P&G reviews ROI measurement

Procter & Gamble is to review the way it measures return on investment as part of its ongoing efforts to improve the efficiency of its marketing activity.


The FMCG firm, which owns Gillette, Pampers and Fairy, has confirmed that its current measurement set-up is under review “to ensure we capture the full, business-building value of earned media and its impact on the reputation of P&G and our brands.”

Paul Fox, director of corporate comms at P&G, says: “This was a mutual decision to review and we expect it will take several months to complete.”

It is thought P&G wants to look more closely at the return it gets from digital and social marketing and beyond the reach of its traditional marketing mix-measurement model.

A year ago, the company outlined a $10bn efficiency plan designed to cut costs from the business including $1bn in marketing costs driven by more efficient spending.

P&G, which last month reappointed former CEO AG Lafley into the top management role, is under pressure from investors to accelerate its rate of growth and improve sales and profit. 


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Brand audit: Coca-Cola

Lara O'Reilly

Coca-Cola has long been the subject of criticism over issues ranging from health to the environment and recent figures suggest its sales growth is lagging behind Pepsi in the UK. However, Coke’s biggest ever UK summer campaign, which has seen the drinks company replace its branding with 150 of the country’s most popular names across 100 million packs, has moved consumer perception of the brand towards the positive end of the scale.