is the world's largest consumer goods company and the world's largest advertiser, with brands including Gillette, Crest and Pampers.
, who is 53, is widely thought of as one of the most influential marketing executives in global business, after reinvigorating P&G when its growth and profits slowed in the late 1990s.
He has been head of marketing since 2001, in which time P&G has gradually increased its spending on digital media globally.
Stengel has also been a leading voice on the challenges facing marketers. In a speech to the American Association of Advertising Agencies in 2004 he declared that existing marketing models, based around conventional TV advertising were "obsolete".
Stengel will retire on October 31 to pursue other interests, but until then he will work on special projects and the transition.
Pritchard, who is currently president for strategy, productivity and growth will take over on August 1 as global marketing officer.
He has worked for P&G for 26 years -- latterly as president for global strategy and before that as head of its global cosmetic business.
A.G Lafley, P&G's chairman of the board and chief executive officer, said in a statement: "Jim Stengel has reinvigorated P&G's marketing function and strengthened P&G's capability as one of the world's leading brand builders.
"Jim has helped change the way P&G markets our brands by challenging traditional marketing models and setting new standards for P&G marketing rooted in deep consumer understanding."
Last month Lafley and Stengel accepted the Cannes Advertiser of the Year award.