Procter & Gamble: Marketing Capabilities Harvard Business School Case Study. This presentation is created during IIM Lucknow Marketing Internship under guidance of Prof. Sameer Mathur.

1. Marketing CAPABILITIES:
Procter & Gamble Co
HARVARD BUSINESS SCHOOL CASE

2. Procter & Gamble
 Procter & Gamble Co., also known as P&G, is an American
multinational consumer goods company headquartered in
downtown Cincinnati, Ohio, United States, founded by William
Procter and James Gamble, both from the United Kingdom.
 CEO : Alan G. Lafley
 Headquarters : Cincinnati, Ohio, United States
 Founded : October 31, 1837, Cincinnati, Ohio, United States
 Subsidiaries : Wella, Braun, Max Factor, Clairol, Gillette India Ltd.,
more
 Founders : James Gamble , William Procter

3. Mission
• To Provide branded products and services of superior
quality and value that improve the lives of the world’s
consumers, now and for generations to come.
Vision
• To be the best consumer products and services company in the
world.
Values
• Integrity
• Leadership
• Ownership
• Passion for winning
• Trust

4. Evaluate the marketing strategy
taken by P&G during its early
expansion in 1980s
Evaluate the current strategy of
global expansion mainly after 2010
when McDonald took over as CEO
of the company
Issues to be focused

5. Products

6. Brands

7. Case Facts
 Global Leader in Branded Consumer goods
 Has 2 dozen $1bn brands known worldwide
 First company to advertise directly to consumers.
 2010, total sales=$78.94bn
 Net Income=$12 bn
 Market capitalization=$186.63bn

8. SITUATION
ANALYSIS

9. Has good
company
background
Enters new
market with a
mission and
decisions
Takes scientific
approach to
connect with
people
Brings in a
design unit as a
part of
marketing
strategy
Shift from
product based
marketing to
consumer-
centric
marketing
Communication
through direct
& digital
marketing &
sales promotion
Multibranding
Tries to move
forward with an
aim to reach 5
billion new
consumers
Connect
&
Develop

10. Sales Percentage
Sales
Beauty
Grooming
Helth Care
Snacks and Pet Care
Fabric Care and Home
Care

11. Percentage of Earning
• Sales
• Beauty
• Grooming
• Helth Care
• Snacks and Peet Care
• Fabric Care and Home
Care

12. SWOT Analysis of Marketing Strategy
Types of
factors
Location of
factor
Favorable Unfavorable
Internal Strengths:-
• Diversified Brand
portfolio
• Research and
Development
• Strong distribution
network
Weakness:-
• Online media and
leadership
• Media- social,
digital
External Opportunities:-
• Diversification if it’s
products
• Capitalization of
online media
• Growth in India
FMCG market
Threats:-
• No new
innovation
• Competition
• Government
regulation

14. Marketing Strategies
• Consumer centric approach
• Designing and innovation
• Return on marketing investments

15. Advertising
• P&G reconsidered its advertising strategies to better
meet the company’s global market and consumers

16. Digital and social media marketing
 Product based web sites
 Mobile add campaign “Irresistibility
quiz”
 Old spice youtube video campaign
attracted 13.7
million people
 Separate facebook page for each
product
 Manofthehouse.com for house hold
advice to man
 Capessa for women on youtube

17. SPONSORSHIPS
CELEBRITY ENDORSEMENTS

19. POTERS FIVE FORCES MODEL
• Buyers:- Low bargaining power
• Suppliers:- Low
• Potential Entrants:- Less as P&G itself is the
market leader
• Substitute:- Moderate threat
• Industry Rival:- High

20. • BRAND LOYALTY
• DISTRIBUTION CHANNEL
• INNOVATION
• PRICING STRATEGY
• QUALITY OF THE PRODUCT
How is P&G different from others?

21. WHAT’S NEXT
• Digital marketing with
campaigns
• Emotional, design and
function driven marketing
marketing
• R&D
• Consumer research &
product performance.

22. •Treat every brand special and do full
justice to it in every aspect including
advertisement, promotions etc.
•Never give your consumer any reason
to switch away from your brand.
•After defining your options, always test
worst case scenarios.
•Competition will always follow your
technology, not your brand.
Conclusion

23. DISCLAIMER
Created by Omkar
Nawlakhe, NPTI Nagpur,
during the Marketing
Internship by
Prof. Sameer Mathur, IIM
Lucknow