P&G are not going to dump heaps of cash into a global launch as we have now seen by their lack of speed to market, as an ex sales director of a corporate, now my own business, this approach is a conservative one and not uncommon, P&G has many silos and they will expand and contract based on what their overall company strategy is. In order to make this specific product a cash cow they will need to shelve another,as there are limited funds (AKA Budgets) and each silo has a stand alone cost center to take products to market with. Yes now some idiots on HC will say P&G has billions to spend, like Woolworth's losing $377 million on its failed Masters launched, a lot of Directors care.
No matter how much you as a person believes in the product, the product must fit and then deliver the revenue streams for P&G and it must pick up the revenue streams of the "dog" it replaced. Real Life Example: Woolworth's is presented with a great new product by a supplier, the supplier convinces the Woolworths Buying to team to range it, BUT the WBT needs to take something out of the range to ensure they give this great new product some space. The category this great new product is going into is worth $500 million and the one it is replacing is worth $5 million per year, so from day one you need to be 100% sure the new product will be winner...........if not you destroy the value of the category and you get demoted. Hence them giving a supplier 200 stores out of the 800 to test the waters and hot to growth hurdles. The principal and process is the same with OBJ & P&G
Speed to market gives you a look inside and a feel what their forward thinking is, based on the period from launch to now, this launch is based around caution.........make up you own mind as OBJ has got zero say in how this is going to pan out, it is all in the hands of the Multi Nationals..........so watch them carefully and I hope you get your global roll-out. Good watching and a good lesson in how brands are taken to market by the big boys..fascinating!!
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