This document provides a strategic report on Procter & Gamble (P&G). It discusses P&G's overview as a Fortune 500 company with $82.6 billion in sales in 2011. It then analyzes P&G's strengths, weaknesses, opportunities, and threats through a SWOT analysis. The report also examines P&G's product differentiation, distribution strategy of intensive distribution through multiple channels, promotion strategy of heavy advertising, and pricing strategies of optional features and competitive pricing.

1. STRATEGIC MANAGEMENT
Strategic Report on
Procter & Gamble
Presented By :
Ritu Lakhotia- Pgdma1146
Date:-17 February 2012 Ronak H.Patel- Pgdma1147
Sandeep Kumar-pgdma1148
Sandeev Kumar Rp- Pgdma1149
Sandeev Kumar Sk- Pgdma1150

2. Contents
 OVERVIEW
 SWOT ANALYSIS
 PRODUCT DIFFERENTATION
 DISTRIBUTION STRATEGY
 PROMOTION STARTEGY
 PRICING STRATEGY
 BIBLIOGRAPHY

3. Overview
 Procter & Gamble (P&G) is a Fortune 500 American
multinational corporation headquartered in downtown
,Cincinnati, Ohio.
 And manufactures a wide range of consumer goods.
 In 2011, P&G recorded $82.6 billion dollars[4 lakh crores] in sales.
 Fortune magazine ranked P&G at fifth place of the
"World's Most Admired Companies" list, which was up from sixth
place in 2010.
 P&G is credited with many business innovations including brand
management and "Connect & Develop" innovation.
 According to the Nielsen Company, in 2007 P&G spent more on
U.S. advertising than any other company.

4. Product Line:-A group of closely-related product items.
Range of the products
Shampoo Blade Feminine Vicks inch
Detergent
Care powder
Panteen
PRO-V Gillette blade Stayfree Vicks vaporub
Tide
Head &
Shoulders Whisper Ariel
Rejoice

5. The Procter & Gamble
company Hygiene and Health Care Ltd.
• P&G
• P&G Home Products Ltd.
• Gillette India.

6. SWOT Analysis:
Strengths, Weaknesses, Opportunities, Threats
Location of Types of Factors
Factor
Favorable Unfavorable
Internal Strengths: Weakness:
Diversified brand portfolio Online media & Leadership
Research and Development Dependency
Global Operation Missing Opportunity
Strong Distribution Network Weakness in beauty care
division
External Opportunity: Threats:
Diversification Competition
Capitalizing on online media No new product innovation
Growth in Indian FMCG market Government regulation
Environment concern

7. Product Differentation
WHAT MAKES “P&G” DIFFERENT FROM
OTHERS?
BRAND LOYALITY
 DISTRIBUTION CHANNEL
INNOVATION
PRICING STRATEGY
QUALITY OF THE PRODUCT

8. PROCTER & GAMBLE ITC
P&G VS ITC

9. DIFFERENT BRANDS OF “P&G AND ITC”
 P&G – SHAMPOO  ITC – SHAMPOO
 PANTENE , HEAD &  FIAMA DI
SHOULDERS etc
WILL, SUPERIA etc.
 HEAD &
SHOULDERS as  FIAMA DI WILL as
example example
 Easily available  Not easily available
 Wide range of  Has less pricing
pricing range.

10. DISTRIBUTION STRATEGY
Distribution :-
 “Marketing channels are sets of
interdependent organizations involved
in the process of making a product or
service available for use or
consumption”
Philip Kotler

11. Distribution :
 The distribution is of three
types, which are being followed :
 Intensive distribution
 Extensive distribution
 Specialty distribution

12. Basic Channels of Distribution
Manufacturers/products
Agents
Wholesalers/distributors
Retailers Retailers
Consumers and organizational end users

13. Distribution criteria:
 Ordering Speed:- It is the time taken after
the manufacturing of product and the time
till it reaches the consumer.
 Delivery Flexibility:- How easy to distribute
the product.
 Personal Selection And Customization:-
Which distribution channel to select

14. Typical Distribution of P&G
Products
Manufacturers (PGHH Ltd.India)
Marketing Agents - State wise
Retailers/Wholesalers/Distributors
Chemists Shops, Provision Stores ,
Retail Outlets, Big Markets etc
14

15. Intensive distribution:
 PGHH Ltd, is following this strategy in india.
 As the company manufactures the FMCG
convenience/ necessity goods.
 As these serve the necessity goods hence
there is lesser/no brand loyalty from the
customers side, so the distribution network
of the company needs to be very strong
and proactive.

16. Promotion strategy
 P&G insists on a pull strategy
 Heavy advertising and media pioneer
 Advertising creativity
 P&G – A click mortar company
 Coupon

17. Pricing strategies
 Understand how companies find a set
of prices that maximizes the profits
from the total product mix.
 Learn how companies adjust their
prices to take into account different
types of customers and situations.
 Know the key issues related to
initiating and responding to price
changes.

18. Different pricing strategies
adopted by p&g
 Optional-features strategy
 Product-line pricing
 Cost-plus pricing
 Competitive pricing
 Distribution pricing

19. CONCLUSION
 As we know this market is known as FMCG market so there
are many competitor in this time in the market so P&G
company were focused in this time and target the middle class
segment for increasing the sales as well as market shares .
 Some products like Gillette is made by the company to target
the higher segment of the market.
 In India HUL is biggest competitor in FMCG market.

20. BIBLIOGRAPHY
 http://www.wikiswot.com/SWOT/3_Consumer_Packaged_Goods_(C
PGs)/Procter_and_Gamble.html
 http://wiki.answers.com/Q/Swot_analysis_of_procter_gamble
 http://www.corporatewatch.org/?lid=247
 http://www.cisco.com/warp/public/779/ibs/solutions/supply/pgcasestu
dy1.pdf
 http://www.emory.edu/BUSINESS/dra/PGsmartersupplychain.pdf
 http://www.business-standard.com/india/news/with-pringles-buy-
kelloggs-haslarger-canvas-in-india/464942/
 http://www.pg-india.com/