Group Project: Sales and Distribution Strategy in Practice

Submitted by Submitted to
Amitesh chaturvedi Dr. Raghav Upadhyay
Erp id - 0231pgm079 Area Chair - Marketing
Prerna Goel
Erp Id -0231pgm142
Introduction and Product/Company Background

Hindustan Unilever Limited (HUL) is one of India’s largest fast-moving consumer

goods (FMCG) companies, known for its vast product portfolio across categories like
personal care, home care, food, and beverages.
With brands such as Dove, Lifebuoy, Surf Excel, and Knorr, HUL has a strong presence
in over 100 countries.
It has long been a market leader in the Indian FMCG sector, known for its ability to
innovate, adapt to changing consumer preferences, and maintain a strong distribution
network across urban and rural areas.

In recent years, HUL has placed a strong emphasis on sustainability and health,
responding to global and local consumer demands for environmentally friendly and
health-conscious products. As part of this trend, HUL has been introducing product
lines that align with these values, ensuring that its offerings remain relevant in a rapidly
changing market landscape.

HUL PureGlow, the newly conceptualized product line, is an extension of this

commitment. It is an eco-friendly skincare range designed to cater to modern
consumers who prioritize sustainability and wellness. PureGlow features products made
from natural, ethically sourced ingredients, packaged in biodegradable materials to
minimize environmental impact.
The line is intended to appeal to millennials and Gen Z consumers who seek effective
skincare solutions without compromising on their ethical values.

HUL PureGlow fits seamlessly into HUL’s portfolio as it aligns with the company’s
broader focus on sustainable living and health-conscious products. It reflects HUL’s
ongoing efforts to innovate and meet evolving market trends while strengthening its
leadership in the personal care segment.
This new product range not only reinforces HUL’s commitment to sustainability but also
positions it competitively in the booming market for natural skincare, enhancing its
brand appeal to eco-conscious consumers.
2. Sales Process Mapping for HUL PureGlow

The sales process for HUL PureGlow involves a multi-step approach that combines
digital innovation, HUL’s strong retail distribution network, and customer-centric
strategies to effectively reach the target audience of eco-conscious and health-focused
consumers, particularly millennials and Gen Z.

The following steps outline the complete sales process, from lead generation to deal
closure, ensuring customer satisfaction and repeat business.

Step 1: Lead Generation

Digital Marketing and Influencer Campaigns

● Social Media Ads: HUL PureGlow will use targeted ads on platforms like
Instagram, Facebook, and YouTube, leveraging data-driven insights to reach
eco-conscious consumers, particularly in the 18-35 age group. Custom audience
 segments can be built using behavioral data such as interest in sustainable
products, wellness trends, and skincare routines.
● Influencer Collaborations: Partnering with eco-conscious influencers, skincare
experts, and wellness advocates will help generate credibility and organic reach
for the PureGlow brand. Influencers in the health and beauty space can highlight
the product’s natural ingredients, minimal packaging, and environmental
benefits, sparking interest among their followers.

Traditional Outreach

● Retail Partnerships and Collaborations: HUL can collaborate with

well-established retailers and modern trade chains (e.g., Reliance Fresh, Big
Bazaar) to display the PureGlow line. Partnerships with specialized wellness and
eco-friendly stores will also help position PureGlow as a premium, conscious
skincare brand.
● In-Store Promotions: HUL will leverage its wide retail presence by offering
in-store promotions such as product samples, demo stations, and eco-friendly
giveaways, encouraging foot traffic to test the new line.

Step 2: Customer Targeting

Key Customer Segments

● Millennials and Gen Z: The primary target audience for HUL PureGlow consists
of millennials (aged 25-40) and Gen Z (aged 18-25), both of whom are known for
prioritizing sustainable and health-conscious choices. These groups are also
highly active on digital platforms, making them accessible through online
advertising and social media campaigns.
● Eco-Conscious Consumers: Consumers with a strong preference for
environmentally friendly, natural, and ethically sourced products are another key
segment. They are willing to invest in skincare products that align with their
values.
● Health and Wellness Enthusiasts: People with an interest in wellness routines,
clean beauty, and holistic living are also part of the target market. The focus will
be on communicating PureGlow’s benefits for both skincare and the
environment.
Step 3: Prospecting Techniques

Retail Presence

● Modern Retail Chains: PureGlow will capitalize on HUL’s robust distribution

network to prospect through partnerships with major retail chains, departmental
stores, and specialty beauty stores. HUL’s established relationships will ensure
product visibility in urban and semi-urban markets, creating a seamless
customer experience across retail touchpoints.
● E-Commerce Platforms: Leveraging online marketplaces like Amazon, Flipkart,
and Nykaa will enable PureGlow to tap into the growing trend of online
shopping, especially among millennials and Gen Z consumers. Special
e-commerce campaigns (e.g., discounted bundles, free shipping) will drive
engagement and encourage impulse purchases.

Direct-to-Consumer (D2C)

● Dedicated Website: A D2C approach via a dedicated HUL PureGlow website will
allow customers to purchase products directly, offering exclusive discounts, free
samples, and eco-friendly packaging options. Personalized experiences and
recommendations can be made available using AI and machine learning to
suggest products based on consumer skincare needs.

Step 4: Sales Closure

Retail Channel

● Sales Representatives: Trained sales representatives in stores will engage with

customers, offering information about PureGlow’s benefits and demonstrating
product usage. These representatives will focus on building relationships and
answering consumer questions, helping to close sales more effectively.
● Incentive-Based Promotions: Limited-time offers, such as ‘Buy One, Get One
Free’ or discounts for new customers, will be used to prompt purchases,
especially during initial product launch phases.

E-Commerce and Digital Sales

● One-Click Checkout and Subscription Models: To close sales efficiently on

e-commerce platforms, the website and app will offer a user-friendly, one-click
checkout process. Additionally, a subscription model can be introduced where
customers can sign up to receive monthly or quarterly deliveries of their favorite
PureGlow products at a discounted rate, ensuring consistent revenue streams.
 ● Personalized Checkout Offers: HUL will implement dynamic pricing and
personalized offers based on browsing history and purchase behavior,
encouraging upselling and cross-selling of related products.

Step 5: Follow-Up Strategies

Loyalty Program

● Exclusive Membership: The PureGlow loyalty program will offer customers

exclusive benefits, such as early access to new product launches, birthday
discounts, and rewards for repeat purchases. Customers earn points with every
purchase, which can be redeemed for discounts or eco-friendly gifts.
● Sustainability Perks: Eco-conscious customers can earn additional rewards for
recycling PureGlow packaging through a 'Green Points' system, which can be
applied to future purchases.

Customer Relationship Management (CRM)

● Personalized Follow-Ups: Using HUL’s CRM system, personalized email

campaigns can be sent to customers based on their purchase history and
skincare preferences. This will keep customers engaged and informed about
special offers, seasonal product launches, and skincare tips.
● Post-Purchase Feedback and Support: HUL will implement a post-purchase
feedback mechanism, asking customers for their opinions on the product and
offering responsive customer service through chatbots and live agents. This
creates a connection with the customer and provides valuable insights for
improving products or services.

3. Distribution Channel Design for HUL PureGlow

To ensure that HUL PureGlow reaches a broad spectrum of customers—ranging from

urban dwellers to semi-urban consumers and online shoppers—a well-structured, hybrid
distribution channel will be designed. This approach will leverage both direct and
indirect distribution strategies, capitalizing on HUL’s vast supply chain experience while
accommodating the specific needs of the PureGlow eco-friendly skincare line.

Channel Design

A multi-tiered, hybrid channel system will be utilized to distribute HUL PureGlow

efficiently across various regions and platforms. This includes both traditional retail
channels and digital avenues, ensuring wide availability and seamless delivery.
Direct Distribution Channels

1. HUL’s E-Commerce Platform

○ Direct-to-Consumer (D2C): HUL PureGlow will be sold directly through
the company’s own website and mobile app, enabling customers to
purchase products online. The direct platform allows HUL to control
pricing, packaging, and customer service, ensuring a premium,
eco-conscious experience for PureGlow buyers.
○ Subscription Models: PureGlow will offer a subscription service,
delivering products at regular intervals to loyal customers with added
benefits such as discounts or special eco-friendly packaging. This will
foster customer retention and create a reliable revenue stream.
2. Flagship Stores
○ Physical Experience: HUL will set up exclusive PureGlow counters in
existing flagship stores, like those in shopping malls or dedicated beauty
spaces in large cities such as Mumbai, Delhi, and Bengaluru. These
counters will offer in-person product experiences, testers, and expert
consultations to educate customers about the eco-friendly benefits of
PureGlow.

Indirect Distribution Channels

1. Supermarkets and Departmental Stores

○ Major Chains: Products will be distributed through prominent
supermarket chains such as Big Bazaar, Reliance Fresh, and Spar, which
have a strong presence in urban and suburban markets. These outlets will
showcase HUL PureGlow alongside other personal care products, allowing
easy access for mass consumers.
○ Beauty Retail Chains: PureGlow products will also be available at leading
beauty retailers like Nykaa and Sephora, which focus on health and
beauty products, aligning with the brand’s positioning in the premium
skincare market.
2. Wholesalers and Distributors
○ Urban Markets: HUL will work with wholesalers who specialize in
distributing personal care products to urban markets. These
intermediaries will ensure that smaller retail stores in metro areas have
sufficient stock and access to promotional materials to support sales.
○ Small Retailers in Semi-Urban Areas: Using an indirect approach, HUL
will collaborate with smaller retail outlets in semi-urban areas to expand
the reach of PureGlow. These stores will receive stock from regional
distributors who manage local inventories.
3. E-Commerce Platforms
 ○ Partnership with Online Marketplaces: In addition to HUL’s own
e-commerce website, PureGlow will be sold through large online
marketplaces such as Amazon, Flipkart, and Nykaa. These platforms have
a broad customer base and can offer next-day delivery, bundling, and
special offers to attract customers seeking convenience and competitive
pricing.

Channel Structure

A hybrid distribution model will be implemented, balancing both direct and indirect
channels to ensure widespread availability and efficient logistics.

1. Direct Channel:
○ HUL’s e-commerce platform and flagship stores will provide direct access
to consumers, offering exclusive deals and personalized services.
2. Indirect Channel:
○ A network of wholesalers, modern trade channels (supermarkets, beauty
retailers), and small stores in semi-urban regions will handle indirect
distribution. This approach ensures broader market coverage, especially
in areas where online shopping is less prevalent.

Challenges and Solutions

1. Channel Conflict
○ Challenge: With both online and offline channels selling the same
products, there could be potential conflicts between physical retailers and
e-commerce platforms regarding pricing and exclusivity.
○ Solution: HUL will introduce exclusive product lines for each channel. For
example, unique variants of HUL PureGlow (e.g., limited edition scents or
special eco-friendly packaging) will be available only through online
platforms, while flagship stores and retail chains will receive different
product offerings, minimizing overlap and competition. Additionally,
consistent pricing policies will be enforced across all channels to avoid
price wars.
2. Logistics and Delivery
○ Challenge: Ensuring timely delivery to remote regions (tier 2 and tier 3
cities) poses logistical challenges, including higher transportation costs
and longer delivery times.
○ Solution: HUL will set up micro-hubs in strategic tier 2 and tier 3 cities.
These micro-hubs will serve as local distribution centers, significantly
reducing delivery times and costs by enabling quicker transfers from
regional warehouses to customers in these areas. By decentralizing its
 supply chain, HUL can manage inventory better, lower transportation
costs, and enhance delivery efficiency in remote locations.
○ Sustainability in Logistics: As part of the eco-conscious strategy of HUL
PureGlow, the company will explore sustainable logistics solutions such as
electric vehicles for last-mile deliveries and eco-friendly packaging to
align with the product’s green philosophy.

4. Salesforce Management Plan for HUL PureGlow

Managing a specialized salesforce for HUL PureGlow requires a tailored approach,

focusing on recruiting individuals with the right expertise, ensuring territory coverage,
and motivating the team with appropriate incentives. As the product centers on
eco-consciousness and premium skincare, the salesforce must reflect these values, with
an understanding of beauty products and sustainable marketing practices.

Salesforce Management Plan

1. Recruitment and Training

● Recruitment Focus:
○ Beauty Product Expertise: Recruit sales personnel with prior experience
in the beauty and personal care industry. This ensures they are familiar
with the needs, preferences, and concerns of beauty consumers.
○ Sustainability Knowledge: Given the eco-friendly nature of HUL
PureGlow, candidates should have a passion for sustainability or
experience in selling green products. This alignment will help them
communicate the brand’s environmental benefits effectively.
○ Digital and Omnichannel Savvy: As PureGlow is distributed through both
e-commerce and physical retail channels, the salesforce needs to be
adept at handling omnichannel customer interactions, from in-store
consultations to digital communication for online queries.
● Training Programs:
○ Product Knowledge: Provide in-depth training on the HUL PureGlow
product line, focusing on its natural ingredients, eco-friendly packaging,
and unique value propositions. Salespeople should be able to answer
detailed customer questions about product benefits, environmental
impact, and skin compatibility.
○ Eco-Conscious Marketing Strategies: Sales training will emphasize how
to communicate sustainability and health benefits effectively. This
includes educating consumers on how PureGlow contributes to reducing
waste, supporting environmentally friendly lifestyles, and improving skin
health.
 ○ CRM and Digital Tools: Equip the salesforce with training in Customer
Relationship Management (CRM) systems to help track customer
preferences and behaviors. Additionally, training in digital marketing
techniques such as social media outreach and online promotions will
ensure they can handle both physical and digital sales environments.

2. Territory Allocation

● Territory Segmentation:
○ Urban Areas: Allocate sales representatives to focus on major
metropolitan areas like Mumbai, Delhi, and Bengaluru, where there is a
high concentration of health-conscious and eco-aware consumers. The
dense population and larger number of retail stores make these regions
high-potential markets for PureGlow.
○ Semi-Urban Areas: Assign dedicated salespeople to semi-urban areas,
where a growing middle class is becoming more conscious of personal
care and environmental issues. These territories will be prioritized based
on proximity to urban hubs, where HUL’s distribution network is already
strong.
○ Rural Areas: Although HUL PureGlow’s primary audience is in urban and
semi-urban areas, select rural regions with rising demand for beauty
products will be covered as well. For these areas, a less aggressive sales
approach will be employed, focusing more on building brand awareness
over time.
● Territory Size:
○ Sales territories will be divided based on population density, retail
presence, and consumer behavior. High-consumer-density urban areas
will have smaller, more focused territories to ensure detailed coverage,
while semi-urban and rural areas will have larger territories with more
general oversight.
○ Specialty Stores Focus: In key urban territories, sales representatives will
concentrate on flagship stores, supermarkets, and beauty retail chains
like Nykaa and Sephora to maximize product exposure.

3. Incentive Structures

● Performance-Based Incentives:
○ Sales Targets: Incentives will be aligned with sales goals, rewarding
salespeople who meet or exceed their targets. In areas where HUL
PureGlow is a new entrant, bonus structures will be higher to encourage
quick market penetration.
 ○ Territory Penetration: Special incentives will be offered for salespeople
working in underpenetrated or emerging markets such as tier 2 and tier 3
cities. This could include additional bonuses for expanding the product's
reach in these regions and securing new retail partnerships.

● Eco-Conscious Sales Initiatives:

○ Sustainability Promotion: Sales personnel who actively promote
PureGlow’s sustainability initiatives, such as eco-friendly packaging and
cruelty-free ingredients, will be recognized. For instance, additional
rewards could be given for educating retailers and consumers about the
environmental benefits of PureGlow and securing shelf space in “green”
retail sections.
○ Customer Retention: Incentives will also be tied to retaining customers
through CRM efforts, especially those who participate in HUL PureGlow’s
subscription or loyalty programs. Salespeople will be rewarded for
fostering long-term relationships with eco-conscious buyers.
● Team-Based Incentives:
○ Collaborative sales efforts, such as organizing sustainability-focused
events or in-store promotions with retailers, will be rewarded. Teams that
work together to generate sales through events (like in-store product
launches, beauty consultations, or sustainability workshops) will receive
collective bonuses.

Summary of Salesforce Management Plan

1. Recruitment:
○ Focus on hiring sales professionals with experience in beauty products
and sustainability. Key skills include product expertise, digital sales
techniques, and environmental awareness.
2. Training:
○ Sales teams will receive comprehensive training on HUL PureGlow’s
product line, sustainable marketing practices, and CRM/digital tools for
managing customer relationships.
 3. Territory Allocation:
○ Sales territories will be segmented based on urban, semi-urban, and rural
market potential. Territories with dense populations will receive
dedicated, focused coverage, while emerging markets will have larger,
broader territories.
4. Incentive Structures:
○ Performance-based incentives, eco-conscious sales tactics, and
team-based rewards will drive salesforce motivation. Special bonuses will
be offered for penetrating new markets and promoting the sustainability
features of PureGlow.

5. Competitor and Retailer/Distributor Analysis for HUL PureGlow

In this section, we will examine HUL PureGlow’s competitive landscape by analyzing

two key competitors: Dabur and ITC. The analysis will focus on their product offerings,
distribution strategies, and retailer relationships, providing insights into how HUL
PureGlow can position itself to gain a competitive edge.

Competitor 1: Dabur (Focusing on Natural Skincare)

● Product Focus:
○ Dabur is known for its extensive use of Ayurvedic ingredients in its
skincare and personal care products. Its product lines, such as Dabur
Vatika and Dabur Gulabari, emphasize traditional and natural remedies,
appealing to consumers who are inclined towards Ayurveda and natural
wellness.
● Distribution Strategy:
○ Traditional Channels: Dabur relies heavily on traditional distribution
channels, which include wholesalers, small retailers, and kirana stores.
This strategy works well in rural and semi-urban areas where demand for
Ayurvedic products is strong.
○ E-commerce: Although Dabur has an online presence, its e-commerce
strategy is not as robust as other players. The brand has been slower in
adopting digital channels compared to competitors.
● Retailer Relations:
○ Dabur has strong relationships with traditional trade retailers, particularly
in rural markets. However, it does not dominate in modern retail or
premium skincare retail outlets to the same extent as HUL.
● Strengths:
○ Strong brand loyalty in the Ayurvedic segment.
○ Well-established in rural and semi-urban markets.
 ○ Extensive product portfolio in the natural and herbal space.
● Weaknesses:
○ Limited penetration in modern retail and e-commerce platforms
compared to HUL.
○ Focus on Ayurveda may limit its appeal to consumers looking for
contemporary eco-friendly skincare solutions.

Competitor 2: ITC (with its personal care line like Fiama)

● Product Focus:
○ ITC’s Fiama line focuses on premium personal care products, particularly
targeting urban consumers with products that combine technology and
nature (e.g., Fiama Di Wills). The brand is positioned as a modern,
innovative solution for skincare, leveraging ingredients that appeal to
wellness-conscious individuals.
● Distribution Strategy:
○ Modern Retail Focus: ITC Fiama products are widely distributed through
modern trade outlets like supermarkets, hypermarkets, and pharmacies.
The brand also has a strong presence on e-commerce platforms such as
Amazon and Flipkart.
○ Direct-to-Consumer (D2C): ITC has been more aggressive in building a
direct-to-consumer model through its own e-commerce platforms and
digital marketing channels, targeting tech-savvy urban customers.
● Retailer Relations:
○ ITC has cultivated strong relationships with modern trade retailers,
providing it with premium shelf space in urban centers. The company’s
strategic alignment with both large and small format retailers has allowed
it to penetrate various consumer segments effectively.
● Strengths:
○ Strong positioning in premium personal care products.
○ Robust presence in modern trade outlets and e-commerce.
○ Strong brand perception as an innovative and modern personal care line.
● Weaknesses:
○ ITC’s products are primarily targeted at premium consumers, which may
limit its reach in rural or price-sensitive segments.
○ Fiama’s focus on technology and luxury may not resonate as strongly with
eco-conscious consumers compared to HUL PureGlow’s emphasis on
sustainability.
Comparison of HUL PureGlow’s Strategy with Competitors
Aspect HUL PureGlow Dabur ITC (Fiama)

Product Eco-friendly skincare with Ayurvedic and Premium personal

Focus natural ingredients herbal skincare care focusing on
solutions wellness

Sustainabilit Strong emphasis on Moderate Focus on premium

y eco-friendly packaging, sustainability product innovation
natural ingredients, and focus, but more rather than
minimal waste traditional with sustainability
Ayurveda

Distribution Hybrid structure: direct Traditional Modern retail and

Channels (e-commerce, flagship distribution: e-commerce with
stores) and indirect wholesalers, small strong presence in
(supermarkets, beauty retailers, rural urban areas
chains, small retailers) focus

Retailer Strong relationships with Strong presence in Excellent

Relationships modern retail and traditional retail, relationships with
premium beauty outlets limited modern modern trade
retail presence retailers and
premium outlets

Strengths Leverages HUL’s Deeply rooted in Strong urban

extensive distribution Ayurvedic presence, premium
network, strong products, strong in positioning, good
sustainability focus, rural and reach in modern
appeals to eco-conscious semi-urban retail and
and health-focused markets e-commerce
consumers

Weaknesses Could face challenges in Limited appeal to Limited appeal in

rural markets due to modern, rural, price-sensitive
higher pricing and eco-conscious markets
premium positioning urban consumers
Opportunities for HUL PureGlow

● Differentiation through Eco-Friendliness:

○ While Dabur focuses on Ayurveda and ITC Fiama on luxury, HUL
PureGlow can carve out a niche by emphasizing eco-friendly packaging
and sustainable practices. This resonates with a growing number of
consumers who are not just concerned with product quality but also with
the environmental impact of their purchases.
● Leveraging Modern Trade and E-commerce:
○ HUL’s established relationships with modern retail chains and its strong
e-commerce infrastructure give it a significant advantage over Dabur,
whose presence in these channels is limited. By focusing on digital
channels, PureGlow can further differentiate itself from Dabur and even
strengthen its competitiveness with ITC.
● Urban vs. Rural Strategy:
○ While Dabur excels in rural areas, HUL PureGlow can target urban and
semi-urban markets with its hybrid distribution strategy. Urban
consumers are more likely to prioritize eco-consciousness, which aligns
with PureGlow’s product philosophy. However, HUL can gradually expand
into rural markets with simplified product versions and educational
campaigns.

Challenges and Solutions

● Channel Conflict:
○ Challenge: Both Dabur and ITC may face friction between their online
and offline channels. For HUL PureGlow, managing potential channel
conflicts between e-commerce and physical retail partners could be an
issue, especially in pricing or exclusive product offerings.
○ Solution: To mitigate this, HUL can offer exclusive product ranges for
e-commerce platforms and different variants for retail outlets, ensuring
each channel feels valued and receives unique offerings.
● Rural Penetration:
○ Challenge: Competing with Dabur in rural markets will be difficult, given
Dabur’s established distribution network.
○ Solution: HUL PureGlow can introduce entry-level products or smaller
packaging sizes to make the product more accessible in rural regions.
Strategic partnerships with rural retailers and micro-entrepreneurs can
also help HUL build trust and familiarity with rural consumers.
6. Reflection on Sales and Distribution Theory Application

In this section, I will reflect on how theoretical frameworks of sales and distribution
were applied to the design of the sales strategy for HUL PureGlow and how real-world
practices of HUL influenced the approach.

Channel Design

The theory of distribution channels emphasizes the importance of selecting the right
intermediaries and balancing direct and indirect channels. This framework guided the
design of HUL PureGlow’s distribution network. By employing a hybrid channel
structure (both direct and indirect), we ensured that different consumer segments were
effectively targeted.

● Direct Channels: The decision to include direct channels such as HUL’s own
e-commerce platform and flagship stores was informed by the increasing
consumer preference for online shopping and the need to create a personalized
brand experience. This aligns with the theoretical understanding that direct
channels provide greater control over brand messaging and customer
interactions.
● Indirect Channels: The inclusion of intermediaries like wholesalers and retailers
aligns with the traditional distribution theory where intermediaries help reach
broader markets. By targeting supermarkets and beauty retail chains, we
capitalized on HUL’s strong relationships with modern trade outlets, offering a
robust channel for mass-market exposure. This blend of channels reflects HUL’s
ability to leverage its wide distribution network, especially for premium products
like PureGlow.

Salesforce Structuring

The theory of salesforce management suggests structuring the salesforce based on

territory, product knowledge, and customer focus. In developing a strategy for HUL
PureGlow, these concepts were central to ensuring an efficient and motivated sales
team.

● Territory Allocation: Dividing territories into urban, semi-urban, and rural

segments allowed us to address diverse market needs. For urban areas, where
consumers are more likely to be eco-conscious and health-focused, a
concentrated effort was proposed, while in semi-urban areas, the salesforce
would focus on educating customers about the benefits of eco-friendly products.
● Incentive Structures: The application of incentive theory informed our decision
to offer performance-based rewards, such as bonuses for reaching sales targets
 in underpenetrated regions. By incentivizing eco-conscious sales tactics, the
salesforce is aligned with HUL PureGlow’s brand values, enhancing motivation
and focus on sustainability.

Customer Segmentation

Segmentation theory was critical in defining HUL PureGlow’s key customer segments.
The approach was guided by understanding consumer behavior in relation to
eco-friendly and sustainable products.

● Millennials and Gen Z: The primary customer segments were identified as

millennials and Gen Z consumers, who are known to prioritize sustainability,
ethical products, and health-conscious lifestyles. Applying customer
segmentation theory helped focus marketing and sales efforts on this
demographic, ensuring that the product’s eco-friendly attributes were aligned
with consumer values.
● Urban vs. Rural: By applying geographic segmentation, we tailored our
strategy to meet the demands of urban consumers who are more inclined to
purchase eco-friendly products. Rural consumers, on the other hand, were
considered for future expansions with adapted product lines, keeping
affordability and accessibility in mind.

Logistics and Channel Conflict Management

The real-world strategies employed by HUL played a significant role in shaping the
logistics and channel conflict management for HUL PureGlow.

● Logistics Management: HUL’s established logistics infrastructure, including its

distribution hubs and regional warehouses, was an inspiration for creating
micro-hubs in tier 2 and tier 3 cities for PureGlow. This concept was supported
by logistics theory, which highlights the importance of optimizing delivery times
and reducing costs in remote regions. The proposed micro-hubs align with the
logistical realities of distributing products in a vast country like India, where
infrastructure varies greatly across regions.
● Channel Conflict Resolution: Drawing from HUL’s experience in managing
multiple product lines across diverse channels, we applied channel conflict
theory to propose solutions for potential friction between online and offline
retailers. Offering exclusive product ranges for e-commerce platforms versus
physical stores helps avoid direct competition between the two channels,
ensuring harmonious relationships with both. HUL’s practice of segmenting
product lines and pricing strategies across channels served as a real-world
insight that guided the solution.
Influence of HUL’s Existing Strategies

HUL’s extensive and sophisticated distribution model provided numerous real-world

insights. For example, HUL’s ability to reach even the most remote areas of India
through its Project Shakti initiative inspired the idea of expanding PureGlow’s reach
into semi-urban and rural areas using micro-hubs and local retail collaborations.

Moreover, HUL’s strategy of leveraging its long-standing relationships with modern

retail chains was key in designing the indirect distribution strategy for HUL PureGlow.
By aligning with supermarkets and premium beauty retailers, PureGlow can quickly
gain traction in urban centers, where consumers are more eco-conscious and
health-focused.

Summary of Sales and Distribution Strategy for HUL PureGlow

1. Introduction and Product/Company Background: Hindustan Unilever Limited

(HUL) is a leading player in the FMCG sector in India, recognized for its diverse range
of products across personal care, home care, and food & beverages. The proposed
product, HUL PureGlow, is an eco-friendly skincare line that aligns with market trends
emphasizing sustainability and health.

2. Sales Process Mapping: The sales process for HUL PureGlow involves:

● Lead Generation: Utilizing digital marketing, targeted ads, and influencer

partnerships alongside traditional retail collaborations.
● Key Customer Segments: Targeting millennials and Gen Z, who are
eco-conscious and health-focused.
● Prospecting Techniques: Leveraging HUL's extensive retail presence through
modern retail chains and e-commerce platforms.
● Follow-up Strategies: Implementing a loyalty program supported by CRM
systems for personalized communication and exclusive offers.

3. Distribution Channel Design: A hybrid distribution strategy is proposed:

● Intermediaries: Engaging wholesalers in urban markets, direct distribution in

metro areas, and using e-commerce platforms for online sales.
● Channel Structure: Combining direct channels (HUL’s e-commerce platform) and
indirect channels (supermarkets and beauty retail chains).
● Challenges and Solutions: Addressing potential channel conflict by creating
exclusive product lines for physical and online retailers, and establishing
micro-distribution hubs in tier 2 and tier 3 cities for improved logistics.
4. Salesforce Management: The salesforce management plan includes:

● Recruitment and Training: Hiring salespeople knowledgeable in beauty

products and sustainability, with training focused on eco-conscious marketing.
● Territory Allocation: Dividing territories based on urban, semi-urban, and rural
demographics to maximize coverage.
● Incentive Structures: Implementing performance-based incentives for
achieving sales targets in underserved regions and recognizing sustainable sales
tactics.

5. Competitor and Retailer/Distributor Analysis: The project compares HUL PureGlow

with competitors:

● Competitor 1: Dabur focuses on natural skincare but aligns closely with

Ayurvedic principles.
● Competitor 2: ITC, known for its personal care line like Fiama, emphasizes
traditional distribution channels. The analysis suggests that HUL can
differentiate PureGlow by emphasizing eco-friendliness and leveraging modern
retail relationships.

6. Reflection on Sales and Distribution Theory Application: The project reflects on

various sales and distribution theories, including:

● Channel Design: Emphasizing the importance of an effective distribution

strategy in enhancing product availability and customer access.
● Salesforce Structuring: Aligning sales strategies with the company's
sustainability goals.
● Customer Segmentation: Ensuring targeted marketing resonates with the
eco-conscious demographics.

The insights from HUL’s current strategies informed the logistics management and
channel conflict resolution approaches, demonstrating the practical application of
theoretical concepts.