Deutsche Bank Global Consumer Conference 2021 - Sanjiv Mehta, Chairman & Managing Director Hindustan Unilever Limited
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Deutsche Bank Global
Consumer Conference 2021
Sanjiv Mehta, Chairman & Managing Director
Hindustan Unilever Limited
7th June 2021
Sensitivity: Public
Safe harbour statement
This Release / Communication, except for the historical information, may contain statements, including the words or phrases such as
‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar
expressions or variations of these expressions or negatives of these terms indicating future performance or results, financial or otherwise,
which are forward looking statements. These forward looking statements are based on certain expectations, assumptions, anticipated
developments and other factors which are not limited to, risk and uncertainties regarding fluctuations in earnings, market growth, intense
competition and the pricing environment in the market, consumption level, ability to maintain and manage key customer relationship and
supply chain sources and those factors which may affect our ability to implement business strategies successfully, namely changes in
regulatory environments, political instability, change in international oil prices and input costs and new or changed priorities of the trade.
The Company, therefore, cannot guarantee that the forward-looking statements made herein shall be realized. The Company, based on
changes as stated above, may alter, amend, modify or make necessary corrective changes in any manner to any such forward looking
statement contained herein or make written or oral forward looking statements as may be required from time to time on the basis of
subsequent developments and events. The Company does not undertake any obligation to update forward looking statements that may be
made from time to time by or on behalf of the Company to reflect the events or circumstances after the date hereof.
2
Sensitivity: Public
HUL: India’s largest FMCG Company India
€5 bn 25%
9 out of 10
Turnover Operating margin
Households use one or more
5th Largest
+ €3 bn +1000bps
of our brands Indian company by
market capitalisation of
In last decade In last decade
€ 66 bn
c. 90% Brands in
Of our business has category
8m+ Largest
M&A
leadership Stores
in FMCG in India
1 Employer Plastic
of choice +2200bps 136k >1.3 tn litres
Gender balance
Shakti women neutral
Across industries micro
in last decade
enterpreneurs
By 2021 Water conservation
potential created
India a land of opportunities India
India is reforming FMCG has huge headroom to grow
Health Food Drinks 24%
Instant Coffee
India X
Face Wash
Ease of doing Body Lotion
business rank Washing Liquids Indonesia 2X
improved Dishwash Liquid
Soup
China 3X
+79 Hair Conditioner
Body Wash 2%
Low category FMCG per capita
penetration consumption
Demographics dividend Income pyramid moving towards a diamond
2016 2025
1.05 bn working class population
North
America
1/3rd are millennials
80% nuclear households by 2030
19
Beauty & Personal Care €2.1 bn India
Hair care Straddling price - benefit Portfolio transformation
pyramid
Hair
CAGR 11%
Rs. 432
High end
Relative (€5)
naturals
Market Share
3X Salon care
FY’10-11 FY20-21
Anti-dandruff
Daily damage
care
Mass beauty
Sachet at
Rs.1 Family
(€0.012)
20
Home Care €1.7 bn India
Upgrading with new Impactful
Fabric Wash
benefits Innovations
CAGR 11% Profitability
8X
Relative
Market Share
More benefits
FY’10-11 FY20-21 2X
Rising income
21
Foods & Refreshment €1.6 bn India
Tea Winning in many Indias’ Market Development
CAGR 12%
Secured market Recognising
leadership in Tea Heterogeneity
FY’10-11 FY20-21
Punjab & Karnataka
Same brand designed for
different preferences
22
India’s Digital Evolution India
Average monthly data
Internet penetration Cost of 1 GB data
consumption per user
2015 2021 2015 2021 2015 2021
302 m 761m US$ 4 US$ 10c 0.8 GB 13 GB
23
Reimagining HUL: Journey to an Intelligent Enterprise India
Yesterday Tomorrow
Consumer
Ecosystem
Data, Tech
Source Manufacture Dis tribute Sale s
&
Analytics
Operations Customer
Ecosystem Ecosystem
Transforming from linear value chain to non linear and interconnected ecosystems
24
Consumer Ecosystem India
Generating Better Agile Innovation Hub
Insights
Interconnected Engagement Engagement & Faster & Better
Systems Feedback Innovation
Navigate the C rafting Effective
shopper to Attributing media to growth
C ommunication
purchase
Deploying
C ommunication
Effectively
Consumer signal to launch in half the time
25Customer Ecosystem India
Demand Generation Demand Capture Demand Fulfilment
eComm, USHOP
Shikhar
Capability (DTC) &
(eB2B ordering)
Digi Payment Data & Analytics Last mile Delivery
MyKirana (B2C)
App based call & Route optimisation,
Ambition to double
Impact contribution
personalised Retailer credit assortment Next day delivery
recommendation recommendation
> 500k Kiranas (traditional grocers) connected; 2 Year plan folded in 6 months
26Operations Ecosystem India
Plan & Source Make Deliver & Service
Artificial Intelligence led commodity and Manufacturing & distribution network Automated storage & picking
demand forecasting transformation
Machine Learning powered intelligent Digitally enabled agile manufacturing Integrated routing & delivery
planning for distributors
Moving towards a Hi-Tech and Intelligent Supply Chain
27Powered by Data, Tech & Analytics India
Consumer Data
Lake
External
Ecosystem
Data
Operations Data Customer Data
Forecasting Lake Lake Basket Data
Data
Fulfilment Store Point of Sale
Operations
Data Sell in Data
Data
Augmenting decision making
28Thank You Sensitivity: Public
You can also read
