1. INTRODUCTION««««««««««««««««««««« 2

2. TELECOMMUNICATION MARKET IN INDIA««««««««.. 4 3. SERVICES««««««««««««««««««««««««.7 4. PROMOTIONAL STRATEGY «««««««««««««««. 11 5. MARKET SITUATION ««««««««««««««««««. 12 6. COMPETITIVE SITUATION «««««««««««««««... 12 7. MARKETING STRATEGY ADAPTED BY BHARTI ««««««17 8. RESEARCH METHODOLOGY«««««««««««««««.19 9. SWOT ANALYSIS««««««««««««««««««««..23 10. CONCLUSION««««««««««««««««««««««.25 11. BIBLIOGRAPHY «««««««««««««««««««««26


I, the undersigned, hereby




dissertation report entitled

³INVESTOR PREFERENCE OF EQUITY MARKET & DERIVATIVE MARKET´ written and submitted by me to the Department Of

Management, C.V. Raman College of Engineering, Bhubaneswar, for the partial fulfilment of the requirement for the award of degree of Master Of Business Administration under the guidance of Mr. Manit Mishra, is my original work and the conclusion drawn therein are based on the material collected by myself.

Place: Bhubaneswar Date: 25/05/2011

ABINASH DAS Regd. No: 0906227030 C. V. Raman Coll. Of Engg. Bhubaneswar

Last but not the least I would like to thank my friends and all the people who helped me directly or indirectly in successful completion of this project. I am also thankful to Mr. Suresh Chandra Das for helping me with his specialised knowledge in this project report. Manit Mishra my faculty guide who was always with me and without his guidance the project could not be completed.ACKNOWLEDGEMENT I would like to thank my parent for allowing me to do things of my choice. I am grateful to Mr. ABINASH DAS . and giving me supporting me in each and every problem of my life and without their guidance I would not be able to reach at this point.

Lipton.consisting of a marketing strategy. All Clear. OBJECTIVE OF THE STUDY: This report is an outcome of an analysis of marketing strategies used by Hindustan Unilever Ltd. Unilever commenced their business activities on a larger scale by setting up their first factory in Netherlands. Every business must be design a strategy for achieving its goals.CHAPTER 1 INTRODUCTION TO THE STUDY The project undertaken is on ³MARKETING STRATEGY OF UNILEVER FOR LIFEBUOY soap´. personal grooming.Marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage. . The usage of Unilever products by over 90% of the people in Bangladesh stands a testimony to their successful operation. Fair & Lovely. Lifebuoy. Their array of products show that they produce household care. Vim.etc. hair care. The main purpose of the report is to find what strategies the company uses to market its world . Pond's. Unilever is one of the world¶s largest and leading multinational companies. Sunsilk. LUX. Lipton Taaza. Surf Excel. It describes about the Marketing strategy using by HUL for the success of both product and company. and a compatible technology strategy and sourcing strategy. skin cleansing. oral care. in the year of 1872. Close Up. Strategy is a action plan for getting the goals. A marketing strategy should be centered around the key concept that customer satisfaction is the main goal. skin care. Pepsodent. Operating in Bangladesh for over the last four decades the company is trying to significantly contribute towards the augmentation of the standard of living by bringing world class high quality products at the door step of their customers.Goals indicate what a business unit wants to achieve. and tea based beverage products under worldwide famous brand names Wheel. fabric cleaning.

A soap-like material found in clay cylinders during the excavation of ancient Babylon is evidence that soap making was known as early as 2800 B. Inscriptions on the cylinders say that fats were boiled with ashes.where animals were sacrificed. Rain washed a mixture of melted animal fat. which is a method of making soap. In addition information was also collected from websites. LIFEBUOY.famous soap." Such materials were later used as hair styling aids. target marketing. Since water is essential for life. METHODOLOGY OF THIS REPORT: For accessibility and availability of information we have chosen to work on the strategies of Hindustan Unilever Ltd. or least that it rinsed mud off their hands. from Mount Sapo. pricing.Soap got its name. in India. LIFEBUOY. according to an ancient Roman legend. and wood ashes down into the clay soil along the Tiber River. we have decided to focus on one of their world wide successful brands. promotional and distribution strategies and a competitive analysis. Most of the information used in this report is from primary sources. the product. but do not refer to the purpose of the "soap. The report further analyzes the position of Hindustan Unilever Ltd. the positive and negative aspects of those strategies. the earliest people lived near water and knew something about its cleansing properties . INDUSTRY ANALYSIS: . As the company operates in the market with a huge number of products in different industries. Women found that this clay mixture made their wash cleaner with much less effort. CHAPTER 2 THE INDIAN SOAP INDUSTRY: The origins of personal cleanliness date back to prehistoric times. The main source of information was the focus group discussion.C. in the toiletry industry in comparison to its competitors. The 10 report discusses the process of using market segmentation.

Increased sales revenues would also expand from up gradation of quality or per unitvalue. MAJOR PLAYERS: 1. which sustain them.Toilet soap.000 tpa including small imports.The toilet soaps market is estimated at 530. Cinthol. which have limited markets. BREEZE. it can be divided into four price segments: premium. REXONA. Rexona. and Nirma. major players Hindustan Unilever Ltd (HUL). The market is littered over with several. not clear if it is the brand loyalty or experimentation lured by high volume media campaign.000 tonnes. Toilet soaps. The incremental demand flows from population increase and rise in usage norm impacted as it is by a greater concern for hygiene. With over seven brands ² LUX. the soap industry is divided into three segments namely Premium. leading national and global brands and a large number of small brands.Hindustan Unilever Ltd. As the market is constituted now. Currently. To fight competition. by value. HUL is India's largest Fast Moving Consumer Goods(FMCG) Company.when the company was first incorporated. are not well differentiated by the consumers. A consequence is that the market is fragmented. The company stirring the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products . in 1933. The popular and premium brands include Lifebuoy. Godrej Consumer Products Ltd (GCPL) and Wipro Consumer Care & Lighting are now drawing up fresh game plans. has now penetrated practically all areas including remote rural areas. And the accent is clearly on innovation to gain mind share as well as market share in this overcrowded category.Soaps form the largest pie of the FMCG Market with bathing & toilet soaps accounting for around 30% of the soap market. its journey began 75 years ago. It is. once only an urban phenomenon.3% share of the overall soap market. DOVE and PEARS ² has 54. Premium soaps are estimated to have a market volume of about 80. LIFEBUOY. Liril. Lux. therefore. This translates into a share of about 14 to 15%. HAMAM. despite their divergent brands. Popular and Economy/ Sub popular. popular. It is obvious that this must lead to a highly competitive market. discount and economy soaps.

has nearly 9. and consumer products & lighting. household and fabric care segments. Godrej Consumer Products (GCPL) is a major player in the Indian FMCG market with leadership in personal.and Foods & Beverages and also one of the country's largest exporters. India's first Fairness soap. FAIRGLOW. The presence of Wipro in the toilet soap industry can be seen through their brands such as SANTOOR and CHANDRIKA. Surf Excel. Knorr-Annapurna. NIKHAR.9% in March 2006. Pepsodent.000 crore by sales soap market.Sunsilk. some of which are the most well-known brands in the country. Lakme.Wipro has made a large acquisition in the Consumer Care business. Rin. Fairglow brand. Clinic. 2. They are manufactured in over 40 factories across India.2% market share. It is also the preferred supplier for contract manufacturing of toilet soaps. With 11% market share in value terms.3% in March 2008 from 55.are household names across the country. Wipro also has a profitable presence in niche market segments of infrastructure engineering. HUL¶s market share has dropped to 54. Consumer care business has reached a Revenue run rate in excess of $100 million per quarter.WIPRO In the Indian market. has created marketing history as one of the most successful innovations. & ALLCARE.Procter & Gamble India . With industry leading organic growth rates and the acquisition. Closeup. India¶s second largest soap maker after Hindustan Unilever Ltd. hair. Wheel. Pond's. Kissan. it is the second largest soap maker after Hindustan Unilever. 3. 4. Fair & Lovely. The company is one among the largest marketer of toilet soaps in the country with leading brands such as CINTHOL. HUL's brands includes Lifebuoy. Lux. Brooke Bond. Kwality Wall's . Wipro is a leader in providing IT solutions and services for the corporate segment in India.GODREJ CONSUMER PRODUCTS GCPL. In the Rs7.

Nirma Soaps and Detergents.Procter & Gamble India (PGHHCL) was incorporated in 1964 after Procter & Gamble.74% in soaps. Nirma undertook backward integration into manufacture of Industrial Products like Soda Ash. Soaps and Personal Care Products. . Formerly known as Richardson Hindustan (the Indian subsidiary).Nirma: Incorporated as a private limited company. US.The company created 'Nirma Consumer Care Ltd. the country¶s largest cigarette maker. Nirma Detergents. Nilnita Chemicals. With this expansion the total installed capacity of Soaps & Detergents and Toilet Preparations etc has increased to 108500 Tonnes and 5875 Tonnes respectively.a wholly owned subsidiary on 22nd Aug. During 2004-05 the company has increased its installed capacity of Soaps & Detergents and Toilet Preparations etc by 36500 Tonnes and 263 Tonnes respectively.Nirma enjoys a share of 6.75% in just five months despite the fact that many of its brands such as Superia. US.' . Fatty Acid. During 1996-97. To have a greater control on the quality and price of its raw materials. it was later named as P&G. It changed its name again in 1998 to Procter & Gamble Hygiene and Health Care in order to reflect the nature and character of the business of the company. Glycerine and Sulphuric Acid. 5. Nirma has a leadership presence in Detergents.'97. Linear Alkyl Benzene (LAB). and Shiva Soaps and Detergents were amalgamated with the company.ITC: ITC. its share has grown to 1. Fiama Di Wills and Vivel are currently sold in only six states. Nirma was converted into a deemed public company and then to a public limited one in Nov. Alfa Olefin Sulphonates (AOS). 6. According to AC Nielsen. acquired Richardson Vicks. entered the segment last year and has made a strong headway in a short time.'93. which is the sole licensee of the brand name 'Nirma' within India.

300 managers. Fair & Lovely.10% of the equity. which holds 52. is India's largest Fast Moving Consumer Goods (FMCG) company. The operations involve over 2. tea. Kwality Wall's ± are household names across the country and span many categories soaps. Pepsodent. Lakme.branded staples. Sunsilk.hygiene. HUL's distribution network comprises about 4. Brooke Bond. Lux. is to "add vitality to life. Clinic. HUL's brands like Lifebuoy. The rest of the shareholding is distributed among 360.000 suppliers and associates." HUL meets everyday needs for nutrition. Knorr Annapurna. HUL is also one of the country's largest exporters. covering . Rin.The mission that inspires HUL's over 15. personal products. Surf Excel.13718 crores. Unilever.000 redistribution stockiest. it has been recognized as a Golden Super Star Trading House by the Government of India. touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. These products are manufactured over 40 factories across India. look good and get more out of life.Pond's. It is a mission HUL shares with its parent company. coffee.675 individual shareholders and financial institutions. ice cream and culinary products. detergents.000 employees. and personal care with brands that help people feel good. Wheel. AT A GLANCE: Hi as HUL).CHAPTER 3 HINDUSTAN UNILEVER LTD. Kissan. Closeup. including over 1. These products endow the company with a scale of combined volumes of about 4 million tonnes and sales of nearly Rs.

In 19th century Although Unilever wasn't formed until 1930. Unilever still believes that success means acting with 'the highest standards of corporate behavior towards our employees. . consumers and the societies and world in which HUL live'. Through this timeline you'll see how our brand portfolio has evolved. protect environments. a merger as palm oil was a major raw material for both margarines and soaps and could be imported more efficiently in larger quantities. In the late 19th century the businesses that would later become Unilever HUL among the most philanthropic of their time. our brands are helping people 'feel good. look good and get more out of life' ± a sentiment close to Lord Leverhulme's heart over a hundred years ago. HISTORY: Unilever was created in 1930 by the amalgamation of the operations of British soap maker Lever Brothers and Dutch margarine producer Margarine Unie.6. and about 250 million rural consumers.They set up projects to improve the lot of their workers and created products with a positive social impact. our Path to Growth strategy focused us on global highpotential brands and our Vitality mission is taking us into a new phase of development. support local communities and much more. Over the years HUL've launched or participated in an evergrowing range of initiatives to source sustainable supplies of raw materials. At the beginning of the 21st century.Today. the companies that joined forces to create the business HUL know today HUL already HUL established before the start of the 20th century. making hygiene and personal care commonplace and improving nutrition through adding vitamins to foods that HUL already daily staples. More than ever.3 million retail outlets reaching the entire urban population.

. ‡ Strong R&D of the company ‡ Highly skilled human resource. ‡ Presence of Established distribution networks in both urban  3400 distributers  16 million outlets over the world. and rural areas. · Changing consumption pattern. · High advertising costs. OPPORTUNITIES ‡ Large domestic market ± over a billion population.e. ‡ Innovative Aspects.  700 million customer base. i. · Low exports level (at present).price.quantity & variety. ‡ Corporate Social Responsibility(CSR) WEAKNESSES · Strong Competitors.SWOT ANALYSIS OF HUL: STRENGTHS ‡ Strong brand portfolio. increasing per capital income of consumers. THREATS ‡ Tax and regulatory structure. ‡ Changing Lifestyles & Rising income levels. ‡ Untapped rural market.

medicinal scent. healthier and ultimately more vital communities is the driving force behind the . INTRODUCTION: Lifebuoy is a famous and distinctive brand of soap that was created by the Lever Brothers soap factory in 1894. It was the first soap to use carbolic acid. Lifebuoy is still manufacture d today and is the leading brand of soap in many developing countries including India. security and health to 5 billion people through the active Promotion of hand washing with soap. The desire to be clean. active and healthy is intrinsic to every one ± irrespective of age or economic status. ‡ Increasing cost of raw material CHAPTER 4 PRODUCT INFORMANTION MISSION: To bring safety. It is market leader in every market where it is sold. An inspiring vision for more hygienic. which gave it a red color and strong. Today Lifebuoy is sold in all over the World. Lifebuoy understands this need and champions the cause for hygiene and health around the world.‡ Mimic of brands ‡ Entry of ITC in FMCG sector.

A similar campaign continues today. The original Lifebuoy soap was manufactured in the UK until 1987 when the production and distribution was halted. EVOLUTION AND CHANGES: · Lifebuoy went through several changes and incarnations throughout the brand's history.O. · Due to regulations put forth by the European Union. Sri Lanka. · Lifebuoy soap is still the leading brand of soap in several countries worldwide. The brand was shortly taken over by Unilever and is still in production today---albeit with several key differences. Each package of Lifebuoy soap contained the phrase "Knocks out B. A white version of the soap was introduced in 1962 and contained a light perfume scent. For example.Lifebuoy brand. Unilever produces a wide range of products under the Lifebuoy umbrella such as body wash. the soap can no longer contain carbolic because it is potentially toxic and linked to skin irritation and respiratory tract problems with prolonged exposure. with Lifebuoy hygiene education programmes ongoing in countries including India." and the brand is credited with coining the long-standing abbreviation for body odour. This vision also commits the Lifebuoy brand team to visible action. To realise this vision. a 1930's campaign in the US was titled 'Clean hands help guard health'. Bangladesh. Pink and aqua versions were released soon after. inspiring projects that motivate consumers to improve their hygiene behavior. the guarantee of protection when you are threatened. specifically in India and parts of Southern Asia. liquid soaps and acne-fighting solutions. Lifebuoy's goal is to provide affordable and accessible hygiene and health solutions that enable people to lead a life without fear of hygiene anxieties and health consequences. Pakistan. HYGIENE EDUCATION AND DISASTER RELIEF: · The brand's core promise of protection and a commitment to support life through unbeatable protection is at the heart of the brand name itself ± Lifebuoy. Indonesia and Vietnam . The substance is also considered a possible carcinogen. Lifebuoy has looked to consistently innovate and provide accessible hygiene and health products to a wide variety of consumers. encouraging the use of Lifebuoy soap to kill the germs on hands that can cause health issues.

. · The brand also provided aid after earthquakes hit Pakistan and Northern India in 2005. the Lifebuoy brand is more than the quintessential bar of red soap. as ingestion of germs from unhygienic hands at mealtimes is the most likely cause for common diseases. In 2004 after a Tsunami hit Asia.  Proven to instantly kill 99. with a unique formulation that generates a rich lather. and provides hygiene and health for the entire family through a range of products like liquid hand wash and specially designed body wash. Beyond ensuring daily hygiene and freshness. free washing facilities for public use.000 bars of soap to the International Committee of the Red Cross to support the recovery effort. germ-free hands are the key to good health.· Lifebuoy also has a history of helping people maintain hygiene in times of natural disaster. Lifebuoy Hand Soaps offer hospital-strength germ protection. Sri Lanka and Indonesia to help prevent the spread of disease. is non-sticky and has soothing fragrance.  . and infectioncausing germs. This provides an effective and hygienic wash in every corner of the hands and nails. During the 1940 Blitz of London.  Proven to kill H1N1 virus  Dries quickly.Lifebuoy bar soaps support children¶s health and growth by providing extended germ protection for up to 12 hours after a bath thanks to enhanced ingredients. Lifebuoy products also address special needs like anti-acne and skin fortification for an all around cleansing experience.Clean.· Lifebuoy Hand Sanitizer effectively disrupts bacteria¶s cell membrane & virus¶s outer coat thereby kills germs & viruses on your hands. protecting against the three root causes of skin health problems ± clogged pores. Each unit was equipped with showers. at the same time leaving your hands pleasantly fragrant.  Has Moisturizer and Vitamin E to keep your hands soft and smooth . Lifebuoy donated over 200. Lifebuoy bars were sent in relief packages to India. towels and soap. LIFEBUOY PORTFOLIO: Today.  Lifebuoy Body Wash provides deep cleansing of pores. the brand set up mobile.99% germs. over-drying.

and touches the lives of 70 million people in product. they are in a position to ensure cleanliness and hygiene for the entire community. In a very smart TV ad campaign. Thus.¶ LIFEBUOY S MARKET SEGMENTATION AND TARGETING: .000 villages.The brand USP is. the 2002 re-launch targeted Lifebuoy as a soap that brought good health to the entire family). The message put across is that since these children are secure from ailments that are caused by a lack of proper sanitation and hygiene. a soap that is long-lasting. thanks to the fact that they use Lifebuoy. but healthy and productive communities as well.¶ (Of course. A unique feature of this campaign is that it utilizes multiple contacts. as opposed to other programmes which are single contact¶ in nature. children are shown cleaning a street.The µLifebuoy Swasthya Chetana¶ programme uses a µdirect consumer contact¶ methodology.CHAPTER 5 MARKET STRATEGIES FOR LIFEBUOY: Lifebuoy has always been marketed as µa tough cleaning soap for a tough man. Lifebuoy has been seen as a value for. µLifebuoy provides 100% better protection from germs as compared to ordinary soaps. Lifebuoy not only ensures good health and cleanliness for individuals.

but then there comes the competition with the Dettol soap. lifebuoy gained a number of customers with this positioning. This strategy may have boosted short term sales of Lifebuoy but it lost its brand value and credibility in the minds of customers.All this put Lifebuoy out of lime light and to survive in market. most of the people had shifted from lifebuoy because it was low quality and it smelled terribly. LIFEBUOY S REPOSITIONING STRATEGY: Lifebuoy soap is a very old brand of bath soap in India. The advertisement team of Lifebuoy came up with excellent theme ³Healthy Hoga Hindustan´ and it is targeting parents which is their target market. Lifebuoy made very effective ad and it also used fear strategy (which is effective in case of antibacterial soap). but it became more prominent and became effective in 2009. Now a days. . REPOSITIONING CAMPAIGN: The repositioning campaign of Lifebuoy was started at 2008. Lifebuoy positioned itself on price it became low price antibacterial soap. Life Buoy is an anti bacterial soap and in the beginning it positioned itself on its antibacterial qualities. Lifebuoy along with the advertisement has improved its quality and fragrance. as Lifebuoy has improve d its quality all it needed to run an effective advertisement campaign to get the customers attention. Lifebuoy needed to reposition itself on quality rather than price. This has enabled Lifebuoy to get more and more customers.The targeting market for lifebuoy is all households who can afford buying soap and who want to fulfill everyday need that provides them and their family with a 100 anti bacterial solution and complete protection from all germs bacteria and cleanliness from dirt Lifebuoy belief that children are the potential agent for change and imparting education on the importance of hand washing with soap will enable them to adopt early habit in life.

properties. Lifebuoy is running a huge campaign to promote itself which is very necessary in case of repositioning the brand. organizations.With the help of marketing department and advertisement. experiences. this suggest that Lifebuoy is considering India and Pakistan as the similar market segment.Lifebuoy is everywhere in Television. Lifebuoy has successfully repositioned itself as a quality antibacterial soap with better fragrance and more durability. Many companies try to reposition themselves when they see market trend shifting but most fail to do so. services. In case of Lifebuoy it has been successful. Newspapers and Billboards. places. Product Classification · Lifebuoy is a Tangible. Product Life Cycle: Lifebuoy Bar is in the maturity stage of its life cycle. events.Products that are marketed include physical goods. MARKET STRATEGIES: WITH RESPECT TO 4P S: PRODUCT: A product is anything that can be offered to a market to satisfy a need or want. .The interesting thing about this campaign is that Lifebuoy is running the same campaign in Pakistan and in India as is done by Unilever. · Lifebuoy and other soaps fall into the category of Convenience Good. information and ideas. Radio.persons. Non Durable Good on the basis of this classification.

They position their brand for the health conscious people.PRODUCT STRATEGIES: ³Placing a brand in that part of the market where it will have a favorable reception compare with other brands´. PRODUCT DESIGN STRATEGY: Deals with the standardization of the product. PRODUCT SCOPE STRATEGY: Single Brand: Unilever is using single brand strategy when Lifebuoy came in traditional red color and use by lower income group. color and the attributes of the Lifebuoy because want this kind of changes and they do this through environmental scanning.They choose their segment and position their brand according to the needs and wants of the segments. In repositioning they changed the shape. .Unilever position Lifebuoy when come in red colors as a brand of low income group. This segment wants long life of the soap and the chemical formula of Lifebuoy enables it to have long life. Now they are targeting whole India by the advertisement ³Healthy Hoga Hindustan´. Unilever should revise its marketing mix to reposition Lifebuoy. Unilever has to reposition its brand Lifebuoy because the needs and wants of people are changed. Multiple Brands: In order to attain the whole market Unilever has introduced Lifebuoy shampoo to capture more growth and profits. PRODUCT REPOSITIONING STRATEGY: Due to competition. Unilever is using two of product development strategies.

 Restructure a mature market by driving out competitors. advertising. this would require a much more aggressive promotional campaign. Customized product: In case of Lifebuoy shampoo different sizes are available. customers use according to its requirements from 200ml bottle to 5ml sachet pack since there is no one time consumption. this can be achieved by a combination of competitive pricing strategies. PRICING STRATEGIES: Market Penetration: Market penetration is the name given to a growth strategy where the business focuses on selling existing products into existing markets.designed to make the market unattractive for competitors. Market penetration seeks to achieve four main objectives:  Maintain or increase the market share of current products. supported by a pricing strategy.  Secure dominance of growth markets. sales promotion and perhaps more resources dedicated to personal selling.Standard product: Unilever is offering a standard product of Lifebuoy soap and shampoo by standardized packaged product.  Increase usage by existing customers ± for example by introducing loyalty schemes Fast Moving Consumer Goods (FMCG) like lifebuoy shop has to be Some requirements for making an impression in the market for penetrating: 1) Strong distribution channel 2) Minimum profit margin 3) Simple marketing message 4) Lesser-priced packs to increase affordability .

Lifebuoy is promoting its product using these kinds of promotional techniques. Create a central theme. 5. 2. stimulate market demand or improve product availability. wellplanned campaign. The most effective promotional products are used in a cohesive. the strategy revolves around what attracts consumers to a product. the ultimate result to be gained.5) Packaging in smaller units and localized design that attracts consumers. taking into consideration the audience. price or perceived value. 6) Convenience of storage while use 7) Thorough knowledge of the village psyche In brief. Don't pick an item based solely on uniqueness. Sales promotions are non-personal promotional efforts that are designed to have an immediate impact on sales. 3. 6. Select a promotional product that bears a natural relationship to your profession or communications theme.Don't fall prey to the latest trends or fads. of course. Develop a message to support the theme. 1. To realize goals promotional products programs must be carefully planned. budget and. Determine a workable distribution plan to a targeted audience. 4. Define a specific objective. PROMOTIONAL STRATEGIES: Successful promotion campaigns don't happen by chance. Media and non-media marketing communications are employed for a predetermined limited time to increase consumer demand. .

Each intermediary got the items at one pricing point and moves it to the next higher pricing point until it reaches the final buyer also called channel of distribution or marketing channel. y Coupons: coupons have become a standard mechanism for sales promotions. or user and the movement of payment in the opposite direction. The Importance of Distribution: . y Rebates: Consumers are offered money back if the receipt and barcode are mailed to the producer. Chanel of Distribution: A distribution channel can be as short as being direct from the vendor to the consumer or may include several inter-connected (usually independent but mutually dependent)intermediaries such as wholesalers.Consumer sales promotion techniques: The different consumer sales promotion techniques used by Lifebuoy are:y Price deal: A temporary reduction in the price. agents. right up to the original producer or supplier. right up to the final consumer. PLACE DISTRIBUTION STRATEGIES: Movement of goods and services from the source through the distribution channel. Price reduction may be a percentage marked on the package. y Cents-off deal: Offers a brand at a lower price. y Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example. distributors. y Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for delivery. y Contests/sweepstakes/games: The consumer is automatically entered into the event by purchasing the product. retailers. such as happy hour. 25 percent extra).

channel intermediaries reduce the number of transactions by creating assortments . Marketers that distribute products through mass merchandisers such as Wal-Mart will have different pricing objectives and strategies than will those that sell to specialty stores. Others. Whether a company develops or acquires certain new products may depend on how well those products fit the capabilities of its channel members. A distribution channel is a set of Interdependent organizations that help make a product available for use or consumption by the consumer or business user. such as FedEx. Some companies pay too little attention to their distribution channels. motivation. and support its channel partners need.Most producers use intermediaries to bring their products to market they try to develop a Distribution channel to do this. for example. where. This occurs in two ways. A company¶s channel decisions directly affect every other marketing decision. Dell Computer. Functions of Distribution Channels: Distribution channels perform a number of functions that make possible the flow of goods from the producer to the customer. Distribution channels create efficiencies by reducing the number of transactions necessary for goods to flow from many different manufacturers to large numbers of customers. place. Distribution decisions can sometimes give a product a distinct position in the market. Though the type of organization that performs the different functions can vary from channel to channel. The firm¶s sales force and communications decisions depend on how much persuasion. agents. Manufacturers select mass merchandisers to sell mid-price-range products while they distribute top-of-the-line products through high-end department and specialty stores. The first is called breaking bulk. These functions must be handled by someone in the channel. brokers. and in the sizes and quantities that customers want. and ownership utility. They make products available when. or retailers who help move a product from the producer to the consumer or business user. The choice of retailers and other intermediaries is strongly tied to the product itself. Place decisions. Channels provide time. Second. affect pricing. the functions themselves cannot be eliminated. Wholesalers and retailers purchase large quantities of goods from manufacturers but sell only one or a few at a time to many different customers. Channel intermediaries are firms or individuals such as wholesalers. Distribution channels provide a number of logistics or physical distribution functions that increase the efficiency of the flow of goods from producer to customer. training. and Charles Schwab have used imaginative distribution systems to gain a competitive advantage.

Now we want to save the cost of per Tikki soap in Urban areas by reducing intensive approach and turning to a new strategy that a more easily applicable and sensible.The transportation and storage of goods is another type of physical distribution function. According to my sense and survey lifebuoy must go for intensive distribution with wholesaler and retailers in the areas where rate of consumption is usually very greater than that of the other areas where comparatively rate of consumption is not so attractive. Channel intermediaries also perform a number of facilitating functions. Customer services are oftentimes more important in B2B markets in which customers purchase large quantities of higher priced products. medium and even at very small stores(hatti). We have discussed the following diagrammatic distribution method of Unilever for Lifebuoy in the . Intermediaries often provide customer services such as offering credit to buyers and accepting customer returns. Retailers and other channel members move the goods from the production site to other locations where they are held until they are wanted by customers. Lifebuoy is available at every outlet and at every big. Lifebuoy is targeting middle and low income consumers so shelf space is not important our main focus is on intensive distribution and ideal price with some innovation. functions that make the purchase process easier for customers and manufacturers. management uses its own judgment to select such a person that has a potential to operate effectively. Unilever uses an intensive distribution strategy for lifebuoy soap while at the same brand but in shampoos category it introduces only extensive strategy. Unilever should identify its larger. While appointing a distributor for a particular area. SUGGESTED DISTRIBUTION STRATEGY: We have suggested that Unilever for life buoy should introduce a new kind of distribution strategy that will be a strategic fit between its productions to consumptions. medium and small consumption areas and design the channel accordingly.providing a variety of products in one location²so that customers can conveniently buy many different items from one seller at one time. Unilever did not fight for the better shelf space for lifebuoy soap. Existing strategy: Unilever uses a lot of distributors and retailers to supply its products in each market where the final customer might reasonably look for it.

 Lifebuoy soap Improving health & hygiene for over 100 years in Indian and all over world. SUGGESTIONS: I have tried to fully analyze the existing strategies of Lifebuoy. While the selection of channel company considers customer buying patterns and the nature of the market. CHAPTER 6 CONCLUSION: After study the market strategies of HUL for Lifebuoy.  Approx 70% customers have positive and 30% customers have negative attitude in support of preference of Lifebuoy soap and the other products of Lifebuoy. I have reached these following conclusions:  HUL is the market leader in the FMCG sector in India.  Lifebuoy soap brand market leader at Indian Urban and Rural Areas. what I find from this detail analysis are discussed as improved version of Lifebuoy where suggestions are given from our side and what adjustments can be made in the present strategies to . We have eliminated the existence of wholesaler from in the Urban market as of many reasons: It is a lower consumption area for Lifebuoy Warehousing cost can be a big trouble for wholesalers as they did not purchase extra quantity from distributors and company and definitely it increases cost of contacting to wholesaler and managing relationship.both Rural and Urban Market as well.  Most of the customers are satisfied with the performance of Lifebuoy soap and their other products.  Customer's awareness level is better in India.

y In penetrating the market through price. .improve the product performance and overall image of the product in the customer¶s mind. I hope that these suggestions can make a difference in the Lifebuoy by proper implementation and planning. y While deciding about the selection of Channel Company should consider customer buying patterns and the nature of the market. y In promoting the worth of the Lifebuoy. Lifebuoy is lacking in its market geography strategy as it is more common in rural areas of the country where more of the urban citizens keep it as a low level brand. one is to come up with new realistic approaches highlighting the need of an antibacterial soap in most hygienic environment. Unilever has tried to compensate that through promotional program of ³Healthy Hoga India´ but still it needs a strong and continuous commitment to this product. Reckitt Benckiser and Colgate-Palmolive which are a good name of quality. it has to modify its promotional campaigns base on traditional heroism and fantasy. These are some suggestions from our side identified through complete analysis and view of Lifebuoy. Lifebuoy has to compete with brands of P&G. y The major challenge Unilever has to face is its commitment to its old brand of Lifebuoy. y In evaluating the position of the Indian market. Since in rural areas the places are diversified so to improve the distribution there is an inclusion of the whole seller to make the distribution extensive. y Lifebuoy has well repositioned itself but still there is need to change the image that it is a low quality low price product. y A general distribution pattern with distributors and retailers are the agents in the urban areas to remove lag time in delivery of the product. Unilever got a major setback when Reckitt Benckiser introduced Dettol through a heavy media campaign. so accordingly Lifebuoy has to adjust its prices at that level where it creates dominance among the existing brands.

com · Principle of marketing ³Philip kotler´.com · Wikipedia.BIBLIOGRAPHY · · · · Scribd. .com · Marketing teachers .com · Slideshare.


Sign up to vote on this title
UsefulNot useful

Master Your Semester with Scribd & The New York Times

Special offer: Get 4 months of Scribd and The New York Times for just $1.87 per week!

Master Your Semester with a Special Offer from Scribd & The New York Times