CHAPTER I- INTRODUCTION:

MARKETING-MIX

The marketing mix is a business tool used in marketing and by marketers. The marketing mix is often

crucial when determining a product or brand's offer, and is often associated with the four P's: price,

product, promotion, and place. In service marketing, however, the four Ps are expanded to the seven P's

or eight P's to address the different nature of services.

PRODUCT:

A product is seen as an item that satisfies what a consumer demands. It is a tangible good or an

intangible service. Tangible products are those that have an independent physical existence. Typical

examples of mass-produced, tangible objects are the motor car and the disposable razor. A less obvious

but ubiquitous mass-produced service is a computer operating system.

Every product is subject to a life-cycle including a growth phase followed by a maturity phase and

finally an eventual period of decline as sales falls. Marketers must do careful research on how long the

life cycle of the product they are marketing is likely to be and focus their attention on different

challenges that arise as the product move.

The marketer must also consider the product mix. Marketers can expand the current product mix by

increasing a certain product line's depth or by increasing the number of product lines. Marketers should

consider how to position the product, how to exploit the brand, how to exploit the company's resources

and how to configure the product mix so that each product complements the other. The marketer must

also consider product development strategies.

PRICE:

The amount a customer pays for the product. The price is very important as it determines the company's

profit and hence, survival. Adjusting the price has a profound impact on the marketing strategy, and

depending on the price elasticity of the product, often it will affect the demand and sales as well. The

marketer should set a price that complements the other elements of the marketing mix.

When setting a price, the marketer must be aware of the customer perceived value for the product. Three

basic pricing strategies are: market skimming pricing, market penetration pricing and neutral pricing.

The 'reference value' and the 'differential value' must be taken into account.

PROMOTION:

All of the methods of communication that a marketer may use to provide information to different parties

about the product. Promotion comprises elements such as: advertising, public relations, sales

organization and sales promotion.

Advertising covers any communication that is paid for, from cinema commercials, radio and Internet

advertisements through print media and billboards. Public relations is where the communication is not

directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or

trade fairs and events. Word-of-mouth is any apparently informal communication about the product by

ordinary individuals, satisfied customers or people specifically engaged to create word of mouth

momentum. Sales staff often plays an important role in word of mouth and public relations

PLACE:

Refers to providing the product at a place, which is convenient for consumers to access. Various

strategies such as intensive distribution, selective distribution, exclusive distribution and franchising can

be used by the marketer to complement the other aspects of the marketing mix.

The "seven Ps" is a marketing model that adds to the aforementioned four Ps, including "physical

evidence", "people", and "process": It is used when the relevant product is a service, not merely a

physical good.

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MEANING OF CSR: -

Corporate social responsibility is a form of corporate self-regulation integrated into a business model.

CSR policy functions as a built-in, self-regulating mechanism whereby a business monitors and ensures

its active compliance with the spirit of the law, ethical standards, and international norms.

In some models, a firm's implementation of CSR goes beyond compliance and engages in "actions that

appear to further some social good, beyond the interests of the firm and that which is required by law." [2]

[3] CSR is a process with the aim to embrace responsibility for the company's actions and encourage a

positive impact through its activities on the environment, consumers, employees,

communities, stakeholders and all other members of the public sphere who may also be considered as

stakeholders.

The term "corporate social responsibility" became popular in the 1960s and has remained a term used

indiscriminately by many to cover legal and moral responsibility more narrowly construed.[4]

Proponents argue that corporations make more long-term profits by operating with a perspective, while

critics argue that CSR distracts from the economic role of businesses. McWilliams and Siegel's article

(2000) published in Strategic Management Journal, cited by over 1000 academics, compared

existing econometric studies of the relationship between social and financial performance. They

concluded that the contradictory results of previous studies reporting positive, negative, and neutral

financial impact were due to flawed empirical analysis. McWilliams and Siegel demonstrated that when

the model is properly specified; that is, when you control for investment in Research and Development,

an important determinant of financial performance, CSR has a neutral impact on financial outcomes.

In his widely cited book entitled Misguided Virtue: False Notions of Corporate Social

Responsibility (2001) David Henderson argued forcefully against the way in which CSR broke from

traditional corporate value-setting. He questioned the "lofty" and sometimes "unrealistic expectations"

in CSR.

Some argue that CSR is merely window-dressing, or an attempt to pre-empt the role of governments as a

watchdog over powerful multinational corporations. Political sociologists became interested in CSR in

the context of theories of globalization, neo-liberalism, and late capitalism. Adopting a critical approach,

sociologists emphasize CSR as a form of capitalist legitimacy and in particular point out that what has

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begun as a social movement against uninhibited corporate power has been co-opted by and transformed

by corporations into a 'business model' and a 'risk management' device, often with questionable results 

CSR is titled to aid an organization's mission as well as a guide to what the company stands for and will

uphold to its consumers. Development business ethics is one of the forms of applied ethics that

examines ethical principles and moral or ethical problems that can arise in a business environment.  ISO

26000 is the recognized international standard for CSR. Public sector organizations (the United Nations

for example) adhere to the triple bottom line (TBL). It is widely accepted that CSR adheres to similar

principles but with no formal act of legislation.

The notion is now extended beyond purely commercial corporations, e.g. to universities.

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IMPORTANCE OF CSR: -

ISO 26000 is the recognized international standard body for CSR. The ISO 26000 standards benefit

CSR because they provide clarity on an organization’s concepts, terms and definitions related to social

responsibility. ISO 26000 intends to assist organizations in contributing to sustainable development. The

standards provide insight into trends and characteristics of social responsibility. ISO 26000 therefore

aims to integrate, implement and promote socially responsible behavior throughout the organization and

in its engagement with its stakeholders.

It is important for businesses not only to provide products and services to satisfy the customer, but also

to ensure that the business is not harmful to the environment in which it operates. In order for an

organization to be successful, the business must be built on ethical practices. Companies are

increasingly pressurized to behave ethically. This pressure comes from customers, consumers,

governments, associations and the public at large. ISO 26000 was created with this in mind, to provide

guidance on the international standards on CSR. It is intended for organizations in both public and

private sectors, in developed and developing countries.

These standards motivate businesses to go beyond legal compliance, recognizing that compliance with

the law is a fundamental duty of any organization and an essential part of their social responsibility.

Being trustworthy and transparent, however, increases consumers’ preference for a company and its

product or service.

The King Report on Corporate Governance (South Africa 2009 – King III) promotes good social and

environmental practices as part of good corporate governance. It is closely aligned with the standards for

international corporate governance. The JSE (Johannesburg Stock Exchange) Securities Exchange

prescribes compliance with King III for listed companies.

CSR focuses on achieving economic success through responsible corporate governance in a company’s

core area of business. CSR pushes organizations to do better because their actions affect customers,

suppliers, employees, shareholders and the community at large. Partnerships with the communities,

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particularly those that have been disadvantaged, can help companies build productive relationships and

stimulate economic growth in disadvantaged areas.

Around the world, companies are motivated to make their business decisions more sustainable by

applying the principles of CSR within their organizations. Examples include the protection of human

rights, drawing up and implementing employment and environmental standards, and minimizing

corruption.

Choosing the Right CSI Strategy:-

Corporate Social Investment is a strategically focused investment in bringing about meaningful

transformation that is in line with core business objectives.

There are four CSI strategies, organizations usually fit in one of the following. These include:

Obstructive strategy – these are companies that meet economic demands;

Defensive strategy – these are companies that meet economic and legal responsibilities;

Accommodative strategy – these are companies that meet economic, legal and ethical

responsibilities; and

Proactive strategy – these are companies that meet economic, legal, ethical and discretionary

responsibilities.

It must be the goal of every organization to use a proactive strategy where they do what is right, meet

legal obligations and contribute to the community, while still making a profit. A well-known example of

this strategy is the Tylenol case in 1982. Johnson & Johnson spent over $100 million dollars recalling

Tylenol, its best-selling product, after someone tampered with bottles of the painkiller. The result was a

rise in consumer confidence despite the contamination scare.

Companies that operate with business ethics have a competitive advantage because consumers are more

willing to trust ethical brands and remain loyal to those products, even during difficult periods.

However, not all businesses operate in the same way.

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Ethical companies that relocate their manufacturing facilities to developing countries must not tolerate

certain practices that are acceptable in some of those countries, such as child labour, poor health and

safety, poverty-level wages and coerced employment.

It is important for companies to understand the importance of operating ethically and to measure their

success by more than just profitability. Corporate Social Responsibility is more than just philanthropic

activity. There must be measurable and sustainable action with each programme that is implemented.

In conclusion, by becoming a good corporate citizen, an organization can improve its competitive edge

in respect of attracting and retaining investors, clients and employees. If carefully aligned to the core

business strategy (as well as to company and industry charters from Broad–Based Black Economic

Empowerment, Social Responsibility Index and Global Reporting Index), organizational CSR and CSI

strategies can maximize opportunities for South African and international corporates. This will enable

them to go beyond compliance and a ‘tick-box’ exercise, to good corporate citizenship and

sustainability.

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PRINCIPLES OF CSR: -

Social Responsibility Principles: The Corporate Social Responsibility is based on the following

principles: 

Legal Compliance Principle: The enterprise shall comply with and understand all applicable, local,

international, written, declared, and effected laws and regulations, in accordance with fixed, specific

procedures.

Adherence to Customary International Laws Principle: The enterprise shall adhere to international and

governmental agreements, executive regulations, declarations, covenants, decisions, and guidelines,

when setting its policies and practices pertinent to Social Responsibility.

Respecting Related Stakeholders lefts Principle: The enterprise shall acknowledge and accept the

diversity of related stakeholders’ lefts and interests, and the diversity of the major and minor enterprises'

activities and products, among other elements, which may affect such related stakeholders.

Transparency Principle: the enterprise shall clearly, accurately, and comprehensively declare its policy,

decisions, and activities, including known and potential effects on environment and society. Moreover,

such information shall be available to affected persons, or those who are likely to be affected materially

by the enterprise.

Respect for Human lefts Principle: the enterprise shall execute policies and practices, which shall result

in respecting existent human lefts in the Universal Declaration of Human lefts. 

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CHAPTER II- ANALYSIS

INTRODUCTION AND HISTORY OF PROCTER & GAMBLE:

William Procter , a candle maker, and James Gamble, a soap maker, immigrants from England

and Ireland respectively who had settled earlier in Cincinnati, who met as they both married

sisters, Olivia and Elizabeth Norris, formed the company initially.

Alexander Norris, their father-in law called a meeting in which he convinced his new sons-in-

law to become business partners. On October 31, 1837, as a result of the suggestion, Procter &

Gamble was born.

In 1859, sales reached one million dollars. By this point, approximately eighty employees

worked for Procter & Gamble.

During the American Civil War, the company won contracts to supply the Union Army with

soap and candles. In addition to the increased profits experienced during the war, the military

contracts introduced soldiers from all over the country to Procter & Gamble's products.

In the 1880s, Procter & Gamble began to market a new product, an inexpensive soap that floats

in water. The company called the soap Ivory. William Arnett Procter, William Procter's

grandson, began a profit-sharing program for the company's workforce in 1887.

By giving the workers a stake in the company, he assumed correctly that they would be less

likely to go on strike.

The company began to build factories in other locations in the United States, because the

demand for products had outgrown the capacity of the Cincinnati facilities .The company's

leaders began to diversify its products as well and, in 1911, began producing Crisco, a

shortening made of vegetable oils rather than animal fats .

As radio became more popular in the 1920s and 1930s, the company sponsored a number of

radio programs .As a result, these shows often became commonly known as "soap operas “.

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The company moved into other countries, both in terms of manufacturing and product sales,

becoming an international corporation with its 1930 acquisition of the Newcastle upon Tyne-

based Thomas Hedley Co.

Procter & Gamble maintained a strong link to the North East of England after this acquisition.

Numerous new products and brand names were introduced over time, and Procter & Gamble

began branching out into new areas.

The company introduced "Tide" laundry detergent in 1946 and "Prell" shampoo in 1950. In

1955, Procter & Gamble began selling the first toothpaste to contain fluoride, known as "Crest".

In 1994, the company made headlines for big losses resulting from leveraged positions in interest

rate derivatives, and subsequently sued Bankers Trust for fraud; this placed their management in

the unusual position of testifying in court that they had entered into transactions they were not

capable of understanding.

In 1996, Procter & Gamble again made headlines when the Food and Drug Administration

approved a new product developed by the company, Olestra. Also known by its brand name

Olean, Olestra is a substitute for fat in cooking potato chips and other snacks that during its

development stages is known to have caused anal leakage and gastro-intestinal difficulties in

humans.

In January 2005 P&G announced an acquisition of Gillette, forming the largest consumer goods

company and placing Unilever into second place. This added brands such as Gillette razors,

Duracell, Braun, and Oral-B to their stable.

The acquisition was approved by the European Union and the Federal Trade Commission, with

conditions to a spinoff of certain overlapping brands.

P&G has agreed to sell its Spin Brush battery-operated electric toothbrush business to Church &

Dwight. It also divested Gillette's oral-care toothpaste line, Rembrandt.

The deodorant brands Right Guard, Soft & Dry , and Dry Idea were sold to Dial Corporation . The

companies officially merged October 1, 2005. In 2008, P&G branched into the record business

with its sponsorship of Tag Records, as an endorsement for TAG Body Spray.

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MARKET SEGMENTATION

Market segmentation is a marketing strategy that involves dividing a broad target market into subsets

of consumers who have common needs, and then designing and implementing strategies to target their

needs and desires using media channels and other touch-points that best allow to reach them.

Market segments allow companies to create product differentiation strategies to target them.

Each brand must be positioned for its target segment and a single Procter and Gamble brand cannot have

one positioning for all of P&G’s segments

As of July 1, 2011, the company structure is categorized into two "Global Business Units" with each one

further divided into "Business Segments" according to the company's 2011 Annual Report. Dimitri

Panayotopoulos is Vice Chairman of Global Business Units

Beauty segment

Grooming segment

Health Care segment

Snacks & Pet Care segment

Fabric Care & Home Care segment

Baby Care & Family Home Care segment

Companies that make multiple products in multiple product categories are delivering quite different sets

of benefits to quite different target segments. As a result, they cannot create and support a single brand

that can hold multiple positions in the minds of different targets. P&G’s main competitors such as

Unilever, Colgate-Palmolive and Johnson & Johnson follow a similar multi-brand strategy.

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P&G INDIA BRANDS

Learn more about our brands:

Ambi Pure

Ariel

Duracell

Gillette

Head & Shoulders

Olay

Oral-B

Pampers

Pantene

Tide

Vicks

Walla

Whisper

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Ambi Pure

Though we strive hard to keep our homes and our cars clean and tidy, the results are rarely satisfactory.

Odours that linger in our homes just before guests arrive, or a persistent stench that never leaves the car,

not only adversely affect our mood, but also that of our guests. With this in mind, P&G experts have

bottled the fragrance of freshness with the new Ambi Pure range for both homes and cars. Please visit

http://www.rewardme.in/products/product-detail.php?id=ambipur for more information

Ariel

Introduced in 1991, Ariel was the first to bring the 'compact detergent' technology, the enzyme

technology for safe and superior stain-removing power and the 'smart eyes' technology into India, with

an aim of becoming India's best stain removal detergent. Ariel contains safe ingredients for all fabrics

under recommended usage conditions for laundry. The Ariel product range in India includes different

variants to meet your specific needs like Ariel OxyBlu, Ariel Oxyblu Ultramatic, Ariel Front O Mat,

Ariel 2in1.

Duracell

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Duracell batteries have a history of providing dependable power when and where you need it the most.

Our range of Batteries gives you the right power for all your device needs, providing up to 10x

performance. The product range in India includes Duracell and Duracell Ultra. Duracell is available in

sizes AAA, AA, C, D, and 9-volt while Duracell Ultra is available in sizes AA and AAA sizes.

Gillette

Gillette® has been at the heart of men’s grooming for over 100 years. Each day, more than 600 million

men around the world trust their faces and skin to Gillette’s innovative razors and shaving products

designed for the unique needs of men – helping them to look, feel and be their best every day. The razor

range in India includes Gillette Vector, Gillette Mach3, Gillette Mach3 Turbo, Gillette Guard and

Gillette Mach3 Turbo Sensitive and Gillette Fusion. The Shave Care range includes Gillette Fusion

HydraGel, Gillette Series Sensitive Skin Foam, Gillette Series After Shave & Gillette Classic Shave

Foam Sensitive Skin.

The Gillette Skincare regimen is a no-fuss and efficient solution in caring for the health and appearance

of men’s skin and includes a special range of designed-for-men Gillette Skincare Foaming Wash,

Gillette Skincare Scrub, Gillette Skincare Facial Moisturizer with Aloe Vera, Gillette Skincare Facial

Moisturizer with SPF and Gillette Skincare Lotion 100ml.

Head & Shoulders

Since 1950, Head & Shoulders has been at the forefront of scalp and hair science, significantly

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advancing the treatment of dandruff and scalp problems. Along with professional advice and expert

insight we have a wide range of products to care for your scalp and nurture your hair. Head & Shoulders

is available in 8 variants in India including Men Hair Retain, Complete Care for Dry Scalp, Anti Hair

fall, Smooth & Silky, Cool Menthol, Clean & Balanced, Thick & Long & Silky Black.

Olay

Olay is a product truly born in love created by Graham Wulff for his wife Dinah in 1950s to address her

frustration with the then thick and waxy beauty creams. Today, Olay is one of the most recognizable

brands in the world. Yet through all the changes and innovations, the philosophy upheld by Graham

Wulff remains just as relevant as ever: Help women look and feel beautiful and Challenge what’s

possible with their skin. The Olay portfolio in India covers Base Moisturizer, Anti Ageing and Olay

Whitening. The Anti Aging range includes Olay Regenerist, Olay Total Effects, and Olay Age Protect.

The Olay Whitening range includes Olay White Radiance and Olay Natural White. The Base

Moisturizer includes Olay Moisturizing Lotions and Creams.

Oral-B

Oral-B continuously strives to work closely with the dental professionals and deliver high quality

products, which make us leaders* in the $ 4.5 billion toothbrush category, marketing toothbrushes for

children & adults, as well as inter-dental products such as Dental Floss. In India, Oral-B has an

innovative range of toothbrushes including CrossAction Pro-health 7 Benefits, CrossAction Pro-health

Superior Clean and Advantage Sensitive toothbrush. Oral-B’S floss range includes Ultra Floss &

Essential Floss.

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*Based on global value market share for June-July 2006-07, global Nielson Audit

Pampers

As a result of constant research and innovation in understanding the needs of babies at various stages of

development, Pampers Active Baby has been voted as the best diaper by Indian moms with the

guarantee of superior dryness for an uninterrupted sleep of 12 hours. Pampers has an answer for all your

needs with its innovative product range that includes Pampers, Pampers Active Baby, Pampers Active

Baby Pants, all designed especially for providing a night of Golden Sleep for the baby.

Pantene

The New Pantene Amino Pro-V Complex range of shampoo & conditioner comes in three variants

suited for individual needs - Pantene Nourished Shine, Pantene Hair Fall Control & Pantene Smooth &

Silky. Enriched with the goodness of pro-vitamins and three essential aminos, Pantene restores your hair

with its lost beauty while making your hair ten times stronger.

Tide

Tide is the World’s Oldest & Most Trusted Detergent brand and is the Market Leader in 23 Countries

around the world. Launched in India in mid-2000, Tide provides ‘Outstanding Whiteness’ on white

clothes & excellent cleaning on coloured clothes as well. Tide’s Fabric Whitening Agents clean clothes

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without bleaching or removing colour from a garment. The Tide range in India includes Tide

(Detergent) and Tide (Bar with Whiteons). Tide Naturals was launched in India in December 2009.

Packed with the benefits of lemon and chandan, it provides great cleaning while keeping the hands soft.

Vicks

Vicks has long been invested in the science and research of respiratory health and through that

dedication has developed a wide range of therapeutic products that offer effective relief for all the major

signs and symptoms of the common cold, flu and sinus pain and pressure. The Vicks product range in

India includes Vicks Cough drops, Vicks Vaporub, Vicks Inhaler, Vicks Vapocool, and Vicks Action

500 Extra.

Whisper

Whisper understands that we're each very different, and offers a wide range of sanitary napkins to suit

every girl or woman's needs. With the right menstrual pad, you could take the first step to having a

Happy Period. Whisper has a wide range of products in India, which includes Whisper Ultra Regular

Wings, Whisper Ultra XL Wings, Whisper Ultra Heavy Flow Overnights Wings, Whisper Maxi

Regular, Whisper Maxi XL Wings, Whisper Choice Regular, Whisper Choice Wings and Whisper

Choice Ultra Wings.

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MARKETING MIX: -

The marketing mix is a business tool used in marketing and by marketing professionals. The marketing

mix is often crucial when determining a product or brand's offering, and is often synonymous with

the four Ps: price, product, promotion, and place; in service marketing, however, the four Ps have been

expanded to the Seven Ps or eight Ps to address the different nature of services.

In recent times, the concept of four Cs has been introduced as a more customer-driven replacement

of four Ps. And there are two four Cs theories today. One is Lauterborn's four Cs

(consumer, cost, communication, convenience)another is Shimizu's four Cs .

Product Strategy

Product classification – service consumer good

Product differentiation- form, features, performance, reliability

Superior technology

CSR initiatives

Attractive packaging

Catchy taglines

Established as a brand itself

Pricing Strategy

Optional – feature pricing

Product- line pricing

Cost- plus pricing

Competitive pricing

Distribution pricing

Place Strategy

In store placement strategy

Already existing strong links in urban area

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Rural penetration

Develop marketing channels as strong and penetrated so that it would gain access to remote

areas

Strategic location of warehouse

Increase wholesale dealers in small towns so that they can go to the nearby villages

National coverage would be dealt with by increasing the company’s warehouses and creating

C&F agents in the smaller cities

Promotion Strategy

Media

Radio

Hoardings

Consumer promotion

Fragrance oriented and eco friendly

Newspaper

Various promotional offers

P & G is spending 30-35 % of its sales in Advertisement and Promotion, which is highest in the

industry; HUL expends only 15% of sales on Advertisement and Promotion.

Price

Costs of the products are subject to fluctuations, particularly due to changes in commodity prices, raw

materials and cost of labor, foreign exchange and interest rates. Therefore, success rate of the company

is dependent, in part, on its continued ability to manage these fluctuations through pricing actions, cost

savings projects, sourcing decisions and certain hedging transactions. It must also manage their debt and

currency exposure, especially in certain countries, such as Venezuela, China and India. They need to

maintain key manufacturing and supply arrangements, including sole supplier and sole manufacturing

plant arrangements. They must implement, achieve and sustain cost improvement plans, including our

outsourcing projects and those related to general overhead and workforce optimization. Successfully

managing these changes, including identifying, developing and retaining key employees, are critical to

their success.

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Positioning:

The place the product occupies in consumers’ minds relative to competing products. Typically defined

by consumers on the basis of important attributes. Involves implanting the brand’s unique benefits and

differentiation in the customer’s mind. Positioning maps that plot perceptions of brands are commonly

used.

Differentiation can be based on

Products

Services

Channels

People

Image

Positioning and Branding Strategy

Developing the Strategy through use of the Creative Work Plan

1 Key Fact: A single piece of known information relating to the brand, which is agreed to be the leading

factor influencing or describing the brand performance. It may be information about the brand itself, the

competition, the customer; innovation etc. but it must be a single fact.

2 Problem the advertising must solve:

This is a consumer problem. It describes the awareness, perception or behavior of the prospective user

which has resulted in the Key Fact and which we wish to change.

3 Advertising Objectives:

Usually, simply the counterpart to the problem, although there are a great many distinct options. E.g.

"Persuade consumers to try my brand" Or "use more of my brand." Or "use my brand in a different

way." Persuade them that my brand is a viable alternative to brand x".

4.Strategy:

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a) Prospect Definition-Both demographics and psychographics.

b) Principal Competition.-Not just a list of competitors but a description of the segment

from which we wish to obtain business

b) Promise-The single most persuasive agreement one can advance for the brand framed

with the customer and the competition in mind.

c) Reason Why-The strongest piece of support for the promise. Occasionally there may be

more than one piece of support but never a list

d) Tone/Character-The tone that messages should convey to provide personality to the

message and bring it alive. This is not executional. As you can see, the format is very

simple. However, like everything at Procter & Gamble, the use of the simple tool is

handled by experts in the field. That is what makes the tool so effective.

Channels of distribution

The path through which goods and services travel from the vendor to the consumer or payments for

those products travel from the consumer to the vendor. A distribution channel can be as short as a

direct transaction from the vendor to the consumer, or may include several

interconnected intermediaries along the way such as wholesalers, distributors, agents and retailers. Each

intermediary receives the item at one pricing point and movies it to the next higher pricing point until it

reaches the final buyer. Coffee does not reach the consumer before first going through a

channel involving the farmer, exporter, importer, distributor and the retailer. Also called the channel of

distribution.

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 Promotional Strategy

“Thank You, Mom” Campaign

P&G's corporate campaign kicked off in April with its first ``Thank You, Mom'' TV spot.

It also has a dedicated ``Thank, You Mom'' Facebook page and app that allows people to send

``Thank you'' messages to their mothers.

P&G is sponsoring more than 150 global athletes.

P&G is sponsoring a few athletes like boxer Mary Kom and runner Kavita Raut, giving their

mothers a chance to see them perform and hopefully win at London this year.

P&G expects the campaign to drive $500 million in sales.

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SWOT ANALYSIS:-

Other threat controversies of the past

Price fixing

Toxic shock syndrome and tampons

Animal testing

Other product

Logo controversy

Former P&G logo

COMPETITORS OF P&G IN INDIA: -

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All the Micro and Macro Environment features have been covered in this project

Promotions and Integrated marketing Communications

Integrated Marketing Communication (IMC) is a term that emerged in the late 20th century

regarding application of consistent brand messaging across myriad marketing channels. The term has

varying definitions depending upon the source cited. These definitions continue to form an ongoing

discussion in marketing - and therefore are included here for review, as the differences in these

discussions can play a part in how IMC is viewed and utilized.

The first definition for integrated marketing communication came from the American Association of

Advertising Agencies (also 4A's) in 1989, defining IMC as "an approach to achieving the objectives of a

marketing campaign through a well-coordinated use of different promotional methods that are intended

to reinforce each other." 

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CORPORATE SOCIAL RESPONSIBILTY INITIATIVE BY P&G: -

Shiksha (Education): Padhega India. Badhega India.

(Sustainability Journey in India)

P&G’s flagship Corporate Social Responsibility Program Shiksha is an integral part of our global

philanthropy program - Live, Learn & Thrive. Now in its 8th year, Shiksha has till date helped 280,000

underprivileged children access their right to education. The program has built & supported over 140

schools across India, in partnership with NGOs like Round Table India (RTI), Save the Children (STC),

Army Wives Welfare Association (AWWA) and Navy Wives Welfare Association (NWWA), amongst

others.

Shiksha began with P&G India’s research, which revealed education as the one cause that consumers are

most concerned about and are looking for a simple way to contribute to. With this insight and founded

on P&G’s purpose, Shiksha was launched in 2005 to enable consumers to contribute towards the cause

of education of under-privileged children through simple brand choices.

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Since its inception, Shiksha has made a cumulative donation of over Rs. 22 crores towards helping

children on the path to better education. This is a result of the support from our consumers who

participated in the Shiksha movement by buying P&G brands for one quarter of the year, thus enabling

P&G to contribute a part of the sales towards the cause.

SHIKSHA’S NGO PARTNERS:

Shiksha’s vision is to help India get to 100% Shiksha someday, and it is working towards this vision in

partnership with NGOs like Save the Children India, Army Wives Welfare Association (AWWA), Navy

Wives Welfare Association (NWWA) and Round Table India (RTI), amongst others.

Each of Shiksha’s NGO partners focuses on a critical approach towards education, with NGO Round

Table India specializing in building educational infrastructure and supporting schools across India, NGO

Save the Children laying emphasis on the girl child via supporting the government’s Kasturba Gandhi

Balika Vidhyalays, and the NGOs AWWA and NWWA serving the unique educational needs of

differently-abled children of naval and army officer’s families.

SHIKSHA SCHOOLS:

Shiksha aims to build the educational future of India ‘Brick – by – Brick’ by addressing the need for

better educational infrastructure and building the tangible asset of schools. Shiksha’s interventions span

across health and hygiene facilities at schools such as clean drinking water and separate toilets for boys

and girls, advanced educational aids such as libraries and computer centres, as well as basic

infrastructure needs such as classrooms.

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P&G’s Shiksha is focused on empowering the girl child with quality education. In this picture, girl

students head towards their school - The Govt High School Lodi Majra, supported by the

neighbouring P&G plant in Baddi, Himachal Pradesh

SHIKSHA SUPPORTERS:

Shiksha has evolved into the national consumer movement that it is today, with the invaluable support of

our stakeholders amongst the media, influencers, employees and customer partners. Over the years, the

program has received generous support from many thought leaders & celebrities such as actors Anupam

Kher, Sushmita Sen, Saif Ali Khan, Sharmila Tagore, R Madhvan, Abhay Deol, Konkona Sen, Tabu and

Soha Ali Khan; social activist Dr. Kiran Bedi; artist Jatin Das and many more.

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Soha Ali Khan pledging support to 100% Shiksha

Artist Jatin Das creates a live artwork along with Shiksha students at the launch of Shiksha 2007

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Bollywood actors Abhay Deol and Neha Dhupia pledging their support to 100% Shiksha with students

of the Shiksha AWWA Asha School in New Delhi

Shiksha owes its success to the commitment of P&G employees and the support of our partners and

stakeholders. P&G employees volunteer their time and effort towards the program and are engaged with

the initiative at several platforms. For instance, in 2010, over 400 employees from across the P&G

family nationally traveled to the RTI Shiksha Sadhana School in Pune.

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DISASTER RELIEF:

India has braved several natural disasters in the recent past, such as the Tsunami in South India, floods

in Bihar or earthquakes in J&K and Gujarat. P&G has stepped forward in each of these calamities and

helped communities get back on their feet. Most recently we helped rebuild the Army School in Ladakh,

located in one of the most challenging Himalayan Terrains, which was wrecked by the Flash Floods in

2010.

Shiksha came to the aid of the Ladakh Scouts Children’s School, by supporting the education of children

orphaned by the tragedy and helping reinstate essential infrastructure.

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PARIVARTAN - THE WHISPER SCHOOL PROGRAM:

P&G’s Parivartan (Transformation) Program has been protecting millions of adolescent girls in India

from getting trapped in traditional practices of using unhygienic cloth for sanitary protection, by

providing timely menstrual education. The program has been improving the lives of over 2 Million girls

annually across 15,000 schools in India. The objective of the program is to help adolescent girls

embrace womanhood positively and enable them to adopt the right feminine hygiene practices to stay

healthy and stay in school. Parivartan ensures that adolescent girls do not miss school on account of

periods and initiates a series of cascading effects leading to a more equal gender status in the state.

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RECOMMENDATIONS & CONCLUSION:

P&G has received external recognition for its approach to sustainable development. For the second year

running P&G holds first place within the Dow Jones Sustainability Index ‘non durable household

products’ group and reports its work annually under the Global Reporting Initiative (GRI) guidelines.

The GRI promotes international harmonisation in reporting of environmental, social and economic

performance statistics, in order to promote a more open environment for responsible decision making .

This case study illustrates how P&G has innovated to develop a range of products and services that are

helping to provide a better quality of life for everyone, as well as business opportunities for itself. It

demonstrates that it is perfectly possible for companies that take environmental protection, social

responsibility and economic development seriously not only to survive, but to flourish.

After obtaining the parameter estimates from the same-tier models and up-tiering models, we calculate

P&G’s own price and distribution elasticities, as well as its cross-price and distribution elasticities of the

same-tier competitor on P&G sales volume from the parameter estimates of the same-tier models. We

also calculate the cross-price and distribution elasticities of P&G brands on the lower-tier competitors’

sales vole- ume from the parameter estimates of the up-tiering models.

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BIBLIOGRAPHY:

PGDAM (Post Graduate Diploma in Applied Management) Book - Semester 1 (Courseware 3)

www.pg .com

www.yahoo .com

Horstman, Barry M (2005). "John G. Hankus: He rebuilt P&G – and city, too". The Cincinnati

Post.

Blattberg, R. C., K. J. Wisniewski. 1989. Price-induced patterns of competition. Marketing Sci. 8(4) 291–309.

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