("Planogram" refers to a retail shelf plan or diagram.)
K-C has hired Don Quigley, vice president of customer development and a 22-year veteran of PepsiCo as its new president of customer development, effective Sept. 3. He replaces Bruce Paynter, who, while in that role, conducted an analysis that indicated the packaged goods giant needed to hire someone like Mr. Quigley. Mr. Paynter now takes on a newly created position as president of North American Baby Care.
Borrowing from the Pepsi playbook
At PepsiCo, Mr. Quigley helped develop a strategy, called the "Power of One," that jointly promoted the marketer's Pepsi and Gatorade beverage brands and Frito-Lay snack brands. PepsiCo also developed in-store events such as a concert last year featuring Pepsi-pitching pop diva Britney Spears broadcast exclusively on Wal-Mart's in-store TV network.
The goal is to make promotions for K-C staples such as Huggies diapers, Pull-Ups training pants, Scott paper towel, Cottonelle toilet paper and Kleenex tissue focus less on price-driven "pile it high and watch it fly" promotions and more other ways of differentiating brands in-store.
"That's why we made it a priority to bring in Don's experience," Mr. Paynter said. "He's clearly one of the leaders in the industry."
Beyond price and display
While K-C has had promotions that go beyond price and display, such as retail tie-ins with its current "Kleenex Moments" efforts tied to the Olympics, Mr. Paynter said the marketer is "looking to do this on a more sustainable level and more frequently."
Mr. Paynter's analysis found that while K-C was good at collaborative planning with retailers, it needed work in other areas, including incorporating insights gleaned from research with shoppers into promotion and broader brand marketing plans.
Mr. Quigley believes that even with a portfolio of household staples rather than beverage and snack brands K-C can find more ways to move its in-store message more often beyond simply price.
"I think it's a great move," said Ken Harris, partner with the consulting firm Cannondale Associates in Evanston, Ill. K-C wasn't necessarily deficient, but while retailers rank it consistently among the top 10 package-goods manufacturers in developing in-store programs, they rank PepsiCo in the top five, he said.
K-C has already integrated marketing executives into its sales teams and will assign even more marketers to the teams in the future, a move Mr. Quigley will also help oversee, Mr. Paynter said.
Growing brand Huggies
He added that his own new role overseeing North American Baby Care is recognition of the growing footprint of the Huggies brand across multiple categories, a trend he expects to continue. Huggies already sells changing pads, washcloths and baby shampoo and wash products under its brand and he expects it to expand to new areas as well.
"Huggies has such a strong relationship with consumers that it gives us permission to go into many related areas," he said, "and my objective is to take more advantage of that."