Procter & Gamble (P&G) is leveraging TikTok’s sister app Douyin in China to revamp its digital marketing strategies, drive sales, and stay competitive in the e-commerce business.
Procter & Gamble has recently reported sales of $21.7 billion during the first quarter of fiscal year 2025, a decrease of one percent versus the prior year.
Procter & Gamble’s China business has already faced declines in sale of Oral Care and Hair Care business units.
Making investment in digital transformation focusing on China is significant for Procter & Gamble because its China business unit has contributed 7 percent of its total sales in 2024 fiscal. Christophe Duron is the President – Go-To-Market, Greater China at Procter & Gamble.
P&G, in its annual report for 2024, said it will be investing in new capabilities and using more digital tools to increase speed and lower costs.
Procter & Gamble’s advertising costs for television, print, radio, digital and in-store advertising expenses were $9.6 billion in 2024, $8 billion in 2023 and $7.9 billion in 2022.
Here’s how P&G is utilizing Douyin as part of its digital transformation:
Influencer Partnerships
P&G, which reported annual sales of $84 billion in fiscal 2024, collaborates with popular influencers on Douyin, such as Ni Bi Yi and Chou Dan, to promote its beauty and hair care products. These influencers highlight features like Pantene’s jasmine fragrance and hair-repairing capabilities, building trust and engagement with their followers, Reuters news report said.
Livestream Shopping
The company embraces Douyin’s livestream shopping format, where influencers host sessions offering deep discounts on P&G products. This approach caters to Chinese consumers’ preference for finding the best deals online and aligns with the platform’s interactive shopping culture.
Brand Houses on Douyin
P&G is creating dedicated pages for its brands, such as Olay, on Douyin. These pages allow the company to maintain control over its branding and messaging, ensuring a consistent consumer experience across its offerings.
E-Commerce Expansion
P&G is introducing more of its beauty and haircare brands, like Rejoice and upgraded versions of Head & Shoulders, on Douyin. This move aligns with its broader strategy to capitalize on fast-growing e-commerce platforms as brick-and-mortar store sales decline.
Targeted Promotions
To appeal to price-sensitive consumers, P&G offers strategic discounts on its Douyin flagship stores, balancing competitive pricing with its premium brand positioning. For example, discounts of nearly 30 percent on certain Olay products were recently available.
Diversifying Platforms
In addition to Douyin, P&G is expanding its presence on Xiaohongshu, another popular Chinese app resembling Instagram. This platform is used to engage young, trend-conscious consumers through product reviews and recommendations.
Product and Packaging Enhancements
P&G is tailoring its products and packaging for the Chinese market. For example, Pantene received packaging updates and marketing efforts that educate consumers on product use, boosting sales and online share.
By integrating these strategies, P&G aims to regain its footing in the Chinese market, which has been challenging due to the economic slowdown and shifts in consumer behavior. Its focus on Douyin reflects an adaptive approach to reaching China’s growing middle-class audience in an increasingly digital retail environment.
Baburajan Kizhakedath
