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PROJECT SHAKTHIHUL
-PRIYANKA NAIR
-KANNAN R
-MATHEW SAM
-REEHA T
-DINS JOHNY
-SREESON

PROJECT SHAKTHI-HUL

HUL
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Indianconsumer goodscompany based

inMumbai, Maharashtra.
Established in 1933 as Lever Brothers
and in1956 became known as HLL.
Renamed in June as HUL.
Covers over 2 million retail outlets
across India directly and its products are
available in over 6.4 million outlets in
the country.
As per Nielsen market research data,
two out of three Indians use HUL

HUL(Contd.)
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Market leader in Indian consumer

products.
Its brands include food brands,
homecare brands, personal care brands
and water purifier brands.
The "most trusted brands" from HUL in
the top 100 list: Lux, Surf Excel, Clinic
Plus, Rin, Lifebuoy, Close up, Ponds.
Pepsodent, Fair & Lovely, Dove, Sunsilk,
Vim, Wheel, Vaseline, Pears and Lakme.

Emergence of Shakthi
Project

HUL had become the market leader in

the urban areas, but the company had to
increase the reach beyond the market
reach.
Carrying and forwarding agents (CFA)
More than 70% of Indias population
lived in villages and made a big market
for the FMCG product.
There was a huge potential for HUL to
grow in the rural areas.

Objectives of Shakthi
Project

To extend direct reach into untapped

markets.
To build brand through local influence.
Empower underprivileged women.

Project Shakthi
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Started in December 2000 in Nalgonda,

Andhra Pradesh with the aim of
increasing the companys rural
distribution reach as well as providing
rural women with income-generating
opportunities.
Covered almost 4,00,000 villages.
Train female entrepreneurs who live in
rural India, and sells products of
Hindustan Lever to the village markets
while supporting the independence of

Project Shakthis Initiatives

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Sales and Distribution Initiative: delivers

growth
Communication Initiative: build brand
Micro-enterprise Initiative: creates
livelihoods
Social Initiative: improve standard of
living in rural India.

Why Women?
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Target customers for most HLL products.

Rural women are more likely to
appreciate the additional income than
affluent ones in urban areas.
Focus on women would have greater
impact on the entire household.
Most men would be occupied with other
employment and would not devote as
much time to the activity.

SWOT Analysis
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PEST Analysis
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Shakthi Marketing Channel

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Strategy undertaken
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HUL approaches SHGs.

Selection of Shakthi Amma.
Shakthi Entrepreneur
Shakthi Day
Training for the Shakthi Entrepreneur
and Shakthi Amma.

Programmes undertaken
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Shakthi Vani
Shakthi Entrepreneur
iShakthi Community Portal

Shakthi Vani
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Shakthi Entrepreneur
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iShakthi
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Pricing Strategy
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Distribution Strategy
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Door to door selling

Selling from their home
Retailers

Promotional Strategy
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Promotion through demonstration of HUL

products.
With lack of TV or radio medium.

Value created by Shakthi

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Economic Value
Social Value
HULs Bottom Line

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Value created by
Shakthi(Contd.)

A typical Shakti distributor sells products

worth Rs 10,000-15,000 a month, which
provides an income of Rs 700-1,000
(around $25) a month on a sustainable
basis.
Earnings from Shakti help them double
their household income.
Indeed, with help from Shakti
distributors, Hindustan Lever has been
able to reach rural consumers in
thousands of remote Indian villages.

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Disadvantages of the
project

Higher costs of training

Packaging price of smaller units adds to
cost per unit
Dropping out also adds to the costs of
HUL
Loss of opportunity for the retail
marketers

Innovations in the model

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Partner with the SBI to bring financial

services closer to the rural low income
customers through the trusted Shakti
Ammas.
Shakti Maan (from 2010)-to boost
income and increase the retention rate
of the Shakti-Ammas
In 2014 the balance between female and
male entrepreneurs is 57% - 43%.

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https://www.youtube.com/watch?v=E7Hvp_CCtY

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"Shakti Project is not a corporate

social responsibleprogramme.
It is a business initiative with
social benefits."