Changing lives in rural India

000 permanent employees – 200.000 indirect jobs .Unilever in India • Unilever has been in India since 1895 • Hindustan Lever formally incorporated in 1956 – A subsidiary of Unilever (51.5%) – Most sought after recruiter among India’s B schools • Source of employment – 15.

Unilever • One of the largest consumer goods companies in the world • Global. regional and local brands • 223 000 employees world-wide • Brands on sale in 151 countries • € 65.3 million spent on community projects in 2003 (1.7% pre-tax profits) .

Vision 2011 100.000 villages 600 million Consumers Shakti shall reach every home in every village.000 Entrepreneurs 500. create sustainable livelihood opportunities. and enhance the quality of life in rural India .

HUL & RURAL DEVELOPMENT • HUL linked the company’s core business with rural development initiatives as it is mutually beneficial to both the society at large and for the company. • It has already touched 84.6 million people in approximately 43890 villages of 8 states. . • Rural sales contribute around 40% to HLL’s overall sales • HUL has been proactively engaged in rural development since 1976 with the initiation of the Integrated Rural Development Programme in Uttar Pradesh.

Introduction • Hindustan Unilever Limited (HUL) to tap this market conceived of Project Shakti. This project was started in 2001 with the aim of increasing the company’s rural distribution reach as well as providing rural women with income-generating opportunities. . This is a case where the social goals are helping achieve business goals.

The representative of the company meets the panchayat and the village head and identify the woman who they believe will be suitable as a SA. On an average a Shakti Amma makes a 10% margin on the products she sells. The products are then sold door-to-door or through petty shops at home.• The recruitment of a Shakti Entrepreneur or Shakti Amma (SA) begins with the executives of HUL identifying the uncovered village.000 as investment which is used to buy products for selling. . After training she is asked to put up Rs 20.

Objective • The Shakti entrepreneur program creates livelihood opportunities for underprivileged rural women. . • The Shakti Vani program works to improve the quality of life in rural India. • They are also studying the consumption habits of the rural people. by spreading awareness of best practices in health and hygiene.

Hand-wash demo in schools .

Shakti Activities Free Health Camps in Shakti Village .

Free Dental Camps in Shakti Villages .

HOW IT WORKS • Villages with a population of about 2000–3000 are selected • Personnel from HUL approach SHGs • Selection of the Shakti Amma • HUL vouches for Shakti Ammas with banks for credit • one Shakti entrepreneur is appointed for one village & Villages that are about 2 kilometres apart from her village (satellite villages ). .

Clinic Plus. 15. Ponds. • The Shakti dealer organizes. Wheel. Nihar and 3 Roses tea. Pepsodent. a ‘‘Shakti Day’’ in the village (display of products & free gifts ) • Core Brands: Lifebuoy. Lux.• The Shakti dealer places initial orders worth Rs. .000/(principal customer of HUL) • Finance : Self+SHG+micro credit • Training by the Rural sales promoter. Annapurna salt.

5. Pepsodent toothpaste at Rs. Pond's Talc at Rs. Brooke Bond Taaza tea at Rs. Lux at Rs.5.5.50. Lifebuoy at Rs. Pond's Cold Cream at Rs.1.2. 5.PRICING AND PACKAGING • • • • • • • • • • • Rural consumers are price sensitive Sachets and small packs of premium products.5 per sachet. Fair & Lovely Skin Cream at Rs.5. . Price doesn’t exceed Rs.5. Surf Excel sachet at Rs.

000/month. 15. • profit .Distribution It is the combination of the 3 ways: • Door to door selling (11% margin on sales) • Sells from own home (11% margin on sales) • Retailers (3% margin) • averages sales : • Rs. 10.000 .000 per month .Rs.Rs.1.

. insurance companies for LIC policies. • Nippo. TVS Motor for mopeds.Future plans • Project Shakti plans to extend to the states of West Bengal. Punjab and Rajasthan. • Partnership with other non-competitor companies to sell their products through the Shakti network.

• it creates a win-win partnership between HUL and the rural consumers for mutual benefit and growth.CONCLUSION • Project Shakti is enabling families to live with dignity and in better health & hygiene. education of the children and an overall betterment in living standards. .

Thank You .