1. PRESTIGE INSTITUTE OF MANAGEMENT AND RESEARCH
SUMMER INTERNSHIP REPORT
ON
“GENERAL TRAINING FROM HINDUSTAN UNILEVER
LIMITED WITH SPECIAL REFERENCE TO SALE OF VENDING MACHINE”
Submitted By
Sharon Morris
3. Introduction
• Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company
with a heritage of over 80 years in India and touches the lives of two out of three Indians.
.
• With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos, skin
care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and water
purifiers, the Company is a part of the everyday life of millions of consumers across India. Its
portfolio includes leading household brands such as Lux, Lifebuoy, Surf Excel, Rin, Wheel,
Fair & Lovely, Pond’s, Vaseline, Lakmé, Dove, Clinic Plus, Sunsilk, Pepsodent, Closeup,
Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality Wall’s and Pureit.
• The Company has over 18,000 employees and has an annual turnover of INR 31,425 crores
(financial year 2015 – 16). HUL is a subsidiary of Unilever, one of the world’s leading
suppliers of fast moving consumer goods with strong local roots in more than 100 countries
across the globe with annual sales of €53.3 billion in 2015. Unilever has 67.2% shareholding
in HUL.
4. Mission
• Unilever is committed to supporting sustainability and providing our consumers
around the world with the products they need to look good, feel good and get more
out of life with brands and services that are good for them.
Five key priorities provide the foundation for our brand’s campaigns
• A better future for children
• A healthier future.
• A more confident future
• .A better future for the planet
• A better future for farming and farmers
5. History
• In the summer of 1888, visitors to the Kolkata harbour noticed crates full of Sunlight soap
bars, embossed with the words "Made in England by Lever Brothers". With it, began an era of
marketing branded Fast Moving Consumer Goods (FMCG).
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• In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing
Company, followed by Lever Brothers India Limited (1933) and United Traders Limited
(1935). These three companies merged to form HUL in November 1956.
• The liberalisation of the Indian economy, started in 1991, clearly marked an inflexion in
HUL's and the Group's growth curve. Removal of the regulatory framework allowed the
company to explore every single product and opportunity segment, without any constraints on
production capacity.
• Simultaneously, deregulation permitted alliances, acquisitions and mergers. The 1990s also
witnessed a string of crucial mergers, acquisitions and alliances on the Foods and Beverages
front. In 1992, the erstwhile Brooke Bond acquired Kothari General Foods, with significant
interests in Instant Coffee. In 1993, it acquired the Kissan business from the UB Group and
the Dollops Icecream business from Cadbury India.
6. • HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited (UNL), and its factory
represents the largest manufacturing investment in the Himalayan kingdom. The UNL factory
manufactures HUL's products like Soaps, Detergents and Personal Products both for the
domestic market and exports to India.
• In January 2000, in a historic step, the government decided to award 74 per cent equity in
Modern Foods to HUL, thereby beginning the divestment of government equity in public
sector undertakings (PSU) to private sector partners. HUL's entry into Bread is a strategic
extension of the company's wheat business. In 2002, HUL acquired the government's
remaining stake in Modern Foods.
• In 2002, HUL made its foray into Ayurvedic health & beauty centre category with the Ayush
product range and Ayush Therapy Centres. Hindustan Unilever Network, Direct to home
business was launched in 2003 and this was followed by the launch of ‘Pureit’ water purifier
in 2004.
7. Products
Food brands
• Lipton
• Lipton has a range of vitality teas that truly encompass the goodness of tea.
• .
• Bru
• Bru makes moments with loved ones even more magical.
• Knorr
• Knorr helps families make meal times special, nutritious, tasty and healthy.
Home care brands
• Domex
• Rin
Personal care brands
• Clinic Plus
• Clinic Plus - makes hair inside strong, outside long!
• Dove
• Dove stands for real beauty. All around the world, Dove is making real women feel more beautiful!
• Lakme
• Lakme is an ally to the Indian Woman and inspires her to express her unique beauty and sensuality. Thus,
enabling her to realize the potency of her beauty
8. Project
• HUL has started the concept of beverage vending machine which can serve the consumer
with tea coffee etc just in minutes with very good taste and quality.
• Coffee and tea are important in any office. Working professionals feel the need for these
beverages intermittently during their hectic schedule. Increasing labour costs and the need for
instant availability have brought in vending machines. With this in mind, many companies
have installed beverage vending machines to provide their employees refreshments
• HUL itself does not manufacture the vending machine. It in association with Lipton and Bru
have introduced this concept.
• Max and Capri are the two companies which manufacture these vending machines and the
production is done in Delhi, Bangalore and Mumbai. These machines are being sold with the
help of distributors and dealers.
9. OBJECTIVES
• The main objective of this project lies in studying and understanding the
market for beverage vending machines
• To promote vending machine into the market and awareness among the customers.
10. Methodology
• . Our target customers were institutions, industries,
Hospitals and accounts with volume.
• We have to note various details of the account such as number of employees
walk-in, total number of cups and his existing method for tea and coffee..
• We offered machines on sold, rental and zero-rental basis depending upon the consumption
of the .customer.
• If the customer is already using the vending machine we have to note the
existing price of the pre-mixes and his retailer.
• For those customers who are willing to buy but still unsure we have to go for follow-ups.
11. Learning
• Presentations have to be according to customers.
• Implementation of AIDAS theory.
• People are still reluctant to accept milk powder.
• .Programming feature of the machine was a crucial factor to convince customers.
• The order fulfilment on time through the distribution channel is very necessary.
• Customers have used it as a source of revenue .
• HUL needs to maintain its customer base through effective CRM practices..
• In industrial area various other brands have penetrated because of the lower prices.
12. SWOT ANALYSIS
STRENGTH
Great help for the time-constraint individuals and organisations.
Programming feature of the machine according to the requirement.
Time flexibility eliminates dependence on others
Brand on which one can rely on
Cost-effective as compared to the existing methods
Separate mixing units resolve taste issues.
WEAKNESS
Discontinuing the Capri model
Lagging behind in bringing variants to the products.
Due to distribution channel process of order fulfilment is time consuming
Cost of pre-mixes and machine is higher compare to that of competitors.
.
13. OPPORTUNITY
Huge market untapped in the small cities
Attractive quotations for the new start-ups
Trained individuals would be more effective in closing the deals.
Market penetration strategy could be adopted for the accounts
With volume.
Nestle is about to close its pre-mixes business.
THREAT
Inability to retain customers may result in losing market to competitors.
Increased cost of acquiring new customers..
Brands singing national tune these days
14. SUGGESTIONS
The key suggestions on basis of my observation during my internship:-
• The company needs to emphasise on strengthening its existing distribution channel
• Quick addressal to the grievances of the customers and ensuring good services.
• Introducing more variety to the successful products
• The presentation of the product should vary accordingly to the client
• The company should emphasis more on the customer retention..
• Negotiation process should be mutually beneficial.
15. Conclusion
• The introduction of vending machine by the company was an important step for
today’s time-constraint organisations to cope up with their hectic schedule
eliminate time boundation
• The introduction of various models with separate mixing units further
contributed to their success
• However due to the high price of the pre-mixes ,the company is losing its
market to the competitors. By bringing more variants of the pre-mixes and
adopting effective strategies according to the customer’s consumption volume
the company can regain its market share and could further expand its customer
base.
