Abstract
Procter and gamble is an American multinational consumer goods company. Founded in Cincinnati Ohio in 1837 by William proctor and James Gamble, the company is today one of the leading companies in its sector of activity. P&G is the world's largest and most profitable consumer products company, with nearly $84 billion in sales and more than $10 billion in net earnings. The company has 25 billion- dollar brands, each of which generate from $1 billion to more than $10 billion of sale per year. They span a broad range of products categories including household care, beauty, grooming and personal health care. The company include brands such as Pampers, Gillette, Tide, Ariel, and more. To deliver growth amongst the best in its industry, they're strengthening their core business, renewing their focus on discontinuous innovation, and implementing a $10 billion productivity program. (Procter and gamble 2013)
The macro economic crisis resulted in various changes in the consumer good industry. Due to the economic crisis and the various austerity programs set up by various governments especially in Europe (BBC 2012). Customers have limited available income; as a result their buying behavior dramatically changes.
Meanwhile the distributors have developed new marketing techniques in order to attract and win the loyalty of customers. According to Abi Lawrence : Successful brands and retailers will help shoppers to maintain their lifestyle on tighter budgets – they will strive to be seen as a money-saving ally.Companies will have to review their strategic positions if they want to be able to compete in this new business environment. Also the companies will have to make good use of the new tools provided by Internet such as the social networks. This in order to increase and improve its communication with its customers.
