SELLING: The Cleanup Man
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P. & G. shown a loss; since the war, its sales have more than doubledto $850 million in the last fiscal year (net: $42 million). But growth has also brought some headaches.
For their grandiose advertising claims, the soapmakers are often in trouble with the Federal Trade Commission. P. & G. admen have a simple explanation for the free-handed promises: "Have you ever listened to women talk? They never say, 'That's a nice hat.' They say, That's absolutely the cutest hat I've ever seen.' Women talk in hyperbole. So that's the way we've got to talk to them. It's the only language they understand." Nevertheless, P. & G. has had to stop claiming curative powers for its shampoos, that Camay "will keep the skin young," that
Tide and Cheer will get clothes as clean without rinsing as other products will with rinsing. When FTC cracks down, P. & G. complies promptlyunless it can prove its claim on the basis of its research.
Last year, in the waning days of the Truman Administration, the Justice Department's antitrusters brought a civil suit against P. & G., Colgate and Lever, charged the three with monopolizing the soap market by exchanging price information. Under its new Republican bosses, the Justice Department still plans to try the case. But since a grand jury studied the case for 18 months and found no cause for criminal action, McElroy is sure he will win.
Neil McElroy is just as confident about his company's future. But if sales start to slide, says he, "We'll find the reason why. Then we'll give it hell." It is a long-standing P. & G. belief that if a man invents a better mousetrap, no one will beat a path to his door unless he goes out and tells people about it. Neil McElroy does not intend to let anyone forget about his mousetraps.
-Made of alcohol sulphates and sodium phosphate. Though "detergent" actually means any type of cleanser, including soap, in popular usage it now means one based on chemicals instead of natural fats or oils. -To promote its Dial' soap, Armour & Co. last week announced a contest with a producing oil well as first prize. -But not out of ownership. Cincinnati Philanthropist Cecil H. Gamble, 69, grandson of Founder James, is currently a P. & G. director and one of the biggest single stockholders. No Procters are connected with P. & G. today.
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