Assignment Assessment Report

Campus: Level: Module Name: Students Name: e-mail id & Mob No Stream Sainik Farms Sales Sharib Kausar Year/semester Assignment Type Assessors Name Reqd Submission Date Actual Submission Date Submitted to : 2011 Amit Nagpal

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Certificate by the Student: Plagiarism is a serious College offence. I certify that this is my own work. I have referenced all relevant materials. (Students Name/Signatures) Expected Outcomes Assessment Criteria Grade based on D,M,P,R system Feedback

General Parameters
Clarity Analytical ThinkingResearch DoneFormatting & PresentationClear understanding of the concept Ability to analyze the problem realistically Research carried out to solve the problem Concise& clear thinking along with presentation

Subject Specific Parameters

Clarity Analytical Thinking Understanding of the channels of Sales Ability to analyze the product specifications and the problems .

Grades P M D

Grade Descriptors A Pass grade is achieved by meeting all the requirements defined. Identify & apply strategies/techniques to find appropriate solutions Demonstrate convergent, lateral and creative thinking.

Achieved Yes/No (Y / N)

Assignment Grading Summary (To be filled by the Assessor)

OVERALL ASSESSMENT GRADE: TUTORS COMMENTS ON ASSIGNMENT: SUGGESTED MAKE UP PLAN (applicable in case the student is asked to re-do the assignment) REVISED ASSESSMENT GRADE TUTORS COMMENT ON REVISED WORK (IF ANY) Date: Assessors Name / Signatures:

Assignment on Product wise Selling

1. Study the Case below and answer the following questions: a. What sales methods HUL has adopted for selling Pure It? b. What could be the problems or issues in this sales method? c. What sales method would you suggest to HUL going forward? In 2007 I was doing my MBA and staying in a shared flat with two of my classmates, I used to notice small kiosks near many stations in Mumbai then. All station roads had these small brown colored kiosks with 2 sales people standing beside them. These brown colored kiosks had Hindustan Unilever written on them. It had a container type of equipment. One day I and my friend went to one such kiosk (due to Brand Hindustan Unilever) and asked what was it all about. They told us very professionally about this new Water Purifier from Hindustan Unilever. They kept explaining it and the word Hindustan Unilever was very prominent in their description. I was concerned if it was real or fake because: 1) I had not seen any ad for it very unlikely for a Hindustan Unilever product 2) The perception of HUL was of a typical FMCG company dealing with Soaps, oils etc But a water purifier? The salespersons showed us all sorts of company documents and authorized letters. They also said that Pure it being an unconventional product, HUL is going for Direct Marketing Approach in this case. Then they demonstrated the working of pure it and offered us clear and germ free drinking water from the purifier. No advertising, direct approach to customers! I was impressed. We exchanged numbers and then next day we received a call from them .By evening a guy came to our home for detailed demonstration and we liked it. We ordered one. Next day itself it was installed at our home. It worked well and now I have bought a second one in my new flat where Im staying with my family. Pureit is the water purifier appliance from HUL. Pureit made its test marketing debut in 2005. The brand was initially launched in Chennai. During the test marketing, the result was pretty encouraging and the brand was launched nationally in 2007. The domestic water purifier appliances market is estimated to be Rs 450 crore and is dominated by Aquaguard from Eureka Forbes. This category was not growing very fast because of the high cost of the product. The entry level water purifier was costing anywhere between Rs 5000- Rs10, 000. Pureit is a battery operated purifier made of high-quality plastic and has a storage capacity of 18 litres. The company uses the following differentiation points against the main competitor Aquaguard by claiming that the product works without gas/electricity thus the cost per litre of pure water is very less. More over the brand is priced at a tempting Rs 2000 which makes it the lowest priced purifier compared to Aquaguard or Kent. Pureit is being positioned on the basis of its performance. The brand claims that the water from the purifier is ' as safe as the boiled water'. By claiming that it purifies water as safe as boiling water, Pureit is trying to achieve Points of Parity with Aquaguard and Kent which also claims the same feature. Along with this POP, the brand tries to differentiate on the following points: a. No electricity/gas; b. Cost per litre low; and c. Price of the product is also low

Pureit works on different cleaning layers to ensure purity. There is a fibre mesh layer which removes visible dirt. Next there is a unique carbon trap that filters harmful pesticides and dirt. The next is the USP for Pureit Germ-kill processor which kills all the bacteria and virus. Then there is a polisher which gives clear odorless water and a battery life indicator which tells you when to replace the battery. The product has a capacity of 9 liters in the upper chamber and 9 liters in the transparent chamber. According to the product website, the battery lasts for 1500 liters and the replacement battery costs Rs 250. As and when the battery life indicator button turns red it is understood that the battery is exhausted. Battery must then be replaced immediately. Till the time the battery is replaced, the auto switch off function in-built in the purifier automatically switches off the water supply. This ensures that no one drinks water from it that might not be pure anymore. Pureit is now being promoted through all media. There are ads in local print as well as TV. Being the FMCG major, HLL was able to place the product in most of the supermarkets and key consumer points. The brand uses the tagline " As Safe as Boiled water'. The brand is mainly targeting households (mothers) which have small kids. Apart these common above the line promotions, what has struck me was the below the line promotions that HUL has undertaken for Pureit. A visit to my doctor proved it. There was a product displayed prominently in his clinic with all necessary brochures and inquiry forms. The brand is using the influencing power of the medical fraternity to its advantage. For the doctor, it just means that his patient has access to pure water while waiting but for the brand this small gesture adds lot of authenticity. HUL has done pretty good homework on this product. The brand is available in shops and also sold through direct marketing associates. Although the low price of this product will help it to penetrate many households, there are certain issues also. Pureit is a consumer durable that requires after sales support. When even specialist consumer durable companies are blamed for offering poor after sales support, can an FMCG company deliver efficient customer service? Another issue is the battery. Will HUL be able to offer this spare without delay? It is crucial that the consumer replace the battery at the right time and use this product. A delay in the supply of battery can cause non-usage for Pureit at households thus causing bad word of mouth. May be it is because of this fear that HUL in its website tells the consumers to buy an additional spare battery.

ANSWERS

Answer 1. Pureit is the worlds most advanced in-home water purifier. Pureit, a breakthrough offering of Hindustan Unilever (HUL), provides complete protection from all water-borne diseases, unmatched convenience and affordability. Pureits unique Germ kill Battery technology kills all harmful viruses and bacteria and removes parasites and pesticide impurities, giving you water that is "as safe as boiled water". It assures your family 100% protection from all water-borne diseases like jaundice, diarrhea, typhoid and cholera. Whats more, it doesnt need gas, electricity or continuous tap water supply. Pure it not only renders water micro-biologically safe, but also makes the water clear, odourless and good-tasting. Pureit does not leave any residual chlorine in the output water. The output water from Pureit meets stringent criteria for microbiologically safe drinking water, from one of the toughest regulatory agencies in the USA, EPA (Environmental Protection Agency). The performance of Pureit has also been tested by leading scientific and medical institutions in India and abroad. This patented technological breakthrough has been developed by HUL. This state-of the-art engineering developed by a team of over 100 Indian and international experts from HUL and Unilever Research Centers has made Pureit possible at the consumer price of just Rs. 2000. Pureit runs with a unique Germ kill Battery Kit that typically lasts for 1500 liters* of water. The Germ kill Battery Kit is priced at Rs.365. This means consumers will get 4 litres of water that is as safe as boiled water for just one rupee, which works out to an extremely affordable 24 paise per litre. Pureit in-home purification system uses a 4 stage purification process to deliver as safe as boiled water without the use of electricity and pressurized tap water. These were the key proposes qualities while selling the product (PURE IT). Which ultimately was helpful made pure it quite different from the other products in rest of all purifiers in this class. The sales methods HUL has adopted for selling Pure It were as following:

4 variety available in the market Easy availability nation wide Best quality of used plastic (ABS food grade) Best quality based technological parts used. Designed and developed to provide As safe as Boiled Water Very attractive design in two color ( Royal blue and Burgundy ) Pure it removes visible dirt, kills all harmful viruses and bacteria Removes parasites and pesticide impurities giving you water is as Save as Boiled water Great sensorial- Clear, odor-free water: removes organics, Pesticides, suspended matter (turbidity) Any time, anywhere (portable) performance : works-without electricitywithout piped water Very easy to use Convenience No hassles of boiling, No maintenance costs like Plumbing. Cost- Rs.1 /- for every 4 Liters of water. Top most brand names (Hindustan Unilever Ltd). Quick service (with In 24 hour). Life time free service. 6 month warranty period. Very light weighing water purifier in its class.

Some sampling methods were also helping in the market of Pure It. Which are as : Sampling method:Snow ball sampling has been used for the purpose of those consumers and Prospective customers as it helped in knowing the no. of users of Pureit product and convenient sampling methods was used for distributers in distance place as accessibility had emerged as a problem in some cases.

Sampling unit: - It defines the target population that will sample together for carrying out the analysis. Here it includes different areas and households. Sampling size: - For conducting the study distribution channel system of HUL some region like Vidhayadhar Nagar, Shastri Nagar was selected ( for case of JAIPUR ). Answer b : The basic problem with the sale of pure it water purifiers with reference to customer complaints were that of the battery back up and the battery life and the life of this product Some questions were also put up by the customers in regards to the warranty and the extended warranty of this product. Also some customer did complain against the services of the HUL. This was in fact much delayed and time consuming to the customers of Pure it. Answer c : The strategies can be like: Motivating Sales force Team should have a Fixed pay say Rs. 5000 per month. Salesperson get 100 point on selling each water purifier Hero of The Day (outstanding performer should be rewarded on daily basis). Selling more than 10 water purifiers in a month, a sales executive gets commission of Rs. 150 per water purifier Accumulating more than 5000 point, sales executive gets different gifts.