Hindustan Unilever NSE -0.49 % said the number of pack sizes across its brands is now at about 40% compared with pre-Covid levels, part of the country’s biggest consumer goods firm’s strategy to focus on popular and faster-selling products.
The company had prioritised 20% of SKUs (stock keeping units or pack sizes) in April, then gradually scaled that up to 40%, HUL chairman Sanjiv Mehta said at the annual CITIC CLSA investors conference.
The plan is to rationalise the portfolio and reach 80% of the level by trimming 20% of SKUs in the medium term,” said Mehta, adding that the company has now made 90% of its portfolio relevant and repurposed for Covid times.
The maker of Rin detergent and Dove shampoo saw its operations come to a standstill when the lockdown was announced in March, but had bounced back to 80-90% of normal levels of production by May.
The company, which makes items that straddle the personal, home and food segments, said it is creating backend capacity to try and fulfil demand from distributors on the same day. Since March, the company has been able to reduce the time to capture demand at store level to product fulfilment cycle by at least 15 days. (Source : economictimes.com)