MKt201 CA2Presentation
- 1. HUL VS ITC Marketing Stratergies
- 3. Marketing Mix Of ITC 1. Price Strategy of ITC • ITC being a multi-industry company has a variety of products in the market. Therefore, a different pricing strategy is followed for each product. • Keeping in consideration that India is home to many middle-class families ITC uses a reasonable pricing policy for consumer products so that by selling products at reasonable rates the company can generate maximum profit. ITC being a multi-industry company also owns hotels, for that, it has adopted a premium pricing policy. • For example, the company launched yippee with basic pricing which is affordable, hence it became an alternative to maggie. This shows how smartly the company has set reasonable prices to deliver it to a larger segment.
- 4. 2. Product Strategy of ITC • ITC has a dynamic portfolio with numerous products in the market which contributes most to its business. • Here’s a list of the brands with various products offered by ITC in different industries. • In the food industry: Products offered by ITC includes FMCG i.e (Fast Moving Consumer Goods) such as biscuits, cakes, noodles, candies, spices, juice, etc. • In personal care: ITC also offers personal and hygiene care products such as soaps, shower gels, perfumes, shampoos, and much more. • In the education industry: ITC is also a well-established brand when it comes to stationery products such as pens, pencils, notebooks, erasers, math instruments, art, pencil sharpeners, etc • Apart from the above-mentioned products and brands, ITC is a market-leading company in cigarettes and cigars, some of its major brands are India Kings, Classic, Gold Flake, Capstan, Berkely, Bristol, etc. it also manufactures safety matches and sells them to name them AIM, Homelite, etc. • They also have a lifestyle, infotech, and luxury hotels in India. • ITC is a well-established company with a diversified product and brand ranging from consumer goods to luxury hotels, above mentioned are the products and services offered by the company.
- 5. 3. Place Strategy of ITC • ITC has a strong and diverse distribution channel so that its product is accessible in every retail shop and remote area in India. Their product is available in more than 4 million retail stores in India. It has a strong distribution network and logistics facility. The company has around 60 dealers and several manufacturing units in India. Their network has expanded to almost 60 places across India. Its products are sold in various countries worldwide, such as Australia, North America, Africa, and the Middle east.
- 6. 4. Promotion Strategy of ITC • ITC Uses different platforms such as television, radio, and print to promote its product as a part of the marketing mix. As it has so many different sub-brands, different brand ambassadors are required by ITC to promote each brand. Kartik Aryan and Tara Sutaria are brand ambassadors of ITC’s “Engage”. To advertise its products, ITC has used a variety of promotional activities, such as ad campaigns shown on well-known television channels, and hoardings are also used to promote its brand. Keeping Indian farmers in consideration ITC has launched an e- choupal program which has solved various problems faced by the farmers, the company is planning to expand the program to 15 states across India, over the following years
- 8. 1. Product Strategy of Hindustan Unilever Limited • Food and beverages, home care, personal care, and water purifiers account for the majority of the company’s product portfolio. In the HUL marketing mix, the complete product range across categories is discussed as follows. • Food Products – In the ice cream sector, HUL has Kwality Wall’s, Cornetto, and Magnum. The company owns Lipton in the tea category, as well as Taaza, 3 Roses, Red Label, and Taj Mahal under the Brooke Bond brand. Bru is the brand of Hindustan Unilever Limited in the coffee sector. Salt and Atta are sold under the Annapurna brand. It also provides instant food and spices under the Knorr brand, which includes noodles, and also provides ketchup, squashes, jam under the Kissan brand. • Home Range Products – Home Care HUL offers a variety of detergents, including the well-known Surf Excel, Rin, Comfort, Wheel, and Sunlight. It also has Cif and Domex in the household cleaning market, as well as Vim and Cif in the dishwashing segment. • Personal Range Collections – In the shampoo category, Hindustan Unilever Limited has Clear, Tresemme, Clinic Plus, and Sunsilk, Dove, Lux, and Pears. On the other hand, the company provides a variety of home cosmetics. Vaseline belongs to the skincare category. Lifebuoy belongs to the hand soap and toilet soap category. Axe grooming products for guys as well as Brylcreem hair styling products also come under the category of HUL. • Water Purifier – Pure It is the sole brand that has several products concerning water purification systems. HUL merged with GSK Consumer Healthcare, which strengthened its position in the Indian market.
- 9. 2. Place & Distribution Strategy of Hindustan Unilever Limited • The organization has a broad distribution network which includes directly 2 million outlets and retail outlets of 7.7 million across the world. The company has a direct selling network which is regulated by the Hindustan Unilever Limited network. • According to HUL’s distribution, about 2500 redistribution stockists cover 6.3 million retail outlets in metropolitan India. Around 250 million people live in rural India, and 35 important Indian brands are consumed by them. • The corporation export’s vision is to prioritize quality, reliability, and remarkable consumer experience. The foreign brands mostly invest capital management and manpower as a counterpart to export home and personal care products, food and beverages, the marine product, and rice to the foreign alliance. • To serve in the rural areas as well, the distribution system is divided. The company is being able to reach a wide market is because of the reasonable price and quality. • The pricing policy is unpretentious, for some of its products the pricing is maintained according to its competitors. Let’s take a look at the pricing strategy of HUL in the coming section.
- 10. 3. Price Strategy of Hindustan Unilever Limited • HUL generates a huge amount of sales in different parts of countries with its reasonable pricing policy. Being a company with consumer-leading brands here are some of the pointers to clarify its pricing. • The firm has always been known for its products, which have a diversified economy to reach the rural market and are priced competitively. It applies a simple pricing strategy. Most of the daily used products in middle-class Indian households have a standard quality with low costing. • To maintain proper balance in the market with its competitors, HUL sets a competitive pricing policy. This leads to an increase in price with the increase in competitors’ price of similar goods while a decrease in price with the decrease in competitors’ price. • Having an enormous number of consumers dependent on your product with fluctuating demand is complicated. So HUL offers consumers intriguing marketing plans, let’s witness it below.
- 11. 4. Promotion Strategy of Hindustan Unilever Limited • Promotion is a crucial part of any company to create a magnificent impression on consumers. It will offer intelligence to support them in constructing a choice to purchase a product or service. • It encourages building a long-term bond with the brand. When it comes to HUL, its overall expenditure on advertisement is u to 18%. It mainly targets the audience via Television advertisements. • To target the rural area HUL has come up with sustainable projects to support and uplift green alternatives. Some promotion strategies are as follows: • Shakti campaign • Project Bharat • Lifebuoy Swasthya Chetana. • There are also various promotion tactics applied via newspaper, internet, personal and direct selling, and many more.