Sales and Distribution Channel of HUL
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Hindustan Unilever Ltd (HUL) is a leading consumer goods company in India, operating across various product categories including home and personal care, foods, and exports. It has a wide distribution network covering over 1 million retail outlets in India. However, the study found some issues like orders not being fulfilled properly, lack of seasonal products and new products at outlets, and infrequent retailer visits. It recommended more frequent company officer visits, timely delivery of products, proper order fulfillment, and availability of a variety of products to address these issues.
Sales and Distribution Channel of HUL
- 1. CH INSTITUTE OF MANAGEMENT & COMMUNICATION Sales and Distribution Channel Submitted By :- Pranay Rajas
- 2. Introduction • Formed in 1933 as Lever Brothers India Ltd. • Came in 1956 as Hindustan Lever Ltd. • In 2007 renamed as Hindustan Unilever Ltd. • The Anglo-Dutch company Unilever owns a 52% majority stake • Covers 1 million retail outlets across India • Products are available over 6.3 million outlets nearly 80% of all retail outlets in India
- 3. VISION OF THE COMPANY
- 4. Lux, Lifebuoy, Dove Personal Wash Pears, Rexona, Breeze, Surf Excel Laundry Wheel Sunlight Fair & Lovely Skin Care Ponds Vaseline Sunsilk Hair Care Clinic Hindustan Unilever Ltd Pepsodent Oral Care Closeup Axe Deodorants Rexona Color Cosmetics Lakme Ayurvedic Ayush
- 6. ONTRIBUTION TO DIFFERENT SECTORS 2.2% 7.3% HOME & PERSONAL CARE 16.2% FOODS 74.3% EXPORTS OTHERS(CHEMICALS, WATE R) MARKET CAPITALISATION AS PER BSE Dec 2010
- 7. Financial Highlights • Net Sales Rs. 19491 Crores • Net Profit Rs. 2306 Crores • EPS (Basic) Rs. 10.58 • EVA Rs. 1750 Crores
- 8. Distribution System Manufacturing Unit C & F Agent Redistributors Wholesalers Rural Retailers Urban Retailers Consumers
- 10. Channel Structure (Indore) Carrying and Forwarding Agent (M/s Awasthi Brothers) Redistributors (Urban) Redistributors (Rural & MT) M/s Riddhi-Siddhi Sales M/s Agarwal Sales Rural Wholesalers and Retailers Urban Wholesalers and Retailers (1135 Wholesalers and Retailers) Consumer Consumer
- 11. Findings • Orders are almost delivered on time. • Orders are not fulfilled properly. • Stock is not available in the depot to serve the retailers. • Seasonal products are not available at outlets. • New Products are not available at outlets. • Company officials doesn’t visit retailers regularly.
- 12. Findings (Cont…) • Display Windows are not available • Necessary and high sale volume products are not available • Distributor doesn’t visit market • Variety of products are unavailable • Differentiation in rates
- 13. Recommendations • Frequent visit of company officers • Retailer must be aware about schemes • Timely delivery of products • Proper order fulfillment • Availability of stock at depot • Availability of variety of products
- 15. THANKS FOR YOUR ATENTION