A small presentation on marketing approach of GSK and HUL merger in India

2. PESTEL ANALYSIS
Political
Tax impositions on sugar additives
Economic
Slipping Market Shares
Economies of Scale achieved due to
the merger
Ease in Cost of doing business
Social
Health Conscious Consumer Base
Income Group improvements
Technological
Investment in R&D for new alternatives
Prescription driven alternatives
Legal
Law implementation on
advertisements and Packaging
Litigation Issues
Environmental
Carbon Footprints
Government Agenda and Consumer
Awareness
Chemical usage

3. Product
Constantly Evolved Oldest HFD
Brand
 Bio –Available Ingredients
 Tastier Milk substitute
 Separate Product lines
focusing specific TG
Price
Competitive pricing
Differential Pricing System for
Different Segment products
Limited Package Introduction for
E-commerce at
Small Unit Packages
Promotion
Segment wise different
promotional approach
Campaigns to educate the
Younger TG and Womens on
building healthier lifestyle
aligning with the products
Place
Easily available
Offline : OTC and Local Retail
Shops
7000 Rural Distributors
Online : Bigbasket and Amazon.

4. Situational Analysis
 Market Share before merge 43%, growth rate 2.6%. which shows the market potential is there but under-
penetrated
 This merger resulted in 27% revenue growth from 18% for HUL.
Strong Brand Identity
Available Strong Distribution
Channels
Product Variety and Extensions
Available
Proven HFD with a long history
This Merger minimizes the cost of
entry with a loyal consumer base
Economies of Scale achieved

5. Change of focus in HFD market from milk supplements to nutrition supplements.
Changing Market : As this brand is
Mega Brand meets Mega Distribution Channel
Formidable Supply Chain networks penetrating
in rural and urban areas
The brand aligns with Sustaining Business Goals
of HUL

6. Scaling up Target Customers by
introducing sub-brands made
Horlicks a Market Leader over the
year
Introduction and Identification of
Green Products aligning with the
Customer Orientation and HUL's
Sustainable Business Goals will
disrupt the market
Image Differentiation with new
Value Proposition resonating with
healthy lifestyle.
REBRANDING
Brand Line Extensions with
innovative products with improved
nourishment and palatability for
the growing health conscious TG.
Responsive R&D to understand the
changing consumer preferences.