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					Presented To:      Prof. Rahul Mavlankar.


Presented By:      Achievers.

                   Mamta Bhamble.              (11)
                   Swati Ghare.                (16)
                   Sonali Kumbhar.             (29)
                   Samriddhee Mungekar.        (32)
                   Shradha Rane.               (46)
                   Nikita Salvi.               (49)


Name of the college:   Babasaheb Gawde Business School.


Date of Submission:    30th September, 2006.
       HINDUSTAN LEVER LIMITED

                                    Introduction

       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 HLL in November 1956.


       Hindustan Lever Limited (HLL) is India's largest fast moving consumer goods
company, with leadership in Home & Personal Care Products and Foods & Beverages. HLL's
brands, spread across 20 distinct consumer categories, touch the lives of two out of three
Indians.


        HLL meets everyday needs for nutrition, hygiene, and personal care with brands that
help people feel good, look good and get more out of life. It is a mission HLL shares with its
parent company Unilever. Unilever sells Foods and Home and Personal Care brands in about
100 countries worldwide.


       HLL is also one of India's largest exporters. It has been recognized as a Golden Super
Star Trading House by the Government of India. HLL'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 like soaps, detergents, personal products, tea, coffee, ice
cream, etc.


      Exports are a substantial business in HLL, accounting for about 12% of the
company's turnover which includes beverages, marine products, rice & castor.



   Hindustan Lever Network:
        Started in 2003, Hindustan Lever Network (HLN) is HLL's Direct Selling arm. It
already has about 3.5 lakhs consultants - all independent entrepreneurs, trained and guided by
HLN's expert managers and trainers. HLN offers you to build a business with different
categories of Home & Personal Care (HPC) and Food products.
   Distribution network:
       HLL's distribution network, comprising about 7,000 stockists, which covers the entire
urban population, and about 250 million rural consumers.

       HLL's distribution network in rural India already covers about 50,000 villages,
reaching about 250 million consumers, through about 6000 sub-stockists.


   Project Shakti:
         Over the last few years the company has embarked on an ambitious programme,
Shakti. Through Shakti, HLL is creating 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.

        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.


                                             Lifebuoy Swasthya Chetana:
                                                 Lifebuoy Swasthya Chetana is the single
                                         largest rural health and hygiene educational
                                         programme ever undertaken in India. Its objective is to
                                         educate people about basic hygienic habits. The
                                         programme aims to induce adoption of hygienic
                                         practices among rural Indians and to bring down the
                                         incidence of diarrhoea.



        It has already touched 70 million people in approximately 15000 villages of 8 states
& imparting hygiene education to over 25 million children.
        The vision is to make a billion Indians feel safe and secure. The project will help
reduce incidence of such diseases, by raising awareness of preventive hygienic practices.
Started in 2002, the programme has as of now covered about 15000 villages in 8 states -
Uttar Pradesh, Bihar, Jharkhand, West Bengal, Orissa, Madhya Pradesh, Chattisgarh and
Maharashtra.
                 Structure of brands offered by HLL


                                              HLL


Home & Personal Care                          Foods                               Water

       Personal wash                                 Tea                         (Puriet)
       (Lux, Lifebuoy, Liril, Hamam,              (Brooke Bond, Lipton)
       Breeze, Dove, Pears, Rexona)

        Laundry                                        Coffee
       (Surf Excel, Rin, Wheel)                         (Bru)

       Skin Care                                      Foods
       (Fair & lovely, Pond‘s)                     (Kissan, Knorr Annapurna)

       Hair Care                                      Ice-cream
       (Sunsilk Naturals, Clinic Plus)                (Kwality Walls)

       Colour Cosmetics
       (Lakme)

       Ayurvedic personal & health care
       (Ayush)




        HLL‘s Pureit is the most advanced in-home water purifier in the world. It is the only
purifier that gives water that is ‗as safe as boiled water'. Pureit also removes pesticides that
may be present in drinking water. Pureit comes at a one-time cost of just Rs.1500 where the
consumers will get six litres water that is as safe as boiled water for just one rupee (just 17
paise per litre).
                                             From that young hearty footballer directing the ball
                                     towards the goal-post to a school going early-teen cleaning
                                     up his neighbourhood, the Lifebuoy brand has taken giant
                                     leaps to remain relevant.



        Large quantities of Sunlight soap had begun to be manufactured at the original Levers
soap factory in the UK. Lord Lever Hume added rich red colour to a large part of good
quality soap residue to produce a germicidal soap. Thus LIFEBUOY was born. Lifebuoy was
launched in 1895 in U.K. & was introduced in India in 1935 in Mumbai. It was an instant
success.

       The use of the sporting idiom in communication signified a cleaning experience for
consumers who came in contact with dirt and mud. ‗Tandurusti ki raksha karta hai
Lifebuoy…Lifebuoy hai jahaan tandurusti hai wahaan‘ is a jingle that has passed from one
generation to other and promises health and hygiene for all.

        The brand that once offered physical protection against germs, now inspires a
confidence because hygiene is now a state of mind, and not just concerns the body. In 1964,
it saw its re-launch with significant improvement in product quality, a change in the tablet
shape as well as the wrapper which had continued from the initial days of Lifebuoy.




                                       HLL actually wanted to shed the associations with
                               carbolic soap and have it perceived as mild toilet soap with a new
                               healthy fragrance for the entire family. Lifebuoy is the single
                               largest soap brand — with 20 lakh soaps sold every day and an
                               estimated value of Rs 500 crores (600 million users
                               annually).While Lifebuoy has always stood for protection from
                               germs, the relaunched proposition is that of "Continuous
                               protection from germs" for hours after bath.
       Lifebuoy saw its major re-launch in January 2002. Lifebuoy is no longer a carbolic
soap with cresylic perfume; it is toilet soap with a different `health' fragrance. In the process
of change, HLL challenged everything that Lifebuoy stood for - perfume, formulation, size
and shape. Every element of communication is also being changed.

         "The first phase of communication was to tell consumers that Lifebuoy has changed.
From an earlier focus on men, the focus has shifted to family with the message that Lifebuoy
is for effective protection from germs that cause health problems. The latest ad on Lifebuoy
underscores this new Lifebuoy-confidence through a school-going kid, who one day (on a
holiday, presumably) decides to clean up the streets, full of garbage, of his neighbourhood.

         The insight 'Koi Dar Nahin' came about from the understanding that a well protected
family has no reason to fear anything. ―Lifebuoy promises protection. So, by that logic, if a
family is well protected, there is no cause for fear. Thus, from being a 'problem-solution'
brand, Lifebuoy is now a 'no-problem' brand. So children can go about changing the world in
their little ways with no fear.



                                                       Apart from the mother brand of
                                               Lifebuoy, the range was extended to a Lifebuoy
                                               Active Gold, Lifebuoy Active Red and Lifebuoy
                                               Active Orange apart from the existing Lifebuoy
                                               International (Plus and Gold) which continues to
                                               offer special `health' benefits such as taking care
                                               of body odour and pimples.
                                                        Changes in packaging and the product
                                               saw the mother brand being relaunched on the
                                               family platform since the `harshness' of the
                                               brand limited it to males with its carbolic
                                               ingredient.



                                   HLL launched Lifebuoy Clear Skin soap in July 2005. It
                           is a soap which reduces pimples by 70% when used continuously
                           over a period of 6 weeks. It inspires Lifebuoy‘s ‗Koi Darr Nahin‘
                           confidence against pimples. It is priced at Rs.13 for 75gms and
                           Rs.20 for 125gms.




   With Lifebuoy Active Green, the brand enters the natural ingredients soap segment. The
key ingredients are tulsi and neem. The company is anxious to increase its presence in the
herbal segment, where it now has Hamam.
   Type of branding:
       In case of lifebuoy, the individual brand names are marketed. We can say, it is range
branding in case of lifebuoy like many other products of HLL.


   Brand extension:




       Lifebuoy talcum power                   Shower gel           Liquid hand wash


       The brand extension of lifebuoy includes of lifebuoy hand wash, lifebuoy shower gel
& lifebuoy talcum powder. Lifebuoy liquid hand wash was the first liquid soap.

        Lifebuoy talcum powder has a 2 per cent value share in the stagnant talcum powder
category with Lever's own brand of Ponds Dream flower talc commanding a leading share in
the category which is about 70%. In March 2003, HLL had introduced Lifebuoy Family Talc
on the platform of health. It has two pack sizes, priced at Rs.28 for 100 gm and Rs.68 for 400
gm.

       Positioned as a `complete family health' talc, Lifebuoy Family Talc is expected to
provide `All day protection' and meant to fight body odour causing germs all day long,
according to the communication on the purple and white packs of its talc. While the upper-
end consumers would use deodorants, a Lifebuoy powder could work for consumers in the
lower strata who are already familiar with the soap.

       Line extension:
        The line extension of Lifebuoy includes Lifebuoy international (plus & gold),
Lifebuoy gold care, Lifebuoy total, Lifebuoy deo fresh, Lifebuoy active (red, orange, green,
gold), Lifebuoy cool, Lifebuoy clear skin & Lifebuoy nature.
      Market share, Market Penetration & Lifebuoy‘s share in the total market
                                  share of HLL:

        Soaps have a 98 percent penetration level in the urban markets and 70 per cent in
rural market. HLL relaunched the Lifebuoy brand in 2002 and continues to be the largest
selling popular soap in its category. Toilet soap industry is one of the oldest Fast Moving
Consumer Goods (FMCG) industry in India. It is among the highest penetrated category
within FMCG sector reaching an estimated 95% urban and 87% of the rural households.

       HLL has the highest household penetration which is 88%. Lifebuoy has the highest
market penetration in the soap category which is about 91%. Today, 95% of HLL is its
FMCG business.

       HLL‘s market share in the personal wash segment is about 56-58% in which
lifebuoy‘s market share is about 18-21%.


   Competitive environment:

        Lifebuoy is a market leader with a market share of 18- 21 %. Lifebuoy is in the
economy category/higher end of the discount category while the carbolic category almost
ceased to exist with the repositioning of Lifebuoy in 2002. HLL is a market leader in the
overall soap market & the market challenger is Godrej.



   Profitable market area of the brand:

        Lifebuoy, whose core equity has been health through vigorous cleansing, has, for
decades now, been synonymous with soap in rural India.70 % of the Lifebuoy sales are from
rural India. It has gained most of its market share from rural market.
   Product, price, place, promotion:



Product:

       Lifebuoy‘s product range includes Lifebuoy active (red, orange, gold care, green),
Lifebuoy plus, Lifebuoy clear skin soap, Lifebuoy total, Lifebuoy deo fresh, Lifebuoy nature
& Lifebuoy international (plus & gold).


Price:


                  Price List of Lifebuoy‘s Variants & it‘s Competitors




              Lifebuoy           Inter Competitors                 Intra
              Variants                                           Competitors

             Lifebuoy            Godrej.no.1(Rs.8),                Breeze
           (Total& Plus)          Santoor(Rs.10)             (Rs.8 for 100 gms.)

         Lifebuoy DeoFresh            Cinthol                    Liril(Rs.16),
                                      (Rs.13)                    Lux(Rs.13)

          Lifebuoy Active          Dettol(Rs.16),                  Rexona
                                   Savlon(Rs.16)             (Rs.13 for 100 gms.)


         Lifebuoy clear skin     Fair glow(Rs.10),          Fair & Lovely(Rs.10),
              (Rs.13)            No marks(Rs.19)                 Dove(Rs.27),
                                                                Pears (Rs.20).

              Lifebuoy           Medimix(Rs.13),                   Hamam
               nature            Chandrika(Rs.12)            (Rs.13 for 100 gms.)
Place:

   1. Rural:
               75% of India's population is in the rural areas; hence about 50% of the soaps
   are sold in the rural markets. Lifebuoy‘s variants like Lifebuoy plus, Lifebuoy total,
   lifebuoy active are specially positioned for the rural market.

   2. Semi-urban:

               For the semi-urban segment, Lifebuoy nature & Lifebuoy fresh is positioned.

   3. Urban:

             Whereas Lifebuoy clear skin soap, Lifebuoy deo fresh, Lifebuoy international
   (plus &gold) are meant for the urban segment.



Promotion:



                                        Lifebuoy soap has been promoted through all type of
                                media like T.V; Radio; Newspaper; etc. HLL also promoted
                                lifebuoy through local bodies like ‗Gram Panchayat', ‗Swasthya
                                Parishad' by offering knowledge for using good and anti-germ
                                products. HLL focused on the promotional campaign in rural
                                sector. They also concentrated on promoting through radio and
                                sponsoring programmes like ‗Krishi Darshan' and ‗Aap ka
                                Swasthya' programmes that have greater number of audience.
                                        In rural areas, Walls were painted with the name
                                ‗LIFEBUOY‘.




         Hindustan Lever Ltd. used the big budget film `Krrish' to market its largest selling
soap brand — Lifebuoy. HLL was engaged in a co-branded promotion with the film, which
involved printing pictures of Krrish's character on its Lifebuoy packs and also giving away
merchandise based on the film. Lifebuoy was choosed over the other brands since the brand
is all about protection and Krrish's character is also about protecting the world from enemies.
Segmentation:

        The segmentation of the soap market can be done on the basis of three price ranges –
Economy, Popular and Premium. The price differential between the premium and economy
segments is about 2X. The popular and economy segments accounts for about 4/5ths of the
entire market for soaps.

       Breeze & Lifebuoy falls in the economy category. HLL‘s premium category soaps
include Pears, Dove, Moti & Liril whereas Hamam, Rexona & Lux falls in the popular
category. It can be diagrammatically shown as follows:
                                                      Price for 100 Gms.

                                       Premium (priced at Rs.15 & more)

                                       Popular (priced at Rs.11 –Rs.14)

                                       Economy (priced upto Rs.10)




   Positioning:

       The Indian soap market is huge, diverse and constantly evolving. In terms of benefits
sought by consumers, the market can be divided into four broad segments – health, naturals,
beauty and freshness.

      Lifebuoy is been positioned by its uses & applications. It is been positioned as a
complete family health soap.

        Its variants - Lifebuoy Total is positioned for all those mothers with active kids who
constantly fear hygiene threats from germs leading to stress and anxiety for the mothers.
Lifebuoy DeoFresh is positioned especially for young adults who lead active lifestyles.
Lifebuoy active green, on the other hand, which comes with neem and tulsi, is positioned as a
herbal soap. Lifebuoy Gold Care is specifically designed for sensitive skin. Lifebuoy clear
skin, as the name suggests, is positioned for pimple free skin.

   Differentiation:

       Differentiation between Lifebuoy‘s variants is that the original lifebuoy had red
colour which is now repositioned as lifebuoy active red.

        Now it has lifebuoy active orange which is orange in colour, active green in green
colour, active cool in blue colour, Gold care, deo fresh, plus & total in white colour. Whereas
Lifebuoy clear skin is creamish brown in colour (colour of Multani Mitti).
Innovative ways of reaching out to the customers:


1. Lifebuoy can implement the idea:

                    ―Lifebuoy se nahao, tandurusti hi nahi, sona bhi pao‖
                        i.e. Getting surprise gold coin inside the soap.



2. Another idea could be that:

  Each letter of the word ‗LIFEBUOY‘ will be printed in each pack of soap & the one who
        completes the entire word ‗LIFEBUOY‘ will get an educational scholarship.




3. ―Use lifebuoy Liquid hand wash daily & keep your hands like lily‖




   4. Another Ad which can be placed in banners, Posters, Newspapers, etc.




                                              ―Germs free health ko… tandurusti
                                                          kahate hain….
                                          Doctors jise recommend karte hain…. use
                                                     lifebuoy kehte hain‖.
  5. The brand name ‗LIFEBUOY‘ can be painted in different colours i.e. in the colours of its
existing variants. For e.g.




                      L I F E B U O Y
                        And it can be accompanied by the saying…


     ― Tandurusti jagaye tan mann mein ….. aapka Lifebuoy ab aath rangon
                                   mein‖!!!


   6. What‘s in your make-up kit today?

             Lipstick, Eye-liner, Mascara, Eye shadow, Compact powder……..
                               Are you forgetting something?
                          Yes!!! ……… Lifebuoy clear skin soap.
                       The ultimate solution to your skin problems!!!



   7. A radio Ad for Lifebuoy soap could be:

                          Tararum pum pum, kabhi khushi kabhi gum,
                                Lifebuoy se nahaya karo…….,
                           Sare germs ho kum, Tandurust rahe hum,
                                Rojana nahaya karo…..!!!!!
                                     Barrier Matrix



                      Y
                E
                X               WORST              GAMBLE
                I
                T             Low returns         High returns
                               High risk           High risk
                B
                A
                R
                R               STABLE               BEST
                I                                 LIFEBUOY
                E             Low returns         High returns
                R              Low risk            Low risk
                S

                      0                                             X

                                    ENTRY BARRIERS




        Lifebuoy is been placed in the fourth quadrant of High entry barriers & low exit
barriers because it has high returns & low risk. This is because majority of the people use
bathing soaps. Soap gets used within say 3 weeks when used by a single person. So if we
multiply the number of people using soaps, in Mumbai itself, we can say the sales are about a
million in 3 weeks itself.

       And there are low entry barriers in case of soaps as compared to the other products.
Also the profits are much higher due to high sales.
                                   BCG Matrix




                            LIFEBUOY




            Lifebuoy is a cash cow for HLL. This is because Lifebuoy is India‘s first
bathing soap & the first product of HLL as a bathing soap. Lifebuoy has a brand loyalty
to a very high extent about 95 %. In the rural India, lifebuoy is synonymous with soap for
decades now .Lifebuoy has a major chunk of market share in HLL‘s personal wash
segment which is 21%.
                 Things you don‘t know about Lifebuoy



Lord Lever Hume looked out of the window from his home & saw the familiar life saver
in port sunlight & the word LIFEBUOY flashed through his mind & he named the soap
thus.

2000 lifebuoy soaps are sold every minute.

The original Lifebuoy jingle was sung by Jagjeet Singh- today, one of the India‘s
foremost Ghazal exponents.

Lifebuoy has been a trusted brand for over 100 years now.

One in ten people in the world use Lifebuoy.

Today Lifebuoy is mainly sold in Asia and parts of Africa. It is market leader in every
Asian market where it is sold.

In 2005, Lifebuoy was awarded a 'Citizen Brand' accolade in Indonesia in recognition of
the work the brand has undertaken in hand wash education

It is the only soap brand to have ever crossed 100,000 tonnes in sales in a single year.

The Brand Equity Survey, 2003 ranked this mega-brand as one of the Most Trusted
Brands in India.

HLL's Lifebuoy becomes first Indian brand to have a special postal cover which was
released on the occasion of the World Health Day in recognition of the phenomenal work
done by Lifebuoy for initiating and assiduously implementing the socially beneficial
movement.

				
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