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Seven Secrets of Organic

Growth
February, 2009
The 7 Secrets of Organic Growth

1. There are no secrets


2. Less is actually more
3. Internal before external
4. Customer insights are a competitive advantage
5. Focus on value, not price
6. Manage by initiative
7. What is worth doing, is worth doing well

© 2008 EMM Group


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1. There Are No Secrets

P&G focused on the essentials to


drive growth from 2000-2008:
Consumer is the boss
Consumer need domains…not
categories
Brand-led growth
Innovation can come from
anywhere
Continuous improvement in
marketing and sales capabilities

Understanding consumer needs,


making a relevant and unique
promise and keeping that
promise…that’s all it takes.
© 2008 EMM Group
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2. Less Is Actually More
Credit Card Segmentation Initiative
Within a period of 6 months,
the team achieved:
An increase in portfolio
share of premium cards
from 8% to 51%.
A 36% incremental
increase in spends per
active account.
A 7% incremental
increase in Actives rate.

Insightful segmentation can drive long-term competitive advantage in even


the most commoditized category.
© 2008 EMM Group
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3. Internal Before External
Bringing the Family-Fun Segment to The “I’m Lovin It” strategy was launched
Life for 1st Choice Card in Thailand first with 1.6 employees globally*

Customers will receive the


desired experience only when
employees “get it” and are
inspired by the vision.
*Source – Arcature Consulting
© 2008 EMM Group
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4. Customer Insights Are A Competitive Advantage

The insight is
about how the
same
attributes and
functional
benefits fulfill
different
emotional
needs unique
to each
segment.

Insights can drive long-term competitive advantage in even the most


commoditized category.
© 2008 EMM Group
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5. Focus On Value Not Price
Pricing identifies the part of the value generated for the
customer that we can capture, given competitive
considerations.
Promise Differentiation Price

Support Effort Risk

Value Proposition Can Be Adjusted With


Benefits And/Or Price.
Source – Northwestern University
© 2008 EMM Group
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6. Manage By Initiative

Assessment With budgets


Est. NPV Budgeted $s Time to market People under
Initiative 1
pressure, it is
important to
Initiative 2 preserve
priority
Initiative 3 initiatives. Cut
lower priority
Initiative 4 initiatives
rather than
Initiative 5 cutting spend
Initiative 6
on every
tactical
support.

Develop and manage your budget allocation by initiative


to focus on your Go-to-Market priorities.

© 2008 EMM Group


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7. What is Worth Doing, Is Worth Doing Well

Attention to detail in the user Customer-centric innovation: $359


experience, managed by extensive Amazon Kindle – supply can barely
learning from behavioral data. keep up with demand!

Defying the brutal retail slump, Amazon.com Inc. said profit rose 9%
and sales surged 18% in the fourth quarter (2008).
– WSJ Jan 30th, 2009.

Invest in learning, use your resources smartly and


focus on the details of your execution.

© 2008 EMM Group


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