HUL moves 40% of ad spends to digital, strengthens tech-led consumer strategy

New Delhi: Hindustan Unilever (HUL) has scaled up its digital marketing focus, with 40% of its advertising spend now directed towards digital media, Chairman Nitin Paranjpe said at the company’s 92nd Annual General Meeting (AGM).

For context, HUL’s total advertising expenditure stood at Rs 6,199 crore in FY2025, underscoring the scale of this digital pivot.

Highlighting the company's strategic transformation, Paranjpe elaborated on HUL’s new direction under the framework ‘ASPIRE: Unlocking a Billion Aspirations’. “We have always listened closely to our consumers, rooting ourselves in the very cultural fabric of India,” he said. “But India is changing faster than ever. Consumers today are more aspirational, with sentiments, tastes, and preferences evolving rapidly. As a company, we have become more obsessive about ‘sensing’ what consumers want and need, and ‘delivering’ at the right place and time.”

Paranjpe showcased how this approach is shaping HUL’s innovation and go-to-market strategy. A key example is Stratos, a first-of-its-kind skincare technology that took five years to develop, backed by over 20 patents and certifications from the Skin Health Alliance UK and the British Skin Foundation. The launch reflects HUL’s tech-led product development, grounded in deep consumer insights and dermatological science.

He emphasised that HUL’s edge lies in the synergy of world-class manufacturing, a robust distribution network, and consumer intimacy, now augmented by digital tools. “We are leveraging advanced technology stacks and creating a singular data lake for better decision-making and execution in the marketplace.”

Acknowledging the complexity of the modern, non-linear shopper journey across traditional, modern, and online trade, Paranjpe said the company is working to create a seamless experience across platforms.

Paranjpe identified three major growth tailwinds for India: the country’s robust digital public infrastructure (including ONDC), a conducive policy environment, and a rapidly growing young population.

However, he stressed that capitalising on these advantages requires inclusive execution. “This is mission critical and will prove crucial in achieving the Viksit Bharat ambition by enabling meaningful employment, driving up consumption and contributing to the economy,” he said.

Sustainability remains a key pillar of HUL’s agenda. Paranjpe reiterated that long-term business success is intertwined with environmental and social responsibility. “We realise that climate change and societal concerns will continue to affect businesses in the long term, unless we become a part of the solution,” he said. HUL will concentrate its efforts on four priority areas: Climate, Nature, Plastics, and Livelihoods.

He also underlined the importance of building a progressive internal culture to support these ambitions. “We truly believe that market leadership follows thought leadership and fosters a culture that enables freedom of thought and ideas, helping us win in the future,” he said.

Concluding his address, Paranjpe maintained a strong sense of optimism. “Despite the incomprehensible external context, the Indian economy appears poised to continue on its path to sustainable and inclusive growth,” he said, assuring shareholders that HUL is building capabilities to serve an evolving and aspirational India. “After all, we have always believed that what is good for India is good for HUL.”