Hul’s distribution network as a strategic tool

HUL’S DISTRIBUTION NETWORK AS A STRATEGIC TOOL TO COUNTER

COMPETITION

GROUP MEMBERSAkshay SisodiyaDeepak PandeyKartik JainManishaNshant SinghSahil RajShubhangSurbhi Goyal

INTRODUCTIONHindustan Unilever limited (HUL) is India’s fastest moving

consumer goods company (FMCG).

Unilever can be considered to have started operations in

India way back in 1888 when “William Hesketh lever”

exported ‘sunlight’ laundry soap to India

Today HUL products are distributed across the country

through a network of about 7000 redistribution stockists

covering about 1 million retail outlets.

CASE FACTSHindustan Unilever limited (HUL) is touching the lives of two

out of three Indians with over 20 distinct categories in home

and personal care products and foods and beverages.

Hindustan Unilever is using distribution as a strategic tool to

win in the current market place

Today HUL’S products are manufactured and distributed

across the country through a network of about 7000

redistribution stockiest covering about one million retail outlet.

MARKETING STRATEGYSuper value

storesProject SHAKTI

LAKME beauty salons

AYUSH therapy treatment centres

Beverage vending

machines

STRENGHTSIndia’s leading FMCG companyStrong distribution channelProject Shakti - creating brand awareness in

rural areas.Strong brand portfolio, price quantity and variety.

WEAKNESSstiff competition with domestic and international

brands.

OPPORTUNITY

Large domestic market-over a billion populations.

Untapped rural market.Changing lifestyle and rise in income level.

THREATSThreat from private labels.Threat from new entrance.

POLITICAL State government has become the partner in

project SHAKTI of HUL.

ECONOMICIncrease in employment through project

SHAKTI.Boom in retailing sector.

SOCIALWomen empowerment through project SHAKTI

with the help of self help groups, which supports them with micro credit facilities.

Setup of Ayush therapy treatment centre to provide personalized health advice and therapy, including positive health and stress relief, consultation for weight reduction and skin and hair care.

TECHNOLOGICALSetup of beverage vending machines.

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