An American multinational, founded in 1837 by William Proctor and James Gamble They began by supplying the Union Army with soap and candles Products include pet foods, cleaning agents, health care and personal care products Chairman, President & CEO: AG Lafley In 2014, P&G recorded $83.1 billion in sales Nearly 300 brands in more than 160 countries Worldwide workforce of 135,000 140 plants and 25 R&D centers globally. Spend nearly $ 2 billion a year on R&D

2. Team Members
 Karishma Amarnani (34)
 Mohak Joshi (43)
 Zil Shah (81)
 Omkar Naik (87)
 Sandeep Patil (90)

3. Agenda
• Industry Snapshot
• History
• Introduction
• Vision & Mission
• SWOT
• Marketing Strategies
• Product Failure & Recommendations
• Key Takeaways

4. Industry Snapshot
 The Indian FMCG sector is the fourth largest in the economy
Low per capita consumption as well as low penetration level, but potential for
growth is huge
 Strong and competitive MNC presence across the entire value chain
According to the study conducted by AC Nielsen, 62 of the top 100 brands are
owned by MNCs, and the balance by Indian companies
 FMCG sector comprises of Personal Care, Food & Beverages & Household Care
 Key players include P&G, HUL, ITC, Marico, Godrej, Dabur, Nestle, Cadbury

5. Industry Snapshot

6. History
An American multinational, founded in 1837 by
William Proctor and James Gamble
They began by supplying the Union Army with
soap and candles
Products include pet foods, cleaning agents, health
care and personal care products
Chairman, President & CEO: AG Lafley
In 2014, P&G recorded $83.1 billion in sales
Nearly 300 brands in more than 160 countries
Worldwide workforce of 135,000
140 plants and 25 R&D centers globally. Spend
nearly $ 2 billion a year on R&D

7. Products

9. Vision: Be, and be recognized as, the best consumer products
and services company in the world
Mission: “We will provide branded products and services of
superior quality and value that improve the lives of the
worlds consumers. As a result, consumers will reward us with
leadership sales, profit, and value creation, allowing our
people, our shareholders, and the communities in which we
live and work to prosper.”
Vision & Mission

10. Strong focus on Research and development
Leading market position
Expansion in developing
markets
Mergers and acquisitions to strengthen
the brand
Regulatory Environment
market
Increasing instances of product recalls
Global Economic Conditions
Diversified product portfolio
Strong brand portfolio
Dependent on Wal-Mart Stores for
majority of its revenue
Counterfeit goods
Large size and market
valuation
Weak presence on online
platforms
Intense competition
SWOT

11. Competitive landscape (Market Share)
46%
24%
10%
6%
Revenues: Shampoo (India)
35%
16%17%
8%
24%
Revenues: Detergents (India)
Others
60%
18%
6%
Revenues: Shaving - Men (Global)

12. Competitive landscape

13. Marketing Strategy
Improve
through
products
Improve
through
production
Focus on
Advertising &
Branding
Market research
& Consumer
insight
Go-to-market
strategies
Delight the customer with sustainable
innovations
Offers products for different segments. Often
adopts market “Skimming” approach
Improve operations & production
methodologies
Benefits through economies of scale
Leading Brands
Using successful movie stars in
Advertising
High investments in market research
Industry-leading go-to-market capabilities

14. Product Failure & turnaround
P&G launched an innovative water purification powder under the
brand name “Pur” in 2000 that can decontaminate water by stirring it
in and straining the water through a cloth
The PUR product is a small packet (or “sachet”) of a pre-measured
compound designed to be mixed with 10 liters of water
P&G launched a high profile commercial campaign for PUR in June
2004. The campaign primarily targeted the urban population in Sindh
Province and included the participation of the Pakistan Medical
Association (PMA)
Six months after the launch of this commercial campaign, repeat
purchases hovered at approximately 5%
Initial launch of PUR was considered a failure because sales were
insufficient to provide a positive return on investment in the time
frame required for a typical commercial consumer good
Low repurchase rate to the need for sustained communication to change public perception about the
health risks of drinking contaminated water
P&G subsequently changed focus and used the product as a Not-for-Profit Model, which was a huge
success

15. Product Failure: Change in Strategy
Re-look at market positioning in line with the target segments
Pur was high priced compared to the income levels in Philipines, Morocco, Guatemala
and Pakistan
Look at segments which relatively high literacy rates e.g. India, China
Partner with Schools and medical institutions to promote the product
Pre-launch marketing strategy to involve free sample distributions to households
Sustained campaigning to spread awareness on the importance of clean drinking water

16. Key takeaways
No. 1 FMCG organization globally, with a high focus on R&D and innovation. High product
differentiation
Huge potential in high growth markets such as India; high competition and low margins is
posing serious threats
Competitors in India Include HUL, Dabur, Colgate, Marico, ITC, etc.
Opportunity to expand through online platforms & innovative marketing strategies
Pur failed its original vision, but was repositioned as a philanthropic venture

17. Thank you