Market study - Sales management and negotiation techniques: Procter and Gamble

Thèmes abordés

Market study, Procter and Gamble, soaps, David S. Taylor, executive team, management, German market, leadership, intensive distribution, extensive distribution, speciality distribution, brand portfolio, Always, Ariel, Gillette, Head and Shoulders, Pampers, Tampax, home care market

Résumé du document

William Procter and James Gamble started their partnership by selling soap and candles in 1837 and formalizing this business in October of that year, despite the high competition presented at that time and the rumours of a possible civil war and financial panic in the country. The moon and stars started to become the trademark of the business and gained popularity when their soaps were sold to the Union armies; this event triggered the invention of more than 30 different types of soaps. Since the business performed nicely on market research, the company was able to engage the customers' needs, creating an attractive promotion resulting in successful investments in research labs and production plants.

Extraits

[...] It means that P&G's key account managers have to work on it in co- ordination with the buying team of its retailers. The communication about it must be well detailed in order to have the expected influence on the end consumer through the selling method of retailers. On the German market, the Research and Development account is also pretty important for this is because every product made by the company knows the same impact as the Fabric and Home Care Market concerning environmental footprint and the conscious of this. [...]

[...] The company is focused on providing branded consumer packaged goods to the consumers across the world. Operations go through five segments: Beauty; Grooming; Health Care; Fabric & Home Care, and Baby, Feminine & Family Care. P&G sells its products in approximately 180 countries primarily through mass merchandisers, grocery stores, membership club stores, drug stores, department stores, distributors, baby stores, speciality beauty stores, e-commerce, high-frequency stores and pharmacies. The company has established approximately 120 manufacturing sites are located in the United States and the rest operate in nearly 40 countries. [...]

[...] By mainly using the intensive distribution[4] method, the company goes through a simple channel process of distribution to deliver their products to the consumers: This channel has purposes to reach and maximize several criteria such as: The ordering time: the amount of time from the product being created to be eventually in the consumers' hands. The delivery flexibility: how easy is the distribution of a certain product. The distribution offers: which wholesaler, distributor, retailer the company prefers to work with 2 Portfolio The company relies on its brand portfolio which contains 65 brands in 10 products[5] categories. [...]

[...] Improve sales growth of top line brands Drive growth in key developing markets. Improving cost structure (improve supply chain, manufactures processes ) But we could define examples, based on the company's potential and with the help of economists' expertise, a few other economic goals doesn't necessarily mention about): Selling existing product into new markets New products into existing markets Increase sales volume using discount to customer. Building existing core business into stronger global leaders Etc. However, the company officially only communicates new environmental goals as their website states: are working toward our long-term vision of: Powering all our plants with 100% renewable energy Using 100% renewable or recycled materials for all products and packaging Having zero consumer and manufacturing waste go to landfills Designing products that delight consumers while maximizing the conservation of resources”[3] P&G already put their 2020 Environmental Plan into motion by having taken part into the improvement Thais' quality of life, along “with the country's economic growth and the reduction of the environmental impact”. [...]

[...] The company uses a people development program where they select people carefully for the positions and keep track of their careers inside the company Management and Organizational Structure P&G relies on a strong executive team to make the strategic decisions, the Chief Executive Officer of the company is David S. Taylor who was appointed in 2016, and he graduated in electrical engineering and worked his way up by developing different businesses in P&G such as Baby Care, Hair Care, Family Care, and Home Care. [...]