AFFILIATED TO SAVITRIBAI PHULE UNIVERSITY OF PUNE

SEM1-Marketing Mini Project

Student’s Name: - Sumit Bera

Section: - PGDM 4
Roll-2022-0807-0001-0004
Batch: - 2022-24
Contents
Executive Summary............................................................................................................................................3
Description of the company..........................................................................................................................3
Mission Statement.........................................................................................................................................3
Product & services..............................................................................................................................................3
Financial Feasibility.........................................................................................................................................4
Objectives.......................................................................................................................................................4
Competitive Environment..............................................................................................................................4
SWOT Analysis....................................................................................................................................................4
Competitive Analysis......................................................................................................................................5
Strategy of Competitors.................................................................................................................................7
Methodology......................................................................................................................................................8
Primary research............................................................................................................................................8
Secondary research........................................................................................................................................8
Marketing Objectives........................................................................................................................................8
Marketing Strategy.............................................................................................................................................9
Target Market.................................................................................................................................................9
GEOGRAPHY WISE SALES TARGET....................................................................................................................11
POSITIONING....................................................................................................................................................13
MARKETING MIX..............................................................................................................................................15
PESTLE Analysis................................................................................................................................................18
BCG MARTRIX OF TOP 3 BRANDS UNDER HUL:................................................................................................22
Executive Summary
Our task was to research the industry and create a marketing strategy using in-depth
analysis. India, home to 1.36 billion people, is experiencing a growing population and
expanding consumer demand, both of which are assisting the industry's expansion at a
pace of 27.9% CAGR (compounded annual growth rate) for the years 2019–20.
Every household brand, HUL, has had a 10% CAGR in growth over the past ten years.

I have chosen a brand-new item from the food & beverage sector by the name of
Horlicks for my little project. HUL's food and beverage segment is expanding at a 7%
annual pace.
The suggested price for the Horlicks Guard is Rs 290 for a 500gm package and Rs 550
for a 1kg packet. The fundamental concept of the new product and new marketing
strategy is to offer the greatest health drink powder with a high concentration of
"Immunity Boosting" material, protect families from preventable illnesses, and make
them stronger and healthier through the powerful HUL distribution channels.

Description of the company

Hindustan Unilever Limited is an Indian consumer goods company based in Mumbai,
Maharashtra. It is a subsidiary of unilever, a British-Dutch company.
Hindustan Unilever was established in 1933 as Lever Brothers India Limited and came
into being in 1956 as Hindustan Lever Limited through a merger of Lever Brothers,
Hindustan Manufacturing company and united Traders Limited. It is one of the largest
consumer goods companies in India.

Mission Statement
“To grow their company sustainably through continuous innovation and to deliver
superior value to their consumers, shareholders and employees.”

Product & services

Hindustan Unilever is an Indian consumer goods company that sells a wide range of
personal care, hygiene, and food products. Some of its best known brands include
Lifebuoy, Lux, Surf excel, Rin, Dove and Kwality Walls. The company also has a
strong presence in the rural markets of India with its brands like Vim, Haman, and
Margo.
Financial Feasibility
With operations in more than 20 countries, Hindustan Unilever Ltd. (HUL) is a
significant consumer products corporation. The business, which was founded in the
early 20th century, is presently a subsidiary of the Anglo-Dutch corporation Unilever.
In 2020, HUL will be a publicly listed business with a market value of more than $50
billion. With a debt-to-equity ratio of 0.4 and a net cash position of over $4 billion, the
firm is in a great financial position. With approximately 3500 goods in areas ranging
from personal care to food & drinks, HUL offers
diverse product line. With a distribution network that reaches over 2 million shops in
India, the firm is very well-connected. Strong brand equity exists for HUL.
Over 60% of the company's revenues come from rural regions, demonstrating the
company's diverse consumer base. With a market share of more than 50% in
categories including detergents, soaps, and personal care products, HUL is also in a
strong competitive position.

Objectives
The objectives of Hindustan Unilever Ltd.(HUL) are to provide consumer goods and
services of the highest quality and to improve the quality of life of its consumers. The
company also aims to create value for its shareholders and to be a responsible
corporate citizen.
Competitive Environment
The market of Horlicks is highly competitive as it has been competing with
a lot of other brands like Amul, Bournvita, Boost, and many more. Horlicks
has been able to maintain its position in the market due to its strong brand
image & loyal customer base.

SWOT Analysis
The business for consumable health drinks is very competitive as a result of the neck-
and-neck competition between several competitors with their own brands. Brands like
Cadbury-Bournvita, Complan, and Pediasure are fighting Horlicks extremely hard.
Horlicks, a market leader, has had negative growth in recent years as a result of its
expensive products and weak marketing when compared to rivals. Horlicks has a
significant global presence, is still the family favourite, has a big base of devoted
customers, and its brand positioning approach contributes to solid revenue growth.
 The market leader is having a tough time as a result of the emergence of several local
and regional brands with a variety of flavours and ingredients, as well as varied market
segmentation and target consumer groups. However, the business for consumable
health drinks is expected to continue growing, providing the brand with many
opportunities in the years to come. The recent combination of GSK and HUL will
result in significant growth and wide distribution in both urban and rural regions. With
its strong worldwide presence and positive reputation in India, HUL, the leading
FMCG firm in that country, has a significant role to play with the Horlicks brand.

As the market will be revolutionised by the new product "Horlicks Guard," it will
eventually boost Horlicks' market share and spur positive growth by focusing on
unexplored markets and utilising new varieties and ingredients. Recent changes in
people's behaviour have been carefully researched, and a new marketing strategy with
a powerful distributor will pave the way for success in the years to come.

STRENGTH WEAKNESS
1.Market leader 1.Negetive Marketing
2. Family Drink 2.Low on Content
3. strong marketing 3.High cost compared
Strategy to competitors
4.Global Presence
5. Strong Distribution

1. MNC brands
THREATS
1.OPPORTUNITY
Untapped Market 2. Small & regional
2. Untapped areas competitors
3.New variety of 3. Behavioural shift
flavours of consumer
4. Aggressive

Competitive
Analysis
 Market Share
12%

9%

50%
12%

17%

Horlicks Bournvita Complan Pediasure Others

With a 50% market share, Horlicks leads the malted drink powder industry, followed
by Bournvita from Mondelez International with 17%, rival Zydus Wellness with 12%,
and Pediasure from Abbott with 9% market share. Many local and regional firms, who
account for 12% of the industry, constitute the market's dominant force.
The compound annual growth rate (CAGR) between 2017 and 2022 is 3.7%; the
remaining CAGRs are yearly rates.

Due to the consumer's behavioral change from malted drink to supplement nutrition
drink, the sector's growth is declining every year. However, despite the industry's
overall downward trend, household consumers saw 7% increase in the sector in CV19
as they were increasingly concerned with the health of their children, elderly loved
ones, working professionals, and female family members. The market for malted
drinks in India is predicted to expand with a CAGR of 17.4% in the upcoming year,
according to "India Malted Health Drink Overview".

4000

3500

3000

2500

2000 3542.5

1500

1000
1218.62
850 822.06
500 651.82

0
Horlicks Bournvita Complan pediasure Others

Due to the recent merger with GSK, Horlicks has a brand value of Rs 3542.5 crore
under HUL. Additionally, Bournvita has a brand value of around Rs. 1218.62 crore
and a 17% market share.

Strategy of Competitors
TARGET POSITIONIN
BRAND PRODUCT MIX CUSTOMERS G
STAND
COMPLAN 1.CHOCOLATE • TODDLERS TALL
STRONGER
BONES
2. PLAIN • CHILDREN
AND
  MUSCLES
  3.KESAR BADAM    
  4. KULFI FLAVOUR    
  5. STRAWBERRY    
  6.BADAM CHOCOLATE    
  7.NUTRIGRO BADAM KHEER    
  8.NUTRIGRO CHOCOLATE    
 TANN KI
BOURNVIT SHAKTHI
1. BOURNVITA PRO HEALTH • TODDLERS
A MANN KI
SHAKTHI
  2. BOURNVITA 5 STAR • CHILDREAN  
  3.BOURNVITA LITTLE CHAMPS • WOMEN  
  4.BOURNVITA WOMEN    
NUTRITIO
N TO HELP
PEDIASURE 1.PEDIASURE GROW & GRAIN   TODDLERS
KIDS
GROW
  2.PEDIASURE STRAWBERRY • CHILDREAN  
  3.PEDIASURE COMPLETE    
  4.PEDIASURE KESAR BADAM    
  5.PEDIASURE VANILLA DELIGHT    
6.PEDIASURE COOKIES &
  CREAME    

Methodology
The research method used in the marketing plan is descriptive research.
Primary research: for the marketing plan of Horlicks new products “Horlicks guard” I
did a questionnaire survey of 30 respondents from different geographical locations,
different gender, different age group, and from different domain. And the data
collected by the respondents are used in the project for better understanding and
analysis.
Secondary research: For the marketing plan of Horlicks new product “Horlicks guard”
there was a study of annual reports of HUL and GSK, journals, blogs, news, and other
secondary data publish in different website as well as company website.

Marketing Objectives
Some of the marketing objectives of Horlicks are as follows:
1. To increase brand awareness for Horlicks amongst the target audience.
2. To increase sales of Horlicks by 10% in the next financial year.
3. To increase market, share for Horlicks in the health food drinks market by 5%
in the next financial year.
 4. To create more positive image for Horlicks amongst health –conscious
consumers.
5. To increase the number of households that purchase Horlicks on a regular basis
by 5% in the next financial year.

Marketing Strategy
Target Market
COMPAN TARGET POSITIONIN
Y PRODUCT MIX CUSTOMER G

Taller,
Stronger,
Sharper
1.Junior Relieve the
HUL          Toddlers
Horlicks spirit, stay
strong, The
benfit of 23
vital
nutrients
2.Women
         Children
  Horlicks  
3.Mother
         Women
  Horlicks  
4.Horlicks
• Men
  protein plus  
  5.Classic Malt    
  6. Chocolate    
  7. Horlicks Kesar    
  8. Elaichi Flavour    
  9.Keasr Badam    
  10. Lite    
  11.Plain    
  12. Growth Plus    

Horlicks is a well-known brand with a wide range of products, and it has done a
good job of identifying and categorizing its target audience in India. However,
every market category will be targeted by the new "Horlicks Guard." As an
immunity booster, the product Horlicks will be introduced under the name
"Horlicks Guard" and will eventually target both urban and rural India.
However, the brand will focus more on urban than rural regions because urban
residents have less immunity than rural residents. Horlicks, a product of the
GSK firm, has done a great job of attracting customers and retaining their brand
 loyalty. But now that Horlicks has been repositioned under HUL, parts of its
target market will undoubtedly alter.

CITY
50
45
40
35
30
25
20 43.18
34.09
15
10 20.45
5
0 0.00
BUY ANY OTHER BUY ONLINE MOVE TO ANTHER
HEALTH DRINK STORE IN SEARCH
OF IT

As per the primary research most of the respondent from Tier 3 and Tier 4

LIKE HORLICKS
Maybe Yes No
11

11
5

3
2

Ti r e 1 Ti r e 2 Ti r e 3 Ti r e 4

According to the original poll, we discovered respondents' preferences for Horlicks

and the Tier to which they belong. From the figure, we can infer that semi-urban and
rural Indians prefer Horlicks over those who live in major cities.
 Therefore, my marketing for the new product "Horlicks Guard" would target
Tier 2, Tier 3, and Tier 4 populations (semi –urban, semi-rural, Rural)

GEOGRAPHY WISE SALES TARGET

The firm presently has 21,000 people operating across 31 company-owned plants and
15 offices in India following the merger of GSK with HUL on April 1, 2020.
Additionally, HUL is managing its supply chain with more than 1150 vendors. In
India, the corporation has more than 8 million outlets and over 4500 distributors. To
its name belong 44 brands in 14 different categories.

Rural India's growth rate is trending downward. According to the graph, the
population saw falling percentage growth after 2013, when the growth rate was 0.64%.

By looking at the chart, we can see that rural India is undergoing a metamorphosis and
is migrating toward urban India.
Urban India's growth rate follows a consistent pattern. The population saw decreased
percentage growth after 2013, as seen in the graph, however the change in percentage
growth rate is quite small. In 2013, the percentage growth rate was 2.34%. Up until
2019, the rate of percentage increase from 2017 remained unchanged.
The graphic shows that there has been a revolution in urban India, with people
increasingly relocating to semi-urban areas due to favourable living conditions.

Therefore, my sales objective for the new product "Horlicks Guard" is 70% from
semi-urban, medium urban, and rural markets, with the remaining 30% coming from
metropolitan, high urban populations.
It has been noted that the rural market was driving demand in the market and
producing more income during the epidemic.
• South 35%
• North 25%
• West 20%
• East 20%
Zone-by-zone sales goals for the item "Horlicks Guard"
POSITIONING
The company has positioned itself as a provider of wholesome, nutritional food for
people of all ages and stages of life. India enjoys it so much that 40 million cups are
consumed there annually.

The brand employs a diversified targeting approach because it is available in a variety

of product categories, including healthy biscuits, noodles, nutritional drinks, and
energy drinks.

The company has defined its positioning as "taller, stronger, sharper." Every Indian
has the logo in their mouth. Additionally, it has established a reputation for being a
"pleasurable nutrition" by introducing flavours like Vanilla, Honey, and Chocolate.

IF HORLICKS IS NOT AVAILABLE IN YOUR

STORE

43.18

34.09

20.45

2.27
Percentage

BUY ANY OTHER HEALTH DRINK BUY ONLINE

MOVE TO ANTHER STORE IN SEARCH OF IT WILL POSTPONE YOUR PURCHASE

According to primary research, buyers continue to purchase Horlicks even if they can't
find it in their neighbourhood stores. Instead, they switch to alternative methods of
product purchase. The customers' preferred option is "moving to another store."
 RECOMMENDED HORLICKS TO OTHERS

9%
32% XXC
Yes
No

59%

According to the main study, 59% of customers have a high level of loyalty to the
Horlicks brand and are willing to suggest it to other customers. Regarding the
"Horlicks Guard," we would require devoted and knowledgeable customers to support
our brand.

WHO CONSUMES HORLICKS AT YOUR

30 HOME
25
25
20
15
11.36
10 9.09
6.82 6.82
4.55 4.55 4.55 4.55 4.55 4.55
5 2.27 2.27 2.27 2.27 2.27 2.27
0
According to the primary study, Horlicks are consumed by all demographic groups to
varying degrees. The information was acquired from the perspective of the
respondents and their domestic situation. It has also been noted that everyone enjoys
Horlicks and trusts the brand to help them live better lives, including mom, dad,
siblings, and young children.
Similar to "Horlicks Guard," which will be the first Horlicks product to target every
demographic group with its "Immunity boosting" component. It has been noted that
individuals are becoming ill and losing family members as a result of weakened
immunity during COVID-19. Therefore, we are developing a product that will
revolutionise the malted health drink industry.

MARKETING MIX
PRODUCT: Horlicks is a nutritious malted food beverage made from malted wheat,
malted barley, and dairy products.
Horlicks is now offered in normal, chocolate, vanilla, ladies, mother, protein plus
plain, and junior varieties to provide customers more flavour options.
The following vital elements are included in Horlicks beverages: protein,
carbohydrate, fat, vitamins, iron, and calcium.

SATISFACTION OF CONSUMING
HORLICKS
46.63

30.67

18.40

1.84 2.45
1

VERY LOW LOW MEDIUM HIGH VERY HIGH

According to the main study, 77% of respondents are happy with the Horlicks brand.
It amply demonstrates the reasons why people like Horlicks. Horlicks' quality and the
results that follow consumption are incredibly pleasing to the customer.

PRICE: Price is the most important component of the four pillars of marketing. Price
has historically determined the success of many marketers in India. Given that it
provides nutritional benefits to every market segment, including children and adults,
Horlicks is regarded as a premium product. The value-added pricing model is used. It
offers value for the money spent because the product offers several health benefits.

PACKET CHOICE

1kg
29%
250gm
48% 500gm

23%

According to the main study, buyers seem satisfied with the price and size of the
packets. However, buyers like 500gm packets over 1kg and 200gm more frequently.
All of Horlicks' goods are quite reasonably priced. The average cost for all types of
Horlicks in a 200gm packet is Rs. 120; for all varieties in a 500gm packet, it is Rs.
230; and for all variations in a 1kg package, it is Rs. 420.

PLACE: - It is a brand that is sold at grocery stores, department stores, supermarkets,

Kirana's stores, etc. Before the merger agreement, GSK made sure that Horlicks would
be sold everywhere in the nation. The firm has a strong market in eastern and southern
India and is working to increase its position in those regions as well. As a result of
HUL's marketing expertise, Horlicks will be regaining its market share in the malted
food and beverage area.
Horlicks runs a number of CSR initiatives through the "swasthya Abhiyan" and
village-level businesses to reach rural parts of the nation.
PROMOTION: - Money is spent on television, print, internet commercials, and other
forms of marketing and advertising for Horlicks. It demonstrates Horlicks' aggressive
marketing mix advertising technique. As the value proposition they give for their
product is their hero, they don't feel the need to have well-known celebrities as their
brand advocates.
The majority of Horlicks' marketing efforts are directed on moms because they are the
ones who purchase the product for their children and families. To win the trust of the
public, they employ scientists and other medical specialists in their advertising.
To draw customers and spread knowledge and buzz about their goods in metropolitan
areas, Horlicks built a play area for kids. They also invested much in research and
development to stay current with what consumer needs.

PERCENTAGE

16%
27% ONLINE
TELEVISION
WORD OF MOUTH

57%

In the primary research, it is observed that 57% people in India believes that
advertisement should be done through television because of their visual display of the
product and also it attracts household women’s more.
 PESTLE Analysis

Expert
INFLUENC
Average weight
  POLITICAL E OF
FACTORS
reviewier(Probabilty of
changing factor on a Rating corrected
scale from 1-5)
score

    1-----3 1 2 3 4  
 
Restrictions of Import of Imported
1 3 2 3 2 2 2.25 0.45
Goods-Labour intensive
2 Increased no of Inspections 3 2 3 3 2 2.5 0.5
3 Stability of Govt 3 2 2 2 3 2.25 0.45
4 Changes in Legislation 2 2 2 2 2 2 0.266667
Tendencies to regulation in the
5 2 2 2 2 2 2 0.266667
industry.
Regulation of competition at the
6 2 3 2 2 3 2.5 0.333333
state level.
7 The level of corruption           0 0
8 freedom of speech.           0 0

9           0 0
Elections at any level of the state
10 msp price and APMC BILL           0 0
11 Subsidy           0 0
12 Reservation of jobs           0 0
13             0 0
14             0 0
    15         0  
 Expert Averag
INFLUENC
  E OF
reviewier(Probabilty of
e weight
ECONOMIC FACTORS
changing factor on a
scale from 1-5) Rating correcte
d score

    1-----3 1 2 3 4  
 
0.32142
1 2 2 3 2 2 2.25
Per capita consumption 9
0.42857
2 2 2 3 4 3 3
Growth rate of the economy 1
0.42857
3 2 2 3 4 3 3
The level of inflation 1
0.39285
4 2 3 2 3 3 2.75
Stability of the currency 7
5           0 0
Refinancing rate
0.46428
6 2 3 3 4 3 3.25
The unemployment rate 6
7 the average wage           0 0
Purchasing power of the 0.42857
8 2 3 3 3 3 3
population 1
9
The cost of energy, raw materials,           0 0
and communication resources
1
Cost of Borrowing           0 0
0
1 The degree of openness of the 0.39285
2 2 3 3 3 2.75
1 economy 7
1
Taxation level           0 0
2
1
Infra level           0 0
3
1
Competitive level sectors           0 0
4
2
  14
0            
 Expert
INFLUENC
Average
  SOCIOLOGICAL E OF
FACTORS
reviewier(Probabilty of
changing factor on a Rating
weight
corrected
scale from 1-5)
score

    1-----3 1 2 3 4  
 
1 The standard of living, education 2 3 3 2 3 2.75
0.323529
2 Attitude to imported goods, work, 3 4 5 4 4 4.25
leisure. 0.75
Relation to religion and other
3 3 4 4 4 4 4
beliefs 0.705882
4 The influence of the media 2 3 4 3 3 3.25 0.382353
5 The level of migration and           0
demographic growth 0
Pandemic impact on
6 3 5 5 4 5 4.75
consumption 0.838235
7 Healthcare facilities 2 3 4 3 3 3.25 0.382353
8 Ease of Doing Business 2 2 3 2 2 2.25 0.264706
  Total 17            
                 

INFLUENC Expert reviewier(Probabilty Averag

  E OF of changing factor on a e weight
TECHNOLOGICAL FACTORS scale from 1-5) Rating correcte
d score

    1-----3 1 2 3 4    

The level of innovation in the

1 3 3 4 4 4 3.75 1.875
industry
2 2 3 3 2 3 2.75 0.75
Technology development cycle
3 The degree of technology use 1 2 1 2 2 1.75 0.75
4             0  

5             0  

6             0  
7             0  
8             0  
    6         0  
                 

INFLUENC Expert reviewier(Probabilty of Averag

weight
LEGAL E OF
FACTORS
changing factor on a scale from
1-5)
e
correcte
Rating
  d score

  1-----3 1 2 3 4  
   
Labour laws -Degree of
2 3 3 3 4 3.25
1 enforcement 1.25
2 Trade union strength 3 4 3 4 4 3.75 0.75
3 Fairness of equity of justice 3 4 4 3 4 3.75 0.75
Speed of legal disputes
          0
4 adressed in court of Law  
Ease of Doing Business-Good
2 3 3 3 3 3
5 /Bad 1
6 Special Act           0  
7 Forex act           0  
    10            
                 

INFLUENC Expert reviewier(Probabilty Averag weight

ENVIRONMENTAL E OF
FACTORS
of changing factor on a scale
from 1-5)
e correcte
  Rating d score

1-----3 1 2 3 4  
1    
3
2 Pollution level 3 3 4 2 3 0
 3 Frequency of Natural Calamities 2 3 3 2 3 2.75 0.75
4 Pandemic occurance 1 1 1 1 1 1 0
3.25
5 Land use Pattern 2 4 3 3 3 1.25
Monsoon Pattern Highly
2.75
6 irregular 2 3 3 2 3 0.75
7             0
8             0
    10          
               

BCG MARTRIX OF TOP 3 BRANDS UNDER HUL:

The BCG matrix shows us that why it was so important deal for HUL of taking over
brand Horlicks from GSK. The food and refreshment segment of the company
benefited from Horlicks acquisition as revenue jumped 52 % to RS 2958 crore at a
margin of 20 per cent. Horlicks is a star brand in the portfolio of HUL and now it has
to achieve more heights under the company. As the company was weak in the
healthcare segment before the acquisition of Horlicks, but now has made their
portfolio very strong in the health care segment, with other brands like Boost,
Maltova, and Vista.