Ms. Garg shopped for her household items like shampoos and cosmetics in the cluttered shops in her suburban locality in Mumbai. Then, one day, a consultant from Hindustan Lever Network (HLN) brought along a range of products made exclusively for door-to-door sales.
Among other things, the salesperson dipped a litmus paper in a facial cleanser to show its mildness and provided expert advice on a range of beauty and hygiene related queries from alpha hydroxy creams to nail polishes. Ms. Garg bought two lipsticks, one facial cream and a bottle of cleanser from the salesperson
The Indian division (Hindustan Lever Limited (HLL) of the consumer goods conglomerate, Unilever, has in this way been creating a new channel for the sale of products across the country. The salesperson in this case, 29-year-old Priti Loyalka went on to become the highest achiever and the first consultant president of HLN. Together with her team of entrepreneurs, she was involved in the direct marketing of a range of HLL products under the brand names 'Lever Home' and 'Aviance'.
HLL made its foray into direct marketing in 1999 with the launch of a range of personal care products under the brand name Aviance. Though Aviance was not a roaring success in absolute sales numbers, it laid the foundation for HLN which was launched on January 27, 2003.
In terms of market share, HLL is India's largest consumer goods company and the leader in beauty, personal hygiene and home care products in the country. The innovative distribution channels created by HLL to access the Indian market have spelled success for the company for over five decades.
HLL's formula has been successfully replicated by many competing brands and small players in the FMCG segment. The wide range of products offered by HLL to tap every conceivable price point, tapped the unexplored Indian market optimally, and HLL became the jewel in Unilever's crown, contributing to revenue growth even when the parent company was struggling. But in the late 1990s and early 2000s, an influx of foreign players and myriad low-price local rivals started eroding HLL's dominant's position.
The company zeroed in on the idea of meeting the growing needs of the time-starved Indian middle class population through direct marketing via HLN.
The direct marketing industry was estimated to be worth more than Rs.15 billion as of early 2003, and was growing at the rate of approximately 25% year on year.
Through value added services like expert advice and home delivery, and a range of world class products which mirrored the aspirations of its target consumer, HLN aimed to be the most preferred network marketing company in the country. It envisioned partnering with its consultants (salespersons) and providing them with a business and self-development opportunity that was truly rewarding. In the words of Dalip Sehgal, Executive Director - New Ventures and Marketing Services, HLL, "We need to be present in all channels. And we see network marketing as a bigger opportunity than a threat."
Among other things, the salesperson dipped a litmus paper in a facial cleanser to show its mildness and provided expert advice on a range of beauty and hygiene related queries from alpha hydroxy creams to nail polishes. Ms. Garg bought two lipsticks, one facial cream and a bottle of cleanser from the salesperson
The Indian division (Hindustan Lever Limited (HLL) of the consumer goods conglomerate, Unilever, has in this way been creating a new channel for the sale of products across the country. The salesperson in this case, 29-year-old Priti Loyalka went on to become the highest achiever and the first consultant president of HLN. Together with her team of entrepreneurs, she was involved in the direct marketing of a range of HLL products under the brand names 'Lever Home' and 'Aviance'.
HLL made its foray into direct marketing in 1999 with the launch of a range of personal care products under the brand name Aviance. Though Aviance was not a roaring success in absolute sales numbers, it laid the foundation for HLN which was launched on January 27, 2003.
In terms of market share, HLL is India's largest consumer goods company and the leader in beauty, personal hygiene and home care products in the country. The innovative distribution channels created by HLL to access the Indian market have spelled success for the company for over five decades.
HLL's formula has been successfully replicated by many competing brands and small players in the FMCG segment. The wide range of products offered by HLL to tap every conceivable price point, tapped the unexplored Indian market optimally, and HLL became the jewel in Unilever's crown, contributing to revenue growth even when the parent company was struggling. But in the late 1990s and early 2000s, an influx of foreign players and myriad low-price local rivals started eroding HLL's dominant's position.
The company zeroed in on the idea of meeting the growing needs of the time-starved Indian middle class population through direct marketing via HLN.
The direct marketing industry was estimated to be worth more than Rs.15 billion as of early 2003, and was growing at the rate of approximately 25% year on year.
Through value added services like expert advice and home delivery, and a range of world class products which mirrored the aspirations of its target consumer, HLN aimed to be the most preferred network marketing company in the country. It envisioned partnering with its consultants (salespersons) and providing them with a business and self-development opportunity that was truly rewarding. In the words of Dalip Sehgal, Executive Director - New Ventures and Marketing Services, HLL, "We need to be present in all channels. And we see network marketing as a bigger opportunity than a threat."