Business & Personal Finance

Procter and Gamble produces many of the products we use in our homes.  From toothpaste to detergent to cat food and more, P & G has become a global success story.  The key to their success has been innovation. By combining high value with excellent products as well as producing great advertising campaigns, P & G has positioned itself to be a market leader.

In 1837 brothers-in-law William Procter, a candlemaker, and James Gamble, a soapmaker, signed a partnership agreement and started producing both soap and candles.  In the 1880's they began marketing a product called "Ivory".  This revolutionary new product consisted of soap flakes that float in water. Like most companies of the time, P & G spent very little on advertising using only small ads in religious journals and city newspapers. Not until 1900 did they hire an advertising agency to handle its ads which began to appear as increasingly sophisticated four-colour ads. Then, as radio became more popular in the 1930's, P & G began advertising their products during radio programs.  These shows became known as "soap operas". By 1889, P&G employed 600 people and had annual sales that topped $3 million.  They also began to market new products that in some cases competed with existing ones. This laid the ground work for today's brand-management system and was the beginning of P&G's ongoing quest to respond to customers' needs.

Over the years P & G has acquired companies that have continued to give them the opportunity to diversify their product lines. Realizing the importance of increasing consumer engagement with their brands, P & G has managed to create a loyal consumer following through it's product quality, customer service and innovative product line.

If you want to read more about P&G, check out these books: