Procter and Gamble Case Study

Topics: Marketing, Advertising, Product management Pages: 8 (1245 words) Published: March 13, 2014
Daniel V. CeniaAdvance Marketing Management
Case Study Dr. Roberto P. Gabiola

P&G Phils., Inc.
Statement of the Problem
How to increase market share of hair conditioner and catamenials category? Major Players in the Industry
1.) LAUNDRY

P&G: 46.0%
Tide (33.2%)
Mr. Clean (7.9%)

Unilever Phils.: 32.5%
Surf (19.2%)
Breeze (10.7%)

Peerless: 5.6%
Champion (5.6%)

2.) FABRIC CONDITIONERS

P&G: 63.9%
Downy (63.9%)

Unilever Phils.: 27.7%
Comfort (27.72%)

Henkel Phils.: 4.8%
Vernell (4.8%)

3.) TOILET SOAPS

P&G: 63.9%
Safeguard (57.0%)
Ivory (5.0%)

CPP: 13.4%
Palmolive Naturals (8.3%)
Tender Care (3.8%)

J&J Phils.: 4.6%

4.) HAIR CONDITIONER

Unilever: 82.5%
Creamsilk (82.5%)

P&G: 11.0%
Pantene (7.5%)
Ivory (3.5%)

Bristol-Myers: 4.9%
Herbal Essence (4.9%)

5.) SHAMPOOS

P&G: 41.0%
Rejoice (16.9%)
Pantene (9.1%)
Head&Shoulders (8.9%)
Ivory (6.0%)

Unilever: 11.0%
Sunsilk (23.5%)
Lux (6.8%)

CPP: 23.1%
Palmolive (16.5%)
Optima (3.3%)

6.) BABY DIAPERS

P&G: 41.0%
Pampers Comfort (29.2%)
Pampers Dry (12.6%)

Kimberly-Clark Phils.: 37.5%
Huggies (21.4%)
Kimbies (16.1%)

Unitrade: 12.7%
Prokids (9.4%)
Lovesome (1.1%)

7.) CATAMENIALS

J&J Phils.: 52.9%
Modess (36.8%)
Carefree (16.0%)

P&G: 25.6%
Whisper (25.6%)

Kimberly-Clark Phils.: 18.5%
Newtex (18.5%)

Objectives
To increase market share of hair conditioner category from 11% with 10% progressive increase in every quarter. To increase market share of catamenials category from 25% to 50%. To develop a better product differentiation for catamenials and hair conditioner portfolio to compete with the leading competitors. External Environment

THREATS:
Continuing decline of the Philippines economy and political instability The product of competitors has already established a loyal market that P&G might find it difficult to penetrate the target market The competitors are multinational company too that maintains an aggressive marketing strategies There is an emergence of cheap private-label brands of retailers like the SM bonus There is lowering of prices of competitors due to increasing inter-Asian interdependence (AFTA) There is an influx of merger-fever of big competitors

OPPORTUNITIES:
Significant increase in population which gives an opportunity for a larger market Growth in the industrial and service sector
There is a wide array of market in Hair Conditioner category since anybody young and old can use it People are becoming more conscious of personal care that opens to a vast market. Internal Environment

WEAKNESSES:
Maintains wide variety of products resulting to some products seem to be unnoticed by the consumers Skills, training and development at times deprioritized/delayed No real conscious effort to search for cost reduction opportunities in areas of: OPERATING EXPENSES, ASSETS UTILIZATION, MARKETING, CONSUMER RESEARCH, TECHNICAL TESTING, MERCHANDISING, ETC., STRENGTHS:

One of the top companies in the country
Has established brand names and considered as market leader in household necessities and personal care Maintains high integrity in terms of product quality and looks forward always to win in the marketplace Vicious in building superior relationships with the target market including customers, suppliers, the private and government sectors. Alternative Courses of Action

ACTION

ADVANTAGES

DISADVANTAGES

Focus on Product Development

-Will improve customer satisfaction
and maintain product loyalty among
consumer
-Create product differentiation and
develop a better product image
-Efficient utilization of gathered data

-Additional cost
-Focus on Research and Development (R&D)

Penetrate the market through massive tri-media campaign (print, broadcast, television) with focusing on consumer satisfaction

-Promote product and become a household name among consumers -Vast resources of P & G could be put to...
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