INTRODUCTION

INTRODUCTION TO RURAL MARKET

the days when a rural consumer went to a nearby city to buy branded products
and s ervices.
T w w ime
o as as h hen c nly b gelect ouseho
be it toothpaste or soap. There were days when big companies flocked to rural
markets to establish their brands. Today, rural markets are critical for
marketer - be it for a branded shampoo or an automobile.
To o pen
ab d usiness
o b m aily t r y usiness
w r a s agazine
c o m p a n y o r o t h e r a n n o u n c i n g i t s i n t e n t i o n t o I` sg og or ui nr ag l 'r. u r a l t h a t
simple? A partf t rom
d he n istribution
o r t p ightmare
t r f e
markets, with 13 major languages and thousands of dialects
groups and hundreds of ca st e groups , reachi ng the ri ght comm unica tion t o the
rural community is mind-boggling.

A number of today's marketers who believe that consumers in rural India are
less d emanding
a e s nd a i asily
f ar s atisfied
I i h t ret n or
marketers r t ealize
a i hat m n sndiscriminate
ar o t arketing
used f t oru he
c rban
w n wustomer,
w h r c ill otT l ork ith
have a different set of priorities, which necessitates a different approach, both
in terms of developing appropriate products to suit them and using appropriate
communication strategies, which they will comprehend better.

There is a debate in some quarters that the rural market is mature enough to
understand communication developed for urban markets, especially in the case
of FMCGs. This is partly true, if the communication is such that it makes the
product promise in a simple and easy-to-understand style.

It is also true that the section of rural society, which is expos

lifestyles b o ecause
e i bf mployment,
t a a u s eginning
a
types of communication aimed at it. But they are in small numbers and the vast
majority of rural folks, even today, cannot understand clever communication
What to communicate and how to communicate to the rural au
subject which must be understood clearly before any attempt t
communication package aimed at them is undertaken.

“Real I l ndia
i R ies
I , ‘n Indiaural
i al so ‘ ndia”
and ‘ f e villages’,
is the backbone of the Indian economy’, ‘India lies in its villages’, etc, are the
p e r p e t u a l a n d c o m Imn od ni a s li os g pa rn es d. o m i n a n t l y a n A
Economy and the rural markets hold immense potentials for any company
expand.

T h u s t h e n e x t w o r d “aef xt ep ra n d i n g s a tl oe sd ”a y i“s t a r g e t i n g t h e r u r a l
markets”. Also, intensified competitions in the urban-markets have resulted in
increase in costs but not higher market share and profits. This has resulted in
change of focus by a host of organizations. Thus, rural bazaars are becoming
more i mportant
t u m hana m rban
o arkets
h r ndt i any r
a host of product classes the winners of tomorrow are going to be those who
focus on rural India. Industrial giants and other savvy small to medium firms
are awakening to the potential of India’s jackpot rural
7 3 3m i l l i o n c o n s u m e r s , m o r e t h a n t w i c e t h e p o
It has thus become very necessary to study the rural markets b
market, which is mostly underestimated, is drastically changing.

Background of Rural Marketing

It was in the late 1960s and 1970s that rural marketing became a
ge neral di sc uss ion. T he G reen Revol ution a nd the cons eque nt pocket s of rura l
prosperity that appeared on its wake awakened many manufacturers to the new
purchasing power. The NCAER’s Market Information Survey of House
(MISH) shows that the 1980’s saw a rapid improvement in the distribution of
i ncome i n the rura l as compa red w ith urba n India. In 1989-90, the number of
households with income over Rs. 25,000/- per annum was 9 million (around 50
million people), and above Rs. 12,500 per annum was 35 million household
(around 160 million people).

However, aggressive Rural Marketing is not a recent activity. With the Green
Revolution, companies like Siemens with a package of produ
drilling marketers of fertilizers, pesticides, seeds, bicycles, etc., were followed
by manufacturers of motorcycles, and many others who took their products to
the rural consumers.
Earlier, consumers who were illiterate or unable to re
s ymbol s t o ident ify thei r favourit e product s-Red S oap for L ifebuoy, P al m tre e
for Dalda, etc. Manufacturers now began to deliberately build sym
colours into their products to enable identification of their brands.

N i n e t i e s w a s a p h a s e w h e n t h e a d v o c a t e s o f r u r a l m
corporate India that villages were big, this decade is differentiating bet
companies that can unlock the potential of the rural market and
cannot.

Today r p ural i opulation

7,41,660,293, w hilet s o uhat I f i 2 rban ndia s
(Census of India 2001). There is a 241 million strong working p
s p r e a d a c r o s6s . 3 8 l a k h v i l l a g e s i n t h e r u r a l h i n t e r l a n d s . T h e r u r a l p o p u l a t i o n
has been dependent primarily on agriculture as their main source of incom
However, after 50 years of independence, and the advent of industrialization,
t h e a g r i c u l t u r a l l y s k e w e d i n c o m e o f r u r a l I n d i a i s
Horticulture and fishery are also fast becoming income-generating activities in
rural India.

Activity 1972-73 1993-94

Agriculture 85.6 78.0
Mining 0.3 0.6
Manufacturing 5.4 7.1
Construction 1.4 2.3
Trade 2.5 4.4
Transport 0.6 1.4
Services 4.1 5.8

Table: Profile of the Rural Working Class (%)

 Particulars North South East West
Villages with >5,000 people 2,00,106 73,585 1,81,982 1,35,936
Villages with Pucca Roads 78,217 45,102 41,348 44,693
Villages with number of outlets 9,75,111 9,80,728 10,89,603 6,51,285
Villages with number of haats 11,436 3,167 18,905 8,380

Various Rural marketing strategies

‘Rural marketing is a process of developing, pricing, promoting, distribu

rural specific goods and services leading to exchanges between urban and rural
markets, which satisfies consumer demand and also achieves orga
objectives’.
Rural m arketing
i a two w nvolves
mayarketingp h rocess,t p owever,
flow of goods and services from rural to rural areas cannot be undervalued.
The process should be able to straddle the attitudinal and s
disparity between the urban and rural customers.

URBAN TO RURAL (U 2 R)

Am ajor
p o r art m f f ural i t arketing
c I i alls
t t nto ohis ategory.

urban marketers who sell their goods and services in rural areas. The following are

some of the important items, which are sold in rural areas and manufactured in urban

areas: pesticides, fertilizers, seeds, FMCG products, tractors,

durables, etc.

RURAL TO URBAN (R 2 U)
Transactions in this category basically fall under agricultural marketing where a rural

producer s t s eeks
h p o i aell u ism roduce
A a o a mn n prban arket.

a c rucialr i t ole
m n p he T arketing
f a s rocess.
o t i ihe ollowing

sold from the rural to urban areas: seeds, fruits and vegetables, milk a

products, forest produce, spices, etc.

RURAL TO RURAL (R 2 R)

This includes the activities that take place between two villages in close proximity to

each other. The transactions relate to the areas of expertise the particular village has.

The items in this category include: agricultural tools, handicrafts and bullock carts,

dress materials, etc.

RURAL MARKET ENVIRONMENT

► Untapped Potential
Rural m arkets
o ag p ffer f m reat b otential
g a s or f tarketing

reasons:

→ The large number of consumers. A pointer to this is the larger volume

of sales of certain products in rural areas as compared to the sales

products in urban areas.

→ Largely u ntapped
m T p arkets.l f m he p enetration
a

low in rural areas.

► Market Size and Penetration

The estimated size of India’s rural market stated as the percentage of w

p o p u l a t i o n i s1 2 . 2 p e r c e n t . T h i s m e a n s 1 2 . 2 p e r c e n t o f t h e w o r l d ’ s c o n s u m e r s
live in rural India. In numbers, this works out to about 120 million households.
I n I n d i a , t h e r u r a l h o u s e h o l d s f o r m 7a2bpoeurtc e n t o f t h e t o t a l h o u s e h o l d s .
This is a huge market by world standards.

R u r a l c o n s u m e r s o w n 5o2npl eyr c e n t o f a v a i l a b l e c o n s u m e r d u r a b l e s , e v e n
though they form 72 percent of the total households in India. On an average,
rural household own three consumer durables as compared to seven consumer
durables owned by an average urban household (NCAER, 19
clearly indicates the untapped potential among the larg
households.

► Increasing Income and Purchasing Power

The agricultural development programs of the government

increase income in the agricultural sector. These in turn have created greate
purchasing p i r ower
m Hn ural i t larkets.i g ouseholds
h
reduced while there is a strong growth in the number of households in upper
middle and higher income households.

► Accessibility of Markets

The attraction of a market depends not only on its potential but also
a c c e s s i b i l i t y . A m a r k e t t h a t c a n
“ s o u r g r aD pe ev se ”l .o p m e n t o f i n f r a s t r u c t u r a l f a c i
institutions has increased the accessibility of these markets.

The road network has facilitated a systemized product distribution system

v i l l a g e s . I n t h e p a s t , c o m p a n i e s r e‘ltireidc kolne ad o wonf ’ s t o c k s t o t h e
buyer in interior villages that resulted from the active participation of channel
members. I t s n t hisv ystem,
r m f he illage
p v etailer
t ade
a b iggerr i etailer
t n t n ( he earest
o ad ehsil
l t sub-division
T
large retailer in the tehsil town procures goods from district headquarters. The
d i s t r i c t h e a d q u a r t e r s w e r e t h e r e f o r e t h e t e r m i n
distribution channel.

Today, an increasing number of companies are supplying

directly. Increasing direct contacts to villages helps product pro
availability of the product in the village shop. Marketers of durable goods use
direct contacts as a means to promote and attract rural consumers to
points in large feeder villages or towns. Feeder villages or towns are locations
from where a large number of interior villages get their products. Del
cum-promotion vans traversing 8 to 10 villages a day and covering haa
mandis, is the widely used method of direct control in rural areas.

► Competition in Urban Markets

Intensified competition in urban markets increases costs and reduces market s

The rural markets are therefore increasingly attractive in relation to urban market

The a utomobile
m b t arket
o c R rings m his B ut s learly.
o ajdoo

Ambassador Cars find ready acceptance in rural markets as co

markets where there is a proliferation of brands.

► Consumer Behavior Changes

Increased literacy and greater awareness in rural markets create new demands
and discriminating buyers. This is observed more in the younger generation. In
villages today, this segment of buyers consumes a large variety of produ
both durables and non-durables. There is a visible increase in the consumption
and use of a variety of products, which is easily observe
generations appears to seek variety and are more discriminating buyers.
young adult in a village likes to sport a fashionable watch. The preferred brand
of toilet soap for the youth is not necessarily Lifebuoy, the brand preferred by
the elders.

The Problem Areas in Rural Marketing

Where the rural market does offer a vast untapped potential, it should also be
recognized that it is not that easy to operate in rural market because of several
attendant problems. Rural marketing is thus a time cons
requires considerable investments in terms of evolving appropriate strate

with a view to tackle the problems .

► Underdeveloped People and Underdeveloped Markets

The number of people below poverty line has not decreased in a

manner. T u hus nderdeveloped

p a c u eople m nd b a onsequently

large characterize the rural markets. Vast majorities of the rural people are tradition

bound, fatalistic and believe in old customs, traditions, habits, taboos and practices.

► Vastness and uneven spread

The number of villages in India is more than 6 lacs. Again, the villages are not
uniform in size. Nearly50% of the villages have a population of less than 500
persons w a hich f 20%ccount
o ft rhe p ural
or T opulation.
t o d his yp
o f po pu l at i o n w ar ra n t s a pp ro pr i a te s t ra t eg i e s t o d ec i de th e e xt e n d of c ov e ra ge
of rural market.

► Lack of Proper Physical Communication Facilities

Nearly fifty percent of the villages in the country do not have all weather road.
Physical c ommunication
o t v i h fe hese E tillagesm s ighl
villages i t e n phe o astern
t c a arts
i f d he t m
ountry re
Moreover, 3,00,000 villages in the country have no access to telephones. Local
telecom companies are working with the Department of Telecommunicati
(DOT) to provide service in rural areas at local costs which could be a costly
affair considering the underdeveloped infrastructure.
► Low Growth Rate

T h e s l o w d o w n i n t h e e c o n o m y i s o f s e r i o u s c
Government, industry and every other sector of the economy. Our GDP growth
target for the Tenth Plan is 7.7%, rising to 8.1% in the subsequent one. Today
we are at a 6% level, which is itself below the current Plan
worrying is the fact that our growth rate has been trending down for the last 3
years. The sectoral components of this slowdown are very telling. Agricultural
growth h d as t 0 ropped
f a a o o .9%
3 i t rom
1 a n 3 verage
i f
the 90's. Industrial growth too has slowed to below 6% from 6.6% in the last
decade. We believe there is an urgent need to lift ov
sustainable by addressing a central issue - the slowdown in rural incomes.

► Low Per Capita Income

Even though about33-35% of gross domestic product is generated in the rural

a reas it i s s hare d by
74% of t he populat ion. H ence the per c apit a incom es are
low compared to the urban areas. High costs in finance is a stumbling bloc
while higher purchase is unheard of, the small town culture wo
financing of products.The sprawling unorganized market offers prices that the
o r g a n i z e d i n d u s t r y f i n d s d i f f i c u l t t o m a t c h . M a n y e
continue to be too expensive or irrelevant.

► Many languages and dialects

The number of languages and dialects vary widely from state to state, region to
region and probably from district to district. Messages have to deli
local languages and dialects. Even though the number of recognized languages
is only 16, the dialects are estimated to be around 850.
► Low levels of literacy
Literacy rate is low in rural areas as compared to urban areas. This again leads
to problem of communication. Print medium becomes ineffective a
extend irrelevant in rural areas since its reach is poor.

► Different way of thinking

There is a vast difference in the lifestyles of the people. The rural custom
usually h 2 o 3asb t cr f rands
w t ou hoose
o h m rom
m hereas
choices. T r che ural
h f ustomer
s t a cas airly
t h u imple h
counterpart. Life in rural areas is still governed by customs and traditions and
people do not easily adopt new practices.

► Transport
M a n y r u r a l a r e a s a r e n o t c o n n e c
6 8 %o f t h e r u r a l r o a d s h a v e b e e n p o o r l y s u r f a c e d , a n d m a n
destroyed or severely damaged by the monsoon and remain
leaving interior villages isolated. Though it would be desirable to connect all
villages by all-weather roads, use of bullock carts is inevitable for many years.

► Distribution problem
Rural markets typically signify complex logistical challe
translate into high distribution cost. Coupled with relatively slower growth of
incremental demand and lack of adequate institutional mechanism
operations, margins are squeezed to the utmost. Infrastructure a
major problem when a marketer thinks of targeting the rural markets.

► Market organisation and staff

The size of the market organisation and staff is very important, to
effective control. Comparatively, catering to rural market will invol
marketing organisation and staff. Most of the manufacturers cannot effort huge
investments in terms of personnel and also keep an effective control on it.

► Media for Rural Communication

Among t m he
m a ass
s p edia
o t i tt l ome
5 a 6oint r wf ime n
considered to be a potential medium for communication to the rural pe
Another m m ass
i t ediaa c s i elevision
h b o t nd c inemas
viewing habits in rural areas is very satisfactory were ever available.
s t a t i s t i c s i n d i c a t e t h a t t h e r u r a l a r e a s a c c o u n t f o r2h0a0r0d ltyo 3 5 0 0m o b i l e
theatres, which is far less when compared to the number of villages.

Exploring the available media

Promotion media may be classified broadly into 3 categories:

Mass Media Local Media Personalized Media

Radio Haats, Melas, Fairs Direct Communication

Cinema Wall Paintings Dealers

Press Hoardings Sales Persons

TV Leaflets Researchers

Video Vans

Folk Media

Animal Parade

Transit Media

► MASS MEDIA

A m e d i u m i s c a l l e d m a s s m e d i a w h e n i 5t 0r m
e ai cl lhi eosn p e o p l e . A r u r a l
market i d s t ifficult
r T e o each.
t m m heir
i v l xposure
F a o
universalized c ommunication,
w c t m m hich
w b omes hrou
ineffective when it comes to rural audience since they are heterog
varying from region to region.

Let us examine the utility of mass media.

→ Radio

Irrespective of the literacy levels of the people, topography and geographical

location of the area of residence, the radio reaches rural people easily. It
continues to be the principal source of information by habit and choice for many
rural people.
→ Cinema

The cinema is the theatres attract good number of people an

opportunity t d op isseminate
i b w oroduct
s o o tnformation
r
advertising films. These films are exhibited just before the start of the movie
and during interval time.

→ Press/Print media

Newspapers, magazines and other publications have both reac

problems in rural areas. Very few households subscribe to m
newspapers. Literacy levels are also low. Thus press is not a very good media
for promotion.

→ Television

M e d i a e x p o s u r e i n r u r a l a r e a s i s j u s t 5a0b%.
o u tH a l f a r e s e c o n d a r y v i e w e r s
and many watch TV just for 5minutes per week. TV exposure would just about
touch 100 million people, of which only 30-40 million
impacted.

► LOCAL MEDIA
Though mass media is powerful it does not work as effectively as the local
media.

→ Haats & Melas

It is the countries oldest tradition and holds the key to solving the problems. It
is called the weekly mobile supermarkets of rural India.
Facts & Figures: -
→ Over 47,000 haats and 25,000 melas are held annually.
→ The average daily sale at a Haat is about Rs.2.25 Lakhs
→ Annual sales at melas amount to Rs.3, 500 Crores.
→ Over half the shoppers at haats have shopping lists.
→ More than 10,000 melas draw visitors from all over India
→ Nearly half the outlets at melas are for manufactured goods.
→ Haats i a b s o etter f p pportunity
a b b or h romotion
b
done at Mela.
→ Melas are organized after harvest season, so the villager has
money, which he will be ready to spend.
→ Demonstration at Haat is essential to convert customers at haats sinc
their attitude is far more utilitarian than that of visitors to a fair.
→ Wall Paintings
Wall Paintings are an effective and economical medium for advertising in rural
areas. They are silent unlike traditional theatre .A speech or film comes to an
end, but wall painting stays as long as the weather allows it to.

Retailer normally welcomes paintings of their shops, walls, and name boards.
Since it makes the shop look cleaner and better. To get one's wall painted with
the product messages is seemed as a status symbol.

The message should be simple, direct and clear. It should be peaked up during
the festival and post harvest season. To derive maximum mileage their usage
needs to be planned meticulously.

→ Folk Theatre
F olk theatres are mainly short and rhythmic in form. The s imple tunes help in
informing and educating the people in informal and interesting manner. It has
b e e n u s e d a s a n e f f e c t i v e m e d i u m f o r s o c i a l p r
exploitation and oppression.
→ Puppetry

Puppetry is the indigenous theatre of India. From time immortal it has been the
most popular form and well-appreciated form of entertainment available to the
village people. It is an inexpensive activity. In rural India puppetry is a source
of livelihood, avenue for entertainment and creative ex
ritually sacred and meaningful as a means of social communication and vehicle
of social transformation.

I n d i a n I n s t i t u t e o f m a s s c o m m u n i c a t i o n , N e w
comparative impact of puppetry and documentary films, in two villages n
Delhi. People in both the villages responded more favorably to
shows then the films.

→ Video Van
The p ioneer
o t m f i I he w edium
S B n Dndia a as
V adhna
on W heels.
I s c t tartedo ommercial
i 1 T i av perations
t g n
to selected villages and towns on weekly markets days to communic
benefits of the product. Its repertoire includes audio, video,
equipment, etc.

→ Animal Parade
Companies can resort to parading of animals with the banners highlighting the
p r o d u c t m e s s a g e s . F o r e x a m p l e , i n t h e P u s h k a r
Rajasthan, the camels participating in the camel race are painted with colours
or h ave
b danners o t isplayed
l b f R gn f hem
W d ike lue or
etc.

→ Mobile Displays
Dabur used this novel way of communication. It selected a clu
villages in Banda district and sent in 3 bowling alleys. The
represented the various germs that Chawanprash protects against.

Hoardings
They are of 2 types – stationary and mobile. Large sized hoardings placed at
strategic locations have a huge impact.

► PERSONALIZED MEDIA

→ Direct Contact
Direct contact is a face-to-face relationship with people individually and with
groups s uch as the P anc hayats and ot her vil lage groups . S uch cont act helps in
arousing the villager's interest in their own problem and m
towards self-development.

HUL is going in for direct marketing in an attempt to attract first-time users.

HLL has launched a door-to-door campaign selling hampers of its deterge
toothpaste and talcum powder for Rs 15.

Companies c a e an c lso w stablish

t c i ontact
s o w ith heir
using conventional channels like dealers, salesperson and researchers and non-
conventional channels like telephone and Internet.
COMPANY PROFILE
COMPANY PROFILE

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer

Goods Company, touching the lives of two out of three Indians with over 20
distinct categories in Home & Personal Care Products and Foods & Beverages.
The company’s Turnover is Rs. 17,523 crores (for the financial year 2009 -
2010)

HUL is a subsidiary of Unilever, one of the world’s leading suppliers of fast

moving consumer goods with strong local roots in more than 100 countries
across the globe with annual sales of about €40 billion in 2009 Unilever has
about 52% shareholding in HUL.

Hindustan Unilever was recently rated among the top four companies globally
in the list of “Global Top Companies for Leaders” by a study sponsored by
Hewitt Associates, in partnership with Fortune magazine and the RBL Group.
The company was ranked number one in the Asia-Pacific region and in India.

The mission that inspires HUL's more than 15,000 employees, including over
1,400 managers, is to help people feel good, look good and get more out of life
with brands and services that are good for them and good for others. It is a
mission HUL shares with its parent company, Unilever, which holds about 52 %
of the equity.

HISTORY

In the summer of 1888, visitors to the Kolkata harbour noticed crates full of
Sunlight soap bars, embossed with the words "Made in England by Lever
Brothers". With it, began an era of marketing branded Fast Moving Consumer
Goods (FMCG).
 Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux
and Vim. Vanaspati was launched in 1918 and the famous Dalda brand came to
the market in 1937.

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 HUL in
November 1956; HUL offered 10% of its equity to the Indian public, being the
first among the foreign subsidiaries to do so. Unilever now holds 52.10% equity
in the company. The rest of the shareholding is distributed among about
360,675 individual shareholders and financial institutions.

The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the
company had launched Red Label tea in the country. In 1912, Brooke Bond &
Co. India Limited was formed. Brooke Bond joined the Unilever fold in 1984
through an international acquisition. The erstwhile Lipton's links with India
were forged in 1898. Unilever acquired Lipton in 1972, and in 1977 Lipton Tea
(India) Limited was incorporated.

Pond's (India) Limited had been present in India since 1947. It joined the
Unilever fold through an international acquisition of Chesebrough Pond's USA
in 1986.

Since the very early years, HUL has vigorously responded to the stimulus of
economic growth. The growth process has been accompanied by judicious
diversification, always in line with Indian opinions and aspirations.

The liberalisation of the Indian economy, started in 1991, clearly marked an

inflexion in HUL's and the Group's growth curve. Removal of the regulatory
framework allowed the company to explore every single product and
opportunity segment, without any constraints on production capacity.

Simultaneously, deregulation permitted alliances, acquisitions and mergers. In

one of the most visible and talked about events of India's corporate history, the
erstwhile Tata Oil Mills Company (TOMCO) merged with HUL, effective from
April 1, 1993. In 1996, HUL and yet another Tata company, Lakme Limited,
formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's
market-leading cosmetics and other appropriate products of both the
companies. Subsequently in 1998, Lakme Limited sold its brands to HUL and
divested its 50% stake in the joint venture to the company.

HUL formed a 50:50 joint venture with the US-based Kimberly Clark
Corporation in 1994, Kimberly-Clark Lever Ltd, which markets Huggies
Diapers and Kotex Sanitary Pads. HUL has also set up a subsidiary in Nepal,
Unilever Nepal Limited (UNL), and its factory represents the largest
manufacturing investment in the Himalayan kingdom. The UNL factory
manufactures HUL's products like Soaps, Detergents and Personal Products
both for the domestic market and exports to India.

The 1990s also witnessed a string of crucial mergers, acquisitions and alliances
on the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired
Kothari General Foods, with significant interests in Instant Coffee. In 1993, it
acquired the Kissan business from the UB Group and the Dollops Icecream
business from Cadbury India.

As a measure of backward integration, Tea Estates and Doom Dooma, two

plantation companies of Unilever, were merged with Brooke Bond. Then in
1994, Brooke Bond India and Lipton India merged to form Brooke Bond Lipton
India Limited (BBLIL), enabling greater focus and ensuring synergy in the
traditional Beverages business. 1994 witnessed BBLIL launching the Wall's
range of Frozen Desserts. By the end of the year, the company entered into a
strategic alliance with the Kwality Icecream Group families and in 1995 the
Milkfood 100% Icecream marketing and distribution rights too were acquired.
Finally, BBLIL merged with HUL, with effect from January 1, 1996. The
internal restructuring culminated in the merger of Pond's (India) Limited (PIL)
with HUL in 1998. The two companies had significant overlaps in Personal
Products, Speciality Chemicals and Exports businesses, besides a common
distribution system since 1993 for Personal Products. The two also had a
common management pool and a technology base. The amalgamation was done
to ensure for the Group, benefits from scale economies both in domestic and
export markets and enable it to fund investments required for aggressively
building new categories.

In January 2000, in a historic step, the government decided to award 74 per

cent equity in Modern Foods to HUL, thereby beginning the divestment of
government equity in public sector undertakings (PSU) to private sector
partners. HUL's entry into Bread is a strategic extension of the company's
wheat business. In 2002, HUL acquired the government's remaining stake in
Modern Foods.

In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business
of the Amalgam Group of Companies, a leader in value added Marine Products
exports.

HUL launched a slew of new business initiatives in the early part of 2000’s.
Project Shakti was started in 2001. It is a rural initiative that targets small
villages populated by less than 5000 individuals. It is a unique win-win
initiative that catalyses rural affluence even as it benefits business. Currently,
there are over 45,000 Shakti entrepreneurs covering over 100,000 villages
across 15 states and reaching to over 3 million homes.

In 2002, HUL made its foray into Ayurvedic health & beauty centre category
with the Ayush product range and Ayush Therapy Centres. Hindustan Unilever
Network, Direct to home business was launched in 2003 and this was followed
by the launch of ‘Pureit’ water purifier in 2004.
In 2007, the Company name was formally changed to Hindustan Unilever
Limited after receiving the approval of share holders during the 74th AGM on
18 May 2007. Brooke Bond and Surf Excel breached the the Rs 1,000 crore
sales mark the same year followed by Wheel which crossed the Rs.2,000 crore
sales milestone in 2008.

On 17th October 2008 , HUL completed 75 years of corporate existence in

India.

Company structure

Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods

(FMCG) company. It is present in Home & Personal Care and Foods &
Beverages categories. HUL has about 15,000 employees, including over 1400
managers

The fundamental principle determining the organisation structure is to infuse

speed and flexibility in decision-making and implementation, with empowered
managers across the company’s nationwide operations.

Board of Directors

The Board of Directors as repositories of the corporate powers act as a guardian

to the Company as also the protectors of shareholder’s interest.

Management Committee

The day-to-day management of affairs of the Company is vested with the

Management Committee which is subjected to the overall superintendence and
control of the Board.

Hindustan Unilever is India' s largest Fast Moving,Consumer Goods Company.

We meet everyday needs of millions of Indians, right from the morning cup of
tea to brushing at bedtime.
Our brands touch the lives of more than 700 million Indians.
It is this relationship with our consumers that we would like to build upon and
strengthen. W w c e t s ill t ontinue
c p op traddle
t m t he onsu
needs and aspirations of diverse consumers across India.
Our stated strategy is to grow our business competitivel
sustainably. The key pillars to achieving this are:
Winning with brands and innovation
Winning in the market place
Winning through continuous improvement
Winning with people

During the year, we have made significant progress on each of these

areas. We are well placed to leverage the tremendous opportunity
growing market like India
by serving and delighting our consumers.

Objective of the study

 OBJECTIVES OF THE STUDY

1 . T o u n d e r s t a n d t h e o v e r a H
l lI Np De Ur fS oT rAmN a

UNILIVER .

2. To study the overall financial position of the company.

3.To measure the liquidity position and factors responsible for

liquidity of the company.

4. T ao scertain
t f s he a inancial
w o t ctrength s nd

as to suggest improvement for the future.

5.To s ttudyi oher m

mpact s f o ural
t m arketing
s

of HUL.

Limitation of the study

1. The study is based in published internal reports & data

HUL.

2. The study is limited to a period.

3. No comparison is made b/w the others.

RESEARCH METHDOLOGY

RESEARCH DESIGN
 F o r t h e p r o p e r a n a l y s i s o f d a t a s i m p l e s t a ti s ti c a l t e c h n i q u e s s u c h a s
percentage w u I here i m se. m t a elped g n aking
f ore
t h e d a t a a va i la b l e. T he da t a , w hi c h wa s c o l lec t ed
population, w a tas b r ssumed e po e wepresenting
i
Demographic f l a actors
i a eike ge,b ncomew u nd duc
for the classification purpose.

Types of Research

T y p e s o f r e s e a r c h a r e g e n e r a l l y c l a s s i fi e d i n t o t w o m e t h o d o l o g i e s , q u a l i t a ti v e

q u a n ti t a ti v e . M a l h o t r a ( 2 0 0 4 ) d e fi n e s q u a l i t a ti v e r e s e a r c h a

exploratory r m esearch b o ethodology

s s t p ased
i a n mall

u n d e r s t a n d i n g o f t h e p r o b l e m s e tti n g ” a n d q u a n ti t a ti v e r e s e a r c h a

m e t h o d o l o g y t h a t s e e k s t o q u a n ti f y t h e d a t a a n d , t y p i c a l l y a p p l i e s s o m e

statistical analysis”.

There are merits and demerits of both methodologies (illustrated i

Chisnall ( a 2001)“ rgues

r i p
qualitative v i t esearch
e s s articul

of market studies, when concepts are being explored, insights into behavior gained,

and r esearch
i a g deas Q re enerated.
r b r auantitative
d esea

enquiry i t onto r he a verall i i l esearch

t b s ctivities; f t t s ikel

more fl exible
a s nd a pontaneous
o q t pproach
i f e tf ualitative

d e s i g n o f e ff e c ti v e q u e s ti o n n a i r e s , t h e d e v e l o p m e n t o f c r e a ti v e p r o m o ti o n a l i d e a s

t h e g e n e r a ti o n o f n e w p r o d u c t s a n d s e r v i c e s , a n d

motivations t i hat
b bnfluence T t uying
i ac d ehavior”.
b hus

t h e t w o a p p r o a c h e s o f d a t a c o l l e c ti o n . H o w e v e r , M a l h o t r a , ( 2 0 0 4 ) s t a t e s , “

s o u n d p r i n c i p l e o f m a r k e t r e s e a r c h t o v i e w q u a l i t a ti v e a n d q u a n ti t a ti v e r e s e a r c h a s

complementary, rather than in competition with each other”.

Table 4.1 – QUALITATIVE VERSUS QUANTITATIVE RESEARCH

 Qualitative Research Quantitative Research

Probing Limited probing

Types of questions
Sample size Small Large

Amount of information Substantial Varies

from each respondent

Requirements for Interviewer with special Interviewer with fewer

administration skills skills or no interviewer

Type of analysis Subjective, interpretive Statistical, summation

Hardware Tape/Video recorders, Questionnaires, computers,

projection devices, pictures printouts

Degree of replicability Low High

Researcher Training Psychology, sociology, Statistics, decision models,

consumer behavior, computer programming,
marketing research marketing research

Type of research Exploratory Descriptive or Causal

(Source: McDaniel, C. Gates, R. Marketing Research, 2007, P.128)

T h e r e s e a r c h m e t h o d o l o g y u s e d f o r t h i s s t u d y w a s g e a r e

q u a n ti t a ti v e d a t a . T h i s w a s l a r g e l y d u e t o t h e s a m p l e

respondents). Also, due to the underlying aim of the study to understand the factors

that influence Islamic banking usage patterns and buying intentions.

Type of Data
P r i m a r y d a t a h a s b e e n d e s c r i b e d i n m a n y d i ff e r e n t w a y s

however, t s w
his m tudys b ill d entionp d ome
c b d asic efinitions

as:

“ D a t a o r i g i n a t e d b y t h e r e s e a r c h e r f o r t h e s p e c i fi c p u r p o s e

research problem” (Malhotra 2004), or simply, “New data gathered to help solve the

p r o b l e m u n d e r i n v e s ti g a ti o n ” . ( M c D a n i e l & G a t e s , 2 0 0 7 ) . S e c o n d a r y d a t a i s d e fi n e d

as “data collected for some purpose other than the problem at hand” (Malh

2 0 0 4 ) o r “ d a t a t h a t h a v e b e e n p r e v i ou sl y g a t h e r e d ” ( M c D a n i e l & G a t e s, 2 0 0 7 ) T h i s

includes data consulted from published arti cles, journals, textbooks, market reports,

marketing databases and the Internet.

Table 4.2 – A COMPARISON OF PRIMARY AND SECONDARY

DATA

Primary Data Secondary Data

For the purpose at hand For other problems

Collection purpose
Collection process Very involved Rapid and easy

Collection cost High Relatively low

Collection time Long Short

T h e a b o v e T a b l e 4 . 1 c l e a r l y i l l u s t r a t e s t h e d i ff e r e n c e s b e t w e e n t h e t w o d a t a t y p e s .

This s tudy
u s sed d eecondary i t o ata
t l xtensively
r ( n erms

3) and when discussing Islamic banking (Chapter 2). The use of secondary data does

have its limitati ons as suggested by Malhotra (2004), “Because secondary data have

been collected for purposes other than the problem at hand, their usefulness to the
current problem may be limited in several important ways, including relevance and

accuracy. T o he n bjectives,
a m u tature
c t s nd ethods
d m sed

n o t b e a p p r o p r i a t e t o t h e p r e s e n t s i t u a ti o n . A l s o s e c o n d a r y d a t a m a y b e l a c k i n g i n

accuracy, or they may not be completely current or dependable.”

The d cata ollection

i t u o qnvolving w hef se
t m f p uestionnaires
o

this study solely deals with the use of primary data. The main reason for this choice

of data stems from the fact there was simply not enough secondary data available

concerning Islamic Banking in the UK. Although there are many books and research

p a p e r s w r i tt e n o n t h e s u b j e c t o f I s l a m i c B a n k i n g , t h e c a s e o f t h e U K h a s y e t t o s e e

s i g n i fi c a n t r ese a rc h u n d e rt ake n . Th e oth e r re a son wa s t h

q u a n ti t a ti v e d a t a w a s d e e m e d t o b e t h e m o st s u i t a b le t e

understanding i c anto onsumer

o t i B c cceptance d w f he ssu

consumers, i f t t t s elt h hat

am p he tudy
r r ad t r oreo roductive

other available sources of information.

Data Collection Methods

The main data collecti on methods for qualitati ve research include direct techniques,

e.g. focus groups, depth interviews, and indirect techniques s

techniques.

Focus Groups
Focus g aroups
t m c re heu q ost rommonlyt I sed
u h ualitative

become increasingly appreciated by marketers intending to research into areas such

a s n e w p r o d u c t d e v e l o p m e n t , p r o d u c t e x t e n s i o n s a n d d i v e r s i fi

M a l h o t r a ( 2 0 0 4 ) d e fi n e s a f o c u s g r o u p a s “ a n i n t e r v i e w c o n d u c t e d b

moderator among a small group of respondents in an unstructured

manner”. It is therefore an informal and in-depth discussion or intervi

sm a ll n u m be r of p ar ti ci pa n t s in ord er to l ea rn a nd u n d er st an d wh a t pe op le h av e to

s a y a b o u t a p a r ti c u l a r i s s u e a n d w h y . A m o n g t h e m a n y a d v a n t a g e s o f f o c u s g r o u p s

s o m e a r e t h a t t h e i n t e r a c ti o n a m o n g p a r ti c i p a n t s c a n g e n e r a t e

f e e d b a c k t h a t m i g h t n o t a r i s e i n o t h e r s i t u a ti o n s . T h e p a r ti c i p a n t s f e e l c o m f o r t a b l e

being part of a group with other similar group members, allowing them to f

e x p r e s s t h e i r f e e l i n g s a n d a tti t u d e s . D u e t o t h e o p e

p a r ti c i p a n t s m a y a n s w e r s p o n t a n e o u s l y a d d i n g a n e l e m e n t o f a c

responses. It is also seen as a speedy process, due to the fact that many responses

are gathered in a short space of time.

The disadvantages of focus groups include the fact that the group may not be

ideal r epresentative
o t t p fs he T otal
r o opulation
af g m ample.

lack a ccuracy
a m b d nd t bay c e r eemed
t e o eT f onclusive

g r o u p s r e s e a r c h e r ’ s q u e s ti o n i n g s t y l e m a y l e a d t o b i a s a n d p r e j u d i c e . T h e i n f o r m a l

a n d u n s t r u c t u r e d n a t u r e o f t h e r e s p o n s e s m a k e s i n t e r p r e t a ti o n a n d d a t a a n

complicated. This was one of the major reasons why focus groups were not used for

this study. It was also believed that a sample of say 10-12 people would

suffi ciently representative of the total population at large.

Depth Interviews
A dep th in terview is d e fi n e d by Malhotra (2 004) a s “an u

personal, interview in which a single respondent is probed b

i n t e r v i e w e r t o u n c o v e r u n d e r l y i n g m o ti v a ti o n s , b e l i e f s , a tti t u d e s a n d f e e l i n g s o n

topic”. The advantages of depth interviews over focus groups include the fact that

g r o u p p r e s s u r e i s e l i m i n a t e d , e n s u r i n g m o r e h o n e s t a n d s t r a i g h tf o r w a r d r e s p o n s e s .

The interview may be conducted anywhere, in places not requiring a special group

facility. The one-one one nature of the interview gives the respondent a perso

feeling of being the focus of attention, thus increasing confidence.

Depth interviews however may be physically and mentally exh

m o d e r a t o r s a n d r e s p o n d e n t s , a d v e r s e l y a ff e c ti n g t h e q u a l i t y o f r e s p o n

disadvantages o d i f mepthi t nterviews

l o s a ay mnclude he

i t d i ffi c u l t t o a n a l y z e a n d i n t e r p r e t r e s p o n s e s . D e p t h i n t e r v i e w s a l s o p r o

e x p e n s i v e d u e t o t h e n e e d o f e x p e r i e n c e d i n t e r v i e w e r s

i n t e r v i e w i n g t e c h n i q u e s w e r e n o t f o u n d t o b e a s u i t a b l e

understanding into consumer behavior and motivations towards Islamic banking.

????????????????????????
What is the need of this??
 SAMPLE SIZE

Considering the constraints, it was decided to conduct

based on ample size of 100 retailers. Scientifi c method was not adopted in
this study because of fi nancial constraints and also because of lack of ti me,
also the basic aim of doing the research was acade
convenient way was selected.
 TYPES & TECHNIQUES

T h e s t u d y c o n d u c t e d i s a c o n c l u s i v e d e s c r i p ti v e s t a ti
C o n c l u s i v e b e c a u s e a ft e r c o n d u c ti n g t h e s t u d y , t h e r e s e a r c h e r c o m e s t o a
decision w i p hich a rs recise
T s i cnd ational.
b a he tu
doing the study the researcher come to a conclusion regarding the position
of t he
b i rand
t m on r he inds
o d ffi espondents
g T s f
i s s t a ti s ti c a l b e c a u s e t h r o u g h o u t t h e s t u d y a l l t h e s i m i
selected a g nd t rouped
A t s ogether.
r a t ll t he imilar
as one and their percentages are calculated.

Projective Techniques

P r o j e c ti v e t e c h n i q u e s a r e a f o r m o f d i r e c t q u a l i t a ti v e a p p r o a c h t o d a t a c o l l e c ti

C h i s n a l l ( 2 0 0 1 ) d e fi n e s p r o j e c ti v e t e c h n i q u e s a s “ r e l e a s e m e c h a n i s m s w h i c h e n a b l e

people t b ot t ring
s o oc he urface
a t e f e onsciousness,
i o n

in g roups,
t t heira f houghts
a s nd
p eelings
a b T bout
m pecific

w i d e s p r e a d p r o j e c ti v e t e c h n i q u e s u s e d i n m a r k e ti n g r e s e a r

t e c h n i q u e s , s t o r y t e l l i n g , c o n s u m e r d r a w i n g s , r o l e - p l a y i n g , s e n t e n c e c o m p l e ti o n a n d

c a r t o o n t e s t s . M a l h o t r a ( 2 0 0 4 ) s u g g e s t s , “ a t ti m e s , i n d

r e s p o n d e n t m a y i n t e n ti o n a l l y o r u n i n t e n ti o n a l l y m i s u n d e r s t a n d

mislead t r he I esearcher.
t c p nt hese c i ases, t v rojective

of responses by disguising the purpose. Projecti ve techniques are also helpful when

underlying motivations, beliefs, and atti tudes are operating on a subconscious level”.
The disadvantages of using projecti ve techniques include the fact that highly skilled

researchers a r tre c equired

s i oH onduct
s p uch a a nterviews.

required t a ot rnalyses T ihea a esponses.

s r o i here b s lso

as n early
a s t ll ucha o echniques( w t rer pen-ended
r i h i.e.

or her own words) making interpretation subjective.

Thus, t c his, donclusive s s escriptive

i t b s f tatistical
t h i s p u r p o s e a s i t p r o v i d e s t h e n e c e s s a r y i n f o r m a ti o n w h i c h i s u ti l i z e d
arrive at a concrete decision.

????????????????????????

What is the need of this??

 TOOLS USED

T o k n o w t h e r e s p o n s e I h a v e u s e d t h e q u e s ti o n n a i r e
sample survey. If one wishes to fi nd what people think or know, the logical
p r o c e d u r e i s t o a s k t h e m . T h i s h a s l e d m a r k e ti n g r e s e a r c h e r s t o u s
questionnaire technique for collecting data more than any other method.

In t his
m qethod w uestionnaire
d t t r ere a istributed
t h e y w e r e a s k e d t o a n s w e r q u e s ti o n s
q u e s ti o n n a i r e s w e r e s t r u c t u r e d n o n - d i s g u i s e d q u e s ti o n n a i r e b e
q u e s ti o n s , w h i c h t h e q u e s ti o n n a i r e c o n t a i n e d , w e r e a r r a n g e d i n a s p e c i fi c
order besides every questi on asked were logical for the study, no questi on
can be termed as irrelevant.

h e q u e s ti o n n a i r e , w e r e n o n - d i s g u i s e d b e c a u s e t h
w e r e c o n s t r u c t e d s o t h a t t h e o b j e c ti v e i s c l e a r t o t h e r e s p o
respondents were aware of the objecti ve. They knew why they were asked
to fill the questionnaire.
 LIMITATIONS OF STUDY

Limitation of the present study can be summarized below :

 The respondents were limited and cannot be treated as the who

population.

 The respondents may be biased.

 Time was the major constraint.

 T h e a c c u r a c y o f i n d i c a ti o n s g i v e n b y t h e r e s p o n d e n t s m a y
consider adequate

 Due to Language Problem it is possible that the respondents are not

a b l e t o u n d e r s t a n d t h e q u e s ti o n n a i r e a n d c a n c a
results.
DATA ANALYSIS AND
TABULATION
 DATA ANALYSIS & INTERPRETATION

Part – I

For customers
Q1. Are you the regular user of Lux soap ?

Options Percentage of Respondents

Yes 76

No 24

No
20%

Yes
80%

Interpretation:
76% of the respondents are the regular user of Lux soap
Q2. From how many year you have been using the Lux soap?

a. 2-4 years ( ) b. 4-8 years ( )

c. 1-2 years ( ) d. less than 1 years ( )

Options Percentage of Respondents

2-4 years 12

4-8 years 10

1-2 years 54

less than 1 years 24

60

50

40 2-4 years
4-8 years
30 1-2 years
less than 1 years
20

10

Interpretation:
54% of the respondents are using the Lux soap from 1 -2 years.
Q3. Did you like the 365 g Vim and get 150g free in only 26Rs scheme?

What is the relevancy of this question ???

Options Percentage of Respondents

Yes 77

No 23

80

70

Interpretation:

60
77% o t fr he espondents
l t 3 gV a g ike1 f he i o 65 2 im

scheme

50
Q4. Did you purchase more Vim because of scheme?

Options Percentage of Respondents

Yes 80

No 20
 80

70

Interpretation:
60

80% of the respondents are purchase more Vim because of scheme

50

40

30
Q5. D i d y o u p u r c h a s e a n e x t r a q u a n ti t y o f V i m i n fl u e n c

scheme?

Options Percentage of Respondents

Yes 90

No 10

90
80
70
60
50 Yes
40 No
30
20
10
0
Percentage of Respondents

Interpretation:

90% o t fr he espondents
a p a e q re o urchase
V i n xtra

by the scheme
Q6. How much quantity did you have purchase?

a. 2 times ( ) b. 3 times ( )

c. more than 3 times ( )

            options % of Response

S.No.

1 80
2 times

2 3 times 17

3 more than 3 times 3

  Total 100

No of Response

more than 3 times

17%
3 times
3%

2 times
80%

Interpretation:
80% of the respondents are purchase more Vim because of scheme
sQ7. I f y o u a r e n o t i n fl u e n c e w i t h t h e s c h e m e a n d n o t

Vim/Lux product the reason may be?

a. N o t s a ti s fi e d w i t h t h e q u

( ) b. N o t s a ti s fi e d w i t h t h e q u a n ti t y

products ( )

            options % of Response

S.No.

1 83
Not satisfied with the quantity of the

products

2 17
Not satisfied with the quantity of the

products

  Total 100
 No of Response

Not satisfied with the quantity of the products

17%

Not satisfied with the quantity of the products

83%

Interpretation:

8 3 % o f t h e r e s p o n d e n t s a r e N o t s a ti s fi e d w i t h t h e q

products
 Part – II

For retailers
Q1. Are selling brand of HUL soaps?

            S.No. options No of Response

1 yes 99

2 no 1

  Total 100

No of Response
no
1%

yes
99%

Interpretation:

99% of the respondents are selling brand of HUL soaps.

Q2. Reasons for Selling a particular brand of HUL soaps?

Options Percentage of Respondents

Margin 32

Demand 56

Others 12

60

50

40

30

20

10

0
Margin Demand Others

Interpretation:

56% o t fr he espondents
s t t a s aay
p hat b hey
o re
H UL s oap s be cau se o f it s de man d, 3 2 % o f t he re sp onde nts are se lling H UL
soaps because of its margin.
Q3. Does the quality is better than other brand you are selling ?

            S.No. options % of Response

1 yes 91

2 no 9

  Total 100

No of Response
no
9%

yes
91%

Interpretation :

Most of the respondents say that the quality of HUL soaps is better than
other brand they are selling
Q4. Does Brand is better in terms of customer Demand?

            options % of Response

S.No.

1 Yes 99

2 No 1

  Total 100

% of Response

yes
no

Interpretation:

99% of the respondents say Brand is better in terms of customer Demand.

Q5. Do you think that the promotional material provided attracts
customers?

Options Percentage of Respondents

Yes 68

No 32

70

60

50

40

30

20

10

0
Yes No

Interpretation :

68% of the respondents say that promotional material attracts customers.

Q6. How is the credit policy of the company ?

Options Percentage of Respondents

Good 36

Average 42

Poor 22

45
40
35
30
25
20
15
10
5
0
Good Average Poor

Interpretation:

42% of the respondents say that the credit policy of t

average, 36% of the respondents say that the credit policy is good.
Q7. Does the HUL soaps provide you promotional material?

Options Percentage of Respondents

Yes 80

No 20

80

70

60

50

40

30

20

10

0
Yes No

Interpretation:

8 0% of the re sponde nts say that HUL soaps provides promoti onal material
a n d 2 0 % o f t h e r e s p o n d e n t s s a y t h a t H U L s o a p s p r o v i d e s t h e m p r o m o ti o n
material but due to less space they are not using promotional materials.
Q8. Is the promotional material provided by the HUL soaps effective?

Options Percentage of Respondents

Yes 53

No 44

60

50

40

30

20

10

0
Yes No

Interpretation :

56% of the respondents say that promotional material of HUL soaps is

effective.
Q9. Are you interested in Selling HUL soaps If the company provides yo
attractive margin ?

Options Percentage of Respondents

Yes 76

No 24

80

70

60

50

40

30

20

10

0
Yes No

Interpretation :

Most of the respondents are ready to sell HUL soaps materials if the
company

provides them attractive margin.

Q10. What are the responses of customers after sales promotional activities of

the company?

Options Percentage of Respondents

Excellent 55

Good 10

Average 12

Poor 6

Can't Say 17

18
16
14
12
10
8
6
4
2
0
Excellent Good Average Poor Can't Say

Interpretation:
5% respondents say that responses of the customer is excellent after sales promotional
activities, 10% say it is good, 12% say it is average, 6 say it is poor, 17% cant say about the
responses of the customers.
OBSERVATIONS
&
FINDINGS

OBSERVATIONS & FINDINGS

 76% of the respondents are the regular user of Lux soap
 54% of the respondents are using the Lux soap from 1 -2 years.
 77% of the respondents like the 365 g Vim and get 150g free in only 26Rs
scheme
 80% of the respondents are purchase more Vim because of scheme
 90% of the respondents are purchase an extra quantity of Vim influencing by the
scheme
 83% of the respondents are Not satisfied with the quantity of the products
 83% of the respondents are Not satisfied with the quantity of the products

 60% of the respondents say that customers demand Saffola more.

 68% of the respondents say that promotional material attracts customers.

 42% of the respondents say that the credit policy of the company is average, 36% of
the respondents say that the credit policy is good.

 80% of the respondents say that HUL soaps provides promotional material and 20%
of the respondents say that HUL soaps provides them promotion material but due to
less space they are not using promotional materials.

 56% of the respondents say that promotional material of HUL soaps is effective.

 Most of the respondents are ready to sell HUL soaps materials if the company
provides them attractive margin.

 5% respondents say that responses of the customer is excellent after sales

promotional activities, 10% say it is good, 12% say it is average, 6 say it is poor, 17%
cant say about the responses of the customers.
 SUGGESTION

SUGGESTIONS

 HUL soaps should maintain proper supply of the product to the dealers
& retailers.
 Supply of the product should be made as soon as possible after
receiving the order.
 HUL soaps should choose suitable means of transportation to minimize
damage.
 Availability of the product should be increased in outside & rural areas.
 HUL soaps should have a flexible payment norms & supply norms
 HUL soaps should also concentrate on small dealers, to increase the
sale.
 HUL soaps should provide considerable margin to the dealers to
 Encourage them for selling of the product.
 ANNEXURE

QUESTIONNAIRES

Name :______________________________________
Address: ______________________________________

Contact No. : ______________________________________

Part - I

{For customer}

Q1. Are you the regular user of Lux soap ?

a. Yes ( ) b. No ( )

Q2. From how many year you have been using the Lux soap?

a. 2-4 years ( ) b. 4-8 years ( )

c. 1-2 years ( ) d. less than 1 years ( )

Q3 Did you like the 365 g Vim and get 150g free in only 26Rs scheme?

a. Yes ( ) b. No ( )

Q4. Did you purchase more Vim because of scheme?

a. Yes ( ) b. No ( )

Q5. Did you purchase an extra quantity of Vim influencing by the scheme?

a. Yes ( ) b. No ( )

Q6. How much quantity did you have purchase?

a. 2 times ( ) b. 3 times ( )

c. more than 3 times ( )

Q7. If you are not influence with the scheme and not purchasing Vim/Lux product the
reason may be?

a. Not satisfied with the quantity of the products ( ) b.

Not satisfied with the quantity of the products ( )

Part - II

{For retailer}

Q1. Are selling brand of HUL soaps?

Options
Yes
No

Q2. Reasons for selling a particular brand?

Options Tick
Margin
Demand
Others
Q3. Does the quality is better than other brand you are selling?

Options
Yes
No

Q4. Which Brand’s schemes is better in terms of customer Demand ?

Options
Yes
No
Q5. Do you think that the promotional material provided attracts customers?

Options
Yes
No

Q6. How is the credit policy of the company ?

Options
Good
Average
Poor
Q7. Does the company provide you promotional material?

Options
Yes
No
Q8. Is the promotional material provided by the company are effective?
 Options
Yes
No
Q9. Are you interested in selling company product if the company provides you
attractive margin?

Options
Yes
No

Q10. What are the responses of customers after sales promotional activities of

the company?

Options

Excellent

Good

Average

Poor

Can't Say

Where is conclusion???????
Summary….
 Why there are two
questionnaires….???
Questionnaire is just irrelevant..

check it … and make it relevant

according to the objective of the
study……..

and the biggest question

where the hell is topic of the
project ????????????????