Procter & Gamble is to transform its approach to marketing in a bid to reverse its lack-luster sales, according to a report published by Marketing Week. The company is set to slash its marketing budget by US$2 billion over the next five years, but it expects the cuts to yield greater results by increasing effectiveness.
The company’s communications, including advertising, sampling, packaging, and in-store promotion, will be led by an over-arching principle the company has dubbed Irresistible Superiority, which CFO Jon Moeller describes as ‘raising consumer expectations’ such that shoppers won’t want to return to competitor products having tried the P&G offer.
“We are testing our advertising quality. A campaign must drive growth for a full year, and is judged by a panel,” Moeller told Marketing Week.