Procter & Gamble: Proud Sponsor of Moms
Category: Olympics Marketing
Brand/Client: Procter & Gamble
Lead Agency: Wieden+Kennedy
Contributing Agencies: Carat, GMR Marketing, Taylor Strategy, DeVries Global
State of the brand's business
P&G is the world's largest and most profitable consumer packaged goods company. It has built a portfolio of 25 billion-dollar brands — which include Pampers, Gillette and Tide — that span a range of product categories and are household names around the world. P&G has three times as many billion-dollar brands in its categories as its next-largest competitor, Unilever, and more than most of its remaining competitors combined (source: 2012 P&G Annual Report).
The US is P&G's largest and most profitable developed market, and since developed markets represent about 60% of P&G sales and 70% of operating profits, it is essential that these markets are healthy and growing. But with ongoing recessionary pressures in the US, P&G growth has been weaker than expected, due to slower market growth and declining market shares. These share declines were driven primarily by consumer value issues on key brands in several large categories because of price increases taken to recover higher commodity costs, which P&G competitors did not take, and increased promotional activity by competitors (source: 2012 P&G Annual Report).