On

“COMPARATIVE ANALYSIS - MARKET

SHARE OF VENDING PRODUCTS OF
HIDUSTAN UNILEVER LIMITED
WITH IT’S COMPETITORS”

For the partial fulfillment of the requirement for the

degree of
“Master of Business Administration”
From
SRM University, Modinagar
2009

Project Supervisor: Submitted By:

Ms. Swati Bhatt Md. Arif Khan
(Faculty, Management MBA 3rd Sem.
Studies) Reg .no. 35084061

SRM, INSTITUTE OF MANAGEMENT AND

TECHNOLOGY, MODINAGAR

SESSION 2008-10
 ACKNOWLEDGEMENT

Any activity big or small is a result of collective effort of

several individuals. From the very beginning of human civilization
to this complex world, we are dependent on each other for
accomplishment our goals. The project report of5 such magnitude
could not be accomplished without the assistance of several
people who participated directly or indirectly. This project report
is also the result of collective effort and support of several
individuals who have been given me their valuable contribution in
fulfillment of the work. Exchange of ideas generates a new object
to work in a better way. So whenever a person is helped and
cooperated by others, his heart is bound to pay gratitude and
obligation to them. Acknowledgement is not merely a formality
but an expression of deep sense of gratitude and cumulative
appreciation.

First of all, I would like to give special thanks to the

almighty whose blessing helped me to complete this project.
Completing a task is never a one man effort. Before explaining
my project report,
I give my sincere gratitude and thanks to MS.
PRIYANKA SRIVASTAVA (TERRITORY SALES INCHARGE) of
HINDUSTAN UNILEVER LIMITED and MR. SOMNATH
(PROSPECTING OFFICER) of HINDUSTAN UNILEVER LIMITED to
provide a proper guidance and a right approach from time to
time, to accomplish the goal. They shared ideas with me to
complete my project. They have always been guiding and
suggesting me like teacher, guide and mentor as well.
 I also acknowledge my heartiest gratitude to Ms. Swati Bhatt
a faculty member of SRM UNIVERSITY MODINAGAR , who
helped me a lot and give me a right direction in completing the
project. I am also grateful to all my faculty members of SRM
UNIVERSITY, MODINAGAR, who have helped me in completing
this project. It shall be an injustice, if I don’t express thank to my
friends who helped me in completing my project report.

It is my earnest duty to express most gratitude and honor to

my parents.

DR.M.S KHAN
 PREFACE

Unless the knowledge is applied in the practical field, it

cannot attain perfection and maturity. A project work is the
scientific and systematic study of real issue and problems with
the application of management principles, concept and skills.
The essential ingredients of a project are that it should contain
scientific collection of data its analysis and interpretation that
lead to valid conclusions and feasible suggestion. Project work
is an essential part of partial fulfillment of the syllabus of
B.B.A. I have prepared this report during my summer training
at HIDUSTAN UNILEVER LIMITED.
This study has given real exposure to corporate
marketing and the confidence to face the challenges before
me in course of sale the products of HUL.
I have conducted my study under the subject “MARKET
SHARE OF VENDING MACHINE PRODUCTS OF HIDUSTAN
UNILEVER LIMITED”. The whole report is to be divided into
six chapters, each dealing with the different aspects of the
study the report has been return in a very comprehensive way
with a suitable heading of each chapter. The last chapter deals
with some recommendations which will be help full to the
company in countering its competition as well as having an
edge over them. I have tried my best to do justice and be
honest in analyzing the topic but “TO ERROR IS HUMAN” and I
am not an exception to it, hence, weakness and shortcoming is
unintentional.

4
 CONTENTS

EXECUTIVE SUMMARY
PART - I
COMPANY PROFILE
 Introduction to the Company
 Board of Directors
 Corporate Purpose
 Code of Business Principles
 Quality Policy
 Environmental Policy
 Safety Principles
 Factory Locations
 Business
 Brand Position in India and Other Countries
 Export Portfolio
 Food & Beverages
 Water Reforms
 Demand & Success
 Marketing Strategies
 Financial & Marketing Profile

PRODUCT PROFILE
 Product Lipton
 Lipton Vending Machine

5
PART - II

STATEMENT OF THE PROBLEM

SIGNIFICANCE OF THE STUDY
OBJECTIVE OF THE STUDY
IMPORTANCE OF THE STUDY
THEORETICAL PROSPECT OF THE STUDY

REASEARCH AND METHODOLOGY

 Marketing research
 Methodology
 Research Design
 Collection of Data

SWOT ANALYSIS
DATA ANALYSIS AND INTERPRETATION
CONCLUSION
RECOMMENDATION
BIBLIOGRAPHY
QUESTIONNIARE

6
 EXECUTIVE SUMMARY

Hindustan Unilever Limited (HUL) is India's largest Fast

Moving Consumer Goods company, touching the lives of two
out of three Indians with over 20 distinct categories in Home &
Personal Care Products and Foods & Beverages. HUL's
distribution network, comprise about 4,000 redistribution
stockists, covering 6.3 million retail outlets reaching the entire
urban population, and about 250 million rural consumers.
HUL's brands - like Lifebuoy, Lux, Surf Excel, Rin, Wheel, Fair &
Lovely, Pond's, Sunsilk, Clinic, Pepsodent, Close-up, Lakme,
Brooke Bond, Kissan, Knorr-Annapurna, Kwality Wall's – are
household names across the country and span many
categories - soaps, detergents, personal products, tea, coffee,
branded staples, ice cream and culinary products.

During my summer training at HUL, I completed the

project in corporate sale and market share of vending machine
products of HUL which are divided into three parts. These are:

 A detailed study, consisting of technical details,

corporate sale etc. of vending machine of HUL.
 An observational study conducted of vending
machine and market share of HUL’s products.
 A detail understanding of all the competitive brands
of HUL’s vending machine.

In my first part, a report is made on a detailed study,

comprising the technical details of the vending machine, the

7
aspects of corporate sale of vending machine. The technical
details of the machine is necessarily to be understood before
moving into the market so that one could discuss the plus
points of the machine over the competitors’ machine. Further,
the detail understanding in this kind of sale is done through
meetings with probable customers which include the key area
of selling along with all the glamour features such as brand
reflecting, essentiality of the products to provide all the
comfort required by the customers. The study is done by
surveying the different factories/ offices located at Noida and
nearby. The study is then tabulated, analyzed and result
extracted.

In the second part, an observational study is conducted

in respect of market share of corporate sale of HUL’s products.
This will reflect my views and measures. It also includes the
visits of the places where others competitor’s similar products
were installed to get their performance feedback and identified
the hidden opportunities to sell HUL’s products. The study is
then tabulated, analyzed and the result extracted.

In the third part, method adopted for competitors analysis

involved surveying and observational study of all the
competitive brands of HUL’s vending machine such as
Nescafe, Georgia, Coffee Day etc. followed by the comparison
of same. To conducting the observational study, a large data
has been collected while visiting the various companies/
offices by way of discussions. The data collected has further
been enhanced with sub categories such as, consumption-wise
requirement, type of brew (i.e. Tea or Coffee) consumption etc.

8
The data obtained, are tabulated, analyzed and result and
recommendation are worked out.

COMPANY
PROFILE

9
 INTRODUCTION

Hindustan Unilever Limited (HUL), having great

recognition nationally/ internationally, is India's largest fast
moving consumer goods company, touching the lives of two
out of three Indians with over 20 distinct categories in Home &
Personal Care Products and Foods & Beverages. They endow
the company with a scale of combined volumes of about 4
million tones and sales of Rs.10,000 crores.

Historical Events in HUL:

In the summer of 1888, visitors to the Kolkata harbor

noticed crates full of Sunlight soap bars, embossed with the
words "Made in England by Lever Brothers". With it began an
era of marketing branded fast moving consumer goods (in
short FMCG).
Soon after followed Lifebuoy in 1895, and other famous
brands like Pears, Lux and Vim, Vanaspati was launched in
1918 and the famous Dalda brand came to the market in
1937.
In 1931, Unilever set up its first Indian subsidiary,
Hindustan Vanaspati Manufacturing Company, followed by
Lever Brothers India Limited (1933) and United Traders Limited
(1935). These three companies merged to form HUL in
November 1956. The erstwhile Brooke Bond's presence in
India dates back to 1900. By 1903, the company had launched
Red Label tea in the country. In 1912, Brooke Bond & Co. India
Limited was formed. Brooke Bond joined the Unilever fold in
1984 through an international acquisition. The erstwhile

10
Lipton's links with India were forged in 1898. Unilever acquired
Lipton in 1972, and in 1977 Lipton Tea (India) Limited was
incorporated. Pond's (India) Limited had been present in India
since 1947. It joined the Unilever fold through an international
acquisition of Chesebrough Pond's USA in 1986.
The liberalisation of the Indian economy, started in 1991,
clearly marked an inflexion in HUL's and the Group's growth
curve. Removal of the regulatory framework allowed the
company to explore every single product and opportunity
segment, without any constraints on production capacity.
Simultaneously, deregulation permitted alliances, acquisitions
and mergers. In one of the most visible and talked about
events of India's corporate history, the erstwhile Tata Oil Mills
Company (TOMCO) merged with HUL, effective from April 1,
1993. In 1995, HUL and yet another Tata company, Lakme
Limited, formed a 50:50 joint venture, Lakme Lever Limited, to
market Lakme's market-leading cosmetics and other
appropriate products of both the companies. Subsequently in
1998, Lakme Limited sold its brands to HUL and divested its
50% stake in the joint venture to the company. HUL formed a
50:50 joint venture with the US-based Kimberly Clark
Corporation in 1994, Kimberly-Clark Lever Ltd, which markets
Huggies Diapers and Kotex Sanitary Pads. HUL has also set up
a subsidiary in Nepal, Nepal Lever Limited (NLL), and its
factory represents the largest manufacturing investment in the
Himalayan kingdom. The NLL factory manufactures HUL's
products like Soaps, Detergents and Personal Products both for
the domestic market and exports to India.
As a measure of backward integration, Tea Estates and
Doom Dooma, two plantation companies of Unilever, were
merged with Brooke Bond. Then in July 1993, Brooke Bond

11
India and Lipton India merged to form Brooke Bond Lipton
India Limited (BBLIL), enabling greater focus and ensuring
synergy in the traditional Beverages business. 1994 witnessed
BBLIL launching the Wall's range of Frozen Desserts. By the
end of the year, the company entered into a strategic alliance
with the Kwality Ice-cream Group families and in 1995 the
Milkfood 100% Icecream marketing and distribution rights too
were acquired.
Finally, BBLIL merged with HUL, with effect from January
1, 1996. The internal restructuring culminated in the merger of
Pond's (India) Limited (PIL) with HUL in 1998. The two
companies had significant overlaps in Personal Products,
Specialty Chemicals and Exports businesses, besides a
common distribution system since 1993 for Personal Products.
The two also had a common management pool and a
technology base. The amalgamation was done to ensure for
the Group, benefits from scale economies both in domestic
and export markets and enable it to fund investments required
for aggressively building new categories.
In January 2000, in a historic step, the government
decided to award 74 per cent equity in Modern Foods to HUL,
thereby beginning the divestment of government equity in
public sector undertakings (PSU) to private sector partners.
HUL's entry into Bread is a strategic extension of the
company's wheat business. In 2002, HUL acquired the
government's remaining stake in Modern Foods.

Present Stature:

12
 Apart from dealing with soaps, detergents, personal
products, tea, coffee, branded staples, ice cream and culinary
products business, HUL is also one of the country's largest
exporters; it has been recognised as a Golden Super Star
Trading House by the Government of India. In 2003, HUL
acquired the Cooked Shrimp and Pasteurized Crabmeat
business of the Amalgam Group of Companies, a leader in
value added Marine Products exports.
HUL has traditionally been a company, which
incorporates latest technology in all its operations. The
Hindustan Unilever Research Centre (HLRC) was set up in
1958, and now has facilities in Mumbai and Bangalore. HLRC
and the Global Technology Centers in India have over 200
highly qualified scientists and technologists, many with post-
doctoral experience acquired in the US and Europe.

Company’s Role in other areas:

HUL believes that an organisation's worth is also in the

service it renders to the community. HUL is focusing on health
& hygiene education, women empowerment, and water
management. It is also involved in education and rehabilitation
of special or underprivileged children, care for the destitute
and HIV-positive, and rural development. HUL has also
responded in case of national calamities /adversities and
contributes through various welfare measures, most recent
being the village built by HUL in earthquake affected Gujarat,
and relief & rehabilitation after the Tsunami caused
devastation in South India.

13
 In 2001, the company embarked on an ambitious
programme, Shakti. Through Shakti, HUL is creating micro-
enterprise opportunities for rural women, thereby improving
their livelihood and the standard of living in rural communities.
Shakti also includes health and hygiene education through the
Shakti Vani Programme and creating access to relevant
information through the Shakti community portal. The program
now covers 15 states in India and has over 31,000 women
entrepreneurs in its fold, reaching out to 100,000 villages and
directly reaching to 150 million rural consumers. The company
has fixed target that by the end of 2010, Shakti aims to have
100,000 Shakti entrepreneurs covering 500,000 villages,
touching the lives of over 600 million people. HUL is also
running a rural health programme – Lifebuoy Swasthya
Chetana. The programme endeavors to induce adoption of
hygienic practices among rural Indians and aims to bring down
the incidence of diarrhea. It has already touched 70 million
people in approximately 15000 villages of 8 states.

“A vision to make a billion Indians feel

safe and secure”
Entire products range were not possible in such a short
span of time, I have been given opportunity to look into the
market share and selling opportunities of Tea/ Coffee Vending
Machine dealt by the company particularly in and around
Noida.

14
15
Company Profile:

HUL's brands - like Lifebuoy, Lux, Surf Excel, Rin, Wheel,

Fair & Lovely, Pond's, Sunsilk, Clinic, Peps dent, Close-up,
Lakme, Brooke Bond, Kissan, Knorr-Annapurna, Kwality Wall's –
are household names across the country and span many
categories - soaps, detergents, personal products, tea, coffee,
branded staples, ice cream and culinary products. They are
manufactured over 80 factories spread all over in India. The
operations involve over 2,000 suppliers and associates. HUL
has a distribution network, comprising about 4,000
redistribution stockiest, covering 6.3 million retail outlets
reaching the entire urban population, and about 250 million
rural consumers.
Hindustan Unilever Limited is India's largest Fast Moving
Consumer Goods (FMCG) company. It is present in Home &
Personal Care and Foods & Beverages categories. HUL and
Group companies have about 16,000 employees, including
1200 managers.
The fundamental principle determining the organization
structure is to infuse speed and flexibility in decision-making
and implementation, with empowered managers across the
company's nationwide operations. For this, HUL is organized
into two self-sufficient divisions - Home & Personal Care &
Foods - supported by certain central functions and resources
to leverage economies of scale wherever relevant.

16
Board of Directors & Management
Structure:

At the apex is the Board, headed by the Chairman, and

comprising 5 whole time Directors and 5 independent non-
executive Directors. The day to day operations are supervised
by the National Management comprising the Vice Chairman,
Managing Director (HPC), Managing Director (Foods) and the
Finance Director. HUL is organized into two self-sufficient
divisions - Home & Personal Care & Foods - supported by
certain central functions and resources to leverage economies
of scale wherever relevant. The company can achieve its
success due to right decisions taken by learned member of
Board and the employees who implant their decisions.

BOARD OF DIRECTORS:
Mr. Harish Manwani
Chairman

Mr. Manwani, MBA from Mumbai University, joined HUL in

1976 in Sales and Marketing assignments, he became
Divisional Vice President - Marketing. Mr. Manwani joined the

17
Board of HUL in 1995, responsible for the Personal Products
business. In addition, he held regional responsibility as the
Category Leader for Personal Products for the Central Asia and
Middle East (CAME) Business Group. Mr. Manwani worked as
Senior Vice President in UK responsible for the Global Hair Care
and Oral Care Categories. In 2001, he was appointed President
of the Home & Personal Care (HPC) - Latin America Business
Group and in 2004, as President and Chief Executive Officer of
the HPC - North America Business Group. In April 2005, he was
elevated to the Unilever Executive as President – Asia & Africa.

Mr. Douglas Baillie

CEO and Managing Director

Mr. Douglas Baillie graduated from the University of Natal

in business finance, marketing and business administration
and joined Unilever SA in 1978, then in Australia till 1987. After
working in different capacity in South Africa and London, Mr.
Baillie was appointed Managing Director Lever Pond’s South
Africa in 1997 and National Manager, Unilever South Africa, in
May 2000. Later, he assumed the responsibilities as the Chief
Executive Officer (CEO) of Hindustan Unilever Limited. Mr.
Baillie is also the Group Vice President responsible for
Unilever’s business in South Asia, which includes Sri Lanka,
Pakistan and Bangladesh.

18
Mr. D. Sundaram
Finance & IT Director

Mr. D. Sundaram is post-graduate from Madras University

and a Fellow of the Institute of Cost and Works Accountants of
India (FICWA). He joined Hindustan Unilever in 1975 as a
Management Trainee. He worked in different capacity at
various locations like London, Africa and Middle East Group
ect. In August 1996 he elevated to the position of Senior Vice
President–Finance, Central Asia and Middle East Group with
responsibility for Finance, IT and business strategies for
Unilever companies in the Indian sub-continent, North Africa
and the Middle East countries. He returned to India in May
1999 as Finance & IT Director of HUL.

Mr. Nitin Paranjpe

Executive Director

Mr. Nitin Paranjpe after obtaining a degree in BE (Mech)

and MBA in Marketing (JBIMS) from Mumbai joined the
Company as a Management Trainee in 1987. During 2001, he

19
was Assistant to the Unilever Chairman & Executive
Committee in London. In 2004, he became Vice President –
Home Care (Laundry & HHC) India responsible for the top and
bottom-line of the Homecare business. In March 2006, Mr.
Paranjpe became the Executive Director for the Home &
Personal Care business.

20
Mr. Sanjiv Kakkar
Director

Mr. Sanjiv Kakkar is BA (Economics) and PGDM from IIM

Ahmadabad with 23 years work experience. Mr. Kakkar joined
the Company in June 1984 and has worked in various Sales
and Marketing assignments. In March 2006, Mr. Kakkar was
appointed as Executive Director - Foods and joined the
Management Committee on 1st January 2007. Sanjiv was
appointed as the Executive Director - Sales and Customer
Development in May 2007.

Mr. A. Narayan
Director

Mr. A. Narayan is the Managing Director and CEO of ICI

India Limited. He is also the Chairman of ICI India Research &
Technology Centre. Mr. Narayan joined the Board as
Independent Non-Executive Director in 2001.

21
Mr. V. Narayanan
Director

Mr. V. Narayanan is a post-graduate from Madras

University. He was Chairman and Managing Director of the
erstwhile Pond's (India) Ltd. He is now Chairman of the
Academy of Management Excellence. He joined the Board as
Independent Non-Executive Director in 1987.

Mr. D. S. Parekh
Director

Mr. D. S. Parekh holds a FCA degree from England &

Wales. Mr. Parekh has held senior positions in Grindlays and
Chase Manhattan. He is the Executive Chairman of Housing
Development Finance Corporation. Mr. Parekh joined the Board
as Independent Non-Executive Director in 1997.

22
Mr. C. K. Prahalad
Director

Professor C. K. Prahalad is the Harvey C. Fruehauf

Professor of Business Administration at the University of
Michigan at Ann Arbor, the US. His contribution to business
strategy is globally recognised. He joined the Board as
Independent Non-Executive Director in 2000.

Mr. S. Ramadorai
Director

Mr. S. Ramadorai is the Chief Executive Officer of Tata

Consultancy Services. Mr. Ramadorai is also Chairman of Tata
Technologies Ltd. and Chairman of CMC Ltd. He joined the
Board as Independent Non-Executive Director in 2002.

23
DIVISIONS:

If Hindustan Unilever straddles the Indian corporate

world, it is because of being single-minded in identifying itself
with Indian aspirations and needs in every walk of life.
Hindustan Unilever Limited is India's largest Fast Moving
Consumer Goods (FMCG) company. It is present in Home &
Personal Care and Foods & Beverages categories. HUL and
Group companies have about 16,000 employees, including
1200 managers. The fundamental principle determining the
organization structure is to infuse speed and flexibility in
decision-making and implementation, with empowered
managers across the company's nationwide operations.
Each division is self-sufficient with dedicated resources
and assets in sales, marketing, commercial, and
manufacturing. The two divisions are further reorganized into
categories. Typically, each category and each function - Sales,
Commercial, Manufacturing - is headed by a Vice President.
They with their respective Managing Director, comprise that
Division's Management Committee.
For managing sales operations, HUL divides the country
into four regions, with regional branches in Delhi, Kolkata,
Chennai and Mumbai. Headed by a Regional Manager, they
comprise Regional Sales Managers and Area Sales Managers,
assisted by dedicated field forces, comprising Sales Officers
and Territory Sales In charges.
In Marketing, each category has a Marketing Manager
who heads a team of Brand Managers dedicated to each or a
group of brands. The commercial team of a Division is
responsible for its supply chain management. There are teams

24
dedicated to sourcing, planning and logistics. Each Division
has a nationwide manufacturing base, with each factory
peopled by teams of Production, Engineering, Quality
Assurance, Commercial and Personnel Managers.

CENTRAL FUNCTIONS:

HUL's Central Functions are Finance, Human Resources,

Technology, Research, Information Technology, Legal &
Secretarial, and Corporate Affairs. Their services are shared
across the company. But wherever necessary, managerial
resources are dedicated exclusively to a business. For
example, each Division now has dedicated HR managers.
HUL believes that while it leverages the scale of a large
corporate, it must also retain the soul of a small company. Its
organisation structure, which has and will continue to evolve
with time, is aimed at achieving this knitting.

CORPORATE PURPOSE:

Unilever's mission is to add Vitality to life. They meet

everyday needs for nutrition, hygiene and personal care with
brands that help people feel good, look good and get more out
of life. Their deep roots in local cultures and markets around
the world give them strong relationship with consumers and
are the foundation for future growth. They bring wealth of
knowledge and international expertise to the service of local
consumers - a truly multi-local multinational. Their long-term
success requires a total commitment to exceptional standards

25
of performance and productivity, to working together
effectively, and to a willingness to embrace new ideas and
learn continuously. To succeed also requires, they believe, the
highest standards of corporate behaviour towards everyone
working with them, the communities they touch, and the
environment on which they have an impact. This is their road
to sustainable, profitable growth, creating long-term value for
their shareholders, their people, and their business partners.
They are committed to safe and healthy working conditions for
all employees and do not use any form of forced, compulsory
or child labour.

26
CODE OF BUSINESS PRINCIPLES:

They have set out code of business principles in different

areas which they try their best to follow these principles I find
necessary to reproduce as such:

“Standard of Conduct
We conduct our operations with honesty, integrity and
openness, and with respect for the human rights and
interests of our employees.
We shall similarly respect the legitimate interests of
those with whom we have relationships.

Obeying the Law

Unilever companies and employees are required to
comply with the laws and regulations of the countries in
which we operate.

Employees
Unilever is committed to diversity in a working
environment where there is mutual trust and respect
and where everyone feels responsible for the
performance and reputation of our company.
We will recruit, employ and promote employees on the
sole basis of the qualifications and abilities needed for
the work to be performed.
We are committed to safe and healthy working
conditions for all employees. We will not use any form
of forced, compulsory or child labor.
We are committed to working with employees to
develop and enhance each individual's skills and
capabilities.

27
We respect the dignity of the individual and the right of
employees to freedom of association.
We will maintain good communications with employees
through company based information and consultation
procedures.

Consumers
Unilever is committed to providing branded products
and services which consistently offer value in terms of
price and quality, and which are safe for their intended
use. Products and services will be accurately and
properly labelled, advertised and communicated.

Shareholders
Unilever will conduct its operations in accordance with
internationally accepted principles of good corporate
governance. We will provide timely, regular and reliable
information on our activities, structure, financial
situation and performance to all shareholders.

Business Partners
Unilever is committed to establishing mutually
beneficial relations with our suppliers, customers and
business partners.
In our business dealings we expect our partners to
adhere to business principles consistent with our own.

Community Involvement

28
Unilever strives to be a trusted corporate citizen and, as
an integral part of society, to fulfill our responsibilities
to the societies and communities in which we operate.

Public Activities
Unilever companies are encouraged to promote and
defend their legitimate business interests.
Unilever will co-operate with governments and other
organizations, both directly and through bodies such as
trade associations, in the development of proposed
legislation and other regulations which may affect
legitimate business interests.
Unilever neither supports political parties nor
contributes to the funds of groups whose activities are
calculated to promote party interests.

The Environment
Unilever is committed to making continuous
improvements in the management of our environmental
impact and to the longer-term goal of developing a
sustainable business.
Unilever will work in partnership with others to promote
environmental care, increase understanding of
environmental issues and disseminate good practice.

Innovation
In our scientific innovation to meet consumer needs we

29
will respect the concerns of our consumers and of
society. We will work on the basis of sound science,
applying rigorous standards of product safety.

Competition
Unilever believes in vigorous yet fair competition and
supports the development of appropriate competition
laws. Unilever companies and employees will conduct
their operations in accordance with the principles of fair
competition and all applicable regulations.

Business Integrity
Unilever does not give or receive, whether directly or
indirectly, bribes or other improper advantages for
business or financial gain. No employee may offer, give
or receive any gift or payment which is, or may be
construed as being, a bribe. Any demand for, or offer of,
a bribe must be rejected immediately and reported to
management.
Unilever accounting records and supporting documents
must accurately describe and reflect the nature of the
underlying transactions. No undisclosed or unrecorded
account, fund or asset will be established or
maintained.

Conflicts of Interests
All Unilever employees are expected to avoid personal
activities and financial interests which could conflict
with their responsibilities to the company.
Unilever employees must not seek gain for themselves
or others through misuse of their positions.

30
Compliance – Monitoring –
Reporting
Compliance with these principles is an essential
element in our business success. The Unilever Board is
responsible for ensuring these principles are
communicated to, and understood and observed by, all
employees.
Day-to-day responsibility is delegated to the senior
management of the regions and operating companies.
They are responsible for implementing these principles,
if necessary through more detailed guidance tailored to
local needs.
Assurance of compliance is given and monitored each
year. Compliance with the Code is subject to review by
the Board supported by the Audit Committee of the
Board and the Corporate Risk Committee.
Any breaches of the Code must be reported in
accordance with the procedures specified by the Joint
Secretaries. The Board of Unilever will not criticise
management for any loss of business resulting from
adherence to these principles and other mandatory
policies and instructions.
The Board of Unilever expects employees to bring to
their attention, or to that of senior management, any
breach or suspected breach of these principles.
Provision has been made for employees to be able to
report in confidence and no employee will suffer as a
consequence of doing so.

31
In this Code the expressions 'Unilever' and 'Unilever
companies' are used for convenience and mean the
Unilever Group of companies comprising Unilever N.V.,
Unilever PLC and their respective subsidiary companies.
The Board of Unilever means the Directors of Unilever
N.V. and Unilever PLC.”

32
QUALITY POLICY:

HUL considers quality as one of the principal strategic

objectives to guarantee its growth and leadership in the
markets in which it operates. The company is committed to
respond creatively and competitively to the changing needs
and aspirations of the consumers through relentless pursuit of
technological excellence, innovation and quality management
across their businesses, and offer superior quality products
and services that are appropriate to the various price points in
the market as well as to their commitment to building
shareholder value. The company trains/ provides necessary
tools & techniques to its employees as well as is empowering
them to ensure broad base compliance of the policy of the
organisation at all levels.
The company is committed to fulfill its legal and statutory
obligations and international standards of product safety and
hygiene and will not knowingly sell product that is harmful to
consumers or their belongings. It will institute systems and
measures to monitor compliance in order to meet its
responsibilities to consumers. The company will maintain an
open communication channel with its consumers and
customers and will carefully monitor the feedback to
continuously improve its products and services and set quality
standards to fulfill them.

The company is committed to extend its quality

standards to its contract manufacturers, key suppliers and
service providers and by entering into alliances with them, to
jointly improve the quality of its products and services. This

33
policy is applicable to production from its own facilities as well
as to production that is outsourced. The company will
periodically review this quality policy for its effectiveness and
consistency with business objectives.

The company delegates authority and responsibility for

dissemination and implementation of this policy to each
Business and Unit Head.

ENVIRONMENT POLICY:

HUL supplies high quality goods and services to meet the

daily needs of consumers and industry. In doing so, the
Company is committed to exhibit the highest standards of
corporate behaviour towards its consumers, employees, the
societies and the world in which we live. The company
recognises its joint responsibility with the Government and the
Public to protect environment and is committed to regulate all
its activities so as to follow best practicable means for
minimizing adverse environmental impact arising out of its
operations. The company is committed to making its products
environmentally acceptable, on a scientifically established
basis, while fulfilling consumers' requirements for excellent
quality, performance and safety.
The aim of the Policy is to do all that is reasonably
practicable to prevent or minimise, encompassing all available
knowledge and information, the risk of an adverse
environmental impact arising from processing of the product,
its use or foreseeable misuse. This Policy is applicable to all
company operations covering its plantations, manufacturing,

34
sales and distribution, research & innovation centers and
offices. This document defines the aims and scope of the
Policy as well as responsibilities for the achievement of the
objectives laid down. Accordingly, HUL aims for:
 Ensure safety of its products and operations for the
environment
 Develop, introduce and maintain environmental
management systems
 Assess environmental impact of all its activities and set
annual improvement objectives and targets and review
 Reduce Waste, conserve Energy and explore
opportunities for reuse and recycle.
 Provide appropriate training to all employees to
implement the Policy
 Encourage suppliers and co-packers to develop and
employ environmentally superior processes and
ingredients
 Work in partnership with external bodies and
Government agencies to promote environmental care,
increase understanding of environmental issues and
disseminate good practice.

To implement the environment policy the Board and the

Management Committee of HUL is committed to conduct the
company operations in an environmentally sound manner.
Accordingly, they, including their manufacturing units and
Research & Innovation Centres, ensure the following
standards:
 Set mandatory standards and establish environmental
improvement objectives and targets

35
  Ensure implementation of HUL Policy on environment and
compliance with Unilever and HUL environmental
standards and the standards stipulated under relevant
national / local legislation
 Review environment performance of the company once
every quarter and recognize exemplary performance.
 Nominate a senior line manager responsible for
environmental performance

RESEARCH AND INNOVATION CENTRES:

Since most new products and processes are developed in

these Units, certain additional responsibilities devolve on them
to ensure implementation of the Environment Policy of the
company. In addition to the Unit Head's responsibilities
outlined above, the heads of these units will:
 Ensure that a formal and systematic risk assessment
exercise is undertaken during the process/product
development stage with specific reference to
environmental impact.
 Transfer technology to the pilot plant and main
production through a properly documented process
specification which will clearly define environmental
impact and risks associated with processes, products,
raw material and finished product handling, transport
and storage.
 Ensure that treatment techniques are developed for any
wastes generated as a result of the new product/process
and is incorporated into the process specifications.

36
37
SAFETY PRINCIPLES:

The Company recognises its responsibility to ensure

safety and protection of health of its employees, contractors
and visitors in all its operating sites, which include
manufacturing, sales and distribution, research laboratories
and offices during work and work related travel. HUL's
Occupational Safety and Health Policy is based on and
supported by the following eight Principles. These Principles
have the same status as the Company's Code of Business
Principles:
 All injuries and occupational illnesses are preventable
 All operational exposures can be safeguarded
 Safety evaluation of all business processes is vital
 Working safely is a condition of employment
 Training all employees to work safely is essential
 Management audits are a must
 Employee involvement is essential
 All deficiencies must be reported and corrected promptly

FACTORY LOCATIONS:

The year was 1923. Lord Leverhulme, the legendary

founder of Lever Brothers, was visiting India. The nationalist
sentiment in India was for locally manufactured products. Lord
Leverhulme, who believed that what is good for a country is
equally good for the company, responded to that aspiration
because he too shared that dream.

38
 His dream ultimately was realized in 1934. In September
1934, after more than a decade of discussions in London and
in India, a Lever factory was allowed to sprout on the land that
had been reclaimed by the Bombay Port Trust at Sewri. From
here, a month later rolled out the first cake of Sunlight soap to
be manufactured in India. The same year, Lever Brothers took
over the Garden Reach Factory in Kolkata. These two factories
were the first in a manufacturing base, which today literally
dots the length and breadth of India i.e. from Assam to
Gujarat; from Uttaranchal to Kerala.

Hindustan Unilever's diverse product range is today

manufactured in about 80 factories. In addition, the company
outsources from 150 other units. The operations involve 2,000
suppliers and associates.

DEVELOPING BACKWARD AREAS:

Several HUL factories are situated in backward areas.

The company has consciously responded to the national policy
of development of backward areas by setting up
manufacturing units in these places, which provide several
direct and indirect employment opportunities for these areas,
and leads to general economic development of these regions
through industrialization. In fact, all major investments of HUL,
in recent years, have been either in A-Category backward
areas or No-Industry Districts. These include factories in
Khamgaon and Yavatmal (Maharashtra), Chhindwara (Madhya
Pradesh), Orai, Sumerpur and Khalilabad (Uttar Pradesh),
Haldia (West Bengal), Silvassa (Dadra & Nagar Haveli),

39
Pondicherry, Goa, Doom Dooma (Assam), Hardwar
(Uttaranchal) and Barotiwala (Himachal Pradesh). Since 2001
itself, HUL has set up nine new factories in backward areas.
Equally, HUL has an enviable track record in taking over
sick enterprises, in response to requests from Government,
and converting them into viable operations. The company's
units at Mangalore and Rajpura all bear testimony to this
achievement. In the process, HUL has saved precious jobs and
developed local economies. HUL's manufacturing facilities, like
the Khamgaon soap plant and the Sumerpur detergent bar
unit, are recognised as among the best in the Unilever world.
HUL has adopted Total Productive Maintenance (TPM) for
achieving manufacturing excellence since 1994. As on date,
TPM is in different stages of implementation in 28 factories.
Four HUL factories have already received the TPM Consistency
Award, and 14 factories have been awarded with the TPM
Excellence Award.

Businesses:

Home & Personal Care

• Personal Wash

40
• Fabric Wash

• Home Care
• Oral Care

• Skin Care

• Hair Care

• Deodorants &
Talcs

• Colour
Cosmetics

41
Foods

• Tea

• Coffee

• Branded
Staples

• Ice Creams

42
New Ventures

• Hindustan Unilever Network

• Ayush ayurvedic products &
services
• Sangam
• Pureit water purifiers

Water Purifiers

Exports

• HPC
• Beverages
• Marine Products
• Rice
• Castor

43
BRAND POSITION IN INDIA AND OTHER
COUNTRIES

Today, HLL is one of India’s largest exporters of branded

Fast Moving Consumer Goods. It has been recognized by the
Government of India as a Golden Super Star Trading House.
Over time HLL has developed into a viable & competitive
sourcing base for Unilever world wide in Home and Personal
Care & Foods & Beverages category of products. HLL is also a
global marketing arm for select licensed Unilever brands and
also works on building categories with core country advantage
such as branded basmati rice.
HLL Exports offers high level of service with flexibility and
responsiveness thorough out the supply chain. It has a
dedicated organization structure to support this endeavour
and this has helped in growth of these businesses in particular.
Intrinsic cost competitiveness in the end to end Supply chain
with appropriate technology and competitive capital
investment operations while delivering best in class quality
enables HLL to position itself as a key sourcing hub for
Unilever and also become a preferred partner for Global
customers in categories they operate.
HUL key focus in the exports business is on two broad
categories. It is a sourcing base for Unilever brands in Home &
Personal Care (HPC) and Food and Beverages (F&B) for
supplies to other Unilever companies. It also focuses on
becoming a preferred supplier to both non-Unilever and
Unilever clients in three categories in which India, as a
country, has competitive advantage – Branded Rice, Marine

44
Products and Castor and its Derivatives . HLL enjoys
international recognition within Unilever and outside for its
quality, reliability and speed of customer service.
HUL Exports geography comprises, at present, countries
in Europe, Asia, Middle East, Africa, Australia, North America
etc

45
EXPORTS PORTFOLIO:

The categories under HPC include products in Skin care,

Oral care, Pears, Personal Wash & Lakme range.

 Skin Portfolio includes Mass & Masstige Skin (Cream

& lotions under Fair & Lovely and Dove brands),
Shampoos and Conditioners (under Sunsilk brands),
Vaseline & Talc (under Ponds brands). In the past the
focus market was in Middle East and Asia, which is now
slowing changing with current exports to European
countries and robust plans to source different products to
US in the near future.
 Oral Care consists of Tooth Paste and Tooth Brush
(under Pepsodent, Close-up, Mentadant and Signal
brands). The exports are to Asian and European
countries.
 Pears Category consists of Bars, Hand Wash, Body
Wash and Shower Gel. Pears is being sold globally
including to North America / UK to the GCC / African
countries extending up to Singapore and Australia. While
the bar remains the most popular product, the brand has
now extended to hand wash, shower gel, body wash and
face wash. Currently Pears is celebrating its 200 year
anniversary which shows the rich heritage and the strong
brand equity it enjoys over generations.
 Personal wash category predominantly consists of
Lux, Fair & Lovely Soap, Lifebuoy Hand wash
 Lakme Products are mainly exported to the
countries with Indian Ethnic population or to geographies

46
 where the brand enjoys strong equity. The markets
include Nepal, Bangladesh, United Kingdom & Maldives.

FOOD & BEVERAGES:

The categories under F&B include products in Tea, Coffee
& Processed Foods range.

 Tea Category Includes: Tea Bags (includes Tea Bags,

Flavored Tea Bags and Square Tea Bags), Instant Tea,
Bulk Tea & Packet Tea. The branded packet tea, and
instant tea are for Unilever's ready-to-drink tea business.
The branded teas are Brooke Bond, Brooke Bond Red
label, Brooke Bond Taj Mahal, Lipton, Lipton Yellow Label,
Lipton Green Label, Lipton Brisk and Lipton 3-in-1 premix.
 Coffee Category consists of Instant coffee & special
coffee Beans (under Bon and Bru brands). The focus
market for Bon is CIS markets while Bru is mainly sold to
Ethnic markets / Indian diaspora world-wide. Both Bon
and Bru straddle the entire gamut of formats comprising
of spray dried coffee, granulated, freeze dried and pre
mixes.
 Processed Foods categories include Fruit Spreads / Jams,
Soup Powders, Salt, Wheat Flour, Tomato Ketchup and
Custard Powder. The branded processed food items
consists of Kissan, Knorr, Annapurna, Captain Cook,
Brown & Polson brands.

Marine Products:

47
 HLL offers a comprehensive portfolio, ranging from
Surimi, Crabsticks to Shrimps and several value-added
products. Among its customers is Icelandic, the world's third
largest seafood company. In addition, HLL has also become a
part of Unilever's supply chain in seafoods for Europe too. HUL
Marine Products brands are Ocean Diamond, Ocean
Excellence, Shogun, Hima, Gold Seal, Tara and Prima.

Rice:
The categories are Basmati Rice and Basmati Rice-based
ready-to-eat rice meals. The brands are Gold Seal, Indus
Valley, Rozana and Annapurna.

Castor:
The products are Castor Oil, Castor-oil based products, like
hydrogenated castor oil, 12 - Hydroxy Stearic Acid, Ricinoleic
Acid (used in grease and lubricant industry, paints and surface
coatings, cosmetics, emulsifiers), and Speciality Castor Oils
(USP grade, BP grade, DAB 10) etc used in pharmaceutical
preparations. HUL Castor brand is Topsol.

WATER REFORMS:

Hindustan Lever Limited has launched Pureit, the most

advanced in-home water purifier in the world. It is the only
purifier that gives you water that is ‘as safe as boiled water'
without boiling, and without needing electricity or continuous
tap water supply. This is why it is the most advanced inhome
water purifier in the world. Pureit gives water that is free from

48
harmful viruses, bacteria and parasites because it has a Pureit
Germkill Battery™ that is a combination of unique
technological breakthroughs. Therefore, it provides 100%
protection from all water related diseases like jaundice,
diarrhea, typhoid and cholera. Pureit also removes cancer
causing pesticides that may be present in drinking water.
Pureit meets the germkill criteria of the toughest regulatory
agency in the USA, the Environmental Protection Agency
(EPA), for protection against harmful viruses, bacteria and
parasites, and getting microbiologically safe drinking water.
Pureit has been designed not only to give guaranteed germkill
performance, but it also improves the clarity of drinking water.
It makes the water odorless, so that there is no residual smell
of chlorine. And finally, it gives good tasting water. Pureit
provides water that is ‘as safe as boiled' water through a
combination of unique technologies:

 A unique Microfibre Mesh™ that removes visible dirt

 A unique Compact Carbon Trap™ that removes the
remaining dirt, parasites and even pesticides
 A Germkill Processor™, whose stored germkill power
targets and kills all harmful viruses and bacteria
 A unique Polisher™ that gives clear, odourless and
good tasting water
 A Germkill Battery Life Indicator™ that lets
consumers know when the germkill power of the
battery kit is over and needs to be replaced

49
DEMAND & SUCCESS:

Home to over 700 million people, rural India comprises

not only over 70% of India's billion-strong population, but
also over 12% of the world's population. The rural population
already accounts for substantial consumption of Fast Moving
Consumer Goods and also consumer durables. About 50% of
the sales of soaps & detergents are generated in rural India.
Similarly, almost half the demand for black & white television
sets, pressure cookers, table fans, sewing machines also
comes from there.
But the potential is even larger, both in terms of
consumption and penetration. The fact that 70% of the
population accounts for only 50% of even relatively well-
penetrated categories, like soaps & detergents, indicates the
enormous scope of consumption-led growth in these
categories. Therefore such categories will derive growth out
of increased usage. In categories, which are relatively less
penetrated, like personal products, rural India offers an even
bigger growth opportunity through greater penetration and
then consumption. For example only three out of 10
consumers in rural markets use shampoo or skin care
products. Therefore growth in such categories will emerge, as
more consumers purchase these products, and then continue
to use them regularly.
Hindustan Lever has taken many initiatives over the
decades to create markets in the rural hinterlands, by
marketing relevant products, at affordable prices. A unique
example is Hindustan Lever's Lifebuoy soap. In rural India,
health is of paramount importance, because indisposition is

50
very directly related to loss of income. Lifebuoy, whose core
equity is health and hygiene, has for decades now been
synonymous with soap in rural India. At the same time, if
products have to come up the order in the rural purchase
hierarchy, they have to be affordable. If rural India today
accounts for about half of detergents sales, it is because HLL
has developed low-cost value-for-money branded products,
like Wheel. The company has also taken initiatives to create
markets even for apparently premium products, by offering
them in pack sizes, like sachets, whose unit prices are within
the reach of rural consumers. For example, initiated in the
1980s, sachets (Rs.2, Re.1, or 50 paise) today constitute
about 55% of Hindustan Lever's shampoo sales. With media
reach gradually increasing, rural consumers today, where the
media has its footprints, share the same aspirations with
their urban counterparts.
For decades now, Hindustan Lever has also taken
initiatives to circumvent the limitation in communication
channels, by innovatively leveraging non-conventional media.
Among them are wall paintings, cinema vans, weekly
markets (haat), fairs and festivals. Given the rural
consumer's fascination for cinema, the cinema vans show
popular movies, interspersed with products advertisements.
Weekly markets, fairs and festivals are parts and parcel of
rural life. They give an opportunity to address consumers,
spread over many tiny hamlets, at one location. The
occasions are used to demonstrate product benefits and also
sell such products. Such demonstrations have played a
significant role in creating, for example, the detergents
market in rural India. In recent times, such demonstrations
are being deployed to illustrate how visible clean is not

51
hygienic clean, and how using soap is essential to prevent
easily avoidable infections.
Communication through fairs and festivals are backed
by direct consumer contact. For example, in 1998-99,
Hindustan Lever implemented a major direct consumer
contact, called Project Bharat, which covered 2.2 crore
homes. Each home was given a box, at a special price of
Rs.15, comprising a low unit price pack of shampoo, talcum
powder, toothpaste and skin cream, along with educational
leaflets and audio-visual demonstrations. The project has
helped eliminate barriers to trial, and has strengthened
salience of both particular categories and brands. Similarly in
2002, Hindustan Lever has launched a similar large-scale
direct contact, called Lifebuoy Swasthya Chetana, which
already covers 70 million people in 18,000 villages of 8
states. The project is intended at generating awareness
about good health and hygiene practices, and specifically
how a simple habit of washing hands is essential to
maintaining good health. The initiative will involve interaction
with students and senior citizens, who act as change agents.
Generating awareness pays dividends only when steps
are taken to ensure constant availability of products. In rural
India particularly, availability determines volumes and
market share, because the consumer usually purchases what
is available at the outlet, influenced very largely by the
retailer. Therefore, over the decades, Hindustan Lever has
progressively strengthened its distribution reach in rural
India, which today has about 33 lakh outlets. Direct rural
distribution in Hindustan Lever began with the coverage of
villages adjacent to small towns. The company's stockists in
these towns were made to use their infrastructure to

52
distribute products to outlets in these villages. But this
distribution mode could only be extended to villages
connected with motorable roads, and it could cover about
25% of the rural population by 1995.
Therefore in 1998, Hindustan Lever launched Project
Streamline to further extend its distribution reach. Under this
initiative, the company identifies sub-stockists in a large
village, connected by motorable road to a small town. This
sub-stockiest in turn distributes the company's products to
outlets in adjacent smaller villages using transportation
suitable to interconnecting roads, like cycles, scooters or the
age-old bullock cart. Hindustan Lever is thus trying to
circumvent the barrier of motorable roads. As a result, the
distribution network, as of now, directly covers about 50,000
villages, reaching about 250 million consumers. The company
simultaneously uses the wholesale channel, suitably
incentivising them to distribute company products. HLL has in
the recent past established a common distribution system in
rural areas for all its products. Given the number of brands
and their packs the rural retailer usually requires, one HLL
representative can take all the products from the company
portfolio that he needs. This common distribution system is
now fully operational, under one Regional Sales Manager
exclusively dedicated to rural markets of each region of the
country.
Over time, Hindustan Lever will further strengthen its
rural distribution through mutually beneficial alliances with
rural Self Help Groups (SHGs). Over the last five years,
financial institutions, NGOs and government organizations
are working closely to establish SHGs, whose objective is to
alleviate poverty through sustainable income-generating

53
activities. Since 2001, Hindustan Lever is implementing
Project Shakti, whereby SHGs are being offered the option of
distributing relevant products of the company as a
sustainable income-generating activity. The model hinges on
a powerful win-win relationship; the SHG engages in an
activity which brings sustainable income, while Hindustan
Lever gets an interface to interact and transact with the rural
consumer.
HUL vision for Project Shakti is to scale it up across the
country by 2005, creating about 25000 Shakti entrepreneurs,
covering 100,000 villages, and touching the lives of 100
million rural consumers. Begun with 50 groups in Nalgonda
district of Andhra Pradesh, with the support of local
authorities, the project has been extended, as of now, to
about 50,000 villages in 12 states. A typical Shakti
entrepreneur conducts business of around Rs.10,000 - Rs
15,000 per month, which gives her an income of about Rs
700 - Rs.1000 per month on a sustainable basis. As most of
these women are from below the poverty line, and live in
extremely small villages (less than 2000 population), this
earning is very significant, and is almost double of their past
household income. The full benefit of Project Shakti will be
realised after some years.

At the supermarkets
Self-service stores and supermarkets are fast emerging
in metros and large towns. To service modern retailing outlets
in the metros, the company has set up a full-scale sales
organisation, exclusively for this channel. The business system
delivers excellent customer service, while driving growth for

54
the company and the store. At the same time, innovative
marketing initiatives are taken to provide consumers with
experience of our brands at the store itself, through product
tests and in-store sampling.

In the villages

The company has also revamped its sales organisation in

the rural markets to fully meet the emerging needs and
increased purchasing power of the rural population. The
company has brought all markets with populations of below
50,000 under one rural sales organisation. The team
comprises an exclusive sales force and exclusive redistribution
stockists, under the charge of dedicated managers. The team
focuses on building superior availability, while enabling brand
building in the deepest interiors. HUL’s distribution network in
rural India already directly covers about 50,000 villages,
reaching about 250 million consumers, through about 6000
sub-stockists.

MARKETING STRATEGIES:

IT-powered system has been implemented to supply

stocks to redistribution stockists on a continuous
replenishment basis. The objective is to catalyse HUL’s growth
by ensuring that the right product is available at the right
place in right quantities, in the most cost-effective manner. For
this, stockists have been connected with the company through
an Internet-based network, called RSNet, for online interaction

55
on orders, despatches, information sharing and monitoring. RS
Net covers about 80% of the company's turnover. Today, the
sales system gets to know every day what HLL stockists have
sold to almost a million outlets across the country. RS Net is
part of Project Leap, HUL’s end-to-end supply chain, which also
includes a back-end system connecting suppliers, all company
sites and stretching right upto stockists.
Hindustan Lever is simultaneously creating new
channels, designed on the same principle of holistic contact
with consumers –

 Project Shakti, HUL’s partnership with Self

Help Groups of rural women, is becoming an
extended arm of the company's operation in rural
hinterlands. Started in 2001, Project Shakti has
already been extended to about 50,000 villages in
12 states - Andhra Pradesh, Karnataka, Gujarat,
Madhya Pradesh, Tamil Nadu, Chattisgarh, Uttar
Pradesh, Orissa, Punjab, Rajasthan, Maharashtra
and West Bengal. The respective state
governments and several NGOs are actively
involved in the initiative. The SHGs have chosen to
partner with HLL as a business venture, armed with
training from HLL and support from government
agencies concerned and NGOs.

 Hindustan Lever Network (HLN) is

the company's arm in the Direct Selling channel,
one of the fastest growing in India today. It already
has about 3.5 lakh consultants - all independent
entrepreneurs, trained and guided by HLN's expert

56
 managers. HLN has already spread to over 1500
towns and cities, covering 80% of the urban
population, backed by 42 offices and 240 service
centres across the country. It presents a range of
customised offerings in Home & Personal Care and
Foods.

 Out-of-Home consumption of products and

services is a growing opportunity in India, as
elsewhere in the world. Hindustan Lever is already
the largest player in the hot beverages out-of-home
segment, with over 15000 tea and coffee vending
points. The company is expanding the network
aggressively, in the education, entertainment,
leisure and travel segments. HUL’s allaince with
Pepsi will significantly strengthen this channel.

 Health & Beauty Services are

Hindustan Lever's simultaneous foray to meet the
increasing consumer need for such products and
services. Lakme Salons provide specialised beauty
services and solutions, under the recognised
authority of the Lakme brand. The Ayush Therapy
Centres provide easy access to authentic Ayurvedic
treatments and products.

Hindustan Lever, which once

pioneered distribution in India, is today reinventing distribution
- creating new channels, and redefining the way current
channels are serviced. In the process it is converging product
availability, with brand communication and brand experience.

57
FINANCIAL & MARKETING PROFILE:

In last five years, HUL has shown steady

growth in sales turnover
(Rs. in Crores)
Profit After
YEARS Sales
Taxation
10951.6
2001-02 1731,32
1
11096.0
2002-03 1804.34
2
10888.3
2003-04 1199.20
8
11975.5
2004-05 1354.51
3
12087.2
2005-06 1890.53
8
2006-07 (up to 3481.0
493.00
June’07) 0

For June Quarter 2007, HUL’s total Sales grew by 12.9%

with the FMCG business growing by 13.4% and whereas net
profit grew by 29.6%.

2005-06
2006-07 (up Growth
(up to
to June’07) %
June’06)
Sales 3083.00 3481.00 12.9
FMCG 3097.00 2731.00 13.4
Net Profit 381.00 493.00 29.6

Home & Personal Care (HPC) Business grew 11.1%. All

brands in Laundry and Shampoo continued to perform well.

58
Personal Wash growth was driven by a strong performance in
Lux and Breeze. Skin category was impacted by a planned
reduction of stocks in the distribution pipeline in preparation
for Fair & Lovely relaunch in July 2007. Oral Category growth
was led by Close Up. The key innovations during the quarter
were the launches of Dove Hair Care, Clinic All Clear variants
for men, Lifebuoy Skin-guard, Lakme Sun Expert and Peps dent
Centre Fresh.

Foods business had another quarter of impressive

performance registering a sales growth of 25%. The Beverages
business grew by 21% with all Tea brands, Taj, 3 Roses, Red
Label and Taaza, performing well. Bru Coffee continued its
excellent performance this quarter. Knorr and Kiss an brands
were the drivers of a 38% growth in the Processed Foods
category. Ice-cream business had a robust 24% growth. The
key innovations during the quarter were the launches of Knorr
Chinese mixes, Bru Iced Cappuccino and the Moo Ice-cream
range.
National rollout of the Water business is progressing well
and now covers all Southern states, Maharashtra and West
Bengal. Consumer acquisition and brand building has met all
action standards and production capacity is being enhanced
for further roll-out.
Judicious price increases together with buying efficiencies
and aggressive cost saving initiatives helped sustain gross
margins despite the impact of escalating costs. Advertising
and Promotion spends continued to be competitive and the
lower expenditure for the quarter reflects the planned phasing
of activities and the lower spend in a channel pending
conclusion of negotiations. The Profit before Interest and Tax

59
(PBIT) has increased by 20.4%, and PBIT margin for the
quarter at 14.5% of Sales was 90bps above prior year. Profit
after Tax (PAT) grew by 24.4% and Net Profit was higher by
29.6%.

MARKETING PROFILE:
Overall Market performance of HUL is impressive,
however the results shows that the market share is not
buoyant in favour of HUL during the same period in respect of
the following commodities:

Market Share Performance

June Qr. June Qr. ‘07
‘06
Laundry 35.3 37.8
Personal 54.6 54
Wash
Hair 48 47.5
Skin Care 54.3 55.1
Oral 30.2 30
Tea 25.5 24.3
Instant 47.7 47.4
Coffee

60
PRODUCT
PROFILE

61
3.1 PRODUCT – LIPTON

Lipton is one of the world's great refreshment brands,

making a big splash in the global beverages market with tea-
based drinks including leaf tea, infusions, ready-to-drink tea
and other healthy, refreshing alternatives to soft drinks.
Making a big splash in the global beverages market Lipton
continues to lead as the global tea beverage market, making a
big splash with a variety of tea-based drinks.

62
Keeping it green

As well as enabling consumers to drink better and live

better, Lipton is also good for the environment. Sustainable
farming practices, both within their owned and third party tea
estates, is vital for their future. One example of the many
environmental and ethical measures being taken is the 'Trees
2000' programme in Kenya, which sees Lipton planting 40000
indigenous trees every year to curb deforestation. There's
nothing better than a thirst-quenching cup of tea to help one
face the day. An independent panel of nutrition experts has
agreed that leaf tea is second only to water as the ideal
beverage for hydration due to its many qualities.

Nutrition Enhancement Programme

Although sugar levels in Lipton Ice Tea are already much lower
than standard carbonated soft drinks, they're lowering them
further by around 10% in much of the range.

63
Innovations
Lipton is growing fastest in ready-to-drink teas including
the international Lipton Ice Tea range, the Lipton Brisk range
in North America and a range of Lipton ready-to-drink teas in
Asia which can be served hot or cold. Other recent flavour
innovations cater to changing and adventurous tastes, for
example, green teas and the Lipton Fusion blends of iced tea
and exotic fruit juice varieties. Leaf tea remains a favorite in
many markets and Lipton is making it tastier and easier to
make with innovations including Lipton Pyramid tea bags that
give the leaves more room to move and Lipton Cold Brew tea
bags that allow iced tea to be freshly brewed in cold water in
just five minutes. Lipton has also recently entered the green
tea market, launching both leaf and ready-to-drink varieties.

64
Key facts
 tea is the world's favorite beverage, after water
 independent scientists also place leaf tea second only to
water as the most ideal beverage in the world
 all leaf teas are naturally zero calories and so can help
with weight management programs
 Lipton tea provides flavonoid antioxidants. Antioxidants
are thought to help keep our body healthy by preventing
every day wear and tear by free radicals
 Studies observing large populations and their eating and
lifestyle habits over a long period show that regular tea
drinking may help maintain heart health. A number of
studies showed that people consuming tea (without milk
and sugar) on a regular basis as part healthy lifestyle
tend to maintain better heart health better than those
who do not drink tea.
 Lipton is the world's best-known and best-selling brand of
tea, with sales of nearly €3 billion today. Lipton is the
global market leader in both leaf and ready-to-drink tea,
with a global market share nearly three times larger than
its nearest rival

65
  available in over 110 countries, Lipton is particularly
popular in Europe, North America and the Middle East
and parts of Asia
 tea revitalizes mind and body
 tea – half the caffeine of a regular cup of coffee
 all teas – black, green, oolong or white provide an
antioxidant boost
 just one 200ml cup of Lipton Yellow Label will provide
around 135mg of antioxidants

Product range

Lipton Yellow Label tea

66
 Lipton Green Tea

Lipton Iced Tea

Lipton Ice Tea

Lipton Tea gets health seal of

approval
There is nothing better than a thirst-quenching cup of tea
to help you face life's challenges. Not only does it taste great,
but also it offers you an antioxidant boost with zero calories.

67
 Antioxidant health properties
To confirm this, every Lipton pack is now stamped with
the AOX Seal, highlighting Lipton Tea's antioxidant health
properties and underlining the brand's commitment to
consumers' vitality and well-being. Many people do not realise
that black and green tea contains virtually the same amount of
antioxidants. In fact, whether black, green, oolong, white, in a
Lipton ready to drink or leaf tea, will provide you with
antioxidants.

Re-thinking your drinking habits

The AOX Seal is just one way Lipton is helping people
rethink what they drink by reminding them of tea's health and
vitality credentials. The 'Tea Can Do That' campaign across
North America is highlighting the positive effects of tea
drinking on body and mind with the message: 'Drink Better
Everyday...Live Better Everyday'.

68
 Scientists say that tea is second
only to water!
A recent publication by a group of key nutrition experts
has highlighted that tea is second only to water as the best
beverage for hydration in the world. Why? It is naturally zero
calories, and a source of many good things including L-
theanine and antioxidants. In addition, tea is hydrating – and
not dehydrating despite popular belief.

LIPTON VENDING MACHINE:

Coffee and tea are important in any office. Working
professionals feel the need for these beverages intermittently
during their hectic schedule. Increasing labor costs and the
need for instant availability have brought in vending machines.
With this in mind, many companies have installed beverage
vending machines to provide their employees refreshments.

Option 1:

69
2 LANE DIMENSIONS
HEIGHT - 635 MM
MACHINE

WIDTH - 270 MM

DEPTH - 540 MM

WEIGHT 30 KG

POWER SUPPLY 230 VOLTS / 50 HZ

AVAILABLE OPTIONS OF 2 INGREDIENTS OPTIONS

STAGGERED DISPENSING OPTION FOR
TEA
TEA BAG
DISPENSING RATE - 5 CUPS/MIN (100 ML
COFFEE
EACH)

TEMPRATURE INTERLOCKING

WATER SOURCE - ON LINE / WATER

BOTTLE

Option 2:

70
2 LANE MACHINE
HEIGHT - 630 MM
DIMENSIONS
WIDTH - 310 MM
DEPTH - 495 MM

WEIGHT 27 KG

POWER SUPPLY 220 VOLTS / 50 HZ

CANISTER
1 KGS
CAPACITY

AVAILABLE OPTIONS OF 2
OPTIONS
INGREDIENTS
STAGGERED DISPENSING OPTION FOR
TEA
TEA BAG
DISPENSING RATE - 4 CUPS/MIN (100
COFFEE
ML EACH)
TEMPRATURE INTERLOCKING
AUTO CLEANING
WATER SOURCE - FILTER PROVIDED
WITH THE WATER JAR
(TROLLEY CAN BE PROVIDED. HEIGHT
REQUIRED 900MM.)

71
Option 3:

4 LANE
MACHINE
HEIGHT - 635
DIMENSIONS
MM
WIDTH - 445
MM
DEPTH - 545
MM
WEIGHT 30 KG

230 VOLTS / 50
POWER SUPPLY
HZ

AVAILABLE OPTION OF 4 INGREDIENTS OPTIONS

STAGGERED DISPENSING OPTION FOR
1. TEA
TEA BAG
OPTION FOR CAPPUCCINO / MOCHA
2. COFFEE
DRINKS
DISPENSING RATE - 5 CUPS/MIN (100
3. CAPPUCCINO
ML EACH)
TEA W/O SUGAR
TEMPRATURE INTERLOCKING 4.
(TEA BAG )
WATER SOURCE - ON LINE / WATER
5. BLACK COFFEE
BOTTLE ON M/C

72
Option 4:

6 LANE MACHINE
HEIGHT - 645
DIMENSIONS
MM
WIDTH - 445
MM
DEPTH - 580
MM
WEIGHT 35 KG

POWER 230 VOLTS / 50

SUPPLY HZ

AVAILABLE OPTION OF 6 INGREDIENTS OPTIONS

STAGGERED DISPENSING OPTION FOR
1. TEA
TEA BAG
OPTION FOR CAPPUCCINO / MOCHA
2. COFFEE
DRINKS
DISPENSING RATE - 5 CUPS/MIN (100
ML EACH) 3. CAPPUCCINO

TEMPRATURE INTERLOCKING 4. LEMON TEA

WATER SOURCE - ON LINE / WATER TEA W/O SUGAR
5.
BOTTLE ON M/C (TEA BAG )
6. TOMATO SOUP
7. BLACK COFFEE
8. BLACK TEA

73
PART - II

74
 STATEMENT OF THE PROBLEM

Broadly speaking this study has been under taken on a

detail study, consisting of areas covering all the aspects of
corporate sale and detail understanding of all the competitive
brands of vending machine. In India, vending machine market
since past few years, is flooded with different varieties of
vending machine of different companies. In such a situation
the consumer is in dilemma in preferring a particular product
because different brands of vending machine amongst them.

With much competition of different companies producing

similar products the study is also aimed at those potential
consumers of vending machine of different brands and the
other company’s brands like Nescafe, Georgia, Amazon and
Coffee Day etc.

Consumer varies tremendously in size of consumption of

brew (i.e. Tea and Coffee) and taste. Also these factors have
been taken into consideration while ascertaining the consumer
preference for vending machine.

75
 SIGNIFICANCE OF THE STUDY

Although this study is conducted at small level (only

Noida and nearby) yet the findings and suggestions of it will
help the management of the organization i.e. Hindustan Unilever
Limited, in better way to understand the detail study of areas

covering all the aspects of corporate sale of vending machine

and it will also consist the detail understanding of the
competitive brands of HUL’s vending machine. The study will
also help the organization in making decision regarding
promotional schemes and also identified the hidden
opportunity in the certain other area other than corporate sale.
So that, the corporate consumer may be find the product more
attractive due the persons working therein may become
demanding of HUL’s vending machine.

OBJECTIVE OF THE STUDY

The main objective of the study to utilize my theoretical

knowledge in realm of marketing world to understand the
complex/ competitive market situations and gain experience
with the organization, where I utilise eight weeks time to
understand the difference between practical and theoretical
knowledge.

The study has been conducted to understand the detail

study of all the aspects of retailing concerned with the HUL’s
vending machine. The specific objective, which under taken in
my study, is to understand the corporate sale, the competitive

76
brands of HUL’s vending machine and walk through the
product sale in corporate world which reflect my own personal
views and measures even the near by areas with hidden
opportunity.

IMPORTANCE OF THE STUDY

Importance for the students: This course does not

answer all the problems which arise in the practical field.
There are many certain formulas for analyzing particular
problems, but the aim of the study is to develop ability of
decision making. A right decision at the right time itself helps
the organization to run efficiently. Therefore, the eight weeks
training is most important for the students of management.

Summer training in any organization gives an idea in

taking tactfully right decision at right time when problems
come to an executive. So finding the solution of the problem,
right decision making and knowledge of different types of
marketing activities gives much more importance to the study.

Importance for the company:

Though toady’s market is very competitive for all type of
consumables, but I find that Vending Machine market is more
competitive market in a view that (1) it is industrial or office
consumable product, thus can be defined as corporate sale,
(2) It is everybody’s requirement but not essentially required
by every one and (3) Only reputed Brands are in the market.
Therefore, every seller of this product has uphill task while
selling the products. In such a market, it becomes highly

77
imperative to take account of the constantly changing brand
perception.

It is here that this project becomes important as it aims

to understand all the aspects of corporate selling, the detail
study of all the competitive brands of HUL’s products. The
observational study made during the training would help the
marketing division of HUL to devise effective market strategy
for the given area that would ultimately help to strengthen
their position in the market, would enhance brand preference
amongst the consumers.

THEORETICAL PERSPECTIVE OF THE

STUDY

Consumer is the sovereign in the market. All economies

activity in the market namely, production, distribution,
exchange, consumption are governed, regulated and adjusted
in accordance with the needs and wishes of the consumers.
Analysis of consumer behavior has considerable importance in
marketing management, with the changing in its philosophy. In
the early days these was basically sellers market, very few
products concentrated in quality and reasonable price
structure, with the emergence of the competitors market
started flooding with goods and services, so each seller found
it difficult to sell products if unable to communicate the
consumers in respect of products’ quality and reasonable
price.

78
 RESEARCH
METHODOLOGY

79
 MARKET RESEARCH:

Marketing research has become most important tool for

decision making in the field of marketing due to the following
reasons.

 Business environment is changes very rapidly which

needs to continuous modification and improvement.

 It provides correct and reliable information about

customer, competitors and ones own activities to the
manager, so that the huge amount spent on marketing
activities to be utilized properly.

 Since modern business is customer oriented, it (MR)

provides the producer a systematic and analytical
approach based on assessment on customer
requirements, which helps the producer in maximization
of net profit by producing such products that fulfill the
customer’s utmost level of satisfaction.

Thus marketing research is a systematic gathering,

recording and analysis of data about the problem facing the
company. It helps the marketing manager to develop and
analyze new information, which is further helpful in developing
marketing strategy. Now it can be said that marketing
research covers a very wide variety of activities ranging from
analysis of marketing potential and market share to studies of
customers satisfaction and purchase intention.

80
METHODOLOGY:

The basic needs of any research are data and method of

collecting it. Data is an information on the basis of which
inference are drawn, therefore, data become a very important
and vital factor in research study. The main purpose behind
framing a methodology is to desirable the research procedure
which includes research design, data sources, data collection
method, research instructions, and sampling plan.

RESEARCH DESIGN:

This is the comprehensive master plan of the study

undertaking given the general statement of the method used
and procedure followed. It help the researcher to insure that
the requisite data, in accordance with the topics of the study
of all the aspects of corporate management, it will also be
consist of detail understanding all the competitive brands of
HUL, and an Questionnaire study will be conducted of own
walk in different companies with the reference of HUL (DELHI
JAIPUR HIGHWAY GURGAON) was descriptive in nature. It is a
kind of study, which is undertaken when the researcher is
interested in knowing to which vending machine is operating
and tries to take an appointment so that I can explain about
my product. The purpose of this study is to insure about the
“which type of vending machine is installed in the company”.
Thus, the research design used for study was descriptive
research design.

81
COLLECTION OF DATA:

DATA SOURCE: The various sources of information can be

broadly divided into two categories.

 Primary source
 Secondary source

Primary source: Sources from where first hand

information is gathered directly are called PRIMARY DATA. In
case of the above study primary source of collecting data was
provided by the company.

Secondary data: The source of information, already

gathered for some other purpose from other sources such data
are called secondary data. These data can be available from
different magazines, journals and company profiles. So, with
regards to my study to collect the secondary data I went
through the company records, magazines, internet and news
papers.

82
DATA COLLECTION METHOD
The following method is widely used for collecting data:-

 Questionnaire

 In the above-mentioned method, questionnaire methods

were mainly used for the undertaken topic. Survey
method was mostly used for collecting data through
Questionnaire study with the helped of the framed
questionnaire. regarding survey a detailed study are
conducted which is consists of areas covering of all the
aspects of corporate sector, this survey is also includes
the detail understanding of all the competitive brands of
HUL through the framed questionnaire to understand the
physiology of the competitors, further, an o study will be
conducted of own walk in different companies to identify
the hidden opportunities in the near by areas, according
to the need and permission of the very organization on
behalf on which I was appointed for the survey.

LIMITATIONS:

Although all the efforts have been made to make the

results as accurate as possible, yet the survey suffers from
some limitations. Following are some of the limitations of the

83
study. The purpose of mentioning these limitations is not to
dilute the quality of the results rather to enable the reader to
judge the validity of the result regarding the study. Following
are some limitation of the study.
 Sample sizes are limited due to certain constraint.
 Lack of funds was the major obstruction to limit my
survey to a small sample of respondents.
 Duration of study is also limited further intensive study
field wise.
 Finding of the study, which was done only at Noida 1-4,
57-63, Okhla Phase2, Greator Noida, Hozari Complex
Phase2 Noida, Udyog Vihar, Surajpur G.Noida, and NSEZ
Noida.
 Last but not the least ‘Weather’ was the most important
constraint because it changes continuously. However, the
limitation has been judiciously counter balanced as far as
practicable. However the research of this type cannot be
absolutely fixed in a perpetual framework of time but in
spite of some inherent limitations, think that the very
report may be useful for the particular organization.

84
 SWOT
ANALYSIS

85
SWOT ANALYSIS:

It is one thing to discern attractive opportunities in the

environment; it is another to have the necessary competencies to
succeed in these opportunities. Each business needs to evaluate
strengths and weaknesses periodically. In examining its pattern of
strengths and weaknesses, clearly the business does not have to
correct all of its weakness nor gloat about all of its strengths. The big
question is whether the business should limits itself to those
opportunities where it now possesses the required strengths or should
consider better opportunities where it might have to acquire or
develop certain strengths.
A market opportunity is an area of need in which a company can
perform profitably. Opportunities can be listed and classified according
to their attractiveness and the success probability. The company’s
success probability depends on whether its business strengths not only
match the key success requirements for operating in the target market
but also exceed those of its competitors. Mere competence does not
constitute the competitive advantage. The best performing company
will be one of that can generate the greatest customer value and
sustain it over time.
Some development in the external environment represents
threats. An environmental threat is a challenge posed by an
unfavorable trend or development that would lead, in the absence of
defensive marketing action, to sales or profit deterioration.

SWOT ANALYSIS OF HINDUSTAN UNILEVER LIMITED

SWOT: Analysis is important technology by the company can reap its

position future and can over comes its negative aspects. Therefore,

86
swot analysis plays an important role of formulating the business
strategies for any company, which is obvious best on its strength,
weakness, opportunity and threats.

Strength of the organization

1. HUL has tie-ups with giant companies;

2. HUL has a monopoly in tea sector;
3. HUL provides best services to its customers;
4. HUL tie-up with EUREKA FORBES LIMITED for auditing monitoring
the quality;
5. Performance and upkeep of HUL vending machine;
6. HUL has Pre-approved machine manufacturers with strength QC
process;
7. HUL has a dedicated well-equipped Technical team, sales and
support teams for 24X7 Assistance; and
8. HUL vending machine has remote locking facility.

Weakness of the organization

1. HUL gives less importance to small companies.

2. HUL does not give much importance of having coffee corner.
Opportunity for the organization

1. HUL has lot of small account, which it can cover.

2. HUL has its chikori mix coffee.

Threat for the organization

1. HUL biggest threat is Nescafe coffee.
2. HUL should concentrate on small accounts as Nescafe create big
difference by having an upper hand in that sector.

87
 DATA
ANALYSIS

88
DATA ANALYSIS AND INTERPRETATION:

BRAND MIX
This question tries to find out the number of brands available in
each competitor of HUL products. Through the analysis of the below
bar graph it is very much clear that the HUL products are leading to
their competitors in respect of the number of brand mix present in the
market.

40
35
35
30
30
25
20
15
15
10
10
5 5
5
0
E
N

IA

EE
N
E

IN
O

O
AF

FF
PT

AZ

H
R
C

AC
EO

O
LI
ES

AM

EC

M
G
N

O
AF

N
C

89
MARKET POSITION OF DIFFERENT COMPANIES PRODUCT

The above graph and table shows that HUL product are leading to
their competitors in respect of brand mix, regal and inc.5 are the main
competitors of HUL products in respect of brand mix.

25%
35%

20%
5%
5% 10%

NESCAFE LIPTON GEORGIA

AMAZON CAFECOFFEE NOMACHINE

90
Market Share of different company’s Vending Machine in
OKHLA

28% N a s C a fé
A m a zo n
G e o rg ia
C a fé C o ffe e D a y
52% 0% L ip to n
8% N o M a c hine
12%
0%

91
Market Share of different company’s Vending Machine in
NOIDA

N a s C a fé
31% 32%
A m azon
G e o rg ia
C a fé C o ffe e D a y

0% L ip t o n
19% 13% N o M a c h in e
5%

92
Market Share of different company’s Vending Machine in
G.Noida and NSEZ

18%
0% N as C afé
6% A m az on
48%
G eorgia
C afé C offee D ay
3%
Lipton
N o M ac hine
25%

93
 CONCLUSION:

The project on corporate marketing gives the deep understanding

of all the aspect of corporate marketing, which covers all the key area
of selling along with all the glamour features such as brand reflecting,
ambience, soothing music, staff with the apt attitude to provide all the
comfort required by the customers. I have tried my level best to cover
all the aspect of corporate marketing of HUL offices along with the
competitor’s analysis of the HUL product. In spite of some limitations,
the project is completed covering the detail study of corporate
marketing.
Really, this project was like a challenge for me, I have accepted
and completed with the best of our efforts, knowledge and skills. The
study gives some of the conclusion, which is follows:

 HUL established a strong position in the HUL product in market.

 HUL brand doing well in the market.
 Nescafe is a European brand so it is our greatest strength in the
business.
 There is a huge competition in corporate market.
 Eventually I conclude by saying that I fell top of the world when I
think about my association which are having there business not
only with the country but also having there business outside the
country with these brand. It makes me feel top of the world when
I say that I have worked on retail management of Hindustan
Unilever Limited.

94
 RECCOMMENDATION:

 Approximately 48% market share is left, in and around Noida,

where no machine is installed and which shows substantial sale
of machine could be made in this area by persuading the
probable customers.
 HLL should motivate its staff members to be more committed and
loyal to the company so that they can do value addition to HLL by
serving better to the customers. Motivation for store staff
members include launching of incentive schemes like providing
commissions and awards like for the best who achieve the
maximum sales target in the year.
 HLL should promote segmental targeting i.e. it should come up
with schemes for focused target segment.
 HLL should train its staff members and their sales employees
from time to time to make them aware of latest retailing
techniques.
 HLL should formulate corporate strategy focusing especially on
Tea, coffee and daily uses Product because there is vast potential
to be tapped by tea and coffee in Indian Market as well as
through out the world.
 HLL should focus to their promotional activities because in
respect of promotional activities HLL are very far behind from
their competitors especially from Nescafe, Georgia, Amazon, and
Cafe Coffee Day.
 There is much more focused required to the window display of
the HLL products because in respect of window display HLL
products is very far behind from their competitors especially from
Nescafe, Georgia, Amazon , Cafe Coffee Day.

95
 The requirement, which is demanded by the store manager, is
not fulfill on time. Therefore, it is recommended that the
requirements of the store are fulfill on time so the customer are
not return due the non-availability of proper stock.
 Last but not the least there is a vast potential to be tapped in the
retail sectors of vending machine in these days companies are
coming every where the traditional types of outlets are their
extinction, people in these days preferred the branded product so
more focused are given to the retail management and enhanced
the brand image of HLL product.

96
BIBLIOGRAPHY

97
BIBLIOGRAPHY:
 CONCERND BOOKS

1.) MARKETING MANAGEMENT--- KOTLER PHILIP

2.) RESEARCH METHODOLOGY-----KOTHARI C.R.

 MAGAZINES

1.) BUSINESS WORLD

2.) BUSINESS INDIA

 NEWSPAPERS

1.) THE HINDUSTAN TIMES

2.) TIMES OF INDIA

98
 STUDENT DECLARATION

I am MD. ARIF KHAN Student of MBA here by declared that the research

report entitled ‘COMPARATIVE ANALYSIS- MARKET SHARE OF

VENDING PRODUCTS OF HUNDUSTAN UNILEVER LIMITED

WITH ITS COMPETITORS is completed and submitted under the

guidance of MS. SWATI BHATT is my original work. The imperial finding

in this report is based on the data collected by me. I have not submitted this

project report to SRM-IST or any other University for the purpose of

compliance of any requirement of any examination or degree.

DATE: MD. ARIF KHAN

PLACE: MBA III SEM

ROLL NO. 3508461

99
 ACKNOWLEDGEMENT

At the very beginning, I wish to render my deep sense of gratitude with

special thanks and due regard to MS .PRIYANKA SRIVASTAVA

(TERRITORY SALES INCHARGE, HINDUSTAN UNILEVER LIMITED)

whom I required the privilege of working. His invaluable guidance and

thoughtful consideration had been the key motivating factor throughout

my project, which enabled me to complete my project so efficiently and

effectively.

I wish to express my respectable thanks and gratitude to MS . SWATI

BHATT, (Faculty of M.B.A. SRM UNIVERSITY) theoretical knowledge

about the subject.

I feel immense pleasure to offer my thanks to faculty members, who co-

operated in analysis of data and helped me to understand some behavioral

aspects of consumers. I am very thankful to my friends who directly and

indirectly helped me in collection of data and material related to the

research topic.

MD.ARIF KHAN

100
101
102