Procter & Gamble

The Procter & Gamble Company

File:Procter & Gamble logo.svg Logo of Procter & Gamble
Company type	Public
Industry	Consumer goods
Founded	October 31, 1837 (1837-10-31) in Cincinnati, Ohio, United States
Founder	William Procter, James Gamble
Headquarters	Cincinnati , United States
Area served	Worldwide
Key people	Jon R. Moeller (CEO)
Products	Consumer goods including Beauty, Grooming, Health Care, Fabric & Home Care, Baby, Feminine & Family Care products
Revenue	US$84.04 billion (2024)
Number of employees	92,000 (2018)
Website	us.pg.com

The Procter & Gamble Company (commonly known as P&G) is a global American consumer goods enterprise headquartered in Cincinnati, Ohio. Established in Ohio, P&G is organized into five main segments: Beauty (accounting for 18% of 2024 revenue), which includes brands such as Head & Shoulders, Pantene, Olay, and Old Spice; Grooming (8%), featuring Braun and Gillette; Health Care (14%), with products like Crest, Oral-B, and Vicks; Fabric & Home Care (36%), encompassing Tide, Downy, and Febreze; and Baby, Feminine & Family Care (24%), including Pampers, Always, and Charmin. Numerous brands under P&G hold dominant global market positions, often surpassing a 25% share.

P&G's revenue is nearly evenly split between domestic sales, which make up 48%, and international markets at 52%, while 90% of its products are manufactured within the United States. The company holds the 51st position on the Fortune 500 list and ranks 60th on the Forbes Global 2000, indicative of its robust financial standing with $84.04 billion in fiscal year 2024 revenue.

Founded in 1837 by William Procter and James Gamble, P&G has built a strong foundation through innovation and worldwide operations. Under the leadership of CEO Jon R. Moeller, the company continues to expand across various consumer categories globally.

Origins

William Procter, a candlemaker from England, and James Gamble, an Irish soap maker, both immigrated to the United States and settled in Cincinnati, Ohio. In 1837, encouraged by their father-in-law Alexander Norris after marrying his daughters Olivia and Elizabeth respectively, they formed a business partnership.

By 1859, Procter & Gamble had grown to $1 million in sales with approximately 80 employees. The firm secured contracts supplying the Union Army during the Civil War, significantly enhancing its profitability and nationwide product recognition.

In the 1880s, P&G introduced Ivory, an affordable floating soap that represented a major product breakthrough. William Arnett Procter, grandson of William Procter, implemented a profit-sharing scheme in 1887 aimed at improving employee retention.

Increasing demand prompted expansion beyond Cincinnati and diversification into new product categories such as Crisco shortening in 1911, which was notable for being made from vegetable oils rather than animal fats.

Starting in the late 19th century, P&G heavily invested in advertising via print media and later radio broadcasts. By 1921, it had become a leading international firm with an annual advertising budget of $1 million. The company pioneered sponsorship of daytime radio dramas—later known as soap operas—and maintained this approach into television by producing about twenty soap operas over six decades. After concluding As the World Turns in 2010, P&G resumed television production with The Gates on CBS in 2025 as a collaborative effort.

International expansion

P&G broadened its global footprint through manufacturing facilities and sales operations abroad, becoming an international corporation marked by its 1930 acquisition of the Thomas Hedley Co. based in Newcastle upon Tyne, England. Subsequently, Procter & Gamble's UK headquarters were located at Hedley House before moving to The Heights in Brooklands. Over time, numerous products and brands were introduced as part of its expansion strategy. Key product launches included Tide laundry detergent in 1946, Prell shampoo in 1947, and Joy—the first liquid synthetic detergent—in 1949.

In 1955, P&G was the first to market a fluoride toothpaste with the launch of Crest. The company further diversified by acquiring paper mills from Charmin in 1957 to produce toilet paper and tissues. It expanded its laundry care lineup with the introduction of Downy fabric softener in 1960 and Bounce dryer sheets in 1972. Between 1957 and 1968, P&G owned leading bleach manufacturer Clorox, but divested following a U.S. Supreme Court decision invalidating the acquisition.

A significant innovation came with the debut of disposable Pampers diapers in 1961 alongside the launch of Head & Shoulders. Pampers revolutionized infant care by replacing traditional cloth diapers with a convenient disposable option despite concerns about environmental landfill impact. To meet changing consumer preferences, Pampers introduced the Pampers Pure line in 2018—a natural diaper alternative catering to demand for safer products.

Further developments

Procter & Gamble broadened its range of products and boosted earnings through a series of acquisitions, including Folgers Coffee, Norwich Eaton Pharmaceuticals (known for Pepto-Bismol), Richardson-Vicks, Noxell (maker of Noxzema), Shulton's Old Spice, Max Factor, the Iams Company, and Pantene. In 1994, the company encountered substantial losses linked to leveraged interest rate derivatives and subsequently pursued legal action against Bankers Trust for fraud, underscoring the difficulties management faced with intricate financial instruments. By 1996, P&G introduced Olestra (marketed as Olean), a fat substitute with fewer calories that received FDA approval for use in snack foods.

In January 2005, P&G completed a $57 billion stock acquisition of Gillette, forming the largest consumer goods enterprise and overtaking Unilever. This merger incorporated prominent brands such as Gillette razors, Duracell batteries, Braun appliances, and Oral-B oral care products. To secure regulatory clearance, P&G divested several assets: it sold the SpinBrush electric toothbrush to Church & Dwight; Gillette’s Rembrandt toothpaste brand was transferred to Johnson & Johnson; and deodorant lines Right Guard, Soft and Dri, and Dry Idea were sold to Dial Corporation. The official merger took effect on October 1, 2005. In 2008, P&G ventured into the music sector by sponsoring Tag Records to promote its TAG Body Spray brand.

P&G’s approach to brand management is distinguished by its careful handling of overlapping product lines to reduce internal competition. Its strategic choices emphasize preserving market dominance across a variety of consumer segments.

In August 2009, Warner Chilcott acquired P&G’s prescription pharmaceuticals division for $3.1 billion. The company exited the food market in 2012 by selling Pringles to Kellogg’s for $2.75 billion following a failed transaction with Diamond Foods. Prior divestitures included Jif peanut butter, Crisco oils, and Folgers coffee, all sold to The J.M. Smucker Company.

In April 2014, P&G divested its Iams pet food business outside Europe to Mars Inc. for $2.9 billion and later that year sold the European Iams operations to Spectrum Brands. These transactions were part of P&G’s strategic realignment toward core consumer goods sectors aimed at enhancing growth and improving financial results.

Restructuring

On August 1, 2014, P&G revealed a significant restructuring plan involving the disposal of approximately 100 brands to concentrate on 65 core brands responsible for 95% of its earnings. Then-CEO A.G. Lafley characterized this initiative as creating "a much simpler, much less complex company," facilitating easier management of leading brands.

In March 2015, under this restructuring effort, P&G sold its U.S. Vicks VapoSteam liquid inhalant business to Helen of Troy. This marked the first health-related asset divestiture during the reorganization and included licensing rights for Vicks VapoSteam and VapoPad trademarks used in healthcare products.

By July 2015, P&G agreed to transfer 43 beauty brands to Coty Inc. for $13 billion due to slower growth within its beauty segment; this transaction was finalized in October 2016.

In February 2016, ownership of Duracell was transferred from P&G to Berkshire Hathaway through a share exchange agreement.

December 2018 saw P&G acquire Merck Group’s consumer health division (known as EMD Serono in North America) for €3.4 billion ($4.2 billion), subsequently rebranding it as Procter & Gamble Health Limited in May 2019.

Also in November 2018, P&G announced plans to simplify its corporate framework by establishing six business units starting July 2019, aiming to streamline worldwide operations and sharpen market focus.

In 2023, the company began refining its product assortment by eliminating the lowest-performing 25% of SKUs that contribute minimally to retail revenue—reflecting industry patterns where such SKUs account for only about 2–2.5% of global turnover.

Looking ahead to June 2025, P&G disclosed intentions to reduce its workforce by 7,000 employees over two years due to uncertainties related to tariffs affecting its international business environment.

Financial Performance

During the 2018 fiscal year, Procter & Gamble achieved a net income of US$9.750 billion, generated from revenues totaling US$66.832 billion, representing a 2.7% growth compared to the prior year. In 2017, its stock price surpassed $86, with market capitalization exceeding US$221.5 billion as of October 2018. The company secured the 42nd position on the 2018 Fortune 500 ranking based on total revenue.

Year	Revenue (million US$)	Net Income (million US$)	Total Assets (million US$)	Number of Employees
2005	56,741	6,923	61,527
2006	68,222	8,684	135,695
2007	74,832	10,340	138,014
2008	79,257	12,075	143,992
2009	76,694	13,436	134,833	135,000
2010	78,938	12,517	128,172	127,000
2011	82,559	11,564	138,354	129,000
2012	83,680	10,500	132,244	126,000
2013	84,167	11,068	139,263	121,000
2014	83,062	11,390	144,266	118,000
2015	76,279	6,777	129,495	110,000
2016	65,299	10,508	127,136	105,000
2017	65,058	15,326	120,406	95,000
2018	66,832	9,750	118,310	92,000

Board of Directors

As of February 2025, Procter & Gamble's board consists of 14 members:

Distinguished former directors include W. James McNerney, Jr., Nelson Peltz, and Meg Whitman. Notably in 2011, Rajat Gupta stepped down following insider trading accusations.

In May 2011, P&G received recognition for its board diversity with eleven female directors featured on Fortune’s Most Powerful Women list.

In May 2013, Robert A. McDonald retired as CEO and was replaced by A.G. Lafley who resumed his role as chairman and chief executive officer.

Procter & Gamble is an active participant in the U.S. Global Leadership Coalition advocating for enhanced funding in international affairs that supports its worldwide business interests and strategic leadership goals.

Executive Leadership

• Chairman, President & Chief Executive Officer: Jon R. Moeller (since 2021)
• Chief Operating Officer: Shailesh G. Jejurikar

Honors and Accolades

In the 2024 annual review by the World Intellectual Property Organization, Procter & Gamble ranked second globally with 525 industrial design registrations published under the Hague Agreement during 2023.

Fortune magazine included P&G among the "Global Top Companies for Leaders" and placed it 15th on the "World's Most Admired Companies" list. Chief Executive magazine honored P&G as the leading organization for leadership development within its "40 Best Companies for Leaders."

In 2008, P&G earned recognition as one of "Canada's Top 100 Employers" and also as one of Greater Toronto's Top Employers. LinkedIn ranked P&G as the fourth most sought-after employer worldwide in 2013. That same year Glassdoor identified it as the 14th most challenging company to interview with and among the top 25 companies offering career growth opportunities. In 2014 Glassdoor placed P&G at number 34 on their Best Places to Work list.

P&G was designated Careers in Africa Employer of Choice in 2015 and acknowledged as the leading FMCG employer across Africa.

The company has been featured multiple times on Forbes World's Most Reputable Companies list in years including 2016, 2017 and 2023.

Brands

By 2015, 21 of Procter & Gamble’s brands each achieved annual sales exceeding one billion dollars. Many of these, such as Bounty, Crest, Always, and Tide, are internationally recognized products distributed across various continents. The acquisition of Gillette in 2005 for $57 billion expanded P&G’s portfolio to include prominent names like Gillette razors, Duracell batteries, Braun, and Oral-B. P&G’s product offerings reach consumers throughout North America, Latin America, Europe, the Middle East, Africa, Asia, Australia, and New Zealand.

In 2018, the fabric and home care segment—comprising brands like Downy, Gain, Tide, Febreze, and Dawn—represented the largest portion of P&G’s net sales at 32%.

According to Advertising Age, P&G led U.S. advertising expenditures in 2015 by investing $4.3 billion in brand promotion.

P&G operates manufacturing facilities in numerous countries worldwide, including:

• United States
• Canada
• Mexico
• Philippines
• Hungary
• Argentina
• Vietnam
• Indonesia
• Romania
• United Kingdom
• France
• Ukraine
• Spain
• Germany
• Poland
• Czech Republic
• Russia
• Saudi Arabia
• United Arab Emirates
• Australia
• New Zealand
• Brazil
• Austria
• Japan
• India
• China
• South Korea
• Pakistan
• Egypt
• South Africa
• Nigeria
• Jordan
• Tunisia
• Turkey
• Lebanon
• Morocco
• Thailand

Radio and television production

During the 1930s, Procter & Gamble was a pioneer in producing radio serial dramas, which led to the coining of the term "soap operas," inspired by its Ivory soap brand sponsorship. In the following decades—the 1950s and 1960s—P&G produced and sponsored around 20 television serials, including The Guiding Light, a series that transitioned from radio to television and enjoyed a remarkable 72-year run. The company withdrew from soap opera production after As the World Turns concluded in 2010 but re-entered the genre in 2025 with Beyond the Gates, a collaborative project with CBS Studios and the NAACP. Additionally, P&G holds partial sponsorship for The Young and the Restless, produced by Sony Pictures Television.

Among P&G’s notable past serial productions are:

• Another World
• As the World Turns
• The Brighter Day
• The Catlins
• The Edge of Night
• From These Roots
• Guiding Light
• Lovers and Friends / For Richer, for Poorer
• Search for Tomorrow
• Somerset
• Texas
• Young Doctor Malone

P&G broke new ground as the first company to produce and sponsor a prime-time serial with the 1965 spin-off Our Private World. Their production credits also include NBC’s 1979 series Shirley, starring Shirley Jones (13 episodes), and TBS’s inaugural original comedy series Down to Earth (1984–1987). Other ventures encompass syndicating the comedy show Throb, producing a 1985 game-show pilot titled The Buck Stops Here, and co-producing (though later withdrawing from) the series Dawson's Creek. In 1991, they produced the television film A Triumph of the Heart: The Ricky Bell Story. P&G managed production of the People’s Choice Awards until its sale to E! in 2017. In collaboration with Cookie Jar Group in 2007, they developed the animated children’s program Will and Dewitt, featuring Pampers’ mascot Dewitt.

Partnering with Walmart, P&G sponsored Family Movie Night on broadcast networks between 2010 and 2011 and later supported Walden Family Theater on Hallmark Channel in 2013.

In 2013, P&G rebranded its entertainment division as Procter & Gamble Entertainment (PGE), emphasizing content across multiple platforms. By 2019, P&G financed a six-episode National Geographic series titled Activate, which tackled themes such as poverty, inequality, and sustainability in collaboration with Global Citizen and Radical Media. The company secured a longform series agreement with Stone Village Television in January 2020 and joined Imagine Documentaries’ lineup in February 2020 with projects including the scripted series Mars 2080.

Sponsorships

Procter & Gamble (P&G) has strategically utilized sponsorships as a key component of its marketing efforts, particularly by promoting Spanish-language soap operas on channels such as Azteca América, Estrella TV, Galavisión, Telemundo, UniMás, and Univisión. By the end of the 1990s, P&G had established itself as the top advertiser within Spanish-language media, solidifying its influence among this audience.

In 2008, P&G ventured into music sponsorship through a collaboration with Island Def Jam to launch Tag Records, a label associated with a body spray brand acquired from Gillette. After the 2010 cancellation of As the World Turns, P&G redirected its focus from soap operas toward family-centric programming to better reflect changing audience tastes.

The company demonstrated its commitment to nurturing new talent by awarding $100,000 contracts to winners of the first three seasons of Canada's Next Top Model.

Since 2012, P&G has played a prominent role as a sponsor of the Summer Olympic Games, supporting more than 150 athletes at the London event. Its Olympic involvement expanded to include the Winter Games starting in 2014, continuing the acclaimed "Thanks Mom" campaign that celebrates the bond between athletes and their mothers. This initiative features internationally recognized competitors such as Lindsey Vonn, Alexander Ovechkin, Evgeni Malkin, Sven Kramer, Daisuke Takahashi, and Yuzuru Hanyu. P&G intends to sustain its Olympic sponsorship through the 2026 Winter Olympics in Italy and the 2028 Summer Olympics in Los Angeles. The company’s advertising approach during these events emphasizes emotional narratives accompanied by orchestral music to deepen consumer connection with the brand.

Additionally, P&G has established multiple online communities to foster digital engagement with consumers. Among these are BeingGirl.com (launched in 2000) and Women.com. By the year 2000, P&G managed 72 highly curated destination websites as part of its digital strategy aimed at enhancing brand loyalty and consumer interaction.

Toxic shock syndrome and tampons

Toxic shock syndrome (TSS), caused by certain strains of Staphylococcus aureus, has frequently been associated with tampon use. In 1980, there were 814 reported menstrual-related TSS cases resulting in 38 fatalities, predominantly involving users of Procter & Gamble's highly absorbent synthetic Rely tampons. Unlike traditional cotton or rayon tampons, Rely incorporated carboxymethylcellulose and compressed polyester beads for absorption.

The Centers for Disease Control identified Rely tampons as having a stronger link to TSS incidents. Consequently, Procter & Gamble voluntarily withdrew the Rely product from the market in September 1980. Since this recall, reported TSS cases have decreased substantially.

Other products

In 2002, P&G was sued over advertisements that misleadingly suggested Prilosec could provide heartburn relief within a single day. Later, in December 2005, P&G’s pharmaceutical division became involved in controversy related to research surrounding its osteoporosis medication Actonel, which attracted media scrutiny.

Animal testing

Procter & Gamble has received criticism from animal rights organizations such as PETA due to its animal testing practices. On June 30, 1999, the company announced it would restrict animal testing exclusively to its food and drug products segment, which accounts for less than one-fifth of its overall portfolio. Furthermore, P&G invested more than $275 million in developing alternative testing technologies aimed at reducing dependence on animal experiments.

Price fixing

In April 2011, the European Commission imposed a €211.2 million penalty on P&G for its role in a price-fixing cartel involving washing powder sales across Europe. Alongside P&G, Unilever was fined €104 million, while Henkel also participated. The penalties for P&G and Unilever were reduced by 10% following their admission of involvement. Henkel, which had reported the cartel, was exempt from fines.

Child labor and forced labor

A 2016 report by Amnesty International exposed that Wilmar International, a key palm oil supplier to P&G, was involved in child labor and forced labor practices, with children as young as eight subjected to exploitation. The report detailed workers enduring extortion, threats, unpaid work, and serious injuries caused by exposure to hazardous banned chemicals.

Logo myth and Satanism accusations

P&G’s original logo, dating back to 1851, depicted a man in the Moon accompanied by 13 stars representing the original Thirteen Colonies. During the 1980s, rumors—primarily propagated by Amway distributors—alleged that this Moon-and-stars emblem had satanic connotations. These claims referenced a biblical verse (Revelation 12:1) and misinterpreted design features as occult symbols, including supposed references to 666 and horn-like shapes.

To address these allegations, P&G streamlined its logo in 1991 and transitioned to a text-only design by 1995. Nevertheless, a crescent moon motif was reintroduced in the 2013 logo update. Company representatives have consistently denied any occult links, and no credible evidence has connected P&G with satanic groups.

Between 1995 and 2003, P&G engaged in legal battles against Amway over these damaging rumors and successfully sued individual distributors in 2007 for spreading falsehoods. The Church of Satan has also publicly stated it has no affiliation with P&G.

Reverse domain name hijacking

In March 2013, a World Intellectual Property Organization panel determined that P&G had attempted reverse domain hijacking during a Uniform Domain-Name Dispute-Resolution Policy proceeding aimed at acquiring "swash.com" from Marchex. Initially, P&G claimed sales exceeding $40 million of Swash laundry products over four years but later revised this figure down to $60,000. After losing the dispute, P&G purchased the domain from Marchex. Attorney John Berryhill suggested that P&G intended to use the domain for a new product described in a 2011 trademark application as "an appliance for domestic use...a garment steamer," which was confirmed when swash.com launched in June 2014.

"The Talk"

In 2017, as part of its "My Black is Beautiful" initiative, P&G released the commercial "The Talk," portraying African American mothers across different eras having conversations with their children about racism. The advertisement generated controversy: critics pointed out the absence of fathers delivering "the talk" and accused it of promoting anti-white sentiment. A particular scene implying police brutality drew criticism from some law enforcement officers and organizations who viewed it as anti-police. Michelle Malkin of National Review described it as "liberal advertising" pandering through identity politics.

Despite the backlash, "The Talk" was widely acclaimed for its impactful and thought-provoking narrative. It won several prestigious awards including the 2018 Cannes Lions Grand Prix and the Primetime Emmy Award for Outstanding Commercial, underscoring P&G’s effective leadership in socially responsible marketing that enhances its brand reputation and market position.

"Woke" social positions

The corporation has encountered criticism for its social viewpoints, some of which have been described as "woke".

In November 2014, P&G openly endorsed marriage equality.

By January 2019, CEO David Taylor advocated for the board to comprise 50% women, aligning with the company's predominant consumer demographic. At that point, male board members outnumbered female members by more than two to one. Gender balance on the board was achieved by mid-2020.

Throughout 2025, P&G upheld its diversity, equity, and inclusion initiatives despite heightened governmental examination during the second presidency of Donald Trump.

Gillette commercial

On January 14, 2019, P&G's subsidiary Gillette unveiled the provocative campaign "The Best Men Can Be", which tackled topics such as bullying, sexism, and toxic masculinity. The advertisement generated significant controversy and boycott demands, becoming one of the most disliked videos on YouTube.

Later in 2019, Gillette recorded an $8 billion writedown linked to currency volatility, intensified competition, and a long-term decline in shaving product sales since 2005—factors unrelated to the ad backlash. Nevertheless, P&G expressed strong confidence in Gillette's prospects.

Business operations in Russia amid Ukraine conflict

The Ukrainian National Agency for Prevention of Corruption (NACP) designated P&G as an International Sponsors of War because of its ongoing business activities in Russia during the 2022 Russian invasion of Ukraine. P&G operates two manufacturing sites in Russia: a Gillette razor factory located in Saint Petersburg and a personal care products plant in Tula Oblast. These facilities contribute financially to the Russian federal budget, which the NACP links to funding Russian war crimes. P&G was included on this list alongside other corporations such as Bacardi and Unilever. In 2022, revenue generated from P&G’s Russian operations amounted to 108 billion rubles.