P&G to Cut 1,600 Jobs, Banks on Digital Marketing for ROI
According to this article on AdAge.com, The Procter & Gamble Company plans to eliminate about 1,600 "overhead" or non-manufacturing jobs, including some in marketing. Facing flat market shares and growing pressure to cut costs, the company is banking on digital marketing to help contain media spending long-term, executives said on the company's earnings conference call in January 27, 2012.
"In the digital space, with things like Facebook and Google and others, we find that return on investment of the advertising when properly designed, when the big idea is there, can be much more efficient," said McDonald. He cited the 1.8 billion in free impressions generated by the Old Spice campaign in recent years, adding "there are many other examples I can cite from all over the world."
The move follows an announcement earlier this month that P&G would outsource to brokerage firms in-store merchandising work covering about 2,700 employees, most of the part-time, and expands a program put in place for some categories two years ago.
Click here to read this article in its entirety.