Top Story

e4m_logo.png

Home >> Marketing >> Article

P&G bets big on sachets to ramp up market share

08-March-2004
Font Size   16
Share
P&G bets big on sachets to ramp up market share

Fast moving consumer goods major Procter & Gamble (P&G) is hopeful that its price reduction strategy will deliver results, similar to what it witnessed last September, when the company had announced price cuts on detergents. The company’s sachet volumes had nearly doubled after the prices were slashed in September. The price of Ariel sachet was reduced to Rs 1.50 and that on Tide was cut to Re 1.

According to P&G officials, the company has witnessed an initial positive response from the consumers on the latest round of price cuts. However, they admit that the results will be quantifiable only after a few weeks. “We have covered the entire network and the low-priced products are now available all across,” say the officials.

According to sources, P&G is eyeing the sachet market in particular to generate volume as there is ample scope for growth of sachets in detergents.

Unlike in other FMCG segments like shampoos, where sachets form 50 per cent of the total size, in detergents sachets form just about 10 per cent, while the balance 90 per cent comes from large packs. The company’s current sachet to large pack ratio is 40:60. With growth in sachets, it’s is also targeting to increase penetration to smaller towns and rural areas. Laundry business forms 30 per cent of P&G’s national sales of around Rs 1,000 crore.

Tags

The group released the Little Hearts online-only campaign, #BreakSomeHearts, early this year and is on the path to make many more of its brands available on the digital platform

As Milind Pathak takes over as Managing Director - Southeast Asia, Httpool, we chat with him on his new role, aspirations and his plans to aggressively penetrate the operations of the group in the Southeast Asian market

We speak to Punit Misra, CEO, ZEEL, Domestic Broadcast Business, on Zee TV’s new look, its aim and the shaping up of domestic business

This exercise will take the channel to the next level: Siju Prabhakaran, Cluster Head – South Business, Zee Entertainment Enterprises Limited

As Milind Pathak takes over as Managing Director - Southeast Asia, Httpool, we chat with him on his new role, aspirations and his plans to aggressively penetrate the operations of the group in the Sou...

Though business has picked up, the private FM industry expects festive ad spends to be subdued compared to 2016

Of the 116 upheld ads, the majority belonged to healthcare and education