Bob McDonald

"Over time, what appears to be a want can become a need," says Bob McDonald, chief executive of Procter & Gamble, in a USA Today profile by Bruce Horovitz (3/18/10). That’s true, at least for Procter & Gamble, which has managed to convince shoppers "to want household items they don’t necessarily need, such as Swiffer dusters or Febreze fabric deodorizer … When P&G introduced Pampers in the 1950s, disposable diapers were just catching on. Now, they’re a staple in all but the poorest countries."

Bob is out to change that. With American homes pretty well stocked with Pampers, Crest, Tide and Bounty, Bob’s plan is to reach "deep into developing countries — China, India and nations in Africa. And he expects to convince folks of modest means — many of whom never heard of P&G — that using its products will improve their lives." Right now, "every man and woman on Earth … spends an average $12 per year on P&G products." But Bob wants "to boost that to $14 — within five years," and turn P&G from an $80 billion into a $100 billion company.

"We know we need to ramp up our innovative efforts to get to all the world’s consumers — not just the top of the economic pyramid," says Bob. This would mean adding a billion customers to P&G’s global base of five billion, in part by introducing more in the way of value brands. Not everyone thinks this will work, since P&G’s core competency isn’t value brands. But Bob isn’t exactly giving up on premium products either, what with a pricey new Gillette Fusion ProGlide razor rolling out in June, which naturally he hopes men will want, and need.