Professional Documents
Culture Documents
1. How long are you dealing with HUL products? a) 1 to 2 year c) 4 to 6 year b) 2 to 4 year d) More than 6 year
2. Which Category of HULs products you sell in your outlet? a) Personal care d) All above 3 b) Household care e) Other (please specify) c) Beverages
. 3. Which brands of FMC products you kept in your outlet other than HUL? a) P&G c) WIPRO b) ITC d) Specify if any
other 4. Rate the following FMCG brands w. r. t their push activities. (1-V-High,2-High,3Moderate, 4-Low, 5-V-Low) a) P&G c) HUL b) ITC d) WIPRO
5. What are the facilities, which the competitors provide which HUL does not? .
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL 6. Indicate your view of HULs Push activities with respect to competitors. FACTOR a) Sales margin b) Lucky Draws c) Stock supply d) Gift offers e) Slab wise targets f) Offers g)Schemes h)Trade Discounts Very good Good Neutral Bad Worst
7. Rate the following factors which influence you in selling the products? (1- Most important and 9- least) a) Sales margin b) Special Incentives c) Stock supply d) Gift offers e) Lucky Draws f) Slab wise targets g) Trade discounts h)Schemes i)Offers
8. Does HUL provide you any special incentives for the shelf space that you provide for their products? Yes Specify if any__________________________________________________________________ _________________________________________________________________________ _____ No
9Are you satisfied with the push activities offered by the HUL?
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Neutral
10. What kind of Push activities do you expect from the company to increase your sales? _________________________________________________________________________ _________________________________________________________________________ __________
Thank you
TABLE OF CONTENTS
Sl No 1 2 3 4 5 6 7 8 9 10 11 12 14 Executive Summary Retailing And Rural Market Push And Pull Introduction Of The Company Hul Distribution Network Article Research Design Data Analyses And Interpretations Hypotheses Finding Suggestions Conclusion Annexure Contents Page No 2 4 10 14 30 39 41 46 71 74 78 80 83
Page 3 81
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EXECUTIVE SUMMARY
Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians. HULs mission is to add vitality to life through its presence in over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. The company meets everyday needs for nutrition, hygiene, and personal care, with brands that help people feel good, look good and get more out of life.
The Major Concurrent Project assigned me was A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL in Belgaum Rural. This project taken up by me as a part of academic assignment to find out the attributes that affect the Satisfaction and expectation of the Wholesalers, retailers and Consumers with respect to the distributors functioning and also it will help distributor to know the attributes that affect the sales.
SUB OBJECTIVES:
To evaluate the present Push and Pull activities of major players in the market To know the perception of the consumers. To understand the special Push activities and Pull activities undertaken at HUL company. To assess the product awareness of consumers and retailers satisfaction and expectations towards HUL.
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METHODOLOGY:
Personal Interaction with TSI, RSP and interviews with retailer. A research survey (using questionnaire) would be conducted.
This study would bring into light on the expectation of the Wholesalers, retailers and
Consumers with respect to the distributors functioning. It will help distributor to take the necessary steps to improve the promotional
activities. It will help distributor to know the attributes that affect the sales. It will help company to reduce the distribution cost. IT will help to know about the factors affecting the awareness of the products.
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Further, the common usage of retail is based more on whether the business deals directly with the public. .
A local physical location is not even necessary for the definition of retail anymore now that retailing and eBay selling can be retail businesses into themselves. The best definition of retail might be any business whose product or service is made for, and targeted to, the consuming public.
Selling goods using visual stimuli is an old age practice, but with increasing growth of retail industry, the art or arguably the science of visual merchandising has come to occupy a newfound fancy. Marketers especially retailers, consider it as an inspirable part of their overall branding effort. But even as it continues to grow, like all other branding efforts, the understanding of its impact and effectiveness is still in its infancy.
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Individuals Decide About Purchases Reality: Decision making process is collective. Purchase process- influencer, decider,
and buyer, one who pays can all be different. So marketers must address brand message at several levels. Rural youth brings brand knowledge to Households (HH).
Therefore, marketers need to understand the social dynamics and attitude variations within each village though nationally it follows a consistent pattern. The main problems in rural marketing are: Understanding the rural consumer Poor infrastructure Physical Distribution Channel Management Promotion and Marketing Communication
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Dynamics of rural markets differ from other market types, and similarly rural marketing strategies are also significantly different from the marketing strategies aimed at an urban or industrial consumer.
Distribution Strategy:
One of the ways could be using company delivery vans which can serve two purposes- it can take the products to the customers in every nook and corner of the market and it also enables the firm to establish direct contact with them and thereby facilitate sales promotion. However, only the bigwigs can adopt this channel. The companies with relatively fewer resources can go in for syndicated distribution where a tie-up between non-competitive marketers can be established to facilitate distribution. Annual melas organized are quite popular and provide a very good platform for distribution because people visit them to make several purchases. According to the India n Market Research Bureau, around 8000 such melas are held in rural India every year. Rural markets have the practice of fixing specific days in a week as Market Days (often called Haats) when exchange of goods and services are carried out. This is another potential low cost distribution channel available to the marketers. Also, every region consisting of several villages is generally served by one satellite town (termed as Mandis or Agri-markets) where people prefer to go to buy their durable commodities. If marketing managers use these feeder towns they will easily be able to cover a large section of the rural population.
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Promotional Strategy:
Firms must be very careful in choosing the vehicle to be used for communication. Only 16% of the rural population has access to a vernacular newspaper. So, the audiovisuals must be planned to convey a right message to the rural folk. The rich, traditional media forms like folk dances, puppet shows, etc with which the rural consumers are familiar and comfortable, can be used for high impact product campaigns.
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PUSH STRATEGY
A marketing strategy that uses aggressive personal selling and trade advertising to convince a wholesaler or retailer to carry and sell particular merchandise.
PULL STRATEGY
A marketing strategy that stimulates consumer demand to obtain product distribution.
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A pull supply chain drives production and distribution by customer orders (Build/Assembly-to-Order)
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Push strategy
o Industrial products or complex new products o Direct selling allows firms to educate users o Short distribution channels o Used in poorer nations for consumer goods where direct selling only way to reach consumers
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COMPANY PROFILE
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Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians. HULs mission is to add vitality to life through its presence in over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. The company meets everyday needs for nutrition, hygiene, and personal care, with brands that help people feel good, look good and get more out of life.
Hindustan Unilever Limited (HUL) and its constituent companies have been in India since 1931.
Over these decades, while HUL has benefited from the developments in the country, it has contributed equally to these developments. Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition, hysgiene, and personal care with brands that help people feel good, look good and get more out of life. Their deep roots in local cultures and markets around the world give us their strong relationship with consumers and are the foundation for their future growth. We will bring their wealth of knowledge and international expertise to the service of local consumers - a truly multi-local multinational. Their long-term success requires a total commitment to exceptional standards of performance and productivity, to working together effectively, and to a willingness to embrace new ideas and learn continuously. To succeed also requires, we believe, the highest standards of corporate behavior towards everyone we work with, the communities we touch, and the environment on which we have an impact.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL This is their road to sustainable, profitable growth, creating long-term value for their shareholders, their people, and their business partners
In the summer of 1888, visitors to the Kolkata harbor 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 51.55% equity in the company. The rest of the shareholding is distributed among about 380,000 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 in1986. 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 liberalization 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.
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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 1995, HUL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme Lever 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, Nepal Lever Limited (NLL), and its factory represents the largest manufacturing investment in the Himalayan kingdom. The NLL 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 Ice cream 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 July 1993, 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 Ice-cream Group families and in 1995 the Milk food 100% Ice-cream marketing and distribution rights too were acquired.
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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, Specialty 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 of economies both domestic and export market. 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 Pasteurized Crabmeat business of the Amalgam Group of Companies, a leader in value added Marine Products exports. Hindustan Lever Limited, 51.6% subsidiary of Unilever Plc, is the largest FMCG Company in the country, with a turnover of Rs118bn. The companys business sprawls from personal and household care products to foods, beverages and specialty chemicals. The company has a dominating market share in most categories that it operates in such as toilet soaps, detergents, skincare, hair care, color cosmetics, etc. It is also the leading player in food products such as packaged tea, coffee, ice cream and other culinary products. Brand equities are built over a period of time by technological innovations, consistent high quality, aggressive advertisement and marketing. Availability near the consumer through a wide distribution network is another crucial success factor, as products are of small value, frequently purchased, daily use items. HUL is strong on both these fronts with leading brands, which are market leaders in their respective categories, and a 1mn strong direct retail reach.
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HUL is the market leader in the detergent and toilet soap industry with market share of 60% and 40% respectively. Nirma is a close competitor in detergents and has been slowly gaining ground in toilet soaps too. The other significant competitor in detergents is P&G. In oral care segment, HUL has emerged as a strong No 2 player with 36% market share. In the hair care segment, HUL dominates the shampoo market with a 64.5% share and is the No 2 player in hair oils. HUL has a 54% market share in skin creams. In the foods business, Tata Tea in packet tea, Nestle in coffee and culinary products, GCMMF (Amul) in ice creams, and Godrej Pillsbury in staple food are the main competitors. HUL grew at a fast pace in the mid 90s driven by its aggressive acquisition spree. From Rs38bn turnover (contributed 70% by soaps, detergents and personal products), HULs turnover has now grown to Rs118bn, with soaps and personal products contributing 57% to turnover and beverages and food products contributing to 29% of turnover. Growth during the last few years has largely been driven by the personal products business. However the pace of growth has slackened significantly in the last two years with several key segments registering a growth in 2001 soaps business (Rs21bn) de-grew by 1% and detergent sales (Rs20bn) grew by 7%. Other personal products (household care, oral acre, skin care, hair care, color cosmetics) registered a 14% yo-yo growth to Rs24.6bn. Expansion of the foods business, which has been identified as a major growth area, has not been as fast as anticipated. Beverage sales move largely with commodity price trends, which have remained on a downtrend. Branded tea business degree by 10% in F12/01 to rs16bn, while the Rs3bn coffee business registered a 7% yo-yo growth. Ice-cream business has failed to takeoff registering a 3% growth. The staple food business, once considered a high potential growth area witnessed a decline of 10% yoy to Rs2.4bn.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Profitable growth has been the new mantra of the FMCG majors Chairman, M S Banga, who took over the reins from Keki Dadiseth 2 years ago. In contrast to Dadiseths strategy of expansion through acquisition, Mr. Bangas strategy revolves around rationalization. A focus on 30 power brands, which are major contributors to profitability, seeking new avenues of expanding distribution reach, improving profitability of foods businesses have been the thrust areas. Non-FMCG businesses are either being are hived off or are being strengthened by partnerships with players who have the technological expertise in those businesses. The strategy has paid results with profits registering a 24% yo-yo growth in 2001, despite a flat top line growth. PRESENT STRUCTURE
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. They have the company with a scale of combined volumes of about 4 million tones and sales of Rs.10, 000 cores. HUL is also one of the country's largest exporters; it has been recognized as a Golden Superstar Trading House by the government of India. The mission that inspires HUL's 36,000 employees, including over 1,350 managers, is to "add vitality to life." HUL 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 HUL shares with its parent company, Unilever, which holds 51.55% of the equity. The rest of the shareholding is distributed among 380,000 individual shareholders and financial institutions. HUL'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 soaps, detergents, personal products, tea, coffee, branded staples, ice cream and culinary products. They are manufactured in close to 80 factories. The operations involve over 2,000 suppliers and associates. HUL's distribution network, comprising about 7,000 redistribution stockiest, directly covers the entire urban population, and
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MANAGEMENT STRUCTURE
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL 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 and Group companies have about 36,000 employees, including 1350 managers. The fundamental principle determining the organization structure is to infuse speed and flexibility in decision-making and implementation, with empowered managers across the company's nationwide operations. For this, HUL is organized into two self-sufficient divisions - Home & Personal Care & Foods - supported by certain central functions and resources to leverage economies of scale wherever relevant. Board Divisions Central functions Businesses
Board
At the apex is the Board, headed by the Chairman, and comprising 5 whole time Directors and 5 independent non-executive Directors. The day to day operations are supervised by the National Management comprising the Vice Chairman, Managing Director (HPC), Managing Director (Foods) And The Finance Director
Divisions
Each division is self-sufficient with dedicated resources and assets in sales, marketing, commercial, and manufacturing. The two divisions are further reorganized into categories. Typically, each category and each function - Sales, Commercial, Manufacturing - is headed by a Vice President. They with their respective Managing Director comprise that Division's Management Committee.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL For managing sales operations, HUL divides the country into four regions, with regional branches in Delhi, Kolkata, Chennai and Mumbai. Headed by a Regional Manager, they comprise Regional Sales Managers and Area Sales Managers, assisted by dedicated field forces, comprising Sales Officers and Territory Sales In charges. In Marketing, each category has a Marketing Manager who heads a team of Brand Managers dedicated to each or a group of brands. The commercial team of a Division is responsible for its supply chain management. There are teams dedicated to sourcing, planning and logistics. Each Division has a nationwide manufacturing base, with each factory peopled by teams of Production, Engineering, Quality Assurance, Commercial and Personnel Managers.
Central functions
HUL's Central Functions are Finance, Human Resources, Technology, Research, Information Technology, Legal & Secretarial, and Corporate Affairs. Their services are shared across the company. But, wherever necessary, managerial resources are dedicated exclusively to a business. For example, each Division now has dedicated HR managers. HUL believes that while it leverages the scale of a large corporate, it must also retain the soul of a small company. Its organization structure, which has and will continue to evolve with time, is aimed at achieving this knitting.
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Foods
Tea Coffee Branded Staples Culinary Products Ice Creams Modern Foods ranges
New Ventures
Hindustan Lever Network Ayush ayurvedic products & services Saga Purest water purifiers
Exports HPC
Beverages Marine Products Rice Castor
PRODUCTS OF HUL:
BRANDS OF HUL: HOME AND PERSONAL CARE: Lux Breeze Liril Dove Lifebuoy Pears Hamam
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Rexona
LAUNDRY: Surf Excel Rin Wheel SKIN CARE: Fair and Lovely Ponds HAIR AND CARE Sun silk Natural Clinic ORAL CARE: Pepsodent Close-Up DEODRANTS: Axe Rexona COLOUR COSMETIC: Lakme AYURVEDIC PERSONAL AND HEALTH CARE: Ayush TEA: Brooke bond LiptonCOFFEE Bru
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL FOODS Kissan Knorr Annapurna
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LATEST DEVELOPMENT
HINDUSTAN LEVER IS NOW HINDUSTAN UNILEVER FMCG major Hindustan Lever has informed that it has received governments approval change its name to Hindustan Unilever Limited following which, its new corporate identity represented by a new logo will come into effect. The identity symbolizes the benefits we bring to our consumers and the communities we work in. Our new identity will help us confidently position ourselves in every aspect of our business, Hindustan Unilever CEO Doung Baillie said.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL M/S NAGA TRADERS (RURAL DISTRIBUTOR) BELGAUM Naga traders are the rural distributors for Hindustan Unilever Limited and also they are supplying the products to the Shakti dealer; they are supplying retailer in rural area like. Bagewadi M.K Hubli Hukkeri Itagi/pariswad Kanapur Nesargi Piranwadi Ganeshpur Sambra Yamakanamardi etc......
Shakti dealer
S C.Hubli (munushikatti) S A.Kaktikar (Belagundi) S A.Tigodoli (Shindoli)
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Over these decades, while HUL has benefited from the developments in the country, it has contributed equally to these developments. HUL has consciously woven India's imperatives with the company's strategies and operations. The companys main contributions include developing and using relevant technologies, stimulating industrialization, boosting exports, adding value to agriculture and generating productive employment and income opportunities.
HUL has been proactively
Subsequently, the factories that HUL continued establishing in less-developed regions of the country have been engaged in similar program in adjacent villages. These factory-centered activities mainly focus on training farmers, animal husbandry, generating alternative income, health & hygiene and infrastructure development.The company has acquired a wealth of experience and learning from these activities.
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income-generating opportunities
for the
rural population. Such initiatives are successful and sustainable when linked with the companys core business and is mutually beneficial to both the population for whom the program is intended and for the company. Based on these insights,
in the
year
2001, in keeping with the purpose of integrating business interests with national interests
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL The role performed by the Redistribution Stockiest has also undergone changes over the years. Financing stocks, providing manpower, providing service to retailers, implementing promotional activities, extending indirect coverage, reporting sales and stock data, screening for transit damages are some of the functions performed by the RS today. HUL has grown manifold over the years. In the process, the number of factories and the number of SKUs too have increased. In order to rationalize the logistics and planning task, an innovative step has been the formation of the Mother Depot and Just in Time System (MD-JIT). Certain C&FAs were selected across the country to act as mother depots. Each of them has a minimum number of JIT depots attached for stock requirements. All brands and packs required for the set of markets which the MD and JITs service in a given area are sent to the mother depot by all manufacturing units. The JITs draw their requirements from the MD on a weekly or bi-weekly basis. At present, HUL's products, manufactured across the country, are distributed through a network of about 7,000 redistribution stockiest covering about one million retail outlets. The distribution network directly covers the entire urban population. In addition to the ongoing commitment to the traditional grocery trade, HUL is building a special relationship with the small but fast emerging modern trade. Our scale enables us to provide superior customer service including daily servicing, improving their range availability whilst reducing inventories. We are using the opportunity of interfacing more directly with our consumers in this retail environment through specially designed communication and promotions. This is building traffic into the stores while yielding high growth for our business. An IT-powered system has been implemented to supply stocks to redistribution stockiest on a continuous replenishment basis. The objective is to catalyze HULs growth by ensuring that the right product is available at the right place in right quantities, in the most cost-effective manner. For this, stockiest have been connected with the company through an Internet-based network, called RS Net, for online interaction on orders, dispatches, information sharing and monitoring.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL RS Net covers about 80% of the company's turnover. Today, the sales system gets to know every day what HUL stockiest have sold to almost a million outlets across the country. RS Net is part of Project Leap, HUL's end-to-end supply chain, which also includes a back-end system connecting suppliers, all company sites and stretching right up to stockiest. RS Net has come as a force multiplier for HUL Way, the company's action-plan to maximize the number of outlets reached and to achieve leadership in every outlet, by unshackling the field force to solely focus on secondary sales from the stockiest to retailers and market activation. HUL Way has also led to implementing best practices in customer management and common norms and processes across the company. Powered by the IT tools it has further improved customer service, while ensuring superior availability and impact visibility at retail points.
Indirect coverage
Under the Indirect Coverage (IDC) method, company vans were replaced by vans belonging to Redistribution Stockiest, which serviced a select group of neighboring markets.
Operation Harvest
The reach of conventional media and, therefore, awareness of different products in rural markets is weak. It was also not always feasible for the Redistribution Stockiest to cover all these markets due to high costs involved. Yet, these markets are important since growth opportunities are high.
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Operation Harvest endeavored to supplement the role of conventional media in rural India and, in the process, forge relationships and loyalty with rural consumers. Operation Harvest also involved conducting of Product Awareness Programs on Vans. Cinema van operations these are typically funded by the Redistribution Stockiest. Cinema Van Operations have films and audio cassettes with song and dance sequences from popular films, also comprising advertisements of HUL products Single Distribution Channel. For rural India, HUL has established a single distribution channel by consolidating categories. In a significant move, with long-term benefits, HUL has mounted an initiative, Project Streamline, to further increase its rural reach with the help of rural sub-stockiest. It has already appointed 6000 such sub-stockiest. As a result, the distribution network directly covers about 50,000 villages, reaching about 250 Million consumers. Distribution will acquire a further edge with Project Shakti, HUL's partnership with Self Help Groups of rural women. The project, started in 2001, already covers over 5000 villages in 52 districts of Andhra Pradesh, Karnataka Madhya Pradesh and Gujarat, and is being progressively extended. The vision is to reach over 100,000 villages, Theyre by touching about 100 million consumers. The SHGs have chosen to adopt distribution of HUL's products as a business venture, armed with training from HUL and support from government agencies concerned and NGOs. A typical Shakti entrepreneur conducts business of around Rs.15000 per month, which gives her an income in excess of Rs.1000 per month on a sustainable basis. As most of these women are from below the poverty line, and live in extremely small villages (less than 2000 population), this earning is very significant, and is almost double of their past household income For HUL, the project is bringing new villages under direct distribution coverage. Plans are being drawn up to cover more states, and provide products/services in agriculture, health, insurance and education. This will both catalyze holistic rural development and also help the
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL SHGs generate even more income. This model creates a symbiotic partnership between HUL and its consumers, some of whom will also draw on the company for their livelihood, and helps build a self-sustaining virtuous cycle of growth.
CHANNEL STRUCTURE
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Supermarkets- Self- service stores where there is a room for shoppers to browse and interact with the products. Family grocer- Over the counter store mainly for monthly household shopping Kiosk- A tiny over the counter store, easily accessible for emergency purchases. It stocks solely low unit packs. Wholesale- Sells stock to small retailer and end user
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Manufacturer (Chennai)
C & F (Hubli)
RD
Wholesalers
Retailers
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL NEW DISTRIBUTION CHANNEL OF HUL:
Notation: 3) C & F: Carriage Forward 4) RD: Rural Distributor 7) SE: Shakti Entrepreneur
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ARTICLE
HLL ANNOUNCES NEW CORPORATE IDENTITY Company name is now Hindustan Unilever Limited Mumbai, June 25, 2007: Hindustan Lever Limited today announced that it has obtained approval from the Government for the change of the company name to Hindustan Unilever Limited.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL With this the companys new corporate identity represented by a new logo and the new name Hindustan Unilever Limited comes into effect. The shareholders of the company had earlier approved the proposal for change of name at the Companys 74 th Annual General Meeting on May 18, 2007. The Company believes that the new name provides the optimum balance between maintaining the heritage of the Company and the synergies of global alignment with the corporate name of Unilever. Most importantly the name retains Hindustan as the first word in its name to reflect the Companys continued commitment to local economy, consumers, partners and employees. The new logo is symbolic of the companys mission of Adding Vitality to life. It comprises of 25 different icons representing the organization, its brands and the idea of Vitality. Mr Doug Baillie, CEO, Hindustan Lever Limited, said, The identity symbolizes the benefits we bring to our consumers and the communities we work in. Our mission is full of promise for the future, opening up exciting opportunities where we have competitive advantage for developing our business and our new identity will help us confidently position ourselves in every aspect of our business. The new name and the new logo will leverage the positioning, scale and synergy that comes with being part of Unilever globally. It positions our organization on a global scale and through the combination of retaining Hindustan in the name brings the very best of local and global to the forefront. For us this is really an opportunity, collectively as an organization, to renew and strengthen our commitment to continue our endeavour to earn the love and respect of India, by making a real difference to every Indian, Mr Baillie added.
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RESEARCH METHODOLOGY
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MAIN OBJECTIVES:
To assess the Push and Pull activities for HUL.
SUB OBJECTIVES:
To evaluate the present Push and Pull activities of major players in the market To know the perception of the consumers. To understand the special Push activities and Pull activities undertaken at HUL company. To assess the product awareness of consumers and retailers satisfaction and expectations towards HUL.
SAMPLE DESIGN:
POPULATION:
Population for this research is 980 retailers of Belgaum Rural. Sample size is 200.
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SAMPLE AREA:
Belgaum Rural (CIDC) Khanapur Nandgad Londa Hukkeri Yamakanamaradi Ganeshpur Peeranwadi Bagewadi Sambra Majagaon Macchhe M.K.Hubli
SAMPLING METHOD:
The process of drawing sample units from the population is called sampling method. In order to have the unbiased results in the survey, the appropriate method of sampling i.e. stratified sampling adopted. It also includes convenience sampling.
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FIELD WORK
This market research involved a field work of 3 weeks where in I have administered pretested questionnaire to retailers. I have carried out the survey to 351 respondents by having the personal interaction with them. Vijeta outlets = Whole sellers Star outlets Consumers = Retailers
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Method of Communication:
In order to minimize the bias in data collection, the method of personal interview was adopted.
PRIMARY DATA:
Questionnaire Observation and interview technique
SECONDARY DATA:
Information is collected through internet From various text books Journals and magazines
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PUSH Q1. How long are you dealing with HUL products?
How long are you dealing with HUL products? Frequency 1-2 YEARS 11 2-4 YEARS 35 4-6 YEARS 46 MORE THAN 6 YEARS 108 Total 200 Percent 5.5 17.5 23.0 54.0 100.0 Valid Percent 5.5 17.5 23.0 54.0 100.0 Cumulative Percent 5.5 23.0 46.0 100.0
Valid
Above graph indicates that 54% of the retailers are dealing with HUL from more than 6 years.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL 23% of the retailers are dealing with HUL from 4-6 years, 17.5% and 5.5% are from 2-4 and 1-2 respectively.
Valid
It clearly seen from the above graph that 62.5% of retailers among the total of 200 retailers are sell all categories(Personal Care, Household Care and Beverages) of HUL
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL products, 15%, 14%,5.5% of retailers sell Only Household Care, Personal Care products and others respectively and 2.5% of retailers are sell only Beverages.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q3. Which brands of FMC products you kept in your outlet other than HUL? P&G Wipro ITC Others 160 178 7 110
Above graph indicates that 160 of the retailers out of 200 kept P&G, 178 for wipro, 7for ITC and 110 for Others.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q4. Rate the following FMCG brands w. r. t their push activities. (1-V.High, 2High,3-Moderate, 4-Low and 5-V.Low) Very High HUL P&G Wipro ITC Others Total 8 6 18 1 9 42 18 10 12 3 15 58 19 21 10 2 16 68 6 11 3 1 4 25 1 7 High Moderate Low Very Total Low 2 2 2 53 50 45 7 45 200
Wipro has a very high Push activities compare to HUL and Others, HUL has high Push activities compare to Others, P&G have Moderate Push activities. P&G is comparatively Low.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q6. Indicate your view of HULs Push activities with respect to competitors.
Sales Margin Frequency 80 80 40 200 Percent 40.0 40.0 20.0 100.0 Valid Percent 40.0 40.0 20.0 100.0 Cumulative Percent 40.0 80.0 100.0
Valid
Sales Margin
Bad 40.00 / 20.0% Good 80.00 / 40.0%
Out of total population of retailers 40% retailers opinion is providing Sales Margin is Good, 40% are Neutral and 20% Bad.
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Lucky Draws Frequency 30 90 80 200 Percent 15.0 45.0 40.0 100.0 Valid Percent 15.0 45.0 40.0 100.0 Cumulative Percent 15.0 60.0 100.0
Valid
Lucky Draws
Bad 80.00 / 40.0% Good 30.00 / 15.0%
Out of total population of retailers 15% retailers opinion is providing Lucky Draws is Good, 45% are Neutral and 40% Bad.
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Stock Supply Frequency 107 49 44 200 Percent 53.5 24.5 22.0 100.0 Valid Percent 53.5 24.5 22.0 100.0 Cumulative Percent 53.5 78.0 100.0
Valid
Stock Supply
Out of total population of retailers 53% retailers opinion towards Stock Suply is Good, 24.5% are Neutral and 22% are Bad.
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Gift O ffers Frequency 38 72 90 200 Percent 19.0 36.0 45.0 100.0 Valid Percent 19.0 36.0 45.0 100.0 Cumulative Percent 19.0 55.0 100.0
Valid
Gift Offers
Bad 90.00 / 45.0%
Out of total population of retailers 19% retailers opinion is providing Gift Offers is Good, 36% are Neutral and 45% Bad.
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Slab wise Targets Frequency 13 120 67 200 Percent 6.5 60.0 33.5 100.0 Valid Percent 6.5 60.0 33.5 100.0 Cumulative Percent 6.5 66.5 100.0
Valid
Out of total population of retailers 6.5% retailers opinion towards Slab wise Targets is Neutral,60% are Bad and 33.5% Worst
Distributer should target the customers and then he should provide the Slab wise Targets..
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O ffers Frequency 102 78 20 200 Percent 51.0 39.0 10.0 100.0 Valid Percent 51.0 39.0 10.0 100.0 Cumulative Percent 51.0 90.0 100.0
Valid
Offers
Bad 20.00 / 10.0%
Out of total population of retailers 51% retailers opinion is providing Offers is Good, 39% are Neutral and 10% Bad.
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Schemes Frequency 77 67 56 200 Percent 38.5 33.5 28.0 100.0 Valid Percent 38.5 33.5 28.0 100.0 Cumulative Percent 38.5 72.0 100.0
Valid
Schemes
Bad 56.00 / 28.0% Good 77.00 / 38.5%
Out of total population of retailers 38.5% retailers opinion is providing Schemes is Good, 33.5% are Neutral and 28% Bad.
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Trade Discounts Frequency 34 70 96 200 Percent 17.0 35.0 48.0 100.0 Valid Percent 17.0 35.0 48.0 100.0 Cumulative Percent 17.0 52.0 100.0
Valid
Trade Discounts
Bad 96.00 / 48.0% Good 34.00 / 17.0%
Out of total population of retailers 17% retailers opinion is providing Trade Discounts is Good, 35% are Neutral and 48% Bad.
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Q7. Rate the following factors which influence you in selling the products? (1- Most important and 9- least)
Rate the Factors Frequency Sales Margin 24 Special Incentives 13 Stock Supply 27 Gift offers 15 Lucky Draws 11 Slab wise targets 11 Trade Discounts 23 Schemes 37 Offers 39 Total 200 Percent 12.0 6.5 13.5 7.5 5.5 5.5 11.5 18.5 19.5 100.0 Valid Percent 12.0 6.5 13.5 7.5 5.5 5.5 11.5 18.5 19.5 100.0 Cumulative Percent 12.0 18.5 32.0 39.5 45.0 50.5 62.0 80.5 100.0
Valid
R te th F cto a e a rs
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2 0 1 9 1 4 1 2 7 0
s le a S c e p S c to S ift G c u L b la S e d ra T c S rs e ff O s e m e h
2 0
Percent
1 0
1 2
8 6 6
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R te th F ctors a e a
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL From the above graph it is clearly seen that 20% of the retailers influenced to sell the products by Offers, 19% -Schemes, 14 %-Stock Supply, 12 %Margin and 12 %Trade Discounts.
Q8. Does HUL provide you any special incentives for the shelf space that you provide for their products?
Does HUL provides you any special incentives for the shlf space? Frequency 67 133 200 Percent 33.5 66.5 100.0 Valid Percent 33.5 66.5 100.0 Cumulative Percent 33.5 100.0
Valid
Yes No Total
Does HUL provides you any special incentives for the shlf space?
No 133.00 / 66.5%
From the above graph it is clearly seen that out of 200 retailers 33.5% retailers said Yes HUL provides special incentives for the shelf space and 66.5% said NO.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q9. Are you satisfied with the push activities offered by the HUL?
Are you Satisfied with the Push activities offersd by HUL? Frequency 120 80 200 Percent 60.0 40.0 100.0 Valid Percent 60.0 40.0 100.0 Cumulative Percent 60.0 100.0
Valid
Satisfied 120.0 0 / 60 .0 %
Above graph indicates that 60% of the consumers are satisfied with the Push activities Offered by HUL and 40% of the retailers are Neutral.
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What type of FMC products do you use? Frequency 55 55 90 200 Percent 27.5 27.5 45.0 100.0 Valid Percent 27.5 27.5 45.0 100.0 Cumulative Percent 27.5 55.0 100.0
Valid
Above graph indicates that 55% of the consumers are using both Personal Care and Household Care products and no consumer is using only the Beverages.
45% of consumers are using All (Personal Care, Household Care and Beverages) the FMCG products.
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Q2 & Q4. Which Brands FMCG products do you use? / Which factors influence you to buy this particular brand only? Which factors influence you to buy this particular brand only? Brand Availability ambassador in the market HUL P&G Wipro ITC 9 4 1 0 14 17 16 14 0 47 Effective advertisements 12 10 9 0 31 Discounts offers Influence by others 13 6 15 3 37 13 8 20 4 45 26 11 5 10 75 49 69 7 200 Which Brands FMCG products do you use? Total
HUL will sell largely in the market because of brand name , availability in the market Brand Ambassador. And P&G will sell in the market because of effective advertisements. And Wipro will sell in the market because of Discounts, Offers and Influence by others.
Company should consider the other promotional like Discounts and offers which is best provided by the Wipro.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q4.Why do you use this particular brand? Because of
Because of Brand Name HUL Why do you use this particular Brand? 9 20 Quality Promotional Price activities 9 23 14 All
Total
75
5 4 0 18
16 15 0 51
7 11 4 31
12 28 3 66
9 11 0 34
49 69 7 200
Most of the consumer buy HULs products because of Brand Name and Quality of the product consumers buy Wipro because of Promotional Activities and price compare to HUL, some consumers buy P&G because of Quality and most of the consumers buy HULs products because of All these.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q6. Are you aware of HUL products?
Are you aware of HUL products? Frequency 199 1 200 Percent 99.5 .5 100.0 Valid Percent 99.5 .5 100.0 Cumulative Percent 99.5 100.0
Valid
Yes No Total
It clearly seen from the above graph that 99.5% of consumers among the total of 200 consumers are Aware of HUL and 0.5% are Not.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q7.If yes, which of the products you tried so far?
If Yes, which of the products you tried so far? Frequency SurfExcel 21 Rin Advanced Bar 18 Wheel Active Powder 42 Clinic AllClear 47 Lux 11 Life Boy 24 Pepsodent 17 Close Up 6 Taj Mahal 3 Brue 10 Red Label 1 Total 200 Percent 10.5 9.0 21.0 23.5 5.5 12.0 8.5 3.0 1.5 5.0 .5 100.0 Valid Percent 10.5 9.0 21.0 23.5 5.5 12.0 8.5 3.0 1.5 5.0 .5 100.0 Cumulative Percent 10.5 19.5 40.5 64.0 69.5 81.5 90.0 93.0 94.5 99.5 100.0
Valid
2 4 2 0 2 1
Percent
1 0
1 1
1 2 9 6 9 5 3
0
xc E rf u S in R r x a le er Lu d llC A ow P ic e lin iv C ct r A a B el d e h ce W an fe Li s ep P
s lo C
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oy B
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Above graph indicates that 24% of the consumers have tried Clinic All Clear, 21% of consumers tried Wheel Active Powder 12% Life Boy 11% Surf Excel 9% Pepsodentand 9% Rin Advanced.
l e
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q9.Which of the media influenced you the most to buy the product?
Which of the media influenced you the most to buy the product? Frequency T. V 67 Print media 11 By retailers 63 Sponsoring Events 4 Friends/ relatives 55 Total 200 Percent 33.5 5.5 31.5 2.0 27.5 100.0 Valid Percent 33.5 5.5 31.5 2.0 27.5 100.0 Cumulative Percent 33.5 39.0 70.5 72.5 100.0
Valid
Which of the media influenced you the most to buy the product?
40
30
34 32 28
20
10
Percent
Which of the media influenced you the most to buy the product?
It clearly seen from the above graph that 33.5% of consumers among the total of 200 consumers are Influenced by T.V,31.5%- retailers,27.5% of consumers are Influenced by Friends and Relatives, 31.5% of consumers are Influenced by Retailer and 5.5% , 2%of retailers are by Print media and Sponsoring Events.
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Does HUL's promotional activities influence you to buy its products? Frequency 67 133 200 Percent 33.5 66.5 100.0 Valid Percent 33.5 66.5 100.0 Cumulative Percent 33.5 100.0
Valid
Yes No Total
No 133.00 / 66.5%
Above graph indicates that 77.5% of the consumers are enforced by the HULs promotional activities and 22.5% are Not.
Major proportions (77.5%) of the consumers are enforced by the HULs promotional activities.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q12. Among the promotional activities, which do you feel better?
Among the promotional activities, which do you feel better? Frequency 27 81 92 200 Percent 13.5 40.5 46.0 100.0 Valid Percent 13.5 40.5 46.0 100.0 Cumulative Percent 13.5 54.0 100.0
Valid
Out of total population of consumers 13.5% consumers opinion is providing free gifts are a better promotional activity. And 46% consumers said providing extra grams are better promotional activity and 40% said discounts are the better promotional activity.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Q13. Indicate your view on HUL products?
Indicate your view on HUL products. Frequency Price 69 Quality 21 Taste 10 Quantity w. r. t price 62 Offers 38 Total 200 Percent 34.5 10.5 5.0 31.0 19.0 100.0 Valid Percent 34.5 10.5 5.0 31.0 19.0 100.0 Cumulative Percent 34.5 45.0 50.0 81.0 100.0
Valid
35 30 31
20 19
10
11 5
Percent
Out of 200 consumers 35.5% of consumers are satisfied with the price of the HUL products..
10.5% consumers are satisfied with the Quality of product, 5.05% of consumers are satisfied with the Taste, 31% of consumers are satisfied with Quantity w. r. t Price and 19% of consumers are satisfied with the Offers provided by the HUL.
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HYPOTHESES
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Hypotheses: For the purpose of analyzing the gathered information few marketing
hypotheses were the major issues in a successful conclusion of the research.
P=0.50 , q = (1-P) =0.50 , N=200 where P= X/N = Respondents favoring Ho Total sample size P=120/200=0.60 Sigma P = P (1-P)/ N =0.0353
Z= 0.60-0.50/0.0353 Z =2.832 K= -1.64 (table value of Z) Conclusion; Since the calculated Z value (2.832) is greater than the critical value (k= -1.64) null hypothesis (Ho) is accepted. Result : More than 50% of retailers are satisfied with the Push activities offered by HUL.
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promotional. H1: Less than 40% of consumers said Discounts and Extra grams are the best promotional. Z - 1.64 Accept H0.
Using Z test can prove this Computation of Z value Z= P-P/ sigma P , N=200
Sigma P= Z=
P (1-P)/ N
= 0.0012
0.86-0.40/0.0012
Z = 13.29 K= -1.64 (referring table value of Z) Conclusion; Since critical value (K= -1.64) is less than calculated Z value (13.29) null hypothesis is accepted. Result More than 40% of consumers said Discounts and Extra grams are the best promotional.
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FINDINGS PUSH
From the survey it is found that 54% of the retailers are dealing with HUL from more than 6 years and 23% of the retailers are dealing with HUL from 4-6 years, 17.5% and 5.5% are from 2-4 and 1-2 respectively. It clearly seen from the above chapter that 62.5% of retailers among the total of 200 retailers are sell all categories(Personal Care, Household Care and Beverages) of HUL products, 15%, 14%,5.5% of retailers sell Only Household Care, Personal Care products and others respectively and 2.5% of retailers are sell only Beverages. Out of 200, 160 of the retailers kept P&G, 178 for wipro, 7for ITC and 110 for Others respectively. Wipro has a very high Push activities compare to HUL and Others, HUL has high Push activities compare to Others, P&G have Moderate Push activities. P&G has comparatively Low P.A. Out of total population of retailers 40% retailers opinion is providing Sales Margin is Good, 40% are Neutral and 20% Bad with respect to competitors. Out of total population of retailers 15% retailers opinion is providing Lucky Draws is Good, 45% are Neutral and 40% Bad with respect to competitors. Out of total population of retailers 53% retailers opinion towards Stock Suply is Good, 24.5% are Neutral and 22% are Bad. Out of total population of retailers 19% retailers opinion is providing Gift Offers is Good, 36% are Neutral and 45% Bad with respect to competitors. Out of total population of retailers 6.5% retailers opinion towards Slab wise Targets is Neutral,60% are Bad and 33.5% Worst with respect to competitors
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL Out of total population of retailers 51% retailers opinion is providing Offers is Good, 39% are Neutral and 10% Bad with respect to competitors. Out of total population of retailers 38.5% retailers opinion is providing Schemes is Good, 33.5% are Neutral and 28% Bad with respect to competitors. Out of total population of retailers 17% retailers opinion is providing Trade Discounts is Good, 35% are Neutral and 48% Bad with respect to competitors. From the data analysis and interpretation %Margin and 12 %- Trade Discounts. Out of 200 retailers 33.5% retailers said that HUL provides special incentives for the shelf space and 66.5% said that it doesnt. Out of 200 retailers 60% of the consumers are satisfied with the Push activities Offered by HUL and 40% of the retailers are Neutral. Over all the retailers are satisfied. it is found that 20% of the retailers
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PULL
As the survey conducted 45% of consumers are using All (Personal Care, Household Care and Beverages) the FMCG products, 55% of the consumers are using both Personal Care and Household Care products and no consumer is using only the Beverages. From the data analysis I come to know that HUL will sell largely in the market because of brand name and availability in the market Brand Ambassador. And P&G will sell in the market because of effective advertisements. And Wipro will sell in the market because of Discounts, Offers and Influence by others. Company should consider the other promotional like Discounts and offers which is best provided by the Wipro. Most of the consumer buy HULs products because of Brand Name and Quality of the product consumers buy Wipro because of Promotional Activities and price compare to HUL, some consumers buy P&G because of Quality and most of the consumers buy HULs products because of All these. Out of 99.5% of consumers among the total of 200 consumers are Aware of HUL and 0.5% are Not. Above graph indicates that 24% of the consumers have tried Clinic All Clear, 21% of consumers tried Wheel Active Powder 12% Life Boy 11% Surf Excel 9% Pepsodent and 9% Rin Advanced. It clearly seen from the above graph that 33.5% of consumers among the total of 200 consumers are Influenced by T.V,31.5%- retailers,27.5% of consumers are Influenced by Friends and Relatives, and 5.5% ,2%of retailers are by Print media and Sponsoring Events. Major proportions (77.5%) of the consumers are influenced by the HULs promotional activities.
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Out of total population of consumers, 46% consumers said providing extra grams are better promotional activity and 40% said discounts are the better promotional activity And 13.5% consumers opinion is providing free gifts are a better promotional activity..
Out of 200 consumers 35.5% of consumers are satisfied with the price of the HUL products. 10.5% consumers are satisfied with the Quality of product, 5.05% of consumers are satisfied with the Taste, 31% of consumers are satisfied with Quantity w. r. t Price and 19% of consumers are satisfied with the Offers provided by the HUL.
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SUGGESTIONS
Research has been made on the topic Distributer Push and Consumer Pull in HUL to identify the Push activities for retailers and Pull activities for consumers at Belgaum Rural. Whole study only depends upon Belgaum rural retailers and consumers. Based on the analysis and the interpretation of the data given in the previous chapter, suggestions are recorded as follows. Still few of the rural retailers choice of stocking depend on the factors like schemes, discounts, offers and margin and it attracts bulk orders to distributor. Distributor must satisfy retailers in respect to above Push activities. Distributor should maintain stock of all HUL products as it is existing for real long Discount, Offers, Gift Offers and company incentive should be passed on to the time in FMCG market and as it caters all range of customers. retailer by the distributors and distributor should periodically review the performance of their retailer. Most of the retailers are not happy with the distributors for not identifying them as aggressive retailers to carry out the slab target scheme. Hence the distributor should identify potential retailer outlets to carry out the slab wise targets. There is no credit facility provided to the retailers where as Competitors are providing good credit facility to retailers hence HUL distributor should provide at least one week credit facility so that distributer can be competitive and retailers can place Bulk orders.
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A STUDY OF DISTRIBUTOR PUSH AND CUSTOMER PULL IN HUL IN BELGAUM RURAL PULL Company should consider the other promotional activities like Discounts and offers which is best to attract consumers for example offers and discounts given by the Wipro which is fetching them high profit. As most of the consumers are influenced by the retailers therefore some amount can be invested into push activities apart from huge investment on advertisement.
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CONCLUSION
In todays competitive world survival is the fetest. This project brought up many facts regarding Push and Pull activities of HUL for retailers and consumers. By this survey I can conclude that HUL is really in need to perform better. In case of Push activities HUL distributor should try to provied some more additional offers to the existing ones like Special incentives, Gift Offers, Lucky Draws, Slab wise Targets and credit facilities to the retailers. In case of Pull activities HUL should try and give some extra grams, discounts and free gifts to the consumers.
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Bibliograp hy
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Marketing By Lamb, Hair, McDaniel Advertising Management by Rajeev Batra, John G. Myers ICFAI Journal Marketing Management by Philip kotler Marketing Research by Parshu Raman www.hll.com www.hllshakti.com www.hulindia.com
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Annexur e
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