The shift to value pricing represented a radical change in policies and was driven mostly
by concern that frequent and complex promotions were eroding the value of P&G's brands. Brand
loyalty declined in the United States during the 1970s and 1980s, due to the wild price swings that
came with constant promotional activity. Frequent promotions rewarded only those consumers most
sensitive to price and acted as a disincentive to brand-loyal consumers. Value pricing eliminated
incentives for retailer forward buying and essentially offered constant procurement costs combined
with some flexible allowances or funds provided for retail store promotions.