PROCTOR & GAMBLE:

MARKETING CAPABILITIESHarvard Business School Case

P&G’s Mission and Vision

“MORE CUSTOMERS , IN MORE PARTS OF THE WORLD,

MORE COMPLETELY”

A dozen $1 billion brands

Overall Sales: $78.94 billion

Net Income: $12.74 billion

Market Capitalization: $186.63 billion

Developed markets make 66% of total sales

Current Standing

Geographical Market Share

KEY HIGHLIGHT Great opportunity to further increase its share in developing markets

Industry-wise Market Share

KEY HIGHLIGHT Great opportunity to further increase its share in Snacks and Pet Care

Marketing Insights and Key Features

Research and Development

Market Segmentation

Sponsorships

Celebrity Endorsements

Product Diversification

Product Diversification

MU

LTI-B

RAN

D ST

RATE

GY

Market Segmentation

MANAGED BRANDS ACROSS A CATEGORY CAREFULLY WITH EACH GETIING INDIVIDUAL SUPPORT AND SATISFYING A PARTICULAR SEGMENT IN THE MARKET

ENSURED THAT ITS PRODUCTS DID NOT CANNIBALIZE EACH OTHERS’ SALES

TIDE WAS THE PREMIUM BRAND.CHEER WAS DEDICATED TO CLEANING

SENSITIVE COLOURS SAFELY.GAIN HAD A FRESH SCENT.

OXYDOL WAS USED FOR BLEACHING.

EXAMPLE

Research & Development

P&G WAS THE FIRST COMPANY WHO REPLACED TRIAL AND ERROR METHOD TO TAKE UP A SCIENTIFIC

APPROACH HENCE, CONNECTING R&D WITH THE COMPANY’S SALES AND MARKETING.

SEVEN GLOBAL BUSINESS UNITS (GBUs) BASED ON PRODUCT CATEGORIES REPLACED THE COMPANY’S

FOUR GEOGRAPHIC BUSINESS UNITS.

THEY HOPED FOR“BIGGER INNOVATIONS,FASTER SPEED TO MARKETS,

GREATER GROWTH – INNOVATION VITALITY”

Sponsorships

• P&G’s BUSINESS GREW WITH SEVERAL SPONSORSHIP OPPORTUNITIES

• IT INCLUDED THE OLYMPICS AS WELL AS THE NFL.

Celebrity Endorsements

ACQUISITION OF SEVERAL BEAUTY BRANDS IN THE

1990s BROUGHT VARIOUS CELEBRITY ENDORSERS

WHICH INCLUDED NAMES LIKE ELLEN De GENERES ,

TAYLOR SWIFT, NAOMI WATTS & EVA MENDES.

CHALLENGES FACED

CHINA REMAINS A VERY TOUGH MARKET MAINLY DUE TO :

SLOWER CONSUMER SPENDING, HEIGHTENED COMPETITION AND RAPID

SHIFT TOWARDS ONLINE SHOPPING.

.

THE CHINESE MARKET

THE INDIAN MARKETP&G ARE LOSING OUT TO HUL AND OTHER GIANT LOCAL COMPETITORS IN TERMS OF -

RELEVANT MARKETING STRATEGIES AND BETTER DISTRIBUTION CHANNELS.

SOLUTIONS PROPOSED

SEPARATE ONLINE PLATFORM FOR

SALES

EMOTIONAL BRANDING

ENVIRONMENTAL ASPECTS CAN BE FOCUSED ON TO ATTRACT

CONSUMERS

ADVERTISEMENTS TO SENSITIZE PEOPLE USING HUMAN-RELATIONS

BASED CAMPAIGNS

PRODUCT LINE EXTENSIONINTRODUCE MORE PRODUCTS

AND BRANDS FOR MEN

DISCLAIMER

This presentation was created during a Marketing internship with Dr Sameer Mathur, IIM Lucknow

Binayjeet Singh (student at NSIT)