itc project report - summer project
DESCRIPTION
To study the HUL-Vijeta Program for wholesalers & recommend a wholesaler loyalty program for ITC.TRANSCRIPT
Interim Summer Project Review
HUL-Vijeta: The Wholesale loyalty program
Objective
To study the HUL-Vijeta Program for To study the HUL-Vijeta Program for wholesalers wholesalers & recommend a wholesaler
loyalty program for ITC.
Why Vijeta?
Wholesale channel contributing almost 45% of the overall HUL sale (Baroda)
The most successful loyalty program in FMCG running for the past 6 yrs.
Well executedAt a very mature stage
Completely integrated into the HUL ERP system
Similarity of product categories between ITC and HUL
STUDY Schedule
Gathering information about VijetaGain insight at various levels
HUL TSI/TSOs HUL distributors HUL salesmen HUL Vijeta Wholesalers
Study other similar programs for better understanding of loyalty programs
How: The Methodology
Personal Interviews for HULSales beat with HUL salesmanResearch Methodology
Exploratory Research Secondary Data Collection Questionnaire Design Data Collection & Analysis
Presentation
HUL Vijeta: Overview
A target based incentive program – for the wholesale channel
Purpose Drive growth through higher circulation Substitution of competition
Wholesaler earns points on every purchase and redeems them for rewards
Vijeta Presentation: Microsoft Office
PowerPoint 97-2003 Pres
Exploratory Research
The exploratory questionnaire revealed the following factors for study Level of understanding of the program Benefits – Actual V/s Perceived Evaluation of Rewards Impact of program Target related information Program specific activities
• Mela• Power SKUs Microsoft Office
PowerPoint 97-2003 Pres
Secondary Data
Standard evaluation criteria for loyalty programs
Medium & Large size wholesalers of ITC which would be Vijeta members
Vijeta targets for current MOC Baroda
List of Power SKUsOther company program details MOC = Monthly Operating Cycle Sources:
Internet, HUL Target Sheet Baroda, Vijeta Print Material
Questionnaire: Demographics
Average age of a Vijeta outlet owner is around 36 years 36 years (Young & Enterprising)
Membership
Sales/Target Average
Level Particular Amount
Platinum Average of Dets+PP 8,49,000
Average of Foods 2,00,000
Average of Lakme 2,11,667
Gold Average of Dets+PP 2,12,273
Average of Foods 87,500
Average of Lakme 63,750
Silver Average of Dets+PP 1,07,818
Average of Foods 40,000
Average of Lakme 65,000
Target Achievement
Brand Preference
Rewards
Letters / Pamphlets
Outlet Profile
Other Observations
94% 94% of the outlets redeem their points annually. They do
so in the annual redemption Mela organized by HUL.
62% 62% of the Vijeta members surveyed believe that they are
earning fixed additional margin over other non-vijeta
outlets.
82% 82% of the outlets prefer hanging sachet strips over
display window as a part of the Vijeta display requirement.
Most preferred reward is Money On Card with 72% 72%
respondents liking it. 2nd most preferred reward is Gold
with 22% 22% of respondents liking it.
SWOT
Thank You