P&G is an American multinational consumer goods company and global leader in branded consumer products. Founded in 1837, P&G's purpose is to improve lives of customers through continued innovation. P&G has over 50 brands across six segments and generates over $50 billion in annual sales. To drive growth, P&G is focusing on innovating core brands, reaching unserved consumers through improved market research, and ensuring a global presence through branding, advertising, and digital media.

1. P&G
Touching Lives,Improving Life

2. WHAT IS P&G?

3. American multinational consumer goods company
Global leader in branded consumer goods,
Known for iconic category defining products
More than 50 brands in 6 business
segments

4. Founded by William Procter & James
Gamble in 1837

5. WHAT IS P&G’S PURPOSE?

6. Improve lives of its customers
through continued innovation
To reach
MORE CONSUMERS, IN
MORE PARTS OF THE
WORLD, MORE COMPLETELY
MISSION

7. BRANDS UNDER VARIOUS SEGMENTS

8. WHERE DOES P&G STAND?

9. BILLION DOLLAR
BRANDS
HALF-BILLION DOLLAR
BRANDS
ACTIONELL
ALWAYS
ARIEL
BOUNTY
BRAUN
CHARMIN
CREST
DAWN
DOWNY
DURACELL
FEBREZE
GAIN
GILLETTE
HEAD&SHOULDERS
IAMS
KOLESTON
OLAY
ORAL-B
PAMPERS
ACE
ASACOL
BOLD
BOSS FRAGRANCE
CASCADE
COVERGIRL BLAST
DASH
DOLCE&GABBANA FRAGRANCE
EUKANUBA
GILLETTE VENUS
HERBAL ESSENCE
NYQUIL
PEARL
PRILOSEC
REJOICE
SAFEGUARD
SK-II
SWIFFER DUSTERS
TAMPAX

10. 34%
14%4%
30%
18%
% OF NET SALES
Beauty&Grooming Health Care Snacks&Pet Care
Fabric&Home Care Baby&Family Care
42%
21%
15%
13% 9%
% OF NET SALES
North America
Western Europe
Asia
Central&Eastern Europe,Middle East,Africa
Latin America
SEGMENTWISE
DISTRIBUTION
REGIONWISE
DISTRIBUTION

11. OBJECTIVES OF THE CASE STUDY
EXPLORE
1.P&G’s powerful innovation network , strong consumer
research & evolving market strategy
2.Expansion into new lines of business
3.P&G’s transition from early marketing campaigns to recent
experiments with digital media
THROUGH AN OVERVIEW OF P&G’S ISSUES OF FOCUS

12. ISSUES OF FOCUS
Grow core brands and categories with
an unrelenting focus on innovation
Build business with unserved &
underserved consumers
Develop faster growing, higher margin
businesses with global leadership potential

13. 1. GROWING CORE BRANDS THROUGH
INNOVATION & R&D

14. (i) 7 Global Business Units(GBUs) based on product categories
replaced company’s 4 geographic business units
(ii) 3 New teams
supported GBUs
• Innovate in existing categories
BUSINESS DEVELOPMENT TEAM
• Acquire brands in new areas
• Nurture ideas created by business development team, not
relating to existing brands
VENTURE TEAM
• Intensive market research to ensure global products’ success
in local markets
MARKET DEVELOPMENT ORGANISATION

15. (iii) CONNECT AND DEVELOP
INNOVATION
50% P&G’s Network of labs
50% Partnership & connections with
non-P&G scientists and engineers
“Best ideas,
wherever they
come from
should rise to
the surface”
Identification of proven technologies, packages, & products that
could be improved, scaled up, and marketed on its own or through
partnerships
•Build and maintain external connections with university &
industry researchers & supplier networks
Network of 70 technology entrepreneurs

16. 2. REACHING THE UNSERVED &
UNDERSERVED CONSUMERS

18. CONSUMER CENTRIC MARKETING APPROACH
Create more DIRECT, ONE-TO-ONE relationships with target audiences
Deeper understanding of
WHO THE PRODUCT IS FOR?
WHAT IS DIFFERENT ABOUT THAT
CONSUMER?
HOW THAT CONSUMER EXPECTS TO USE
THE PRODUCT?Interaction with
more than 5
million
consumers in
100 countries

19. COMMITMENT TO CONSUMERS
Consumer Research
Methods
QUALITATIVE
• Focus group discussions
• Consumer interviews at home
• In-context visits
• In-store interviews
QUANTITATIVE
• Large-scale studies of habits
& practices of consumers
• Blind tests
• Concept & Use tests
NEUROMARKETING- Psychological surveys to measure mood & ECG
technology to measure electrical activity in the brain as subjects were exposed

20. 3. ENSURING GLOBAL PRESENCE

21. MULTIBRAND STRATEGY
Manage brands across a category
with each getting individual support
& satisfying a segment of the market
EXAMPLE- P&G’S Detergent category
TIDE-Premium brand
CHEER- “Cleaned colours safely”
GAIN- “Had fresh scent”
OXYDOL- “Contained Bleach”
LEVERAGING P&G BRAND TO DRIVE SALES TO ITS SUB-BRANDS

22. USE OF DESIGN AS A COMPLEMENT TO P&G’S
FUNCTION DRIVEN PROCESS
Creation of a new design unit with Claudia Kotchka as vice
president for design innovation
Intensified focus on design along with long-standing focus on
product functionality and price.
Bring design to every step of product development
Help consumers RECOGNISE, UNDERSTAND & IMAGINE functions of a
product

23. ADVERTISING
Developing ROBUST BRAND IDENTITY for its
portfolio of consumer goods through long
standing partnerships with advertising
agencies
Developing a “ media neutral” idea that
could be translated across a range of
media
Focused on product superiority &
functional benefits
Advertising campaigns customised by
region

24. SPONSORSHIPS
National Football League
US Olympic team sponsor for 2012
games, raising its visibility in
emerging markets
Sponsored Sebastian Vettel, the
“youngest ever” Formula one
champion

25. CELEBRITY ENDORSEMENTS

26. DIGITAL MEDIA
Launch of
I. PAMPERS.COM- Contained product information.
Provided information for new &
expectant mothers.
Served as an interactive forum.
ll. BEINGGIRL.COM- Information & expert advice on
issues such as menstruation,
eating disorders, acne & dating
lll. MANOFTHEHOUSE.COM- “SPEAK TO THE WHOLE MAN”
Featured household advice
for men .

27. TARGETED
AFRICAN
AMERICAN
WOMEN
Introduced 2 web series :
BUPPIES
A scripted drama that integrated
COVERGIRL’S Queen collection
MY BLACK IS BEAUTIFUL
A TV series showcasing the collection of P&G
products in a makeover setting

28. WHAT CAN P&G BE?

29. MOVING FORWARD
Evolve marketing capabilities while pushing toward reaching 5 billion
consumers served worldwide.
Build on its strengths in R&D , consumer research, and product
performance while continuing to innovate & evolve as the world’s
largest marketer

30. BRIEF ANALYSIS
Expansion through joint
venture and acquisitions
such as Charmin Paper Mill,
Gillette, Folger’s Coffee &
pet foods manufacture
Iams, opened up household
paper product market,
men’s grooming, food & pet
care markets respectively
for P&G.
TOP CONSUMER GOODS
COMPANY
EVOLVING MARKETING
STRATEGY
Shifted from exclusive focus
on function, performance &
price to design, making the
marketing approach more
consumer centric. Shifted
from sole focus on product
superiority & functional
benefits to a more emotion-
driven advertising, connecting
better with consumers
INNOVATION AND R&D
Increase in innovation productivity
by 60%, drop in cost of innovation
and doubling innovation success due
to “CONNECT AND DEVELOP”
through adaption of new skills.
Collaboration with scientists &
engineers across the globe and
combatting internal focus resulted
in successful product innovations
such as Swiffer dusters, Olay
regenerist, Crest whitestrips.

31. SUMMARY

32. THANK YOU
THIS PRESENTATION WAS CREATED BY ANJALI VERMA,
RAMJAS COLLEGE, UNIVERSITY OF DELHI, DURING A
MARKETING INTERNSHIP BY PROFESSOR SAMEER
MATHUR, IIM LUCKNOW