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Hindustan Lever Ltd.

IS NOW
Hindustan Unilever Ltd.

VISION

Mr. Douglas Baillie CEO

Mr. Harish Manwani Chairman

INTRO

INTRODUCT ION

India's largest Fast Moving Consumer Goods company with 80

factories across India. In 1931, first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). HUL formed in November 1956; The Anglo-Dutch company Unilever owns a majority stake in Hindustan Unilever Limited. The mission add vitality to life.

Contd..
Sales growth in 2008-09 is 15.5% Operating margin increased by 0.4% from 14% to 14.4% in the year 200809 Gross sales is 21649.51 crores Share price Rs 237.50

PRODUCT SEGMENTATION OF HUL

COMPETITIVE SITUATION OF HUL WITH ITS COMPETITORS


80% 70% 60% 50% 40% 30% 20% 10% 0%
HUL COMPETITOR

PERSONAL WASH BY HUL

HUL is the market leader in the soap segment in India

Competitors of HUL SOAPS Competitors


HUL brands
Lux Rexona Breeze Lifebuoy

brands
Santoor, Chandrika Cinthol, Mysore Sandal Godrej no. 1, Nirma Dettol

Competitors of HUL SOAPS


HUL brands
Competitors brands
Santoor, Camay Margo Pears Dove Hamam

HULs SOAP MARKETSHARE


57% 55% 55% 52%

10%

9%

8%

8%

9% 5%

The HUL Hair Care

Competitors of HUL Hair Care

Sunsilk Clinic Plus Dove

Pantene Head & Shoulders LOreal, Garnier

Welcome to the segment Of HUL Oral Care

Competitors of HUL Oral Care

Pepsodent Close Up

Colgate Meswak Dabur Red Anchor

TOOTHPASTE MARKET SHARE


48% 46% 47%

32% 30% 30%

2%

7 %

7%

8%

HUL COSMETICS

Competitors of HUL Cosmetics

Lakme Ponds

Revlon Maybelline LOreal Nivea Charmise

COMPETITORS
SURF EXCEL: ARIEL WHEEL: NIRMA RIN: TIDE

SWOT ANALYSIS
Strengths:
Strong brand portfolio,price,quantity &

variety. Innovative Aspects. Presence of Established distribution networks in both urban and rural areas. 3400 distributers 16 million outlets over the world. 700 million customer base. Strong R&D of the company Highly skilled human resource.

SWOT Analysis Weaknesses:


Strong Competitors. Low exports level(at present). Changing consumption pattern. High advertising costs.

SWOT Analysis
Opportunities:
Large domestic market over a billion population. Untapped rural market. Changing Lifestyles & Rising income levels, i.e. increasing per capita income of consumers.

SWOT Analysis

Threats:
Tax and regulatory structure.

Mimic of brands Entry of ITC in FMCG sector. Increasing cost of raw material.

STRATEGIC FOCUS OF UNILEVER

Remain in tune with its markets and stays ahead of the competition
25

STRATEGIES FOLLOWED AT HUL


Distribution strategy. Distribution network(direct selling) Brand extension strategy Line extension strategy Repositioning strategy Promotional strategy-ads,(Rs700-800 cr) Segmentation strategy Premium brand Affordable brand Value for money Innovation strategy-introduction of sachet in shampoo Mergers and acquisitions strategy

ARKETING STRATEGIES OF H

STRATE GIES I HAVE

MARKETING STRATEGIES OF HUL FOR URBAN INDIA


Focuses on short supply chain for distribution. To meet the every need of people everywhere. Build segments & market for the future where Unilever has strong expertise. Also uses Direct selling channel, franchisee to reach everyone e.g. Unicare.

MARKETING STRATEGIES OF HUL FOR term benefits, HUL started Project For long RURAL INDIA
Streamline in 1997. Appointed 6000 Sub-stockists that directly covers about 50,000 villages & 250 million customers. Integrate Economic, Environment & Social objectives with Business agenda. Project Shakti, partnership with Self help groups of Rural women & covers 5000 villages in 52 districts in different states.

EVERYDAY I WILL SELL. EVERYDAY I WILL EARN. MONEY. RESPECT

Started in 2001, Shakti is HUL's rural initiative, which targets small villages with population of less than 2000 people or less. micro-enterprise opportunities for rural women Providing health n hygiene education through shaktivani program ishakti portal Shakti has already been extended to about 15 states ,80,000 villages in with 45,000 women entrepreneurs and generating Rs.700-1000 per month to each women.

PORTERS FORCES

PORTERS DIAGRAM

RIVALS
Consumer in this category enjoy multitude of choices. It does not cost anything for a consumer to buy one brand of shampoo instead of another, making the industry quite competitive.

SUPPLIERS
Consumer product faces some amount of supplier power simply because of the cost they incur when switching suppliers Suppliers that do a large amount of business with these companies are also beholden to their customers.

BUYERS(CUSTOMERS)
Consumer faces weak buying power because customers are fragmented and have little influence on price or product. Considering buyer power retailers it is very high since they are able to negotiate the price with the companies.

POTENTIAL ENTRENT
Given the amount of capital investment needed to enter certain segment in house hold consumer products, the threat of new entrant is fairly low. Whether the new entrant can get its products on the shelves of the same retailers as its much larger rivals.

THREAT OF SUBSTITUTE
Within the consumer product industry, brand succeeds in helping to build a competitive advantage, but even the pricing power of the brands can be eroded.

Providing education on health and hygiene Women empowerment Water management Rehabilitation of special or underprivileged children Care for the destitute and HIV-positive Rural development. Plays active role in natural calamities

Corporate social responsibility

STRATEGIES..

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HUL should

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Thank you for your time....

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