil, business & creative head and vice president at YRF. "The unique thing about
Content Day is that it is not a random one off project, but HUL wants to make it an annual
event. And, it's a cultural shift for them. It is about looking at content differently, as an
important marketing tool. And it is about infusing new thinking which they or their ad agency
may not be geared to do," he said.

While executing ideas into branded content could be challenging, media partners are hopeful
that HUL's move will break the clutter. "There was no strict brief and it was unstructured and
gave us a lot of freedom to do as we thought. It was a proactive and innovative idea. This is
an opportunity that is more open about possibilities of collaborating across brands," said
Myleeta Aga Williams, MD of BBC Worldwide

Comparative Study of Patanjali High Grossing Prioducts With HUL

Patanjali Ayurvedic Limited is one of the fastest growing Indian FMCG company which was
established in 2006 by Baba Ramdev along with Acharya Balkrishna. Its manufacturing unit
and headquarters are located in industrial area of Haridwar and the registered office is located
in Delhi.

According to India infoline finance Ltd. IIFL, Acharya Balkrishna accounts for 94% of the
share and the remaining stake are owned by Sarwan and Sunita Poddar, an NRI couple.
However, Baba Ramdev does not own any stakes but plays an important role in the brand
gaining visibility by marketing Patanjali‘s product in his yoga camps.

Some of the main products of Patanjali are Patanjali Moisturizer Cream, Patanjali Multani
Mitti Face Pack, Patanjali Aloe Vera Juice, Patanjali Yoga Sutra, Patanjali Coconut Hair
Wash, Patanjali Sheetal oil, Patanjali Sunscreen, Patanjali Aloe Vera apricot Face Scrub,
Patanjali Anti-wrinkle Cream, and Patanjali Drishti Eye drop.

Patanjali is leading
over its competitors due to following
reasons-

29
Innovation – Patanjali being a major competitor, FMCG companies are expected to introduce
innovative Herbal and Ayurvedic products over the forecast period.
Pricing – Patanjali sells its product at a lower price to meet consumer demands. Patanjali is
able to sell its best quality product at a price which is 10% to 30% less than its competitors
who spend 12% to 18% on advertising and promotion.
Brand Marketing – Patanjali has given a tough competition to some of the FMCG majors in
the area of hair care, oral care and OTC products across its brand portfolio through
impressive brand marketing by Baba Ramdev.
Revenue Market Share – According to IIFL, Patanjali could attain a net turnover of Rs
20,000 crore by FY20.
New launches of Patanjali include Patanjali Noodles, Dant Kanti Advance, and Sugar-free
Chyawanprash, Power Vita, Seabuckthorn dietary supplement and powdered hair dye. Other
than the products related to lifestyle and health, the company has plans to touch every
consumer category.

Competitor‘s innovative products to survive in Competitive Market

Since Patanjali has come up with many of the new products so consumer companies have
also improvised in innovation in the ayurvedic as well as herbal products.

Companies like Colgate launched Vedshakti toothpaste and L‘Oreal introduced a new
product with the natural ingredient in hair care range under Garnier Ultra Blends.
Godrej Consumer launched neem mosquito oil, a crème hair color that has coconut oil and
new variants in natural soaps.
Hindustan Unilever (HUL) launched hair care products like Ayush antidandruff neem
shampoo, Ayush antidandruff neem conditioner, and skin care products like Ayush saffron
face cream and pain balms on e-commerce platforms under Ayush Therapy.

30
Indian FMCG Industry
The FMCG OR Fast Moving Consumer Goods industry is the fourth largest sector of Indian
Economy with an estimated market size of around $49 billion or 2.5% of India‟s GDP .

31
FMCG goods, popularly known as consumer packaged goods, include all consumables (other
than groceries/pulses) that people buy at regular intervals. Most common household items
including toilet soaps, detergents, shampoos, toothpaste, shaving products, shoe polish,
packaged foodstuff, and household accessories and certain electronic goods belong to this
category

Performance Analysis of Patanjali Ayurved

The company aims at providing natural ingredients and herbal cosmetic solutions to
consumers at affordable costs. Clocking revenues of Rs 2000 Crore in FY 2014-15 , Patanjali
has already established itself as a major player in the FMCG industry

Major Players
The Indian FMCG sector is highly segmented with the presence of some major players and
many minor players. Of the top 100 brands, 62 are owned by Multinational Corporations,
while the rest are owned by Indian Companies. The top companies in terms of revenues in
FY 2014-15 are:

32
Conclusion
The above research reveals that there is no association between independent variables and
satisfaction level of the consumers. Satisfaction level is independent from all demographic
variables such as marital status, income, gender, occupation and age. Also the above study
shows that most of the people use the patanjali products due to swadeshi factor and also due
to reasonable price of it. But limitation of patanjali product is of its availability because they
are not easily available in the market. Due to this people have to suffer a lot of problems, but
some people likes to purchase the HUL products because of their buying behavior and their
taste preferences, I have shown the difference between the buying behavior of consumer to
the patanjali products and the HUL products which are:-
 Marketing Campaigns.
 Economic Conditions.
 Personal Preferences.
 Group Influence.
 Purchasing Power.
 Taste and Preference of consumer.
 Consumer Physical condition.
 And various other factors.

33
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35