Recommended
More Related Content
What's hot
What's hot (20)
Similar to P&G : Marketing Capabilities
Similar to P&G : Marketing Capabilities (20)
Recently uploaded
Recently uploaded (20)
P&G : Marketing Capabilities
- 1. Procter and Gamble Marketing Capabilities
- 2. Procter and Gamble • Founded by James Gamble and William Procter • Founded on October 31, 1837 at Cincinaati, Ohio, United States • Current CEO: David Taylor • Subsidiaries: Wella, Gillette, Max Factor, Braun….. • Revenue: 76.27 billion USD (2015) 2
- 3. “ “We will provide branded products and services of superior quality and value that improve the lives of the world's consumers. As a result, consumers will reward us with leadership sales, profit, and value creation, allowing our people, our shareholders, and the communities in which we live and work to prosper” 3
- 4. Mission, Vision and Values Mission P&G brands and P&G people are the foundation of P&G’s success. P&G people bring the values to life as we focus on improving, the lives of the world’s consumers Vision Mutual Interdependency Is a Way of Life We Seek to Be the Best We Value Personal Mastery We Are Strategically Focused in Our Work The Interests of the Company and the Individual Are Inseparable Values Integrity Leadership Ownership Passion for Winning Trust 3
- 5. Products Wide range of P&G products provides the company a wide range of customers base across the globe. 5
- 6. Brands 6
- 7. Global Operations • P&G began international expansion in early 1930’s and from 1945 to 1980 it entered markets in Latin America, Western Europe, and Japan • In 1980’s it developed its first global brands,including Always/whisper, Pringles, and Pantene • In 2010, P&G’s corporate mission was to improve the lives of persons through continued innovation to reach “More Customers, In More Parts of the World, More Completely” 7
- 8. Global Operations 8 Singapore Regional HQ, Asia Cincinnati, Ohio, USA Regional HQ, North America Geneva, Switzerland Regional HQ, Europe Panama City Regional HQ, Latin America
- 9. Timeline 9
- 10. Strengths Large Scale Strong Branding Diverse Brand Portfolio Customer Loyalty Weakness Beauty and health products are meant for women Does not invest in poor or weak brands Opportunities Technological advancemets Pursue growth overseas Double its environmental goals Acquisition Threats Many substitutes are available Cut throat competition Competitors are making their Product portfolios diverse SWOT Analysis 10
- 11. Analysis 11 Case
- 12. Case Facts • The company managed a dozen $1 billion brands known globally • It was the first company to advertise directly to the customers • The firm proves its ability to navigate through the digital environment • “Thank you Mom”, The Man Your Man Could Smell Like” were some of its best advertising campaigns 12
- 13. $78.94 billion P&G’s net sales in 2010 $186.63 billion Market Capitalization during 2010 $12.74 billion Net income in 2010 13
- 14. Present Scenario - 2010 14
- 15. Present Scenario - 2010 15
- 16. 16 1. How were P&G’s products different from its competitors ?
- 17. P&G Marketing’s Secret Sauce 17 Innovation and R&D
- 18. Innovation and R&D • P&G cut its 15,000 staff to deliver innovation by recruiting researchers • P&G opened 7 Global Business Units (GBU’s) • GBU’s help with global product development and quick-to-market startegies • P&G wanted the innovation within the company • Later, the company was convinced on “not invenetd here approach” • This new approach was called connect-and-develop 18
- 19. How P&G execute their company’s marketing strategy ? 19 2.
- 21. Marketing Strategies • P&G realised that building brands is not exclusively or even primarily a marketing activity. Rather it is a systems problem • Historically, P&G pursued multibrand strategy, and managed brands across a category carefully and gave individual support to each one • A.G. Lafley, CEO ( in 2000) named Jim Stengel as CMO (Chief Marketing Officer) and opened a new design unit under Claudia Kotchka 21
- 22. Marketing Strategies • Kotchka hosted many design competitions and under her, the design unit reached a new level • The new emphasis shifted the company toward a more consumer-centric marketing approach as well • P&G’s brands faced the “two moments of truth”, first, on the store shelf, and second, when the customer used the product and is reveiwing it • The lobby of the Cincinnati HQ, featured a fake home store to make the employees experience the “two moments of truth” 22
- 23. Marketing Strategies • Stengel brought a sharper focus on Return On Marketing Investment (ROMI), which meant a shift from TV and print ads to digital and direct marketing • Stengel also stressed the need to look past short- term results in measuring success • Stengel with P&G strove to develop metrics that measured brand loyalty and customer relationships • Pritchard also felt that multibranding, or leveraging the P&G brand to drive sales to its subbrands, was a strategy that P&G needed to pursue 23
- 24. How could P&G reach out to such a huge customer base around the globe ? 24 3.
- 26. Advertising Strategies • P&G constantly built on its experience with broadcast media and relied heavily on developing long-standing partnerships with advertising agencies • In 2002, P&G reconsidered its Advertsing Strategies to better meet the company’s global markets and consumers • P&G began by developing a “media neutral” idea 26
- 27. Sponsorships 27 A range of Sponsorship opportunities were leveraged across P&G’s portfolio
- 28. Celebrity Endorsements P&G pursued a host of promotion, sponsorship, endorsements relationships as well as product placement in television and film 28
- 29. P&G Secret Glue on Customers 29 Commitment to the Consumer
- 30. Commitment • Qualitatively, it ran focus on group discussions, interviewed consumers at home, and performed in- context visits and in-store interviews • Quantitavely, the firm gathered data on consumers utilizing blind tests, concept and use tests, and quality monitoring, and doing large-scale studies of the habits and practices of consumer who purchased P&G products • P&G’s vocal point its association with Tobii and Ocado made it a customer-centric company 30
- 31. What are P&G’s new strategies of advertising in the global world ? 31 4.
- 32. 32 Digital and Social Media Marketing
- 33. Digital Marketing • The firm began its digital content offering in 1999 with the launch of pampers.com • P&G took a U-turn to proven media during the dot- com bubble burst • P&G launched its first mobile marketing app in 2006 to promote Crest Whitening Plus Scope Toothpaste • P&G gained praise through its new TV series and the Old Spice Advertisements 33
- 34. Social Media Marketing • In 2010 P&G began using Facebook as a marketing tool and, by 2011, had 15 brands with friends in the six-figure range • P&G used Facebook and other social media platforms as a marketing supplement, not a replacement • P&G also focussed on Interactive Community Promotion 34
- 35. What lies ahead for P&G ? 35 5.
- 36. Future for P&G • P&G should focus on individual brands and assume that it is the only brand it has • Always determine that a innovation is product specific or generic • P&G should focus more on digital marketing and developing interactive brand communities because word of mouth through the social media is more powerful to the new customers 36
- 37. Thanks 37
- 38. Disclaimer • Created by Utkarsh Saxena, IIT Roorkee, during a Marketing internship under Prof. Sameer Mathur, IIM Lucknow. 38