Innovation Is P&G's Life Blood

Innovation is P&G Innovations P&G’s Life Blood It is the company’s core growth strategy and growth engine. It is also one of the company’s five core strengths, outlined for focus and investment. Innovation translates consumer desires into new products. P&G’s aim is to set the pace for innovation and the benchmark for innovation success in the industry. In 2008, P&G had five of the top 10 new product launches in the US, and 10 of the top 25, according to IRI Pacesetters, a report released by Information Resources, Inc., capturing the most successful new CPG products, as measured by sales, over the past year. Over the past 14 years, P&G has had 114 top 25 Pacesetters—more than our six largest competitors combined. PRODUCT INNOVATION FIRSTS 1879 IVORY First white soap equal in quality to imported castiles 1901 GILLETTE RAZOR First disposable razor, with a double-edge blade, offers alternative to the straight edge; Gillette joins P&G in 2005 1911 CRISCO First all-vegetable shortening 1933 DREFT First synthetic household detergent 1934 DRENE First detergent shampoo 1946 TIDE First heavy-duty The “washday miracle” is introduced laundry detergent with a new, superior cleaning formula. Tide makes laundry easier and less time-consuming. Its popularity with consumers makes Tide the country’s leading laundry product by 1949. 1955 CREST First toothpaste proven A breakthrough-product, using effective in the prevention fluoride to protect against tooth of tooth decay; and the first decay, the second most prevalent to be recognized effective disease at the time. by the American Dental Assocaition (1960) 1956 COMET First scouring cleanser with bleach 1961 HEAD & SHOULDERS First "pleasant to use" anti- dandruff shampoo Responding to the age-old need PAMPERS First affordable, mass- to reduce leaks, mess and rashes marketed disposable diaper caused by wetness of cloth diapers, P&G introduces Pampers, the first affordable, successful disposable diaper. Today, more babies around the world experience the comfort and dryness of Pampers than any other diaper brand 1967 ARIEL First major laundry detergent with enzymes 1968 PRINGLES First stackable potato snack 1972 BOUNCE First broadly-distributed, Dawn not only removes grease but dryer-added fabric softener keeps it from re-depositing on dishes and hands. It is later is used to DAWN First superior grease-cutting effectively and safely clean wildlife impacted by environment oil spills. dishwashing liquid is introduced 1976 LUVS First contour-shaped diaper 1983 ALWAYS First feminine protectin with an innovative, dry-weave top sheet 1985 CREST TARTAR First toothpaste clinically proven CONTROL to reduce tartar buildup 1986 PERT PLUS First 2-in-1 shampoo and conditioner ULTRA PAMPERS Innovation reduces diaper thickness by 50% 1988 TIDE w/ BLEACH First NA detergent with activated bleach 1992 PANTENE PRO-V First pro-vitamin, penetrating shampoo 1996 FEBREZE First fabric refresher 1998 SWIFFER First disposable duster with electrostatic cloth 2000 ACTONEL First, faster-acting treatment for osteoporosis 2002 CREST WHITESTRIPS First in-home teeth whitening system NATURELLA First use of chamomile in feminine pads, meeting specific needs of low-income consumers in Latin America; quickly won market share, now expanding into new markets 2003 IAMS / EUKANUBA First pet food formula to help One packet cleans 10 liters of block tartar buildup using water, effectively killing bacteria, natural minerals viruses and removing parasites, making dirty, contaminated water PŪR PURIFIER OF First and only of its kind safe to drink. P&G launched a global not-for-profit, Children’s WATER PACKETS in the world Safe Drinking Water to distribute the packets to children and OLAY REGENERIST Key innovation to the anti-aging families in need around the world. moisturizer category with new pentapeptide technology in a breakthrough formulation 2004 PAMPERS BABY First diaper customized for baby’s STAGES OF stages of growth and development DEVELOPMENT 2005 TIDE COLDWATER Innovation delivers superior cleaning cold-water laundry detergent that saves energy GILLETTE FUSION First razor with 6 blades (5 for shaving, 1 for trimming). The fastest brand to reach Billion-Dollar Brand status 2006 CREST PRO-HEALTH First toothpaste to protect against TOOTHPASTE all these areas dentists routinely check: gingivitis, plaque, cavities, tartar, sensitivity, and stains—and freshen breath 2007 BRAUN PULSONIC First self-cleaning electric razor 2008 ALWAYS INFINITY New material innovation, Incinicel, absorbs 10x its weight TIDE TOTAL CARE Innovative combination of ingredients typically found in beauty care products (silicone, polymers and chlorine neutralizers) keeps clothes fresh-looking after 50 washes CLAIROL PERFECT 10 First permanent 10-minute color developed with patented AminoGlycine technology that speeds and softens the process 2009 ARIEL EXCEL GEL Concentrated, cold-water formula INNOVATING IN OTHER AREAS OF THE COMPANY: A FEW MILESTONES 1882 MASS MARKETING P&G begins its first mass-marketing effort through continuous consumer advertising—an innovative brand-building effort that paved the way to marketing leadership 1887 EMPLOYEE PROFIT P&G institutes pioneer program, giving employees ownership in the SHARING Company, thus connecting their work to the Company’s success 1915 CHARITABLE Gamble’s son, James, helps create the first coordinated community CAMPAIGNS campaign for charities—which later comes to be known as the United Way 1923 COMMERCIAL RADIO P&G becomes one of the first companies to advertise on ADVERTISEMENTS commercial radio 1924 MARKET RESEARCH P&G becomes first company to conduct deliberate, data-based market BEGINS research with consumers 1941 CONSUMER P&G becomes one of the first companies to formalize consumer RELATIONS FORMED connections by forming a Consumer Relations Department. 1952 P&G FUND Start of global fund to support children around the world; today through Live, Learn and Thrive™ is working to improve the lives of more than 300 million children globally.

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