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1.

INTRODUCTION
1.1 P&G History

It was the early nineteenth century, and William Procter and James
Gamble - who had immigrated to the US from England and Ireland,
respectively - were embarking on their own separate journeys west on the
Ohio River when the challenges of traveling led both of them to incinnati,
Ohio, USA for relief. William stopped to care for his ailing wife, Martha,
who soon died. James came seeking medical attention for himself.
Cincinnati, a busy center of commerce and industry at that time, would
become home for the unlikely partners. Content to settle in Cincinnati,
William Procter quickly established himself as a candle maker. James
Gamble apprenticed himself as a soap maker.
The two men's paths may have never crossed had they not married sisters
- Olivia and Elizabeth Norris - whose father convinced his two sons-in-
law to become business partners. In 1837, a humble but bold new
enterprise called Procter & Gamble was born.
Procter & Gamble started its operations in Pakistan in 1991
with the goal of becoming the finest global local consumer goods
company operating in Pakistan. With commitment came growth, and in
1994 we acquired a soap-manufacturing facility, a sprawling 7-acre land
at Hub, Balochistan. Over the past nine years, the plant achieved state-of-
art manufacturing technologies and quality assurance processes.

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1.2 P&G Background
P&G Pakistan is a subsidiary of the Procter and Gamble Corporation, the
leading consumer goods company with a mission to improve the lives of
consumers wherever it operates.

P&G is an international Company reaching out to almost the entire world


population with more than 250 brands in 130 countries. Many of these
world brands (Ariel, Tide, Pert Plus, Pantene pro-V, Head & Shoulders,
Pampers and Always) have become famous household names and are
found in almost every home.

Headquartered in Cincinnati-Ohio in the USA, P&G has local operations


across the globe in more than 80 different countries, including numerous
manufacturing sites and 18 R&D-technical centers. P&G is an
internationally owned company with publicly traded shares, currently
owned by over one million shareholders from around the globe.

P&G employs over 100,000 people from all over the world, spread
evenly between 1-USA, 2-Europe/Middle East and Africa and 3-Latin
America/Asia. P&G hires and respects individuals regardless of race,
color, religion, gender, age, national origin, citizenship or disability, and
actively promotes diversity within its organization as well as in its
business operations.

1.3 P&G Pakistan Operations

 General Office, Karachi, Sindh


 National Warehouse, Karachi
 Pamper Packing Facility, Karachi
 Manufacturing Plant, Hub, Balochistan
 Sales Offices in Islamabad, Lahore, Karachi, Peshawar, Faisalabad,
Gujranwala, Hyderabad, Multan.

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1.4 The Board of Director & Manager

A.G. Lafley
Chairman of the Board
President and Chief Executive

P&G's Purpose is to provide branded products of superior quality and


value that improve the lives of the world's consumers. This purpose
drives strategy. It guides the choices about what we will do and - just as
important - what we will not do.

Hans Dewaele
General Manager
P&G Pakistan

As a part of the global community of 140 countries where P&G operates,


P&G Pakistan benefits from the best of our global experience to combine
it with local insight. It is this resourcefulness that consumers have
rewarded with market leadership positions in several categories. Our goal
is to become the fastest growing consumer products company in Pakistan
and we are intent on achieving this through more choice and ongoing
improvement in quality.

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1.5 P & G Product Mix

Pakistan Business Unit Product Line Key Brand

Home care Laundry detergent Ariel


Beauty care Hair care/ hair color, Pantene, Herbal
skin care and cleaning Essences, Olay, Head and
cosmetic and shoulders, safeguard,
antiperspirants / Camay and Pert Plus.
deodorants. Always
Feminine Protection
Pads
Baby care Baby diapers Pampers
Health Care Oral and water care Pure, Vicks
Snacks Snacks Pringles

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2. ABOUT BRANDS

2.1 Ariel
In July 1997, Ariel was launched in Pakistan based
on a sophisticated and advanced formula. New
Ariel delivers against one of the key Pakistani
consumer needs: a detergent that could give
spotless cleaning to both colored and white clothes.
This is because new Ariel contains a unique double
action system, which gets fully dissolved unlike bar
soap.

Positioning:
 Great end-results on cleaning and whiteness maintenance.
 A detergent that could give spotless cleaning to both colored and white clothes.
 Ariel contains a unique double action system, which gets fully dissolved unlike
bar soap.

Ariel Product Depth:

Size 30 g 75 g 120 g 400 g 1000 g 2000 g 3000 g


Price 5/= 10/= 15/= 55/= 125/= 225/= 320/=

 The green speckles:

USP: Penetrate deep into the fabric to help remove tough stains.

 The blue speckles:

USP: Give shine to your whites and brightness to your colored


clothes.

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2.2 Always
Procter & Gamble is one of the world’s largest
manufacturers of products for feminine protection.

In 2001, Always was successfully introduced in


Pakistan to be the first advanced hygiene pads in

the

market, representing a milestone in the progress and development of Pakistani


women. Consumer research shows the following hierarchy of needs for menstrual
protection:

1. Protection and reliability


2. Comfort and discretion
3. Convenience
4. Economy

Positioning:
It provides during those awkward days has managed to bring about a sense of
freedom, mental security and peace for women.

Variants Ultra Ultra Super Normal Classic Night Night Super


Normal Large plus Plus Plus
Price 80/= 80/= 75/= 75/= 55/= 80/= 75/=

2.3 Camay

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In 1926, the world was introduced to the finest and most sophisticated of luxuries.
Different in its very essence, defining beauty in a totally different way from other
soaps, Camay stands apart in a league of its own. Camay is not just a soap, it is a
feeling - of beauty from within. In a world short of time, Camay is about finding time
and pampering yourself. Camay is for spoiling you, because "you" are the most
important person in your life.

Positioning:

 finest and most sophisticated of luxuries


 it is a feeling of beauty
 Fragrance

Camay Depth:

Aqua Orient Floral


Variants Aqua Orient Floral
Size 75 g 125 g 75 g 125 g 75 g 125 g
Price 15/= 22/= 15/= 22/= 15/= 22/=

2.4 Head & Shoulders


Head & Shoulders is the world's leading Anti
Dandruff shampoo. In Pakistan, H&S has a 65%

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market share of Anti Dandruff shampoo segment The new, best ever formula for Head
& Shoulders contains extra moisturizers which clear away dandruff and also leave
hair looking beautiful.

Positioning:

 Anti Dandruff shampoo


 Leave your hair manageable and looking great.

H&S Depth:

Variants Green (Refreshing) Pink (Lively & Blue (Classic Black (Silky)
Silky) Clean)
Size 20 40 70 20 40 70 20 40 70 20 40
5 5 5 5 700
0 0 0 0 0 0 0 0 0 0 0
ml ml ml ml ml
ml ml ml ml ml ml ml ml ml ml ml
Price 12 22 36 12 22 36 12 22 36 12 22
3 3 3 3 365
0 5 5 0 5 5 0 5 5 0 5

2.5 Herbal Essences

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Herbal Essences: The Herbal Essences line of 2-
in-1 shampoos contains natural plant extracts and
mountain spring water. The unique packaging and
perfume make this range different from the rest!
Mild enough to use everyday, Herbal Essences’
breakthrough formulas perform gently and
efficiently, catering to individual hair types.

Positioning: Longer lasting and ultimately more fabulous lather which cleanses hair
softly feeling wonderful to the touch.

Herbal Essence Depth:

For Normal Hair For Dry/Damaged Hair 2in1 For Normal to


2in1 Herbal Essences replenishing Oily Hair
Herbal Essences 2 in 1 shampoo and Reduce the build-
moisture conditioner blends Peony, up on your hair
balancing 2 in 1 Hibiscus and Vitamin E with with the
shampoo and plant derived ingredients to conditioning of
conditioner blends gently clean and moisturise, Herbal Essences
lavender, jasmine replenish and protect dry or clarifying/Residue
and aloe with damaged hair with optimal Removal
plant derived ingredients to conditioners. Shampoo. Made with Jasmine
calm and refresh hair and and Orange Flower, it rinses
provide balanced conditioning and cleans away, leaving no
and detangling with no build up. residue to weigh hair down.

Variants Normal Dry Oily


Size 5 ml 200 ml 5 ml 200 ml 5 ml 200 ml
Price 3/= 115/= 3/= 115/= 3/= 115/=

2.6 Olay

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First launched in the 1950's, Olay rapidly became an essential part of many women's'
lives.

Today the brand is enjoyed by 70 million women worldwide and it continues to add
new products which enhance womens' natural beauty. Oil of Olay was launched in
Pakistan in 1992.

Positioning:
 leaves the skin fresh and glowing.
Olay Depth:
Olay (Pink):
With skin compatible essential
moisturizer. Pink in cold keeps normal face.
Olay (White):
White in summer it protects from the sun beams. It locks in natural
moisture to leave skin softer.

Variants Pink White


Size 75 ml 100 ml 150 ml 75 ml 100 ml 150 ml
Price 195 235 345 195 235 345

2.7 Pampers

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In August 2000, Procter & Gamble launched
Pampers in this country in Pakistan. Imported from
Saudi Arabia, Pampers is packed locally and aims to
provide a better parenting experience to Pakistani
mothers.

Market share: 75%


Positioning:
 the new diaper core design including a new dual acquisition system which
helps to improve the condition of baby's skin through a better dryness
performance.
 Balsam lotion on the top-sheet provides comfort and moisturizing to baby’s
skin, each time he moves.

Variants Small Pack Value Pack


Size Small medium Large Small Medium Large
No. of Pieces 9 8 7 18 16 14
Price 99/= 99/= 99/= 169/= 169/= 169/=

2.8 Pantene

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Pantene was launched in Pakistan in 1995 and currently every 6th female shampoo
user uses Pantene for her hair care needs.
The Pantene Pro-V line of shampoos is the best selling shampoo and conditioner
system in the world, loved by women in more than 100 countries.
Pantene, with its 5 variants for Pakistani consumers, is on the cutting edge of hair care
technology as the shampoo that solves many different types of hair problems.

Pantene Depth:

Variants Smooth & Silky Deep Black Extra Treatment


Label Color Green Black Dark Blue
Shine for dull
USP Shine for dull hair Prevents split ends
hair
20 40 70
Size in ml 5 5 200 5 200 400
0 0 0
12 22 36
Price 3 3 120 3 120 225
0 5 5

Variants Golden Protection Clarifying Anti dandruff


Label Color Gold Silver Light Blue
USP Intensive care for Residue removal Dandruff Control
dry/damaged hair
Size 200 ml 5 ml 200 ml 200 ml
Price 120 3 120 120

2.9 Pert Plus


Pert Plus Shampoo + Conditioners-Good News
From the Shower!

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Pour some in your hand. Doesn't it feel rich and luxurious? Smell it. The scent is
sublime. Best of all, Pert Plus Shampoo never builds up. It doesn't know how. The
excess just washes away. So your hair feels clean and full and looks great all day. It
kind of bounces when you walk. Especially if you walk really fast. Up some stairs.
And it's windy.

Positioning:
 Pert Plus is a revolutionary 2-in-1 shampoo that gives consumers
lighter and livelier hair.
 It cleans and conditions without unwanted residue, washing out easily
while leaving a refreshing feeling.
 An additional quality of Pert Plus is its affordability.

Variants 200 ml
Price 99

2.10 Pringles

Variants Original Paprika Salt & Soar Cheese & Hot &
Vinegar Cream & Onion Spicy
Onion
Size in 50 170 50 163 50 163 50 163 50 163 50 163
“g”
Price 45 100 45 100 45 100 45 100 45 100 45 100

2.11 Pure
PuR: PuR Purifier of Water is a low cost and
simple-to-use in-home water purification
technology that visually clarifies the water and

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reduces pathogenic bacteria, viruses, parasites, and several chemical contaminants,
including arsenic, to result in drinking water that meets World Health
Organization guidelines. PuR was developed by the Procter & Gamble Health
Sciences Institute in collaboration with the International Council of Nurses (ICN) and
the Centers for Disease Control and Prevention.

2.12 Safeguard
Safeguard, launched in 1995 by Procter & Gamble
has set new standards for defining "health &
hygiene" in Pakistan.
Positioning:
 It is an anti-bacterial soap that provides
germ rotection for twice as long as ordinary
soaps making
 it the doctors' number 1 recommended
choice throughout the world. In addition to
germ protection.
 it also caters to various other needs such as beauty
care and protection against sweat odor.

Safeguard Depth:

Variants White Purple Green Commander Yellow Pink


Size in 75 125 75 125 75 125 75 125 75 12 75 125
“g” 5
Price 15 22 15 22 15 22 15 22 15 22 15 22

2.13 Vicks
Vicks is a well-established and leading brand
for cough and cold Relief across the world.
Globally, there are a broad range of products
under the Vicks umbrella, ranging from Multi-
symptom relief medicine (Nyquil and Dayquil)
to the world famous Vicks Vaporub to other

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cough and cold relief syrups (Formula 44), tablets (Action 500), and drops (Vicks
Throat Drops).

Positioning:
 Vicks Vaporub is the leading external medicine brand for cough and cold
relief while
 Vicks Throat Drops are fast gaining acceptance as an instant relief for throat
irritation.

3. Strategies
3.1 Product Mix
 Product width of Pakistan is Detergent, Shampoo, Soap, Lotion,
Baby diapers and Feminine Protection Pads, Snacks, Water
Purifier and Balm.

P&G Product Mix

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 Variants of Brands according color and function.

P & G offer 8 Product line , 13 Brands and many brand have line
extension.
P&G Branding strategies is over all individual strategies because it have
NO: Product Line No: Product Length Product Depth
1 Detergent 1 Arial 2
2 Shampoo 2 H&S 4
3 Herbal Essence 3
4 Pantene 5
5 Pert Plus 1
3 Soap 6 Safeguard 6
7 Camay 3
4 Lotion 8 Olay 2
5 Baby diapers/ 9 Pampers 2
Feminine 10 Always 7
Protection
pads
6 Water Purifier 11 Pure 1
7 Balm 12 Vicks 1
8 Snacks 13 Pringles 6
two advantage.
1. If any brand fail then don’t affect on others brands or on company
image.
2. It is cause to earn more profit because that create competition
among brand managers for example: Brand managers of Head and
Shoulder, Panteen, Herbal Essence and Pert Plus so they work hard
for more profit.
3. Capture all market segment.

3.2 Promotion Strategies


P&G is second number in advertising therefore it is declare that
promotion activities on media is very good then their competitors because
they have 13 brand and Unilever have more then 15 brands in Pakistan.
 Sale promotion of Safeguard soap in whole country school.
 Unfortunately now a days on media have clutter so P&G brands
manager reluctant to adds on Media but it is temporary problem.

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Head & Shoulders and Safe Guard soap have a nice promotion and that
get more customers.

3.2.1 Electronic Media Spend

No: Top Ten Companies that (%) Top Ten Brands that (%)
advertised on TV advertised on TV

1 Unilever Pakistan Ltd. 10 Paktel GSM 3


2 Proctor & Gamble Pakistan 8 Sunsip Limopani 2
3 Hilal Confectionaries (Pvt.) 7 Head & Shoulders 2
Ltd.
4 Lakson Group 3 Mobilink Jazz 2
5 Pakistan Mobile Communica- 3 Safeguard Soap 2
tion (Pvt.) Ltd. - Mobilink
6 Pepsi Cola International 3 Ufone GSM 1
7 Paktel Communications Ltd. 3 Pantene Pro-V Shampoo 1
8 Max Lavender 2 Telenor 1
9 Tapal Tea 2 Brooke Bond Supreme Tea 1
10 Pakistan Telecommunication 2 Samsung Mobile 1
Company Ltd. - PTCL
Others 49 Others 48
Total 100% Total 100%

3.3 Pricing strategies


 In Pert Plus company follow a psychology pricing policy.
 In Pringles company follow a premium pricing policy.
 In other brands company follow a stander pricing policy.
3.4 Place Strategies
 Company have indirect marketing channels because customer
needs collection of brands so that is not possible one company
satisfy all customers need therefore retailer has collection of
products of different company.
 Before February-2007 company has own distribution channel but
now it have has IBL.
4. CONCLUSIONS

This report was all about the product mix strategies of Proctor and
Gamble for the purpose of to know the how product mix strategies work
in practical life.

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1. Today, P&G has global operations in nearly 80 countries and

markets its brands in more than 160 countries around the world.
Operations in Pakistan began in 1989 and it has 18 research
development centers in world.
2. Head & Shoulder, Safeguard and Panteen on of the leading product

of P&G and H&S has a 65% market share of Anti Dandruff


shampoo segment, Safeguard is gradually sales is increase and
Panteen solve the multiple problems of hair.
3. In Camay brand is still sell is low and according to our survey
Camay is not available at many retailers. Limited people are used
in Sukkur district.
4. The company has high consistency in its shampoo, soap, detergent,

health care and soap products.


5. Pure brand in unfortunately one of the unsuccessful product of
company due to lengthy procedure of water filtering.
6. Company product is known as the good quality in and health care.
7. Ariel brand is one of the unique brand in market because it provide

spotless cleaning to both colored and white clothes.


8. Over all strategies is good such as promotion, sales promotion,

pricing , product mix strategies but in distribution strategy is suffer


by more fluctuation because due to distributors on interest.

5. SUGGESTIONS
1. The distribution discount should be increase as the distribution
must take deep interest in the sales to each brand.

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2. All shampoo should be manufactured at Hub, Balochistan Plan in
order to make more efficient and it is also have opportunity for
company to earn more profit.
3. Water Purifier should manufacture in a liquid form rather then

powder because it takes high time.


4. They should be adopted in advertising absolute threshold like
Ufone post paid advertise.
5. They should be Pop song involve in advertising such as Telenor.
6. They should be developed segmented price for student.
7. Still people hair is falling in our society so P&G should be take

more concern on shampoo and insert those quality which protect


customers hair from falling.
8. Company should gradually delete the Pert plus and Pure brands

from market instead these made new brands.


9. Fragrances should be changed in Panteen brands.
10. Company should be inter new market with new product.

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