Target Markets
The target markets for the P&G involves developing the company’s brand to attract more customers through the strategies that are based on price, products, promotion and place (Kotler et al., 2015). The P&G marketing strategies are the ways and the tactics the company uses to achieve its goals in the marketing plan. For the company to be able to utilize the various channels to maximize its market penetration, it has to adopt a marketing mix strategy.
Due to its wide range of products the company has to select different approaches to reach a more significant number of consumers. For instance, in the global distribution of its consumer goods the company has to adopt a multi-pronged marketing mix to optimize its performance (Thompson, 2017).
Main Competitors
P&G main competitors include the Unilever Corporation, which has developed its marketing strategies globally as well as developed its emerging markets. Unilever also has better advertising mechanism that increases their publicity hence able to get new clients daily. Regarding beauty care products Avon is the major competitor to P&G. Avon has developed its infrastructure to be one of the leading companies in production of beauty household and personal care products.
Economies of Scale
The company enjoys from its economies of scale which make it entice its customers. The other one sectors Colgate-Palmolive company offers greater competition in healthcare products. The advantage that the company has over P&G is that is the consistency in the production of the goods. The company also uses a distribution expansion model that allows it to thrive in emerging countries that have substantial market opportunities such as India.
P&G Company Challenges
Some of the challenges that P&G company faces being a market leader include the increase in retailer dependence, brand dilution, declined profit in the fast-moving consumer goods, internal competition within the brand and the changes of priority in terms of market shares in exchange of benefits. Due to the diversification of its products the company limits its growth due to internal competition and its urgency to seek more markets which limits its profitability aspects.
Strong Brand Image
For P&G company to maintain its strong brand images, it has to shift its marketing strategies from the traditional commercial on televisions to the revolutionary social media which has been effective in reaching the markets adequately. One of the ways may include maintaining its market tactics using social media platforms such as Facebook, Google to reach the market users that are often on the internet (Alalwan, Rana, Dwivedi & Algharabat, 2017).
The other method may include offering extra incentives such as coupons while illustrating the buying points to new clients. This will attract new customers as well as maintain the old ones. Offering coupons will encourage customers to buy in bulk which will in return enhance impulse buying from the company increasing their sales.
Other ways may include manipulating its online platforms to disseminate information to a wide range of customers over the globe. The company can also make its online platform more straightforward to use for new clients though creating a user-friendly consumer interface (Godey et al., 2016).
The company can also manage its social media platforms by providing realistic design and appearances of their products. To ensure that they have efficient platforms the company can enhance its advertising tactics through guarding its content against abuse or manipulation by hackers.
P&G Company Risks
The risks that the P&G company will face include very stiff competition from other companies that competing with the company at both local and global levels such as Nestle, Johnson, Kimberly -Clark among others. The competition will reduce its overall revenue which may lead to a decline in supplies. The other risks that the company may suffer from is the legal barriers where they will be subjected to scrutiny if their products are not to the standards.
Market Share
Due to significant market share and wide range of products the company may have a limited room for expansion and growth. Other risks that may arise due to their diversification of products may include risks related to brand equity and relative prices of the unbranded products in the local markets. Furthermore, the P& G company will face problems that are associated with its slow growth market.
References
- Alalwan, A. A., Rana, N. P., Dwivedi, Y. K. & Algharabat, R. (2017). Social media in marketing: A review and analysis of the existing literature. Telematics and Informatics, 34(7), 1177-1190.
- Godey, B., Manthiou, A., Pederzoli, D., Rokka, J., Aiello, G., Donvito, R., & Singh, R. (2016). Social media marketing efforts of luxury brands: Influence on brand equity and consumer behavior. Journal of business research, 69(12), 5833-5841.
- Kotler, P., Burton, S., Deans, K., Brown, L., & Armstrong, G. (2015). Marketing. Pearson Higher Education AU.
- Thompson, A. (2017). Procter &Gamble’s Marketing Mix(4Ps) Analysis. Panmore Institute.
