COMPETITIVE ANALYSIS OF

COMPANY OF OUR OWN

CHOICE
Raj Kumar Thanvi 19
Mukesh Singh 30
Swati Singh 31
Satya Prakash Singh 46
Ankita Singh 68
Shashi Bhushan Singh 69
Hindustan Lever Ltd.
Hindustan Unilever Ltd.
IS NOW
Mr. Harish Manwani
Chairman
Mr. Douglas Baillie
CEO
VISION






INTRODUCTION
INTRO
India's largest Fast Moving Consumer Goods company with 80 factories across India.

In 1931, first Indian subsidiary, Hindustan Vanaspati Manufacturing Company,
followed by Lever Brothers India Limited (1933) and United Traders Limited (1935).

HUL formed in November 1956;

The Anglo-Dutch company Unilever owns a majority stake in Hindustan Unilever
Limited.

The mission add vitality to life.







Contd..
Sales growth in 2008-09 is 15.5%

Operating margin increased by 0.4% from 14%
to 14.4% in the year 2008-09

Gross sales is 21649.51 crores

Share price Rs 237.50

Producer
Retailer
Customer
Hindustan Unilever ltd
Personal wash
Lux, lifebuoy, Dove
Pears, Rexona, Breeze,

Laundry
Surf excel
Wheel
Sunlight
Skin care
Fair & lovely
Ponds
Vaseline
Hair care
Sunsilk
Clinic
Oral care
Pepsodent
Closeup
Deodorants
Axe
Rexona
Color cosmetics Lakme
Ayurvedic Ayush
PRODUCT SEGMENTATION OF HUL
0%
10%
20%
30%
40%
50%
60%
70%
80%
HUL
COMPETITOR
COMPETITIVE SITUATION OF HUL WITH ITS
COMPETITORS
PRODUCT RANGE BREAK-UP

STRIVING
ASPIRING
AFFLUENT
PERSONAL WASH BY HUL
HUL is the market leader in the soap segment in India
Competitors of HUL SOAPS
HUL brands
Lux
Rexona
Breeze
Lifebuoy


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




Competitors of HUL SOAPS
HUL brands

Pears
Dove
Hamam



Competitors brands

Santoor,

Camay

Margo

57%
55% 55%
52%
10%
9%
8% 8%
9%
5%
HULs SOAP MARKETSHARE
The HUL Hair Care
Competitors of HUL Hair Care
Sunsilk

Clinic Plus

Dove

Pantene

Head & Shoulders

LOreal, Garnier


Welcome to the segment Of
HUL Oral Care
Competitors of HUL Oral Care
Pepsodent
Close Up
Colgate
Meswak
Dabur Red
Anchor

48%
32%
2%
46% 47%
7%
30%
8%
30%
7
%
TOOTHPASTE MARKET SHARE
HUL COSMETICS
Competitors of HUL Cosmetics
Lakme

Ponds
Revlon
Maybelline
LOreal
Nivea
Charmise


HUL LAUNDRY CARE
COMPETITORS

SURF EXCEL: ARIEL

WHEEL: NIRMA

RIN: TIDE
SWOT ANALYSIS

Strengths:
Strong brand portfolio,price,quantity & variety.
Innovative Aspects.
Presence of Established distribution networks in both
urban and rural areas.
3400 distributers
16 million outlets over the world.
700 million customer base.
Strong R&D of the company
Highly skilled human resource.
Corporate Social Responsibility(CSR)



Weaknesses:


Strong Competitors.

Low exports level(at present).

Changing consumption pattern.

High advertising costs.













SWOT Analysis




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


SWOT Analysis

Threats:
Tax and regulatory structure.
Mimic of brands
Entry of ITC in FMCG sector.
Increasing cost of raw material.
SWOT Analysis
STRATEGIC FOCUS OF UNILEVER
30





Remain in tune with its markets and
stays ahead of the competition
STRATEGIES FOLLOWED AT HUL
Distribution strategy.
Distribution network(direct selling)
Brand extension strategy
Line extension strategy
Repositioning strategy
Promotional strategy-ads,(Rs700-800 cr)
Segmentation strategy
Premium brand
Affordable brand
Value for money
Innovation strategy-introduction of sachet in shampoo
Mergers and acquisitions strategy










MARKETING STRATEGIES OF HUL
MARKETING STRATEGIES OF HUL FOR URBAN
INDIA

Focuses on short supply chain for distribution.

To meet the every need of people everywhere.

Build segments & market for the future where
Unilever has strong expertise.

Also uses Direct selling channel, franchisee to reach everyone e.g.
Unicare.

For long term benefits, HUL started Project Streamline
in 1997.






MARKETING STRATEGIES OF HUL
FOR RURAL INDIA
Project Shakti, partnership with Self help
groups of Rural women & covers 5000
villages in 52 districts in different states.
Appointed 6000 Sub-stockists that directly covers
about 50,000 villages & 250 million customers.

Integrate Economic, Environment & Social objectives with
Business agenda.
EVERYDAY I WILL SELL.
EVERYDAY I WILL
EARN.
MONEY. RESPECT



Started in 2001, Shakti is HUL's rural initiative, which targets small villages with
population of less than 2000 people or less.

micro-enterprise opportunities for rural women

Providing health n hygiene education through shaktivani program

ishakti portal

Shakti has already been extended to about 15 states ,80,000 villages in with 45,000
women entrepreneurs and generating Rs.700-1000 per month to each women.

PORTERS FORCES
PORTERS DIAGRAM
RIVALS
Consumer in this category enjoy
multitude of choices.

It does not cost anything for a consumer to
buy one brand of shampoo instead of
another, making the industry quite
competitive.
SUPPLIERS
Consumer product faces some amount of
supplier power simply because of the cost
they incur when switching suppliers

Suppliers that do a large amount of business
with these companies are also beholden
to their customers.
Verdict: limited supply power
BUYERS(CUSTOMERS)
Consumer faces weak buying power
because customers are fragmented and
have little influence on price or product.

Considering buyer power retailers it is very
high since they are able to negotiate the
price with the companies.
Verdict: Strong buyer power from retailers.

POTENTIAL ENTRENT
Given the amount of capital investment
needed to enter certain segment in house
hold consumer products, the threat of
new entrant is fairly low.

Whether the new entrant can get its
products on the shelves of the same
retailers as its much larger rivals.


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


Verdict: high threat of substitutes.
Corporate social responsibility

Providing education on health and hygiene

Women empowerment

Water management

Rehabilitation of special or underprivileged children

Care for the destitute and HIV-positive

Rural development.

Plays active role in natural calamities






STRATEGIES..


Concentrate on
CORE
Build momentum
to the water
business
Develop
competitive
capabilities
Manage cost
pressure
Strong
commitment to
governance & CSR
Integrated
management
development
system
51
HUL should
52
Think and operate
strategically
Be aware of international
trends
Be team focused
Have greater commitment to
their own professional
development.
Integrated
management
system
N
E
W

M
A
N
A
G
E
M
E
N
T

D
E
V
E
L
O
P
M
E
N
T

S
Y
S
T
E
M

Thank you for your time....