Description
PROJECT ON TOOTHPASTE INDUSTRY IN INDIA
Submitted ByDeepak Singh Negi Amity Business School [email protected] MBA-(General), Sec-A
INTRODUCTION
Earlier in India oral hygeine was the domain of local home made ayurvedic powders or natural herbs. The history of toothpaste in India can be traced back in year 1975.Now the awareness regarding oral hygeine in Indian society has increased with the different brands of toothpaste.
Opportunities for Toothpaste Industry In india
In India, oral care market offers huge potential as penetration and per capita consumption of oral care products is very low. However, rising per capita income and increasing awareness is driving demand of oral care products. Consumers have started switching to valueadded toothpastes like gels, mouth washes, and teeth whitening products. In rural areas, consumers are switching from toothpowders to toothpastes.
INDUSTRY OVERVIEW
? Total market of 750 crores.
? Growth rate of 18.6%
? Per capita usage mere 85 gms per person. ? Major player – Colgate Palmolive and
Hindutan uniliver
GROWTH PROSPECTS
? Increased at a compound growth rate of 6.6% between 2004-09
? Rising income level i.e increasing purchasing
power of consumer ? Large domestic market with population over a billion ? Untapped rural market
TOP TEN TOOTHPASTE BRANDS
? COLGATE
? ? ? ? ? ?
?
? ?
(Coalgate Palmolive Ltd.) PEPSODENT (Hindustan unilever) CLOSE UP (Hindustan Unilever) SENSODYNE (GlaxoSmithKline) AQUAFRESH (GlaxoSmithKline) ANCHOR (Anchor health & beauty care Ltd.) DABUR RED (Dabur India) BABOOL (GlaxoSmithKline) MESWAK (GlaxoSmithKline) VICCO BAJRADANTI (Vicco Laboratories)
Industry Overview
? Growth Rate
? Toothpaste Sub Segment ? Major Players ? Per Capita Consumption ? Penetration Level
GROWTH RATE
? Growth rate of 18.6%
? Registered a compound growth rate of 6.6% between
2004-09 ? Changing spending pattern – with a increase in purchasing power, there is a upward trend in the expenditure incurred upon FMCG. ? Changing profile and mindset – People look for “MONEY FOR VALUE” rather than “VALUE FOR MONEY”. Switching from economy to premium brands
MAJOR PLAYERS
? Colgate – Palmolive Ltd. (Market Share- 47.3%)
? Hindustan Unilever Ltd (Market share- 30%) ? Dabur India Ltd. (Market Share- 7.2%) ? Other companies like Vicco, Patanjali, Promise etc.
Top 5 Brands - Market Share (2009)
? Colgate Dental Cream
? Close-Up ? Pepsodent Complete 10 ? Colgate Cibaca Top ? Colgate Fresh Energy Gel ? Other Brands
34% 14%
11%
5.7% 3% 32.3%
Segments:
? Popular Segment
Colgate , Pepsodent ? Low Price Packs Cibaca, Babool ? Niche Products Ayurvedic and Sensitive toothpastes ? Freshness Segment Colgate MaxFresh,Close Up,Anchor Gel
Declining Growing Stagnant Growing
Price-based Segments
? Regular Segment: ? Low Price Segment:
100 gm: Rs 25-30 100 gm: Rs 14-20
The Lower Price Point segment accounts for around 25% of total category volumes
INTERNAL
EXTERNAL
SWOT
Analysis of the Toothpaste Industry
Strengths->
? Low operational costs. ? Presence of well known brands.
? Presence of established distribution network.
S
Weakness->
? Low export level.
? Low scope of investing in technology and achieving
economies of scale. ? Me-too products which illegally depicts the label of the established brands.
W
Opportunities->
? Untapped rural market.
? Purchasing power increase.
? Low Dentist Population ratio 1:35000 ? People being aware of dental health.
? Penetration level has increased with cable TV, internet and FM radio stations.
O
Threats->
? Stiff well established competitors.
? Threat of Substitutes.
T
Porter's Five Forces Analysis
HIGH
HIGH
MED
HIGH
Porter's Five Forces Analysis
HIGH
BRAND QUESTIONNAIRE FORM
? PERSONAL INFORMATION ? Name of Participant-
? Address? State? City-
? PIN? Mobile-
QUESTIONNAIRE
Q1 Which particular toothpaste brand is generally demanded by customers?
Q2 Which of these brands of toothpaste have customers asked in the past or are currently demanding?
? Coalgate
? Pepsodent
? Dabur Red ? Close Up
? Coalgate ? Pepsodent
? Dabur Red
? Close Up
Q3 Which toothpaste brands have promotional schemes and what are the prices and discount offers? ? Coalgate ? Pepsodent ? Dabur Red
? Close Up ? Babool ? Sibaka ? Miswaak ? ViccoTermeric
Q4 Are customers brand conscious when it comes to buying a toothpaste? ? Yes ? No
Q5 Do you tell your customers about a certain brand to purchase? ? Yes ? No Q6 Which of the following brands do you always prefer to customers? ? Coalgate ? Pepsodent ? Dabur Red ? Close Up ? Babool ? Sibaka
? Miswaak
? ViccoTermeric
Q7 What are the other variants these products have? ? Coalgate ? Pepsodent ? Dabur Red ? Close Up ? Babool ? Sibaka ? Miswaak ? ViccoTermeric
Q8 Where do u prefer buying brand from? ? Distributers ? Dealers ? Agency ? Wholesaler
Shops We Visted For Survey..
Thank You !
doc_259107266.ppt
PROJECT ON TOOTHPASTE INDUSTRY IN INDIA
Submitted ByDeepak Singh Negi Amity Business School [email protected] MBA-(General), Sec-A
INTRODUCTION
Earlier in India oral hygeine was the domain of local home made ayurvedic powders or natural herbs. The history of toothpaste in India can be traced back in year 1975.Now the awareness regarding oral hygeine in Indian society has increased with the different brands of toothpaste.
Opportunities for Toothpaste Industry In india
In India, oral care market offers huge potential as penetration and per capita consumption of oral care products is very low. However, rising per capita income and increasing awareness is driving demand of oral care products. Consumers have started switching to valueadded toothpastes like gels, mouth washes, and teeth whitening products. In rural areas, consumers are switching from toothpowders to toothpastes.
INDUSTRY OVERVIEW
? Total market of 750 crores.
? Growth rate of 18.6%
? Per capita usage mere 85 gms per person. ? Major player – Colgate Palmolive and
Hindutan uniliver
GROWTH PROSPECTS
? Increased at a compound growth rate of 6.6% between 2004-09
? Rising income level i.e increasing purchasing
power of consumer ? Large domestic market with population over a billion ? Untapped rural market
TOP TEN TOOTHPASTE BRANDS
? COLGATE
? ? ? ? ? ?
?
? ?
(Coalgate Palmolive Ltd.) PEPSODENT (Hindustan unilever) CLOSE UP (Hindustan Unilever) SENSODYNE (GlaxoSmithKline) AQUAFRESH (GlaxoSmithKline) ANCHOR (Anchor health & beauty care Ltd.) DABUR RED (Dabur India) BABOOL (GlaxoSmithKline) MESWAK (GlaxoSmithKline) VICCO BAJRADANTI (Vicco Laboratories)
Industry Overview
? Growth Rate
? Toothpaste Sub Segment ? Major Players ? Per Capita Consumption ? Penetration Level
GROWTH RATE
? Growth rate of 18.6%
? Registered a compound growth rate of 6.6% between
2004-09 ? Changing spending pattern – with a increase in purchasing power, there is a upward trend in the expenditure incurred upon FMCG. ? Changing profile and mindset – People look for “MONEY FOR VALUE” rather than “VALUE FOR MONEY”. Switching from economy to premium brands
MAJOR PLAYERS
? Colgate – Palmolive Ltd. (Market Share- 47.3%)
? Hindustan Unilever Ltd (Market share- 30%) ? Dabur India Ltd. (Market Share- 7.2%) ? Other companies like Vicco, Patanjali, Promise etc.
Top 5 Brands - Market Share (2009)
? Colgate Dental Cream
? Close-Up ? Pepsodent Complete 10 ? Colgate Cibaca Top ? Colgate Fresh Energy Gel ? Other Brands
34% 14%
11%
5.7% 3% 32.3%
Segments:
? Popular Segment
Colgate , Pepsodent ? Low Price Packs Cibaca, Babool ? Niche Products Ayurvedic and Sensitive toothpastes ? Freshness Segment Colgate MaxFresh,Close Up,Anchor Gel
Declining Growing Stagnant Growing
Price-based Segments
? Regular Segment: ? Low Price Segment:
100 gm: Rs 25-30 100 gm: Rs 14-20
The Lower Price Point segment accounts for around 25% of total category volumes
INTERNAL
EXTERNAL
SWOT
Analysis of the Toothpaste Industry
Strengths->
? Low operational costs. ? Presence of well known brands.
? Presence of established distribution network.
S
Weakness->
? Low export level.
? Low scope of investing in technology and achieving
economies of scale. ? Me-too products which illegally depicts the label of the established brands.
W
Opportunities->
? Untapped rural market.
? Purchasing power increase.
? Low Dentist Population ratio 1:35000 ? People being aware of dental health.
? Penetration level has increased with cable TV, internet and FM radio stations.
O
Threats->
? Stiff well established competitors.
? Threat of Substitutes.
T
Porter's Five Forces Analysis
HIGH
HIGH
MED
HIGH
Porter's Five Forces Analysis
HIGH
BRAND QUESTIONNAIRE FORM
? PERSONAL INFORMATION ? Name of Participant-
? Address? State? City-
? PIN? Mobile-
QUESTIONNAIRE
Q1 Which particular toothpaste brand is generally demanded by customers?
Q2 Which of these brands of toothpaste have customers asked in the past or are currently demanding?
? Coalgate
? Pepsodent
? Dabur Red ? Close Up
? Coalgate ? Pepsodent
? Dabur Red
? Close Up
Q3 Which toothpaste brands have promotional schemes and what are the prices and discount offers? ? Coalgate ? Pepsodent ? Dabur Red
? Close Up ? Babool ? Sibaka ? Miswaak ? ViccoTermeric
Q4 Are customers brand conscious when it comes to buying a toothpaste? ? Yes ? No
Q5 Do you tell your customers about a certain brand to purchase? ? Yes ? No Q6 Which of the following brands do you always prefer to customers? ? Coalgate ? Pepsodent ? Dabur Red ? Close Up ? Babool ? Sibaka
? Miswaak
? ViccoTermeric
Q7 What are the other variants these products have? ? Coalgate ? Pepsodent ? Dabur Red ? Close Up ? Babool ? Sibaka ? Miswaak ? ViccoTermeric
Q8 Where do u prefer buying brand from? ? Distributers ? Dealers ? Agency ? Wholesaler
Shops We Visted For Survey..
Thank You !
doc_259107266.ppt