Description
CASE STUDY ON HUL TARGET AND POSITIONING
VISION
PRODUCT MIX
A Case Study on HUL’s Target and Positioning
The journey from „L? to „U?
Introduction
India's largest Fast Moving Consumer Goods company HLL formed in November 1956; 2007:- HLL to HUL Unilever owns a majority stake (52%) in Hindustan Unilever Limited. One of the country's largest exporters The mission – “add vitality to life.”
The Vision
To earn the love and respect of India, by making a real difference to every Indian.
HUL Domination Over All Categories
Source: AC Nielsen – 2008 Value Shares.
Understanding the „U?
Icons
(HAND & FLOWER): Hand is a symbol of sensitivity, and care . Flower represents fragrance.
(HAIR): A symbol of beauty and looking good..
(SPARKLE): Clean, healthy and sparkling with energy.
Product Line Segmentation and Positioning
Product Mix
Home and Personal Care
Product Line
Personal Wash – Product Portfolio
Product Line – Depth
Personal Wash
In this segment HUL had several leading brands in various price segments
HUL?s Soap Marketshare
57% 55% 55% 52%
10%
9%
8%
8%
9% 5%
Source: Company Website.
Segmentation – Personal Wash
Positioning
Lifebuoy: Positioned as a family soap; Synonymous with health and hygiene Lux: Positioned as a film stars choice Product extensions – Fragrance and ingredients Variants like moisturizer, sunscreen & cleanser Reach their target market through Advertisement Price Range: brands positioned at different price points Packaging
Product Portfolio – Laundry & Cleansers
Segmentation: Laundry & Cleansers
Positioning
Detergent Segment
Surf excel: A premium version of surf “Daag Ache hai” Surf: Positioned as value for money “Surf ki Kharidari me hi Samajdhari” Wheel: Low priced detergent. Introduced to compete with Nirma. - “Mehnat se azaadi”
Sunlight
A Heritage brand In the form of detergent cake. Value added brand i.e. priced over Wheel but below Rin. Famous in WB & Kerala.
Positioning
Dishwasher Segment
Vim Liquid Vim Powder Vim Bar
Surface Cleaner: Not much success initially
Vigor – launched in 1993 – withdrawn in a year Domestos – also bombed in the market Domex – Launched in 1997 – became the market leader.
Competitor:
Lizol at Rs.38/500ml ; Domex : Rs.32/500ml
Product Portfolio – Cosmetics, Deo?s, Skin Care
Products
Fair and Lovely
Fairness cream launched in 1970?s
Indian Women place a premium on Fairness. Emerged as a market leader. Ponds Taken over by HUL in 1995 Product line extension From Talc and Face wash to various skin care products
Lakme
Taken over by HUL in 1998 Leading Player in Colour Cosmetic Market
Lakme
Named after the French opera Lakmé
Lakme started in 1952 as a 100% subsidiary of Tata Oil Mills
In 1998 Tata sold off their stakes in Lakmé Lever to HLL
It offered a range of cosmetics with nail polishes & lipsticks from the early 80?s
It has introduced a range of skincare products from 1987. Competitors Revlon, Maybelline, L?Oreal
Ponds
Theron T. Pond, a pharmacist from New York, introduced 'Pond's in 1846 In 1886 it was relaunched as Pond's Extract and in 1914 Pond's Cold Cream
In 1955 Pond's Extract Company merged with Chesebrough Manufacturing and in 1987 Unilever purchased Chesebrough-Pond's
Competitors Nivea
Hair Care
Segmentation
Positioning
HUL is the market leader in the hair wash category with 65% market share. Dove: Targeted towards the upper and upper middle class; Uses the concept of natural beauty Ads use common women and their „real stories? Sunsilk: Positioned as the hair expert Identified different hair needs Ads targeted young girls (gang of girls), used style icon Priyanka Chopra
Positioning
Clinic plus:
Targeted towards the family.
Packaging shows family with healthy hair Ads use kids as influencers „n use the mother-daughter bond Clinic all clear: Targeted towards the youth. Positioned as an anti- dandruff shampoo Endorsed by celebrities (earlier men and now women)
Oral Care
Competitors of HUL in Oral Care
Pepsodent Close Up
Colgate Meswak Dabur Red Anchor
Toothpaste Market Share
48%
46%
47%
32% 30% 30%
7% 2%
7%
8%
Source: Company Website.
Positioning
Pepsodent: Targeted towards the entire family. USP- anti-bacterial agent triclosan Ads used children as influencers Prices less than Colgate (50,100,200 gms) Close-up: Targeted towards the youth. Positioned as a product for mouth freshness. Common theme in all ads was confidence.
Foods
Positioning
Kissan Fruit Kick Spreads:
Targeted at people above 15
USP- no added preservatives, low on calories
Kissan Jams:
Targeted at kids The „jammy? ad campaign with Rahul Dravid was very popular with children.
Positioning
Kissan Annapurna Salt:
Kissan Annapurna Atta:
Targeted at urban consumers preferring low fatty foods
USP- „Extra Fibre?
Knorr Soups: Quick Meals Targeted at urban consumers
Positioning
Cornetto:
Targeted at young adults and older people.
Feast: Targeted at teenagers Max: Targeted at children
Beverages
Segmentation
Positioning
Brooke Bond and Lipton – two main umbrella brands Brooke Bond:
Stood for refreshment and aroma
Lipton:
Stood for youth and vitality
Focus and Priorities
Ensure competitiveness across the portfolio, particularly at the mass end Continue to invest in emerging categories and segments
Strengthen/ build Processed Foods, Water and Premium Personal Care
Drive focus and speed alongside leveraging scale
Significantly strengthen Go-to-Market capability
Continued focus on Costs & Cash
SWOT Analysis
Strengths:
Strong brand portfolio, price quantity & variety.
Innovative Aspects. Strong distribution networks in both urban and rural areas. Solid Base of the company.
Corporate Social Responsibility (CSR)
SWOT Analysis
Weaknesses:
Strong Competitors & availability of substitute products.
Price positioning in some categories allows for low price competition like Amul captured Kwality?s market. High Advertising Costs.
SWOT Analysis
Opportunities:
Large domestic market – over a billion populations
Untapped rural market. Changing Lifestyles & Rising income levels, i.e. increasing per capita income of consumers.
SWOT Analysis
Threats:
Unfavourable raw material prices due to inflation, reducing profitability.
Competitors focusing on a particular product and eating up HUL?s share.
doc_119790757.pptx
CASE STUDY ON HUL TARGET AND POSITIONING
VISION
PRODUCT MIX
A Case Study on HUL’s Target and Positioning
The journey from „L? to „U?
Introduction
India's largest Fast Moving Consumer Goods company HLL formed in November 1956; 2007:- HLL to HUL Unilever owns a majority stake (52%) in Hindustan Unilever Limited. One of the country's largest exporters The mission – “add vitality to life.”
The Vision
To earn the love and respect of India, by making a real difference to every Indian.
HUL Domination Over All Categories
Source: AC Nielsen – 2008 Value Shares.
Understanding the „U?
Icons
(HAND & FLOWER): Hand is a symbol of sensitivity, and care . Flower represents fragrance.
(HAIR): A symbol of beauty and looking good..
(SPARKLE): Clean, healthy and sparkling with energy.
Product Line Segmentation and Positioning
Product Mix
Home and Personal Care
Product Line
Personal Wash – Product Portfolio
Product Line – Depth
Personal Wash
In this segment HUL had several leading brands in various price segments
HUL?s Soap Marketshare
57% 55% 55% 52%
10%
9%
8%
8%
9% 5%
Source: Company Website.
Segmentation – Personal Wash
Positioning
Lifebuoy: Positioned as a family soap; Synonymous with health and hygiene Lux: Positioned as a film stars choice Product extensions – Fragrance and ingredients Variants like moisturizer, sunscreen & cleanser Reach their target market through Advertisement Price Range: brands positioned at different price points Packaging
Product Portfolio – Laundry & Cleansers
Segmentation: Laundry & Cleansers
Positioning
Detergent Segment
Surf excel: A premium version of surf “Daag Ache hai” Surf: Positioned as value for money “Surf ki Kharidari me hi Samajdhari” Wheel: Low priced detergent. Introduced to compete with Nirma. - “Mehnat se azaadi”
Sunlight
A Heritage brand In the form of detergent cake. Value added brand i.e. priced over Wheel but below Rin. Famous in WB & Kerala.
Positioning
Dishwasher Segment
Vim Liquid Vim Powder Vim Bar
Surface Cleaner: Not much success initially
Vigor – launched in 1993 – withdrawn in a year Domestos – also bombed in the market Domex – Launched in 1997 – became the market leader.
Competitor:
Lizol at Rs.38/500ml ; Domex : Rs.32/500ml
Product Portfolio – Cosmetics, Deo?s, Skin Care
Products
Fair and Lovely
Fairness cream launched in 1970?s
Indian Women place a premium on Fairness. Emerged as a market leader. Ponds Taken over by HUL in 1995 Product line extension From Talc and Face wash to various skin care products
Lakme
Taken over by HUL in 1998 Leading Player in Colour Cosmetic Market
Lakme
Named after the French opera Lakmé
Lakme started in 1952 as a 100% subsidiary of Tata Oil Mills
In 1998 Tata sold off their stakes in Lakmé Lever to HLL
It offered a range of cosmetics with nail polishes & lipsticks from the early 80?s
It has introduced a range of skincare products from 1987. Competitors Revlon, Maybelline, L?Oreal
Ponds
Theron T. Pond, a pharmacist from New York, introduced 'Pond's in 1846 In 1886 it was relaunched as Pond's Extract and in 1914 Pond's Cold Cream
In 1955 Pond's Extract Company merged with Chesebrough Manufacturing and in 1987 Unilever purchased Chesebrough-Pond's
Competitors Nivea
Hair Care
Segmentation
Positioning
HUL is the market leader in the hair wash category with 65% market share. Dove: Targeted towards the upper and upper middle class; Uses the concept of natural beauty Ads use common women and their „real stories? Sunsilk: Positioned as the hair expert Identified different hair needs Ads targeted young girls (gang of girls), used style icon Priyanka Chopra
Positioning
Clinic plus:
Targeted towards the family.
Packaging shows family with healthy hair Ads use kids as influencers „n use the mother-daughter bond Clinic all clear: Targeted towards the youth. Positioned as an anti- dandruff shampoo Endorsed by celebrities (earlier men and now women)
Oral Care
Competitors of HUL in Oral Care
Pepsodent Close Up
Colgate Meswak Dabur Red Anchor
Toothpaste Market Share
48%
46%
47%
32% 30% 30%
7% 2%
7%
8%
Source: Company Website.
Positioning
Pepsodent: Targeted towards the entire family. USP- anti-bacterial agent triclosan Ads used children as influencers Prices less than Colgate (50,100,200 gms) Close-up: Targeted towards the youth. Positioned as a product for mouth freshness. Common theme in all ads was confidence.
Foods
Positioning
Kissan Fruit Kick Spreads:
Targeted at people above 15
USP- no added preservatives, low on calories
Kissan Jams:
Targeted at kids The „jammy? ad campaign with Rahul Dravid was very popular with children.
Positioning
Kissan Annapurna Salt:
Kissan Annapurna Atta:
Targeted at urban consumers preferring low fatty foods
USP- „Extra Fibre?
Knorr Soups: Quick Meals Targeted at urban consumers
Positioning
Cornetto:
Targeted at young adults and older people.
Feast: Targeted at teenagers Max: Targeted at children
Beverages
Segmentation
Positioning
Brooke Bond and Lipton – two main umbrella brands Brooke Bond:
Stood for refreshment and aroma
Lipton:
Stood for youth and vitality
Focus and Priorities
Ensure competitiveness across the portfolio, particularly at the mass end Continue to invest in emerging categories and segments
Strengthen/ build Processed Foods, Water and Premium Personal Care
Drive focus and speed alongside leveraging scale
Significantly strengthen Go-to-Market capability
Continued focus on Costs & Cash
SWOT Analysis
Strengths:
Strong brand portfolio, price quantity & variety.
Innovative Aspects. Strong distribution networks in both urban and rural areas. Solid Base of the company.
Corporate Social Responsibility (CSR)
SWOT Analysis
Weaknesses:
Strong Competitors & availability of substitute products.
Price positioning in some categories allows for low price competition like Amul captured Kwality?s market. High Advertising Costs.
SWOT Analysis
Opportunities:
Large domestic market – over a billion populations
Untapped rural market. Changing Lifestyles & Rising income levels, i.e. increasing per capita income of consumers.
SWOT Analysis
Threats:
Unfavourable raw material prices due to inflation, reducing profitability.
Competitors focusing on a particular product and eating up HUL?s share.
doc_119790757.pptx