INTRODUCTION

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians with over 20distinct categories in Home & Personal Care Products and Foods & Beverages.The company¶s Turnover is Rs. 20, 239 crores (for the 15 month period ± January1, 2008 to March 31, 2009).Hindustan unilever limited is a subsidiary of Unilever, one of the world’s leading suppliers of fast moving consumer goods with strong local roots in more than 100countries across the globe with annual sales of ¼40.5 billion in 2008. Unilever hasabout 52% shareholding in HUL. Hindustan Unilever was recently rated among thetop four companies globally in the list of ³Global Top Companies for Leaders´ bya study sponsored by Hewitt Associates, in partnership with Fortune magazine andthe RBL Group. The company was ranked number one in the Asia-Pacific regionand in India.The mission that inspires HUL's more than 15,000 employees, including over 1,400 managers, is to ³add vitality to life". The company meets everyday needs for nutrition, hygiene, and personal care, with brands that help people feel good, look good and get more out of life. It is a mission HUL shares with its parent company,Unilever, which holds about 52 % of the equity.

Heritage

 

HUL’s heritage dates back to 1888, when the first Unilever product, Sunlight, was introduced in India. Local manufacturing began in the 1930s with the establishment of subsidiary companies. They merged in 1956 to form Hindustan Lever Limited (The company was renamed Hindustan Unilever Limited on June25, 2007). The company created history when it offered equity to Indian shareholders, becoming the first foreign subsidiary company to do so. Today, the company has more than three lakh resident shareholders

HUL¶s brands -- like Lifebuoy, Lux, Surf Excel, Rin, Wheel, Fair & Lovely,Sunsilk, Clinic, Close-up, Pepsodent, Lakme, Brooke Bond, Kissan, Knorr,Annapurna, Kwality-Walls - are household names across the country and spanmany categories - soaps, detergents, personal products, tea, coffee, branded

staples,ice cream and culinary products. They are manufactured in over 35 factories,several of them in backward areas of the country. The operations involve over 2,000 suppliers and associates. HUL's distribution network covers 6.3 million retailoutlets including direct reach to over 1 million.HUL has traditionally been a company, which incorporates latest technology in allits operations. The Hindustan Lever Research Centre (now Hindustan Unilever Research Centre) was set up in 1958

Doing      well      by doing      good   

HUL believes that an organisation¶s worth is also in the service it renders to thecommunity. HUL focuses on hygiene, nutrition, enhancement of livelihoods,reduction of greenhouse gases and water footprint.It is also involved in educationand rehabilitation of special or underprivileged children, care for the destitute andHIV-positive, and rural development. HUL has also responded in case of nationalcalamities / adversities and contributes through various welfare measures, mostrecent being the relief and rehabilitation of the people affected by the Tsunamidisaster, in India.HUL¶s Project Shakti is a rural initiative that targets small villages populated byless than 5000 individuals. Through Shakti, HUL is creating micro-enterpriseopportunities for rural women, thereby improving their livelihood and the standard of living in rural communities. Shakti also provides health and hygiene educationthrough the Shakti Vani programme.The program now covers 15 states in Indiaand has over 45,000 women entrepreneurs in its fold, reaching out to 100,000villages and directly reaching to over three million rural consumers.HUL also runs a rural health programme, Lifebuoy Swasthya Chetana. The programme endeavours to induce adoption of hygienic practices among ruralIndians and aims to bring down the incidence of diarrhoea. It has already touched120 million people in approximately 50, 676 villages across India

If Hindustan Unilever straddles the Indian corporate world, it is because of beingsingle-minded in identifying itself with Indian aspirations and needs in every walk of life.

History of HUL

In the summer of 1888, visitors to the Kolkata harbour noticed crates full of Sunlight soap bars, embossed with the words "Made inEngland by Lever Brothers". With it, began an era of marketing

branded FastMoving Consumer Goods (FMCG).Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux andVim. Vanaspati was launched in 1918 and the famous Dalda brand came to themarket in 1937.In 1931, Unilever set up its first Indian subsidiary, Hindustan VanaspatiManufacturing Company, followed by Lever Brothers India Limited (1933) andUnited 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 firstamong the foreign subsidiaries to do so. Unilever now holds 52.10% equity in thecompany. The rest of the shareholding is distributed among about 360,675individual shareholders and financial institutions.The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, thecompany 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 throughan international acquisition. The erstwhile Lipton's links with India were forged in1898. Unilever acquired Lipton in 1972 and in 1977 Lipton Tea (India) Limitedwas incorporated.

Pond's (India)Limited had been present in India since 1947. It joined theUnilever fold through an international acquisition of Chesebrough Pond's USA in1986.Since the very early years, HUL has vigorously responded to the stimulus of economic growth. The growth process has been accompanied by judiciousdiversification, always in line with Indian opinions and aspirations. Theliberalisation of the Indian economy, started in 1991, clearly marked an inflexionin 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.Simultaneously, deregulation permitted alliances, acquisitions and mergers. In oneof the most visible and talked about events of India's corporate history, theerstwhile Tata Oil Mills Company (TOMCO) merged with HUL, effective fromApril 1, 1993. In 1996, HUL and yet another Tata company, Lakme Limited,formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's market-leading cosmetics and other appropriate products of both the companies.Subsequently in 1998, Lakme Limited sold 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 Corporationin 1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and KotexSanitary Pads. HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited(UNL), and its factory represents the largest manufacturing investment in theHimalayan kingdom. The UNL factory manufactures HUL's products like Soaps,Detergents and Personal Products both for the domestic market and exports toIndia.The 1990s also witnessed a string of crucial mergers, acquisitions and alliances onthe Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquiredKothari General Foods, with significant interests in Instant Coffee. In 1993, itacquired the Kissan business from the UB Group and the Dollops Ice-cream 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 IndiaLimited (BBLIL), enabling greater focus and ensuring synergy in the traditionalBeverages business. 1994 witnessed BBLIL launching the Wall's range of FrozenDesserts. By the end of the year, the company entered into a strategic alliance withthe Kwality Ice-cream Group families and in 1995 the Milk-food 100% Ice-creammarketing and distribution rights too were acquired.Finally, BBLIL merged with HUL, with effect from January 1, 1996. The internalrestructuring culminated in the merger of Pond's (India) Limited (PIL) with HULin 1998. The two companies had significant overlaps in Personal Products,Speciality Chemicals and Exports businesses, besides a common distributionsystem 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 itto fund investments required for aggressively building new categories.In January 2000, in a historic step, the government decided to award 74 per centequity in Modern Foods to HUL, thereby beginning the divestment of governmentequity in public sector undertakings (PSU) to private sector partners. HUL's entryinto Bread is a strategic extension of the company's wheat business. In 2002, HULacquired the government's remaining stake in Modern Foods.In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the Amalgam Group of Companies, a leader in value added Marine Productsexports.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 thatcatalyses rural affluence even as it benefits business. Currently, there are over 45,000 Shakti entrepreneurs covering over 100,000 villages across 15 states andreaching to over 3 million homes.In 2002 In 2002, HUL made its foray into Ayurvedic health & beauty centrecategory with the Ayush product range and Ayush Therapy Centres. HindustanUnilever Network, Direct to home business was launched in 2003 and this wasfollowed by the launch of µPure-it¶ water purifier in 2004.In 2007, the Company name was formally changed to Hindustan Unilever Limitedafter receiving the approval of share holders during the 74th AGM on 18 May2007. Brooke Bond and Surf Excel breached the the Rs 1,000 crore sales mark thesame year followed by Wheel which crossed the Rs.2,000 crore sales milestone in2008.On 17th October 2008, HUL completed 75 years of corporate existence in India

REVIEW OF LITERATURE

Hindustan Unilever Limited is the Indian arm of the Anglo-Dutch company ± Unilever. Both Unilever and HUL have established themselves well in the FastMoving Consumer Goods (FMCG) category. In India, the company offers manyhouseholds brands like, Dove, Lifebuoy, Lipton, Lux, Pepsodent, Ponds, Rexona,Sunsilk, Surf, Vaseline etc. Some of its efforts were also rewarded when four of HUL brands found place in the µTop 10 brands¶ list for the year 2008 published inThe Economic Times.Unilever was a result of the merger between the Dutch margarine company,Margarine Unie, and the British soap-maker, Lever Brothers, way back in 1930.For 70 years, Unilever was the undisputed market leader but now faces toughcompetition from Proctor & Gamble and Colgate-Palmolive.HUL is also known for its strong distribution network in India. In order to further strengthen its distribution in the rural areas and to empower the local women, HULlaunched a Project Shakti in 2000 in a district in Andhra Pradesh. The idea behindthis project was to create women entrepreneurs and provide them with micro-creditand training in enterprise management, which would enable them to create self-help groups and become

direct-to-home distributors of HUL products. TodayProject Shakti is present across 80,000 villages in 15 states and is helping manyunderprivileged women earn their livelihood.As the per-capita income of India is increasing along with the Indian population.So, the future for the FMCG Companies is bright. To analysis the past performance& the future demand of HUL, FMCG products we have considered following points:

We have a listed the different FMCG product lines of HUL.

We have done competitor¶s analysis in which the market share of topFMCG companies are analysed & the market share of HUL¶S differentcategories product are analysed with comparison to its competitors.

Then performance analysis is made by taking 10 year financial data from1998-2007. The profit & sales growth is analysed We have done SWOTanalysis to know the threat & opportunities of HUL in present market.

The future opportunities for FMCG products are taken into consideration byanalyzing the increased per capita income & increased disposable income toforecast the future demand of HUL.

OBJECTIVE OF STUDY

The main objective of this project is to find, what are the steps HindustanUnilever Ltd. is adapting to be market leader and to differentiate itself from itscompetitors.

What is the steps company is utilizing to find current trend in the market. To study various brands of HUL To study the competitive brands in the market of ,home care products,.food brands,personal

care products To find the market share of the HUL brands and its competitive brands. To determine the key areas of strength and weakness for HUL brands Todevelop a promotion

plan for brand communication of the HUL To study various marketing strategies of huL

RESEARCH      METHODLOGY   

There is large no. of FMCG companies in the market, to find the definingstrategies used, the methodology used is interview and survey method.

Data Collection Method: For this research study, primary data as well as secondary data was collectedPrimary Data has been collected through personal contact. For this purpose bothquestionnaireand one-on-one interview was considered with the consumers, shopowners and

distributors & suppliers of the company.Secondary data has collected from magazines, newspaper, company literature andwebsites.

Data analysis: Analyzing codes to each question were awarded. thereafter which aws written andthan analysed

MAJOR FINDINGS

Major competitors

1. Dabur

2. Jhandu

3. Johnson &Johnson

4. Cavin Care

5.Procter & Gamble

6. Britannia7. ITC

8. Gillette

METHODOLOGY FOR RESEARCH PROBLEM

Following steps where taken in to consideration, to identify the research problem-

1. Informal investigation Visit to the shop owners, talked to the distributors and to the consumers in thelocality and surrounding areas.

2. External and Internal Analysis Understanding customer problem Understanding the market structure

3. Situational Analysis Tastes & preferences Needs & income

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Major CompetitorsITCDabur Procter & GambleCavin CareAmulJohnson & Johnson, etcA Compressive study of Secondary and Primary data (Informal Interviews) wascollected through specific questionnaires for people and shop-owners &distributors.

SAMPLING TECHNIQUE

For my survey I used Cluster Sampling technique. I selected a sample of 100 people around the area and interviewed them according to the questionnaire. In thesurvey I tried to find out their preferences & tastes, their purchasing habit, are they brand loyal or they consider their friends advice or some reference group

duringpurchasing. I also tried to find out that are they satisfied with the quality or present stature of product, did they want any change in the existing product.I also interviewed some of the shop owner and distributors and try to find out whatthe company is doing to sustain their customer and what new changes they are bringing in their product to gain competitive advantage from other competitors

RESEARCH INSTRUMENT

Research instruments, for the purpose of primary data collection wereQuestionnaires. The Questionnaires were designed in two sets, one is for customersand another is for shop-owners and distributors.

‡

The first set is to find out about the needs and preferences of the customers andwhat they want from in the product and also the level of knowledge about different products in the market.

‡

Second set is all about what are the steps company are taking to get about theinformation about he changing preferences in the taste and needs of the customersand what company is doing to sustain their market position as well as to tap newmarket.

DATA ANALYSIS

For the analysis of data collected through survey work, a series of steps werefollowed which are given in a chronological order

‡

Each question of the questionnaire was assigned codes (coding)

Each questionnaire was punched into ms-excel sheet thus forming a data base(punching)

Further the data was analyzed by using diagrams, graphs, charts etc.

The graphic rating scale and ranking method was used to measure the responseand attitude of the customer.Finally, an effort was made to extract meaningful information from analyzed data,which acted as a base for the recommendations

 

LIMITATIONS OF THE STUDY

In attempt to make this project authentic and reliable, every possible aspect of thetopic was kept in mind. Nevertheless, despite of fact constraints were at playduring the formulation of this project.The main limitations are as follows:

Due to limitation of time only few people were selected for the study. So thesample of consumers was not enough to generalize the findings of the study.

The main source of data for the study was primary data with the help of self- administered questionnaires. Hence, the chances of unbiasedinformation are less.

People were hesitant to disclose the true facts. The chance of biased response can¶t be eliminated though all necessarysteps were

taken to avoid the same

Vision of Hindustan Unilever LimitedUnilever products touch the lives of over 2 billion people every day ± whether that's through feeling great because they've got shiny hair and a brilliant smile,keeping their homes fresh and clean, or by enjoying a great cup of tea, satisfying meal or healthy snack.A clear direction The four pillars of our vision set out the long term direction for the company ± where we want to go and how we are going to get there:‡We work to create a better future every day‡We help people feel good, look good and get more out of life with brands andservices that are good for them and good for others.‡We will inspire people to take small everyday actions that can add up to a bigdifference for the world.‡We will develop new ways of doing business that will allow us to double the sizeof our company while reducing our environmental impact. We've always believedin the power of our brands to improve the quality of people¶s lives and in doing theright thing. As our business grows, so do our responsibilities. We recognise thatglobal challenges such as climate change concern us all. Considering the wider impact of our actions is embedded in our values and is a fundamental part of whowe are.

 Purpose & principles of hul Our corporate purpose states that to succeed requires "the highest standards of corporate behaviour towards everyone we work with, the communities we touch,and the environment on which we have an impact."

Always working with integrityConducting our operations with integrity and with respect for the many people,organisations and environments our business touches has always been at the heartof our corporate responsibility.

Positive impact We aim to make a positive impact in many ways: through our brands, our commercial operations and relationships, through voluntary contributions, andthrough the various other ways in which we engage with society.

Continuous commitment We're also committed to continuously improving the way we manage our environmental impacts and are working towards our longer-term goal of developing a sustainable business.Setting out our aspirationsOur corporate purpose sets out our aspirations in running our business. It'sunderpinned by our code of business Principles which describes the operationalstandards that everyone at Unilever follows, wherever they are in the world. Thecode also supports our approach to governance and corporate responsibility.Working with othersWe want to work with suppliers who have values similar to our own and work tothe same standards we do. Our Business partner code, aligned to our own Code of business principles, comprises ten principles covering business integrity andresponsibilities relating to employees, consumers and the environment.

MARKETING STRATEGY OF HINDUSTAN UNILEVER LIMITED1)HUL¶S NEW GROWTH STRATEGY:After having fought a bitter price battle for market share with its rivals, HindustanUnilever Ltd (HUL), Indian subsidiary of the Anglo- Dutch consumer goodscompany Unilever Plc, is now working on a new growth strategy for its laundry business.³Price cut or hike is not a long-term growth strategy. Pricing, in fact, is now passe,´ insists Sudhanshu Vats, category head, home care. ³Our strategy for growth, now is focused on product innovation, new consumer and retail trends andaggressive marketing and promotions,´ he said.This comes even as Unilever is scouting for a potential buyer for its laundry business in the US.HUL says it is quite upbeat about the segment and says the laundry segment is oneof its ³key growth areas. ³We have done key innovations across the product portfolio and it is working for us,´ says Vats. ³We successfully migrated from RinSupreme to Surf Excel and Wheel Smart Srimati²which was rolled out in 2006² is also on the right track.´HUL¶s market share in the laundry segment grew to around 37.8% in the quarter ended June from 35.5% in the same period last year, according the market researchfirm ACNielsen. However, this time, the increase was not at the expense of pricewar with its multinational rival Procter & Gamble Co. P&G also gained 0.5 percentage points, up to a 7.6% share. Nirma Ltd, the Ahmedabad- basedmanufacturer, however, saw its market share dip by 1.7% percentage points to13.5%.Wheel, a value brand that, according to Vats contributes

around 50% of HUL¶slaundry segment revenues, increased its market share by 2 percentage points in thesame period, with a total share of about 18%.According to ACNielsen, the laundry industry in India was worth Rs7,908 crore in2006 and rose 8.4% over 2005. HUL doesn¶t report its laundry revenues separately but puts them under the soaps and detergent category. In 2006, HUL¶s soaps and detergents segment contributed around Rs5,596 crore tothe company¶s total sales of Rs12,103 crore. ³Laundry has been an attractivesegment in the past and is likely to keep growing in the near future. The recent price war between companies led to erosion in their profitability but now, theindustry is stabilizing,´ says Unmesh Sharma, an analyst at Macquarie Securitieshere.According to Vats, the laundry business is witnessing a surge in demand fromcities and HUL is focusing on Tier I and II cities to tap that demand.2) SUSTAINABILITY STRATEGY We have a long-standing set of values and principles that guides our behaviour.These values underpin our approach to sustainability.We have always been a business driven by a strong set of values. Today thosevalues are as important as ever. We now know that the well-being of society andthe environment is critical to our ability to grow.Our Sustainability strategyUnilever¶s vision is to double the size of its business while reducing the overallimpact on environment. This new vision recognises that the world is changing, populations are growing and the rise in incomes is fuelling a growth in the demandfor consumer products. Products like ours rely on an increasingly constrained set of natural resources, whether it is fuel, water, or other raw materials.In Hindustan Unilever Limited (HUL), the principle of Corporate Responsibility(CR) is an integral part of our commitment to all our stakeholders ± consumers,customers, employees, the environment and the society that we operate in.Today, India is battling multiple issues like water scarcity, poverty, and problemsarising out of low awareness of health, hygiene, and nutrition. If these issues arenot addressed soon, they will create insurmountable barriers to business growth.We believe that helping society prosper and ensuring a sustainable future for the planet goes hand in hand with our goal of ensuring growth that is competitive, profitable, and sustainable for our organisation.Our contributions have to be substantial and sustainable, which is why we are not just banking on our philanthropic programmes, but are transforming our core business practices as well. Even the seemingly small innovations in our brands and business processes can lead to a big difference in society as we touch the lives of two out of every three Indians.*For example, if one household uses Surf Excel detergent, it can conserve two buckets of water per wash. A million Indian households using Surf Excel can saveenough water for meeting the basic hygiene needs of many Indians. Thus, smallindividual actions multiplied with our large consumer base will make a bigdifference in combating the issues society faces.

We will further demonstrate that successful business strategies are driven byresponsible business practices. The key to this approach is developing a CR framework which integrates the social, economic, and environmental agenda withour business priorities ± growing markets, maintaining the competitive edge,enjoying goodwill in the communities we operate in, and building trust and anexceptional reputation. Hence, in the future, the three cornerstones for CR integration with business at HUL will be:Growing markets responsibly: We will address issues related to hygiene and nutrition through productinnovations and awareness. Gathering information about the concerns expressed byconsumers, communities, and stakeholders can help us identify opportunities for innovation at the category, brand, and marketing plan level. We have a very strongand trusted position in India and we can leverage this to our competitiveadvantage.Ensuring sustainable practices in our operations:To secure a thriving future, we need to establish sustainable sources for rawmaterials. Being a company that is heavily dependent on water, agriculture, fuelsand petrochemicals, we must plan now for a future in which water could be scarce,agriculture could be under pressure, and fuels will be expensive. Our consumersadd up to two-thirds of the Indian population, hence addressing sustainabilityissues is a high priority.

CR is one of the key components of reputation and trust. A good reputation can bea major competitive advantage and can build employer brand and consumer loyalty.3)Engaging with our stakeholdersListening to others and learning from our stakeholders informs our decision-making, strengthens our relationships and helps us succeed as a business.Stakeholder engagement for identifying issues that are material to us:We appointed SustainAbility International to conduct stakeholder engagement onour behalf. They analysed and assimilated the expectations of stakeholdersregarding issues that matter to them. These expectations were similar to the areasidentified by us, where HUL's contribution could create a significant impact.Scoping the areas for interventionWhile the issues are many, it is necessary to address them in a systematic manner to make a real difference. Instead of spreading thin across all issues, we havechosen to work on five areas to ensure a deep impact.These areas have been arrived at using the output from our stakeholder engagement process and areas which we are poised to address through our business.Key messages from stakeholdersTarget. Allocate resources. Achieve those targets. This is more critical thanjust being visible & talking about it. - µWe feel that some Indian companies can be leaders in their respective sectors.HUL has the potential to be such a leader.¶- µInvest for your markets ± don't do social work, it isn't your ballgame.¶- µPlease make money out of it. When you make money out of it, things are going to change.¶

4)Governance We aim to have strong governance structures in place to manage our social andenvironmental responsibilities carefully and thoughtfully.Corporate Responsibility at HUL is led by the CEO and the ManagementCommittee (MC) of the company. The MC governs the sustainability strategy witha view of key strategic approaches and seeks reports on impacts and efforts againstclear targets.Each of the nine cells (in the daigram shown in Sustainability strategy section) isowned by an MC member. For the execution of the strategy there is a team of 12Sustainability Governing Council (SGC) members based on their respectivefunctions.Sustainability Governing CouncilThe Sustainability Governing Council is responsible for:

Recommending sustainability priorities for approval by the MC and monitoring its progress

Recommending HUL's positions on critical issues for approval by MC Receiving stakeholder feedback The role of the SGC is formalised, with a clear mandate

and terms of referenceoutlining its mission, purpose, membership, meeting schedule, and reportingsystems.

23 5)

COMPETATIVE STRATEGYAs Competition Heats Up, India¶s Top Consumer-Products Company WoosAffluent Shoppers With Global Brands Like Dove, While Cooking Up Its FoodsBizThe middle-aged Briton strolling the aisles and checking out the products doesn¶tattract much notice from other shoppers in Mumbai¶s Hypercity, the Indiahypermarket chain. That¶s how Douglas Baillie likes it. Baillie, the managingdirector of Hindustan Unilever, India¶s premier consumer-products company,wants to see how his products are stocked, what consumers are buying, and howshoppers are reacting to competitive brands. It¶s primary market research at itsmost elemental, and it¶s best done incognito.Hindustan Unilever has traditionally relied on small traders and mom-and-popcorner stores to retail its products. But India¶s recent retail boom has created largestores and malls, so the company wants to make sure it¶s in with the newmarketing crowd. Hence Baillie¶s Hypercity visits, and the calls he makes on theheadquarters of the big retail chains.This is quite a change for Hindustan Unilever, whose executives used to haveemissaries make obeisance at Lever house in downtown Mumbai. ³I can¶t imagineany head from Lever House ever visiting other company offices like this,´ says anamazed Damodar Mall, chief executive of innovation and incubation at PantaloonRetail, India¶s largest retailer and a former manager at Hindustan Unilever.6)OTHER STRATEGYy Grow ahead of market by leading market development activites.y leverage positive impact of growing Indian economy on consumer spending.y Grow a profitable foods and top end business.y Grow the bottom-line ahead of top line.y Strong commitment to sustainable development.

To penetrate into the inner recesses of her memory, communication must firstensure exposure, grab her attention evoke her comprehension, grab her acceptanceand then extract retention competing with thousands of other units of communication trying to do the same.Finding showed that the adults felt too conscious to be seen consuming a productactually meant for children. The strategic response address the emotional appeal of the band to the child within the adult.Naturally, that produced just the valuevacuum that Hindustan Unilever Ltd(HUL)was looking to fill.Thereafter it was the job of the advertising to communicate customer thewonderful feeling that he could experience by re-discoursing the careful, unself conscious, pleasure ± seeking child within himself ± a graft these feeling onto theAd campaign like³hasso to khulk hasso for closeup´,³cream bathing bar for dove soap´and daagachehai for surf excel´have been sure shot winner withthe audience.It has also launched Pureit, a home water purifier which supplies drinking water without boiling/need of electricity , As well as outdoor and radio ads, ad agencycontract has created communication for cinemas and even ATM machines for the brand.All ICICI¶ s ATM a message flashes on the screen as soon as customer insert hisATM card. Something familiar is planned for phone-book as well. In cinemas,Hindustan Unilever(Ltd)has a message on-screen just before the lights are dimmedto give them a chance to get their product There will also be after dinner samplingin restaurants ± to begin with, 30 catteries in Mumbai have been selected. Adspend in 2000 was about 14% of sales and the management said that plans tomaintain as spend at this level in the current year also.And since any discussion today would be incomplete without mention µe¶ word,the management plans to tap this new channel of marketing. Beside the companywebsite (i.e. www.unilever.com), that the company has launched, it had alsoentered into various marketing relationship with other portals, specially targetedduring festivals and events such as Valentines day, etc«. It¶s a combination of spiffing up its key brand, researching and improving thenewer products that haven¶t taken off,supported with high ad ± spends thatHindustan Unilever(Ltd) hopes will see it emerges stronger after the currentslowdown, as well as expand the market.Positioning In the 1970s consumers were ready to pay ³more for more´, and luxury goodsflourished. In the 1980s, consumers began to demand ³more for same´, and thediscounting era grew strong. Today¶s consumer demanding ³more for less´, andthe winner will be that super value marketers«. Some of today¶s most successfulcompanies recognize those customers are more educated and able to recognize truecustomer value«Positioning is simply concentrating on an idea ± or ± even a word defines thatcompany in the mind of the consumer. It is more efficient to market one successfulconcept to one large group of people than 50 product or service ideas to 50separate groupPositioning is a must when customer attitude have changed and product havestrayed away from the consumer¶s long standing perception of them«

HindustanUnilever(Ltd) is an anchor in sea of consumer products. As a variety of competitive claims assails her senses, today customer uses complicated decisionmaking process to assess the alternative before making a purchase.Since Hindustan Unilever(Ltd) is more clearly associated with a particular set of attributes in terms of benefits and prices, the quicker becomes her search process.Positioning of individual product:

Lifebuoy is µone of Unilever¶s oldest brands¶ with more than a hundred-year history, as www.unilever.com informs. ³Lifebuoy has become more than just a red bar of soap ± today the brand provides hygiene and healthsolutions for families

Fair & Lovely, a hot-selling ³fairness´ cream, which promises a lighter skintone for many of India¶s complexion-conscious consumers

 HINDUSTAN UNILEVER¶S MARKET SEGMENTATION

Market place for any product is comprised of many different segments of consumers, each with different needs and wants. Markets segmentationcan be defined in a number of ways such as:

Demographic variables (e.g. Consumers are groups, gender, materialstates income etc«) The lifestyle of consumers (i.e. their interests and activities) the benefitswhich

consumers look for in a product or on the occasions when the product might be consumed.

Hindustan Unilever(Ltd) takes into account all these factors when producing a range of products. It targets different segments within themarket, such as the:

Break segment ± products which are normally consume as a snatched break and often with tea and coffee.

Impulse segment ± these products are often purchase on impulse, usedthese and then. They include product such as close up.

Take home segment ± this describes product that are normally purchased in supermarkets, taken home consumed at a later stage

AN UNMATCHED BRAND PORTFOLIO

DIVERSIFICATION OF HINDUSTAN UNILEVER LIMITED HOME CARE PRODUCTS:

Surf Excel was introduced in 1959. It is a pioneer in the Indian detergent powder market; Surf Excel has constantly upgraded itself over the years, to answer the constantly changing washing needs of the Indian homemaker. Today Surf Exceloffers outstanding stain removal ability on a wide range of stains. Surf Excel quick wash is powered with a path-breaking technology- it reduces water consumptionand time taken for rinsing by 50%. It is a significant benefit, given the acute water scarcity in most of India. VIM BAR 

Created in 1885, the Vim brand is still innovating and using the magic of natural ingredients to create unbeatable results over a hundred years later.   Vim is sold in four continents, is the leading hand dishwashing brand in twenty countries, and is available to more than 2 billion people around the world.

 Vim began life as a soap (both in England, and in Thailand, where King Rama Vasked Unilever to supply his household with soap), but is now available as acomplete range of hand dishwashing ± including bars, powders and liquids.

40y Vim is sold in four continents, is the leading hand dishwashing brand in twentycountries, and is available to more than 2 billion people around the world.y Vim began life as a soap (both in England, and in Thailand, where King Rama Vasked Unilever to supply his household with soap), but is now available as acomplete range of hand dishwashing ± including bars, powders and liquids.Cif- The World¶s leading cream cleaner which gives you the power to deal withthe toughest dirt is now in India.Key Facts

1. Cif is the number 1 cream cleaner in the World.

2. It is the number one cleaner in various countries including France, Germany,Russia.

3. It¶s a 500 million Euro Brand.

4. Cif is sold in 51 countries around the globe

Vim is sold in four continents, is the leading hand dishwashing brand in twentycountries, and is available to more than 2 billion people around the world. Vim began life as a soap (both in England, and in Thailand, where King Rama Vasked Unilever to supply his household with soap), but is now available as acomplete range of hand dishwashing ± including bars, powders and liquids.Cif- The World¶s leading cream cleaner which gives you the power to deal withthe toughest dirt is now in India.K ey Factsy Cif is the number 1 cream cleaner in the World.y It is the number one cleaner in various countries including France, Germany,Russia.y It¶s a 500 million Euro Brand.y Cif is Sold in 51 countries around the globe.Food brandsHUL is one of India¶s leading food companies. Our passion for understanding what people want and need from their food - and what they love about it - makes our brands a popular choice

In the year 1962, Brooke Bond India creates the branded roast and groundcoffee segment launching Deluxe Green Label. 1968 gave birth to the first instant coffee chicory mix under the brand name Bru.

Key Facts

Number 1 Coffee brand in India Unilever's only Coffee brand Enjoys a rich heritage, came into existence in 1962 under the brand name DeluxeGreen Label Consistently offering better and newer products to the consumer through improved packaging

solutions and innovative product formats Enjoys a strong presence at various out of home locations Unilever is the world's biggest ice cream manufacturer, operating under theHeartbrand.

Heart brand products are sold in more than 40 countries worldwide and has anannual turnover of ¼5 billion

Also sold as Algida in Italy & Turkey, Langnese in Germany, Kibon in Brazil,Streets in Australia and Ola in the Netherlands

TAJ MAHAL Taj Mahal was launched in 1966 by Brooke Bond. Taj Mahal is the most premium brand of tea in the Indian market. It was the first brand to launch tea bags and is the only tea brand in India to be sold