K.GOVINDARUNK.GOVINDARUNMBA MBA

PERIYAR UNIVERSITY,SALEMPERIYAR UNIVERSITY,SALEM

Vision & MissionVision & Mission

VISION STATEMENTVISION STATEMENT

Outstanding stain removal ability on a wide range of stains. Give the acute water scarcity in most of India.

MISSION STATEMENTMISSION STATEMENT

Unilever's mission is to add Vitality to life.

INTRODUCTION TO HUL

Lever brothers is founded by WILLIAM HESKETH LEVER in 1890

Key player in food & household product industry

Historically grew through acquisitions

LEVER BROTHERS, THE OLD NAME WAS CHANGED INTO UNILEVER AFTER THE MERGER OF LEVER BROTHERS & MARGARINE UNIE IN 1930

Contd……..

UNILEVER IS A MULTI NATIONAL COMPANY

IT IS ONE OF THE LARGEST CONSUMER GOODS COMPANIES IN THE WORLD

ITS BRANDS ARE ON SALE IN 151 COUNTRIES

It is the oldest detergent to be present in INDIASince 1960. It believes that children must be free to experiencetheir LIFE for themselves…First detergent powder in India was DET.Then SURF came with its strong sales promotion,

advertisement and distribution width.Followed by TOMCO’S MAGIC and then NIRMA.

BRAND EVALUTION

HISTORY:-

Launched in 1959 & first in Indian detergent powder market. It was the first Fast Moving Consumer Goods (FMCG) for Detergent. Brand to set up a one-stop shop - called Care line - for people seeking solutions to their varied laundry problems. Surf was the first brand of detergent that was advertised on TV. It is advertise on more than

300 channels across the globe . Introduced the concept of bucket wash to housewives who were used to washing clothes

with laundry soap bars.

Some Facts….

To Approx 4000 crore detergent market is amongst the largest FMCG categories in India, next only to edible oils and biscuits.The Indian market for detergent is amongst the largest in the world.

Some Facts….

Reasons of migrationSurf to Surf excel

Surf became known only for whiteness Surf Excel (stain removal) : Positioned

with the baseline ‘removes stain without fading colours’ (Surf Excel Hai Na..)

To boost its image as that of a modern and contemporary brand.

External Factors - IndiaExternal Factors - India

Demographic factorsDemographic factors

Large population base – 1.14 billion

High birth rate- 21.76 births/1,000 population

Population migration trend-from rural to urban

Over a period of 90 years, the rural population increased from 213Mn – 629Mn

Increase in Urban population(More than eight times-from 26 Mn to 218Mn )

Increase in working women due to economic development

Increasing literacy levels

Growing population of middle- and upper-middle class

Economic factorsEconomic factors

Growing economy – Increased purchasing power of middle class

NABARD has set up a refinancing window with a corpus of US$

204.92 million for agro processing infrastructure and market

development.

FMCG Sector expected to grow by over 60% by 2010

100% FDI allowed in FMCG sector

Political & LegalPolitical & Legal

India is a stable democracy

Moderate regulations by government in FMCG sector

Competitive Competitive factorsfactors

SubstitutesSubstitutes are available for Surf Excel in the names of HUL ( blue,matic) Nirma P&G ( Tide, Aerial) Henkel India (Mir, persil, porwall,vernel,purex) Reckitt Benckiser ( Varnish) Omo Bonux Sunlight Rin Domex

PRODUCT MIX OF SURF EXCELPRODUCT MIX OF SURF EXCEL

HUL have three brands in laundry category.. 1. Surf excel 2. Rin 3. Wheel In 2006 Rin supreme bar was replaced by surf excel

bar. Mainly targeting mothers and children Positioning as every type of stain removal. Surf Excel is available in 3 variants: Surf Excel Blue,

Surf Excel Quick Wash and Surf Excel Automatic.

PRODUCT

SURF EXCEL Advance Tropical Small & mighty Automatic Blue detergent Quick wash

To continue market leadership 37.8% in Indian market.

Approaching new markets. Launching product extensions. Maintain brand loyalty. Increase frequency of usage. Launching variants in the washing machine category.

- 4 Ps- 4 Ps

RANGE & PRICEOF PRODUCT

2KG 1KG 500G 115G 50G 25G Rs405 Rs210 Rs115 Rs20 RS10

Rs5

A comparison of cost price with sale price of Products in product line

Quantity Cost Price in Rupees

Sale Price in Rupees

25 4.7 5

50 9.5 10

115 19 20

500 110.5 115

1000 199.5 210

2000 385 405

PRICING STRATEGY

Primary :1. Cost-plus pricing : Mark-up to the cost of the product2. Competitive Pricing : Price dependent upon price of the

competitors.

Secondary : 1. Customer-Segment Pricing.

DISTRIBUTION PRICING STRATEGY:

FOR EXAMPLE:List price Rs. 100Add: Distributor price (5%) Rs. 105Add: Trade price (5%) Rs. 110.25Final Retail price (10%) Rs. 121

SUPPLY FOR THE PRODUCT

Supply channel : Distributers. wholesalers. Retailers.

Cheaper price range of Rs.2 to Rs.450 Very good geographical distribution across whole India. Both Urban and Rural market segment covered.

Distribution channel

SURFEXCEL-STP

Segment

Home Care – Premium Detergent – Bar, Powder, Matic.

Target Group

Every Indian Household – for washing purposes.

Positioning

Surf Excel has constantly upgraded itself over the years, to

answer the constantly changing washing needs of the

Indian homemaker

POP Promotion POP Promotion

SWOT FOR SURF EXCEL

STRENGTHS

Strong Brand Portfolio Quantity and Variety Solid Base of the Company Innovative Aspects Unique Selling Points High quality Reach of the products social responsibility of the company Competitive advantages Success of the Slogan - 'Dirt is Good'

WEAKNESSES

Strong Competitors High Price of the Product Substitute Product Policy of Spending for the Social Responsibility Financials of the company Lack of control in the markets Lack of Reliability of data, plan predictability Lack of Competitive Strength

OPPORTUNITIES

Indian market for FMCG is growing @ 20% Niche target market. Market penetration Geographical export Changing lifestyle of the people New markets, vertical, horizontal Increasing the volume of production Seasonal Weather & Fashion influences Geographical Export & Import Niche Target Market Business and product development Technology Development & Innovations Applying tactics & surprise

OPPORTUNITIES TO GROW CONSUMPTIONS

THREATS

Cheaper product eat into HUL market share. Competitor trade strategy. Urban consumer are shopping less. Product from it’s own stable. Political effects Legislative effects Environmental effects Economic Crisis Change in the lifestyle Introduction to Local Products Obstacles faced Increase in production and labour cost Chances of Price War

MARKET STRUCTURE

Type of market : OLIGOPOLY

Oligopoly = An oligopoly is a market form in which a market or industry is dominated by a small number of sellers (oligopolists)

Because there are few sellers, each oligopoliest is likely to be aware of the actions of the others. The decisions of one firm influence, and are influenced by, the decisions of other firms.

RESTRICTED MARKET.

AVAILABILITY OF VARITIES.

SELLING COST.

SIMILAR PRODUCTS.

STABLE MARKET.

PRICING.

Way aheadWay ahead

Way aheadWay ahead

Way aheadWay ahead

CHILD DEVELOPMENTCHILD DEVELOPMENT

Way aheadWay ahead

RECYCLINGRECYCLING

Experienced players.

Competitive advantage with well laid distribution

and retail network.

Innovative advertising approaches.

Willingness to venture out with new variants.

THE END

THANK U