PROJECT REPORT ON MARKET

SEGMENTATION OF LUX SOAP

Logo of HUL
 INTRODUCTION OF HUL
LUX is the brand of HUL. HUL stands for
Hindustan Unilever Limited which is a leading
and flourished FMCG products manufacturing
company in india.It is owned by Anglo-Dutch
company Unilever which owns a 67%
controlling share in HUL as of March 2015 and
is the holding company of HUL.[2] HUL's
products include foods, beverages, cleaning
agents, personal care products and water
purifiers.
HUL was established in 1933 as Lever Brothers
and, in 1956, became known as Hindustan
Lever Limited, as a result of a merger
between Lever Brothers, Hindustan Vanaspati
Mfg. Co. Ltd. and United Traders Ltd. It is
headquartered in Mumbai, India and employs
over 16,000 workers,[2] whilst also indirectly
helping to facilitate the employment of over
65,000 people.[3] The company was renamed
in June 2007 as "Hindustan Unilever Limited".
As per Nielsen market research data, two out of
three Indians use HUL products. HUL's brands
spread across 20 distinct consumer categories. It
owns 35 major Indian brands. HUL has
consistently had the most number of brands in
the Top 10 list for the most trusted brands in
India. LUX, Surf Excel, 'Pepsodent and Ponds in
Home and Personal Care segment and Kissan and
Brooke Bond in Foods and Beverages Segment
are some of its top brands. In 2008, it launched
Ponds Age Miracle, Vaseline range of products in
skin care category.
 Objectives of project report
-To know and find the strategy used by the
company to market the product ie LUX in the
indian market and the base of segmenting the
product.
- To know the negative and positive aspects of
those strategies
-position of HUL soap products in the market
against its competitors
-To understand the customers buying
behaviour of lux
METHODOLOGY OF PROJECT REPORT
While preparing for the report various method
and techniques was used to gather more and
more information about hul and its brand
soap called LUX. The information mostly used
in the report was taken from the main
sources while Main source of information was
on the spot discussion and analysis with the
marketing intermediaries and customers.
Some additional information was collected
and used from the websites.
 Product Category of LUX
It is the types of brand that is offered by the
marketer to the customer. Here LUX is the
product category of product line called
bathing soaps that is manufactured by the
HUL. It also falls in the product line of toiletry
product as well as beauty soap.
 Market segmentation of Lux
“market segmentation is a process of dividing a
heterogeneous market into homogeneous sub units.”
Market segmentation is the identification of portions
of the market that are different from one another.
Segmentation allows the firm to better satisfy the
needs of its potential customers.
A brief description of the various market segment
HUL adopts for LUX are:
 Income :
One of the essential characteristic of an FMCG
product is an affordable price which is very
important for its fast sales. It is the meeting point
of demand for a product and its price that decide
whether the product will sell or not. And the
demand for a product is highly dependant on the
income of the customer. Lux is not a very costly
toilet soap. Its price varies from Rs.10 to rs.30.
Therefore its target market starts from the middle
income group
 Gender
Lux since in its introduction is seen as a soap for women. Lux
as a brand symbolises beauty. The Lux ads has hosted a bevy
of film stars such as from Madhubala, Babita, Hema,Karisma
to Kareena all endorsing the goodness of Lux over
generations. This was done inorder to attract women who
wanted to look and feel like the stars they idolised.
 Age :
Lux is seen to mainly attract customers that
fall within the age group of 16 to 35. In order
tocater them, Lux comes up with new and
interesting variants. One of the latest entrants,
LuxCrystal Shine is mainly targeted at the
youth . So is the Black Provocateur which
symbolises boldness . Another example is
the chocolate variant lux which was a
novel idea. All these areintroduced to catch
the attention of the youth.
 Geographical areas:
Hindustan unilever india Ltd. divides the market
as per geographical areas. The Indian present
population of the country is divided into three
parts as rural, sub urban and urban area
customers. Company extends the differentiation
as environmental division as per to Socio
Economic Cluster (SEC) which is income and
education. The SEC divides the consumers in five
division starting from A to E, where A falls in the
category which exceeds educated and consumers
having low income, and starting from A to
decreasing order E overturn the categorize.
 Targeting the market
LUX is not a highly expensive but is an
affordable product that is why the company
targets the urban and sub urban people of
upper middle and middle class people who
composes the highest segment of population
in our country than the people of below
poverty line.
Market share of HUL in INDIA
 Product Positioning:
Hindustan unilever India Ltd has a good place in the
consumers' mind by good and improved product price,
quality, and attribute, presently product in a different loom
than the manufactures do. Company provides the
customers with quality of products in the market and that
too in a reasonable price with immense brand, which finally
helps the company to make a place for the product in the
consumers' mind as top quality beauty soap. The
company's market share in the beauty soap manufacturing
is around 43%.as in the beauty soap manufacture all the
products in the market are of the same price. Hindustan
unilever can't provide its consumers with more improved
price but it has a large position in location with its
fragrance, product deign, packaging
Positioning plan of the company explains the position of
LUX in the customers mind with just one reason the price
and the quality.
 4 p’s of LUX
• Product:
This product is worldwide famous and it fall under beauty
soap of Hindustan unilever. LUX produce in Indiafor for the
local consumer but it is an internationally produce. In India
LUX comes in six different flavors which are as follows-
LUX Golden Glow

LUX Energizing Honey

LUX Orchid Touch

LUX Nature Pure

LUX Almond Delight

LUX Aqua Sparkle

• Price:
Hindustan unilever India provides worthy or we can say
it's value for money product to their customer in the
form of LUX beauty soap. This company face the Indian
market competition with the local market beauty soap
product, therefore they try to give their product which
is having good quality at cheaper rate or product which
normal consumer can afford so they can take over the
most of the market share. Beauty soap and beauty
products are in huge demand in Indian market.
• Place:
Hindustan unilever India Ltd. has reach the
sales over 11 million soaps per year. The
reason behind is only because of their
company's distribution channel, which is very
vast in India. Hindustan unilever India Ltd. is a
multinational company so they have huge
store house in India and each store house in
country's main part.
• Promotion:
When it comes to this part Hindustan unilever
India Ltd. never make any scarifies with the
promotional activities to promote LUX which is
the most selling product in the beauty soap
market in India. LUX is not only trying to promote
their soap for the female but also to the male
with the help of with world famous male
celebrity Shahrukh khan for their advertising.
 Conclusion
• The beauty soap in India has a very few manufacturer who
produce soap .on the other hand demand for the LUX soap is
very Hugh compared to other soap, because LUX soap is
offering good quality with the low price which is very useful
for the company to increase their profit as well as their
consumer. Hindustan unilever is the multinational company it
has huge segment for male and female with different types at
a lower price and in India people are more caring about the
soap and there smell . The way they make a promotion is one
of the best promotions, because they use boll wood
celebrities as brand
• Ambassador. Which is the best part of promotion and one
more thing they use which in which they organized beauty
contest. These things attracting a large number of consumers.
In Indian market consumers are very fascinated of discounted
items.
 Recommendation
Lux has been following a trend of constant product
development and improvement since itsinception. This
has always proved to be successful for the brand.
Therefore a similar strategycan be followed in the
future: Lux can go for a high end Ayurvedic variant. Lux
has beenassociated with beauty and feminine grace till
now. In the present day consumers are
intonaturopathy and believe in natural treatments
like the Ayurveda. Keeping with this trend, Luxcan foray
into Ayurvedic variant. HUL already has Hamam soap in
this category. But it is alow priced soap whose target
audience is quite different from Lux. This new variant
can provide the current customers of Lux with a blend
of both class and natural goodness.
Today’s children are tomorrow’s customers.
Children have a major share in the
decisionmaking process of consumers.
Therefore it will be a viable decision to launch
Lux KidsSpecial soap. By doing this Lux can
“catch them young” and get a loyal customer
base fromthem. This variant can be in vibrant
colours as opposed to the soft colours
used currently. Thefragrances can also be
made more “fun” and vibrant.
Lux has high penetration in the urban and semi urban
areas. However, it has only 19.8% penetration in the
rural areas. The rural market has great untapped
potential, which HUL hasnot concentrated on till now.
Consumers are becoming more and more aware and
undergoing asurge in disposable income. This huge
opportunity can be explored by Lux. HUL already has
astrong distribution channel in almost all regions. What
is needed here is a change in
thecommunication strategy to reach out to the rural cu
stomers. The various channels of communication
should be made more appealing to this rural segment
of customers
 REFERENCES
Marketing Management- PHILIP KOTLER-12 Edi
www.HUL .COM
WWW.wikipedia .com