Surf Excel

Surf Excel

INTRODUCTION TO THE PROJECT REPORT

Introduction to the Study

Objectives of the Project

Scope of the study

Methodology of the study

Limitations of the study

Dr. Amedkar BBM College, Shimoga

Surf Excel

HISTORY OF DETERGENT

History of soap making

Surfactants in detergents

Packaging


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HISTORY OF WASHING POWDER


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MARKETING FUNCTIONS

Definition

Meaning of marketing

Importance of marketing

Functions of marketing


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HLL & FAMILY – IN THE EYES OF PRESS


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ANNALYSIS OF SURVEY FINDINGS

SUGGESTIONS & CONCLUSION


Surf Excel

INTRODUCTION TO PROJECT

HISTORY OF DITERGENT


MARKETING FUNCTION


ANALYSIS OF SURVEY & FINDINGS

SUGGESTION & CONCLUSION

ANNEXUARE

CONSUMER QUESTIONNAIRE

BIBLIOGRAPHY


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CHAPTER- 1

INTRODUCTION TO THE PROJECT REPORT

Marketing is a complex as well as composite process in a society by

which the demand structure for economic goods and service is to estimated

intelligently and also anticipated or enlarged and satisfied through conception,

promotion, exchange and physical distribution to satisfy the needs, desires and

wants of the consumers or the market places.

A product is a main factor for every marketing program. When

products plan or product ideas shares, the marketing programs starts and

marketing programs ends when consumer needs or desires are to be satisfied.

The customer is the controlling factor around which the entire marketing

activities are revolving. Beginning and end of the marketing management is

marketing research. Marketing research involves knowing more about the

ultimate consumer and the dealer and also about the marketing mix in every

market.


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As because of increase in consumers business grows larger and for the

effective control of growing commerce and business management should be

adequately developed and it should solve the managerial as well as marketing

problem by using managerial tools and decisions based on scientific

investigation and analysis of marketing problems.

In olden days production was very less, at that time consumer has to

reach for the products for satisfying their needs. As because of

industrialisation today it becomes difficult for a producer to sell his product in

the market. Because of increase in competition, substitutes etc., it is very

difficult to find a customer for this product, it led to creation of customer’s in

the market. Industrialisation put a turning point to the marketer’s process

and programs so effective marketing. Management becomes very essential for

the manufacture to retain in the market.

INTRODUCTION TO THE STUDY

This project report has aimed at giving detailed report of ‘Marketing

analysis of Surf Excel washing powder’.

From the necessary primary as well as secondary data collected within

the span of time available, analysis and interpretation have made and

conclusion has drawn on the subject.


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This project report gives analysis of survey findings, methodology

adopted and observations made in the improvements of the product from the

general point of view.

Decisions regarding marketing mix namely; Product, Price, Promotion

and Distribution are made on the basis of market research reports. Such

reports will help to decide different prices such reports may help the marketer

to adopt a particular strategy so as to get the maximum profit in the available

marketing conditions.

OBJECTIVES OF THE PROJECT REPORT

1. To increasing marketing knowledge through preparing these projects

report and know about marketing activities in practically.

2. To know about which factors of Surf Excel washing powder products

affecting both consumers and dealers.

3. To know about present position and competition of Surf Excel washing

powder in Bhadravathi market.

4. To point out the present quality, packing, advertisement and distribution

system of Surf Excel washing powder products is suited in the present

marketing circumstances.

5. To know about problems faced by the authorised dealers of Surf Excel

washing powder in Bhadravathi City.

6. To knowing about exact market of Surf Excel washing powder product at

present.


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7. To know about credit facilities of manufacturer, agency, wholesalers or

retailers, ultimate consumers.

8. To discover possible avenue for selling all items of Hindustan Lever Ltd.,

9. To know consumer and dealer behaviour through this product.

10. To analyse the performance of Hindustan Lever Limited.

METHODOLOGY OF THE STUDY

For the purpose of analysis of marketing of Surf Excel washing

powder, the survey has been conducted by the collection of both primary and

secondary data.

1. Source of Secondary data;

a. Journals.

b. News papers.

c. Encyclopaedia.

d. Text books.

e. Company’s Website

f. Company annual report.

2. Primary data have been collected through;

a. Interview with dealer to know the dealers opinion about the product, a

questionnaire was prepared and distributed to different dealers in

different area to now the factors affecting the dealers, their opinion

about quantity, price, packing, profit margin etc.,


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b. Interview with consumer to know the consumer opinion about this

product, a questionnaire was prepared and distributed to different

background consumers.

SCOPE OF STUDY

The Scope of this project report is restricted only to the study of

marketing analysis of Surf Excel washing powder.

The area of study has been restricted to Bhadravathi City only. The

report gives information in general. However, the survey has to be conducted

on sampling basis of consumers. Consumers are to be selected on random

basis for collecting information’s for the survey and it has been collected by

means of primary data.

LIMITATIONS OF THE STUDY

When dealers were contacted and requested for their opinion through personal

interview about the ‘study, cent percent answers were not obtained, because

some showed their reluctance to respond due to many different reasons. But as

for as possible it has seen tried the level best to get the correct, exact and precise

information towards the study.

Several information was not disclosed by the concerned authorities as

they felt it was necessary to keep this confidential. Hence the details of some

more critical points could not be disclosed here.


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Secondary data hardly available regarding Hindustan Lever Limited.

Due to the shortage of secondary source many information were not available,

although all necessary information was founded.

There are many chances of consumers justifying his purchase whether it is wrong

or right. This creates a bias in response.

This study has carried out under time constant. Due to this we have

drawn our interfere with whatever little response we get. Thus cent percent

accuracy cannot be expected by this report. However we feel that our

conclusions are practical and realistic.

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CHAPTER- 2

HISTORY OF DITERGENT


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The origins of personal cleanliness date back to prehistoric times. Since water is essential for life, the earliest people lived near water and knew something about its cleansing properties - at least that it rinsed mud off their hands.

A soap-like material found in clay cylinders during the excavation of ancient Babylon is evidence that soapmaking was known as early as 2800 B.C. Inscriptions on the cylinders say that fats were boiled with ashes, which is a method of making soap, but do not refer to the purpose of the "soap." Such materials were later used as hair styling aids.

Records show that ancient Egyptians bathed regularly. The Ebers Papyrus, a medical document from about 1500 B.C., describes combining animal and vegetable oils with alkaline salts to form a soap-like material used for treating skin diseases, as well as forwashing

At about the same time, Moses gave the Israelites detailed laws governing personal cleanliness. He also related cleanliness to health and religious purification. Biblical accounts suggest that the Israelites knew that mixing ashes and oil produced a kind of hairgel.

The early Greeks bathed for aesthetic reasons and apparently did not use soap. Instead, they cleaned their bodies with blocks of clay, sand, pumice and ashes, then anointed themselves with oil, and scraped off the oil and dirt with a metal instrument known as a strigil. They also used oil with ashes. Clothes were washed without soap in streams.

Soap got its name, according to an ancient Roman legend, from Mount Sapo, where animals were sacrificed. Rain washed a mixture of melted animal fat, or tallow, and wood ashes down into the clay soil along the Tiber River. Women found that this clay mixture made their wash cleaner with much less effort. The ancient Germans and Gauls are also credited with discovering a substance called soap, made of tallow and ashes, that they used to tint their hair red.

As Roman civilization advanced, so did bathing. The first of the famous Roman baths, supplied with water from their aqueducts, was built about 312 B.C. The baths were luxurious, and bathing became very popular. By the second century A.D., the Greek physician, Galen, recommended soap for both medicinal and cleansing purposes.

After the fall of Rome in 467 A.D. and the resulting decline in bathing habits,


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much of Europe felt the impact of filth upon public health. This lack of personal cleanliness and related unsanitary living conditions contributed heavily to the great plagues of the Middle Ages, and especially to the Black Death of the 14th century. It wasn't until the 17th century that cleanliness and bathing started to come back into fashion in much of Europe. Still there were areas of the medieval world where personal cleanliness remained important. Daily bathing was a common custom in Japan during the Middle Ages. And in Iceland, pools warmed with water from hot springs were popular gathering places on Saturday evenings

HISTORY OF SOAP MAKING

Soapmaking was an established craft in Europe by the seventh century. Soapmaker guilds guarded their trade secrets closely. Vegetable and animal oils were used with ashes of plants, along with fragrance. Gradually more varieties of soap became available for shaving and shampooing, as well as bathing and laundering.

Italy, Spain and France were early centers of soap manufacturing, due to their ready supply of raw materials such as oil from olive trees. The English began making soap during the 12th century. The soap business was so good that in 1622, King James I granted a monopoly to a soapmaker for $100,000 a year. Well into the 19th century, soap was heavily taxed as a luxury item in several countries. When the high tax was removed, soap became available to ordinary people, and cleanliness standards improved.

Commercial soapmaking in the American colonies began in 1608 with the arrival of several soapmakers on the second ship from England to reach Jamestown, VA. However, for many years, soapmaking stayed essentially a household chore. Eventually, professional soapmakers began regularly collecting waste fats from households, in exchange for some soap.

A major step toward large-scale commercial soapmaking occurred in 1791 when a French chemist, Nicholas Leblanc, patented a process for making soda ash, or sodium carbonate, from common salt. Soda ash is the alkali obtained from ashes that combines with fat to form soap. The Leblanc process yielded quantities of good quality, inexpensive soda ash.

The science of modern soapmaking was bom some 20 years later with the discovery by Michel Eugene Chevreul, another French chemist, of the chemical nature and relationship of fats, glycerine and fatty acids. His studies established the basis for both fat and soap chemistry.

Also important to the advancement of soap technology was the mid-1800s invention by the Belgian chemist, Ernest Solvay, of the ammonia process, which also


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used common table salt, or sodium chloride, to make soda ash. Solvay's process further reduced the cost of obtaining this alkali, and increased both the quality and quantity of the soda ash available for manufacturing soap.

These scientific discoveries, together with the development of power to operate factories, made soapmaking one of America's fastest-growing industries by 1850. At the same time, its broad availability changed soap from a luxury item to an everyday necessity. With this widespread use came the development of milder soaps for bathing and soaps for use in the washing machines that were available to consumers by the turn of the century.

HISTORY OF DETERGENT MAKING

The chemistry of soap manufacturing stayed essentially the same until 1916, when the first synthetic detergent was developed in Germany in response to a World War I-related shortage of fats for making soap. Known today simply as detergents, synthetic detergents are non-soap washing and cleaning products that are "synthesised" or put together chemically from a variety of raw materials. The discovery of detergents was also driven by the need for a cleaning agent that, unlike soap, would not combine with the mineral salts in water to form an insoluble substance known as soap curd.

Household detergent production in the United States began in the early 1930s, but did not really take off until after World War II. The war-time interruption of fat and oil supplies as well as the military's need for a cleaning agent that would work in mineral-rich sea water and in cold water had further stimulated research on detergents.

The first detergents were used chiefly for hand dishwashing and fine fabric laundering. The breakthrough in the development of detergents for all-purpose laundry uses came in 1946, when the first "built" detergent (containing a surfactant/builder combination) was introduced in the U.S. The surfactant is a detergent product's basic cleaning ingredient, while the builder helps the surfactant to work more efficiently. Phosphate compounds used as builders in these detergents vastly improved performance, making them suitable for cleaning heavily soiled laundry.

By 1953, sales of detergents in this country had surpassed those of soap. Now detergents have all but replaced soap-based products for laundering, dishwashing and household cleaning. Detergents (alone or in combination with soap) are also found in many of the bars and liquids used for personal cleansing.

Since those early achievements in detergent and builder chemistry, new product activity has continued to focus on developing cleaning products that are efficient and easy to use, as well as safe for consumers and for the environment. Here's a summary of some of thoseinnovations:


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1950s

Automatic dishwasher powders Liquid laundry, hand dishwashing and all-purpose cleaning products Fabric softeners (rinse-cycle added) Detergent with oxygen bleach

1960s

Prewash soil and stain removers Laundry powders with enzymes Enzyme presoaks

1970s

Liquid hand soaps Fabric softeners (sheets and wash-cycle added) Multifunctional products (e.g., detergent with fabric softener)

1980s

Detergents for cooler water washing Automatic dishwasher liquids Concentrated laundry powders

1990s ]

Ultra (superconcentrated) powder and liquid detergents Ultra fabric softeners Automatic dishwasher gels Laundry and cleaning product refills


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Pages:

SURFACTANTS IN DETERGENTS

A detergent is an effective cleaning product because it contains one or more surfactants. Because of their chemical makeup, the surfactants used in detergents can be engineered to perform well under a variety of conditions. Such surfactants are less sensitive than soap to the hardness minerals in water and most will not form a film.

Detergent surfactants were developed in response to a shortage of animal and vegetable fats and oils during World War I and World War II. In addition, a substance that was resistant to hard water was needed to make cleaning more effective. At that time, petroleum was found to be a plentiful source for the manufacture of these surfactants. Today, detergent surfactants are made from a variety of petrochemicals (derived from petroleum) and/or oleochemicals (derived from fats and oils).

Petrochemicals and Oleochemicals

Like the fatty acids used in soapmaking, both petroleum and fats and oils contain hydrocarbon chains that are repelled by water but attracted to oil and grease in soils. These hydrocarbon chain sources are used to make the water-hating end of the surfactant molecule.

Other Chemicals

Chemicals, such as sulfur trioxide, sulfuric acid and ethylene oxide, are used to produce the water-loving end of the surfactant molecule. Alkalis As in soapmaking, an alkali is used to make detergent surfactants. Sodium and potassium hydroxide are the most common alkalis.


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How Detergent Surfactants Are Made

Anionic Surfactants

The chemical reacts with hydrocarbons derived from petroleum or fats and oils to produce new acids similar to fatty acids.

A second reaction adds an alkali to the new acids to produce one type of anionic surfactant molecule.

Nonionic Surfactants

Nonionic surfactant molecules are produced by first converting the hydrocarbon to an alcohol and then reacting the fatty alcohol with ethylene oxide.

These nonionic surfactants can be reacted further with sulfur-containing acids to form another type of anionic surfactant.

HOW SOAPS AND DETERGENTS WORK

These types of energy interact and should be in proper balance. Let's look at how they work together.

Let's assume we have oily, greasy soil on clothing. Water alone will not remove this soil. One important reason is that oil and grease present in soil repel the water molecules.

Now let's add soap or detergent. The surfactant's water-hating end is repelled by water but attracted to the oil in the soil. At the same time, the water-loving end is attracted to the water molecules.

These opposing forces loosen the soil and suspend it in the water. Warm or hot water helps dissolve grease and oil in soil. Washing machine agitation or hand rubbing helps pull the soil free.


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MANUFACTURING OF POWDER DETERGENTS

Powder detergents are produced by spray drying, agglomeration, dry mixing or combinations of these methods.

In the spray drying process, dry and liquid ingredients are first combined into a slurry, or thick suspension, in a tank called a crutcher (1). The slurry is heated and then pumped to the top of a tower where it is sprayed through nozzles under high pressure to produce small droplets. The droplets fall through a current of hot air, forming hollow granules as they dry (2). The dried granules are collected from the bottom of the spray tower where they are screened to achieve a relatively uniform size (3).

After the granules have been cooled, heat sensitive ingredients that are not compatible with the spray drying temperatures (such as bleach, enzymes and fragrance) are added (4). Traditional spray drying produces relatively low density powders.

New technology has enabled the soap and detergent industry to reduce the air inside the granules during spray drying to achieve higher densities. The higher density powders can be packed in much smaller packages than were needed previously.

Agglomeration, which leads to higher density powders, consists of blending dry raw materials with liquid ingredients. Helped by the presence of a liquid binder, rolling or shear mixing causes the ingredients to collide and adhere to each other, forming larger particles.

Dry mixing or dry blending is used to blend dry raw materials. Small quantities of liquids may also be added.


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PACKAGING

The final step in the manufacture of soaps and detergents is packaging. Bar soaps are either wrapped or cartoned in single packs or multipacks. Detergents, including household cleaners, are packaged in cartons, bottles, pouches, bags or cans. The selection of packaging materials and containers involves considerations of product compatibility and stability, cost, package safety, solid waste impact, shelf appeal and ease of use.


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Surf – Mummy's best friend

Launched in 1959, Surf was the first in the Indian detergent powder market. Over the years, Surf has anticipated the changing washing needs of the Indian homemaker and constantly upgraded itself.

Surf Excel, India's largest selling compact detergent powder, in its newest avatar promises to tackle the toughest stains without damaging the color of the fabric. This is because only Surf Excel has smart sensors that can differentiate stains from colors. Now you don't have to worry about tackling the really tough stains, especially on your colored clothes anymore. 'Surf Excel Hai Na!'

For those who seek the Surf Excel clean in the front loaders, the specially designed low suds formulation Surf Excelmatic promises to give just that - a superlativeclean.

Those preferring the modern and convenient way to wash can rely on Surf Excel Liquid. The liquid form penetrates deep allowing great wash results. For the really tough stains, you can apply the liquid directly on the body of stain (through a stain treater) - you will see tough stains being tackled with ease.

With years of laundry expertise, Surf Excel now has a Careline, [email protected] that can answer all queries on fabric care

CHAPTER - 3



mailto:[email protected]

Surf Excel

Surf Excelmatic relaunched with improved formulationMumbai May 5, 2000

Exclusive detergent for front-loading washing machines

Hindustan Lever Limited (HLL) has re-launched its top of the line variant of Surf Excel, the Surf ExcelMatic washing machine detergent, with an improved formulation.

A front loader specialist, Surf ExcelMatic makes it easier to tackle the widest range of tough stains in front loaders. Surf ExcelMatic is designed to meet consumer expectations of top performance from their front loading washing machines.

Ordinary detergents produce excessive lather, which cushions the impact of the tumble wash in front loader washing machines. This can harm the machine, besides compromising on the quality of cleaning.

New Surf ExcelMatic has a special low-lather formulation, specifically created for the tumble wash technology of front loader. This allows clothes to tumble freely, squeezing out a range of tough stains. The result is an excellent stain-free and gentle clean, significantly better than that of ordinary high-foaming detergents.

New Surf ExcelMatic has been tested on all existing front loader machines in the country and has been found to produce the best results. Siemens, the inventors of front loading (or tumble wash) technology also recommend Surf ExcelMatic for front loaders.

Surf ExcelMatic is available at 1kg and 500 gm packs, priced at Rs 160 and Rs 85 respectively. .


Surf Excel

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CHAPTER- 4

MARKETING FUNCTIONS

DEFINITION

Marketing is a comprehensive term and it includes directing and

facilitating the flow of goods and services from produces to consumers in the

process of distribution. Marketing comprises all activities involved in the

determination and satisfaction of consumer needs. Marketing encompasses all

activities of exchange conducted by producers and middleman in commerce

for the purpose of satisfying consumers needs or demand.

The American Marketing Association defines marketing as ‘the

performance of business activities that direct the flow of goods and services

from produces to consumers or users’. This definition does not clarify the

business activities to be includes in marketing. It only emphasis distribution

aspects of the market and fails to stress managerial aspects of marketing.

Philip Kotler defines marketing as ‘The set of human activities

directed at facilitating and consummating exchange’. The essence of


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marketing is exchange of products and the transaction is to satisfy

human needs and wants with the changing of time, definition is

prescribed in the past also requires modification.

The institute of Marketing of the United Kingdom defined marketing is

the inactive management function, which promotes trade and employment by

assessing consumer needs and initiating research development to meet them.

If co-ordinates the resources of prevention and distribution of good and scope

of total effort required to sell profitably the maximum production to the

ultimate users.

Accordingly the Council of the Institute of the Marketing defined

marketing as ‘The management function which organises and directs all these

business activities involves in assessing and converting customer purchasing

power into effective demand for a specific product service and a moving the

profit target or other objectives set by a company.

WHAT MARKETING DOES?

It is available to understand what is included in marketing activities,

marketing is invariably connected with the insight or research into customer

behaviour, namely what the customers want, need, prefer and value, who are

the prospects and where they live; their incomes and mode of spending; how

they make purchase decisions and so on.

Marketing deals with the product policy that is what type of products or

products should be manufactured. The determination of price and the terms of

payments are also covered in the product policy. The amount of discount to

be allowed to the distributor of the products and whether to assists on cash


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payments or allow the customer deferred payment facilities, must also be

considered while formulating the product policy.

Marketing decides the channels of distribution taking in to

consideration the availability of the distributor, salesmen compensation,

training of salesmen and placement of salesmen. Marketing is also concerned

with advertising and promotion. Example, where the advertising should be

done on the radio or in magazines or newspaper or not at all. It also decides

the mode of advertising programmes as well as sales promotional methods and

displays finally. It also deals with the type of organisation required for

marketing effectiveness.

Thus, marketing tries to define the right type of products in terms of the

company’s objectives and attempts to make it available at right place and at

the right price, with the right promotion. All these function attempts to

perform in turns of the consumers at who the activities are aimed. This is

described as ‘consumer orientation’; decisions in these areas are assisted by

marketing research.

MEANING OF MARKETING

Marketing refers to all business actives involved in the determined

creation and satisfaction of human wants at fair prices. The meaning of

the marketing is studied under two concepts;

a. Traditional marketing concepts

b. Modern marketing concepts

According to traditional marketing concepts marketing refers to the

sum total of all those activities, which are related to the flow of goods from


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the point of origin to the point of consumption. Traditional concepts were

sales-oriented mere distribution is give importance in traditional concept.

According to modern marketing is the process of discovering and

translating consumer wants in to products and services and the in turns of

helping, making it possible for more and more consumers to enjoy more and

more of these products and services.

Modern marketing is consumer oriented it is designed to satisfy the

needs, requirements and acceptance of the consumer. Consumer oriented

marketing is different job. It is conditioned by two sets of factors, which are

as fallows;

1. Controllable factors

2. Uncontrollable factors

Controllable factors are those factors, which cannot be controlled by an

organisation. They include consumer’s behaviours, trader’s behaviour,

competitor’s behaviour and government behaviours.

IMPORTANCE OF MARKETING:

Marketing is recognised as most significant activity in our society.

Marketing is all around us. Our very existence, our entire economic life

style are continuously affected by wide range of marketing activities.

The food we eat, the cloths we wear, the house that shelters us, the

comforts we enjoy at our home and work place, the wealth and welfare

activities which gives us peace of mind, all these are greatly effected

each day by the marketing systems.


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Marketing alone can give goods and services we want and used at

our doors, our entire economic life fails to shoulders its main

responsibility discovering and serving market demand. Marketing has

achieved social importance because it is entrusted with the task of

creation and delivery of standard of living in society. Marketing is the

vital connecting link between producer and consumers. Optimum

production and optimum consumption can secure optimum standard of

living in an economy. Marketing is directly responsible to maintain

equilibrium between mass production and mass consumption.

FUNCTIONS OF MARKETING

Clark and Clark classified marketing functions are as fallows:

MARKETING FUNCTIONS

Functions of Functions of Facilitating Exchange Physical supply Function

a) Buying a) Transportation a) Financing and Assemblingb) Assembling b) Storage b) Risk bearing

c) Standardization and grading

d) Marketing


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Information

1. Function of exchange:

Function of exchange refers to the functions related to the transfer

of goods from the producers or merchants to the consumer. They

include buying and selling.

Buying in marketing implies buying goods by manufacturers for

using production for re-sale. Buying refers to purchase of right quality

of goods in right quantity at right time from the right source at right

price.

Assembling starts only after buying is over. Collection of some type of

goods bought from different places at one central point is knows as

assembling.

Selling is the sum total of all those activities that help in transfer

of goods from seller to the buyer at the profitable price. Selling includes

following functions.

1. Product planning

2. Contractual function

3. Demand creation

4. Negotiations

2. Functions of Physical Supply:

A physical supply function refers to those functions, which are

connected with the creation of time and place utility. This include:


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a. Transportation:

It refers to physical movement of goods from the place of production to

the place of consumption. Transportation is an integral part of marketing

b. Storage:

It refers to holding and preserving of goods between the time of their

production and time of their use.

3. Facilitating Functions:

Facilitating functions refers to all those marketing functions,

which facilitate process of exchange. They include:

a. Financing:

Financing refers to provision of finance for meeting the financial

requirement of various activities.

b. Risk Bearing:

Marketing involves a number of risks owing of a force contingencies.

There may be determination of goods in the water houses or loss by theft or

loss by fire. They may become unsalable.

c. Standardisation and grading:

Standardisation means establishment of standards based on certain

physical properties of the product. Standards are set by referring to size,

colour, shape, taste, weight ext.,

Sorting out the goods according to certain standard and classifying

them to different groups constitute grading.

d. Market information:


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Accurate and up-to-date information of the market condition is

essential for successful marketing. With the help of information many of the

marketing problems can be solved or new products can be introduced or

policy may be changed.

MARKETING MIX POLICY

The marketing mix is the interplay of 4 basic and inter related

elements of a marketing program the 4 P’s –Product, price, promotion

and physical distribution. They will be examined one at a time, but its of

primary importance that to realise that they are interdependent. A

change on one element usually brings on a change in the others. Prosper

or chestrotion of these elements is the key to a sound marketing

programme.

a. Product mix policy of Hindustan Lever Limited:

One major management aspect involved in product policy is the

decisions concerning product mix. The product mix is one of the

elements in product policy. This more important now a days since most

of the manufacturers are diversifying their products. The products

policy decisions are made of these different levels; products mix,

product items and product lines. These three in one elements make the

product planning effective.

Product mix is the list of all products offered for sale by a company.

The composite of products offered for sale by a firm or a business unit. The

product mix is three dimensioned, it has breadth, depth and consistency.


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Breadth is measured by the number of variety of products manufactured by a

single manufacture. Depth refers to the assortment of sizes, colours and

models offered with in each product line. Consistency refers to the close

relationship of various product lines either to their end use or to production

requirements or to distribution channels or to other variables.

Branding policy of Hindustan Lever Limited:

The term ‘Brand’ is a comprehensive one. In one-way or the other, it

includes more particularised terms. A brad is a name, symbol or design or a

combination of them, which is intended to identify the goods or service of one

seller or group of sellers and to differentiate them form those of competitors.

A brand name consists of words and letters. A brand mark is a part of the

brand. It appears in the form of symbol or design. The brand and trademark

more or less synonymously are to be differentiated. A trademark is an

identifying mark that gives legal protection to a company. Hence all the

products of that, if it is so desires, will go with the same trade mark. It is for

the customers to identify the company for its good will.

The entire products manufactured by the Hindustan lever will have the

brand name printed and also covered about the stickers of the product.

Because of the popularity of the ‘Hindustan Lever’ brand name it easy

for the agent to market the product without much difficulty. It is also

advantage on part of the consumers to purchase Surf Excel Washing powder

without any suspects about the quality of the products.

Packaging policy of Hindustan lever limited:


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A good package is the representation of the artistic combination of the

designer’s creative skills and the product and marketing and sales knowledge

of the manufacture management team. The development of technicians, the

advertising man, the marketing expert, the sales department and the top

management. At time, it may include in the team of the use of packaging

committee and packaging directions, the role of independent designer and

delegation of market research in the solution of the packaging problems.

Packaging is general group of activities in product planning, which

involve designing and producing the container or wrapper for a product

packaging is a brand activity that requires careful consideration by the

management.

The potentialities of packaging especially in the field of demand

creation have been widely accepted now. It is often remarked as a silent

salesman. This is perfectly so because of its advertising appeal, identifying

power and intrinsic value.

b. Pricing policy of Hindustan lever limited:

One of the most important and critical areas in marketing management

is the pricing of product. It is the second’ P’ in the marketing mix. Decisions

on pricing have considerable effect in marketing. A wrong pricing decision

can nullify the effect of al right decisions relating to price and reflect many

things. Price is a vital importance to both buyer and sellers. In money

economy without price there can be no marketing.

Price is one of the most important elements in the marketing mix. It is

only element in the marketing mix that produces revenue, all other elements

represents cost. Hence companies will have to give utmost importance to


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pricing and handle it very carefully. Price is set independently of the rest of

the marketing mix rather than as an intrinsic element of market positioning

strategy and price is not varied enough for different product items and market

segments.

The price of various products of Hindustan Lever Limited are done

effects careful and through investigations of the cost of the goods, the market

position, the competitors and the rise in price etc. As for as pricing policy is

concerned, they will give least important to competitive because they have

competitive monopoly over the market.

c. Distribution policy of Hindustan lever limited.

In the modern world, production and distribution have become very

complex. Goods are produced in far away places, where as consumers are

scattered throughout the country and abroad under the circumstances. The

producers will not be able to sell goods directly to the ultimate consumers.

The reasons are many; the producer’s lacks financial resources, he has to

maintain large-scale force. The products may not justify the establishment of

separate sales outlets, problems of management and control arise instead of

spending a lot of time and energy on distribution, he can concentrate on

production, and so on. Naturally he has to depend on intermediaries for the

physical distribution of his goods.

A channel of distribution is an organised network of agencies and

situation, which in combination performs all the activities, required linking

producers with users and users with producers, in order to accomplish the

marketing task. The channel enables the seller to find out the users of its

merchandise and helps the buyers to obtain the product he wants. A channel

of distribution for a product is the route taken by the title to the product as it


Surf Excel

moves from the producers to the ultimate consumers or industrial users. A

channel is the pipeline though which a product follows on its way to the

consumers. The manufacturer puts his products in to the online or marketing

channel and carious marketing people move it along to the consumers at the

other end of the channel. A channel of distribution is the particular route

through which a product moves from the manufacturer to the consumer who

wants it and in this process the little is also transferred to the consumer. A

channel usually includes three parts the producer, final consumer and the

middleman who are engaged in the transfer of title.

Channel of the distribution of the company is follows;

Hindustan Lever Limited

Dealer

Whole Salers

Retailers

Consumers

d. Promotion mix policy of Hindustan lever limited:

The term promotion is very often needed as synonymous word for

selling, but selling is narrow term, which includes only transfer of title.

Promotion involves the creation and expansion of demand. After product


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planning and development, it is introduced in the market and its demand is

enhanced through the promotional activities.

Promotion is any communicating activities whose main objectivity’s

are to move forward product service or idea in a channel of distribution. It is

an effort by the marketer to inform and persuade buyers to accept research

recommend or used in the article, service or idea which is being promoted.

The promotional activity always attempts to effect knowledge, attitude and

preferences and behaviour of buyers.

The overall purpose of promotion is to influence buyer’s behaviour and

to establish a link between the products and consumers. The increased

competition between different industries has made customers more selective in

their buying choice and a good promotional program is needed to reach them.

A good promotional mix involves by the company or co-operation of

sales force activities and other promotional efforts. Each promotional route

has its own unique characteristics and cost.

********


Surf Excel

CHAPTER – 6

ANNALYSIS OF SURVEY FINDINGS

INTRODUCTION

Today, consumer is the king in the market, consumer is only Judge.

The repetition of a product is entirely dependent upon his attitude towards the

product. So his satisfaction should be the ultimate motto of the producers and

marketer. Consumer’s interest should be taken in to consideration while

taking marketing decision. It is through consumer satisfaction only the

producer and marketer can improve their sales and profit.

Much opinion will come when a survey is made for preference,

improvement of a product, but the opinion of consumer is more important.

This report gives analysis of opinion collected from the customer

regarding marketing of washing powder especially Surf Excel washing

powder.

Consumer survey finding

The total number of respondent’s interviewed were 50. Out of these

almost all consumers had used washing powder fully and it was observed that

the Surf Excel washing powder is quite well known in the city.


Surf Excel

TABLE SHOWING DEMOGRAPHICAL FACTORS

Age Annual

income

In Rs.

OCCUPATION

Student

Self

employ

ee

Pvt.

Employee

Govt.

employ

ee

Others

Total

Bellow

20

years

Bellow

50000

7 1 8

50000-

100000

5 1 6

100000

-

150000

150000

-&

above

1 1 2

Total 13 1 2 16

20 to

35

years

Bellow

50000

3 4 7

50000-

100000

6 5 4 15

100000

-

150000

1 3 1 5

150000

-&

1


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above

Total 10 12 5 27

35 to

45

years

Bellow

50000

50000-

100000

2 2

100000

-

150000

1 1 1

150000

-&

above

1 1 2

Total 1 4 1 5

45

years

&

above

Bellow

50000

1 1

50000-

100000

1 4

100000

-

150000

2 1

100000

-

150000

1

Total 2 6 1 2

Total Bellow

50000

10 5 1 16

50000-

100000

11 5 7 23

100000

-

1 4 4 7


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150000

100000

-

150000

1 1 2 4

Total 23 10 18 1 50

Classification of respondents based on educational qualification & gender

Qualification No. of respondents

Percentage

Male Female Total

Bellow SSLC -- 1 1 2

P.U.C 1 3 4 8

Graduate 14 24 38 76

Post graduate 4 3 7 14

Others -- -- -- --

Total 19 31 50 100

From the above table indicates educational background of respondents, out of

50 respondents

2% of respondents belong to the category of SSLC.

8% of respondents belong to the category of PUC.

76% of respondents belong to the category of Graduate.

14% of respondents belong to the category of postgraduate.

Therefore 76% of the respondents are graduates.


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Table showing the usage of washing powder by respondents

Response No. of respondents Percentage

Use 50 100

Not use 0 0

Total 50 100

The above table shows 100% of the respondents have used washing powder.


Surf Excel

Table showing usage branded washing powder

Washing

powder

No. of respondents Percentage

Branded 50 100

Unbranded 0 0

Total 50 100


Surf Excel

From the above table we can conclude that 100% of the respondents have

used cloth-washing powder & 100% were is used branded washing powder.

Table showing types of branded washing powder

Brands No. of respondents Percentage

Surf excel 32 64

Ariel 6 12


Surf Excel

Nirma 4 8

Rin 3 6

Henko 5 10

Others -- --

Total 50 100

Above table shows that 64% of people use Surf excel, 12% of them using

Ariel, 8%, 6% & 10% of them using Nirma, Rin, Henko respectively no one using

other than above specified brands.

Table showing no. of respondents who had used Surf Excel



Surf Excel

Used 32 64

Not used 18 36

Total 50 100

Above table shows that 32 respondents i.e. 64% of people use Surf Excel &

36% of people not used the Surf Excel.

Table showing the regular uses of surf excel


Yes 32 100


Surf Excel

No -- --

Total 32 100

Above table shows that 32 respondents are regular of Surf Excel & that

means 100%.

We can conclude that 32 people are uses Surf Excel.

Table showing since how long respondents are using Surf Excel.

Particulars No. of respondents Percentage

Since 1 year 20 64

1-3 years 5 16

3-5 years 6 17


Surf Excel

Above 5 years 1 3

Total 32 100

Above table shows that 64% of respondents are using Surf Excel from since 1

year, 16% of people are using from 1-3 years, 17% of people are using from 3-5

years & remaining 3 % are using Surf Excel from more than 5 years.

We can conclude that 64% of respondents are more using from one year.

Table showing which Surf do respondents use

Particulars No of respondents Percentage

Surf Excel 25 78

Surf Excel Matic 7 22


Surf Excel

Total 32 100

Above table shows that 78 of respondents are using Surf Excel and 22% of

the people are uses of Surf Excel Matic.

We conclude that the purchase of Surf Excel is more i.e. 78%.

Table representing the factors, which influenced respondents to adopt Surf Excel

Factors No. of respondents Percentage

Brand image 18 57


Surf Excel

Quality 7 22

Fragrance 6 18

Price 1 3

Advertisement - -

Others - -

Total 32 100

From the above table it is clear that 57% of respondents are influenced by

brand image, 22% of respondents are influenced by quality, 18% of respondents are

influenced by fragrance & remaining 3% of respondents are influenced by price. No

one influenced by Ad & other factors.

Here we can conclude that brand image plays a major role in purchasing the

surf Excel i.e. 57%.

Table showing opinion about quality of Surf Excel

Opinion No of respondents Percentage


Surf Excel

Excellent 17 53

Good 15 47

OK -- --

Poor -- --

Total 32 100

From the above table it is clear that 53% of respondents opinion are

excellent, 47% of respondents opinion are good.

So, to conclude that major percentage of respondent’s opinion towards Surf Excel performance is excellent.

Table showing opinion about Ad. Campaign of Surf Excel


Surf Excel


Entertaining -- --

Creative 12 37

Informative 18 56

Creates desire 2 7

Boring -- --

No impact -- --

Total 32 100

From the above table it is clear that 37% of respondents opinion about

advertisement is creative, 56% is informative & 7% creates desire.

We can conclude that 56% of people opinion about Ad. Campaign of Surf

Excel is informative.

Part-C


Surf Excel

(For the non-users of Surf Excel)

Table showing does non-users ever used Surf Excel

Opinion No. of respondents Percentage

Yes -- --

No 18 100

Total 18 100

Above table shows that 18% of respondents are non-users of Surf Excel.

Table showing why respondents did not go for trail of Surf Excel


Do not want to 13 75


Surf Excel

change your brand

No interest in Surf

Excel

2 10

Price matters 3 15

Others -- --

Total 18 100

Above table shows that why respondents did not go for trail of Surf Excel

because 75% of people “do not want to change their brand”, 10% of people not

interested in Surf Excel, 15% of people goes for price of Surf Excel.

We can conclude that respondent those who do not change their brand are

more i.e. 75%.

PROBLEMS OF THE COMPANY

1. Competition:

Every product in this world has to face competition and must compete

to stand up in this modern competitive market. So like every other product

toothpaste is also on and this toothpaste has more competition as compared

with any other product in this business world.


Surf Excel

(A) Competition By Brands:

At present washing powder has to compete in different ways concerned to

brands:

Brand of foreign nation and different company.

Brand of own nation but different company.

Brand of own nation of the same company.

(B) Competition through packaging.

(C) Competition through price.

2) Difficulty in getting sales force:

The other main problem in the decrease for the sales of washing

powder is the lack of sales force. There are many more problems to be faced

to appoint the sales personnel.

Firstly, men who are educated (at least graduate) do not come forward

to sell the washing powder. They think it is a black spot for the prestige and

others who come may not have required knack and selling ability or skill.

Then the company has the problem of searching able one. So this is one of the

problems that is been faced for the appoint of sales force. So when this is a

shortage of sales force, then automatically the stock will not be taken to all

parts of the country, this is one of the main causes of the dealers of sales.

3) Frequent changes in motives of customer:

The next point for the cause of decline in the sales of washing powder

is behaviour of the consumer. Here consumer behaviour plays a very


Surf Excel

important role. If the behaviour of the consumer changes physically or

mentally it effects on the sales of washing powder very much.

4) Lack of sales promotion:

The next cause for decline in sales of washing powder is the lack of

sales promotion activities. In a specific sense promotion include those

marketing activities other than personal selling, advertisement and publicity

and stimulating consumer who are purchasing and dealers effectiveness. Such

as displays, fair and exhibitions and various non-recurrent selling efforts not in

the ordinarily routine.

So, when there is no proper sales promotion activities, how can sales of a

product increase that to a product like washing powder, which has no much

competition in advertisement form other brands?

5) Lack of Incentives

There are no proper incentives given to consumer when other substitute

products are giving incentives or gifts to the consumer. Then naturally people

will purchase the substitute product, and then the sales will goes down. So

incentives for toothpaste like toothbrush tongue cleaner, toilet soap etc.

Should be given. Now a day’s consumers log on for the something extra more

than their money. So lack of incentives is also one of the main problems on

the decrease of sales.

6) Inadequate orders and supplies

The one of the cause for the decline of sales from the manufacturer is

fall flow. When there is inadequate order or when there is a fall of demand for

toothpaste, there will be inadequate supply. This also leads to a decrease in a

sale of toothpaste.


Surf Excel

7) Unstable consumer performance

Consumer performance, which is unstable, is also one of the

leading factors, which effect the sales. Because consumes may be log on

to substitute product. This will happen when there is heavy raise in price

or when he influenced by friends, neighbours and advertisement etc.,

8) Higher excise duty and taxation

The main problem that the company and firm are facing now is the

burden of high excise duties and heavy taxation imposed on toothpaste by

central government. Such taxes are entry tax, sales tax, turnover tax etc.

So higher excise duties and heavy taxation causes in decrease of sales effort.

CHAPTER- 5


SOME COLLECTIONS

PRESS RELEASE

Surf Excelmatic relaunched with improved formulationMumbai May 5, 2000

Exclusive detergent for front-loading washing machines

Hindustan Lever Limited (HLL) has re-launched its top of the line

ariant of Surf Excel, the Surf ExcelMatic washing machine detergent, with an

improved formulation.


Surf Excel

A front loader specialist, Surf ExcelMatic makes it easier to tackle the

widest range of tough stains in front loaders. Surf ExcelMatic is designed to

meet consumer expectations of top performance from their front loading

washing machines.

Ordinary detergents produce excessive lather, which cushions the

impact of the tumble wash in front loader washing machines. This can harm

the machine, besides compromising on the quality of cleaning.

New Surf ExcelMatic has a special low-lather formulation, specifically

created for the tumble wash technology of front loader. This allows clothes to

tumble freely, squeezing out a range of tough stains. The result is an excellent

stain-free and gentle clean, significantly better than that of ordinary high-

foaming detergents.

New Surf ExcelMatic has been tested on all existing front loader

machines in the country and has been found to produce the best results.

Siemens, the inventors of front loading (or tumble wash) technology also

recommend Surf ExcelMatic for front loaders.

Surf ExcelMatic is available at 1kg and 500 gm packs, priced at Rs 160

and Rs 85 respectively. .

HLL Launches Hindustan Lever Network

Makes a foray into Network Marketing

Mumbai, January 28, 2003 - Hindustan Lever today announced the

launch of Hindustan Lever Network, a unique Network Marketing

opportunity. Hindustan Lever Network aims to be the most preferred business

opportunity by partnering its Consultants to success and providing them with a

business and self-development opportunity that is truly rewarding.


Surf Excel

HLL has so far been present in the Direct Selling Channel with

Aviance, an international range of customized beauty solutions. With

Hindustan Lever Network, HLL plans to aggressively enter into other

consumer categories by offering its Consultants an exclusive and complete

range of high quality, high-performance products. The first such initiative

through the launch of the Lever Home range of products for home care,

kitchen care and laundry care will be in the market in February 2003. Aviance

would come under the umbrella of Hindustan Lever Network as the personal

care beauty brand in this channel.

HLL plans to grow and establish the Hindustan Lever Network

business through large-scale Consultant recruitment and retention and by

further expanding the range of product offerings to its Consultants.

The Hindustan Lever Network business model is different from its earlier model

in the following ways:

The Hindustan Lever Network business opportunity will focus on building

male and female entrepreneurs by actively partnering them to success. This would

be achieved by providing them an earning and self-development opportunity that is

both competitive and unique.

This new Network Marketing Channel would now carry a range of products

across multiple categories like Home Care, Kitchen Care, Laundry Care, Male

Grooming and Foods, in addition to the Aviance range

The New Compensation plan provides new exciting ways of earning

substantial income in addition to offering rewards like revenue sharing through the

innovative concept of “ pools”

Announcing the launch of Hindustan Lever Network, Dalip Sehgal,

Executive Director-New Ventures and Marketing Services, HLL, said, “HLL


Surf Excel

has built a reputation of trust and quality over the last 100 years. With its

existing position of strength as the leading consumer goods company in India,

HLL will leverage its capabilities across manufacturing, supply chain, R&D

and consumer understanding to provide a strongly differentiated proposition in

Hindustan Lever Network that redefines the business of Network Marketing.”

Added, KK Rajesh, Business Head, Hindustan Lever Network, “HLL has

touched the lives of millions of Indians through its products and other

initiatives. We are confident that with Hindustan Lever Network, we will build

a huge base of motivated entrepreneurs – our Partners in Success- by

providing for them an exciting opportunity for earning and self- development.

Our product and business training aids and programmes will help them build

their basic skills for establishing a successful business of their own.

Hindustan Lever Limited's Chhindwara factory gets "Prashansa

Patra"

MUMBAI, April 9, 2002 : Hindustan Lever Limited's Chhindwara factory

has received the National Safety Council's prestigious "Pranshansa Patra"

award for its performance in safety. Mr. Sharad Yadav, Union Minister for

Labour, presented the award at a function in Vigyan Bhavan, New Delhi,

today, to the Factory Manager & the Personnel Manager.

This award is in recognition of the elaborate systems set up in the factory

for a safe working environment.

The criteria for the award are various parameters of Safety, Health &

Environmental activities. On-site implementation of safety performances,

safety management, deployment of policies, review of the performance by top


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management, safe operating procedures, hazard analysis, occupational health

& hygiene, environmental awareness and factory's contribution to promoting

exchange of information and experience are some of them

HLL CONFERRED WITH GOOD CORPORATE CITIZEN AWARD

MUMBAI, April 8, 2002: Hindustan Lever Limited (HLL) has been

conferred with the prestigious Good Corporate Citizen Award, for the year

2000-01, by the Bombay Chamber of Commerce & Industry (BCCI). Mr.

M.S. Banga, Chairman of HLL, received the award from Mr. Keshub

Mahindra, at a function held here today.

THLL was selected by a panel of judges, comprising eminent persons from

industry, the judiciary, administrators and the media. The award is presented

on the basis of evaluating a company's initiatives in social investment,

customer satisfaction and consumer awareness, environment protection,

safety, employee welfare and training & education.

HLL believes that "to succeed requires the highest standards of corporate

behaviour towards our employees, consumers and the societies and world in

which we live." HLL's operations are run in an environmentally sound and

sustainable manner, ensuring that the processes and products conform to

prescribed standards. HLL also supports rural development, education, caring

for physically and mentally challenged children, destitutes and HIV-positive

patients, and many other such activities.

To highlight some results on sustainable development, during the period

1996 - 2000, HLL has achieved a reduction of 58% in the specific Water

Consumption at its manufacturing sites, through a series of technology

innovations. Similarly, the reduction achieved in specific Energy

Consumption in manufacturing, measured for all energy inputs, aggregates to

about 51% in the same period. There is still a sizeable scope for further

reduction, and HLL is actively pursuing it.


Surf Excel

HLL also conducts a Watershed Management Project at Khamgaon

factory in interior Maharashtra. The Tata Energy Research Institute (TERI)

has recommended this project as a model worth emulating in the country's

water-scarce regions. Among the benefits as of date, there has been

remarkable improvement in the quality of soil. Along with the vegetation, this

has resulted in an annual conservation of approximately 8000 cubic metres of

water.

HLL is also involved in a number of social development and community

welfare activities. Among them is support to Asha Daan, a home for

abandoned physically and mentally challenged children, the old and destitute,

and the HIV positive, run in Mumbai by the Missionaries of Charity. The

company runs a Rural Education Programme at Khamgaon. High quality

audio-visuals have been created to assist primary school teachers in teaching.

HLL set up Ankur, a centre for special children in Assam, in 1992 to impart

special education and provide services to severely disabled children living in

the area around HLL's Doom Dooma Tea Estates Ankur was vested with the

prestigious Worldaware Business Award for Social Progress by HRH the

Princess Royal in January 1999.

HLL ANNOUNCES JOINT VENTURE FOR ITS SEEDS

UNDERTAKING

MUMBAI, March 30, 2002: Hindustan Lever Limited (HLL) today signed

a Joint Venture Agreement with India Seeds Holdings Limited (ISHL), a

company incorporated in Mauritius engaged in the seed and biotechnology

industry, with ISHL acquiring a 74% shareholding in HLL's subsidiary, Paras

Extra Growth Seeds Limited (PEGSL). The capital base of PEGSL is being

expanded for this purpose.


Surf Excel

The joint venture decision is in keeping with HLL's well articulated

strategy to secure the future of its seeds business. HLL was advised by Lazard

India.

HLL's shareholders had earlier in the year approved the transfer of the

company's seeds undertaking to PEGSL by an overwhelming majority of

99.56% votes in value through a postal ballot.

The objective and purpose of the said transfer was to induct a suitable

technology partner into the business who could add value through technology,

know-how, marketing and product development.

India Seeds Holdings Limited is an associate of Hicks Muse Tate Inc and

Emergent Genetics LLC which are firms based in USA with global interests in

seeds and biotechnology. Emergent Genetics LLC has extensive experience in

the industry and have access to new seed traits through biotechnology and the

operational expertise needed for their introduction and growth in new markets.

Emergent's associates in seeds include Stoneville Pedigreed Seed Company

(the second largest hybrid cotton seed company in USA), Produsem SA (a

leading wheat seed producer in Argentina) and L Daehnfeldt A/s (a leading

vegetable seed company in Denmark). The knowhow and expertise from

Emergent and its associates will complement HLL Seeds business strengths in

operations, marketing and distribution thereby adding significant value to the

business. The existing strong franchise in Cotton seeds will be considerably

strengthened through access to Biotechnology-based seeds traits of Emergent,

with the recent approval of Bt Cotton Seeds by the Government of India.

The seeds business undertaking of HLL which had a turnover of

approximately Rs.100 crores will stand transferred with effect from March 30,

2002 on a "going concern" basis to PEGSL for a consideration of Rs.115

crores, and is likely to lead to Profit Before Tax of Rs. 72 crores for HLL.


Surf Excel

As already indicated above, the capital base of PEGSL has been expanded

to finance this acquisition and in order to retain 26% shareholding in the

expanded capital base, HLL has made further investment of Rs.7.19 crores in

the equity capital of PEGSL.

HLL RECEIVES LARGEST WEALTH CREATOR AWARD

MUMBAI, January 11, 2002: Hindustan Lever Limited (HLL) has

received the Motilal Oswal ‘Largest Wealth Creator’ Award for the period

1996-2001. HLL’s Finance Director, Mr. D. Sundaram, received the award on

behalf of the company at a function here today. This is the 5th time that HLL

has been conferred with this distinction.

HLL has improved its ROCE from 53% in 1996 to 65% in 2000, achieved

through growth, margin improvement and capital productivity. “HLL is on the

right track towards providing long term value to shareholders. Even in the

challenging market conditions of the last few years, HLL has continued

profitable growth while conserving capital. This is reflected in the company’s

‘negative’ working capital and higher quantum of cash released from

operations,” Mr. Sundaram said while accepting the award.

For the 9 month period ended 30th September 2001, HLL’s Net Sales were

Rs.8208.98 crores (+3.2%). Profit After Tax was Rs.1030.97 crores (+

18.2%), while Net Profit was Rs.1204.93 crores (+ 36.8%

HLL APPOINTS MINDSHARE FOR MEDIA PLANNING &

BUYING

Mumbai Jan 19, 2001

Hindustan Lever Limited (HLL) has assigned the media planning and

buying of all its brands to MindShare, a part of the WPP group. The decision

follows a comprehensive review by HLL last year of its media operations.


Surf Excel

Under the new arrangement, MindShare will also play a key facilitating

role alongside the company's brand teams and creative advertising agencies

for HLL's new Communication Channel Planning Process, which aims to

establish the most effective combination of marketing vehicles for its brands.

Prior to consolidation, HLL's strategic media planning assignment was split

between different agencies. Agency of Record responsibility for traditional

media buying was handled by HTA-Fulcrum, a WPP group company, while

the Outdoor and Rural Media was handled by another WPP Group Company,

Ogilvy and Mather.

This consolidation of HLL's media planning and buying does not lead to any

change in HLL's creative agency assignments. The creative agencies will

continue to do the creative work for their respective accounts.

Mr. M. S. Banga, Chairman of HLL said: "HLL is focussing its marketing

effort behind fewer, larger brands. Our move to a consolidated media

assignment reinforces HLL's commitment to simplify and focus its marketing

investment for maximum return. This consolidated approach will improve the

productivity for our leading brands".

According to Mr. K. S. Srinivasa Murty, Head of Strategic Services of HLL,

"The communication channel landscape continues to grow and fragment,

creating an increasingly large and complex planning environment. Our goal

was to make our significant investment in brand communications work harder.

Consolidation will provide a seamless linkage as we move from broad

marketing communications mix planning, through strategic media planning to

tacticalimplementation".

He added: "MindShare was selected for this assignment because they offered


Surf Excel

the best combination of strategic resources and buying capabilities." Within

MindShare, a group of specialists will focus on the increasing complexity of

specific communication channels while another group will manage the

planning of individual brands.

HLL started the media review in October 2000. The consolidation of media

resource will be implemented in a phased manner to give the media agency

adequate time to establish its new organisation. It is expected that transition of

business will be completed in the next few months.

About MindShare :

MindShare, a part of the WPP Group, is the world's largest media

investment management company with annual billings in excess of $17

billion. Globally, MindShare operates in over 50 countries. In India,

MindShare will handle the combined media operations of JWT and O&M

Agencies.

MindShare was launched in September 1997 as a global concept with the goal

of pooling the media planning, implementation and research operations of

JWT (HTA

HLL announces e-commerce initiatives

Mumbai

HLL has launched a number of E-Commerce initiatives that will bring E-

Business to the heart of the Company's operations.

HLL's vision is "Connect, Attract and Fulfil" on a massive scale. In the supply


Surf Excel

chain for example, the vision is to link in Phase I with some 3000 stockists,

30,000 retailers and 100 suppliers spread over some 1000 locations. The size

of the ambition is based on HLL's unique ability to leverage on scale and

technology and the development in the telecom infrastructure.

HLL believes that success on the E-Business domain will depend on three

factors - Technology, Consumer Insight and Physical fulfillment. HLL has

unique strengths in consumer understanding and the backbone of the vast

distribution system to enable physical fulfillment. Technology will be sourced

through partnerships.

HLL's Internet vision encompasses three opportunity segments - Business

Connectivity, Consumer Connectivity and Consumer Commerce.

In the area of Business Connectivity, much has already been achieved

leveraging existing technologies. The Internet gives the opportunity for the

next quantum leap. HLL is creating an extranet covering its key stockists and

retailers to optimise the supply chain right up to the front end. Similarly, an

extranet is also being created covering the suppliers, factories and the

purchasers with the aim of achieving real time, vendor-managed inventory. E-

Banking initiatives are also being piloted to enable paperless financial

settlements. The Aviance business, for example, is being configured to be

mainly run through the Net.

In the area of Consumer Connectivity, HLL has already progressed some

distance through the Pond's interactive website, Hello Hindustan and Mera

Hindustan initiatives in the detergents business as well as events like Close Up

Antakshari on the Net. Interactive kiosks for the Lakme and Pond's ranges are

being tested out in a few cities - these enable a consumer to try out how

various beauty products will look on the screen before buying them. However,


Surf Excel

increasingly, interactive communication on the Net will be consumer centric,

rather than brand centric. Internationally, Unilever has announced ventures

such as the JV with iVillage, a woman's portal and participation in start ups

such as Wowgo. HLL is exploring similar opportunities in India.

Consumer Commerce is the third leg of the opportunity. India is likely to take

up E-tailing in a major way simultaneously and probably even faster than the

development of supermarkets. HLL will participate in a major way in this

development.

Dedicated and focussed organisation within HLL comprising young managers

has already been formed in each of the three opportunity segments. A web of

relationships with the partners offering technology, financial services and

connectivity is also being built

PRODUCTS/MARKETING

O&M TO BE CLOSE-UP ADVERTISING AGENCY IN INDIA

MUMBAI, March 6, 2003:Hindustan Lever Limited (HLL) has chosen

O&M as the agency responsible for the advertising of Close-up toothpaste.

O&M will be responsible for the brand only in India, while JWT will continue

to be the agency in other countries.

Close-up was introduced to the Indian market nationally in late eighties. It

created the gel toothpaste segment and has since then garnered a share of 17%


Surf Excel

in the Rs.2000 crore toothpaste market of India. JWT has played a critical role

in this growth during this period with their advertising inputs.

As the brand looks ahead at future growth opportunities and evolving

aspirations of its target consumers, it is examining all resources, including

brand communication, which are integral to its future plans. In this context,

HLL had late last year asked a select group of advertising agencies, including

JWT, to share their views on the brand's future communication. This was done

purely to ensure that the brand had the best inputs for its growth plans in

future. The choice of O&M as the advertising agency for Close-up in India is

the culmination of this consultative process.

HINDUSTAN LEVER & PEPSI FORGE ALLIANCE TO OFFER

RANGE OF HOT & COLD BEVERAGES

SOFT DRINKS, TEA & COFFEE TO BE AVAILABLE FROM

FOUNTAIN & VENDING MACHINES UNDER ONE ROOF

Mumbai, January 16, 2003: In a path-breaking tie-up, two FMCG leaders,

Hindustan Lever Ltd. and Pepsi Foods Pvt. Ltd. today formed an alliance in

India to jointly market through a vending format a full range of hot beverages

and soft drinks from their portfolio of world class brands.

HLL brings to the alliance a well established presence and brand value in

hot beverages, outstanding product development and backward integrated

sourcing capability, expertise in vending and an extensive institutional channel

base.

Pepsi has strong brands, rich expertise in on premise retailing of cold

beverages, extensive sales and distribution infrastructure, and a well

developed network of retail outlets and dealers who sell Pepsi through

fountain machines.


Surf Excel

The partnership leverages each other's strengths with an unbeatable

business model that creates a powerful distribution base to market a unified

portfolio of popular hot beverages and soft drinks through a combined

fountain, vending and institutional initiative. The area of collaboration for

these two organisations will be in vending hot tea and coffee along with soft

drinks across the country. The alliance will make available leading brands of

the two FMCG giants - Lipton, Taj Mahal, Bru, Pepsi Cola, 7Up, Mirinda and

other popular carbonated soft drinks through vending machines and fountains.

With this alliance, HLL & Pepsi venture into offering hot beverages

through the Pepsi distribution system for the first time in the country as part of

their strategy to infuse new growth in the entire category of liquid refreshment

beverages.

In addition to the plain variety, hot tea will be available in Cardamom, Diet

Cardamom, Ginger and Masala flavours, while hot coffee will have three

varieties, Pure, Cappuccino and Mochaccino.

HLL DOES NOT GAIN FROM DIVIDEND DISTRIBUTION TAX

MUMBAI, March 5, 2003: Hindustan Lever Limited (HLL) clarifies that

the company does not stand to gain due to the Budget 2003-04 proposal to

replace the taxation of dividends at the hands of shareholders (including tax

deduction at source) by a Dividend Distribution Tax at the hands of the

company.

A report to this effect that the company stands to gain out of the Dividend

Distribution Tax in a section of the Press is incorrect.

The Scheme of Arrangement for issue of bonus debentures and payment of

special dividend, as approved by the shareholders on August 9, 2002, and

approved by the High Court provides for issue of one bonus debenture of the

face value of Rs. 6/- each for every share of Re. 1/- each. It further provides


Surf Excel

for a special dividend of Rs. 2.76/- for every share of Re. 1/- each to be paid

simultaneous to the issue of bonus debentures, as a part of the integrated

transaction. The tax deduction at source for both the bonus debentures

constituting "deemed dividend" and on the special dividend was to be made

from the special dividend payable to the shareholders so that the face value of

bonus debentures could be kept uniform at Rs. 6/- each

The Scheme further provides that in the event of any change in the tax

laws, the Board could make consequential changes in the Scheme to ensure

that the outflow under the Scheme does not exceed the amount, as approved

by the shareholders, at Rs. 1928 crores, being Rs. 1320.7 crores towards bonus

debentures and Rs. 607.5 crores by way of special dividend.

The proposed changes in the Budget for 2003-2004 have replaced the

provision for taxation of dividend at the hands of the shareholders (including

tax deduction at source) by a provision of Dividend Distribution Tax at the

hands of the company at a flat rate of Rs. 12.81% (including surcharge). This

change would, therefore, not benefit the company in any manner as averred in

the Press report.

Accordingly, the company would, subject to the approval of the Board in

terms of the authority delegated to it under the Scheme, now bear the

Dividend Distribution Tax at Rs. 219 crores (to be paid to the government)

and distribute the balance of Rs.388.5 crores to the shareholders, by way of

Special Dividend of Rs.1.765 per share of Re.1/- each, over and above the

Bonus Debenture of Rs. 6/-. Accordingly, neither the Bonus Debentures as

“deemed dividend” nor the special dividend would be taxable at the hands of

the shareholders, while the outflow of the company at Rs. 1928 crores remains

unaltered.

The company is awaiting approval of the Reserve Bank of India under

FEMA, 1999 to progress the Scheme


Surf Excel

********

CHAPTER- 7

SUGGESTIONS & CONCLUSION

SUGGESTIONS

1. As the price of washing powder are going higher and higher, it is

suggested to firm to increase its few capital so that purchase can be made in

accordance with demand of the market so as to able to meet this demand.

2. The advertisement should be very much increased. Now a day

the advertisement takes a very important role. Advertisement towards using

Surf Excel washing powder should be made in full flow in the all available

media’s like Television Magazines, radio and also by arranging contest, Lucky


Surf Excel

dips, scratch coupons etc. and giving incentives to stockist, warehouses and

retailers etc.

3. Lot of sales promotional activities should be undertaken. It

includes personnel selling, advertising and publicity, stimulating

consumer minds, displays shows and exhibition etc. When there is

proper sales promotional activity, the sales starts to increase.

4. Adequate orders and supplies should be maintained or other

wise the downward flow of washing powder will get in form.

5. Consumers’ preference should be made to become stable, so that

he should always stick on the same brand, that is, he should not be let to divert

his attention towards substitute product.

6. The firm should have proper channel of distribution, so that the

ultimate consumer receives the product easily and at fair price, so proper

distribution arrangement is essential to increase sale of Surf Excel washing

powder.

7. Proprietor of the firm should think of sales force. It should be

increase so that every dealer (Wholesaler and retailer) at every corner of

Bhadravathi City will get product in time. Without proper sales force one or

two salesman cannot cover this large area as whole in a lesser time and at

proper time. Hence, there is a need for proper sales force.

8. The company should give incentive to the retailers to develop

sales among consumers by retailers.


Surf Excel

9. The company should offer credit facility to the sales agency,

which would result in pushing up the sales of Surf Excel washing powder

more by the agency because it is only the liable of payment of credit.

10. Periodical survey of the market from the company is necessary

to know the changing attitude of the consumers regarding the Surf Excel

washing powder.

11. The company should improve quality of product. It is necessary

to the company augment its competitive efficiency by increasing quality and

decreasing cost of production. At present the company having lower market

share as compared with other competitors. For that, the company should try to

increase its market share by improving quality and sales of the product.

12. The company should introduce the Surf Excel washing powder

in 30 gms at cost Rs. 3/-.

CONCLUSION

As already discussed Washing powder is Clothe care product, therefore it

belongs to personal product division of Hindustan Lever Limited. Therefore

for the purpose of increasing sales, it should maintain a popular brand image.

In this connection the factors like goodwill of the company, quality or quantity

and the price of the product plays a very important role.

Therefore, a manufacturing concern should give attention for enlistment of

goodwill, increase in quality and decrease in price. Further a wide publicity of

different method should also be adopted.


Surf Excel

Most important problem of Surf Excel Washing powder is connected with

few percentage of increase in sales year by year. It maintains the constant

market share. This is always not a good condition for any company to

improve and to flourish.

This requires correct customer preference analysis, organisation of

customer service, producers, and decrease in cost and increase in quality.

Therefore the urgent need for Surf Excel is take-up convincing of customers

by proper publicity and by motivating consumers by different methods.

Company also requires proper motivations of dealers to make them more

involved in Surf Excel sales.

This report may offer them and give suggestion to change or modify their

marketing strategy for achieving higher sales performance in the future year.

********

Dear respondents;


Surf Excel

I, Ganesh Urs, student of final year BBM, Mountain view college of

Management Science, Bhadravathi, Kuvempu University, conducting a survey

on “SURF EXCEL” under the guidance of Mr. K.V. Giridhar, MBA. MA(Eco).

PGDMM, PGDHRM in partial fulfilment of my curriculum.

I shall be very greateful to you, if you could spare couple of minutes to this

questionnaire.

Your’s faithfully,

Ganesh Urs

Part-A

Demographical factors

Name:

Address:

Sex:

Male

Female

Age:

Bellow 20 years

20-30 years

35-40 years

45 years & above


Surf Excel

Qualification:

Bellow SSLC

SSLC-PUC

PUC-Degree

Post Graduation

Others(P.S)

Occupation:

Student

Self employed

Govt. employee

Private employee

Others (P.S)

Annual income:

Bellow Rs. 50000

Rs. 50000-100000

Rs. 10000- Rs.150000

Rs.150000- Rs. 200000

Part-B

(Product details)

have you used cloth washing Powder?


Surf Excel

Yes

No

If yes, which washing powder do you normally use in your house?

Branded

Unbranded

If yes, which of the following do you use?

Surf Excel

Ariel

Rin

Henko

Nirma

Others (P.S)

Have you ever used Surf Excel?

Yes

No

(If, no please skip to part-C)

If yes, have you regularly been using Surf Excel?

Yes

No


Surf Excel

BIBLIOGRAPHY

1) Encyclopaedia

2) Marketing Management by Sherlekar

Philip Kotler

3) News papers and Magazines and also Internet.

4) News papers.


Documents

Surf Excel