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MARKETING MANAGEMENT
REPORT

PREPARED BY: S. QURRAT-UL-AIN KAZMI

REG ID: 4494
CLASS ID: 9316
SUBMITTED TO: SIR SHAKEEL BAIG
DATE: 01 March 2010
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Our Purpose

Mission Statement
“We will provide branded products and services of superior quality and value that
improve the lives of the world’s consumers, now and for generations to come...”

Vision Statement
“Be, and be recognized as, the best product and Services Company in the world…”

Our Values
 Leadership
 Ownership
 Integrity
 Passion for winning
 Trust

P&G brands and P&G people are the foundation of P&G’s success. P&G people bring
the values to life as we focus on improving the lives of the world’s consumers.

Our Principles
 We Show Respect for All Individuals
 The Interests of the Company and the Individual Are Inseparable
 We Are Strategically Focused in Our Work
 Innovation Is the Cornerstone of Our Success
 We Are Externally Focused
 We Value Personal Mastery
 We Seek to Be the Best
 Mutual Interdependency Is a Way of Life.

OBJECTIVES
• Build existing core businesses into stronger global leaders.
• Grow leading brands, big countries, winning customers.
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• Develop faster-growing, higher margin with global leadership potential.

• Regain growth momentum and leadership across Europe and other parts of the world.
• Drive growth in key developing markets.

Procter and Gamble SWOT Analysis

Strengths
P&G focuses on five core strengths required to win in the consumer products industry.
They are designed to lead in each of these areas.

 Consumer Understanding
 Product Innovation
 Brand-Building
 Go-to-Market Capabilities
 Scale
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 New Management
 Gross Margin 15 Times the Industry Average
 One of the best marketers in the world
 Diversified brand portfolio: more than 300 brands with more than 79 billion in
Revenue
 Tightly integrated with the largest retailers in the US and around the world
 Talented management
 Distribute to 80 Countries
 Distribution channels all over the world
 New Billion Dollar brands

Weaknesses

 Top Brands Losing Market Share

 Health and Beauty Women Only
 Quality control problem
 Missing opportunity: Refuses to manufacture private label products for its retail
customers
 Slow Process Heavy Culture
 Weak brands (Duracell, Iam, Braun, Pringles)
 Views Product Performance only

Opportunities

 Health and Beauty for Men

 Doubling Environmental Goals for 2012
 Adding Value for the Conspiracy
 Utilizing online social networks
 Going Green/Eco Friendly
 Capitalizing on online media
 Continue to divest brands that don't align with the company's long-term goals (i.e.,
Folgers)
 Emerging markets
 New acquisition opportunities
 Selling directly to consumers
 Design for better product experience

Threats

 Substitute brands that have a cheaper price

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 Private label growth

 Slowdown in consumer spending in the US & globally
 Key competitors expanding their product portfolios through acquisitions
 Increase in raw material price
 Commodity cost and currency exchange rate placed tremendous pressure on the
business

STRATEGIES
In 2007, P&G established five strategies for Sustainability and set goals to be achieved
by 2012. In March of 2009, in recognition of the progress we’ve made so far and to
emphasize our commitment to achieving even more significant wins, we increased each
of our goals. It’s a part of P&G’s culture to continuously raise the bar, and our work in
Sustainability is no exception.

 STRATEGY 1 : PRODUCT

Delight the consumer with sustainable innovations that improve the environmental
profile of our products.

GOAL Develop and market at least $50 billion in cumulative sales of “sustainable
innovation products,” which are products that have an improved environmental profile.

PROGRESS Cumulative Sales

(in billions of U.S. dollars) since July 2007

Cumulative sales of sustainable innovation products $13.1

 STRATEGY 2 : OPERATIONS

Improve the environmental profile of P&G’s own operations.

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GOAL Deliver an additional 20% reduction (per unit production) in CO2 emissions,
energy consumption, water consumption and disposed waste from P&G plants, leading to
a total reduction over the decade of at least 50%.

PROGRESS Since Since

(percent reduction per unit production) July 2007 July 2002
Energy Usage 11% 48%

CO2 Emissions 10% 52%

Waste Disposal 30% 53%

Water Usage 13% 52%

 STRATEGY 3 : SOCIAL RESPONSIBILITY

Improve children’s lives through P&G’s social responsibility programs.

GOAL Enable 300 million children to Live, Learn and Thrive. Prevent 160 million days
of disease and save 20,000 lives by delivering 4 billion liters of clean water in our
Children’s Safe Drinking Water program.

Since
PROGRESS
July 2007
LIVE, LEARN AND THRIVE
Number of Children Reached 135 million
CHILDREN’S SAFE DRINKING WATER
Liters of Clean Water Delivered 930 million
Days of Disease Prevented 39 million
Lives Saved > 5,200

 STRATEGY 4 : EMPLOYEES

Engage and equip all P&Gers to build Sustainability thinking and practices into
their everyday work.
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 STRATEGY 5 : STAKEHOLDERS

Shape the future by working transparently with our stakeholders to enable

continued freedom to innovate in a responsible way.

BRANDS
From beauty and health to home and beyond, P&G’s brands make every day just a little
better for billions of consumers around the world.

Beauty & Grooming

 Safeguard
 Rejoice
 Olay
 Puma
 Gillette
 Head & Shoulders
 Herbal Essences
 Pantene
 Old Spice
 Wella

Health & Well-being

 Vicks
 Pringles
 Always
 Oral-B
 Crest

Household Care

 Ace
 Pampers
 Duracell
 Bounty
 Ariel
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 Tide

Latest Innovations

 Gillette Fusion ProGlide™ and ProSeries™

 Olay Professional Pro-X Intensive Wrinkle Protocol
 Fekkai Advanced
 Venus
 H&S Hair & Scalp

MARKETING MIX 4Ps

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PRODUCT
Name: “Pampers”
Parts of Product (Pampers)

o Core Benefits

The core parts or benefits of pampers is it provide baby care, form the very tender age
of 2 months to 4 years, Pampers is the brand which introduced the world to the concept
of the disposable diaper .

o Basic Product

Actual parts of Pampers are different sizes of packages which come under the age
Category of the child like it ranges from 2 months to 4 years. In Small, Medium, Large
sizes.

o Augmented Product

Augmented part we can say that Pamper.com international website deals with
delicate sensibilities of new parents, this area offers free expert advice through alliances
with organizations and Pamper is also the innovator of Pampers Baby care Mobile
Clinic, which is a door to door activity that educates Mothers about the key benefits of
Pampers and on Baby care tips.

Packaging:-

Pampers packaging is done in Pakistan, and the company has introduced many packs
for different segments of the markets depending upon the baby’s age group and weight.

o Small Pack with 9 baby diapers age ranging from 2 months to 8 months.
o Medium Pack includes 8 baby diapers age ranging from 10 to 28 months.
o Large Pack includes 7 baby diapers age ranging from 29 to 40 months
o Value Packs (Large Packs including 16-20 Diapers in all sizes.)

Product Segmentation:-

The Company is targeting the common house hold of the country with the firm belief that
the company provides the baby care products to its very best. The awareness program is
being created by making many health issues seminars and mobile baby care services
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which guides the mothers to take better care of their new born. Market is very much open
for all the competitors, the competitors are competing in the better product survival
environment.

PLACE
Distribution (Intermediaries) Channel:-

Company uses these levels of Distribution of Pampers

COMPANY DISTRIBUTOR RETAILER CUSTOMER

Distributor:-

There is one large distributor in the city (Lahore) .The distribution of the P & G
products in Lahore city is done by IBL Private limited.

Small Distributors:-

The Pampers is distributed to the retailers by some small distributors which are defined
and are divided on the base of geographical area of the city.

Availability:-

Pampers are very widely distributed through the group of both the main supplier in the
city and small distributors, it is widely available at most
retail shops in suburb, towns and pharmacies.

Justification:-

The availability of the Pampers in the market is due to the knowledge of the people
towards baby care, and pampers really innovates the culture of baby hygiene and care
products, this is the main reason of its wide availability in the market. People are more
conscious towards the baby health issues and pamper is one of the core product in that
regard.
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PRICE
Internal Factors

Internal factors affecting pricing of Pampers are:

Goal and Objectives:

Company’s goals and objectives are to maintain the market share of Pampers and to
survive in the market. So company shifts its prices to increase sales and maintain its
market position.

Cost Aspects Actual Cost:

Cost of production i.e. Cost includes its raw cost of importing from Saudi Arabia and
its Packing in Pakistan. Costs involve in transportation of Pampers and its promotional
Advertisements.

Organizational Consideration:

The decisions regarding the price of Pampers is undertaken by the mutual consent of
P&G (Brand Director), Pampers Marketing Managers, Pampers Brand managers and
Companies activation manager. The up and down in the price of the Pampers is due to
there Competitors price strategy.

External Factors

Market and Demand

Pampers has a stiff competition now a days due to two competitors competing along
with Pampers ,In Winter season the demand for the baby diapers Increases so the
company follows the promotional price strategy .

Competitor’s Pricing Strategy

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Competitor’s price strategy also affects the price and promotional strategy of the
Company, but Pampers holds quite good share in the market so Competitors may have
the effect on the pricing strategy but t normal extent.

Prices Adjustments Techniques

Discount Techniques

Pampers follows different discounts techniques for the distributors, retailers and
consumers. The details are as follows.

Distributors

P&G offer 6% discount to their distributors on Pampers

Retailers

Pampers offer Rs. 8 to 10 to the retailers on each Pack offering them the pack for 90 to
92 Rs.

Consumers

Consumer Price for the Normal Pack in all sizes is Rs 100 and Value Pack is Rs 169.

PROMOTION
Promotion Mix Advertising:-

P & G uses extensive promotional tools to promote it product “Pampers”. The

Advertising phenomenon which is used for pampers promotional campaign is
Educational Promotion, which means that the advertisements on the media is purposely
educative which define the mother child relation ship with the use of Pampers .Most of
the adds used in the media educate mothers of how to be better in baby care and to
benefit the use of pampers for the toddlers.

Objectives of Advertising:-

Pampers advertises on television all year round delivering the central message of a
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night's sleep being essential for a child's growth and development and the only way to
ensure a good night's sleep is to keep the baby dry. Pamper is also the innovator of
Pampers Baby care Mobile Clinic, which is a door to door activity that educates
Mothers about the key benefits of Pampers and on Baby care tips.

Public Relations:-

Pampers forms a healthy relationship environment between mothers pampers and child,
by building a complete figure of baby care phenomenon. Like recently A product
upgrade on Pampers, was announced at a press conference in Karachi .The event also
celebrated Pampers’ successful collaboration with the Pakistan Pediatric Association in
delivering child welfare education to the Pakistani mothers (Press Release Source).

Sales Promotion:-

Pampers has always offered sales promotions for its customers by introducing the
Value Packs from time to time, also offers discounts on its Value packs to strengthen its
Sales Promotions.

Selection of Media:-

Pampers have used all types of media sources available in the country like Television,
Radio, Bill boards, poster adds.

KEY SUCCESS FACTOR

P&G is a long-established marketing powerhouse, having built many strong brands
since its founding in 1837. But P&G also believes in the benefits of cause-related
marketing. It has dedicated cause-marketing staff who are able to ensure consistency
from year to year.Strong brands and innovative research are the key success factors of
P&G. The integrated global operation of P&G also adds to their success.