Proctor and Gamble 2010 Annual Report Download - page 5

• We are touching and improving MORE CONSUMERS’
lives by innovating and expanding vertically, up and down
value tiers.
• We are touching and improving lives in MORE PARTS OF
THE WORLD by innovating and expanding geographically,
into new white spaces where we haven’t been competing.
• We are touching and improving consumers’ lives MORE
COMPLETELY by innovating to improve existing products,
by creating or entering adjacent categories and by driving
regimen use that broadens our product portfolios.
We have a strong multiyear pipeline that will continue to
drive growth in the future. The impact of this innovation
program is already evident. We have featured six examples
in the editorial section that follows this letter, but I want to
share perspective here as well to give you a sense of both
the strength and breadth of innovation coming from P&G.
I’ll highlight just three representative businesses to illustrate.
Male Grooming
Fusion has now grown share for 18 consecutive quarters,
and we recently launched Gillette Fusion ProGlide. Consumer
testing shows that men prefer the Fusion ProGlide family at
a ratio of up to 2-to-1 over Gillette Fusion. In the middle
tier, we recently launched a new Mach3 razor specifically
designed to better meet the needs of emerging-market
consumers. As a result, Mach3 shares are at record levels in
Argentina, Brazil and India.
In February, we launched a complete line of Gillette
male grooming solutions in Brazil, and are now expanding
in several Latin American countries. In March, we introduced
a scientific face care regimen under the Gillette name in
China. In June, we introduced Gillette Fusion ProSeries in
North America.
This is encouraging performance, inspired by the
Purpose that motivates our people and partners and driven
primarily by our strong, multiyear innovation program. We
are innovating to win in every P&G category, we are investing
behind these innovations to build profitable market share
and we are continually increasing productivity that funds our
investments in future growth. This investment allows us to
continually replenish our multiyear innovation pipeline.
Innovating to Win
Innovation has been—and will continue to be—at the heart
of our success. In fiscal 2010, for the fourth consecutive year,
we invested nearly $2 billion in Research & Development. In
fact, we invest about 50% more than our closest competitor
and more than most of our closest competitors combined.
This leadership level of investment is multiplied by our global
network of external innovation partners, which leads to an
effective investment in innovation that far exceeds the
reported spending.
One measure of the strength of our innovation program
is the SymphonyIRI Group New Product Pacesetters report—
the annual list of the biggest innovations in our industry as
measured by sales. Over the past 15 years, 125 P&G
innovations have earned a spot on the Top 25 Pacesetters
list—more than our six largest competitors combined.
Based on this track record, SymphonyIRI recognized
P&G as the most innovative manufacturer in the consumer
packaged goods industry for the last decade—presenting
the Company with its “Outstanding Achievement in
Innovation” award. In 2009, P&G launched 5 of the top
10 most successful non-food innovations as judged by
SymphonyIRI: Tide Total Care, Gillette Venus Embrace,
Bounty Extra Soft, Always Infinity and Secret Flawless.
Our innovation program is guided by the Company's
Purpose-inspired growth strategy:
The Procter & Gamble Company 3
SymphonyIRI Group recognized P&G as the most innovative
manufacturer in the consumer packaged goods industry for the last
decade with its “Outstanding Achievement in Innovation” award.
#1most innovative
P&G launched 5 of the top 10 most successful new non-food
products in 2009, according to SymphonyIRI Group.