Procter & Gamble Assignment 1

2. William Proctor & James Gamble
formed a small Candle and Soap
company in 1837, Later known as P&G

3. So what
made it so
successful ?

4. Spends more than $100 million on
over 10,000 formal consumer research
projects , generating more than 3
million contacts

5. Pringles potato chips struggled for almost
10 years . P&G analyzes product market
,affordability , awareness & distribution
via various channels

6. Invests $2 billion annually in R&D and
employs more PHDs than Berkeley , Harvard
and MIT combined . 3800 patents annually .
Ex – Dryel ( helps “dry cleaning” at home ,
Swifter , Febreze .

7. Designs products with above average
quality & continuously improving them .
Ex – Pampers Rash Guard , Tide compact
detergents .

8. • Produces brands in several sizes & forms -
gaining more shelf space & preventing
competitors from moving to satisfy unmet
market needs .
• Use parent brand to launch new products
ex- Mr. Clean , Old Spice extended to new
line of men’s deodorant

9. Markets several
brands in same
product category
Luvs
Pampers
Oral-B
Crest
Head &
shoulders
Pantene

10. Spending over $ 2.3 billion per year or
nearly twice as much as rival no. 2
General Motors
After Gillette acquisition ,
P&G - nation’s largest advertiser.

11. P&G’s sales force is in top 25 by “Sales and
Marketing Management “magazine . Its sales
force forms close ties with retailers .

12. • Great marketing matched by excellent
manufacturing
• constant improvement in production
processes
• One of lowest production costs in India

13. • Originated brand management system .
• Has excellent administrators leading each
brand individually .
• Changes their management system
periodically .

14. Risks &
Challenges of
being the
Market Leader
.

15. Brand Dilution
Preemptive Cannibalism
Scams like Price Fixing , Product Quality Test
failures ( April 2011 P&G fined 211.2 million
euros in price fixing scam, tampons -toxic shock
syndrome campaign )
Increased number of rival companies because
of huge brand portfolio
Adapting to ever changing needs of consumers
and making a profit reaping long term plans.
Breaking of Mergers or disagreement between
company’s management leading to split-up.
Synchronization between all brands . Maintaining
brand & costumer equity for all.

16. How to
maintain
strong brand
image ?

17. Transparency within company's administration
Exploit modern methods of connectivity with
creative advertisements using ex- Facebook
,YouTube , radio , WhatsApp
Rope in famous People for brand ambassadors
which embody their brand values
Start more public welfare initiatives like
SHIKSHA (India) , women empowerment etc.
Sponsoring more global events , Increase
acquisitions of profitable firms/brands

18. So
What
Now ?

19. Should focus on expansion as
P&G failed to expand its volumes
in 1st 3 quarters of fiscal 2015 .
Restructuring its pricing
strategy in lieu of market
price hikes &the recent
Brexit
Focus on emotional branding
and customer loyalty with
creative ads using all
communication mix.
Look out for sponsoring more
global events

20. History of P&G
10 Reasons for P&G ‘s market
success
Risks & challenges of being a
market leader
How can P&G maintain its strong
brand image
What’s next for P&G in the coming
years
Disclaimer
S
U
M
M
A
R
Y

21. DISCLAIMER
Created by Esha Singh ,
Bits Pilani , during a
Marketing Internship by
Prof. Sameer Mathur ,IIM
Lucknow