procter and gamble : marketing capabilities case analysis

Marketing CapabilitiesCase Analysis

P&G?

• American multinational Consumer goods company

• Personal care products and cleaning agents

• Founders : James Gamble, William Procter

• Current CEO : David S. Taylor

• Headquarters : Ohio, US

Current Statistics

• Global Leader in Consumer Goods

• 22 billion dollar brands( annual sales)

• Market Capitalization of $186 billion

• Served to 5 billion consumers!!

Expansion

• Began international expansion in 1930’s and from 1945 to 1980 it started in Western Europe, Japan and Latin America

• Developed Global brands in 1980’s : Whisper, Pringles , Pantene

• “ More Customers, in more parts of the world, more completely” -2010 Mission

SWOT Analysis

Strengths Weaknesses Opportunities Threats

Large Scale doesn’t invest in Growth in Cheaper local

weaker brands new markets competitors

Diverse Portfolio

Online Media Going eco-friendly

Strong Branding Increasing costs

Current Statistics

Marketing Ideology

Marketing Strategies

• Consumer Centric Approach

• Designing and Innovation

• Return on Marketing Investments

Marketing Expenditure

• $7 billion + every year since 2010

• During Recession , shift to coupons and individual promotions

• Increase in ad spending by $1 billion in 2010, with extensive focus on digital advertising and new media to reach out to more audience

Changing Marketing Plans

• Initially followed product marketing

• Shift to more forms of advertising in past decade

• Transition to design and emotion driven advertisements, which connects on an individual basis with people.

• Corporate Social Responsibility: Proceeds of Tide T-shirts sales went to hurricane affected families

Advertising

• First to market and sell directly to customers

• Media Neutral Ideas in global markets ( 2002)

• Celebrity Endorsements

• Sponsorships

• Digital and Social Media

Digital Marketing

• Websites

• Online Serials, YouTube

• Mobile advertisements

• Television Commercials

Innovative Advertisements

Interactive Community Promotion

Sponsorship for Branding

Extensive Online Campaigns

Endorsements for Individual Brands

Innovation and R&D

• Recruited researchers to work on design

• Opened offices for product development

• Collaborated with other researchers

• Connect + Develop Approach

Commitment to Consumer

• Interviews and interacts with customers

• Collection of data using tests

• Analysis for implementing to provide the best

• Collaborations with companies for consumer research

What lies ahead?!

• Global expansion to more regions

• Continued focus on innovation and research

• Region Wise consumer research and product performance

• Interactive brand communities through more social presence

This Presentation was created by Lakshya Ghuliani ( BITS Pilani Goa) during an internship with Prof. Sameer Mathur, IIM Lucknow.