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P&G

Procter & Gamble Co., also known as P&G, is an American multinational


consumer goods company headquartered in downtown Cincinnati, Ohio,
United States, founded by William Procter and James Gamble, both from
the United Kingdom. Its products include cleaning agents and personal
care products. Prior to the sale of Pringles to the Kellogg Company, its
product line also included foods and beverages.
In 1990s era, P&G incorporated value pricing strategy. The company
adopted this strategy by cutting its coupon, production and logistical cost
by effectively increasing efficiency and it increased its advertising by 20
percent.
Within the period of six years this strategy resulted in higher brand
loyalty and stronger brand image.
The strategy of P&G was quite opposite to that of competitors and
marketing practices on that time but resulted in greater success. Now
days, P&G has the most effective pricing of its brands and customer
loyalty is as enough that they are willing to pay extra for companys
brands.
P&G gives discount offers on its different products time to time but not
frequently as it experienced in 1990s that coupon and discount only
decrease customers brand loyalty (Whereby, 2006).
Place
P&G products are available almost all over the world. P&G distributes the
products in about 140 countries to approximate five billion consumers.
DHL courier is a service provider to the company through which it
ensures its logistical efficiency.
Company has manufacturing and distribution networks in all major
countries where it runs its operations like China, USA, UK and India.
Promotion
This era is an era of advertising. Companies have to do huge
advertisings to sell their products to the consumers.
P&G has an effective promotions strategy with an advertising budget of
approximately 8.68 billion dollar in 2009 which makes it worlds number
one advertiser (Mikkelson, Barbara and David, 2005).

P&G received Advertising Hall of Fame Award in 2010. The company uses
television mass advertising in particular, Internet marketing and other
marketing mediums to promote its brands.
Company Introduction
Procter and gamble, is multinational public company that was founded as a consumer goods
industry in 1837. The company is based in Cincinnati, Ohio, US; as its headquarters and is
headed over by CEO of the company that is Bob McDonald.
Statement of the Marketing Goal
The main philosophy behind the successful progression of the company is that besides
cashing its global presence it focuses on every market segment which does business for the
company; no matter of which extent that business is of! The mission statement of Procter and
Gamble revolves around the standard elevation of human lifestyle by introducing chains of
modernized and superior quality brands.
Procter & Gamble SWOT Analysis
Strengths
Procter and gamble have the highest ranking in the worlds consumer good production
means that they are at the top marketers in the world.
They are strongly incorporated with the best sellers across the world especially in US.
The strategies made by the management are highly appreciated because of strong managerial
functions.
Different types of innovations in the product are taken into functionality, which is liked by
the customers.
The services of the company are paid across the world.
Weaknesses
Non acceptance for the tag of being private manufacturing producer that faces several bans
associated to the countries in which they are present affect the worldwide sales , as they are
present around the world.
Presence at online media is very weak and the quality of leadership is also not up to the
mark.
Opportunities
The company has the opportunity to do online advertisements and have hold on online
media to achieve the goals.
Incorporation of least interest in doing such projects which are not suitable for the company
and which directly affects the production.

Company has the opportunity of purchasing different types of goods and to acquire the
producers to enhance the position of the company.
The commodities produced by the company are sold directly to the company instead of
involving middlemen.
Threats
The company may have chances of being privatized that affect the local growth of the
company.
Across the world the customer-ship of the products by the company are reducing especially
in US.
The strong competitors of the company are expanding their business by purchasing assets
and emerging in the blooming markets.
Who are competitors?
Procter and Gamble has a very sensitive position in the local as well as the global market as it
has a number edged and direct competition with several companies having the top competitors
like;
o Kimberly-Clark Corporation
o Johnson and Johnson
o Unilever
The competition is very tough among all of the mentioned companies and P & G; because of
all there business perspectives are in close figures to each other.
Marketing Objectives for the Project
The companys marketing objective is very sound and clear as it wants the companys product
to reach each and every part of the world with a special focus to its acquisitions and target
markets. Moreover innovation is very much concentrated by the company as it is the sole key
to the permanent and sustainable existence of any company.
Overall Objective
The overall objective of the company is to provide the world a standard living style. The
company aims to raise the bar of living standards by providing the customers reliable and
easily manageable products. The company objective also encompasses the positive feedback
of the customers utilizing the products, stakeholders of the company, and the communities in
which the companys operations are carried on; to award the company with leading sales,
innovation progression and remarkable sales.
Strategic Objectives for Every Primary Objective
The strategic objective of the company are as follows;

Expanded share in the global market with 10 % increase ever year to achieve the desires
target.
The bundling strategy development between the company and its acquisitions to maximize
the brand awareness of the companys products.
Incorporation of innovation to maximum extent to attain the desired standard demanded by
the customers.
Insurance of availability of the P & G products on the market shelves as the demand is often
more than the supply.
Development strategies formulation to raise the stock price of the company.
Target Market Segments
Target market of the company is expanded globally; regardless of the volume of the market in
which the product is intruded. As the company has global expansion, so is its target market
segment. Target population of the company includes the quality and standard conscious
customers group that starts from middle to elite class customers. Different products that are
introduced by the company are introduces purposively keeping in view the demands of the
targeted market.
Procter & Gamble Marketing Mix
Product
The company serves a versatile area of products; the major subdivisions being;
Cleaning and food products based on coconut
Personal cleansing and laundry products
Health care products
Laundry products related to hairs
These categories include hundreds of innovative products that are used in daily routine.
The main commercialized and most demanded products of the company includes Head &
Shoulders, Ariel, Joy, Olay, Pampers, Safeguard, Tide, Whisper, Downy and Pantene. These
mentioned products are often called ten pillars of the company because of paybacks they
gives to the company.[sky]
Price
The company prices vary according to the product or service provided.
The competitors pricing strategy and profit margins are kept before by the company while
deciding the price of any article.

Place
The companys place is worldwide means that the company is serving its products on the
global scale in all of the major markets.
The business units of the company are seven in number and are involved in planning the
strategic movements of the company.
Market development organizations of the company are present in eight locations around the
world serving their basic role in local market regarding product availably and sales there.
Promotion
The companys promotional strategies are very fine as it let the customer follow the product
through its promotional channel.
The promotional channel of the company starts with electronic media, following the same on
print media along with the bill boards and sign boards.
Main strategies
1. Market Penetration
The presence of the company as is clearly stated that it is worldwide but the market
penetration strategy of the company is aimed at raising the bar of the company by
strengthening it through attainment of major market shares than the competitors. And this is
preceded by providence of unique services, by promoting the premium prices and increasing
the sales per unit.
2. Market Development
The market development strategy of the company starts at the observation of the market
trends, most specifically those that are settled by the competitors. The innovation is desired in
this context to keep on introducing the upgraded version of the companys leading products;
as the customers attention gets diverted if the same tag of the product runs for a long time.
3. Diversification Strategy
Diversification of the company is done by engaging more stakeholders along with acquiring
the local or international company to increase the company assets as well as its global
volume. The companys acquisitions really mean to increase the categories of the products
hosted by the company.
Monitoring and Control
The company trends are thoroughly monitored through the companys specified departments
such as business units and market development organizations. Market development
organizations keep watching the market segments and there trends, however business units
specifies the appropriate strategies.

Budget
The company revenues as stated by the financial statement of the last year are huge that is
US$ 78.938 billion, while the operating income of the company was US$ 16.021 billion.

References
Tushman Michael L. Anderson, Philip. (1996). Managing Strategic Innovation and Change.
New York: Oxford University Press.
Gamble, John E. (2006). Procter & gambles Acquisition of Gillette Goldenberg, Jacob.
Strategic Planning. Gamble, John E. (2006). Procter & gambles Acquisition of Gillette
http://www.answers.com/topic/strategic-planning

Porter, Michael. (1998). Competitive Strategy: Techniques for Analyzing Industries and
Competitors. Free Press
Chapman, Michelle (2011-04-067). Pringles sold to growing empire. The Sun News.
Associated Press.
Shaw, Greg L and John R. Harrald. (2004). Identification of the Core Competencies
Required of Executive Level Business Crisis and Continuity Managers.
Wherrity, Constance (2006). "Dial Agrees to Buy P&G Deodorant Brands". Pierce Mattie
Public Relations New York blog.
Dyer, Davis; Frederick Dalzell, Rowena Olegario (2004). Rising Tide: Lessons from 165
Years of Brand Building at Procter & Gamble. Harvard Business School Press.
Mikkelson, Barbara and David. (2005). Tampax Pearl, Snopes.com.
Horstman, Barry M (2005). "John G. Hankus: He rebuilt P&G and city, too". The
Cincinnati Post.

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