CHAP: 1 HISTORY AND INTRODUCTION
HISTORY OF HUL:
The liberalization allowed Unilever to explore everysingle product and opportunity segment, without anyconstraints on production capacity. In July 1993,Brooke Bond India and Lipton India merged to formBrooke Bond Lipton India Limited. It launched Wall'srange of Frozen Desserts in 1994 & by the end of theyear. Unilever entered into a strategic alliance withthe Kwality Ice cream Group families. BBLIL mergedwith HLL, with effect from January 1, 1996 In February 2007, the company has been renamed to"Hindustan Unilever Limited" to strike the optimum balancebetween maintaining the heritage of the Company and thefuture benefits and synergies of global alignment with the corporate name of “Unilever”
The strategies to overcome barriers & limitations are:Increase off –
season salesExpand the overall size of the marketIncreasing involvement with the brandPromote brand consumption of ice creamEfficient distribution network.Launch Dairy Classic as a fighter brand
HISTORY AND INTRODUCTION OF KWALITY WALLS
In January 2000, in one of the profit center review meetings, the board of Hindustan Lever Ltd, Unilever's Indian subsidiary, gave an ultimatum to the Ice Cream Executive Committee (ICEX) to break even by the end of 2001. It had been six years since the company had entered the ice cream business. During this period, despite its best efforts the division continued to be in the red. Responding to the board's directive, J.H. Mehta, Executive Director, Ice Creams with his core ICEX team, embarked on a new business strategy to revive the loss making ice-cream business. HLL sold ice creams in 40,000 outlets countrywide. But seven cities -Mumbai, Delhi, Kolkata, Hyderabad, Bangalore, Chennai and Pune - represented two-thirds of the organized 80 million litres ice cream market.
HLL decided to concentrate only on these seven cities for its 'Kwality Wall's' brand. The number of manufacturing units was cut down to six from 40 that were present in 1995.
HLL also decided to launch a range of new products backed by advertisements and innovative promotional offers. The company decided to promote Kwality Wall's as an umbrella brand. The ice cream division made profits of Rs. 9.74 crores for the first time during January - June 2003, compared to losses of Rs. 2.86 crores and Rs. 9 crores in the first six months of 2002 and 2001. But HLL realized there were formidable challenges ahead in a fragmented market, where competition was intensifying.
Kwality walls was launched in 1995 as Hindustan Unilever Ltd. Master brand for ice cream. With in-depth knowledge of the Indian market & Unilever state-of-the-arttechnology. Kwality walls has been delivering superior quality product under its international brands.Hindustan Unilever started by merging 6 existing ice cream brands in the country & then launchedkwality walls range of ice-cream & frozen desserts.
The kwality company is dedicated to the notion that people need to eat healthy, better tasting foods. And by making our ice cream , kwality uses onlythe fresh & delicious milk. Company’s mission is to add vitality to life. We meet everyday needs to nutrition’s, hygiene & personal core that help the people feel good, look good & get more out of life
ABOUT KWALITY WALL’S
KWALITY Walls, which has been identified as one amongthe 30 power brands of FMCG giant Unilever. Kwality Wall’s currently commands a market share of more than 50 per cent of the organised Indian ice-creamsector. KWALITY WALL’S, launched in 1995, is the company's master brand for ice cream. The global leaderin ice cream - with a deep insight of the Indian market. Itwas founded in 1956.It was the first in the region to import machinery for the mass production and sale of icecream on a commercial scale. In 1995 Kwality entered intoan agreement with Lever as a result of growth in frozenfoods market.
The Kwality Group
KWALITY - a...
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