_unilever’s
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BACKGROUND NOTEMARGARINE UNIE + LEVER BROTHERS =
UNILEVERUNILEVER
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In The Netherlands
Competitors in the Margarine Industry
Late 1890s- Van de Berghs Launched Vitelo.
In 1908- Pool their interests while competing.
1927- Margarine Union formed with Centra and Schicht
Later formed the Margarine Unie.
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Meanwhile In The United KingdomMeanwhile In The United Kingdom
In 1890, They Became a Pvt. Ltd. Company.
In 1894 they launched their first ever toilet soap.
By the time World War 1
broke out, they were selling
135,000 tons of soap
annually.
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Signed an agreement to keep out ofeach others business terrains.
Margarine Unie Lever Brothers
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1929- Lever Brothers & Margarine Unie Signed
An Agreement To Create UNILEVER.
Agreement Intended To Keep Both Companies
Out Of Each Others Business.
Later, Businesses Were Amalgamated.
Unilever Was Offically Established On January
01, 1930.
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Expanding into new markets & using new
technologies
1977- unilever established 200 offices & factories
across the world.
Employing over 177000 people.
1980- company decided to focus on its core
business.
Sold most of its non-core business.
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UNILEVERUNILEVER--ACQUISTISION (1917ACQUISTISION (1917-- 2007)2007)
YEAR COMPANYACQUIRED
1917 Pears soaps
1922 Walls
1925 British oil & cake mills
1943 Batchelors
1958 Vita nv
1961 Good humor ice cream
1970 Zwanenbergs
1971 Lipton international
1973 Frigo ice cream
1978 National starch
1984 Brooke bond
1986 Naarden
1986 Chesebrough-ponds
1989 Calvin klein & elizabetharden
1993 Breyers ice cream
1996 Helene curtis
1997 Kibon ice cream
2000 Bestfoods, slim fast foods,ben & jerry
2007 Buavita vitality drinks
TIGI hairsaloon
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RESTRUCTURING AT UNILEVER
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Path To Growth
Cut Down Number Of Brands In Its Portfolio
From 1600 To 900.
Business Sold Included- Elizabeth Arden
Fragrance Business, Unilever Cosmetics
International, The North American LaundryBusiness, Edible Oil Business, Bertolli Olive Oil
& Vinegar
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Unilever
Homecare
Specialtychemicals
Foods
Personalcare
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POSITIVE RESULTS
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Top 400 Brands Accounted 88% Of Its Sales
1999- Operating Margin Increased From 11.1%
To 14.9%.
2003- 635 Brands In Its Portfolio With Top 400
Brands Accounting To 90% Of Its Sales
2008- Revenue Of 40.523 Bn.
Operationg Profit- 7.167 Bn & Net Profit-
5.285 Bn
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PACKAGING AT UNILEVER
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Unilever Considered Packaging To Be The Visible
Face Of The Companys Brands. Packaging Design Was Carried Out At Its Research
Facility At Port Sunlight.
Balance Between Packaging Communication &
Aesthetics While Designing The Package.
1950- Growing Environmental Impact OfPackaging
Materials.
1970- Avoid Excess Packaging & Concerned About
Impact.
The Packaging Components Were Modified
Continuously
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USERSUSERSconsumers customers
End users of the product Retail stores that sold productsto the end users.
Warehousestyle stores
supermarkets Small stores
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Sustainable packaging
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1. Increase in the percentage of material from
renewable sources
2. Minimize packaging
3. Test versions of new packaging.
4. Tested using focus groups.
5. How people use the products
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PACKAGING AS A MARKETING TOOLPACKAGING AS A MARKETING TOOL
CIFCIF Cif was a cleaning product.
Sale below expectation.
Change in the packaging alongwith some modifications
It had calcite, which do notscratch the surface
The shape of the bottle was alsochanged
The new packaging was opaque.
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PACKAGING INNOVATIONSPACKAGING INNOVATIONS
SHAMPOO BOTTLESWhich Stood On Its Head
Lipton Cold Tea.
Wish-bone Spray SaladDressing
Latta Margarine Package.
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LAUNCHING NEW PRODUCT VARIANTSLAUNCHING NEW PRODUCT VARIANTS
DOVE CREAM OILBODY WASHDOVE CREAM OILBODY WASH
3 VARIANTS3 VARIANTS
1. DELICATE
2. CREAMY
3. ULTRA RICH.
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2. DOVE PRO2. DOVE PRO--AGEAGE
TARGATED WOMEN ABOVE
50 YEARS OF AGE
BEAUTYHAS NO AGE LIMIT
DESINED BY RAISON PURE
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INCREASE IN THE DEMAND OF THEINCREASE IN THE DEMAND OF THE
PRODUCTPRODUCT
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MARMITEMARMITE
Consumers Demanded Easy To Use
Packaging & Break Resistant.
Inverted Squeez Bottle Made Of
Polyethylene Terephthalate With A
Value Cap.
It Was Made Available In 200 & 400
Grams.
The Sale Of Marmite Increased By4.6%
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KNOORKNOOR AROMATAROMAT SPICEBLENDS &SPICEBLENDS &
SEASONINGSSEASONINGS Sales of knoor aromat spice
blend was declining
Several similar products were
launched by the competitors.
Change in packaging. (flipflop canister)
The sales increased by8.3%.
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LAUNCHING PREMIUM PRODUCTSLAUNCHING PREMIUM PRODUCTS
Bertolli brand was highlysuccessful in europeanolive oil market
Company decided to launchpremium olive oil underpuget heritage
Tinplate container to packpremium olive oil.
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Launch of premium whitening
toothpaste white now The product, marketed as instant
makeup of teeth
Designed by firm Seymour Powell.
In France & Spain white nowversion of signal was launched
In Italy Mentadent white now waslaunched.
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Skip perfect black & white powdered
laundry detergent
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Repositioning products
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VASELINEVASELINE
The benefit & medical heritage of
Vaseline was not communicated
to consumers.
Marketing team of vaseline to
reposition the brand.
Considerable increase in sale of
new vaseline products.
Market share increased by14.2%
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SAVING COST & PROMOTINGSAVING COST & PROMOTING
ENVIRONMENT CONVERSATIONENVIRONMENT CONVERSATION
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Reduced packaging in its operations helped in
cost savings
Eg. Replacing Glass jars with microwaveable
pouches.
Detergent made using biotech ingredients.
Reduction in color Palette from 100 colors to 6
colors named Rainbow color scheme.
Saved from US $13mn to US $26mn.
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LOOKINGLOOKINGAHEADAHEAD
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Continuous improvisation & innovation in
packaging were necessary to compete effectively.
It could not eleminate the use ofPVC in its
packaging
Sachets problems in emerging markets.
Use of paper in its packaging inspite of
alternatives.
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CREDITSCREDITS Eshaa Panchal
Nakul Walinjkar
Raunak Kumar
Jhuhi Bhatheja
Ronak Sanghvi