Description
This is a presentation explains the colgate toothpaste marketing.
Indian Oral Care Industry
? Valued at 21 billion rupees ? 50 % of India's population uses toothpastes, 27 % uses
toothpowder while 23% in the rural areas are yet to adopt oral care ? Toothpaste consumption – 67% Urban households restrural households ? Industry dominated by large MNC?s- Colgate Palmolive, HUL and SmithKline (Aquafresh) and a few Indian ones like Anchor and Dabur ? Colgate and HUL -more than 80% of the organized toothpaste market
Colgate Brand Walkthrough
? Promoted by Colgate-Palmolive USA, present in India since last 50
years
? Market leader with over 45% market share in 21 billion rupees oral
care segment
? Acquired Hindustan Ciba Geigy (Cibaca) in the year 1994 ? Two main brands in the toothpaste segment – Colgate and Colgate
Cibaca
? Launched 3 new innovative variants during the course of year 2006 -
Colgate Active Salt, Colgate Advanced Whitening and Colgate MaxFresh Gel .
The Innovative Products
? 1) Colgate Active Salt- 1st toothpaste to contain salt
? 2) Colgate Maxfresh Gel- The ‘Max Asar’ formula ? 3)Colgate Advanced Whitening- Silica enabled
toothpaste
Marketing Strategies – Product Mix
Product ? Adds utility and meets the wants and needs of targeted consumers. ? Unique Product and able to differentiate from all other products existing in the market e.g. Colgate Herbal White which promises a unique formula. ? Packaging-green colour ensures the „herbalness? ? Sizes- available in50g,100g and 200g Price ? Pricing strategy - positioning the toothpaste as a mainstream product rather than a niche product
Marketing Strategies – Product Mix
Place Distribution strategy of Colgate toothpaste through ? Dentists and plastic surgeons ? Drug stores ? Grocery stores ? Large retail stores and department stores Promotion ? Advertisements - commercials, magazine ads, the radio ? Ads -placed in dentist offices, billboards, and the sides of buses ? Advertising : Promote new products, Remind consumers of existing products Promote the image of the company at hand ? Colgate offers special coupons and rebates through their other products
Marketing Strategies
Market Dominance ? Market leader - dominance in Oral Care ? Catering to all the segments -long product line ? Massive advertising, awareness ,especially in child segment Product Differentiation ? Different packaging for all its product line ? Changes packaging according to product innovation ? Differentiation due to massive promotion on channels ? Create a different image in the eyes of consumers Innovation Strategy ? Pioneered in new product development and business model innovation ? Cutting edge technology- innovation strategy
Colgate Toothpastes - Product Range
? Colgate Gel (Blue and Red) Toothpaste ? Colgate Total Toothpaste - only toothpaste to
? ? ? ?
contain "Gantrez”, "shield of protection“, even 12 hours after brushing Colgate Calciguard-anti cavity therapeutic positioning marketed in the Metros Colgate Sensitive-Marketed through Dental Profession Colgate Active Salt Colgate Total Clean Mint Paste
Target Market
Kids ? Brushing -more effective and fun for kids ? Sparkling gel comes in 2 exciting variants – Bright Pink gel , and Bright Blue gel ,yummy Bubble Fruit flavour ? Tweety and bugs bunny are favourites with kids ? The fruity bubble gum flavour – kids brush longer developing good oral care habits Family ? Strong teeth and fresh breath ? Developed using Colgate?s international expertise in oral care ? Unique formula protects teeth from decay ? Refreshing minty flavour makes breath super fresh Youth ? Icy wave of minty coolness ? Cooling crystals and emphasis on “taazgi”
Target Market
People with sensitive teeth
? Fights pain due to ? ? ? ? ? ? ?
sweet/sour/hot/cold foods by desensitising nerves Helps maintain the natural whiteness of your teeth Significant inhibitory effect on the formation of supra-gingival calculus Pleasant taste Notice improvement in 2-4 weeks Relief from the pain of sensitive teeth Proven protection from sensitivity with regular use Fresh breath
People with oral pain
? Treats mouth irritations and oral lesions effectively
The Survey Analysis
Most preferred Brands
? 40% of those surveyed preferred Colgate ? Close up preference is around 28%
Longevity of the Toothpaste ? Most of the respondents consumed their toothpaste within a span of 15-30 days.
The Survey Analysis (contd.)
Current Brand Usage
? 47% of those surveyed are brand loyal – using the same brand for more than
5 years.
Willingness to change the brand ? 72% of the respondents are willing to change their brand – effect of advertising and branding.
SWOT Analysis
Strengths Parent support ? Colgate Palmolive India Limited - Strong support from its parent company ? Parent company - world leader in oral care company and present in almost every country. ? Company has access to the parent?s hugely successful global folio of products and brands Market Leader in some of the Key Products ? Colgate Palmolive India Limited - Market leader in oral care market ? Present for a long time in Indian market Wide market coverage ? Urban as well as in rural market
SWOT Analysis
Weakness Concentration risk over single category ? High dependence on a single category - Oral Care ? Other two categories - Personal care and household care contribute < 10 per cent to revenue
SWOT Analysis
Opportunity
Low penetration level:
? Low penetration level for oral care in rural market ? Most of the users in rural market use traditional
products like neem twigs, salt or other herbal ingredients
SWOT Analysis
Threats Competition in Low end segment ? Few competitors in premium segment, but many regional players ? High competition from big players in low segment products.
Leveraging the Success
? Strategic initiatives
? Adopted a strategy of new launches and a significant hike in marketing
expenditures ? Targeting schools to create oral awareness among children ? National Oral Health Program called “Bright Smiles, Bright Future” in association with the IDA for children
? Creating demand in rural areas
? Supply chain simplification – through Stock Keep Unit(SKU) reduction
Positioning and creating Brand Equity
? Consumer- more health and hygiene conscious
? Vast consumer base in India ? Sectoral opportunity in other oral products ? Smaller packs to drive growth ? Direct media promotions ? “Operation Jagruti” program
? ? ?
Educate villagers about oral hygiene Its benefits vis-à-vis traditional products like “Neem” Conducted by giving product trials and free samples
Suggestions
? Introduce a variety of attractive flavours.
? Cut down prices up to an extent because some tooth
pastes of Colgate are quite expensive as compared to Close-up & Pepsodent. ? Colgate should introduce sachet packs of its product targetting lower income segment and increase sales ? Explore rural areas also because both brands are not very popular amongst the rural people.
Conclusion
? The toothpaste market enjoys a very good and strong position in
Indian market. ? It is found that the major section of the youth population uses one or the other toothpaste in which freshness, protection against tooth decay and whitening are major attributes ? Medicinal toothpastes like Emoform, Senequel-F are also attracting customers.Thus Colgate can foray in the segment of medicinal toothpastes. ? Population growth - An expected annual 1.5% increase in population will help broaden the user base for oral care and this is the opportunity which Colgate should leverage upon and remain the “ubiquitous toothpaste” at every household-even the rural houses
doc_569241522.ppt
This is a presentation explains the colgate toothpaste marketing.
Indian Oral Care Industry
? Valued at 21 billion rupees ? 50 % of India's population uses toothpastes, 27 % uses
toothpowder while 23% in the rural areas are yet to adopt oral care ? Toothpaste consumption – 67% Urban households restrural households ? Industry dominated by large MNC?s- Colgate Palmolive, HUL and SmithKline (Aquafresh) and a few Indian ones like Anchor and Dabur ? Colgate and HUL -more than 80% of the organized toothpaste market
Colgate Brand Walkthrough
? Promoted by Colgate-Palmolive USA, present in India since last 50
years
? Market leader with over 45% market share in 21 billion rupees oral
care segment
? Acquired Hindustan Ciba Geigy (Cibaca) in the year 1994 ? Two main brands in the toothpaste segment – Colgate and Colgate
Cibaca
? Launched 3 new innovative variants during the course of year 2006 -
Colgate Active Salt, Colgate Advanced Whitening and Colgate MaxFresh Gel .
The Innovative Products
? 1) Colgate Active Salt- 1st toothpaste to contain salt
? 2) Colgate Maxfresh Gel- The ‘Max Asar’ formula ? 3)Colgate Advanced Whitening- Silica enabled
toothpaste
Marketing Strategies – Product Mix
Product ? Adds utility and meets the wants and needs of targeted consumers. ? Unique Product and able to differentiate from all other products existing in the market e.g. Colgate Herbal White which promises a unique formula. ? Packaging-green colour ensures the „herbalness? ? Sizes- available in50g,100g and 200g Price ? Pricing strategy - positioning the toothpaste as a mainstream product rather than a niche product
Marketing Strategies – Product Mix
Place Distribution strategy of Colgate toothpaste through ? Dentists and plastic surgeons ? Drug stores ? Grocery stores ? Large retail stores and department stores Promotion ? Advertisements - commercials, magazine ads, the radio ? Ads -placed in dentist offices, billboards, and the sides of buses ? Advertising : Promote new products, Remind consumers of existing products Promote the image of the company at hand ? Colgate offers special coupons and rebates through their other products
Marketing Strategies
Market Dominance ? Market leader - dominance in Oral Care ? Catering to all the segments -long product line ? Massive advertising, awareness ,especially in child segment Product Differentiation ? Different packaging for all its product line ? Changes packaging according to product innovation ? Differentiation due to massive promotion on channels ? Create a different image in the eyes of consumers Innovation Strategy ? Pioneered in new product development and business model innovation ? Cutting edge technology- innovation strategy
Colgate Toothpastes - Product Range
? Colgate Gel (Blue and Red) Toothpaste ? Colgate Total Toothpaste - only toothpaste to
? ? ? ?
contain "Gantrez”, "shield of protection“, even 12 hours after brushing Colgate Calciguard-anti cavity therapeutic positioning marketed in the Metros Colgate Sensitive-Marketed through Dental Profession Colgate Active Salt Colgate Total Clean Mint Paste
Target Market
Kids ? Brushing -more effective and fun for kids ? Sparkling gel comes in 2 exciting variants – Bright Pink gel , and Bright Blue gel ,yummy Bubble Fruit flavour ? Tweety and bugs bunny are favourites with kids ? The fruity bubble gum flavour – kids brush longer developing good oral care habits Family ? Strong teeth and fresh breath ? Developed using Colgate?s international expertise in oral care ? Unique formula protects teeth from decay ? Refreshing minty flavour makes breath super fresh Youth ? Icy wave of minty coolness ? Cooling crystals and emphasis on “taazgi”
Target Market
People with sensitive teeth
? Fights pain due to ? ? ? ? ? ? ?
sweet/sour/hot/cold foods by desensitising nerves Helps maintain the natural whiteness of your teeth Significant inhibitory effect on the formation of supra-gingival calculus Pleasant taste Notice improvement in 2-4 weeks Relief from the pain of sensitive teeth Proven protection from sensitivity with regular use Fresh breath
People with oral pain
? Treats mouth irritations and oral lesions effectively
The Survey Analysis
Most preferred Brands
? 40% of those surveyed preferred Colgate ? Close up preference is around 28%
Longevity of the Toothpaste ? Most of the respondents consumed their toothpaste within a span of 15-30 days.
The Survey Analysis (contd.)
Current Brand Usage
? 47% of those surveyed are brand loyal – using the same brand for more than
5 years.
Willingness to change the brand ? 72% of the respondents are willing to change their brand – effect of advertising and branding.
SWOT Analysis
Strengths Parent support ? Colgate Palmolive India Limited - Strong support from its parent company ? Parent company - world leader in oral care company and present in almost every country. ? Company has access to the parent?s hugely successful global folio of products and brands Market Leader in some of the Key Products ? Colgate Palmolive India Limited - Market leader in oral care market ? Present for a long time in Indian market Wide market coverage ? Urban as well as in rural market
SWOT Analysis
Weakness Concentration risk over single category ? High dependence on a single category - Oral Care ? Other two categories - Personal care and household care contribute < 10 per cent to revenue
SWOT Analysis
Opportunity
Low penetration level:
? Low penetration level for oral care in rural market ? Most of the users in rural market use traditional
products like neem twigs, salt or other herbal ingredients
SWOT Analysis
Threats Competition in Low end segment ? Few competitors in premium segment, but many regional players ? High competition from big players in low segment products.
Leveraging the Success
? Strategic initiatives
? Adopted a strategy of new launches and a significant hike in marketing
expenditures ? Targeting schools to create oral awareness among children ? National Oral Health Program called “Bright Smiles, Bright Future” in association with the IDA for children
? Creating demand in rural areas
? Supply chain simplification – through Stock Keep Unit(SKU) reduction
Positioning and creating Brand Equity
? Consumer- more health and hygiene conscious
? Vast consumer base in India ? Sectoral opportunity in other oral products ? Smaller packs to drive growth ? Direct media promotions ? “Operation Jagruti” program
? ? ?
Educate villagers about oral hygiene Its benefits vis-à-vis traditional products like “Neem” Conducted by giving product trials and free samples
Suggestions
? Introduce a variety of attractive flavours.
? Cut down prices up to an extent because some tooth
pastes of Colgate are quite expensive as compared to Close-up & Pepsodent. ? Colgate should introduce sachet packs of its product targetting lower income segment and increase sales ? Explore rural areas also because both brands are not very popular amongst the rural people.
Conclusion
? The toothpaste market enjoys a very good and strong position in
Indian market. ? It is found that the major section of the youth population uses one or the other toothpaste in which freshness, protection against tooth decay and whitening are major attributes ? Medicinal toothpastes like Emoform, Senequel-F are also attracting customers.Thus Colgate can foray in the segment of medicinal toothpastes. ? Population growth - An expected annual 1.5% increase in population will help broaden the user base for oral care and this is the opportunity which Colgate should leverage upon and remain the “ubiquitous toothpaste” at every household-even the rural houses
doc_569241522.ppt