
DEFINING INNOVATION
P&G defines innovation broadly — what it is, where it comes from, and who’s responsible for it.
What innovation is at P&G:
It’s everything we do that improves the value consumers get from putting their trust in P&G brands. Innovation ranges from product formulation, package design and consumer communications to supply systems, business models and organizational productivity.
Where innovation comes from at P&G: Inside, across 22 global product categories and more than a hundred technology areas. Outside, from nearly two million potential innovation partners worldwide. Learn more about how P&G connects to external innovation partners at www.pgconnectdevelop.com.
Who's responsible for innovation at P&G: In a word, everyone. We maintain strict accountability for innovation success, but we encourage all P&Gers to innovate. We are all challenged to find new ways of delivering a better brand experience at a lower cost, which ultimately drives superior consumer value.
Head & Shoulders is now the best-selling shampoo in the world. By innovating broadly, Head & Shoulders doubled its global sales in just five years.
Head & Shoulders now generates about $2 billion in annual sales for P&G. With strong momentum and a robust innovation pipeline, Head & Shoulders should remain one of P&G’s fastest-growing billion-dollar brands.
Consumer Insights
Great innovation begins with a deep understanding of current and potential consumers. Most consumers felt Head & Shoulders delivered good dandruff control, but many assumed they had to trade off beauty benefits.
Product Innovation
The challenge: keep improving antidandruff performance while innovating to satisfy consumers’ beauty desires. A new focus on scalp health as the first step toward beautiful hair has appealed to a broad range of consumers beyond those concerned with dandruff. In addition, line extensions, such as “Sensitives,” have appealed to consumers with sensitive scalps, and on-package endorsements from dermatological associations have helped drive trial.
Package and Graphics Innovation
The simple, elegant curve of the new Head & Shoulders bottle design conveys the softer, more cosmetic side of the brand, while the bottle’s straight side reflects the strength and efficacy that consumers expect from Head & Shoulders. The dramatic, intuitive graphic has strengthened brand equity and made it much easier for consumers to find the product that's right for them.
Marketing Innovation
The package curve has become a consistent design feature in all global consumer communications, including TV, print, Internet and outdoor advertising. This consistent graphic look has helped build equity in the Head & Shoulders brand at every consumer touch-point.
Go-to-Market Innovation
The business team developed a tool to evaluate scalp health and recommend the right Head & Shoulders product. Millions of scalp evaluations have been done in and near retail stores around the world, helping consumers take the first step toward healthy, beautiful hair.
Supply Chain Innovation
P&G’s hair care R&D and supply chain experts developed creative solutions to produce the challenging new package along with selective product formulation improvements in record time. The new, equity-enhancing package was launched in more than 140 countries in just nine months, yielding amazing speed-to-market to delight Head & Shoulders consumers around the world.


