2. HUL’s History
• HUL is a subsidiary of Unilever ltd, England
• Found in 1885 by lever bro. at the time company is
known as William Hesketh lever
• The co entered Indian market in 1888 with a laundry
soap sunlight
• In 1956 William Hesketh lever formed a fully owned
subsidiary Hindustan Unilever ltd with 10% of its
equity of the Indian peoplel
3. Product Year of launch
Rin 1969
Bru 1969
Clinic shampoo 1971
liril 1974
Close-up 1975
Fair & lovely 1978
lifebuoy 1988
Few of prominent product launched
4. HUL’s Move Towards Rural Market
• HUL enter 1960 onwards
• India lives in two parts village and urban
• 70% of Indian population lives in rural areas
• It presented huge opportunity for companies
likes HUL
• HUl derives around 60% of its sales from rural
areas
5. Why HUL Enter in Rural Market
• Competition in urban Market
• Changing Consumption Pattern in Rural Area
• Improved Lifestyle
• Huge Population Base
• Rapidly Growing Market
7. Rural Product Strategy
• The rural markets generally prefer simple and easy to
use products.
• The packaging has to be convenient and cost-
effective.
• packaging that only adds to the cost and does not
provide any additional convenience.
• The products should be able to cater to the distinct
needs of rural customers and provide value for
money.
8. • For Eg :
HUL developed a combined soap and shampoo that
was cost-effective and also less harsh on hair than
ordinary soaps.
HUL launched the new soap-cum shampoo ‘Breeze 2-
in-1’
9. Rural Pricing Strategy
• The rural customer is price sensitive and expects value for
money.
• Therefore, the pricing has to be in line with this
expectation.
• Marketers have to therefore devise strategies that can
make their products affordable for rural customers.
• HUL have opted to offer their products in smaller units so
as to make them more viable for the rural markets.
• More importantly, the concept of value engineering should
be applied to rural markets to make the products
affordable.
10. • This technique involves replacing costly raw
materials with cheaper ones, without sacrificing
quality and functionality
• For Eg.
• Lux toilet soap is made available in 25 gram packs in
rural areas
11. Rural Promotion Strategy
• The promotional activities should be undertaken through
media that are comfortable and appropriate for the rural
areas.
• Positive word-of-mouth through local reference groups
and opinion leaders is considered as the key to success in
the rural markets.
• Traditional art forms such as puppet shows and street
plays or creating awareness through village panchayat
members can prove to be fruitful.
• Other methods like distribution of pamphlets, publicity
vans and advertising on walls can also assist in
establishing a relationship with the rural masses.
13. Continue..
• "FMCG companies innovated on package sizes to
introduce low price points. They have customized
promotional strategies for rural markets using local
language and talent.
• HUL players continue to expand rural penetration
(HUL's Project Shakti, Tata Tea's Gaon Chalo).
14. HUL’s Market Strategy
• HUL has been at the forefront of experimenting with
innovative methods to reach the rural consumer.
• HUL started its first effort towards going rural 1960’s.
15. Reaching Out to the Rural Market
• In 1998 HUL conceptualized “PROJECT STREAMLINE”
to enhance control over the rural distribution and
increase the rural retail penetration 50000 to 100000
retails
• Also in 1998 “PROJECT BHART” was launched
• In 2001 “PROJECT SHAKTI” was launched
Continue..
16.
17. • Project Shakti, Partnership with self help groups of
rural women & covers 5000 villages in 52 district in
different state
EVERY DAY I WILL SELL,EVERY DAY I WILL EARN
18. SHAKTI Project
• Project shakti was born in dec 2000-2001 in
Nalgonda district in southern Indian state Andhra
Pradesh
• A Project a combination of micro credit, training in
enterprise mgt & self-help
• Focus of SHG-women
• Shakti start 18 women
• Now 45000 women 15 states
100000+ villages
• Sold Door to Door
• 10% margin on the product she sells
19. Objective Shakti Project
• objective the Shakti entrepreneur program creates
livelihood opportunity for underprivileged rural
women. The shakti vani program works to improve
the quality of life in rural India, by spreading
awareness of best practice in health and hygiene.
• They are studying the consumption habit of the rural
people
• And to improve the business skills of the SHG
Women, Extensive training progrrames are being
held.
20. Why SHAKTI
• By the late 1990’s, Company was the market leader
What need to develop SHAKTI PROJECT?
• After achieving Success in urban market. it was
looking for the next big opportunity.
• The aim was to get to really small villages not
reached by their distribution network.
21. • Build a distribution system through a network of women
micro-entrepreneurs to get the product directly to
consumers.
• Help rural entrepreneurs to start businesses and improve
living conditions in their regions.
• The business objective was to extend our direct reach into
untapped markets and to build brands through local
influencers.
• The social objective was to provide sustainable livelihood
opportunities for underprivileged rural women.
• The model proved to be an excellent way of tapping the
fortune at the ‘bottom of the pyramid’.
22. Problem
• Women was more inclined to stay at home and sell
rather than going to Door to Door
• There is a stigma attach to direct selling
• Then an artificial market place was created with
music
“LADIES ARE ABLE TO SELL THEIR PRODUCTS
WITHOUT ANY STIGMA OR BIAS”
23. Success Shakti
• Shkti shall reach every home in every village
• Create sustainable livelihood oppourtunities
• Enhance the quality of life in rural india
• Now shkti has extended 100000+ villages in 15
states with 45000 women entrepreneur &
generating re.700-1000 per month to each women
• Reaching 10 lakh homes by shakti AMMA.
25. Conclusion shakti
• Project shakti is enabling families to live with dignity
and in better health & hygiene, education of the
children and an overall betterment in living
standards. It creates a win-win partnership between
HUL and the rural consumers for mutual benefit and
growth
26. KHUSIYON KI DOLI
• HUL launched a new project in 2010 is
KHUSHIYON KI DOLI
• Four set of dolis or palkis are moved all around
the village.
• Motto create awareness with the use of new
product.
