How can behavioural economics improve policies affecting

consumers?

Brussels, 28th November 2008

V. ScailteurProcter & Gamble – Government Relations Europe

The Consumer is Boss!

Understanding consumer needs- desires-aspirations

R&D /innovation

Building trusted brandsOver 300 brands in over 180 countries

Present in every market in Europe

Influencing consumer behaviour?

A sustainability example

Consumer segmentation studies

….will buy environmental products only if the products first

meet key consumer needs such as quality,

performance, convenience and price.

Sources: NMI, ROPER, MORI, IGD (WBCSD - Case Study 2008)

Consumers highlight:

1. Packaging

2. Chemicals

3. Product Use

R&D : Detergent as effective at lower temperature

AND

Communication/ education (advertising campaigns, Energy Government bodies, NGO’s…)

Communication

Brilliant Cleaning at

low temperature …

AND

Energy Savings …

30° and lower

Ariel

users28 %

2007 (market) 17%

2002 3%

People are turning to 30°

Source: IPSOS Habit & Practices Study 2002 & 2007

A building business opportunity!

Find a way for consumers to have performance, value, AND sustainability – not Either…or

To gain consumer engagement

• Real societal benefit• Communicated clearly/understood

AND • No trade offs

To appeal to the mainstream “sustainability consumer”

Value…

Consumer expectation for the best solution at the best price….