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INCORPORATED: 1933
MANAGERS.
UNILEVER GROUP.
2
CHAPTER-1
3
INTRODUCTION
Its products include foods, beverages, cleaning agents and personal care
products.
As per Nielsen market research data, two out of three Indians use HUL products.
Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods
company with a heritage of over 80 years in India. On any given day, nine out of ten
Indian households use our products to feel good, look good and get more out of life –
giving us a unique opportunity to build a brighter future.
HUL works to create a better future every day and helps people feel good, look good and
get more out of life with brands and services that are good for them and good for others.
4
The Company has about 18,000 employees and has sales of INR 37660 crores (financial
year 2018-19). HUL is a subsidiary of Unilever, one of the world’s leading suppliers of
Food, Home Care, Personal Care and Refreshment products with sales in over 190
countries and an annual sales turnover of €51 billion in 2018. Unilever has over 67%
shareholding in HUL
5
Hindustan Unilever – 75 year history
In the summer of 1888, visitors to the Kolkata harbour noticed crates full of
Sunlightsoap bars, embossed with the words "Made in England by Lever Brothers".
With it, began an era of marketing branded Fast Moving Consumer Goods (FMCG).
Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux and
Vim.Vanaspati was launched in 1918 and the famous Dalda brand came to the market in
1937.
In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing
Company, followed by Lever Brothers India Limited (1933) and United Traders Limited
(1935). These three companies merged to form HUL in November 1956; HUL offered
10% of its equity to the Indian public, being the first among the foreign subsidiaries to
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do so. Unilever now holds 67.25% equity in the company. The rest of the shareholding is
distributed among about three lakh individual shareholders and financial institutions.
The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the
company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India
Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an
international acquisition. The erstwhile Lipton's links with India were forged in 1898.
Unilever acquired Lipton in 1972, and in 1977 Lipton Tea (India) Limited was
incorporated.
Pond's (India) Limited had been present in India since 1947. It joined the Unilever fold
through an international acquisition of Chesebrough Pond's USA in 1986.
Since the very early years, HUL has vigorously responded to the stimulus of economic
growth. The growth process has been accompanied by judicious diversification, always
in line with Indian opinions and aspirations.
The liberalisation of the Indian economy, started in 1991, clearly marked an inflexion in
HUL's and the Group's growth curve. Removal of the regulatory framework allowed the
company to explore every single product and opportunity segment, without any
constraints on production capacity.
its brands to HUL and divested its 50% stake in the joint venture to the company.
HUL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in
1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex Sanitary
Pads. HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited (UNL), and its
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factory represents the largest manufacturing investment in the Himalayan kingdom. The
UNL factorymanufactures HUL's products like Soaps, Detergents and Personal Products
both for the domestic market and exports to India.
The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the
Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired Kothari
General Foods, with significant interests in Instant Coffee. In 1993, it acquired the
Kissan business from the UB Group and the Dollops Icecream business from Cadbury
India.
As a measure of backward integration, Tea Estates and Doom Dooma, two plantation
companies of Unilever, were merged with Brooke Bond. Then in 1994, Brooke Bond
India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL),
enabling greater focus and ensuring synergy in the traditional Beverages business. 1994
witnessed BBLIL launching the Wall's range of Frozen Desserts. By the end of the year,
the company entered into a strategic alliance with the KwalityIcecream Group families
and in 1995 the Milkfood 100% Icecream marketing and distribution rights too were
acquired.
Finally, BBLIL merged with HUL, with effect from January 1, 1996. The internal
restructuring culminated in the merger of Pond's (India) Limited (PIL) with HUL in
1998. The two companies had significant overlaps in Personal Products, Speciality
Chemicals and Exports businesses, besides a common distribution system since 1993 for
Personal Products. The two also had a common management pool and a technology
base. The amalgamation was done to ensure for the Group, benefits from scale
economies both in domestic and export markets and enable it to fund investments
required for aggressively building new categories.
In January 2000, in a historic step, the government decided to award 74 per cent equity
in Modern Foods to HUL, thereby beginning the divestment of government equity in
public sector undertakings (PSU) to private sector partners. HUL's entry into Bread is a
strategic extension of the company's wheat business. In 2002, HUL acquired the
government's remaining stake in Modern Foods.
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In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the
Amalgam Group of Companies, a leader in value added Marine Products exports.
HUL launched a slew of new business initiatives in the early part of 2000’s. Project
Shakti was started in 2001. It is a rural initiative that targets small villages populated by
less than 5000 individuals. It is a unique win-win initiative that catalyses rural affluence
even as it benefits business. Currently, there are over 45,000 Shakti entrepreneurs
covering over 100,000 villages across 15 states and reaching to over 3 million homes.
In 2002, HUL made its foray into Ayurvedic health & beauty centre category with the
Ayush product range and Ayush Therapy Centres. Hindustan Unilever Network, Direct
to home business was launched in 2003 and this was followed by the launch of ‘Pureit’
water purifier in 2004.
In 2007, the Company name was formally changed to Hindustan Unilever Limited after
receiving the approval of share holders during the 74th AGM on 18 May 2007. Brooke
Bond and Surf Excel breached the theRs 1,000 crore sales mark the same year followed
by Wheel which crossed the Rs.2,000crore sales milestone in 2008.
On 15th November, 2010, the Unilever Sustainable Living Plan was officially launched
in India at New Delhi.
In March, 2012 HUL’s state of the art Learning Centre was inaugurated at the Hindustan
Unilever campus at Andheri, Mumbai.
In April, 2012, the Customer Insight & Innovation Centre (CiiC) was inaugurated at the
Hindustan Unilever campus at Andheri, Mumbai
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In 2013, HUL launched ‘Prabhat’ (Dawn) - a Unilever Sustainable Living Plan (USLP)
linked program to engage with and contribute to the development of local communities
around its manufacturing sites. Also, Unilever’s first aerosol plant in Asia was
inaugurated in Khamgaon, Maharashtra in 2013.
In 2014, The ‘Winning in Many Indias’ operating framework, piloted in 2013, launched
nationally. Sales offices expanded from four to seven with the launch of offices in
Lucknow, Indore and Bangalore in addition to the existing sales offices in Delhi,
Kolkata, Mumbai and Chennai.
In 2016, HUL unveiled ‘Suvidha’ a first-of-its-kind urban water, hygiene and sanitation
community centre in Azad Nagar, Ghatkopar, one of the largest slums in Mumbai.
In 2018, HUL signed an agreement with Vijaykant Dairy and Food Products Limited
(VDFPL) and its group company to acquire its ice cream and frozen desserts business
consisting of its flagship brand ‘Adityaa Milk’ and front end distribution network across
geographies.
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Logo of HUL
Hindustan Lever Ltd has obtained approval from the Hindustan Lever Ltd’s (HLL’s) change
of name to Hindustan Unilever Ltd (HUL) has been made official. The company has released a
new brand identity and a new logo
government to change the company name to Hindustan Unilever Ltd (HUL), the
company said in a statement on Monday.
According to the release, the government has approved the company’s new corporate
identity represented by a new logo and the new name, Hindustan Unilever Ltd. The
shareholders of the company had earlier approved the proposal for change of name at the
company’s 74th annual general meeting on May 18, 2007.
The new logo is symbolic of the company’s mission of ‘Adding Vitality to Life’. The
HUL website explains the concept as an effort to meet everyday needs for nutrition,
hygiene and personal care with brands that help people look good, feel good and get
more out of life. All the 25 different icons representing the organisation, its brands and
the idea of vitality are represented in the logo.
Basically, the new logo has borrowed the ‘U’ symbol (loaded with 25 different vitality
icons) from the Unilever basket and gelled it with the ‘Hindustan Unilever Ltd’ brand
identity (see image).
HUL believes that the new name provides a balance between maintaining the heritage of
the company and the synergies of global alignment with the corporate name of Unilever.
The new name retains Hindustan as the first word to reflect the company’s continued
commitment to the local economy, consumers, partners and employees.
Says Doug Baillie, CEO, HUL, “Our mission is full of promise for the future, opening
up exciting opportunities where we have competitive advantage for developing our
business and our new identity will help us confidently position ourselves in every aspect
of our business.”
The official brand change didn’t have a positive effect on HUL’s stock price in a flat
market. The company’s stock ended in the red on the National Stock Exchange, dipping
1.64 per cent to Rs. 20 on Monday.
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Unilever icons explained
“Unilever, the Anglo Dutch company with a portfolio of well-known brands within
nutrition, hygiene, and personal care. They appointed Wolff Olins to help create a new
brand for the company, clearly expressing it’s vitality mission.”
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Unilever icons explained
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Images from Unilever.
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MISSION OF COMPANY
Unilever's mission
Is
Our mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene and
personal care with brands that help people feel good, look good and get more out of life.
Purpose of mission
Our deep roots in local cultures and markets around the world give us our strong
relationship with consumers and are the foundation for our future growth. We will bring
our wealth of knowledge and international expertise to the service of local consumers - a
truly multi-local multinational.
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To succeed also requires, we believe, the highest standards of corporate behaviour
towards everyone we work with, the communities we touch, and the environment on
which we have an impact.
This is our road to sustainable, profitable growth, creating long-term value for our
shareholders, our people, and our business partners.
Priorities of HUL
Our first priority is to be a successful business and that means investing for growth and
balancing short term and long term interests. It also means caring about our consumers,
employees and shareholders, our business partners and the world in which we live.
HUL has earned a reputation for conducting its business with integrity and with respect
for all those whom our activities affect. This reputation is an asset, just as valuable as
our people and brands.
We therefore want this Code to be more than a collection of high sounding statements. It
must have practical value in our day-to-day business lives and each one of us must
follow these principles in the spirit and the letter.
We conduct our operations with honesty, integrity and openness, and with respect for the
human rights and interests of our employees.
We shall similarly respect the legitimate interests of those with whom we have
relationships.
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VISION OF HUL
Purpose of vision
Our business has always been driven by a sense of purpose, a thread that connects us to
our founding companies and their social missions to improve health, hygiene and
livelihoods in their communities.
We continue to believe that business must make a positive contribution to addressing the
challenges the world faces and that this is the only way a business will succeed. In 2009,
we launched The Compass – our strategy for sustainable growth, setting out our
determination to build a sustainable business for the long term.
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PRODUCT RANGE OF THE COMPANY
soaps, tea, detergents and shampoos amongst others with over 700 million Indian
consumers using its products
include:
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FOOD AND DRINK BRAND
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PERSONAL CARE BRAND
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HOMECARE BRANDS
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WATER PURIFIER BRAND
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SUSTAINABLE LIVING
Help more than one billion people improve their health and well-being
Women empowerment
Water management
Rural development.
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WINNING WITH BRANDS AND INNOVATION
Consumers are at the heart of our HUL value creation model and strategy. HUL meet the
needs of HUL’s consumers through our three divisions spanning 40 brands, most of
which are household names
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ORGANISATION STRUCTURE
BOARD OF DIRECTORS:
Mr. SrinivasPhatak
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Mr. DevBajpai
Independent Director
Mr. S. Ramadorai
Independent Director
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IndepMr. O. P. Bhatt
Indendent Director
Dr. SanjivMisra
Independent Director
Ms. KalpanaMorparia
Independent Director
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Mr. Leo Puri
Independent Director
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STRATEGY OF HUL
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PROJECT SHAKTI
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VALUE CREATION MODEL
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PERFORMANCE.
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CHAPTER-2
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MARKET SHARE & POSITION OF THE COMPANY IN THE
INDUSTRY
MARKET SHARE
At 01:07 PM, Nifty FMCG index, the largest gainer among sector indices, was up 1.4%
at 29,642, as compared to a 0.15% rise in the Nifty 50 index. From its recent low on
October 10, the FMCG index outperformed the market by gaining 9%, against 2.3% rise
in the benchmark index.
Between September and October 10, the index had corrected 18% from its high level of
32,911 on concerns of high valuations. In comparison, the benchmark index was down
12% during the same period.
HUL was up 4% to Rs 1,740, surging 12% in past one month. The stock of FMCG major
is 4% away from its all-time high level of Rs 1,808 touched on August 20, 2018, on the
BSE.
HUL is the largest FMCG company in India, operating across a host of categories in
home care, personal care and foods. HUL’s continued proactive approach toward
product innovation and distribution enhancement provides a more sustainable
competitive edge over peers
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JP Morgan has ‘overweight’ rating on HUL with a target price of Rs 1,750 as brokerage
firm believes premium valuations will be sustained on expectations of better volume
growth/margin delivery versus peers.
“We believe a gradual recovery is underway as rural demand stabilises and benefits from
lower GST rates (price reduction/grammage increase) start flowing through. Margin
tailwinds remain, given mix improvement, manageable input cost inflation, judicious
pricing, GST benefits, rational competitive spends and significant cost control
measures,” JP Morgan said in a report dated October 13, 2018.
As regards to Dabur India, the brokerage firm said it is not overly worried on the margin
front as recent correction in crude prices (packaging costs account for around 30% of
COGS) coupled with selective price hike/scale back of promotions, volume leverage
should keep overall margin erosion risk under check despite subdued performance of the
Middle East and North Africa (MENA).
“Rising consumer bias toward naturals/herbal products and improving rural consumption
trends are key tailwinds. Two key priorities for the immediate term are creating a new
cluster-based framework to have localized growth strategies and embarking on channel-
based product development. Overseas performance should improve (off a low base),
aided by stabilizing MENA and Namaste operations and receding currency headwinds.
Margins should hold out well (despite higher A&P spends and RM inflation), driven by
judicious pricing, mix and cost focus,’ the brokerage firm said with 12-month target
price on the stock of Rs 445.
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MAJOR COMPETITORS
Unilever Competitors
Marico.
Johnson &johnson
L'Oréal.
Nirma Ltd.
ITC Limited.
Colgate-Palmolive.
Procter and Gamble.
Dabur India.
godrej
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MAJOR STRATEGIES OF ALL PLAYERS AND COMPETITIVE
ADVANTAGE
With such a large number of household brands under each product categories whether it
is home care, food & refreshments, personal care and toiletries HUL are leading in
the markets it is present into which is helping the brand in achieving consistent,
competitive and profitable growth.
Operating in length and breadth of the country with large SKU’s (stock keeping unit) to
serve each and every segment of the society has helped the company to emerge as a
biggest FMCG player in India.
It uses differentiating targeting strategies to make the products available to the customer
accordingly as per their choice.
HUL has a large number of brands in its brand portfolio and it positions the brands on
benefit and usage based positioning strategies.
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Competitive advantage in the Marketing strategy of HUL –
Brand Visibility: With more than 35 brands across the different segments such as oral
care, personal care, home care, toiletries, packaged foods and many other is helping the
company in achieving high shelf space in the shops of the retailers which results into
high brand awareness and high visibility.
Financial strong position parent company: Unilever itself being a strong financial
company have 67% share in Hindustan Unilever Co. Ltd.
Strong Product line: It offers product categories namely oral care, personal care,
household surface, fabric care and pet nutrition etc. having deep assortments across the
product categories.
HUL works on go-to-market strategies to reach out each and every part of the country
with its varied types of a distribution channel. By closely working with 2700+
redistribution stockists and shoppers every day to maximise their sales HUL makes sure
that whether it is a small Kirana store or drug store or pops and mums store at a distant
location their product should reach to all these locations on time every time.
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Brand equity in the Marketing strategy of HUL –
With such high TOMA (top of mind awareness) and working closely with the
distributors to reach out to a diverse group of customers through multiple channels, HUL
has emerged as a front-runner in the FMCG industry in India.
Engaging with the communities through different mediums like social and digital
platforms has helped the company in becoming most favoured FMCG Company in
India. Many brands of HUL have been in the list of Brand Equity’s most trusted brands
Having large number brands with deep assortments has helped the company in achieving
a high share of wallet of the customers. Distribution is one of the critical instruments in
the success of the FMCG players in a country like India and HUL through its robust &
innovative distribution model such as Shakti Amma and many others have been
successful in making the products available to the customers through different mediums.
In the FMCG market, it competes with local and MNC players such as P & G, Godrej,
Reckitt Benckiser and many others.
The FMCG market is overcrowded with local national and international MNCs who are
eating up each other’s market share but the main issue is to tap the vast potential of the
rural market which is still is in the growth stage and is not have the accessibility of
various products and services.
The high infrastructure investment in setting up of the FMCG Company in itself is the
entry and exit barrier to the industry. Many FMCG company outsource the products
from the local manufacturers as per the standards set by the FMCG company and
confidentiality agreement which helps the FMCG Company in minimising the
operational cost.
43
Customer analysis in the Marketing strategy of HUL –
The customer of HUL ranges from a newborn baby to the senior citizens. It has products
for every section of the society.
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CHAPTER-3
45
PESTLE ANALYSIS
As a firm with strong international ties, it means they must abide by many laws. They
have consumers all over the world and must develop products to meet their orders —
even if said demands are waning.
This PESTLE analysis examines complications the company faces and the many
external factors Unilever must abide by.
Restrictions regarding imports, exports, or trade laws could hinder the success of
Unilever going forward.
As a firm with strong international ties, it means they must abide by many laws. They
have consumers all over the world and must develop products to meet their orders —
even if said demands are waning.
46
ECONOMIC FACTORS: COMPETITION IS READY
The state of the economy means consumers are less likely to buy expensive products.
Cheaper, quality goods are in demand. Companies are rising to compete against Unilever
in the EU, particularly in locations like France.
Consumers directly affect the products Unilever supplies. If the products aren’t in
demand, Unilever’s cash flow and profits will be negatively affected. Luckily, since
Unilever is in various markets if one suffers, another one may prosper.
Unfortunately, that means they’re at the mercy of inflation and consumer whims.
With so many brands, Unilever has decided to focus on developing a strong reputation.
They emphasize issues related to social and environmental factors. Considering many of
Unilever’s products focus on personal care and well-being, the company expresses a
strong desire to help people feel and look good, while also living the life they deserve.
Even their marketing, particularly with Dove, focuses on helping women feel their best
from the inside out.
Unilever is consistently producing new products and selling them online in their
respective brand’s locations. The company emphasizes developing its digital marketing
and selling methods.
Unilever also has a higher level of automation, especially compared to its competitors;
allowing to supply products to store locations quickly. Otherwise, they may see negative
cash flow, profit, or a hit to their reputation that they’ve spent so much time and funds
on.
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LEGAL FACTORS: IT NEVER ENDS
As a consumer goods company, Unilever is subjected to many laws and legalities. They
own over 400 brands in food, health, personal care and several other industries.
Each brand and location of stores are subject to follow copyright, product safety, laws
regarding health and safety of employees, and taxes — international and regional.
Unilever promotes sustainable and renewable resources. Their products are designed to
be safe for consumers in every location they distribute. The materials are eco-friendly,
from packaging to design.
They want to be seen as an environmentally friendly organization and have worked for
nearly the last decade to do so.
IN CONCLUSION…
Unilever abides by many laws and regulations from countries all over the globe. They
are big on positive image, helping consumers live better lives, and meeting demands for
products.
However, consumers are on the lookout for cheaper products, and the competition
knows.
Additionally, Unilever dedicates resources to being eco-friendly and utilizes their power
to adapt to automated technology so they can send products out faster than the
competition.
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CHAPTER-4
49
SWOT ANALYSIS
1) Brand visibility – From soap to mineral water, HUL is shaping the life of 1.3
billion people daily. Being in consumer goods market with its 20 consumer categories
such as soap, tea, detergents, shampoo etc. & each having large assortments, helped
HUL in occupying the large shelf space of Grocery /departmental stores which itself
explains the acceptance/demand of their products in the market.
2) Market leader in consumer goods: According to Nielsen data 2 out of three Indian
consumers use HUL products. HUL used selective targeting strategy to emerge as a
market leader in the Indian market.
4) Extensive & integrated distribution system: HUL’s brands are now household
name which is only possible due to its 4 tier distribution system namely
50
5) High Brand awareness: By signing popular celebrities for the advertisements of their
products HUL has created positive word of mouth over the ages which helped them in
social acceptance of their products intelligently targeted & meant for different income
groups.
6) Product line: It offers product categories namely oral care, personal care, household
surface, fabric care and pet nutrition etc. having deep assortments across the product
categories.
7) Financial position: Having more than 80 years of experience in the consumer goods
market & backed by Unilever who owns 67% controlling share in HUL, It is financially
strong.
8) Market share: Through high penetration in the market, HUL had managed to hold
their high market share in different product categories.
9) Share of Wallet: Whether one buys surf /wheel /Rin detergent it will go to HUL’s
pockets. HUL strategy to offer different products for different income groups (selective
targeting) has been successful in having share of wallet of a consumer.
51
Opportunities in the SWOT analysis of Hindustan Unilever ( HUL )
1) Expanding market: By penetrating more in the rural markets through its project
Shakti AMMA and transition of unorganized business to organized one will lead to
further expansion of the consumer goods market.
2) Awareness in usage rate of consumer goods: People getting more aware and
conscious about the usage may be through advertising /word of mouth /doctor
prescription ,is resulting in increase in usage rate of the these products.
3) Increasing Income levels: Due to stable political scenario, improved literacy rate &
controlled inflation, disposable income of the people is increasing thereby resulting into
upsurge in demand & changing their lifestyle.
1) Competition in the market: With increasing number of local & national players it’s
becoming very hard for the companies to differentiate themselves from others. There is
also threat from counterfeit products destroying its brand image in the market.
3) Buyers power: With highly diversified consumer goods market where there are lots
of brands claiming different sorts of benefits, it’s very difficult for consumers to stick to
a particular brand & hence results into brand switching where consumer got power to
select a brand based on several factors like availability, reference group
recommendation, preference & price.
52
CHAPTER-5
53
FINDING
Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods
company with a heritage of over 80 years in India. On any given day, nine out of ten
Indian households use our products to feel good, look good and get more out of life –
giving us a unique opportunity to build a brighter future.
HUL works to create a better future every day and helps people feel good, look good and
get more out of life with brands and services that are good for them and good for others.
The Company has about 18,000 employees and has sales of INR 37660 crores (financial
year 2018-19). HUL is a subsidiary of Unilever, one of the world’s leading suppliers of
Food, Home Care, Personal Care and Refreshment products with sales in over 190
countries and an annual sales turnover of €51 billion in 2018. Unilever has over 67%
shareholding in HUL.
As a firm with strong international ties, it means they must abide by many laws. They
have consumers all over the world and must develop products to meet their orders —
even if said demands are waning.
54
Strengths in the SWOT analysis of Hindustan Unilever ( HUL )
1) Brand visibility – From soap to mineral water, HUL is shaping the life of 1.3
billion people daily. Being in consumer goods market with its 20 consumer categories
such as soap, tea, detergents, shampoo etc. & each having large assortments, helped
HUL in occupying the large shelf space of Grocery /departmental stores which itself
explains the acceptance/demand of their products in the market.
2) Market leader in consumer goods: According to Nielsen data 2 out of three Indian
consumers use HUL products. HUL used selective targeting strategy to emerge as a
market leader in the Indian market.
4) Extensive & integrated distribution system: HUL’s brands are now household
name which is only possible due to its 4 tier distribution system namely
5) High Brand awareness: By signing popular celebrities for the advertisements of their
products HUL has created positive word of mouth over the ages which helped them in
55
social acceptance of their products intelligently targeted & meant for different income
groups.
6) Product line: It offers product categories namely oral care, personal care, household
surface, fabric care and pet nutrition etc. having deep assortments across the product
categories.
7) Financial position: Having more than 80 years of experience in the consumer goods
market & backed by Unilever who owns 67% controlling share in HUL, It is financially
strong.
8) Market share: Through high penetration in the market, HUL had managed to hold
their high market share in different product categories.
9) Share of Wallet: Whether one buys surf /wheel /Rin detergent it will go to HUL’s
pockets. HUL strategy to offer different products for different income groups (selective
targeting) has been successful in having share of wallet of a consumer.
1) Expanding market: By penetrating more in the rural markets through its project
Shakti AMMA and transition of unorganized business to organized one will lead to
further expansion of the consumer goods market.
56
2) Awareness in usage rate of consumer goods: People getting more aware and
conscious about the usage may be through advertising /word of mouth /doctor
prescription ,is resulting in increase in usage rate of the these products.
3) Increasing Income levels: Due to stable political scenario, improved literacy rate &
controlled inflation, disposable income of the people is increasing thereby resulting into
upsurge in demand & changing their lifestyle.
1) Competition in the market: With increasing number of local & national players it’s
becoming very hard for the companies to differentiate themselves from others. There is
also threat from counterfeit products destroying its brand image in the market.
57
CHAPTER-6
58
RECOMMENDATION
HUL is certainly the market leader in FMCG sector but there are few
recommendation
HUL keeps a track of new products and promotion schemes of other firms
and design policies accordingly.
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CHAPTER-7
60
REFERANCE
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