ALONG THE LINE

FORMED IN 1993

LEADER IN FMCG SECTOR

“MEET THE EVER DAY NEEDS OF PEOPLE”

NAME MATTERS

DIVERSE MANUFACTURING BASE

Business segment
 EVOLUTION
OF
DISTRIBUTION
PHASE1--- WHOLESALERS IN CONTACT

PHASE2---FULFIL THE DESIRES

PHASE3---REDISTRIBUTION STOKISTS REPLACED THE RW

 SALES
AND
DISTRBUTION NETWORKING
6.3 MILLION OUTLETS
35 MAJOR INDIAN BRANDS
20% GROWTH---16660.8 CRORES YOY
CFS STOKISTS RETAIL OUTLETS
STOKISTS
oU1---SURF AND PONDS
oU2---LAKME AND DOVE
Distribution At Villages
 Distribution At
Urban Centers
Distribution of goods:
• From manufacturing site to C&F agent.

Location of the manufacturing site:

• Covers a bigger geographical segment of India.

Transportation of goods to RS’s:

• Based on the local, popular and
• cheap mode of transport.
 Distribution At
The Supermarkets

HUL:
• Set up a full scale sales organization.

 Product tests and in-store sampling provided to consumers.

 Channel Design
Regular Direct Selling
(traditional) Channel under
retail channel HLN
 les (1
Sa (1

em e
nts ) )
Retailers:

o nles
Discounts
Total retailer base in Jamshedpur: Approx imately

(Sch(Scheme
Retailers:
1070.

schemes:
TotalSretailer
ales Margin: Jamshedpur:
base inDepends on theApprox imately
product -

ed o n Sa
h Discou
o Soap, detergents
1070. ‐ 8% on MRP

schemes:
+ Cash
S ales Margin: Depends product -

programs
o Cosmetics ‐ 10%ononthe
M RP

basbased
o Soap, detergents
o Food item s‐ 8%‐ 8%
on M MRP
onRP

% to%4to%)4 %)

programs
o Cosmetics ‐ 10% on M RP

ts + Cas

Incentive
o Food item s‐ 8% on M RP

R s chemes

Incentive
Company
Dis counts
s chemes

Company
Discoun
TPRTP
STRUCTURE
CHANNEL
by HUL
by HULpromoted
other schemes
schemes
Gets cash
other promoted
discoun ts and
cash discoun ts and
GetsWholeseller:
Wholeseller:
 New Initiatives

‘Vijeta- Rishta Jeet Ka’ scheme

Concept of Super Value stores

Unicare scheme

Direct-to-Consumer’ Distribution Project

“Shakti” Project
 Initiatives Taken to Improve
The
Distribution Network
Setting up of a full‐scale sales organization comprising key
account management and activation to impact, fully engage
and service modern retailers as they emerge.

 Servicing Channel partners and customers with continuous

daily replenishment.

 Leveraging scale and building expertise to service Modern

Trade and Rural Markets.

Delaying of sales force to improve response times and service

Levels

Launching the Unicare scheme with up market pharmacies and

retailers to sale its premium brands.

 Launching of several promotional schemes for existing

wholesalers and distributors.
 Field Force Management
In HUL, the field force is evaluated using
QOC (Quality of Contribution). It consists
of 4 components
l 1. Secondary Sale (Max points = 2.5)
l 2. Eco (Max points = 0.5)
l 3. Focus (Max points = 0.5)
l 4. FCS (Max Points = 0.5)
 Non Monetary Methods
Based on the QOC various awards are distributed to the field
persons at the end of every month. These awards are also
known as ‘MOC Star’ awards.

If QOC score > 4.5 - The person is eligible for 7 star award

 If QOC score > 4 - The person is eligible for 5 star award

 If QOC score > 3.5 -The person is eligible for 3 star award
Brand portfolio
Brand ambassadors
John abraham
Preity zinta
Priyanka chopra
Shahrukh khan
Karan johar
Aishwarya rai
 ranking
Global ranking#4
Rank in asia#1
Rank in india1
 INDUSTRY OVERVIEW
• TURN OVER
2961

690

503
396
320 314

UNILIVER NESTLE BRITANIA DABUR MARICO P&G

Analytical Framework
 No of Consumers
 Geographic Dispersion Of Consumers
 Frequency of purchase
 Level of Familiarity/Knowledge (of consume
 Degree of brand loyalty
 level of Involvement(LOI)
 Purchased as a Basket of Goods
 Speed & complexity of
 Decision making process
 OTHER FACTORS
 present of Expert influencer in the decision making process

 Element of risk aversion exists

 Perish ability of the product

 Time band associated with the purchase of the product

 Fungibility

 Degree of customization possible

 Financial Analysis
Marketing Expenses
As stated earlier also, marketing expenses here include the following:-

 Commissions
 Rebates
 Discounts
 Sales promotional
 Expenses on direct selling agents
 Entertainment expenses etc.

Distribution Expenses
Distribution expenses include the outward freight Cost to the company
 ITS DESTINY
 Focus on growing ahead of the market by leading market development
activities

 Grow a profitable foods business by leading market development in the

category

 Grow the bottom-line ahead of top line

 Manage Cost pressure effectively to improve margins

 Strong commitment to sustainable development

 yo u
han k
T
Presented by:-
Sushant
Amir shafiq