Professional Documents
Culture Documents
Submitted by
Prashu Dwivedi
PGDM 4
DM21D17
Submitted to
Prof G Pravin
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Table of Content
1 Executive Summary 3
6 SCPS Analysis 7
8 SWOT Analysis 10
9 PESTEL Analysis 12
12 Financial Feasibility 19
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Executive Summary
This plan is presented for Proctor and Gamble, which personal care products. We've mentioned
product for the Razor market, and our marketing plan will show that we have a unique
opportunity to expand into a new market.
P&G Company has been around since 1964 and is headquartered in Mumbai. We will see the
marketing strategies, which are designed to facilitate the process of launching of any product
and understanding the nature of business of any product.
We will look into the razor market under the brand of Gillette India, which is kind of monopoly
in current market. These product provides personal care companies with greater
efficiencies and cost savings not currently offered by existing products.
Our target market is large personal care men’s, including teenagers, adults and even all the
men. We plan to do a analysis to understand the market of this products.
Through this report we will see some of the marketing techniques with the application to the
Gillette razors, such as STP, Marketing Mix, BCG Matrix, SCPS, Financial Analysis etc.
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Description of Company
The Procter & Gamble Company, also known as
P&G, is an American multinational consumer goods
company headquartered in downtown Cincinnati,
Ohio, USA. Its products include pet foods, cleaning
agents and personal care products.
P&G was founded by William Procter who was a
candle maker and James Gamble, a soap maker,
Emigrated from England and Ireland. They started
with by supply candles and soaps army.
Gillette India Ltd formerly known as Indian Shaving Products Ltd was incorporated in the year
February 09th 1984. The Company is engaged in
manufacturing and selling of branded packaged
fast-moving consumer goods in the grooming and
oral care businesses. Its products are sold through
retail operations including mass merchandisers
grocery stores membership club stores drug
stores department stores and high frequency
stores.
Mission
Vision
To build total brand value by innovating to deliver consumer value and customer leadership
faster, better and more completely than their competitors.
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Products
In India Gillette offer different varieties of products such as Razors, Blades, Styler, shaving gel,
Shaving cream and after shave.
Razors: There are different types of Razors offered by Gillette some of them are mentioned
below –
Blades:
Source - https://www.gillette.co.in/en-in/products
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SCPS Analysis
FMCG Sector
Industry:
Personal Care
Products
SCPS
Company:
Proctor and
Gamble
Rayzors
Shaving Gel
Shavving
Blades
The brand Gillette belongs to FMCG industry having very high demand which requires strong
logistics and supply chain, Gillette products are sold under the company proctor and gamble in
short P&G. Gillette having diverse varieties of products such as Razors, Shaving Gels, shaving
blades, etc.
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BCG Matrix in the Marketing strategy of P&G-
The horizontal axis of the BCG Matrix represents the amount of market share of a product and
its strength in the particular market. By using relative market share, it helps measure a
company’s competitiveness.
The vertical axis of the BCG Matrix represents the growth rate of a product and its potential to
grow in a particular market.
1. Question marks: Products with high market growth but a low market share.
2. Stars: Products with high market growth and a high market share.
3. Dogs: Products with low market growth and a low market share.
4. Cash cows: Products with low market growth but a high market sha
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Marketing Mix for Gillette
1. Product Mix:
Gillette has a wide range in products in the men’s personal care segment. These are further sub
categorised as per the requirement and features. All these Gillette offerings are a part of its
marketing mix product strategy. The various Gillette
products are listed below:
2. Pricing Mix:
Gillette products have been evolved through high technological advancements, which in turn is
reflected in its premium pricing strategy.
Gillette products are high in quality and customers willing pay a high
price because of this. The competitors are priced way below than
Gillette’s products, but the diverse variety and wide range of
products offered by Gillette helps in competing with competitors in
all segments. Customers understand the significance of spending
such a premium price, because of this company’s history, continuous
innovations, high quality, and value in terms of money, hence their
loyalty is always high. This gives an insight in the pricing strategy in
the marketing mix of Gillette.
3. Place Mix:
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helps it to directly connect with distributers, retailers and custome rs efficiently. Gillette also has
its franchises, which are help in making this product available in every corner of this world.
Also, as mentioned earlier it has a well-designed website which presents all its offerings in a
very systematic manner. Gillette products are available at almost all supermarket, store, corner
shops etc.
4. Promotion Mix
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SWOT Analysis for Gillette Guard
1. Strengths:
Strong Brand: The company was the first brand in history that introduced disposable razor
blades as an option for shaving. Over time, Gillette built a powerful image for itself, and there is
no doubt that, at present, it is the market leader in this category.
Consumer Trust: As the company was created in 1901, a long-standing history significantly
influences consumers’ trust level.
Geographical Presence: The company has a strong distribution network. One can find the
products of Gillette on six continents and in more than 180 countries.
Product Portfolio: The company has many products that its competitors are lacking.
Strong Marketing: Gillette gives importance to the advertisements, and as a result, its
commercials are loved by the company’s consumers.
2. Weaknesses:
High Price: The company’s dairy products are pretty high in price, and as there are new similar
products in the market with lower prices, it leads to a decrease of costumers.
Dependence on core product: Gillette highly depends on the performance of its razors, which
makes the company very vulnerable. In 2003, the main profit of the company (68%) came from
this sector.
3. Opportunities:
Expansion: The company has succeeded in the shaving industry, and it would be more
beneficial for them to produce shampoos, shower gels, and other personal care segments.
Accentuating the role of personal hygiene through marketing: It would be very profitable if
they make people aware of the importance of personal hygiene.
4. Threats:
New competitors: It is not a secret that from the dawn of history, the company did not see any
competition and was always the leader in the market: however, a new and strong competitor
would be a real threat for Gillette.
Anti-shaving trend: Many specialists are against shaving as it can have some adverse effects.
What is more, shaving is also expensive. So, these specialists suggest people other better and
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long-lasting methods than shaving, such as laser hair removal. Thus, most people would stop
buying Gillette’s razors, which would be a considerable challenge for the company.
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PESTEL Analysis
PESTLE Analysis of Gillette analyses the brand on its business tactics. Gillette PESTLE
Analysis examines the various external factors like political, economic, social, technological
(PEST) which impacts its business along with legal & environmental factors. The PESTLE
Analysis highlights the different extrinsic scenarios which impact the business of the brand.
PESTLE analysis is a framework which is imperative for companies such as Gillette, as it helps
to understand market dynamics & improve its business continuously. PESTLE analysis is also
referred to as PESTEL analysis.
Political Forces
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Economic Forces
Social Forces
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Technological Forces
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Environmental Forces
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Segmentation Targeting and Position
Segmentation
Gillette has been particularly produced for higher income consumers. Thus, we see that income
segmentation has been the main factor when Gillette decided to segment the market. Gillette has
also been successful in those countries where the major segment of the population considers
shaving to be a desirable activity and the means to look clean and sophisticated for example
India and America. Thus, this type of international segmentation has also benefited Gillette .
Another interesting to note is that, Gillette after seeing the success of the Gillette , decided to
offer a similar product for women. Thus, Venus Power came into existence. So, Gillette also
gender segmentation.
Target Marketing
Gillette Gillette ’s market segment has proved to be extremely attractive and profitable for the
company. The segment size is increasing at a rapid pace in India and America. Furthermore, the
segment is made more attractive because of the fact that there are no strong and popular
competitors of Gillette . This has provided Gillettewith a lot of market power.
Substitute products like shaving machines are not considered as suitable enough to replace
Gillette . The high price of Gillette proves that customers do not have enough power to reject the
product and that the company is in a far stronger position than its suppliers and its customers.
The company’s objective that Gillette should be considered by the customers as the best shaving
product has been complimented by the investment of a lot of money in the product in terms of
increased promotion and advertising.
Positioning
Gillette ’s position in the market place is extremely strong and secure. Consumers definitely
consider it a superior shaving product compared to other products. One can definitely say that it
occupies a unique position in the minds of those consumers who want to have an extremely close
and smooth shave.
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Gillette As far as luxury and performance are concerned, Gillette is more inclined towards
performance due to its three blades and other product features. These product features have
provided Gillette with a strong competitive advantage. The value proposition of Gillette is
definitely “more for more”. Extra product features have prompted Gillette to charge a higher
price. Finally, I think that Gillette ’s positioning statement should be:
“To those people who want to get up in the morning with a desire to succeed in this world,
Gillette is a three-blade shaving product with extra features that allows you an extremely smooth
and close shave which lasts for the whole day.
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Substitute for Gillette Razor
Thanks to e-commerce platform we now have some good alternatives against Gillette.
▪ Spruce Shave Club | Buy Premium Shaving Kit & Grooming Essentials For Men Online
▪ Zlade, earler Blade and Bath | Razor Online - Buy Mens Razor Online at Best Price
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Financial Feasibility
iYear on Year Change in Revenue of Proctor & Gamble
2017 2397.7 -
4,500.00
4,000.00
3,613.52
3,500.00
3,000.19 3,046.10
3,000.00
2,397.70 2,479.36
2,500.00
2,000.00
1,500.00
1,000.00
500.00
0.00
Jan-17 Jan-18 Jan-19 Jan-20 Jan-21
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In the above chart and table, income of respective year is given and it can be interpreted that,
income has grown from Jan 2017 to Jan 2021 which are 3.41%, 21.01%, 1.53% and 18.63% for
respective years.
Source - https://www.moneycontrol.com/financials/proctergamblehygienehealthcare/balance-sheetVI/pgh
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