compare the product line strategy of hul and
TRANSCRIPT
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Compare the product line strategy of HUL and P&G in detergent
segment
Presented By:-• GYANENDRA KUMAR
• AADITYA SINGH• JYOTI PANWAR• RAMAN KUMAR
• PUSPENDRA
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Products of HUL and P&G
HUL P&G
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INTRODUCTION• Hindustan Unilever Limited (HUL)
is India's largest Fast Moving Consumer Goods Company with a heritage of over 75 years in India and touches the lives of two out of three Indians.
• With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and water purifiers, the Company is a part of the everyday life of millions of consumers across India.
• Founded in 1837, Procter & Gamble is one of the largest consumer products companies in the world.
• P&G has operations in more than 80 countries, with more than 300 brands on market in 160 countries. These include beauty care, household care and Gillette products.
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HUL LAUNDRY CARE
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Pioneer in Indian detergent powder.
Constantly upgraded itself.
e.g. Surfexcel Blue, Quick wash,
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Launched in 1969, Rin with the power of its thunderous lightning flash has become a household name synonymous with dazzling white clothes.
A Value added brand with different variants e.g. Rin matric & Rin advanced.
Rin has won a number of accolades, the most recent being voted as the Most Preferred Detergent brand in India at the Awaaz Consumer Awards in 2006.
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•A Heritage brand launched in 1888In the form of detergent cake.
•Value added brand i.e. priced over Wheel but below Rin.
•Famous in WB & Kerala.
SUNLIGHT
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• Low priced detergent.
• Introduced in 1987 to compete with Nirma.
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COMPETITORS
• SURF EXCEL: ARIEL
• WHEEL: NIRMA
• RIN: TIDE
Vs
Vs
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MARKETING STRATEGIES OF HUL
STRATEGIES I HAVE MADE
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MARKETING STRATEGIES OF HUL FOR URBAN INDIA
• Adopted Total Productive Maintenance(TPM) to meet zero error, zero loss.
• Focuses on short supply chain for distribution.
• To meet the every needs of people everywhere.
• Also uses Direct selling channel(HUN), franchisee to reach everyone e.g. Aviance, Ayush.
• Build segments & market for the future where Unilever has strong expertise.
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For long term benefits, HUL started Project Streamline in 1997.
MARKETING STRATEGIES OF HULFOR 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.
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For long term benefits, HUL started Project Streamline in 1997.
MARKETING STRATEGIES OF HULFOR 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.
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P&G LAUNDRY CARE
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WHAT P&G DID?....
• Rapid pace of product extension
• Complex product line
• Not understanding the local markets mindset while renaming the product
• Halted its new product launches
• Pulled out non performing brands
• Followed standardization & variation in price
• Controlled cost to increase sales
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WHAT IT SHOULD HAVE DONE?....
• Understanding domestic market, their needs
• Research on the potential market/customers
• Check out whether sufficient resources are available
• Cost incurred and ability of the company tomeet the cost
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Location of Factor Types of Factors
Favorable Unfavorable
Internal Strengths:Diversified brand portfolioResearch and DevelopmentGlobal OperationStrong Distribution Network
Weakness:Online media & LeadershipDependencyMissing OpportunityWeakness in beauty care division
External Opportunity:DiversificationCapitalizing on online mediaGrowth in Indian FMCG marketEnvironment concern
Threats:CompetitionNo new product innovationGovernment regulation
SWOT Analysis:Strengths, Weaknesses, Opportunities, Threats
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BRAND LOYALITY DISTRIBUTION CHANNELINNOVATIONPRICING STRATEGYQUALITY OF THE PRODUCT
WHAT MAKES “P&G” DIFFERENT FROM OTHERS?
PRODUCT DIFFERENTIATION
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19
Typical Distribution of P&G ProductsManufacturers (PGHH Ltd.India)
Marketing Agents - State wise
Retailers/Wholesalers/Distributors
Chemists Shops, Provision Stores ,
Retail Outlets, Big Markets etc
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Intensive distribution
• PGHH Ltd, is following this strategy in india.• As the company manufactures the FMCG
convenience/ necessity goods.• As these serve the necessity goods hence there is
lesser/no brand loyalty from the customers side, so the distribution network of the company needs to be very strong and proactive.
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Promotion strategy
• P&G insists on a pull strategy• Heavy advertising and media pioneer• Advertising creativity• P&G – A click mortar company• Coupon
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Pricing strategies
• Understand how companies find a set of prices that maximizes the profits from the total product mix.
• Learn how companies adjust their prices to take into account different types of customers and situations.
• Know the key issues related to initiating and responding to price changes.
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3
Company Name Net Sales Net Profit Operating
Profit Margin
(in Rs. Crore) Growth (%) (in Rs.
Crore.) Growth (%) (%) (%)
FY'08 FY'08 FY'07 FY'08 FY'08 FY'07 FY'08 FY'07
HUL 13880.56 13.36 9.38 1769.06 -4.65 31.76 14.95 14.74
Proctor and Gamble 643.95 18.54 -4.98 131.42 46.3 -35.6 27.75 24.14
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Thank you for your time....
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