Marketing Strategy for Procter & Gamble's Fairy Brand

Running Head: Marketing Strategy
PROCTER &
GAMBLE
Report
System04104
8/6/2019

Marketing Strategy 1
Executive Summary
Proctor & Gamble (P&G) is known as the brand name in FMCG industry. The company has
its own reputation in the international market because the company deals in numbers of
products and brands. Although, some of the product failure of P&G was the major concern
for the company in last four or five years. One of its brands ‘Fairy’ that was one of the oldest
product brand of the company is facing similar problem in the market. The increasing
competition in the washing detergent and washing powder industry affected the sale of
‘Fairy’ in UK market. This report helps to understand the possible opportunities for ‘Fairy
brand’ in UK market. The report finds a conclusion after a depth analysis of its market and
various environmental factors that company need to review its pricing strategy and should
target the rural areas. The company needs to launch some advertising campaign to aware
people about the product offers and provide them some discount on the product. Apart from
this, P&G can also target the house wives for its ‘Fairy’ product. Although, if the company
will launch different scents and varieties in its detergent products then it also attracts people
towards its product.

Marketing Strategy 2
Table of Contents
Executive Summary...................................................................................................................1
PART-1......................................................................................................................................3
Introduction................................................................................................................................3
About the Company...................................................................................................................3
External and Internal Environment of the Company.................................................................4
PESTEL Analysis of P&G.....................................................................................................4
Internal/Micro Environment...................................................................................................7
SWOT Analysis of P&G........................................................................................................7
Market Position of P&G in and Its Competitors......................................................................10
PART-2....................................................................................................................................13
About the Brand.......................................................................................................................13
Marketing Strategy for the Company.......................................................................................13
Segmentation, Targeting, and Positioning (STP) of Fairy.......................................................14
Recommendation Objectives and Goals..................................................................................14
Recommended Marketing Strategies for Fairy Brand based on Marketing Mix.....................15
Recommendations for P&G.....................................................................................................16
Conclusion................................................................................................................................17
References................................................................................................................................18

Marketing Strategy 3
PART-1
Introduction
Proctor and Gamble (P&G) is not a new name in fast-moving consumer goods industry. It is
the largest FMCG Company of USA. The company has large number of brands. Some brands
are the major successful brands while some of the brands are currently needed a strong
marketing strategy of company to establish in the market. Fairy is an old brand of P&G that
was launched in 160 in the Thurrock Factory (London plant). This report talks about the new
marketing strategy for the Fairy and try to find out the possible ways that help the company
to establish its product ‘Fairy’ in the market (P&G, 2019). The first part of this report
describes various environmental factors (micro and macro factors) of the company that shows
the company’s current situation in the industry, while the second part of the report includes
the possible opportunities for Fairy in the market based on market growth, customer needs,
competition, and current marketing strategies of rivalry companies. In the end of this report
some key recommendations has been added to suggest the company about the best marketing
strategy for ‘Fairy’ brand.
About the Company
The Proctor & Gamble Company is the largest multinational company of USA and this
company is known for its varieties of products and brands all over the world. The company
was established in 1837 by William Procter and Jams Gamble. More than 5 Billion people
use these brands of P&G and the company has reputation of the most innovative company in
the world.

Marketing Strategy 4
(Source: Babatunde and Adebisi, 2012)
The company has established itself as the most innovative company that believes in end-to-
end innovation strategy (P&G, 2019). It means P&G encourages its team to work on
technical projects from starting of the career and always focuses on new product
development. The company has number one market share position among millennial and it
has more than $3 Billion of e-commerce business, which is largest among the consumer-
packaged goods company. Apart from this, the company has more than 55,000 active patent
rights (P&G, 2019).
External and Internal Environment of the Company
P&G is a global consumer goods company, so it has more impact of its both external and
internal environmental factors. Most of the strategies of P&G based on the external
environment or macro environmental factors. With the help of such strategies, P&G identifies
the best possible opportunities for the company and possible threats that are based on the
external factors.
PESTEL Analysis of P&G
The external environment or the macro environment of the company is so dynamic.
Therefore, it is essential to do a PESTEL analysis on P&G that may help the company to
identify the challenges, respond appropriately, and formulate new strategies for consumer

Marketing Strategy 5
goods in the market (Patton, DeLozier, and Thompson, 2015). PESTEL analysis helps to
identify six external factors of the organisation, which are as follow:
1. Political Factors: The political factors have major impact on organisation’s
marketing strategy and on their business development plan. P&G operates its business
in more than 180 countries so the impact of government policies or any regulatory
body of the government will be major and affects the business of P&G at great level.
The company generally considers the government rules and regulations when
company formulates the marketing strategy. It is realty essential for a leader to
consider the government plan and policies before entering in any market. A stable and
strong government can also support the P&G to take corrective actions to improve
P&G environmental footprints by accessing the environmental resources (Adobor,
2019). However, if any country support P&G to operate its business through E-
commerce in the country then it will increase the market share of the company and it
will further lead to more revenues for the company. Apart from this, if a stable
government supports the globalisation and ask the foreign firms to do the business in
the country, it can be termed as an opportunity for P&G. For example, rising support
of a government to the local e-commerce organisation will be a major threat for the
company because it will increase the competitive rivalry in the industry (Puente‐Díaz
and Cavazos‐Arroyo, 2017).
2. Economic Factors: The performance of a company generally based on the economy
of the country where the company operates its business. Increasing penetration in the
developing countries may lead to the overall growth of the company because of
customer’s rising capacity for consumer goods. However, those country have poor
economic situation cannot afford the products of P&G for the people (Babatunde and
Adebisi, 2012). For example, high growth rate in a country leads to high income of
people and their high expenditure on buying products. This leads to the increasing
sells of the consumer goods of P&G. The economic stability always creates an
opportunity for P&G because it enhances the life style of people and their buying
behaviour.
3. Social Factors: The social factors include the preference and taste of customers. It
also includes the value, belief, norms, culture, and living style of people. If the
preference of people changes then it directly affects the demand of P&G (P&G,
2019). The culture of the country also affects the demand of P&G products. For