Hul Field Visit Report

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Jaipuria Institute of

Management, Vineet
Khand, Gomti Nagar
Lucknow – 226 010

Academic Year 2021-22


Batch 2021-23
Trimester 1st
Programme PGDM
(PGDM / PGDM-FS / PGDM-RM)
Name of Course Marketing Management II
Section B
Name of Faculty Prof. Shalini Nath Tripathi

Nature of Submission Report


(Assignment / Project Report)
Topic of Assignment / Project Field Visit Report

Deadline for Submission 27th December 2021


Group/ Learning Team Number LTB02
Maximum Marks Allotted

FIELD VISIT REPORT OF HUL OF LTB02


Name: Pallavi Agarwal
Spencers Store Manager
Gomti Nagar
We Learning Team LTB02 from Section – B, visited the Spencers at Gomti Nagar for our
field visit to get the perspective of Ms. Pallavi Agarwal who is a manager of the Store about
the products, changing patterns and review of customers and based on this interaction with
them we have drafted a questionnaire. Following are the findings from the field visit:
Question 1 What are the plans of Hindustan Unilever Limited for third wave of Covid?
Hindustan Unilever Limited has added 30 per cent more capacity in its supply chain, making
it more flexible and agile, while adding alternate sources in order to meet the challenges in
case of a third wave of COVID-19. They have made the supply chain much more agile and
have taken a number of initiatives to improve efficiency. They have also added much more
flexibility in their supply chain by adding 30 per cent more capacity, and aim to preserve
resilience through alternate sourcing. They also continue to invest in technological
capabilities, and have invested in creating a very safe environment for their workforce
through tiered protocols.
Question 2 What are the change patterns in the behaviour of consumers towards the
products of Hindustan Unilever Limited?
Hindustan Unilever Limited witnessed a challenging business environment with lower
growth and slowdown in consumption, which resulted in a weakening consumer sentiment
and lower demand for the categories in which HUL operates. HUL, which owns popular
brands like Lux, Lifebuoy, Surf Excel, Rin, Pond's, Vaseline, Lakme, Dove and Brooke
Bond, said that the pandemic has also impacted consumer behaviour and demand patterns.

Health and hygiene essentials have seen an upswing with household stocking and increased
awareness. Consumption trend in other essentials such as fabric solutions, coffee, oral care is
fairly neutral. They are enhancing the capacities of home and hygiene products, which are
extremely critical for the consumers in these times as it will result in increased consumption
patterns. Many of their categories and brands have moved quickly to re-plan their
innovations, adjust to consumers buying in different channels, and re-work brand
communication to make sure that it remains consumer relevant.

Question 3 What is your opinion about HUL as a company?


The company has kept pace with changing times and consumer preferences. It has innovated,
experimented and invested in new ideas and technologies. Despite that, it has stuck to its core
products in home care, personal care, foods & beverages. We are quite happy with the
margins and benefits on the sale of the products. The pricing of products of HUL is very
attractive and they understand the mindset of consumers very well. They keep on bringing
offers and festive bonanza time to time. They have almost all top leading public faces and
Bollywood celebrities on their board for advertising.
Question 4 What is the increase or decrease in the sale of products of Hindustan
Unilever Limited?
The COVID-19 has hit Hindustan Unilever’s portfolio of skincare, deodorants and colour
cosmetics and sale of brands such as Lakme, Rexona, Ponds, Axe and Glow & Lovely
declines as it brings pressure on household budgets and limited mobility because of the
pandemic and lockdowns. The company faced a major fall in its out-of-home categories such
as ice cream and the food solutions business that caters to institutional buyers like hotels and
office catering, which suffered because of lockdowns. However, its health, hygiene and
nutrition, witnessed a strong growth as consumers stepped up spending on essentials.
They said its beauty and personal care division grew during the year, led by robust growth in
skin cleansing, oral care and hair care. Home care grew in household care and there is a
marginal growth in fabric wash due to slowdown in laundry consumption.

HUL’s foods and refreshments segment expanded and helped by strong performance of tea
brands such as Taaza, Brooke Bond Red Label and Taj Mahal. Malt-based Boost and
Horlicks also performed well. They saw a good demand for skin cleansing and hygiene
portfolio, which includes brands such as Lux and Dove, as bar of soap became the essential
component of defence against the COVID-19 pandemic. They said that other initiatives such
as a slew of launches in health and hygiene category, pan-India launch of Boost and
introduction of low pack units (Rs 5 and Rs 10) of Horlicks also helped it survive over this
crisis period.

Question 5 If customers switch, then apart from HUL which brand do they prefer?

Mostly customers of HUL do not want to switch their brand as Hindustan Unilever Limited
has developed strong brand loyalty in the minds of its consumers with is good quality
products at affordable prices mainly lower than its substitutes. But if they switch, the most
preferred company is Proctor and Gamble (P&G) for detergents and home care and ITC
for food and beverages as these companies also deal with wide variety of products and have a
huge product mix. This enables consumers to have more options and greater chances of
switching. During pandemic supply of HUL products got irregular. Supply was not catering
the demand in market so many consumers switched to other brand available and their local
stores. So HUL saw decline in its sales pattern.
Question 6 What is customer perception of HUL and what should the company do to
retain loyal customers?
Over a period of time Hindustan Unilever Limited has continuously imparted his service to
the customers which really helped HUL to position itself in the minds of customers for its
superior quality of products and service. HUL is doing mass marketing so it launches its
product in every range and therefore it is affordable for everyone. HUL has a wide variety of
product line due to which it is used by every household and it will really help to generate trust
in the minds of public. HUL has also used a lot of advertisements to place itself better in the
minds of customers for which it uses the tagline “Feel good, look good, and get more out of
life” which will help to create a perception of HUL offering a superior product.
 As HUL continuously invests huge amount of money in R&D of their products, it will help
the company to deliver superior quality of products to the customer which helps them to
retain loyal customers. HUL continuously increases its product line and acquires new
companies to get more customers. For examples HUL recently acquired Horlicks and
increased the product line of lifebuoy soap.

Question 7 What role does the technology Advancement play in Promoting HUL
Products?
HUL uses technology to reach out to consumers and engaging through Digital media with the
urban youth who are increasingly making their buying decisions online. HUL has a wide
manufacturing base across India which have enhanced livelihoods in the nearby areas.
Company’s experience of developing the local ecosystems around its manufacturing units
suggests how well the ‘Make in India’ agenda can be promoted across the country to make a
difference.
HUL considers sustainability and protecting the planet in whatever it does. Company’s
science and technology programmes focus on technologies that have a positive sustainability
benefit and deliver superior experiences to its consumers which in turn promotes the brand.
Question 8 What are the main reasons behind the immense success of HUL?
The company spent a huge amount on its brands. HUL has been one of the most successful in
promoting its brands like Surf, Dove and Lakme as premium brands. Its investment in human
resources helps in bringing out the best talent which benefits the company in multiple ways.
HUL keeps making accusations time and again to respond to the market threats. It acquired
ayurvedic hair oil brand Indulekha, Aditya Milk to improve its ice cream portfolio. Although
not all its acquisitions have been successful, the strategy shows the company’s response to
take on competition.

HUL has kept pace with changing times and consumer preferences. It has innovated,
experimented and invested in new ideas and technologies. At the same time, it has stuck to its
core products like home care, personal care, foods & beverages.

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