3. Introduction
• The Procter and Gamble company also
known as P&G, is an American
Multinational consumer goods company
headquartered in downtown Cincinnati,
Ohio, USA.
• Its Products include pet foods, cleaning
agents and personal care products.
4. History
1837: Brothers-in-law William Procter and James Gamble start a
partnership, making and selling candles and soap in
Cincinnati
1859: P&G sales reach $1 Million
1879: The inexpensive, but high Ivory soap is introduced.
1924: P&G is one of the first to create a market research department
to study consumer preferences and buying habits.
1955: Crest, the first toothpaste with fluoride clinically proven to
fight cavities, is introduced.
1961: Pampers is introduced and eventually replaces diapers.
2002: P&G develops Naturally feminine pads specifically to meet
the need of low-income women in Latin America.
5. Present Scenario
• P&G operates in 80 countries worldwide, employing more
than 100,000. Has a dozen $1 Billion brands in its portfolio.
6. 2010 P&G Statistics
• P&G Scales $78.94 Billion
• Net Income $12.74 Billion
• Market Capitalization $186.63 Billion
Developed Markets represent 66% of
total sales.
7. Market Distribution (Net Sales)
Business Segment Geographic Region
Sales
Beauty
(24%)
Grooming
(10%)
Health Care
(14%)
Snacks and
Pet Care
(4%)
Fabric Care
& Home
Care (30%)
Baby Care
& Family
Care (18%)
Sales
North
America
(42%)
Western
Europe
(21%)
Asia (15%)
Central and
Eastern
Europe
(13%)
Latin
America
(9%)
10. Ingredients of P&G’s Success
Invests $2 Billion annually on R&D.
Partners with third parties in over 80% of its innovation
activity.
Connect & develop platform, set up in year 2000 with
the aim of gathering 50% of ideas from outside sources,
be it individuals, firms or universities.
11. Emphasis on Design
o Adopted consumer-centric marketing approach.
o Questions Like – “Who is your consumer & What’s
different about her” were analyzed.
o Worked on two moments of truth of consumers.
12. Sponsorships
- To increase its visibility in emerging markets.
• US Olympic Team sponsor of 2010 games.
• 2012 Winter games, Russia.
13. Celebrity Endorsements:
• Acquisition of several beauty companies led to a number
of celebrity endorsers.
• Tennis star Roger Federer in Gillele fusion products
advertisements.
14. Digital and Social Marketing
• Product based webistes
• Mobile ad campaign “Irresistibility Quiz”
• Old Spice youtube video campaign
attracted 13.7 Million People.
• Manofthehouse.com for threshold advice to
a Man.
15. SWOT Analysis
Strength:
a) Strong Focus on Research and Development.
b) Leading Market position
c) Diversified product portfolio
d) Stromng brand portfolio
e) Acquisitions
Weakness:
a) Does not divest its weak or poor brands
b) Environmental issues
c) Increasing instances of products recalls.
16. Opportunities:
a) Emerging Men’s Market
b) Interest in Natural/Green Products
c) Pursue growth overseas
Threats:
a) Intense Competition
b) Merger Integration
c) Many Substitutes are available.
17. P&G’s Brand Marketing
Ivory:
o Product Details:
a. White and mildly scented bar soap.
b. Clear Liquid soap
c. Hair and body wash
o Salient Features:
a. Claim of Purity (99.25% Pure)
b. Floats in Water
o Marketing Strategies:
a. Mass mailing enclosing samples of Ivory.
b. Letters, sent to Women aimed at making them
“Patronesses”.
c. Ads in Magazine, targeted at Women in their 30s.
18. Tide:
o Product Details:
a. New pulverized soaps as laundry products
b. Marketing line of laundry detergents
o Salient Features:
a. Class cleaning performance of laundry products
b. Green good house keeping seal for
c. “Tide Coldwater”
o Marketing Strategies:
a. Catchy logo with dayglo colors.
b. Compatibility of tide with top loading washing
machine.
19. Gillette:
o Product Details:
a. Men’s safety razors and personal care products
b. Double-edged safety razors
o Salient Features:
a. High Performance Razors
b. Competitive Edge
c. Designed for men’s grooming
o Marketing Strategies:
a. Celebrity Endorsements such as Roger Federer in
Gillette Fusion products.
