Introduction
The dynamic nature of modern societies has led to the development of several types of businesses. Among the types of businesses initiated are Business-to-Government (B2G), Business-to-Business (B2B), and Business-to-Consumer (B2C). In the United States, various enterprises engage in types of businesses. For instance, Procter and Gamble Company (P&G), which has plants in several parts of the United States such as Baltimore DC. The company falls under the category of B2B as it manufactures products, which wholesalers and retailers sell to the end consumers. Therefore, the essay assesses products and services, consumers, customer value propositions, competitive differentiation in the market, new B2B marketing, and relevance to examine the operations of Procter and Gamble Company.
Company’s Products, Services, and Website
P&G is a company that deals with cosmetic products and perfumes used by consumers globally. Some of the products that the company manufactures include colognes, perfumes, feminine effects, skincare, haircare, household items, detergents, and laundry items. Huston (2010), states that Ariel Detergents, Crests Toothpaste, Dunhill Cologne, Tampax Tampons, Wash & Go HairCare, Ace Stain Remover, Downy Fabric Softener, and Gucci Cosmetics are among the products that the company supplies. Moreover, the company works with media providers to air some programs to consumers all over the United States. Programs like ‘The Young and the Restless’ comprise some of the programs aired by P&G in cooperation with television channels like GBS. It is essential to purchasing products from authentic outlets and credible online sites. The company’s website is one of the authentic websites where one can purchase original P&G products.
Customers of the Company
Wholesalers, retailers, and media houses are among the major business consumers of the company. Since the company manufactures cosmetic products, businesses that sell cosmetic products in places like Baltimore throng the store to purchase them so that they can eventually sell the products to the end consumers. Private Label Made Easy, Pinnacle Cosmetics, and Cheap Mac Cosmetic Store are some of the cosmetic outlets, which purchase and sell products manufactured by the company around the city of Baltimore (Bickers, 2009). These cosmetic stores purchase products that P&G manufactures at retail and wholesale prices and then sell them to consumers at a price, which is slightly higher than the buying price. Products such as Ariel Detergents, Crests Toothpaste, and Dunhill Cologne are among the range of products that cosmetic shops purchase from the company through a B2B type of business. Furthermore, media houses such as GBS work together with the company to air advertisements that persuade consumers to purchase P&G products.
Company’s Customer Value Propositions and its Competitive Differentiation in the Business Market
To improve its revenues and increase consumer satisfaction, P&G has overtime focused on factors that augment product quality. According to Davey (2010), focus on consumer and product quality is core in the progress of P&G Company. To meet its objective of satisfying consumers and increasing its revenue, P&G utilized innovation ideas presented by its employees, suppliers, and consumers. Evidently, the consumer value proposition is achievable if an organization utilizes its ideas because it gives them a feeling of recognition and appreciation. Moreover, consumers understand the prevailing conditions in the market, and thus, by incorporating and implementing their innovative ideas, the company is in a good position to succeed. Since intermediate consumers of P&G comprise wholesalers, retailers, and media houses, it is easy for the company to understand the needs advanced by the end consumers. As such, opening windows of innovation and adopting ideas from all stakeholders boosts the practicability of the company’s customer value propositions and product quality.
To differentiate itself from other competitors in the market, P&G ensures that its products are high end and consumer-oriented. According to Yannopoulos (2011), P&G employs six principles, which include consumer understanding, scale, branding, go-to-market capabilities, productivity, and innovation. Apparently, the company focuses on understanding the requirements presented by consumers each time they visit an outlet to purchase its products. By understanding consumer needs, the company then manufactures products that match the requirements. Consequently, the company strives to share their ideas with other successful companies. Exchange of ideas between the company and other successful enterprises helps P&G to increase the scale of its benefits. Besides scaling its benefits and understanding the strategies adopted by other successful enterprises, the company also ensures that its products have appealing brands. Moreover, the company strives to increase its interaction with the end consumers in its quest to understand the marketing environment and align its products strategically. Productivity and innovation summarize the list of principles that the company employs in its mission of creating a distinction between its products and those advanced by competitors in the market.
New B2B Marketing of the Company
Notably, P&G Company has introduced new strategies over the last six months. Product improvement, branding, innovation, and value creation are among the new B2B marketing initiatives that the company introduced in 2016 (Pride & Ferrell, 2003; Tai, 2011). To improve the relationship between the company and its consumers, which comprise retailers and wholesalers, the company ensured that its products match consumer expectations. Moreover, the company widened its range of products to incorporate 10 categories and 65 brands in the quest to increase the spectrum of products available within retail and wholesale outlets.
Relevance
Fundamentally, the company can apply the topics covered in class to increase its customer base. Topics like effective communication, coordination, and management of the supply chain, and a good understanding of consumers can be helpful in propelling the company to its growth. The company can utilize the topic of communication to enhance its relationship with its B2B consumers. Effective communication increases product value and helps the company understand the marketing conditions and requirements of end consumers. Additionally, the company can use the concept of supply chain coordination in a manner that facilitates consumer convenience. By developing stores in various parts of the country, the company demonstrated superb coordination of its distribution and supply systems. Consumer understanding is a very important topic that the company can employ in its pursuit of market expectations. By understanding consumers and their purchasing power, the company can develop products that match their expectations in quality and price. Therefore, the topics covered in class are very relevant to P&G Company.
Conclusion
Procter and Gamble is a company that has demonstrated innovation in supplying products that match consumer needs. In its mission of improving the relationship with intermediate consumers like wholesalers and retailers, the company has enhanced distribution channels and developed stores in various states and cities of the United States. In the city of Baltimore, the company has a store, which not only serves as the main distributor of its products but also is historic. A study of the firm’s management and B2B relationship reveals the application of factors like effective communication, a well-coordinated supply chain, and an understanding of consumers and their buying behavior.
Appendix
The website that has the company’s latest innovations in the last six months.
References
Bickers, J. (2009). Marketing: Creating and Capturing Customer Value. Defining Marketing and the Marketing Process, 1(21), 1-37.
Davey, K. (2010). Serial Strategic Innovation and Sustainable Competitive Advantage: A Longitudinal Case Study. Journal of Case Research in Business and Economics, 1(1), 1-20.
Huston, L. (2010). Innovating Innovation: Procter & Gamble. New Frontiers Tomorrow’s Management Innovation Today, 1(1), 28-32.
Pride, W., & Ferrell, O. (2003). Marketing: Concepts and Strategies. New York: Houghton Mifflin Corporation.
Tai, J. (2011). B2B: Give your Business the Staying Power and Transform it into a Successful Brand Today. Singapore: Marshall Cavendish.
Yannopoulos, P. (2011). Defensive and Offensive Strategies for Market Success. International Journal of Business and Social Science, 2(13), 1-12.