Procter and gamble: Marketing Capabilities
- 2. What is Procter and Gamble? One of the biggest consumer good company in the world
- 3. Why is P&G the world’s largest marketer?
- 4. P&G has to be a big marketer to achieve it’s goal of serving every consumer possible.
- 5. Marketing strongly impacts market share as well as creates and develops brand awareness, image and equity. •
- 6. Need to be a big marketer To communicate product innovations First toothpaste with fluoride
- 7. Need to be a big marketer To communicate product innovations Single-handedly created the disposable diaper category Pampers evolved out of P&G’s experiments in expanding its paper products line
- 8. Need to be a big marketer To introduce breakthrough products New synthetic formula for detergent
- 9. Need to be a big marketer To introduce breakthrough products First female hygiene product to be marketed Introduced a range of products with a variety of innovations
- 10. It has to collect consumer information and position itself to achieve a competitive edge over it’s rivals.
- 11. Focus on market research •20000 researches ever year •$500 million in developing and executing the research studies
- 12. Focus on market research Innovative ways to learn from consumers: •Psychological surveys to understand how consumers associate products depending on their feeling/state/situation
- 13. Focus on market research Innovative ways to learn from consumers: • Word of mouth program with 600000 women to pitch it’s products. Gave them coupons, samples and opportunities to share their opinions and provided them with crafted product messages to share with their peers
- 14. Consumer centric marketing Design being one of the criterion in product development helped consumers recognize, understand and visualize the functions of a given product
- 15. Consumer centric marketing One of P&Gs websites allowed consumers to customize cosmetics and fragrances
- 16. Consumer centric marketing •In store promotions •Focus on shopping experience
- 17. Community campaigns T shirt purchase proceeds went to families affected by hurricane Katrina Laundromat to wash survivors’ clothes
- 19. It has to employ every possible and sensible communication strategy, campaign and action such as mass marketing, digital marketing and personal marketing to reach out to every segment of consumers.
- 20. Spent $8.68 billion on advertising in 2010
- 21. Advertising •Started with daytime radio dramas •Practically created soap operas to target women consumers •Mostly TV commercials
- 22. Advertising •Use of tailored advertising campaigns for specific market segments
- 23. Advertising • Use of media neutral ideas that can be translated across a range of media channels.
- 24. Sponsorships
- 25. Endorsements Ellen DeGeneras Drew Barrymore Sofia Vergara
- 26. Endorsements Eva Mendes Gisele Bundchen Taylor Swift
- 27. Endorsements Sebastian Vettel Roger Federer Theirry Henry Tiger Woods
- 28. Digital marketing • Other than brand websites, P&G launched interactive forum type websites for expectant mothers and teenage girls • Also launched two web series
- 29. • Actor from television commercial became a youtube sensation, P&G capitalized on this by releasing more videos of the actor interacting with fans, bloggers and celebrities.
- 30. •Also launched two social media websites •Also launched a informational website providing household advice for men •Created facebook pages for its brands
- 31. References • Harvard Business school case study 9-311-117 • https://www.google.co.in/imghp?hl=en&tab=wi&ei=MlicWNKC NYrovgTZl7jwDQ&ved=0EKouCBQoAQ • https://en.wikipedia.org/wiki/Procter_%26_Gamble • https://en.wikipedia.org/wiki/List_of_Procter_%26_Gamble_bran ds
- 32. DISCLAMER Created by Udaibir Singh Sandhu, MIT Manipal, during a marketing internship under Professor Sameer Mathur, IIM Lucknow