THE WHAT? Procter & Gamble spent some 8.5 percent more on advertising in the year to June 2020 than in the 12 months prior, according to a report published by Campaign – the US FMCG manufacturer’s first increase in four years.
THE DETAILS As one of the world’s biggest advertisers, Procter & Gamble’s ad spend sets the bar and indicates that squeezed ad budgets everywhere could soon be getting a boost, despite the pandemic.
The manufacturer behind popular brands Pantene and Pampers annual spend now stands at US$7.33 billion – its highest level since 2014.
THE WHY? Procter & Gamble was quick to point out that ad spend as a percentage of sales rose only marginally – however, CEO David Taylor did underline the important role that advertising played in building revenue. “Not only has our advertising been creative, it has been increasingly effective at growing markets and building our business,” Taylor said on an earnings call, per Campaign.