CERTIFICATE

This is to certify that project title “Marketing strategy of proctle and gamble (P&G)” is the original work of
vishwas mehta of BCOM (H) 2nd Semester and has been duly completed under my guidance and
supervision up to my satisfactory level. This work has been done in partial fulfillment of the requirement
for minor report project of the Degree of bachelor of commerce with honours.

Signature of the guide

Date:
 ACKNOWLEDGEMENT

It is pleasure to acknowledge many people who knowingly and unwittingly helped me, to complete my
project. First of all let me praise god for all the blessings, which carried me through all those years. First
& foremost, I would like to express my regards to Mr kawaljeet singh for his constant encouragement
and support. I would also like to express my immense gratitude towards all the lecturers of our college
for providing the invaluable knowledge, guidance, encouragement extended during the completion of this
project. I extend my sincere gratitude to all my teachers and guide who made unforgettable contribution.
Due to their sincere efforts I was able to excel in the work entrusted upon me. Last but not the least; I am
grateful to my parents, my sister, my brother, my friends and all well- wishers for their moral support and
encouragement during the entire period of time.

Signature of the student

 TABLE OF CONTENTS

1. CHAPTER I: Introduction

Objectives Of Study

Review Of literature

Research Methodology

Limitations Of The Study

2. CHAPTER II: Profile Of The Organization-----------------------------------

3. CHAPTER III: Analysis And Interpretation Of Data--------------------

4. CHAPTER IV: Conclusions And Recommendations----------------------

5. Bibliography

6. Annexures
CHAPTER I
 INDUSTRY DETAILS

FMCG stands for Fast Moving Consumer Goods. It is also referred to on occasion as CPG, an
abbreviation of Consumer Packaged Goods. They are described as being reasonably low cost items that
are supplied and sold in a very short time period - often these types of products have a short shelf life,
hence having a short sale time. FMCG's are often bought in bulk to take advantages of economies of
scale - due to their low price, profit margins are often small so the sale of large quantities over a short
period of time is vital to make worthwhile. FMCG's can be split into highly perishable and non-highly
perishable goods. Highly perishable goods include meats, vegetables, fruit, and bakery items - anything
that has a reasonably short shelf life. In contrast, products such as wine, beer and spirits, canned foods
and toiletries have a longer shelf life and do not perish quickly. Nonetheless, these products are in high
demand and as a result product turnover is high; they do not spend long on the supermarket shelves.
Fast Moving Consumer Goods are recognised as being a frequent consumer purchase, and what that
involves a low level of risk and/or emotion.

Characterstics of FMCGs

 Frequent purchase
 Low price
 High volumes
 Low margins
 Extensive distribution networks
 High stock turnover
 INTRODUCTION

The evaluation of the business model of the company and the organizational structure would also be
done in order support the analysis and estimate the performance of the company as a whole. Procter &
Gamble is one of the largest packaged product companies in the world. This fact has always motivated
the company for their purpose inspired growth. The company's mission is to improve the lives of the
customers round the world. The company wants to design the products for maximum customer delight
and conserving the natural resource (P&G, 2012). It wants to win the customers, and help its leading
brands to grow and expand into different countries. It wanted to focus mainly on the core business and
build is strong global market leaders. The company also has the objective maintaining growth and
sustainability in different parts of the world (Corporate Watch, n. d.).The Procter & Gamble Company
(P&G) is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio,
founded in 1837 by William Procter and James Gamble. It specializes in a wide range of personal
health/consumer health, and personal care and hygiene products; these products are organized into
several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine,
& Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included foods, snacks,
and beverages. P&G is incorporated in Ohio. In 2014, P&G recorded $83.1 billion in sales. On August 1,
2014, P&G announced it was streamlining the company, dropping and selling off around 100 brands
from its product portfolio in order to focus on the remaining 65 brands, which produced 95% of the
company's profits. A. G. Lafley—the company's chairman, and CEO until October 31, 2015—said the
future P&G would be "a much simpler, much less complex company of leading brands that's easier to
manage and operate". David S. Taylor is the current chairman and CEO of P&G.
 ORIGINS

Candlemaker William Procter, born in England, and soapmaker James Gamble, born in Ireland, both
emigrated from the United Kingdom. They settled in Cincinnati, Ohio initially and met when they married
sisters Olivia and Elizabeth Norris. Alexander Norris, their father-in-law, persuaded them to become
business partners, and in 1837 Procter & Gamble was created. In 1858–1859, sales reached $1 million.
By that point, about 80 employees worked for Procter & Gamble. During the American Civil War, the
company won contracts to supply the Union Army with soap and candles. In addition to the increased
profits experienced during the war, the military contracts introduced soldiers from all over the country to
Procter & Gamble's products. In the 1880s, Procter & Gamble began to market a new product, an
inexpensive soap that floated in water. The company called the soap Ivory. William Arnett Procter,
William Procter's grandson, began a profit-sharing program for the company's workforce in 1887. By
giving the workers a stake in the company, he correctly assumed that they would be less likely to go on
strike.The company began to build factories in other locations in the United States because the demand
for products had outgrown the capacity of the Cincinnati facilities. The company's leaders began to
diversify its products, as well, and in 1911, began producing Crisco, a shortening made of vegetable
oils rather than animal fats. As radio became more popular in the 1920s and 1930s, the company
sponsored a number of radio programs.
 INTERNATIONAL EXPANSION

The company moved into other countries, both in terms of manufacturing and product sales, becoming
an international corporation with its 1930 acquisition of the Thomas Hedley Co., based in Newcastle
upon Tyne, England. After this acquisition, Procter & Gamble had their UK Headquarters at 'Hedley
House' in Newcastle upon Tyne, until quite recently, when they moved to The Heights, Brooklands.
Numerous new products and brand names were introduced over time, and Procter & Gamble began
branching out into new areas. The company introduced Tide laundry detergent in 1946 and Prell
shampoo in 1947. In 1955, Procter & Gamble began selling the first toothpaste to contain fluoride,
known as Crest. Branching out once again in 1957, the company purchased Charmin paper mills and
began manufacturing toilet paper and other tissue paper products. Once again focusing on laundry,
Procter & Gamble began making Downy fabric softener in 1960 and Bounce fabric softener sheets in
1972. One of the most revolutionary products to come out on the market was the company's disposable
Pampers diaper, first test-marketed in 1961, the same year Procter & Gamble came out with Head &
Shoulders. Prior to this point, disposable diapers were not popular, although Johnson & Johnson had
developed a product called Chux. Babies always wore cloth diapers, which were leaky and labor-
intensive to wash. Pampers provided a convenient alternative, albeit at the environmental cost of more
waste requiring landfilling. Amid the recent concerns parents have voiced on the ingredients in diapers,
Pampers launched Pampers Pure collection in 2018, which is a "natural" diaper alternative.
 FURTHER DEVELOPMENTS

Procter & Gamble acquired a number of other companies that diversified its product line and significantly
increased profits. These acquisitions included Folgers Coffee, Norwich Eaton Pharmaceuticals (the
makers of Pepto-Bismol), Richardson-Vicks, Noxell (Noxzema), Shulton's Old Spice, Max Factor, the
Iams Company, and Pantene, among others. In 1994, the company made headlines for big losses
resulting from levered positions in interest rate derivatives, and subsequently sued Bankers Trust for
fraud; this placed their management in the unusual position of testifying in court that they had entered
into transactions that they were not capable of understanding. In 1996, P&G again made headlines when
the Food and Drug Administration approved a new product developed by the company, Olestra. Also
known by its brand name 'Olean', Olestra is a lower-calorie substitute for fat in cooking potato chips and
other snacks. In January 2005, P&G announced the acquisition of Gillette, forming the largest consumer
goods company and placing Unilever into second place. This added brands such as Gillette razors,
Duracell, Braun, and Oral-B to their stable. The acquisition was approved by the European Union and
the Federal Trade Commission, with conditions to a spinoff of certain overlapping brands. P&G agreed
to sell its SpinBrush battery-operated electric toothbrush business to Church & Dwight, and Gillette's
Rembrandt toothpaste line to Johnson & Johnson. The deodorant brands Right Guard, Soft and Dri, and
Dry Idea were sold to Dial Corporation. The companies officially merged on October 1, 2005. Liquid
Paper and Gillette's stationery division, Paper Mate, were sold to Newell Rubbermaid. In 2008, P&G
branched into the record business with its sponsorship of Tag Records, as an endorsement for TAG
Body Spray. P&G's dominance in many categories of consumer products makes its brand management
decisions worthy of study. For example, P&G's corporate strategists must account for the likelihood of
one of their products cannibalizing the sales of another. On August 25, 2009, the Ireland-based
pharmaceutical company Warner Chilcott announced they had bought P&G's prescription-drug business
for $3.1 billion. P&G exited the food business in 2012 when it sold its Pringles snack food business to
Kellogg's for $2.75 billion after the $2.35 billion deal with former suitor Diamond Foods fell short. The
company had previously sold Jif peanut butter, Crisco shortening and oils, and Folgers coffee in
separate transactions to Smucker's. In April 2014, the company sold its Iams pet food business in all
markets excluding Europe to Mars, Inc. for $2.9 billion. It sold the European Iams business to Spectrum
Brands in December 2014.
 FINANCES

For the fiscal year 2018, Procter & Gamble reported earnings of US$9.750 billion, with an annual
revenue of US$66.832 billion, an increase of 2.7% over the previous fiscal cycle. Procter & Gamble's
Shares traded at over $86 per share in 2017, and its market capitalization was valued at over US$221.5
billion in October 2018. Procter & Gamble ranked No. 42 on the 2018 Fortune 500 list of the largest
United States corporations by total revenue.
 Categories of products

 Baby Care
 Fabric Care
 Family Care
 Feminine Care
 Grooming
 Hair Care
 Home Care
 Oral Care
 Personal Health Care
 Skin & Personal Care

Selling and market organisations

 Asia Pacific
 Europe
 Greater China
 India, the Middle East, and Africa (IMEA)
 Latin America
 North America

Management and staff

The board of directors of Procter & Gamble currently has 12 members.

 David S. Taylor
 Frank Blake
 Angela Braly
 Amy L. Chang
 Scott Cook
 Joseph Jimenez
 Terry J. Lundgren
 W. James McNerney, Jr.
 Nelson Peltz
 Christine McCarthy
 Meg Whitman
 Patricia A. Woertz
 Brands

As of 2015, 21 of P&G's brands have more than a billion dollars in net annual sales. Most of these
brands—including Bounty, Crest, and Tide—are global products available on several continents. P&G's
products are available in North America, Latin America, Europe, the Middle East, Africa, Asia, Australia,
and New Zealand. In 2018, P&G's fabric and home care division accounted for 32% of the company's
total net sales, the highest of all its divisions. The division includes Downy, Gain, Tide, Febreze, and
Dawn.

List of proctle and gamble brands (by product types)

Dishwashing

 Dawn dishwashing liquid
 Joy dishwashing liquid (outside the United States)
 Gain dishwashing liquid
 Ivory dishwashing liquid

Menstrual hygiene

 Always menstrual hygiene products

 Tampax tampons
 Whisper menstrual hygiene products

Haircare

 Ascend hair care products

 Aussie haircare (shampoos/conditioners/styling aids)
 Braun hair care and grooming products
 Frederic Fekkai hair care products sold
 Head & Shoulders shampoo
 Nicky Clarke hair products
 Pantene hair care products (purchased from Hoffmann-La Roche in 1985)
 Vidal Sassoon haircare products (purchased in 1984 from Vidal Sassoon)

Healthcare products
 Align probiotics
 Crest toothpaste
 Femibion (acquired from Merck Group)
 Fixodent denture adhesive
 Iliac/Nasivin (acquired from Merck Group)
 Metamucil laxative/fiber supplement (acquired G. D. Searle & Company in 1985)
 Neurobion (acquired from Merck Group)
 New Chapter dietary supplements
 Oral-B toothbrushes and other oral hygiene products
 Pepto-Bismol over-the-counter drug for minor digestive system upset (acquired as part of Norwich
Eaton Pharmaceuticals in 1982)
 Prilosec OTC (licensed from AstraZeneca)
 Sangobion (acquired from Merck Group)
 Scope mouthwash
 Seven Seas (acquired from Merck Group)
 Swisse
 Vicks cough and cold products

Household

 Ace stain remover liquid
 Bounce fabric-softener sheet for dryers
 Cascade dishwasher detergent
 Fairy (known as Dreft in the Netherlands) dishwashing liquid, toilet soap, household soap, laundry
detergent and dishwasher detergent
 Febreze odor control
 Flash cleaning product
 Jar dishwashing liquid and dishwasher detergent
 Joy dishwashing liquid (outside the United States)
 Mr. Clean household cleaners
 Puffs tissues
 Luvs disposable diapersSafeguard antibacterial soap brand[10] marketed by Procter & Gamble,
introduced circa 1965. Safeguard soap is marketed under the brand name Escudo in Mexico. [11]
 Tide detergents
 Swiffer cleaning products.
 Microban cleaning products

Laundry detergents

 Ariel laundry detergent
 Bold laundry detergent
 Bonux laundry detergent
 Cheer laundry detergent
 Daz laundry detergent
 Downy fabric softener
 Dreft laundry detergent
 Era laundry detergent
 Gain laundry detergent
 Ola laundry soap
 PMC laundry soap
 Tide laundry detergent
 Lenor fabric softener

Skin care

 Fresco bar soap

 Ivory bar soap
 Olay skin care products (acquired in 1985 as part of Richardson-Vicks Inc.)
 Old Spice aftershave, skin care and hair care products
 Secret antiperspirants and deodorants
 Diversated Brands

 Actonel (pharmaceutical division was spun off into Warner Chilcott in 2009)

 Aleve, naproxen sodium (NSAID) drug, acquired by Bayer in 1997
 Asacol
 Attends line of incontinence and sanitary products. Sold to PaperPak in 1999.
 Biz originally an enzyme-based laundry pre-soak, later a detergent booster, then an all-fabric
bleach, sold to Redox Brands in 2000
 Camay lightly scented bath soap
 Chloraseptic throat medicine and lozenges sold to Prestige Brands.
 Cinch all-purpose glass and surface cleaner, was sold to Shansby Group, a San Francisco
investment firm, later acquired by Prestige Brands.
 Clairol, formerly a personal products division of Procter & Gamble that makes hair coloring, hair
spray, shampoo, hair conditioner, and styling products. It was sold to Coty, Inc. on October 1, 2016
o Balsam coloring brand (part of Clairol)
o Herbal Essences hair care products (part of Clairol)
o Natural Instincts hair coloring (part of Clairol)
o Perfect Lights hair coloring (part of Clairol)
 Coast bar-soap brand sold to Dial Corporation in 2000. Dial now owned by Henkel, Coast brand
now owned by High Ridge Brands.
 Comet long-time P&G brand of cleanser owned now by Prestige Brands
 Crisco (vegetable oil and shortening) sold to The J.M. Smucker Company
 Crush/Hires/Sun Drop carbonated soft drinks (sold to Cadbury Schweppes in late 1980s)
 Dantrium sold to JHP Pharmaceuticals and SpePharm
 Duncan Hines packaged cake mixes, sold to Aurora Foods (now Pinnacle Foods) in 1998
 Duracell batteries sold to Berkshire Hathaway in 2016.
 Fisher Nuts sold to John B. Sanfilippo and Son, Inc. in 1995
 Fit fruit and vegetable cleaning wash licensed to HealthPro Brands in January 2004
 Folgers coffee was acquired by The J.M. Smucker Company based in Orrville, Ohio in June 2008.
 Gleem toothpaste
 Hawaiian Punch now owned by Dr Pepper/7up
 Iams cat and dog foods sold to Mars Corporation in 2014.
 Infusium 23 (shampoos/conditioners) sold to Helen of Troy Limited's Idelle Labs unit in March
2009
 Jif (peanut butter) divested by Procter & Gamble in a spin-off to their stockholders, followed by an
immediate merger with The J.M. Smucker Company in 2002
 Joy operations in the United States was sold to Prestige Value Brands in September 2019.
 Lava sold to WD-40 in 1999
 Lilt Home Permanents, including "Push Button" Lilt, The First "Foam-In" Home Permanent In A
Can. Sold To Schwartzkopf/DEP in 1987, later discontinued
 Mayon cooking oil
 Millstone coffee was acquired by The J.M. Smucker Company as part of its Folger's coffee
acquisition in Orrville, Ohio in June 2008.
 Noxzema skin cream and beauty products line sold to Alberto-Culver in 2008
 Oxydol sold to Redox Brands in 2000; Oxydol was P&G's first popular laundry soap, then later
became a laundry detergent after Tide was introduced in 1946.
 Perla bar soap sold to SCPG Asia-Pacific
 Pert Plus was sold to Innovative Brands, LLC in July 2006.
 PG Tips tea; now owned by Unilever.
 Prell shampoo sold to Prestige Brands International in 1999
 Primex shortening (sold to ACH in 2001)
 Pringles potato chips sold to Kellogg Company in June 2012[16]
 Pur (brand) brand of water filtration products. The brand as acquired from Recovery Engineering,
Inc. in 1999 for approximately US$213 million. P&G sold Pur to Helen of Troy in January 2012 for an
undisclosed amount.
 Royale (Canada) brand of toilet paper. The original product was merged into the Charmin
brand; Irving Tissue then acquired the trademark and re-introduced the brand on its own products.
 Salvo brand of detergent tablets which was sold from around 1958 up to circa February 8, 1974
 Spic and Span now owned by The Spic and Span Company, a division of Prestige Brands
 Sunny Delight orange drink spun off in 2004.
 Sunshine margarine
 Sure anti-perspirant/deodorant line was sold in October 2006 to brand-development firm
Innovative Brands
 ThermaCare brand heat wraps sold to medical company Wyeth in 2008
 Thrill a peach-scented brand of dishwashing liquid, discontinued after 1973.
 Top Job all-purpose cleaner merged into the Mr. Clean brand in 1990
 Victor shortening
 Wash & Go haircare sold to Conter S.r.l. effective June 30, 2015
 Wella, Clairol, Covergirl Makeup sold to Coty Inc (2016)
 Whirl butter flavored oil (sold to ACH in 2001)
 Wondra brand of hand lotion sold from 1976 to 1989.
 Zest deodorant body bar and body washes sold to High Ridge Brands Co. on January 4, 2011
 Discontinues Brands

Brands owned by Procter & Gamble in the past, but since phased out:

 Banner, Summit, and White Cloud toilet tissues were merged with the company's best known
bathroom tissue, Charmin. White Cloud was sold exclusively in Walmart stores in the U.S. before
Kruger Products took over the brand and, with Walmart focusing on other brands, sold it in other
stores
 Big Top, brand of peanut butter before Jif made its debut.
 Blossom, facial soap
 Bonus, brand of laundry detergent that had children's books or towels in every box; sold from
1940s to 1977.
 Citrus Hill, orange juice drink sold from 1983 to 1992
 Drene (a.k.a. Special Drene, Royal Drene), liquid shampoo. First shampoo made from synthetic
detergent.
 Duz, powdered laundry soap and later, a powdered laundry detergent which had glassware and
plates in each box; sold from 1940s to 1980.
 Encaprin, coated aspirin
 Fling, disposable dishcloth brand.
 Fluffo, golden yellow shortening sold mid-1950s to early 1960s.
 Fresco bath soap
 Gleem, toothpaste last made in 2014. Procter and Gamble plans to sell the Gleem formulation
under the brand name Crest Fresh and White.
 High Point instant decaffeinated coffee, which had Lauren Bacall in its commercials; produced
from 1974 to 1986.
 Monchel, beauty soap
 Nutri Delight, an instant orange juice drink, sold in the Philippines from 1999 to 2000.
 OK, economy bar and packaged laundry soap.
 Rely, super-absorbent tampons in production from 1976 to 1980. It was pulled off the market
during the TSS crisis of the early 1980s.
 Salvo, first concentrated tablet laundry detergent, which was discontinued c. February 8, 1974;
later a dish detergent (sold in the U.S. 2004-2005; it is still sold in Latin America)
 Shasta, cream shampoo sold late 1940s-mid-1950s.
 Solo, liquid laundry detergent with fabric softener that was later merged into the Bold brand, and
sold from 1979 to 1990.
 Star Soap and Star Naphtha Soap Chips
 Stardust, dry chlorine bleach (extensively test-marketed during the 1960s)
 Sunshine Margarine
 Teel, liquid dentifrice sold late 1930s to late 1940s.
 Tempo, brand of dry wipes, produced from 2000 to 2010.
 Tender Leaf, tea brand sold from 1940s to 1975.
 Thrill, dishwashing liquid last made in 1973
 Torengos, stackable, triangular-shaped, corn-based snack chip sold 2001-2003
 Wondra lotion for dry skin. There were many formulas. (The first major brand to use "silicones")
Sold from 1976 to 1989.

OBJECTIVE

1. To do the comparison in consumer goods industry with special reference to Procter & Gamble.
2. To identify the market position of Procter & Gamble.
3. To analyze the current competition scenario of consumer goods Industry.
4. To explore the challenges and opportunities in consumer goods Industry.
5. To identify the consumer preference towards consumer goods companies.
6. This study aims at focusing on the strategic and financial analysis of P&G.

COMPANY PROFILE

Neither William Procter nor James Gamble ever intended to settle in Cincinnati. Although the city was a
busy center of commerce and industry in the early nineteenth century, William, emigrating from England,
and James, arriving from Ireland, were headed farther west. Despite their intentions, however, both men
ended their travels when they arrived at the Queen City of the West – William, to care for his ailing wife
Martha, who soon died, and James, to seek medical attention for himself. William Procter quickly
established himself as a candle maker. James Gamble apprenticed himself to a soap maker. The two
might never have met had they not married sisters, Olivia and Elizabeth Norris, whose father convinced
his new sons-in-law to become business partners. In 1837, as a result of Alexander Norris‘ suggestion, a
bold new enterprise was born: Procter & Gamble.

1837 — 1890
The Partnership Years.
1837 was a difficult time to start a business. Although Cincinnati was a bustling marketplace, the U.S.
was gripped by financial panic. Hundreds of banks were closing across the country. There was
widespread concern that the United States was bankrupt. Yet, William and James launched their new
enterprise, more concerned about how to compete with the 14 other soap and candle makers in their city
than with the financial panic shaking their country. Their calm in the midst of that economic storm
reflected their forward-looking approach to the business – an approach that became the hallmark of
Procter & Gamble. In the 1850s, for example, despite rumours of an impending civil war in the U.S., they
built a new plant to sustain their growing business. Later, they pioneered one of the nation‘s first profit-
sharing programs and were amo.ng the first in American industry to invest in a research laboratory. By
1890, the fledgling partnership between Procter and Gamble had grown into a multi-million dollar
corporation. Nevertheless, P&G still had its eyes on the future.

1837
On April 12, 1837, William Procter and James Gamble start making and selling their soap and candles.
On August 22, they formalize their business relationship by pledging $3,596.47 apiece. The formal
partnership agreement is signed on October 31, 1837.

1850
The Moon and Stars begins to appear in the 1850s as the unofficial trademark of Procter & Gamble.
Wharf hands used the symbol to distinguish boxes of Star Candles. By the 1860s, the Moon and Stars
appears on all Company products and correspondence. Once a staple of the Company‘s product line,
candles decline in popularity with the invention of the electric light bulb. The Company discontinues
candle manufacturing in the 1920s.

1859-1862
Twenty-two years after the partnership is formed, P&G sales reach $1 million. The Company now
employs 80 people. During the Civil War, Procter & Gamble is awarded several contracts to supply soap
and candles to the Union armies. These orders keep the factory busy day and night, building the
Company‘s reputation as soldiers return home with their P&G products.

1879
James Norris Gamble, son of the founder and a trained chemist, develops an inexpensive white soap
equal to high-quality, imported castiles. Inspiration for the soap‘s name – Ivory – came to Harley Procter,
the founder‘s son, as he read the words out of ivory palaces in the Bible one Sunday in church. The
name seems a perfect match for the white soap‘s purity, mildness and long-lasting qualities.

1882
Harley Procter convinces the partners to allocate $11,000 to advertise Ivory nationally for the first time.
Ivory‘s purity and floating capability are first advertised across the country in the Independent, a weekly
newspaper.

1890 — 1945
A Company Built on Innovation.
By 1890, P&G was selling more than 30 different types of soap, including Ivory. Fueled by full-color print
ads in national magazines, consumer demand for P&G soaps continued to grow. To meet this increasing
demand, the Company expanded its operations outside Cincinnati, with a plant in Kansas City, Kansas,
followed by a plant in Ontario, Canada. As each new plant opened, P&G would embark on plans for
another. The research labs were as busy as the plants. Innovative new products rolled out one after
another – Ivory Flakes, a soap in flake form for washing clothes and dishes; Chipso, the first soap
designed for washing machines; Dreft, the first synthetic house-hold detergent; and Crisco, the first all-
vegetable shortening that changed the way consumers cooked. Each of these new products came from
P&G‘s in-depth understanding of consumer needs and pioneering approach to market research. And
they were marketed through equally innovative techniques, including radio ―soap operas,‖ product
sampling and promotional premiums.
1890-1896
After running the Company as a partnership for 53 years, the partners incorporate to raise additional
capital for expansion. William Alexander Procter, son of the founder, is named the first president. P&G
sets up an analytical lab at Ivorydale to study and improve the soap-making process. It is one of the
earliest product research labs in America. King Camp Gillette invents the first safety razor. P&G‘s first
color print advertisement – an ad for Ivory – appears in Cosmopolitan magazine picturing this ―Ivory
Lady.

1901-1917
American Safety Razor Company formed in Boston, Massachusetts, later becoming the Gillette Co.
William Cooper Procter becomes the head of the Company following the death of his father, William
Alexander Procter. P&G introduces Crisco, the first all-vegetable shortening. Crisco provides a healthier
alternative to cooking with animal fats and is more economical than butter. The Company builds its first
manufacturing facility outside the United States, in Canada. Employing 75 people, the plant produces
Ivory soap and Crisco. U.S. Government requests Gillette supply razors and blades for the entire U.S.
Armed Forces during WWI.

1923-1930
Crisco sponsors cooking shows on network radio, placing P&G among the medium‘s advertising
innovators. A market research department is created to study consumer preferences and buying habits –
one of the first such organizations in industry. In response to the growing popularity of perfumed beauty
soaps, P&G introduces Camay. William Cooper Procter turns the reins of the Company over to Richard
R. Deupree.

1931
P&G‘s brand management system begins to take shape in the late 1920s. In 1931, Neil McElroy, the
Company‘s promotion department manager, creates a marketing organization based on competing
brands managed by dedicated groups of people. The system provides more specialized marketing
strategies for each brand and Procter & Gamble‘s brand management system is born.

1933-1939
Dreft, the first synthetic detergent developed for household use, is introduced. The discovery of
detergent technology lays the groundwork for a revolution in cleaning technology. `William Cooper
Procter dies and a monument is erected at Ivorydale in his honor. He is the last member of the founding
families to run the Company. The Company expands its international presenc with the acquisition of the
Philippine Manufacturing Company – the Company‘s first operations in the Far East. P&G celebrates its
100th anniversary. Sales reach $230 million. Just five months after the introduction of television in the
U.S., P&G airs its first TV commercial (for Ivory Soap) during the first televised major league baseball
game.
1943-1946
The Company creates its first division – the Drug Products Division – to sell its growing line of toilet
goods. Tide, ―the washing miracle,‖ is introduced. Tide incorporates a new formula that cleans better
than anything currently on the market. Its superior performance at a reasonable price makes Tide the
country‘s leading laundry product by 1950.

1947 — 1952
P&G‘s detergent technology leads to the development of a wide range of products such as granulated
and liquid detergents, shampoos, toothpastes and household cleaning products that provide growth
opportunities in the 1950s and beyond. Neil H. McElroy assumes leadership of P&G. P&G establishes
an Overseas Division to manage the Company‘s growing international business

1950-1955
The first subsidiary on the South American continent is established in Venezuela. A new research
facility, Miami Valley Laboratories, opens in Cincinnati. MVL is the Company‘s first facility dedicated
solely to upstream research. The Company begins operations in continental Europe by leasing a small
plant in Marseilles, France, from the Fournier-Ferrier Company, a detergent manufacturer. Crest, the first
toothpaste with fluoride clinically proven to fight cavities, is introduced. P&G announces plans to form
individual operating divisions to better manage its growing lines of products. This divisionalization also
creates separate line and staff organizations.

1956
The new General Office building opens, signifying P&G‘s continuing commitment to downtown
Cincinnati. P&G announces plans to form individual operating divisions to better manage its growing
lines of products. This divisionalization also creates separate line and staff organizations. The new
General Office building opens, signifying P&G‘s continuing commitment to downtown Cincinnati.

1957
P&G enters the consumer paper products business with the acquisition of Charmin Paper Mills, a
regional manufacturer of toilet tissue, towels and napkins. Howard J. Morgens takes over Company
leadership when Neil McElroy leaves to serve as the U.S. Secretary of Defense.

1960
Crest sales skyrocket when The American Dental Association recognizes the toothpaste as ―an effective
decay-preventive dentifrice. P&G GmbH opens its first office in Frankfurt, Germany, with 15 employees.
Three years later, Germany‘s first plant in Worms begins production of Fairy cleaning powder and Dash
laundry detergent.
1961
Although Pampers‘ first test market in Peoria, Illinois, is unsuccessful, it leads to an improved Pampers
product at a lower cost that eventually replaces cloth diapers as the preferred way to diaper babies.

1963-1968
P&G enters the coffee business with the acquisition of Folger‘s Coffee. The first paper plant built by P&G
opens in Mehoopany, Pennsylvania. Pringle‘s, with its unique stackable shape and resealable can, is
introduced into test market.

1972-1973
Bounce combines softening agents with a nonwoven sheet to soften clothes in the dryer. It quickly
becomes the second largest selling fabric softener after Downy. The Company begins manufacturing
and selling P&G products in Japan through the acquisition of The Nippon Sunhome Company. The new
company is called Procter & Gamble Sunhome Co. Ltd.

1974-1981
Ed Harness is elected to head. Didronel is introduced. A treatment for Paget‘s disease, it is one of the
Company‘s first pharmaceutical products the Company. Sales reach $10 billion. John G. Smale
becomes head of Procter & Gamble.

1982-1984
P&G increases its prescription and over-the-counter health care business with the acquisition of Norwich
Eaton Pharmaceuticals. The Company introduces a superior feminine protection product,
Always/Whisper, which becomes the leading world brand in its category by 1985. Gillette acquires Oral
B, founded in 1950. Liquid Tide is introduced. This represents the results of global research with
surfactants developed in Japan, fragrance in Europe and packaging from the United States.

1985
The Company significantly expands its over-the-counter and personal health care business worldwide
with the acquisition of Richardson- Vicks, owners of Vicks respiratory care and Oil of Olay product lines.
P&G opens the General Offices Tower building, the expansion of Procter & Gamble‘s world
headquarters in Cincinnati, Ohio.

1986
Ultra Pampers and Luvs Super Baby Pants are introduced – with effective, new technology that makes
diapers thinner. P&G creates the industry‘s first multi-functional customer teams. The Company
develops a new technology that enables consumers to wash and condition their hair using only one
product. Pert Plus/Rejoice shampoo quickly becomes one of the leading worldwide shampoo brands.

1987
P&G celebrates its 150th anniversary. The Company increases its presence in the european personal
care category, with the acquisition of the Blendax line of products, including Blend-a-med and Blendax
toothpastes. P&G announces several major organization changes with the creation of category
management and a product supply system which integrates purchasing, manufacturing, engineering and
distribution.

1988-1989
The Company announces a joint venture to manufacture products in China. This is the Company‘s first
operation in the largest consumer market in the world. Refill packs are introduced in Germany for liquid
products like Lenor fabric softener. Germany‘s retail grocers name Lenor‘s refill pouch the invention of
the year. The Company enters the cosmetics and fragrances category with the acquisition of Noxell and
its Cover Girl and Noxzema products.

1990
Edwin L. Artzt is named to lead the Company. The Company expands its presence in the male personal
care market with the acquisition of Shulton‘s Old Spice product line. Most of the laundry detergent
brands are reformulated to incorporate P&G‘s compact technology. Introduced in Japan with the Cheer
and Ariel brands, the technology is expanded to 36 brands in 20 different countries during the year.

1991
The acquisitions of Max Factor and Betrix increase the Company‘s worldwide presence in the cosmetics
and fragrances category. P&G opens its first operation in Eastern Europe with the acquisition of Rakona
in Czechoslovakia. New businesses in other Eastern European countries – Hungary, Poland and Russia
– follow throughout the year.

1992
P&G receives the World Environment Center Gold Medal for International Corporate Environmental
Achievement. Pantene Pro-V is introduced. Originally a small part of the 1985 Richardson-Vicks
acquisition, Pantene becomes the fastest growing shampoo in the world.

1993
Company sales exceed $30 billion. For the first time in Company history, more than 50% of sales come
from outside the U.S. The Japan Headquarters and Technical Center opens on Rokko Island in Kobe
City, Japan. The complex consolidates headquarters and product development operations.
1994-1995
P&G enters the European tissue and towel market with the acquisition of the German- based company,
VP Schickedanz. John E. Pepper becomes P&G‘s ninth Chairman and Chief Executive, and Durk I.
Jager becomes President and Chief Operating Officer.

1996
The U.S. Food and Drug Administration grants approval of Olestra for use in salty snacks and crackers.
Olestra, marketed under the brand name Olean, is a calorie-free fat replacer that provides the full taste
of fat without the added fat calories. The Company continues to expand its global reach with acquisitions
of the U.S. baby wipes brand Baby Fresh – complementing the Company‘s global diaper business and
its strong European Pampers Baby Wipes business

1996-1998
Gillette acquires Duracell, originally founded in the early 1920s. The Company expands its feminine
protection expertise into a new global market with the acquisition of Tambrands. Tampax Tampon is the
market leader worldwide. P&G announces Organization 2005, a new global organizational design to
drive innovative ideas to world markets faster. Mach 3 razor is introduced. P&G provides a foundation for
future growth by investing in new breakthrough products. Febreze, Dryel and Swiffer are introduced and
sold around the world in less than 18 months.

1999-2002
Durk Jager becomes Chairman of the Board and Chief Executive. A.G. Lafley becomes President and
Chief Executive. Reflect.com, P&G‘s initial Internet brand, is launched. It is the first to offer truly
customized beauty care products online.Crest WhiteStrips launches in the U.S. P&G acquires the Clairol
business from Bristol-Myers Squibb Co. Clairol is a world leader in hair color and hair care products.
A.G. Lafley is elected Chairman of the Board. Bruce Byrnes and R. Kerry Clark are elected Vice-
Chairman of the Board.

2003-2004
FDA approves switching Prilosec, a treatment for frequent heartburn, from a prescription to an over-
thecounter (OTC) product. P&G‗s Children's Safe Drinking Water Program wins the World Business
Award from the United Nations Development Program & International Chamber of Commerce in support
of the UN’s Millenium Development goals. Actonel becomes a billion dollar brand, and P&G's first
pharmaceutical brand to reach this important milestone.

2005
P&G and Gillette merge into one company and add five more billion dollar brands to our product
portfolio, including Gillette and Braun’s shaving and grooming products, the Oral-B dental care line and
Duracell batteries.