Name: Kelechi Genevieve Komolafe Student ID: 47094 P&G intends to employ a market development strategy in Ansoff's Matrix by investing more in its marketing to expand its customer base and make its products more relevant to consumers. This strategy involves targeting new markets or segments with existing products to increase the reach and effectiveness of its advertising campaigns. By doing so, P&G hopes to promote growth and achieve its goal of making its products more relevant to consumers. Forbes (2017) reports that P&G has encountered challenges in recent times due to tough competition from smaller and more flexible rivals. Consequently, P&G has been exploring options to invest in marketing to set its products apart and enhance their appeal to consumers. This approach is consistent with the market development strategy, which involves targeting new markets or segments with existing products to increase sales and expand the customer base. Furthermore, P&G's mention of profitable marketing campaigns such as Pantene’s ‘Strong Is Beautiful’ and Always’ ‘Like A Girl’ campaign, which aimed to promote a social purpose, is another example of the market development strategy. According to a case study by the Journal of Business and Retail Management Research, such campaigns help companies to appeal to new audiences by promoting social values or causes that resonate with them. By promoting social purposes through their campaigns, P&G is attempting to appeal to a new audience that may not have considered their products before, which aligns with the market development strategy. In conclusion, P&G's plan to increase its marketing investment and promote its products in new markets aligns with the market development strategy in Ansoff's Matrix. The company is looking to expand its customer base and increase sales by targeting new markets or segments with existing products, and its focus on promoting social purposes through its marketing campaigns is a further example of this strategy. The CEO of P&G, David Taylor, stated that the company's goal is to enhance the caliber of its advertising and enhance the appeal of its brands to consumers. (Marketing Week, 2016). By investing in digital marketing, sustainability, collaborations, and personalization, P&G can achieve these goals and drive growth for its brands. As part of pursuing its strategy to increase marketing investment and make its brands more relevant to consumers, P&G could take several other steps, including Investing in digital marketing, P&G could increase its investment in digital marketing, including social media advertising and influencer marketing. A study by Smart Insights found that digital marketing channels have a higher ROI than traditional channels, making them a potentially cost-effective way to reach consumers (Chaffey, 2019). Focusing on sustainability, Consumers are increasingly concerned about sustainability, and P&G could capitalize on this trend by investing in eco-friendly products and promoting its sustainability initiatives. Nielsen conducted a study which revealed that 81% of consumers worldwide strongly believe that companies should contribute to the improvement of the environment (Nielsen, 2018). P&G has the option of exploring other growth strategies such as diversification, market penetration or product development, if it decides to deviate from the market development strategy suggested by Ansoff's matrix. Diversification would involve P&G entering into new business areas that are unrelated to their current core categories. This could be achieved through acquisitions or partnerships with other companies. For example, P&G could consider acquiring or partnering with companies in the technology or healthcare sectors to expand their product offerings and diversify their revenue streams. Market penetration involves P&G increasing sales of their existing products in their current markets. This could be achieved through targeted marketing campaigns, offering promotional discounts, improving product quality or expanding distribution channels. A Forbes article states that P&G has implemented the market penetration strategy by boosting its marketing investment to enhance the reach and effectiveness of its advertising campaigns, as well as enhancing the quality of its advertising to make its brands more pertinent to customers (Forbes, 2016). In summary, P&G could pursue different growth strategies such as diversification, market penetration or product development to achieve growth and profitability. These strategies could involve actions such as entering new business areas, increasing sales of existing products or introducing new products (Forbes, 2016). References Chaffey, D. (2019). Digital Marketing Strategy Planning Template. Smart Insights. Retrieved from https://www.smartinsights.com/guides/digital-marketing-strategyplanning-template/ Epsilon. (2018). The Power of Me: The Impact of Personalization on Marketing Performance. Epsilon. Retrieved from https://www.epsilon.com//media/files/epsilon/white-papers/epsilon-impact-of-personalization.pdf Forbes. (2016). Procter & Gamble Aims For More Growth After Selling Off 100 Brands. Retrieved from https://www.forbes.com/sites/greatspeculations/2016/10/24/proctergamble-aims-for-more-growth-after-selling-off-100-brands/?sh=4d4db6174c47 Fridman, L. (2017, October 19). Procter & Gamble: A Dividend Stock That Struggles To Grow. Forbes. Retrieved from https://www.forbes.com/sites/lenazeldis/2017/10/19/procter-gamble-a-dividendstock-that-struggles-to-grow/?sh=67f04b515bc8 Hutchinson, S. (2016, October 11). P&G plans to increase marketing investment in 2017. Marketing Week. Retrieved from https://www.marketingweek.com/pg-plansincrease-marketing-investment-2017/ Kosinska, J. (2021). 6 Successful Brand Collaborations and Why They Worked. HubSpot. Retrieved from https://blog.hubspot.com/marketing/successful-brandcollaborations Nielsen. (2018). The Sustainability Imperative. Nielsen. Retrieved from https://www.nielsen.com/wp-content/uploads/sites/3/2019/04/global-sustainabilityreport-april-2018.pdf Suk, J., & Lee, J. (2019). The Role of Social Media in Building Brand Image: A Case Study of the Pantene Pro-V's “Strong is Beautiful” Campaign. Journal of Business and Retail Management Research, 13(3), 28-36.
