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Green Marketing in FMCG: HUL Case Study

The project report titled 'Green Marketing in the FMCG Sector: A Case Study of Hindustan Unilever Limited' explores the implementation of green marketing strategies by Hindustan Unilever Limited (HUL) within the Indian FMCG landscape. It examines HUL's sustainability initiatives, consumer perceptions, and the effectiveness of these practices in promoting environmental responsibility while maintaining business growth. The study aims to provide insights into the relationship between sustainability and consumer behavior, highlighting HUL's role as a leader in the green marketing movement in India.

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0% found this document useful (0 votes)
215 views49 pages

Green Marketing in FMCG: HUL Case Study

The project report titled 'Green Marketing in the FMCG Sector: A Case Study of Hindustan Unilever Limited' explores the implementation of green marketing strategies by Hindustan Unilever Limited (HUL) within the Indian FMCG landscape. It examines HUL's sustainability initiatives, consumer perceptions, and the effectiveness of these practices in promoting environmental responsibility while maintaining business growth. The study aims to provide insights into the relationship between sustainability and consumer behavior, highlighting HUL's role as a leader in the green marketing movement in India.

Uploaded by

shadowrajib21
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Project Report

(Submitted for the Degree of B. Com, Honors in Accounting & Finance


Under the University of Calcutta)

Area / Topic of the Study


Sustainable Marketing

Title of the Project

GREEN MARKETING IN THE FMCG SECTOR:


A CASE STUDY OF HINDUSTAN UNILEVER LIMITED

Submitted by
Name of the Candidate: Shruti Pramanick
Calcutta University Registration No.: 432-1214-0681-22
Calcutta University Roll No.: 221432-11-0063
College Roll No: 22E COMA 0065
College ID No: 20220065

Supervised by
Name of the Supervisor: Prof. Avijit Kanrar
Name of the College: Narasinha Dutt College,Howrah

Month & Year of Submission


July, 2025
PAGE NO.-1

ACKNOWLEDGEMENT

It is a matter of great pleasure to present this project on


“Sustainable Marketing: A case study of Hindustan Unilever Limited”

I take this opportunity to thank our respected Principal Dr. Soma Bandyopadhyay for giving me an
opportunity to work on this field.
I am grateful to our respected Head of the Department (HOD) Prof. Bhim Rajak and Section-In
Charge Prof. Sabyasachi Mukhopadhyay without whom this project would not have been
successful.
I am very thankful to my Supervisor Prof. Avijit Kanrar for his full support in completing this
project work.
Finally, I am grateful to acknowledge my family and friends and all the teachers who filled the
questionnaire providing me full support and coordination without which this project wouldn’t be
possible.

Name of Student
PAGE NO.-2
Annexure- IA

Supervisor’s Certificate

This is to certify that Ms. Shruti Pramanick, a student of B. Com Honors in Accounting &
Finance of NARASINHA DUTT COLLEGE, HOWRAH under the University of Calcutta
has worked under my supervision and guidance for her Project Work and prepared a Project Report
with the title “Sustainable Marketing: A case study of Hindustan Unilever Limited”, which
she is submitting, is her genuine and original work to the best of my knowledge.

Signature:
Name: Prof. Avijit Kanrar
Designation: Faculty of commerce
Name of the College: Narasinha Dutt College, Howrah

Place:
Date:
PAGE NO.-3
Annexure-IB

Student’s Declaration

I hereby declare that the Project Work with the title “SUSTAINABLE MARKETING:
A CASE STUDY OF HINDUSTAN UNILEVER LIMITED” submitted by me for
the partial fulfillment of the degree of B. Com. Honours in Accounting & Finance under the University
of Calcutta is my original work and has not been submitted earlier to any other University / Institution for
the fulfillment of the requirement for any course of study.
I also declare that no chapter of this manuscript in whole or in part has been incorporated
in this report from any earlier work done by others or by me. However, extracts of any literature
which has been used for this report has been duly acknowledged providing details of such
literature in the references.

Signature:
Name: Ms. Shruti Pramanick
C.U Registration Number: 432-1214-0681-22

Place:

Date:
CONTENTS

CHAPTER NO. CONTENTS PAGE NO.

▪ INTRODUCTION
1.
1.1 Background of The Study
1.2 Justification of The Title
1.3 Literature Review
1–9
1.4 Objectives of The Study
1.5 Research Methodology
1.6 Limitations of The Study
1.7 Chapter Planning

2. ▪ CONCEPTUAL FRAMEWORK
2.1 Short Description of Terminologies
2.2 Acknowledge Green Marketing in FMCG Sector
2.3 National Scenario of The Study
10 – 23
2.3.1 HUL’s Framework
2.3.2 Green Initiatives and Campaigns by HUL
2.3.3 HUL in Indian FMCG Sector
2.4 International Scenario of The Study

3. ▪ DATA PRESENTATION, ANALYSIS &


FINDINGS
3.1 Analysis of Sustainability Reductions at HUL
3.2 Packaging Recyclability vs Plastic Waste Processed 24 – 40
3.3 Analysis in Manufacturing and Marketing
3.4 SWOT Analysis of HUL
3.5 Analysis of Market Size

4. ▪ RECOMMENDATIONS AND CONCLUSION 41 – 43

5. ▪ BIBLIOGRAPHY 44
CHAPTER -1:
INTRODUCTION

Page | 1
1.1 – BACKGROUND OF THE STUDY
In recent years, growing environmental concerns, climate change, and increasing consumer awareness
have significantly influenced global business practices. One such evolution in corporate behavior is
the emergence of green marketing, a strategic approach where businesses develop, promote, and
deliver products and services that are environmentally responsible. The Fast-Moving Consumer
Goods (FMCG) sector, due to its high volume of production, consumption, and waste generation,
holds a critical role in the adoption and propagation of green marketing practices. With India being
one of the world’s largest and fastest-growing FMCG markets, the sector is under constant pressure
to adapt to sustainable business models that meet both regulatory and consumer expectations.
Hindustan Unilever Limited (HUL), a subsidiary of Unilever and one of India’s leading FMCG
companies, has emerged as a pioneer in integrating sustainability into its core business operations.
With a legacy of over 80 years in India and a diverse portfolio of brands touching the lives of millions
daily, HUL has recognized the need to address environmental issues while maintaining business
competitiveness. Through its initiatives under the Unilever Sustainable Living Plan (USLP) and its
more recent Compass Strategy, the company has made public commitments toward reducing carbon
emissions, conserving water, managing plastic waste, and encouraging responsible consumption.

(Picture Source: [Link]

This study is rooted in the need to critically examine the practical implementation of green marketing
strategies within the Indian FMCG landscape using HUL as a case study. It aims to understand how
HUL aligns its sustainability goals with consumer expectations, business growth, and environmental
responsibilities.
As consumer preferences are shifting toward eco-conscious products, it becomes crucial to explore
whether green marketing is genuinely effective in driving behavioral change or is primarily a tool for
brand positioning and corporate reputation management. The study further investigates HUL’s role
in leading the sustainability movement in India and whether its model can serve as a replicable

Page | 2
framework for other companies within the industry. By analyzing HUL’s green marketing strategies,
campaigns, and product innovations—backed with real data and measurable outcomes—this research
provides insights into the evolving relationship between environmental sustainability and consumer
markets. It highlights how a major corporate player in the FMCG sector can balance profitability with
purpose, and how green marketing can be more than a promotional strategy—serving instead as a
long-term commitment to the planet and society.

1.2 – JUSTIFICATION OF THE TITLE


The title “Green Marketing in the FMCG Sector: A Case Study of Hindustan Unilever Limited”
has been carefully chosen to reflect the core focus, scope, and direction of the research. The term
“Green Marketing” captures the central theme of the study—marketing practices that are
environmentally sustainable, socially responsible, and aligned with global and local efforts to address
ecological degradation. In today’s business landscape, it’s no longer just a niche concept; it has
become strategic necessity, especially for sectors like FMCG, which directly interact with consumers
on a daily basis and are responsible for significant resource consumption and waste generation.
The inclusion of the phrase “in the FMCG Sector” highlights the relevance and applicability of
green marketing within one of the most dynamic and influential industries in India. The FMCG sector
is characterized by mass production, rapid consumption cycles, and extensive distribution networks,
making it both a significant contributor to environmental challenges and a powerful platform for
driving sustainable change.
The choice of Hindustan Unilever Limited (HUL) as the case study subject provides a strong
justification for the title. HUL is not only a leader in the Indian FMCG market but also one of the
most vocal and visible proponents of sustainable business practices in the country. With initiatives
under the Unilever Sustainable Living Plan and continued innovation in eco-friendly products,
packaging, and communication, HUL presents a rich and relevant example of how green marketing
is conceptualized and executed at scale. By focusing on a single, influential company, the study allows
for a deeper and more focused analysis, drawing on real-world practices, verified data, and observed
outcomes.
Thus, the title encapsulates the dual purpose of the project: to explore the broader concept of green
marketing within a critical sector, and to analyze its practical application through a detailed case study
of HUL. It promises both theoretical insight and empirical investigation, making it highly appropriate
for academic, industry, and environmental discourse.

Page | 3
1.3 – LITERATURE REVIEW
▪ “Green marketing: A review of literature,” published in Marketing Intelligence & Planning,
provides a comprehensive review of green marketing concepts, strategies, and practices. The
study examines the evolution of green marketing, its benefits, and challenges. Kumar discusses
the importance of environmental sustainability and social responsibility in marketing,
highlighting the role of green marketing in achieving these goals. The study’s findings suggest
that green marketing can be a valuable strategy for businesses to differentiate themselves,
enhance their reputation, and appeal to environmentally conscious consumers. However, Kumar
notes that green marketing also poses challenges, such as higher costs, consumer skepticism, and
the need for authenticity and transparency. The study contributes to the growing body of literature
on green marketing, highlighting its potential to promote sustainable development and
environmental responsibility (kumar,2016).

▪ In the modern era of globalization, it has become a significant challenge to retain customers and
consumers while also ensuring the safety of our natural environment, which is a pressing need of
our time. Consumers are increasingly aware of environmental issues such as global warming and
the impact of pollution. Green marketing has emerged as a vital concept in the modern market,
gaining particular importance in India and globally. Furthermore, the development of green
marketing has created opportunities for companies to co-brand their products, highlighting the
eco-friendliness of certain products while differentiating them from others. By adopting green
marketing strategies, businesses can appeal to environmentally conscious consumers, enhance
their brand reputation, and contribute to a more sustainable future (Thakkar,2021).

▪ The Indian rural market with its vast size offers great opportunities to Companies. The rural
economy contributes nearly half of the country's GDP. More than 50 percent of the sales of
FMCG companies come from the rural areas. In recent years, rural markets have acquired
significance in India. In this context, a special marketing strategy, namely, rural marketing has
taken form. This paper aims to gain an understanding of how FMCG companies are creating
exclusive rural marketing strategies and the initiatives and marketing strategies of Hindustan
Unilever Limited which is India’s largest Fast Moving Consumer goods company, touching the
lives of most of the Indians. (V Suganthi, 2016).

▪ Environmental concern and social impacts of business is always a serious issue in today’s day
organization. This trend has increased now a days due to the pressures from various stakeholders
the prominent being the consumers. The companies need to be sensitive to social and ethical
Page | 4
issues affecting the business. There is a direct correlation between the corporate responsibility
policies and the business performance. The companies should prepare for a sustainable marketing
by reexamining the social and economic impacts of their strategies. The focus should be on 3
levels people, planet and profit. (Priti Jeevan, 2016)
▪ India has become a second home to many multinationals over the years. The fact that India has
second largest population in the world is alluring because it translates itself into a huge
opportunity to encash for marketers across the globe. Hindustan Lever Limited which set foot as
the subsidiary of Unilever has been one such multinational which has almost become a home
grown brand. The strategies adopted by this corporate leaves no stone unturned in cashing in on
the tiniest niche markets available. Reaching the four billion populations in the base of the
pyramid markets has been a topic of research in recent times. Lots of exploratory and case studies
have been made in this field. This paper is a study on the strategies developed by Hindustan Lever
Limited which has been one of the most successful companies to foray into the emerging markets
in South East Asia and successfully tapped the base of the pyramid in India. A case study using
archival material and secondary information sources suggest that having a global lookout and
one world one market strategy is not successful when attempting to cut into base of the pyramid
segments in emerging markets. The critical aspect here is developing grassroots’ connection and
social empathy which should translate to a cooperative spirit which will leverage the strengths
and overcome the weaknesses. (Keerthan Raj, PS Aitha – 2018)

Page | 5
1.4 – OBJECTIVES OF THE STUDY
❖ To inspect the role of green marketing in current business scheme
Green marketing is a phenomenon which has developed particular importance in the modern
market. This concept has enabled for the re-marketing and packaging of existing products which
already adhere to such guidelines. Additionally, the development of green marketing has opened
the door of opportunity for companies to co-brand their products into separate line, lauding the
green-friendliness of some while ignoring that of others. Such marketing techniques as will be
explained are as a direct result of movement in the minds of the consumer market.

❖ To look into the sustainability visions undertaken by Hindustan Unilever Limited (HUL)
The impact of Hindustan Unilever Limited's (HUL) sustainability measures on India's progress
toward the Sustainable Development Goals (SDGs) is examined in this study report. The study
examines how money is allocated and used in the fields of women's empowerment, environmental
sustainability, healthcare, and other areas. HUL's Environmental, Social, and Governance (ESG)
objectives serve as a gauge for the company's dedication to sustainability.

❖ To acknowledge consumer perception of HUL’s eco-friendly practices


Hindustan Unilever Limited (HUL), a leading fast-moving consumer goods (FMCG) company in
India, is renowned for its robust marketing strategy. This strategy plays a pivotal role in
establishing and maintaining brand recognition, driving sales, and achieving a competitive edge in
the Indian market. To examine the level of common engagement with sustainable products
especially those are provided by Hindustan Unilever Limited.

❖ To give meaningful insights into the usefulness of green marketing in the Indian FMCG
Sector
The Impact of Sustainable Marketing Practices in the Food and Beverage Industry on Consumer
Buying Behaviour in the FMCG Sector. The primary data for the inquiry was gathered using a
quantitative strategy based on the survey method. Two hundred and four customers from three
metro cities of India took part in the survey.

Page | 6
1.5 – RESEARCH METHODOLOGY
The methodology adopted in conducting the present study is as follows:
a. SOURCE OF DATA
▪ The data used in this research has been sourced from official reports and sustainability
disclosures by Hindustan Unilever Limited (HUL).
▪ Key sources include:
➢ Hindustan Unilever Limited Sustainability Reports
➢ Unilever Sustainable Living Plan Progress Reports
➢ HUL Annual Reports (accessible at [Link]
➢ Public declarations in HUL’s Environment and Sustainability Disclosures

▪ These sources are selected due to their regulatory approval, transparency, and accessibility,
ensuring the reliability of the data used in this study.
b. DATA COLLECTION
▪ The data was collected through Secondary Data, utilizing publicly available reports and
official documents published on HUL’s performance microsite and related government
portals.

▪ The research involved careful extraction, verification, and organization of both numerical and
qualitative data points, focusing on recent performance metrics related to sustainability and
plastic waste management.

▪ Cross-referencing across multiple sources was conducted to ensure data integrity, accuracy,
and consistency.
c. METHOD OF ANALYSIS AND REPRESENTATION OF DATA
▪ Collected data was tabulated and structured using spreadsheet tools like Microsoft Excel for
clarity and systematic analysis.

▪ Visual representation was achieved through bar charts, line graphs, and trend lines, which
illustrate progress and patterns over time.

Page | 7
1.6 – LIMITATIONS OF THE STUDY

While this case study offers a comprehensive view of Hindustan Unilever Limited’s (HUL) green
marketing strategies, several limitations must be acknowledged:

1. Dependence on Secondary Data Sources - The study relies heavily on publicly available
information such as HUL's annual reports, sustainability disclosures, press releases, and news
articles. These sources are often curated and may present a biased or overly positive image of the
company’s initiatives.

2. Lack of Primary Research - No primary data (e.g., surveys, interviews, or field visits) was
collected to assess real-world consumer perception or on-ground effectiveness of green marketing
campaigns. This creates a gap in understanding how these efforts are received and whether they
influence buying behavior at the consumer level.

3. Limited Independent Verification - Many of the sustainability claims, such as reduction in CO₂
emissions, plastic neutrality, or water savings, are based on internal measurements or reports
submitted to stakeholders.

4. Limited Industry Comparison - The study focuses solely on HUL and does not compare it to
peer FMCG companies such as Procter & Gamble, ITC, or Dabur. A comparative framework
would provide a better benchmark to evaluate the effectiveness and uniqueness of HUL's green
marketing strategies.

Page | 8
1.7 – CHAPTER PLANNING
▪ CHAPTER 1: INTRODUCTION
1. Background of the Study – Context and rationale behind choosing green marketing in FMCG.
2. Justification of the Title – Relevance and suitability of the project title.
3. Literature Review – Summary of previous research and theoretical background.
4. Objectives of the Study – Primary and secondary goals of the research.
5. Research Methodology – Data sources, tools, and methods used.
6. Limitations of the Study – Constraints and challenges faced during research.
7. Chapter Planning – Overview of chapter-wise organization.
▪ CHAPTER 2: CONCEPTUAL FRAMEWORK
1. Short Description of Terminologies – Definitions of key green marketing terms.
2. Acknowledge Green Marketing in FMCG Sector – Concept and relevance in FMCG.
3. National Scenario of the Study
o 2.3.1 HUL’s Framework
o 2.3.2 Green Initiatives and Campaigns by HUL
o 2.3.3 HUL in Indian FMCG Sector
4. International Scenario of the Study – Global trends and positioning of HUL internationally.

▪ CHAPTER 3: DATA PRESENTATION, ANALYSIS & FINDINGS


1. Analysis of Sustainability Reductions at HUL – Environmental performance (CO₂, water,
energy, waste).
2. Packaging Recyclability vs Plastic Waste Processed – Empirical comparison of packaging
practices.
3. Analysis in Manufacturing and Marketing – HUL’s practices and green value chain.
4. SWOT Analysis of HUL – Strengths, Weaknesses, Opportunities, Threats in green marketing.
5. Analysis of Market Size – Revenue-based market share positioning of HUL.
▪ CHAPTER 4: RECOMMENDATIONS AND CONCLUSION
Summary of findings and actionable suggestions for HUL and the FMCG sector.

▪ CHAPTER 5: BIBLIOGRAPHY
List of references, reports, websites, and literature cited in the study.

Page | 9
CHAPTER - 2:
CONCEPTUAL FRAMEWORK

Page | 10
2.1 – SHORT DESCRIPTION OF TERMINOLOGIES

To ensure conceptual clarity and a common understanding, the following key terminologies used in
this project are defined and explained:

▪ Green Marketing - Also known as environmental marketing or eco-marketing. Refers to the


process of developing, advertising, and selling products or services based on their environmental
benefits. Includes practices like using recyclable packaging, eco-labeling, promoting energy-
efficient products, and adopting sustainable sourcing. In this study, green marketing focuses on
how HUL promotes sustainability through its product
offerings and corporate practices.

▪ FMCG (Fast-Moving Consumer Goods) - Products


that are sold quickly and at relatively low cost. Examples
include soaps, detergents, packaged food, beverages,
cosmetics, and household cleaning products. FMCG
companies operate on high volume, low margin business
models and have wide distribution networks. HUL, being a major FMCG company, is analyzed
in this study for its green marketing efforts in this high-consumption industry.

▪ Sustainability - The ability to meet present needs without compromising the ability of future
generations to meet theirs. In the context of green marketing, sustainability refers to
environmentally, socially, and economically responsible practices. HUL’s initiatives such as
water conservation, carbon footprint reduction, and sustainable sourcing are examples of business
sustainability.

▪ Corporate Social Responsibility (CSR) - A business model where companies are socially
accountable to stakeholders and the wider public. CSR includes actions taken to promote
environmental sustainability, ethical labor practices, and community development.

▪ Carbon Footprint - The total amount of greenhouse gases (GHGs) emitted directly or
indirectly by activities or products. Measured in equivalent tons of CO₂. HUL has reported
significant reductions in its carbon footprint by using renewable energy and optimizing

Page | 11
manufacturing processes.

▪ Plastic Neutrality - A condition in which a company collects and recycles an amount of plastic
waste equal to the amount it generates. In 2021, HUL declared itself plastic-neutral in India,
meaning it recovered and processed more plastic than it used in its packaging.

▪ Unilever Sustainable Living Plan (USLP) - A global initiative launched by Unilever in


2010 aimed at decoupling business growth from environmental impact while increasing social
impact. It focuses on improving health and well-being, reducing environmental footprint, and
enhancing livelihoods. HUL adopted and localized the USLP for its Indian operations, forming
the backbone of its green marketing roadmap.

▪ Consumer Perception - Refers to how consumers view and interpret a company’s green
marketing efforts. This includes trust, willingness to pay a premium for eco-friendly products,
and loyalty toward sustainable brands.

2.2 – ACKNOWLEDGE GREEN MARKETING

IN THE FMCG SECTOR

2.2.1 – DEFINITION:

Green marketing refers as the promoting products or services that are environmentally friendly or
have a positive impact on the planet. It involves incorporating sustainability principles into various
aspects of marketing, such as product design, packaging, messaging, and promotion. Some green
marketing strategies include:

▪ Creating eco-friendly products

▪ Using eco-friendly product packaging made from recycled materials

▪ Reducing greenhouse gas emissions from production processes

▪ Adopting sustainable business practices

Page | 12
▪ Marketing efforts communicating a product's environmental benefits

▪ Investing profits in renewable energy or carbon offset efforts

Green marketing is becoming more popular as more people become concerned with environmental
issues. Indeed, in 2020, more than three quarters of consumers (77%) cited a brand's sustainability
and environmental responsibility as very important or moderately important in their choice of brands.
It has emerged as a vital concept in recent years, driven by the growing need for environmentally
conscious practices in organizations.

Fig Source: [Link]

Going green, green economy or the green movement has gained massive popularity globally over the
past several years and its influence has spread across just about FMCG industry. Being “green” helps
preserve and sustain society’s resources. In FMCG sector, 1 India remained the leader among all
nations in the global consumer confidence index with a score of 131 points for the quarter ending
December 2015, followed by the Philippines (117), Indonesia (115) and Thailand (114). Consumer
confidence in India has remained high for nine consecutive quarters. Recognizing the importance of
our planet’s dwindling natural resources-or perhaps the economic opportunity that that creates-the
green industry seeks to meet the demands of today without compromising the needs of tomorrow.
This study focus on analyzing the green marketing strategies in terms of product, price, place and
promotion (Syal & Jindal, 2016).

Page | 13
2.2.2 – GROWTH OF SUSTAINABLE PRACTICES IN
FMCG SECTOR

Green marketing has emerged as a vital strategy in today’s business landscape, driven by growing
concerns about environmental sustainability and consumer awareness. It involves promoting products
and services based on their environmental benefits, such as reducing waste, conserving resources, and
minimizing harm to the ecosystem. Companies are increasingly adopting green marketing practices
to appeal to environmentally conscious consumers, enhance their brand reputation, and contribute to
a more sustainable future.

▪ In recent years, attention has been increasingly paid to social-, environmental-, and ecology-
related issues in the areas of diverse business operations. The concept of sustainable development
of enterprises is an attempt to integrate a diverse set of requirements for the development of
companies in the long-term future. The concept, which is set in a contradictory context of
economic, social, and environmental aspects, is an attempt to balance fundamentally divergent
requirements and aspirations. Sustainable enterprise development can be a source of
competitiveness, provided the opportunities related to it are identified and implemented in a
proper way.

▪ The research objective of this study is to diagnose the relationship between the company’s
orientation towards the implementation of sustainability assumptions, the degree of
implementation of the objectives of the corporate social responsibility (CSR) strategy, as well
as the creation of value in a sustainable enterprise. The survey was conducted on a sample of 165
FMCG (fast-moving consumer goods) sector enterprises.

▪ The results indicate the existence of a positive correlation between the variables analysed in the
surveyed enterprises. Entrepreneurs guided by sustainable development pursue economic and
non-economic values and have a more comprehensive set of appropriate measures necessary to
create value in a sustainable enterprise, which consists of achieving economic, ecological, and
social goals.

Page | 14
2.3 – NATIONAL SCENARIO OF THE STUDY
In India, the concept of green marketing has gradually evolved from being a corporate buzzword to
a strategic business necessity. With rising environmental concerns, stricter regulatory frameworks,
and an increasingly aware consumer base, companies across sectors—particularly in the Fast-
Moving Consumer Goods (FMCG) industry—are being pushed to adopt sustainable practices.
India, being the world's most populous nation with a rapidly expanding middle class, generates
massive consumption-driven environmental stress.

Source: [Link]

Government bodies such as the Ministry of Environment, Forest and Climate Change (MoEFCC)
and the Central Pollution Control Board (CPCB) have introduced various environmental
guidelines and waste management policies. Notable among them are the Plastic Waste Management
Rules, 2016 (amended in 2022) and the Extended Producer Responsibility (EPR) framework,
which hold FMCG companies accountable for the lifecycle of the products they manufacture.
According to recent industry surveys, more than 60% of Indian consumers say they prefer to
purchase from companies that are environmentally responsible, even if it comes at a slightly higher
price. This change in mindset has created a fertile ground for green marketing initiatives in India.
FMCG giants like Hindustan Unilever Limited (HUL), ITC, Dabur, and Procter & Gamble India
have started launching product lines that use biodegradable packaging, promote water and energy
conservation, and reduce carbon emissions.

Page | 15
Among them, HUL stands out as a pioneer and leader in green marketing within the Indian
context. It has implemented several nationally recognized sustainability initiatives such as Project
Suvidha, Project Prabhat, and plastic neutrality campaigns, which align closely with the government’s
Swachh Bharat and Jal Shakti Abhiyan missions. This study, therefore, finds strong relevance
within the current national context, offering insights into how green marketing can be both a moral
obligation and a market advantage.

2.3.1 – COMPANY FRAMEWORK


The HUL growth story is intertwined with the India story and our philosophy is ‘what is good for
India is good for Hindustan Unilever’. Our business has always been driven by a sense of purpose
and the belief that business must have purpose beyond profit. We continue to believe that business
must make a positive contribution to addressing the challenges the world faces and that this is the
only way a business will succeed.
Our history is a story of growth
powered by ideas and values.
Products, brands and profits
followed in their wake; and while we
will change to meet the challenges of
our times, our values will not.
Hindustan Unilever Limited has
always believed that business must
have a purpose beyond profits. This
belief has shaped the journey of more than nine decades, enabling us to build a future-fit organization
that thrives on the core values of Integrity, Respect, Responsibility and Pioneering.

They remain committed to empowering people to feel good and get more out of their lives. They have
a wide and resilient portfolio of 50+ brands spanning 16 FMCG categories, which are a part of the
everyday life of millions of consumers across India. Guided by our mantra of ‘doing well by doing
good’, they are one of India’s largest Fast-moving Consumer Goods (FMCG) Companies with best-
in-class ESG ratings. They are rated as the number one employer of choice across sectors.

Page | 16
2.3.2 - SUMMARY OF GREEN INITIATIVES AND CAMPAIGN:
Hindustan Unilever Limited (HUL) has implemented a comprehensive suite of green initiatives and
campaigns aimed at fostering environmental sustainability, social inclusion, and community
development across India.

▪ Environmental Sustainability
❖ Plastic Waste Management and Circular Economy: Plastic Circular Economy Project: In
collaboration with the United Nations Development Programme (UNDP), HUL has launched a
project to establish material recovery facilities (MRFs) for recycling various types of plastic
waste. This initiative encourages 100,000 households to segregate their waste, facilitating
efficient collection and processing. A significant aspect of the project is the social inclusion of
informal waste workers, known as Safai Saathis, aiming to reach 20,000 individuals across major
urban centres in India.

Source: [Link]

❖ Water Conservation: Hindustan Unilever Foundation (HUF): Established in 2010, HUF addresses
India's water challenges, particularly in rural agricultural communities. Through various
initiatives, HUF has delivered a cumulative water potential of over 2.6 trillion litres, contributing
to increased agricultural and biomass production and generating over 110 million person-days of
employment
❖ Grand Water Saving Challenge: In partnership with Invest India, Start-up India, and AGNIi, HUL
launched a national challenge to develop efficient flush systems for public toilets, aiming to
optimize water usage and promote hygiene.
Page | 17
❖ Renewable Energy and Emissions Reduction: HUL has transitioned to sourcing 100% of its
electricity from renewable sources, including solar and wind energy. The company has eliminated
coal usage across its operations, replacing it with biomass and biodiesel, leading to a 97%
reduction in CO₂ emissions across its manufacturing operations compared to the 2008 baseline.

▪ Social and Community Initiatives


I. Project Prabhat
Launched in 2013, Project Prabhat is HUL's sustainable community development initiative
focusing on livelihoods, health & nutrition, and environmental sustainability. Over the past decade,
it has positively impacted nearly 10 million lives across 12 states and 2 union territories.

Source: [Link]
II. Project Shakti
Initiated in 2000, Project Shakti empowers rural women by training them as micro-entrepreneurs
to distribute HUL products. To date, over 190,000 women, known as Shakti Ammas, have been
empowered through this program.
III. Suvidha Centre
HUL has established Suvidha Centres in urban slums, providing access to toilets, hand-washing
facilities, clean showers, safe drinking water, and laundry services. These centres operate on a
cross-subsidy model to ensure affordability and sustainability, positively impacting the lives of
over 350,000 people annually.

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▪ Climate Action and Sustainable Operations
Sustainability Lighthouse Factories: HUL's factories in Dapada and Sonepat have been recognized
as 'End-to-End Lighthouse' sites by the World Economic Forum for implementing advanced Fourth
Industrial Revolution technologies that enhance productivity while reducing environmental impact.
Clean Future Summit: In 2023, HUL hosted the 'Clean Future Summit' to lead industry-wide
commitments on sustainable practices. Eighteen key partners signed the 'Climate Pledge' during the
event, reinforcing collective action towarOur business in India is the biggest in Unilever when it
comes to the volume of products sold, and in January 2023 HUL was ranked among the country’s
most valuable companies.

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2.3.3 - POSITINING OF HUL IN THE INDIAN FMCG MARKET:
According to its results for the financial year 2021–22, HUL’s turnover growth of 11% and underlying
volume growth at 3% were significantly ahead of the market, and its year-on-year market share gain
was the highest HUL has seen in a decade. HUL announced its quarterly results (ending 31 December
2022) on 19 January 2023, with turnover
up 16%. In the past decade, HUL has
adopted a successful growth strategy it
calls Winning in Many Indias.
Recognizing that products, campaigns
and logistics that work in one part of this
incredibly diverse country might not
work in another, HUL has developed
individual business plans for 15 separate
regional clusters. Nine in ten Indian
households use HUL brands, with
products on sale in around 9 million
retail outlets across the country. The
business has 29 factories nationwide and
21,000 employees.
Hindustan Unilever Limited (HUL)
maintains its position as the leading Source: [Link]
Fast-Moving Consumer Goods (FMCG)
company in India, distinguished by its extensive market capitalization, diverse product portfolio, and
expansive distribution network.

❖ MARKET LEADERSHIP
a) Market Capitalization: As of March 2024, HUL's market capitalization stood at ₹5,32,276.40
crore, positioning it ahead of competitors like ITC and Nestlé in the Indian FMCG sector.
b) Global Significance: India represents Unilever's second-largest market globally, contributing
approximately 12% to its global sales.

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Figure: Performance of HUL in FMCG Sector

Source: [Link]

❖ DISTRIBUTION AND MARKET PENETRATION


a) Retail Presence: HUL boasts one of the most extensive distribution networks in the FMCG sector,
accessing over 8 million retail outlets across India.
b) Rural Outreach: Through initiatives like Project Shakti, HUL empowers rural women as micro-
entrepreneurs, enhancing product availability in remote areas and strengthening its rural market
presence.

❖ FINANCIAL PERFORMANCE
Quarterly Results: In the quarter ending December 2024, HUL reported an Underlying Sales Growth
of 2% and maintained a healthy EBITDA margin of 23.5%. The Profit After Tax (PAT) grew by
19% year-on-year, primarily due to the divestment of the 'Pureit' business.
❖ Strategic Initiatives

Innovation and Premiumnization: HUL continues to invest in product innovation, focusing on


premium segments in personal care and hygiene to meet evolving consumer preferences.

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2.4 – INTERNATIONAL SCENARIO OF THE STUDY
Globally, green marketing has become an integral part of corporate strategy as businesses grapple
with the challenges of climate change, depleting natural resources, and increasing environmental
regulations. In developed markets such as Europe, North America, and parts of East Asia,
sustainability is no longer optional—it is a consumer expectation and often a legal requirement.
Governments and international bodies like the European Union (EU), the United Nations
Environment Programme (UNEP), and the OECD have put in place stringent regulations on
emissions, plastic usage, eco-labeling, and carbon reporting, prompting businesses to embed
sustainability deep within their operations and marketing efforts.

Source: [Link]

Countries such as Germany, Sweden, and the Netherlands lead the world in sustainable
consumption and production. In these nations, consumers are highly conscious of the environmental
and ethical aspects of their purchases. As a result, companies are expected to provide transparency
through green certifications, carbon-neutral labels, and life-cycle assessments.
In the United States, brands such as Seventh Generation, Patagonia, and Tesla have become

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iconic examples of successful green marketing—showing that environmentally friendly branding
can translate into strong customer loyalty and commercial success.
In the Asia-Pacific region, countries like Japan, South Korea, and China are making rapid strides
in environmental marketing, supported by governmental incentives and national sustainability
roadmaps. Green product innovations, such as biodegradable packaging, low-emission
manufacturing processes, and renewable energy adoption, are being integrated into mainstream
business strategies. Moreover, global FMCG giants like Unilever, Procter & Gamble, and Nestlé
are leading international sustainability movements, each launching major initiatives aimed at
reducing plastic usage, lowering carbon footprints, and promoting responsible sourcing on a global
scale.
Unilever, the parent company of Hindustan Unilever Limited (HUL), is one of the most prominent
players in the international green marketing landscape. Its Unilever Sustainable Living Plan
(USLP)—launched globally in 2010—aims to decouple business growth from environmental harm
while improving social outcomes. Unilever’s commitment to sourcing 100% of its agricultural raw
materials sustainably and becoming carbon-neutral by 2039 has set new benchmarks for
multinationals across industries.

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CHAPTER – 03:
DATA PRESENTATION,
ANALYSIS AND FINDINGS

Page | 24
3.1 - ANALYSIS OF SUSTAINABILITY

REDUCTIONS AT HUL
Sustainability reduction refers to the measurable decrease in the negative environmental impacts
of a company’s operations over time. It indicates how much a business has reduced its use of natural
resources, emissions, and waste, compared to a baseline year (commonly 2008 or 2010), with the
goal of promoting environmental sustainability.

It's about doing more with less—producing goods and


services while reducing pollution, energy use, water
consumption, and waste generation.

Source: [Link]

TABLE 1: COMMON AREAS OF SUSTAINABILITY REDUCTION

Category What’s Reduced Why it Matters


Greenhouse gases from
CO₂ Emissions Helps fight climate change
factories, transport, energy use
Electricity, fuel, and other Conserves fossil fuels and
Energy Consumption
energy sources cuts emissions
Freshwater used in production Protects water resources and
Water Consumption
and cleaning reduces scarcity
Solid, liquid, or hazardous Prevents landfills, promotes
Waste Reduction
waste produced circular economy

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❖ Why is it Important?

• Protects the planet for future generations


• Builds corporate reputation
• Ensures regulatory compliance
• Boosts cost efficiency
• Meets stakeholder and consumer expectations

TABLE 2: SUSTAINABILITY REDUCTIONS AT HUL (2008–2024)

Data Source: HUL Annual Reports (accessible at [Link]

This tabular data presents a chronological overview of Hindustan Unilever Limited's (HUL)
progress in achieving its environmental sustainability goals over the period 2008 to 2024. It highlights
annual trend lines that demonstrate the company's reduction efforts in CO₂ emissions, energy
consumption, water consumption, and waste generation, expressed as percentage reductions
relative to the 2008 baseline year.
The figures reflect HUL’s commitment to decoupling growth from environmental impact through
efficient resource usage, renewable energy adoption, circular waste practices, and water stewardship.
The trend data provides empirical insights into how steadily and effectively HUL has progressed
toward its long-term sustainability objectives.

The following line graph visually represents Hindustan Unilever Limited's (HUL) year-on-year
progress in environmental sustainability from 2008 to 2024. It displays four key metrics—CO₂

Page | 26
emission reduction, energy consumption reduction, water usage reduction, and total waste
reduction—as individual trend lines over time. Each point highlights HUL’s incremental
improvements toward minimizing its ecological footprint, demonstrating consistent progress aligned
with long-term sustainability goals.

LINE GRAPH: SUSTAINABILITY REDUCTIONS AT HUL (2008–2024)

Each data point shows the percentage reduction achieved compared to the 2008 baseline, highlighting
HUL’s consistent progress in minimizing its environmental impact. The plot provides a clear, visual
comparison of how each metric has improved over time, reflecting HUL’s commitment to sustainable
manufacturing and resource efficiency.

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BAR CHART: HUL’S SUSTAINABILITY REDUCTION (SINCE 2008)

TABLE 3: PARAMETER-WISE ANALYSIS OF SUSTAINABILITY REDUCTIONS AT HUL


(2008–2024)
Parameter Trend Progress by 2024 Interpretation Significance
CO₂ Steady, linear 98% reduction Shift to renewable Supports climate
Emission
decline energy, energy- goals and
Reduction
efficient processes, Science-Based
low-carbon Targets initiative
logistics
Energy Moderate but 45% reduction Optimization of Reduces costs
Consumption
consistent energy in factories and fossil fuel
improvement and operations dependence
Water Gradual decline 47% reduction Implementation of Critical for
Consumption
with strong water recycling, sustainability in
efficiency gains reuse systems, and water-stressed
efficiency in areas
manufacturing

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Waste Steep decline, 58% reduction Near-zero waste to Major impact on
Generation
especially post- landfill approach, pollution control
2015 due to circular economy and landfill
aggressive waste practices reduction
management

TABLE 4: FINDINGS OF ALL PARAMETERS


Parameter Reduction (vs 2008)
CO₂ emissions (per ton) 98 % by FY 2023–24
Energy consumption 45 % by FY 2023–24
Water usage 47 % by FY 2023–24
Waste generation 58 % by FY 2023–24

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3.2 - SIGNIFICANT ROLE OF HUL IN
PACKAGING RECYCLABILITY VS. PLASTIC WASTE PROCESSED

Packaging recyclability refers to the ability of packaging materials (like plastic, paper, or metal)
to be collected, sorted, processed and remanufactured into new products after their initial use,
instead of ending up in landfills or the environment.
HUL reports that in the financial year 2023–24, a total of 207,005 metric tonnes of plastic waste were
either reclaimed as recycled or safely disposed under its Extended Producer Responsibility (EPR)
framework.
• In HUL's case, 74% of its plastic packaging is recyclable as of FY 2023–24.
• This means most of the packaging they produce can go through recycling systems to be reused or
remanufactured.
Plastic waste processed refers to the total amount of plastic waste collected, managed, and treated
(recycled, co-processed, or safely disposed) by a company under regulatory.

Figure 1. Schematic diagram of the closed-loop circulation of plastics (Source: [Link])

Packaging recyclability and plastic waste processing are vital components of sustainable waste
management, aiming to reduce environmental impact and promote resource conservation. While

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challenges exist, advancements in technology and increased consumer awareness are paving the way
for more effective and widespread recycling practices.

TABLE 1: PACKAGING RECYCLABILITY VS. PLASTIC WASTE PROCESSED (FY 2023–24)

This table presents key performance indicators reflecting Hindustan Unilever Limited’s (HUL)
efforts toward sustainable plastic packaging and circularity during the financial year 2023–24. It
captures the balance between the recyclability of plastic packaging and the actual waste processed
under the company’s compliance with India’s Extended Producer Responsibility (EPR) framework.

BAR CHART: PACKAGING RECYCLABILITY VS. PLASTIC WASTE PROCESSED


(FY 2023–24)

Key data points include the percentage of plastic packaging that is recyclable (74%), the total
volume of plastic waste processed in India (207,005 tons).
The share of Post-Consumer Recycled (PCR) plastic used in packaging (4.4%). Additionally, HUL
reported 100% EPR compliance, verified by regulatory bodies.

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TABLE 2: PARAMETER-WISE ANALYSIS OF PACKAGING RECYCLABILITY
VS. PLASTIC WASTE PROCESSED
Key Insight: As of FY 2023–24, 74% of HUL’s plastic packaging
is designed to be recyclable.
Interpretation:
PACKAGING RECYCLABILITY • This figure indicates substantial progress in eco-design and
packaging innovation.
• It reflects that HUL is moving toward eliminating non-
recyclable, multilayered, or problematic plastic formats.

Key Insight: HUL collected and processed 207,005 metric tons of


post-consumer plastic waste across India under EPR regulations.
Interpretation:
• This processing includes activities like collection,
PLASTIC WASTE PROCESSED segregation, recycling, co-processing, and safe disposal of
plastic waste.
• The figure represents the entire volume of packaging waste
that HUL put into the market and successfully took
responsibility for.

TABLE 3: FINDINGS OF THE ANALYSIS OF PACKAGING RECYCLABILITY VS. PLASTIC WASTE


PROCESSED (HUL – FY 2023–24)
Metrics Value Source (FY 2023–24)
% of Plastic Packaging 74% HUL Sustainability Highlights
Recyclable
Amount of Plastic Waste 207,005 tons EPR Compliance Data 2024
Processed
HUL Plastic Circularity Report
Post-Consumer Recycled (PCR) 4.4% of total
Plastic Input FY2023–24
CPCB-verified; disclosed in
Extended Producer Responsibility 100% compliant
(EPR) Credits Annual ESG reports

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3.3 – ANALYSIS IN MANUFACTURING AND MARKETING
• Dove has started to offer first refillable stainless-steel case which is life time guaranteed. The little
plastic that is used is 98% recycled.
• Ten times concentrated eco-refill packs for Lifebuoy and Cif use 75% less plastic. The spray
bottles can be used for life. The company has increased the usage of Post consumer recycled (PCR)
plastic from 1% in 2018 to 11% in 2020. More than 7 million Magnum ice cream’s new tubs are
sold globally.
• Oral care brands, Signal, Pepsodent and Closeup are shifting to fully recyclable tubes made from
a single type of thin plastic by 2025. This means over 12,000 tons of plastic will become recyclable.
• Lifebuoy Swasthya Chetana is a hygiene promotion program started by HUL with a vision of
reducing the incidence of diarrhea. So far, the program has covered around 120 million people
across 50000 plus villages in India.

TABLE 1: SEGMENTAL PERFORMANCE (2019–20)

BAR CHART: SEGMENTAL PERFORMANCE (2019–20) FOR HINDUSTAN UNILEVER LIMITED

Page | 33
LINE GRAPH: SEGMENTAL PERFORMANCE (2019–20) FOR HINDUSTAN UNILEVER LIMITED

▪ PARAMETER-WISE ANALYSIS AND FINDINGS:


1. Segmental Revenue - Beauty & Personal Care contributed the highest to revenue at 45%,
indicating its dominant share in HUL’s product portfolio. Home Care followed with 35%,
showing consistent demand for hygiene and household cleaning products. Foods and
Refreshment accounted for 19%, reflecting a moderate share with growth potential. Others
contributed only 1%, having minimal influence on total revenue.

▪ FINDINGS: HUL’s revenue is heavily reliant on personal care and home care products, showcasing
consumer preference for daily essentials and personal hygiene.

2. Segmental Results - Beauty & Personal Care again led with 56% of total profit,
highlighting its high-margin nature. Home Care generated 30% of profits, closely aligned
with its revenue share, indicating stable operational efficiency. Foods and Refreshment
showed a lower result share of 14%, despite contributing 19% to revenue—pointing to lower
profitability in this segment.
▪ FINDINGS: Profitability is concentrated in personal care, emphasizing HUL’s strategic focus on
premium and high-margin product lines.

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➢ PRODUCT LIST OF HUL

Hindustan Unilever products are available in over eight million outlets across India and have around
18,000 employees working across 28 company-owned factories and nine offices. Additionally, more
than 1,000 suppliers work with the company's supply chain spanning own factories and several others
that manufacture on the company's behalf.
➢ SOME OF THE FOOD BRANDS OWNED BY HUL, INCLUDING:
a. Annapurna salt and atta
b. Bru coffee
c. Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
d. Kissan squashes, ketchups, juices, and jams
e. Lipton tea
f. Knorr soups & meal makers and soupy noodles
g. Kwality Wall's frozen dessert
h. Modern Bread, ready to eat chapatis and other bakery items (now sold to Everstone Capital)
i. Magnum (ice cream)
➢ HOMECARE BRANDS:
a. Active Wheel detergent
b. Cif Cream Cleaner
c. Comfort fabric softeners
d. Domex disinfectant/toilet cleaner
e. Rin detergents and bleach
f. Sunlight detergent and colour care
g. Surf Excel detergent and gentle wash
h. Vim dishwash
i. Magic - Water Saver
➢ PERSONAL CARE BRANDS:
a. Aviance Beauty Solutions Source: [Link]
b. Axe deodorant and after shaving lotion and soap
c. LEVER Ayush Therapy ayurvedic health care and personal care products
d. Breeze beauty soap
e. Clear anti-dandruff hair products
f. Clinic Plus shampoo and oil
Page | 35
g. Close Up toothpaste
h. Dove skin cleansing & hair care range: bar, lotions, creams and anti-perspirant deodorants
i. Denim shaving products
j. Fair & Lovely skin-lightening products
k. Hamam
l. Lakmé beauty products and salons
m. Lifebuoy soaps and handwash range
n. Liril 2000 soap
o. Axe deo
p. Pepsodent toothpaste
q. Pond's talcs and creams
r. Rexona soap
s. Sunsilk shampoo
t. Sure anti-perspirant
u. Vaseline petroleum jelly, skin care lotions
v. TRESemmé

Page | 36
3.4 - SWOT ANALYSIS OF HUL
The SWOT Analysis of HUL (Hindustan Unilever Limited) includes its strengths, weaknesses,
opportunities, and threats. And in this reading of the SWOT Analysis of HUL (Hindustan Unilever
Limited), we will examine this beauty and wellness company in terms of its internal and external
factors.

1. S - STANDS FOR STRENGTHS (INTERNAL FACTOR)

• Leader In FMCG Market: Two out of three Indian consumers use HUL products, according to
Nielsen Study. To establish itself as a market leader in the Indian market, HUL has adopted a
targeted approach in the supply chain & other things.
• Most Preferred Brand: From soap to mineral water, HUL shapes the lives of 1.3 billion people
every day. HUL's presence in the consumer market with its 20 categories such as soap, tea,
detergent, shampoo, etc., and its wide range of products has helped it occupy a large share of
shelf space in grocery and department stores, which explains the acceptance/demand for its
products in the market.
• Innovations: Hindustan Unilever Research Center (HURC), Mumbai, and Unilever Research
India, Bangalore, both research facilities were merged at one location in Bangalore in 2006.
The people at this facility are continuously working on developing innovations in products and
manufacturing processes that will help HUL establish itself as a frontrunner in the consumer
goods market.

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2. W - STANDS FOR WEAKNESS (INTERNAL FACTOR)

• Declining Market Share: competitors focusing on a particular product eating up HUL's share, such
as Godrej & Nirma deters HUL's market share in wheel washes.
• Large selection of brands in various product categories: A large portfolio of brands often leads to
incorrect positioning. Price placement in some segments ensures low price competition, such as
the market share gained by Amul from Kwality.
• Limited Market Share: The market share of HUL is limited due to the presence of other strong
FMCG brands.

3. O STANDS FOR OPPORTUNITIES (EXTERNAL FACTOR)

• Expanding the market: Greater penetration of rural markets through Project Shakti AMMA and
the transition from unorganized to organized enterprises will lead to further expansion of the
consumer market.
• Awareness of the use of consumer products: advertising, word of mouth and medical prescribing
raise people's awareness of the use of consumer products, leading to an increase in the rate of use
of these products.
• Growing income level: due to a stable political situation, higher literacy rate and regulated
inflation, people's disposable income is increasing, leading to higher demand and changing
lifestyles.

4. T Stands For Threats (External Factor)

• Market competition: with the increasing number of local and national suppliers, it is becoming
very difficult for businesses to differentiate themselves from others. There is also a risk of
counterfeit products destroying the brand image in the market.
• Price of raw materials: rising prices of raw materials will lead to further increases in prices. The
further price increase will lead to a decrease in sales, profit margins and brand switching.
• Buyer Power: In a highly diversified consumer goods market, where many brands are promising
different benefits, it is very difficult for consumers to get loyal to a particular brand.

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3.5 - ANALYSIS OF MARKET SIZE
Market size analysis is crucial as it helps identify the overall value and growth potential of the FMCG
sector. It enables firms like HUL to benchmark their performance, assess competition, allocate
resources effectively, and design strategic plans to enhance market share and sustainability in a
competitive and diverse market landscape.

TABLE: MARKET SHARE OF TOP 10 CONSUMER GOODS FIRMS IN INDIA

BAR CHART: MARKET SIZE ANALYSIS OF TOP 10 CONSUMER GOODS FIRMS IN INDIA

Page | 39
PIE CHART: MARKET SIZE ANALYSIS OF TOP 10 CONSUMER GOODS FIRMS IN INDIA

▪ MARKET SIZE ANALYSIS AND FINDINGS:


The data presents a snapshot of the top ten consumer goods firms in India by revenue and their
corresponding market share in the FMCG sector, with a total market size of ₹7,33,355 crores.
➢ ITC leads the market with the highest revenue of ₹48,633.36 Cr, capturing 6.63% of the total
FMCG market.
➢ Hindustan Unilever Limited (HUL) follows closely with ₹39,518 Cr, holding a 5.39%
market share.
➢ AMUL (GCMMF) and Adani Wilmar are also major players with revenues over ₹35,000 Cr
each, holding 5.26% and 4.90% shares respectively.
➢ Others (983 companies) collectively account for the majority of the market (over ₹5.22 lakh
Cr), reflecting the fragmented nature of the Indian FMCG sector.
▪ KEY FINDING: The Indian FMCG market is dominated by a few large firms, yet highly
diversified, with hundreds of smaller players together contributing a significant share. HUL stands
out as a key leader among organized players, playing a vital role in shaping market dynamics
through innovation, scale, and sustainability initiatives.

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CHAPTER – 04:
RECOMMENDATIONS &
CONCLUSION

Page | 41
RECOMMENDATIONS AND CONCLUSION

❖ RECOMMENDATIONS

Key attribute components:


i. Value for money and Customer Care
ii. Operational attributes.
iii. Physical attributes.
iv. Brand Image.
v. Customer Specific Details.

In any correspondence with the customers the message should be sent in these components only to
have the maximum benefit from the advertisement. Also these components should be dealt with
independently. The advertisements should speak only of the believable concepts rather than glorifying
the pretentious ones. The basic need of the customer need to be addressed which is actually not much
expensive and better quality.
HUL sales growth in June 2004 was decreased due to the problem with promotion and pricing.
Although being the most competitive product on the basis of the Market Operating Price (MOP), the
shampoos are still not selling much. This is perhaps due to the bargaining stress on the customer and
the weak push given by the dealer to the particular item, when actually it should be sold like a high
volume [Link] serious suggestion is that HUL must give good attention to their all the
products rice and all are not getting much attention. The dealers don’t provide much support to the
customers in making them understand the real Quality behind them. Either, the technical details
should be presented in a clearer manner or the dealers need to be educated properly.

❖ CONCLUSION

Significant change in the climatic condition results in a threat for the survival of the society. This
threat is shifting the buyer’s consumption pattern from unsustainable to sustainable. This shift is
changing the buying behaviour of the individual because their need is changing [Link]
harmful products to environmental friendly products. They are more concerned about the environment
protection. This transformation in consumer’s behaviour is compelling corporate to think about the
harmful impact of their activities on the natural environment of the world. The rapid increase for the

Page | 42
environment concern in last two decades is stressing companies to prove the change to ensure the
sustainable growth of the society. Organizations are now aware with the fact that without adopting
green in the core of their strategy they cannot survive in the present competitive era. Indian FMCG
companies are also adopting “green” to retain their image in the market. The companies are involved
in various activities to show their concern for environment as well as society. Companies like HUL,
ITC started to produce Sustainability report of the companies to achieve benefit and to develop a
positive brand image it is required that benefit should be visible to the consumer. Companies are
trying different ways to get benefit from their green efforts. They are redefining their marketing mix
by introduction of green products and processes. But at the same time it is necessary for the companies
to understand that Green marketing should not overlook the economic aspect of marketing. Customer
is ready to pay the eco-premium but they have to enhance the performance of their product and focus
on the retention of the customer. Green Marketing is still in the stage of childhood in the Indian
companies. The lots of opportunities are available in Indian market. Green marketing helps in the
effective outcomes like cost cutting, employee satisfaction, waste minimization, society welfare for
the companies as well for society also. Only thing required is the determination and commitment from
the all the stakeholders of the companies. It is the right time to adopt the concept of sustainable
development in the marketing mix of the companies and integrate them to save the planet from the
upcoming risk. Thus from the study of HUL through strategic model it can be understood that being
so large and so extensive in brands it has allocated equal importance to each of its.

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marketing in emerging markets: Strategic and operational perspectives.

➢ Rajeshkumar, L. (2012). An overview of green marketing. Naamex International Journal of


Management Research, 2(1), 128-136.

➢ Kumar, P. (2016). Green marketing: A review of literature. Marketing Intelligence & Planning,
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➢ Priti Jeevan, International Journal of Scientific Research and Modern Education (IJSRME) ISSN
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➢ Thakkar, R. (2021). _Article Title_. International Journal of Management, Public Policy and
Research, 1(1), 15-23.

➢ Syal, A., & Jindal, L. (2016). Evaluation of Green Marketing Strategies in FMCG Segment.
International Journal of Emerging Trends in Science and Technology, 3(6), 4107-4114.

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