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A Presentation on

HINDUSTAN UNILEVER LIMITED

BY -:

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HINDUSTAN UNILEVER LTD. India's largest FMCG

A subsidiary of Unilever which

holds 52% of the equity 2 out of 3 Indians use its products

Over 42 factories across India

Around 45% of HULs sales turnover of

Rs. 17,524 crore comes from rural markets,

valued at around Rs. 8,000 crore

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HISTORY OF HUL 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.

In 1931, Unilever set up its first Indian subsidiary, HindustanVanaspati Manufacturing Company, followed by

Lever Brothers India Limited (1933) and

United Traders Limited (1935). These three companies

merged to form HUL in November 1956.

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PRODUCTS/BRANDS OF HUL

Food Brands

Red Label, Brooke Bond, Taj Mahal, Bru, Kissan, Knorr, Lipton ,

Kwality Walls

Personal Care Brands

Lux, Liril, Ponds, Pears, Dove, Rexona, Hamam, Close up, Clinic Plus,

Pepsodent, Vaseline, Sunsilk, Lakme, Fair and Lovely, Lifebouy

Home Care Brands

Surf Excel, Wheel, Rin, Domex, Cif

Water

Pure It

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VISION STATEMENT

The four pillars

1. Create a better future everyday

2. Help people feel good, look good & get more out of

life with brands & services that are good for them &for others

3. Inspire people to take small everyday actions that

can add up to a big difference for the world

4. Develop new ways of doing business that doublethe size of the company while reducing

environmental impact

http://www.cantronicsglobal.com/images/MissionVision.jpg

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MISSION STATEMENT

Add Vitality to Life

Meet everyday needs for nutrition, hygiene and personal care

with brands that help people feel good, look good and getmore out of life

Total commitment to exceptional standards of performance

and productivity

http://www.servesilicon.com/mission.jpg

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PURPOSE

Always working with integrity

Creating positive impact

Continuous commitment

Setting out our aspirations

Working with others

http://www.perpetualdevelopment.com/page-images/image/motivation300x300.jpg

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STRENGTHS More than 50 years of operation (Rs. 3500 Cr. Fixed Assets

and Rs. 2000 Cr. Cash)

Soaps and detergents segment contribute 47% revenue

Sales (Rs. 17,500 Cr.) are 5 to 6 times that of Dabur, P&G

and Godrej

Extensive product innovation through R&D for 51 years

Business optimisation & integration of suppliers anddistributers through IT

YOY increase in growth, EPS and dividend

Very high returns e.g. ROA, ROC and RON

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WEAKNESSES

Profitability margin parameters are low compared to ITC,

P&G, Dabur, Marico and Godrej

Expenditure is 85% of sales (16% Advertising Expense)

More emphasis on power brands or low focus

Gain from other segments

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OPPORTUNITIES

Huge Rural Market

Increased purchasing power of middle class

Growth of other segments e.g. food

New markets e.g. Ayurvedic products

Export advantage

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THREATS

Huge players both Domestic & International

Inflation is reducing buying power

Price rise Stiff competition with ITC

Counterfeit products in rural areas

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HUL VALUE CHAIN

Business optimisation through Technology.

Integrating suppliers and distributers through SAP

Best marketing talent from top B-schools TPM and product flexibility in Operations

Emotional buying of satisfied customer