In the Indian context, Hindustan Unilever Limited is perhaps the best example of a company that follows the "House of Brands" model of brand architecture. In the "House of Brands" model, the individual brands stand on their own and are marketed practically independent of each other. The name of the company takes a back seat and consumers may not even be aware that all the brands come from the same company. Hindustan Unilever has nurtured and developed a host of brands over the decades, many of which have become household names in India. The company's brand architecture is quite complex and dynamic. Several of its leading brands have seen significant degree of line and category extensions. The company also offers more than one brand in several product categories, each of which caters to a specific consumer segment. Its brand architecture also undergoes change whenever there are acquisitions and divestments.

Hindustan Unilever Limited (HUL) is India's largest fast moving consumer goods (FMCG) company. It achieved gross sales of Rs.13,035 cr during 2006. HUL is a 51% subsidiary of the Anglo-Dutch consumer products giant, Unilever Limited. Until May 2007, HUL was known as Hindustan Lever Limited (HLL). HLL was formed in 1956 by the merger of three Unilever subsidiaries in India. Unilever's first Indian subsidiary was established in 1931, for the manufacture of vanaspati (brand name: Dalda).

However, Unilever's products have been available in India before that. Among the earliest entrants to the Indian market were "Sunlight" laundry soap (1888), "Lifebuoy" toilet soap (1895), "Pears" toilet soap (1902), "Lux" flakes (1905) and "Vim" scouring powder (1913). Currently, HUL markets a host of products in India and abroad, with about 100 distinct brands. Of these, around 30 core brands contribute to bulk of the company's sales. These brands receive strong marketing support and are well-recognized and popular among consumers (Exhibit I). In fact, over the past few years, the then HLL implemented what was called the "power brands" strategy.

The objective of this strategy was to focus on 30 strategic brands, and rationalize the brand structure by discontinuing/divesting some of the weaker brands or by merging them with the more successful brands. As a result, some of the smaller brands have been migrated and merged with the stronger brands, and some others, while still being retained, receive only very limited advertising and brand-building support. Further, several brands (including some well-known ones such as "Dalda" and "Nihar") have been divested.

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