Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

  • Upload
    shobhit

  • View
    219

  • Download
    0

Embed Size (px)

Citation preview

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    1/78

    RESEARCH PROJECT REPORT(MBA - 043)

    ON“Effect of Rural Marketing strategies for FMCG – A

    case study of Hindustan Unilever Limited.”

    Submitted in Partial Fulfillment of

    Master of Business Administration (MBA)Programme:

    Of

    GautamBudhha Tech!ca" #!$e%&!t' uc*+,

    acu"t' +. Maa/emet Sc!ece

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    2/78

    Executive Summary

    A comprehensive practical study of marketing is a supplement to the

    theoretical classroom knowledge. It helps to understand the subject more

     precisely.

    This report tries to outline idea of professional world and helps in

    understanding the pragmatic aspect of marketing functions. Own

    observations are significant towards the contribution in learning the

    subject. The report is therefore, designed as a reference of organization

    functioning rather than copy down instrument.

    y humble endeavor and motive in presenting the project report is to

    impart a balanced introduction and knowledge of rural marketing

    strategies which is an important integral part of rural management.

    It is hoped that this project will serve as a supportive document to

    research as efforts has been tried to make this report an informative,

    stimulating and self!e"planatory.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    3/78

      TABLE OF CONTENTS Pg. no

    Acknowledgement #$

    %"ecutive summary #&

    Chapter 1: ntro!uction " Scope #$

    '.'( Introduction #)

    '.*( +cope of the research work #

    '.$( Objectives '#

    '.-(hanging dimensions of /ural arkets in India. ''

    Chapter %: Company Pro&i'e 1(

    *.'( Introduction '0

    *.*( 1industan 2nilever 3imited '

    *.$( +trategies adopted by 123 *4

    *.-( 5est practices adopted by 123 $4

    Chapter ): Literature *evie+ )$

    $.'( /esearch 6aper ' $)

    $.*( /esearch 6aper * $

    $.$( /esearch 6aper $ -#

    Chapter ,: *e-earch e-ign ,)

    -.'( Introduction -$

    -.*( Theoretical 7ramework --

    -.$( Type of research -0

    -.-( Type of data -0

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    4/78

    -.&( +ampling method -4

    -.0( +ample characteristics and +ize -)

    Chapter /: ata ana'y-i- an! interpretation ,0

    &.'( Introduction -

    &.*( Analysis of data &'

    Chapter (: Conc'u-ion " Sugge-tion- ,

    0.'( 7indings 4-

    Annexure /

    Anne"ure '( 5ibliography 4&

    Anne"ure *( 8uestionnaire 40

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    5/78

    C2APTE* 1

    NT*O3CTON

    1.1 ntro!uction

    India9s vast ruralmarket offers a huge potential. The rural market

    environment is very different from the familiar surroundings of the

    urban market rural consumer have customs and behavior that the

    marketers may find difficult to contend with.

    '*.*:of world 6opulation

    '*# million 1ousehold

    4#: of Indian 1ousehold

    2se &*: of durables in the country.

    1ence /ural arketing strategies are being adopted in such a way so

    that the potential customers of rural areas should be attracted by the

    companies. onsumers are most likely to be loyal and may use a wide

    range of products offered by a ompany. +trategies should be adopted in

    such a way that all customers should be communicated about various

    offers provided by company.

    123 had effectively adopted certain marketing strategies which are

    ;uite specific for rural people and which are differentiated from the

    urban marketing strategies is being adopted by the company.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    6/78

    of ;uality products helps in customers9 retention that could be used as a

     potentially effective tool to get a strategic advantage and survive in

    today9s ever!increasing competitive environment of 7= sector.

    In the globalized, highly competitive environment, building more uni;ue

    relationships with customers is vital for companies and within this

     perspective satisfaction represents the foundation. 5ased on it, customer 

    loyalty can be built in order to develop a stable, mutually profitable and

    long!term relationship.

    1.% Scope o& re-earch +or4 

    5y this particular report we are able to come to know about various

    strategies of 1industan 2nilever 3imited which are being adopted

    successfully by 123. 5y studying this how successfully these strategies

    are being adopted by 123.>hat is the impact of these strategies are on

    the customers of 123.1ow we can adopt these strategies to penetrate

    with a certain product into rural market and thus we will also come to

    know about the buying behavior of the rural people as well as the buying

     pattern of the rural people.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    7/78

    1.) O56ective o& re-earch

    >ithin the conte"t of defined research ;uestion and to complete this

    research project comprehensively, following objectives are defined in

    my proposed research work.

    O56ective 1: To -tu!y variou- *ura' mar4eting -trategie- o& 23L.

    This objective is defined to understand the various rural marketing

    strategies adopted by 123. This objective in my research process would

     be achieved by the help of secondary data and interaction with rural

     people residing in rural areas.

    O56ective %: To -tu!y the re7uirement- o& the rura' mar4eting in

    or!er to promote F8C9 pro!uct-

    This objective is defined to understand the re;uirements of various rural

    marketing strategies adopted by 123 in order to promote 7=

     products. This objective in my research process would be achieved by

    the help of secondary data and interaction.

    O56ective ): To -tu!y e&&ect o& *ura' mar4eting -trategie- a!opte!

    5y 23L.

    This objective is defined to understand the effect of rural marketing

    strategies adopted by 123. It is also oriented to understand the mode of 

    adopting these strategies. This objective in my research process would

     be achieved by interaction with rural people residing in rural areas and

    interpretation of primary data.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    8/78

    1.,. Changing !imen-ion- o& *ura' 8ar4et- in

    n!ia.

    onsumers( aking a difference through our brands

    aking a difference through our brands

    e believe

    that our brands can grow by addressing some of the most important

    social and environmental challenges facing the country today.

    In *##&, we started to embed the sustainability agenda into our brands

     by using a process called 5rand Imprint. It is a rigorous, diagnostic

     process that analyses the social and economic value, as well as the

    negative impacts of a brand.

    This process has been carried out across all our key categories. +ocial

    and environmental considerations are now integrated with innovation

     plans for our major brands.

    >e believe we can make a difference ? through our brands and behavior 

    change campaigns in the space of nutrition and hygiene, and by

     providing consumers, from all income groups, access to a better life.

    nnovation in 3ni'ever

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    9/78

    5rands and innovation are at the heart of everything we do. In 2nilever,

    research and development @/

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    10/78

    Ethic- o& human re-earch

    The entral /esearch %thics Advisory =roup @/%A=B advises the

    company on the ethics of involving human subjects in research studies.

    Its aim is to ensure that this remains an intrinsic part of 2nilever9s /<

    culture, and that 2nilever operates to the highest ethical standards in this

    area.

    6roduct innovations

    >e use our knowledge and imagination to translate science into products

    that meet a range of consumer needs. In this section you can find

    e"amples of this work.

    S4in 'otion: !e'ivering moi-ture +here it- nee!e!

    The secret of taking care of your skin lies in getting moisture to all its

    layers ? and keeping it there.

    C'ean c'othe-; 'e-- +ater

    /insing clothes is the most water! and time!consuming part of hand

    washing. 1ow are we helpingE

    http://www.hul.co.in/innovation/innovationinunilever/Ethicsofhumanresearch/default.aspxhttp://www.hul.co.in/innovation/productinnovations/skinlotion/index.aspxhttp://www.hul.co.in/innovation/productinnovations/default/index.aspxhttp://www.hul.co.in/innovation/innovationinunilever/Ethicsofhumanresearch/default.aspxhttp://www.hul.co.in/innovation/productinnovations/skinlotion/index.aspxhttp://www.hul.co.in/innovation/productinnovations/default/index.aspx

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    11/78

    Smoother; -traighter hair

    There9s a good reason why +unsilk is the number one hair care brand in

    Asia, 3atin American and the iddle %ast, and the fastest!growing in

    %urope ! tip!targeting technology.

    nte''igent !eo!orant

    Our /e"ona deodorant uses body!responsive micro!capsule technology

    that kicks in when it9s needed most, giving people the confidence to face

    the dayDs more stressful situations.

    Coo' ice cream innovation-

    2nilever has found a way to make ice cream healthier as well as really

    tasty. It has all been possible thanks to a new ice cream ingredient

    discovered by 2nileverDs ice cream scientists.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    12/78

    Pioneering techno'ogy &or 8agnum Temptation

    +ince its launch in %urope in the early #s, agnum has grown to be

    one of 2nilever9s biggest brands, bringing real chocolate indulgence to

    the adult ice cream market.

    ustomer development

    >hether youDre in category or account management, these roles will

    challenge your understanding of both our business our consumers.

    Tren! -etter-

    any of our customers set trends in their markets.

    This means that competitors as well as consumers are watching them.

    This in turn means that we need to work alongside our customers in

     pioneering new products, new categories and new concepts.

    Category management " cu-tomer mar4eting

    As a category manager, youDll be responsible for the overall sales and

     profitability of a product category.

    ustomer marketing is all about developing and implementing fully

    integrated brandGcategory solutions and activities. 5y understanding

    what consumers want, you9ll be able to stimulate demand in retail outlets

    http://www.hul.co.in/innovation/productinnovations/pioneeringtechnology/index.aspxhttp://www.hul.co.in/innovation/productinnovations/pioneeringtechnology/index.aspx

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    13/78

    through everything from shelf layouts to promotional strategies to price

     positions.

    An important aspect of these roles is strategic thinking ? channelling

    your insights into consumers and competitors to make decisions on

     pricing, promotion, merchandising and growth.

    Account management

    5uilding close relationships with customers, your remit will be to

    increase turnover, profit and market share.

    >hen launching new products, youDll be working hand in hand with

     brand and category management to get those products onto the shelves.

    %nsuring that the right stock appears at the right time, youDll plan and

    implement promotions as well as negotiate prices and margins. And weDll

    e"pect you to be thinking ahead all the time ? introducing new initiatives

    to keep your customers e"cited, whilst dealing with practical challenges

    such as logistics.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    14/78

    C2APTE* %

    CO8PAN= P*OFLE

    %.1 ntro!uction

    2N3STAN 3NLE>E* L8TE

    1industan 2nilever 3imited @abbreviated to 123B, formerly 1industan 3ever 

    3imited, is India9s largest consumer products company and was formed in

    '$$ as 3ever 5rothers India 3imited. It is currently head;uartered in

    umbai, India and its -',### employees are headed by 1arish anwani, the

    non!e"ecutive chairman of the board. 123 is the market leader in Indian

     products such as tea, soaps, detergents, as its products have become daily

    household name in India. The Anglo!

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    15/78

    that derives huge revenues @over per centB from the rural areas. 1industan

    2nilever 3imited @123B is IndiaDs largest 7ast oving onsumer =oods

    ompany, touching the lives of two out of three Indians with over *# distinct

    categories in 1ome 6ersonal are 6roducts and 7oods 5everages. They

    endow the company with a scale of combined volumes of about - million

    tones and sales of nearly/s.'$4') crores.123 is also one of the countryDs

    largest e"portersJ it has been recognized as a =olden +uperstar Trading 1ouse

     by the =overnment of India. The mission that inspires 123Ds over'&,###

    employees, including over ',$## managers, is to add vitality to life. 123

    meets every day 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

    123 shares with its parent company, 2nilever, which holds &*.'#: of the

    e;uity. The rest of the shareholding is distributed among $0#,04& individual

    shareholders and financial institutions.123Ds brands ! like 3ifebuoy, 3u", +urf 

    %"cel, /in, >heel, 7air 3ovely, 6ondDs, +unsilk,linic 6lus, 6epsodent,

    lose!up, 3akme, 5rooke 5ond, Fissan, Fnorr!Annapurna, Fwality>allDs are

    household names across the country and span many categories soaps,

    detergents, personal products, tea, coffee, branded staples, ice cream and

    culinary products. They are manufactured over -# factories across India. The

    operations involve over*,### suppliers and associates. 123Ds distribution

    network, comprising about -,###redistribution stockiest, covering 0.$ million

    retail outlets reaching the entire urban population, and about*

    millionruralconsumers.123 has traditionally been a company, which

    incorporates latest technology in all its operations. The 1industan 2nilever 

    /esearch entre @12/B was set up in '&), and now has facilities in

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    16/78

    umbai and 5angalore. 12/ and the =lobal Technology enters in India

    have over *## highly ;ualified scientists and technologists, many with post!

    doctoral e"perience ac;uired in the 2+ and %urope.123 believes that an

    organization9s worth is also in the service it renders to the community.123 is

    focusing on health hygiene education, women empowerment, and water 

    management. It is also involved in education and rehabilitation of special or 

    underprivileged children, care for the destitute and 1IC!positive, and rural

    development. 123 has also responded in case of national calamities G

    adversities and contributes through various welfare measures, most recent

     being the village built by 123 in earth;uake affected =ujarat, and relief

    rehabilitation after the Tsunami caused devastation in +outh India.123 has

    changed its strategy towards rural markets in order to tackle its somewhat flat

    growth in these areas. As against its earlier strategy of each business division

    dealing with the rural market on an individual basis, the multinational has now

    adopted a single organizational push approach to achieve greater penetration

    and sales. 123 derives over -#per cent of its sales from rural India, which

    makes this part of the market a critical growth aspect for the company. The

    company is now looking at the rural market from an organizational point of 

    view rather than from the individual businesses point of view. This approach is

    e"pected to lead to better cohesion, greater push and deeper penetration, which

    would eventually lead to better sales. +everal of 123 major business

    categories such as fabric wash, personal wash and beverages already get over 

    per cent of their sales from rural areas. 1owever, officials say that it is not

    enough that individual business divisions push their own strategies for the

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    17/78

    rural market, adding the company would have to work in unison in order to

    achieve a balanced growth.

    %.% 2in!u-tan 3ni'ever Limite!.

    %.%.1 ntro!uction

    1industan 2nilever 3imited @123B is IndiaDs largest 7ast oving

    onsumer =oods ompany with a heritage of over 4& years in India and

    touches the lives of two out of three Indians.

    123 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.

    >ith over $& brands spanning *# distinct categories such as soaps,

    detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea,

    coffee, packaged foods, ice cream, and water purifiers, the ompany is a

     part of the everyday life of millions of consumers across India. Its

     portfolio includes leading household brands such as 3u", 3ifebuoy, +urf 

    %"cel, /in, >heel, 7air 3ovely, 6ond9s, Caseline, 3akmK,

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    18/78

    subsidiary of 2nilever, one of the world9s leading suppliers of fast

    moving consumer goods with strong local roots in more than '##

    countries across the globe with annual sales of about L-- billion in *#''.

    2nilever has about &*: shareholding in 123.

    %.%.% 2i-tory

    In the summer of '))), visitors to the Folkata harbour noticed crates full

    of +unlight soap bars, embossed with the words ade in %ngland by

    3ever 5rothers. >ith it began an era of marketing branded 7ast oving

    onsumer =oods @7=B.

    +oon after followed 3ifebuoy in ')& and other famous brands like

    6ears, 3u" and Cim.Canaspati was launched in '') and the famous

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    19/78

    5rooke 5ond o. India 3imited was formed. 5rooke 5ond joined the

    2nilever fold in ')- through an international ac;uisition. The erstwhile

    3iptonDs links with India were forged in ')). 2nilever ac;uired 3ipton

    in '4* and in '44 3ipton Tea @IndiaB 3imited was incorporated.

    6ondDs @IndiaB 3imited had been present in India since '-4. It joined the

    2nilever fold through an international ac;uisition of hesebrough

    6ondDs 2+A in ')0.

    +ince the very early years, 123 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 liberalization of the Indian economy, started in '', clearly marked

    an infle"ion in 123Ds and the =roupDs growth curve. /emoval of the

    regulatory framework allowed the company to e"plore every single

     product and opportunity segment, without any constraints on production

    capacity.

    +imultaneously, deregulation permitted alliances, ac;uisitions and

    mergers. In one of the most visible and talked about events of IndiaDs

    corporate history, the erstwhile Tata Oil ills ompany @TOOB

    merged with 123, effective from April ', '$. In '0, 123 and yet

    another Tata company, 3akme 3imited, formed a ( joint venture,

    3akme 2nilever 3imited, to market 3akmeDs market!leading cosmetics

    and other appropriate products of both the companies. +ubse;uently in

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    20/78

    '), 3akme 3imited sold its brands to 123 and divested its : stake

    in the joint venture to the company.

    123 formed a ( joint venture with the 2+!based Fimberly lark 

    orporation in '-, Fimberly!lark 3ever 3td, which markets 1uggies

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    21/78

    7inally, 553I3 merged with 123, with effect from Hanuary ', '0.

    The internal restructuring culminated in the merger of 6ondDs @IndiaB

    3imited @6I3B with 123 in '). The two companies had significant

    overlaps in 6ersonal 6roducts, +pecialty hemicals and %"ports

     businesses, besides a common distribution system since '$ for 

    6ersonal 6roducts. The two also had a common management pool and a

    technology base. The amalgamation was done to ensure for the =roup,

     benefits from scale economies both in domestic and e"port markets and

    enable it to fund investments re;uired for aggressively building new

    categories.

    In Hanuary *###, in a historic step, the government decided to award 4-

     per cent e;uity in odern 7oods to 123, thereby beginning the

    divestment of government e;uity in public sector undertakings @6+2B to

     private sector partners. 123Ds entry into 5read is a strategic e"tension of 

    the companyDs wheat business. In *##*, 123 ac;uired the governmentDs

    remaining stake in odern 7oods.

    In *##$, 123 ac;uired the ooked +hrimp and 6asteurized rabmeat

     business of the Amalgam =roup of ompanies, a leader in value added

    arine 6roducts e"ports.

    123 launched a slew of new business initiatives in the early part of 

    *###9s. 6roject +hakti was started in *##'. It is a rural initiative that

    targets small villages populated by less than ## individuals. It is a

    uni;ue win!win initiative that catalyses rural affluence even as it benefits

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    22/78

     business. urrently, there are over -&,### +hakti entrepreneurs covering

    over '##,### villages across '& states and reaching to over $ million

    homes.

    In *##*, 123 made its foray into Ayurvedic health beauty centre

    category with the Ayush product range and Ayush Therapy enters.

    1industan 2nilever Metwork, heel which

    crossed the /s.*, ###crore sales milestone in *##).

    On '4th October *#'', 123 completed 4) years of corporate e"istence

    in India.

    %.%.) >i-ion

    2nilever products touch the lives of over * billion people every day ? 

    whether thatDs through feeling great because theyDve 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.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    23/78

    A c'ear !irection

    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(

    • >e work to create a better future every day

    • >e help people feel good, look good and get more out of life with brands

    and services that are good for them and good for others.

    • >e will inspire people to take small everyday actions that can add up to a

     big difference for the world.

    • >e will develop new ways of doing business with the aim of doubling the

    size of our company while reducing our environmental impact.

    >eDve always believed in the power of our brands to improve the ;uality

    of people9s lives and in doing the right thing. As our business grows, so

    do our responsibilities. >e recognise that global challenges such as

    climate change concern us all. onsidering the wider impact of our 

    actions is embedded in our values and is a fundamental part of who we

    are.

    *.*.- 6urpose principles

    Our corporate purpose states that to succeed re;uires the highest

    standards of corporate behaviour towards everyone we work with, the

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    24/78

    communities we touch, and the environment on which we have an

    impact.

    A'+ay- +or4ing +ith integrity

    onducting our operations with integrity and with respect for the many

     people, organisations and environments our business touches has always

     been at the heart of our corporate responsibility.

    Po-itive impact

    >e aim to make a positive impact in many ways( through our brands,

    our commercial operations and relationships, through voluntary

    contributions, and through the various other ways in which we engage

    with society.

    Continuou- commitment

    >eDre 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 a-piration-

    Our corporate purpose sets out our aspirations in running our business.

    ItDs underpinned by our code of business 6rinciples which describes the

    operational standards that everyone at 2nilever follows, wherever they

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    25/78

    are in the world. The code also supports our approach to governance and

    corporate responsibility.

    ?or4ing +ith other-

    >e want to work with suppliers who have values similar to our own and

    work to the same standards we do. Our 5usiness partner code, aligned to

    our own ode of business principles, comprises ten principles covering

     business integrity and responsibilities relating to employees, consumers

    and the environment.

    %.) Strategie- a!opte! 5y 2in!u-tan 3ni'ever Limite!.

    In rural India, health is of paramount importance, because indisposition

    is very directly related to loss of income. 3ifebuoy, whose ore e;uity is

    health and hygiene, has for decades now been synonymous with soap in

    ruralIndia.At the same time, if products have to come up the order in the

    rural purchase hierarchy, they have to be affordable. If rural India today

    accounts for about half of detergents sales, it is because 123 has

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    26/78

    developed low!cost value!for!money branded products, like >heel. The

    company has also taken initiatives to create markets even for apparently

     premium products, by offering them in pack sizes, like sachets, whose

    unit prices are within the reach of rural consumers. 7or e"ample,

    initiated in the 's, sachets @/s.*, /e.', or paisaB today constitute

    about &&: of 1industan 3everDs shampoo sales. >ith media reach

    gradually increasing, rural consumers today, where the media has its

    footprints, share the same aspirations with their urban counterparts. 123

    has responded to the trend with low unit price packs of even other 

     products ! 3u" at /s.&, 3ifebuoy at /s.*, +urf %"cel sachet at/s.'.,

    6ondDs Talc at /s.&, 6epsodent toothpaste at /est. &, 7air 3ovely +kin

    ream at/s.&, 6ondDs old ream at /s.&, 5rooke 5ond Taza tea at

    /s.&.

    %.).1 23L Penetration in *ura' 8ar4et:@

    The 7irst major step taken by 123 to penetrate the rural market is that it evolved

    its distribution model. +econdly in ') 123 personal products unit initiated

    6roject 5harat, the first and largest rural home!to!home operation to have ever 

     been prepared by anycompany. The project covered '$ million rural households

     by the end of '. Along with Operation5harat, 123 conceptualized 6roject

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    27/78

    +treamline to enhance its control on the rural supply chain through a network of 

    rural sub!stockiest based in these villages. This gave the company the re;uired

    competitive edge, and e"tended its direct reach to $4 per cent of the country rural

     population. Then 123 started Operation 1arvest which was used as a medium

    of communication with the villagers.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    28/78

    educational leaflets, audio!visual demonstrations, film songs and

    mythological serials interspersed with ads of 3ever product. lose to '0#

    vans and over thousand promoters @sales staff of the distributors or some

    other private operatorsB were pressed into Operation. The cost cameupto

    roughly /s.'$ crore. %ach van, e;uipped with a TC arid C/, had si"

     promoters. The project helped eliminate barriers to trial, and strengthened

    salience of both particular categories and brands.

    %.).)Li&e S+a-tiyaChetana

    In *##*, 133 has launched a similar large! scale direct contact, called

    3ifebuoy +wasthyahetana, which will cover about & crore people in

    '&,### villages of '# states. The project aims to generate awareness about

    good health!and!hygiene practices. It is a multi!phased activity which

    works towards effecting behavior change amongst the rural population it

    touches. It demonstrates that visible clean is not really clean thereby

     proving the importance of washing hands with soap. It targets children as

    they are the harbingers of change in society and mothers since they are

    the custodians of health. The campaign has been divided into various

     phases. In the initial phase, a 1ealth

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    29/78

    attractive prizes to reinforce the message are used. The =lo!=erm

    demonstration is a uni;ue tool to make unseen germs visible and

    emphasize the need to use soap to wash hands and kill germs. The first

    interaction with students is then replicated with the women and finally the

    rest of the community. The various stages reinforce the message and

    learning9s, which is crucial in order to affect awareness and behavior 

    change in favor of hand wash hygiene. The programmer has touched

    *4### villages and M people over the last four years. In*##0 alone

    35+ contacted '#,### villages in 26, 6, Hharkhand and 5ihar.

    %.).,23L Pro6ect Sha4ti

    123 has been proactively engaged in rural development since '40 with

    the initiation of the Integrated /ural

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    30/78

    decision!making. This results in better health and hygiene, education of 

    the children, especially the girl child, and an overall betterment in

    livingstandards. The most powerful aspect about this model is that it

    creates a win!win partnership between 123 and the consumers, some of 

    whom will depend on the organization for their livelihood, and builds a

    self!sustaining cycle of growth for all. It has since been e"tended to in

    Andhra 6radesh, 5ihar, hhattisgarh, =ujarat, 1aryana, Hharkhand,

    Farnataka, adhya 6radesh, aharashtra, Orissa, 6unjab, /ajasthan,

    Tamilnadu, 2ttar 6radesh and >est 5engal with the total strength of 

    over -#,### +hakti %ntrepreneurs. +hakti has three initiatives. The

    +hakti %ntrepreneur, a microenterprise initiative the +hakti Cahini

     program which translates as the voice of +hakti, training women to be

    communicators in the villages I +hakti, a group community portal that

    enables users to access information in a variety of areas. The software is

    voice enabled for illiterate users. 123 starts with the route sales person

    who identifies the +hakti entrepreneur for village. 123then provides the

     products and helps her understand what to do and how to realize

    ma"imum income. Through the +hakti Cani program women are trained

    in health and hygiene issues then teach what they have learned to the

    village communities. In *##-,+haktiCani covered '#,### villages and

    the vision is to cover ,### villages in *##&.i+hakti, the Internet!based

    rural information service, has been launched in Andhra 6radesh

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    31/78

    %.)./ Company Succe-- in *ura' 8ar4et

    The rural micro!enterprise has helped the /s '$,4'4!crore 1industan

    2nilever in pushing growth rates in several categories such as personal

    wash, fabric wash, shampoos, oral care and skin care. 5rands like

    Annapurna, 3u", 3ifebuoy, 5reeze, >heel, 7air 3ovely, 3akme,

    6onds, linic 6lus and 6epsodent have sold good numbers in smaller 

    markets, company sources said. Overall, around percntJ of 

    1industan 3ever revenues came from the rural markets in India.123

    sources said the project currently contributes handsomely to the

    company9s sales. The project was started in *##' to empower 

    underprivileged rural women by providing income!generating

    opportunities, health and hygiene education. +hakti9s ambit already

    covers about'& million rural populations. +everal rural pockets are

     populated by less than *###individuals but are seen as unreachable and

    remain untapped by consumer goods makers. Industry officials say the

    awareness level of rural consumers about products and brands are lesser 

    than the urban markets. Also, urban business models are not really

    successful in tapping the full potential of several small clusters of 

    consumers across remote markets.

    %.).( Su-taina5i'ity -trategy

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    32/78

    2nilever9s vision is to double the size of its business while reducing the

    overall impact 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 demand for consumer products. 6roducts like

    ours rely on an increasingly constrained set of natural resources, whether 

    it is fuel, water, or other raw materials.

    In 1industan 2nilever 3imited @123B, the principle of orporate

    /esponsibility @/B 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

     problems arising out of low awareness of health, hygiene, and nutrition.

    If these issues are not addressed soon, they will create insurmountable

     barriers to business growth. >e 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. %ven the seemingly

    small innovations in our brands and business processes can lead to a big

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    33/78

    difference in society as we touch the lives of two out of every three

    Indians.

    7or e"ample, if one household uses +urf %"cel detergent, it can conserve

    two buckets of water per wash. A million Indian households using +urf 

    %"cel can save enough water for meeting the basic hygiene needs of 

    many Indians. Thus, small individual actions multiplied with our large

    consumer base will make a big difference in combating the issues

    society faces.

    >e will further demonstrate that successful business strategies are driven

     by responsible business practices. The key to this approach is developing

    a / framework which integrates the social, economic, and

    environmental agenda with our business priorities ? growing markets,

    maintaining the competitive edge, enjoying goodwill in the communities

    we operate in, and building trust and an e"ceptional reputation. 1ence,

    in the future, the three cornerstones for / integration with business at

    123 will be(

    9ro+ing mar4et- re-pon-i5'y:  >e will address issues related to

    hygiene and nutrition through product innovations and awareness.

    =athering information about the concerns e"pressed by consumers,

    communities, and stakeholders can help us identify opportunities for 

    innovation at the category, brand, and marketing plan level. >e have a

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    34/78

    very strong and trusted position in India and we can leverage this to our 

    competitive advantage.

    En-uring -u-taina5'e practice- in our operation-: To secure a thriving

    future, we need to establish sustainable sources for raw materials. 5eing

    a company that is heavily dependent on water, agriculture, fuels and

     petrochemicals, we must plan now for a future in which water could be

    scarce, agriculture could be under pressure, and fuels will be e"pensive.

    Our consumers add up to two!thirds of the Indian populationJ hence

    addressing sustainability issues is a high priority.

    Bui'!ing a goo! reputation through re-pon-i5'e 'ea!er-hip:  / is

    one of the key components of reputation and trust. A good reputation can

     be a major competitive advantage and can build employer brand and

    consumer loyalty.

    2nilever +ustainable 3iving 6lan

    +mall actions, big difference

    Two billion times a day, somebody, somewhere, uses a 2nilever brand.

    Our products make small but important differences to the ;uality of 

     people9s everyday lives.

    >e have ambitious plans to grow our company, creating jobs and

    income for all whose livelihoods are linked to our success. 5ut growth at

    any cost is not viable.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    35/78

    >e have to develop new ways of doing business which will increase the

    social benefits from 2nilever9s activities while at the same time reducing

    our environmental impacts. This is why we have created the 2nilever 

    +ustainable 3iving 6lan.

    The Opportunity

    Our plan isn9t just the right thing to do for people and the environment.

    It9s also right for 2nilever( the business case for integrating

    sustainability into our brands is clear.

    Our Approach

    Our impact goes beyond our factory gates. The sourcing of raw materials

    and the use of our products by the consumer at home has a far larger 

    footprint. >e recognise this and so our plan is designed to reduce our 

    impacts across the whole lifecycle of our products. This full lifecycle

    approach is both ambitious and, we believe, uni;ue amongst global

    7= companies.

    The P'an

    The 6lan contains over concrete targets that will(

    • 1elp more than one billion people improve their health and well!being

    • 1alve the environmental impact of our products

    +ource '##: of our agricultural raw materials sustainably

    http://www.sustainable-living.unilever.com/the-opportunity/http://www.sustainable-living.unilever.com/our-approach/http://www.sustainable-living.unilever.com/the-plan/http://www.sustainable-living.unilever.com/the-opportunity/http://www.sustainable-living.unilever.com/our-approach/http://www.sustainable-living.unilever.com/the-plan/

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    36/78

    %., Be-t Practice- a!opte! 5y 2in!u-tan 3ni'ever

    Limite!.

    1. Fhusiyonkiheel, +urfe"cel, +unsilk, and

    loseup trail and awareness program launched in *#'#.

    %. 7air lovely launches foundation to promote economic empowerment of 

    women through education career and enterprise launched in *##-.

    ). 1industan 2nilever 3imited commits /s ) crore for immediate relief,

    rehabilitation to tsunami communities in *##&.

    ,. 6ostal department releases special lifebuoy swasthyachetna postal cover 

    in *##0. It is to influence community like +arpanch, edical practitioner 

    and panchayat members. 6racticing on basic 1ygiene concept and

    invisible germs.

    /. 1industan 2nilever 3imited supports and provide ' crore to Andhra

    6radesh and Farnatka flood victims in *##.

    (. +aluting the spirit of women empowerment *'* girls are being awarded

    with 7air lovely scholarship in *#'#.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    37/78

    C2APTE* )

    LT*EAT3*E *E>E?

    ).1 *e-earch pro6ect 1:

    Topic: +trategies 7or /ural arketing 5y An Organization @i.e , ITB

    Author-: /ajarshi /akshit @IIT, umbaiB

      .3.Marasimham @IIT, umbaiB

    Ashish =udhe @IIT, umbaiB

    Fartik Caddadi@IIT, umbaiB

    IT e!houpal, an innovative strategy which is elaborative and

    e"tensive in rural markets sofar. ritical factors in the apparent success

    of the venture are ITs e"tensive knowledge of agriculture, the effort

    IT has madeto retain many aspects of the e"isting production system,

    including retainingthe integral importance of local partners, the

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    38/78

    company9s commitment totransparency, and the respect and fairness

    with which both farmers and localpartners are treated.

    Source:6roject report @6hen it happens the marketersshould

    have already studied the lay of land andthought of the strategies and

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    39/78

    tactics for victory. Theonly way for e"istence is application of

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    40/78

     paper studies the changing paradigm of the Indian rural markets and

    suggests some ways in overcoming the roadblocks in rural selling. A

    new rural marketing mi" is suggested with special emphasis on the

    marketing communication mi".

    Conc'u-ion

    /ural arketing in India %conomy has always played an influential role

    in the lives of people. In India, leaving out a few metropolitan cities, all

    the districts and industrial townships are connected with rural markets.

    India has a population that is large, heterogeneous, largely %nglish

    speaking and a cultural heritage that runs back to thousands of years.

    The common binding factor being the historical background, over two

    hundred years of subjugation and the democratic republic it has

    developed into. Pet the most common factor is the lives of more than

    seventy percent of its population that lives in the rural areas and has

    similar economic and social circumstances. The major segmentation of 

    mass population is located in rural area. The market potential is huge in

    rural areas. It is this market strength in rural area that needs to be tapped.

     Mow days even the educational Institutions are concentrating on rural

    marketing, have developed special management programmes to cater to

    rural marketing and are doing market research in rural places. /ural

    markets are rapidly growing in India but have often been ignored by

    marketers. The following statistics is enough to throw light on the

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    41/78

    relevance of rural markets( forty si" percent of soft drinks are sold in

    rural markets, forty nine percent of motorcycles and fifty nine percent of 

    cigarettes are also consumed by rural and small town consumers. Apart

    from this fifty three percent of 7ast oving onsumer =oods and fifty

    nine percent of consumer durables have market in the rural belts. There

    are nearly -*,### rural haats @marketsB in India. 3I sells more than

     percent of its policies in rural India. Of the *# millions who have signed

    up for /ediff mail, 0# percent are from small towns The $# million

    Fisan redit ards @FB issued so far e"ceed the *& million credit!

     plus!debit cards issued in urban. These statistics clearly show a trend

    where the rural consumers are not only buying to fulfil their bare

    necessities but are also taking care of higher needs of comfort and

    socialisation. oreover they have turned highly technology savvy as

    demonstrated through the success of ITs echaupals and /ediff s rural‟

    success. As 6aul azur defines,D arketingDs role is delivery of a higher 

    standard of living to people in the society.D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    42/78

    C2APTE* ,

    *ESEA*C2 ES9N

    ,.1 ntro!uction

    /esearch design is considered as a blueprint for research, dealing with

    at least four problems( which ;uestions to study, which data are relevant,

    what data to collect, and how to analyze the results. The best design

    depends on the research ;uestion as well as the orientation of the

    researcher. %very design has its positive and negative sides. Others have

    referred to this distinction as N;uantitative research designs9 and

    N;ualitative research designs,9 respectively. 1owever, fi"ed designs need

    not be ;uantitative, and fle"ible design need not be ;ualitative. In fi"ed

    designs, the design of the study is fi"ed before the main stage of data

    collection takes place. 7i"ed designs are normally theory drivenJ

    otherwise it9s impossible to know in advance which variables need to be

    controlled and measured. Often, these variables are measured

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    43/78

    ;uantitatively. 7le"ible designs allow for more freedom during the data

    collection process. One reason for using a fle"ible research design can

     be that the variable of interest is not ;uantitatively measurable, such as

    culture. In other cases, theory might not be available before one starts

    the research.

    ,.%: Theoretica' Frame+or4 

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    44/78

    classrooms and how fre;uently do they occurE >hat have been the

    reactions of school administrators to technological innovations in

    teaching the social sciencesE 1ow have high school computing courses

    changed over the last '# yearsE 1ow do the new multimediated

    te"tbooks compare to the print!based te"tbooksE 1ow are decisions

     being made about using hannel One in schools, and for those schools

    that choose to use it, how is hannel One being implementedE >hat is

    the best way to provide access to computer e;uipment in schoolsE 1ow

    should instructional designers improve software design to make the

    software more appealing to studentsE To what degree are special!

    education teachers well versed concerning assistive technologyE Is there

    a relationship between e"perience with multimedia computers and

     problem!solving skillsE 1ow successful is a certain satellite!delivered

    +panish course in terms of motivational value and academic

    achievementE

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    45/78

    situation.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    46/78

    ,.,: Type o& !ata

    I have used both 6rimary and +econdry data in my research project

    report. 6rimary data has been collected through ;uestions which are

     being asked to people who are residing in rural areas through

    ;uestionnaire method. +econdry data has been collected through the

    website of 123 @i.ewww.hul.co.inB

    ,./: Samp'ing metho!

    %veryone mentions simple random sampling, but few use this method

    for population based surveys./apid surveys are no e"ception, since they

    too use a more comple" sampling scheme. +o whyshould we be

    concerned with simple random samplingE The main reason is to learn

    the theory ofsampling. +imple random sampling is the basic selection

     process of sampling and is easiest tounderstand.

    If everyone in a population could be included in a survey, the analysis

    featured in this bookwould be very simple. Instead of estimating the

    twoforms of average values in the population, they would be measuring

    directly. Of course, whenmeasuring everyone in a population, the true

    value is knownJ thus there is no need for confidence

    intervals. After all the purpose of the confidence interval is to tell how

    certain the author is that apresented interval brackets the true value in the

     population. >ith everyone measured, the true valuewould be known,

    unless of course there were measurement or calculation errors.>hen the

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    47/78

    true value in a population is estimated with a sample of persons, things

    get morecomplicated. /ather then just the mean or proportion, we need

    to derive the standard error for thevariable of interest, used to construct a

    confidence interval. This chapter will focus on simplerandom sampling

    or persons or households, done both with and without replacement, and

     presenthow to derive the standard error for e;ual interval variables,

     binomial variables, and ratios of twovariables. The latter, as described

    earlier, is commonly used in rapid surveys and is termed a

    ratioestimator. >hat appears to be a proportion, may actually be a ratio

    estimator, with its own formulafor the mean and standard error.

    ,.( Samp'e characteri-tic- an! Sie

    +ample which I have taken for my project report are residing in rural

    area. They were ;uite price conscious and they were considering about

    the discounts and offer which are provided by the company due to the

    unawareness of the campaigns and promotional offers of the company

    some of the people were not able to creep the profit of campaigns.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    48/78

    C2APTE* /

    ATA ANAL=SS AN

    NTE*P*ETATON

    /.1 ntro!uction

    The purpose of research is to discover answers to ;uestions through the

    application of scientific procedures. The main aim of research is to find

    out the truth which is hidden and which has not been discovered as yet.

    Though each research study has its own specific purpose but the

    research objectives can be listed into a number of broad categories, as

    following(!

     '. To gain familiarity with a phenomenon or to achieve new insights

    into it. +tudies with this object in view are termed as e"ploratoryresearch

    studies.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    49/78

    *. To portray accurately the characteristics of a particular individual,

    situation or a group. +tudies with this object in view are known as

    descriptive research studies.

    $. To determine the fre;uency with which something occurs or with

    which it is associated with something else. +tudies with this object in

    view are known as diagnostic research studies.

    /esearch methodology is a way to systematically solve the research

     problem. It may be understood as a science of studying how research is

    done scientifically. In it we study the various steps that are generally

    adopted by a researcher in studying his research problem along with the

    logic behind them. It is necessary for the researcher to know not only the

    research methods or techni;ues but also the methodology. Mo work can

     be completed without /esearch ethodology. /esearch ethodology is

    an important tool which provides a techni;ue to conduct the study

    efficiently and effectively. /esearch ethodology is a way to

    systematically solve the research problem.

    /.1.1 *e-earch e-ign

    /esearch

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    50/78

    The sample size of the research has been taken as

    /.1.) Source- o& !ata co''ection

    The information has been collected both by primary and secondary data.

    The primary data is collected through the survey of rural people.

    The secondary data has also been used from different sources like

    different websites reports, journals, company9s rule book and website of 

    the organization for increasing the knowledge regarding the topic of 

    study.

    /.%: Ana'y-i- o& !ata

    OPNON POLL S3*>E=

    6lease read each statement carefully and decide. 6lease do not omit any

    item.

    6lease answer the following ;uestions in the spaces provided. 6lease

    read each statement carefully and decide then indicate your degree of 

    agreementJ disagreement in attached response sheet. These ;uestions are

     based on rural marketing methods and strategies.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    51/78

    /.%.1 O5-ervation an! Ana'y-i-

    Tabulation and graphical representations have been used for data

    analysis.

    8'.>hich company9s product would you like to prefer from the following

    companiesE

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    Ta5'e no1: 6reference towards which company9s product.

    C*TE*A NO OF

    *ESPONENTS

    PE*CENTA9E

    IT '& $#:

    123 *# -#:

    =odrej #& '#:

    6roctar=amble #& '#:6almolive #& '#:

    Tota' /# 1##D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    52/78

    ITC

    HUL

    Godrej

    Proctar & Gamble

    Pamolive

    Fig.1:6reference towards which company9s product.

    nterpretation:+ince $#: customers prefer to have IT products and

    -#: prefer towards 123. 1ence majority preference of customers is

    towards 123 products

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    53/78

    8*. Are you aware about company named 1industan 2nilever 3imitedE

    aB Pes

     bB Mo

    Ta5'e no %: /egarding awareness about the company named 1industan

    2nilever 3imited.

    C*TE*A NO OF

    *ESPONENTS

    PE*CENTA9E

    Pes $& 4#:

     Mo '& $#:

    Tota' /# 1##D

     Yes

    No

    Fig.%:/egarding awareness about the company named 1industan

    2nilever 3imited.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    54/78

    nterpretation:+ince 4#: customers are saying yes for this ;uestion so

    most of the people are aware of the company named as 1industan

    2nilever 3imited.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    55/78

    8$. /ank these companies from '!& based upon their prices of their productE

    @'st  rank being best in pricing policy and & th  rank being the least in pricing

     policyB

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    Ta5'e no ):/egarding ranking of company based upon their prices of 

    their product.

    Company-

    name

    >9 9oo! Avg Poor >.P

    I.T. #4 '* #0 '* '$

    1.2.3 *- #$ #4 '# #0

    =odrej #' '# *0 #4 #0

    6roctor

    =amble

    # ') #) '* #$

    6almolive # #) #$ # **

    Tota' /# /# /# /# /#

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    56/78

    ITC

    HUL

    Godrej

    Proctar & Gamble

    Pamolive

    Fig.):/egarding ranking of company based upon their prices of their 

     product.

    nterpretation:/egarding ranking of company based upon their prices

    of their product 123 has gained more score then other companies and

    stood first in the ranking position.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    57/78

    8-. /ank these companies from '!& based upon their 8uality of their productE

    @'st rank being best in pricing policy and &th rank being the least in pricing

     policyB

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    Ta5'e no ,: /egarding ranking of company based upon their 8uality of 

    their product.

    Company-

    name

    >9 9oo! Avg Poor >.P

    I.T. '- '' #- '* #

    1.2.3 '$ # '& # #-

    =odrej #4 '& ' #& #-

    6roctor

    =amble

    # '# '# ') #$

    6almolive #4 #& #* #4 *

    Tota' /# /# /# /# /#

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    58/78

    ITC

    HUL

    Godrej

    Proctar & Gamble

    Pamolive

    Fig.,:/egarding ranking of company based upon their 8uality of their 

     product.

    nterpretation:/egarding ranking of company based upon their 8uality

    of their product I.T.has gained more score then other companies and

    stood first in the ranking position.

    8&. /ank these companies from '!& based upon their availabilityG accessibility

    of their productE

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    59/78

    @'st rank being best in pricing policy and &th rank being the least in pricing

     policyB

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    Ta5'e no /:/egarding ranking of company based upon their availabilityG

    accessibility of their product.

    Company-

    name

    >9 9oo! Avg Poor >.P

    I.T. $# #4 #* #$ #4

    1.2.3 # '& '- # #$

    =odrej #& #) #) '& '-

    6roctor

    =amble

    #& #& ' '' '#

    6almolive #' '& #) ' '0

    Tota' /# /# /# /# /#

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    60/78

    ITC

    HUL

    Godrej

    Proctar & Gamble

    Pamolive

    Fig./:  /egarding ranking of company based upon their availabilityG

    accessibility of their product.

    nterpretation:  /egarding ranking of company based upon their 

    availabilityG accessibility of their product I.T. has gained more score

    then other companies and stood first in the ranking position.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    61/78

    80. In the following products of 123 you are aware aboutE

    aB 7air lovely

     bB 3ifebuoy

    cB +urf %"cel

    dB +unsilk  

    eB 6epsodent

    fB lose!up

    Ta5'e no (: /egarding product awareness of 123 in rural customer.

    C*TE*A NO OF

    *ESPONENTS

    PE*CENTA9E

    7air

    lovely

    -# )#:

    3ifebuoy $# 0#:

    +urf %"cel -# )#:

    +unsilk -& #:

    6epsodent '# *#:

    lose!up $& 4#:

    Tota' /# 1##D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    62/78

    Fair & lovely

    Lifebuoy

    Surf ecel

    Su!sil"

    Pe#sode!t

    Close$u#

    Fig.(: /egarding product awareness of 123 in rural customer.

    nterpretation:+unsilk has the ma"imum awareness with #: of 

    respondents knowing about the product. This may be due to strategic

    rural marketing done by the marketers. 6epsodent runs last in the race in

    terms of awareness may be the company needs to focus upon creating

    higher awareness for it.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    63/78

    84. Are you aware about the discounts and festive offers which are given by

    1industan 2nilever 3imitedE

    aB Pes

     bB Mo

    Ta5'e no : /egarding awareness about the discounts and festive offers

    which are given by 1industan 2nilever 3imited.

    C*TE*A NO OF

    *ESPONENT

    S

    PE*CENTA9E

    Pes -# )#:

     Mo '# *#:

    Tota' /# 1##D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    64/78

     Yes

    No

    Fig.: /egarding awareness about the discounts and festive offers which

    are given by 1industan 2nilever 3imited.

    nterpretation: +ince )#: customers are saying yes for this ;uestion so

    most of the people are aware about the discounts and festive offers

    which are given by 1industan 2nilever 3imited.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    65/78

    8). Are these schemes @7ree gifts, discounts, offersB are profitable for

    youE

    aB Pes

     bB Mo

    Ta5'e no $: /egarding 6rofitability of the schemes which are launched

     by 123.

    C*TE*A NO OF

    *ESPONENT

    S

    PE*CENTA9E

    Pes $& 4#:

     Mo '& $#:

    Tota' /# 1##D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    66/78

     Yes

    No

    Fig.$: /egarding 6rofitability of the schemes which are launched by

    123.

    nterpretation: +ince 4#: customers are saying yes for this ;uestion so

    most of the people are thinking that they are profitable schemes which

    are launched by 123.

    8'#. Are you aware about the campaigns, products of 123 such asQE

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    67/78

    aB Fhusiyonkidoli

     bB 7air lovely economic empowerment of women

    cB 3ifebuoy +wasthyahetnaprogramme

    dB 7air 3ovely +cholarship

    Ta5'e no 0: /egarding Awareness of the campaigns which are launched

     by 123.

    C*TE*A NO OF

    *EPONENT

    S

    PE*CENTA9

    E

    Fhusiyonkidoli #& '#:

    7air lovely economic

    empowerment of women

    #& '#:

    3ifebuoy

    +wasthyahetnaprogram

    me

    $& 4#:

    7air 3ovely

    +cholarship

    #& '#:

    Tota' /# 1##D

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    68/78

    %usiyo! "i doli

    Fair & lovely eco!omic

    em#o'erme!t of 'ome!

    Lifebuoy S'astya Cet!a

    #ro(ramme

    Fair & Lovely Scolarsi#

    Fig.0: /egarding Awareness of the campaigns which are launched by

    123

    nterpretation:+ince 4#: customers are saying that they are aware

    about 3ifebuoy +wasthyahetnaprogrammeand rest of the campaigns

    are not that much effective.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    69/78

    8''. >hat are the factors influencing your buying decisionE

    aB 8uality

     bB %asy availability

    cB 8uantity

    dB 3ow prices

    Ta5'e no1#: /egarding factors influencing buying decision of rural

    customers.

    C*TE*A NO OF

    *ESPONENTS

    PE*CENTA9E

    8uality #& '#:

    %asy

    availability

    #& '#:

    8uantity '# *#:

    3ow prices $# 0#:

    Tota' /# 1##D

    )uality

    *asy availability

    )ua!tity

    Lo' #rices

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    70/78

    Fig.1#:  /egarding factors influencingbuying decision of rural

    customers.

    nterpretation:  +ince 0#: customers are saying that their buying

    decision goes with the low prices and *#: people are saying that their 

     buying decision is influenced with the ;uantity which they avail with the

     product.

    8'*. >hat would they need to focus on to satisfy your re;uirements even moreE

    aB 8uality

     bB %asy availability

    cB 8uantity

    dB 3ow prices

    Ta5'e no11: /egarding with the future needs which can satisfy the re;uirements

    of the rural consumers.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    71/78

    C*TE*A NO OF

    *ESPONENTS

    PE*CENTA9E

    8uality '# *#:

    %asy availability #& '#:8uantity *# -#:

    3ow prices '& $#:

    Tota' /# 1##D

    )uality

    *asy availability

    )ua!tity

    Lo' #rices

    Fig.11:  /egarding with the future needs which can satisfy the

    re;uirements of the rural consumers.

    nterpretation: +ince -#: customers are focusing upon the ;uantity

    which they avail while purchasing any product, $#: customer are

    focusing upon low prices, *#: are focusing upon ;uality of product and

    '#: are focusing upon easy availability of the product.

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    72/78

    C2APTE* (

    CONCL3SON

      Conc'u-ion

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    73/78

    Annexure

    Annexure 1:

    Bi5'iography

    '( /ural arketing ( Indian 6erspective! Awadhes Fumar +ingh,

    +atya6rakash6andey.

    *( /ural arketing ( %nvironment, 6roblems and +trategies!T.6

    =opalaswamy

    $( www.hul.org

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    74/78

    Annexure %:

    ue-tionnaire

     Mame of respondent( RRRRRRRRRRRR

    =enderRRRRRRRRRRRRRRR 

    Age of respondent( RRRRRRRRRRRRR 

    8'. >hich company9s product would you like to prefer from the following

    companiesE

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    fB Any other, please specifyRRRRRRRRRRRRRRRRR 

    8*. Are you aware about company named 1industan 2nilever 3imitedE

    aB Pes

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    75/78

     bB Mo

    8$. /ank these companies from '!& based upon their prices of their productE

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    8-. /ank these companies from '!& based upon their 8uality of their productE

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    8&. /ank these companies from '!& based upon their availabilityGaccessibility

    of their productE

    aB I.T.

     bB 1.2.3

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    76/78

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    80. In the following products of 123 you are aware aboutE

    aB 7air lovely

     bB 3ifebuoy

    cB +urf %"cel

    dB +unsilk  

    eB 6epsodent

    fB lose!up

    gB Any other, 6lease specifyRRRRRRRRRRRR 

    84. Are you aware about the discounts and festive offers which are given by

    1industan 2nilever 3imitedE

    aB Pes

     bB Mo

    8). Are these schemes @7ree gifts, discounts, offersB are profitable for youE

    aB Pes

     bB Mo

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    77/78

    8. /ank these companies from '!& based upon their +chemes, discounts which

    are profitable for youE

    aB I.T.

     bB 1.2.3

    cB =odrej

    dB 6roctor =amble

    eB 6almolive

    8'#. Are you aware about the campaigns, products of 123 such asQE

    aB Fhusiyonkidoli

     bB 7air lovely economic empowerment of women

    cB 3ifebuoy +wasthyahetnaprogramme

    dB 7air 3ovely +cholarship

    eB Any other, 6lease specifyRRRRRRRRRRRRRRRRRRR

    8''. >hat are the factors influencing your decisionE

    aB 8uality

     bB %asy availability

    cB 8uantity

    dB 3ow prices

    8'*. >hat would they need to focus on to satisfy your re;uirements even moreE

    aB 8uality

     bB %asy availability

  • 8/17/2019 Marketing Strategies for FMCG – a Case Study of Hindustan Unilever Limited

    78/78

    cB 8uantity

    dB 3ow prices