Universidad Argentina de la Empresa Teachers: Paula Catalina Iglesias María Asunción Cozzi Students: Bonaguro, Mauricio Catalani, Mercedes Orellana, Maria Fernanda Yohena, Federico June, 3 rd of 2011
Please write the first three shampoo brands that you remember.
Company Overview Brief History of the Company Mission Vision Products and Brands Strategy Focus Logo Controversy Objectives of P&G Current Strategies and Issues Products analysis: Gillette Pantene Pringles Contents
Company Overview Procter & Gamble is an American global corporation based on manufacturing a wide range of consumer goods. As of 2008, P&G is the 6 th largest Company by Market Cap., 14 th largest by profit, and 10 th in Fortune's Most Admired Companies list.
Throughout the twentieth century, the company moved into other countries, both in terms of manufacturing and product sales, becoming an international corporation. Company Overview It is known as a people centric company, First profit sharing Plans (25% share is in the hand of employees).
William Procter (candlemaker) James Gamble (soapmaker) Brief History PROCTER & GAMBLE
1858-1859: AMERICAN CIVIL WAR Procter & Gamble suplied the Union Army with soap and candles. 1880: IVORY An inexpensive soap that floates in water. Brief History
1911: Began to build factories in other locations in the United States 1920: The company sponsored a number of radio programs. As a result, these shows often became commonly known as “soap operas" 1930: The company moved into other countries, both in terms of manufacturing and product sales Brief History
“ We will provide braded products and services of superior quality and value that improve the lives of the world ’s customers, now and generations to come” Mission Statement
<ul><li>“ Be, and be recognized as, the best consumer products and services company in the world” </li></ul>The Vision
1) More consumers Lower-priced offerings with superior performance. 2) More parts of the world Innovating and expanding into new markets. 3) More Completely Attracting new consumers into the existing brand franchises and broadening the products used by current consumers. Strategy Focus
"And there appeared a great wonder in heaven; a woman clothed with the sun, and the moon under her feet, and upon her head a crown of 12 stars“ Logo Controversy Some claimed that the logo was a mockery of the heavenly symbol alluded to in the aforementioned verse, thus construing the logo to be satanic .
<ul><li>http://www.youtube.com/watch?v=tAT-cFFGNQg </li></ul>Corporate Video
<ul><li>Build existing core businesses into stronger global leaders </li></ul><ul><li>Grow leading brands, big countries, winning customers </li></ul><ul><li>Develop faster-growing, higher-margin with global leadership potential </li></ul><ul><li>Regain growth momentum and leadership in Western Europe </li></ul><ul><li>Drive growth in key developing markets </li></ul>Objectives
<ul><li>Consumers will pay a premium price for products that offer improvements over either private-label products or the brands they have bought for years. </li></ul><ul><li>Product innovation must be regular with visible improvements year constantly. </li></ul><ul><li>Product innovation must be designed to constantly “up-scale” consumer preferences. </li></ul><ul><li>These strategies of innovation and pricing can be used to break into developing economies </li></ul>Current Strategies
<ul><li>Competitive pressure is a constant and consistent challenge </li></ul><ul><li>Risk of over confidence and complexity </li></ul><ul><li>Rising commodity costs </li></ul><ul><li>Global economic and political instability </li></ul>Strategic Issues
<ul><li>Gillette has been the leading brand in men´s grooming industry in Argentina and worldwide. </li></ul><ul><li>Gillette with its wide range of products caters to the premium segment of the men´s grooming faces intense competition in the shaving preparations market (shaving gel/foam/cream) and the razor. </li></ul>Gillette for Argentina
<ul><li>Focus on premium products </li></ul><ul><li>The distribution network of Gillette is very robust. They have P&G´s distribution network </li></ul><ul><li>Gillette has made extensive promotion campaign for its razors. Roger Federer, Tiger Woods, David Beckham and Thierry Henry are some leader promotion. </li></ul><ul><li>Bundling has always been the norm for Shaving cream/gel products. </li></ul>Marketing Mix
The Brand Key areas of Pantene: Product: Creator of new segments such as Curls, Smooth and Volume Shampoos. The price is equal and premium in all the distribution channel. Commercial Strategy: The make important agreements of exhibition and rotation in supermarkets. Mistery Shopper Promotion: Aggressive sampling. Packs with aditional value. Advertisement and POP: They support more than one variety. The focus on the conditioner. All-year presence Framed in POP
The Brand Varieties and hair type: Shampoo: Strength and volume Moisturized Curls Soft and Smooth Classic Care Radiant Color 2 in 1 Natural Bright Revitalizing Moisture Conditioner: idem
The Market We have to go back to 2003 because all the data is based on this year. Total Capillary Market: Units: 107 M Pesos: 443 M Market Share Units $ Others
The Market Sales structure by product size: Distribution Channel: DRUG: Pharmacies and Perfumery FOOD: Supermarkets and Groceries YTD 03: January to October 2003 Total of the market: By channel: Units $
The Market Advertisement Investment by Media: Gross Investment of 2003: $102,7 M
The Consumers Key learning of the consumers: 42% of women washes their hair daily 93% of them uses conditioners In 2002 and 2003 the price became a more relevant factor of decision making, more than the brand
The Consumers Decision making: Use what is at home Ask for others to buy but do not choose the brand Choose the brand and others buy it Choose the brand and buy it personally
Pringles Pringles is a brand of potato and wheat based snacks originally developed by Procter & Gamble. Pringles are sold in over 140 countries and have yearly sales of over US$1 billion. The Brand
Mr. Baur was the true inventor of the Pringles crisp, according to the patent, Pringles was invented by Alexander Liepa of Montgomery. Gene Wolfe developed the machine that cooks them. Their consistent saddle shape is mathematically known as a hyperbolic paraboloid. Origins
Pringles have only about 42% potato content, with the remainder being wheat starch and flours (potato, corn, and rice) mixed with vegetable oils and an emulsifier. Contrary to a popular misconception, Pringles crisps are fried, not baked. The Recipe
Pringles are advertised in the United States, the United Kingdom, Australia and the Republic of Ireland with the slogan "Once you pop, the fun don't stop", along with the original slogan "Once you pop, you can't stop". Marketing
Universidad Argentina de la Empresa June, 3 rd of 2011