Brand_colgate.pptx

INDIAN INSTITUTE OF TECHNOLOGY ROORKEE

Submitted to Prof (Dr.) ZILLUR REHMAN Department of Management Studies Indian Institute of Technology Roorkee

INDIAN INSTITUTE OF TECHNOLOGY ROORKEE

RAHUL KUMAR

BHAGYESH DHATRAK

PRTAHAMESH PITTULE

INDIAN INSTITUTE OF TECHNOLOGY ROORKEE

DEVESH SINGH

HIMANSHU AGRAWAL

Colgate

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Introduction to Colgate • Colgate is an umbrella brand principally used to purchase oral hygiene products such as toothpastes, toothbrushes, mouthwashes and dental floss. • Founded: New York City, USA (1806) by William Colgate. • Headquarters:- 300 Park Avenue, New York, NY, United States • Chairman & CEO:- Ian M. Cook • Operating Revenue:- US$15.454 billion (2017)

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Mission Statement As a Company that strives to be the best truly global consumer products company, we are committed to doing business with integrity and respect for all people and for the world around us.

Vision Statement As we plan our strategies to sustain growth for the years to come, our core values of Caring, Global Teamwork and Continuous Improvement will continue to drive our future initiatives.

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Categories COLGATEPALMOLIVE

ORAL CARE

PERSONAL CARE

HOUSEHOLD CARE

TOOTHPASTE,TOOTHB RUSH,TOOTHPOWDE R,WITHENING PRODUCT,MOUTHWA SH

BODYWASH,HAND WASH,SKINCARE,H AIRCARE,MEN’S CARE

SURFACE CARE 7

Colgate - Oral Care

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Oral care in India Toothpaste is the biggest category with 80% share Educate consumers about good dental hygiene via TV advertisements as well as urging them to brush twice a day to increase awareness

Market share of 53.4% in India

Oral Care is expected to reach USD 40.9 billion by 2025 globally

Increasing awareness of oral care products, increasing penetration in rural market and expanding product portfolio of leading companies

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Competitors

Pepsodent

Close up

Oral-B

Patanjali

Dabur

Sensodyne

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Toothpaste Makers’ Volume Market Share 70

60

50

40

30

20

10

0 2018

2017

Colgate

2016

HUL

Dabur

2015

Patanjali

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Product Life Cycle Growth

Maturity

Decline

Product Sales

Introduction

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SWOT Analysis STRENGTHS Geographically diversified industry. • Strong brand image. • Strong market share. • Appealing advertisements. • Huge sales growth. • Skilled workforce. • Strong promotional strategies. OPPORTUNITIES • International Market Expansion. • Emerging markets may attract business • Differentiation strategy is required.

WEAKNESS • Product expansion is restricted. • Saturated market. • Market share is lower than its competitors.

THREATS • Increase in commodity prices. • Fierce competition. • New entrants in the market can be a threat to Colgate.

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BCG Matrix of Colgate

Market Growth Rate

Relative Market Share

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SEGMENTATION Colgate uses the following factors to segment its market. These factors include:

Demographic segmentation • Demographic segmentation is the splitting up of the market to smaller portions or groups according to age, income, gender, occupation, education, religion and social class. • Colgate has a variety of products which they do their possible best to segment their market on both the adult age group and for the kids. For adults they have a wide range of products that consumers can purchase depending on desires. • As a matter of fact they sell whitening toothpastes, as well as toothpaste for those who have sensitive teeth, and toothpaste for people with gum sensitivity.

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SEGMENTATION Psychographic and Behavioral Segmentation • Colgate uses this method of segmentation to segment their market according to their customer’s life style, values, or personality. • Therefore COLGATE markets its product to different people based on their oral health care needs. • For customers who want whiter teeth, they sell whitening toothpaste and toothbrushes. • For the customers teeth sensitivity, they sell the Sensitive ProRelief toothpaste and toothbrushes which are made to decrease tooth sensitivity. • For people who are not always at the same place such as travelers and office workers they created Wisp toothbrush, which contains mini toothbrushes, which have toothpaste already on them which can be used at any moment and at any time 16

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TARGETING Basic target Market of Colgate: • Urban youth and urban rich class. • Rich and consuming customers of rural India.

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Pro-relief target: • Being a product that caters to a very specific need pro-relief targets everyone between 20-40 age group who suffer from sensitivity problem. • According to several reports 53% of the people worldwide suffer from sensitivity related problems. Suddenly the products dosent sound too niche, considering 1 in every two is your target audience.

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TARGETING Contd. • Sensitivity problems do not come until the age of 18 so children and teenagers and not covered but all age groups above 18 are targeted. • The target audience for Colgate is derived from Demographic, Psychographic and Benefit segmentation.

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POSITIONING • Colgate is positioned as the brand itself as of a high quality product with a premium price among its competitors. • Colgate's long-cherished positioning statement of a germ and cavity fighter culminating in the Colgate "ring of confidence. • Colgate found that they were losing the strong brand loyalty that it traditionally enjoyed with nearly 50 per cent market share. Therefore, they hit out with a counter claim that Colgate fights germs two-and-a-half times longer to dilute the positive perception that Pepsodent was building so assiduously with the consumers.

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POSITIONING • They also introduced Colgate MaxFresh which was positioned as to fight bad breathe and give freshness all day long. • Colgate Sensitive Pro-Relief is positioned as the tooth- paste that has the best effectiveness in solving tooth sensitivity as instantly compared with other toothpastes. This positioning is well reflected in their advertisements and product packaging. • Besides its good attribute, Colgate positioned itself as toothpaste that offers extra Benefits to the customers. Colgate is the only toothpaste that uses the new technology known as pro-argin technology, which contains ingredients, that giving better protection on oral health. Moreover, pro-argin technology also gives a long-term benefit by removing the problem from its root 20

POSITIONING • Colgate informs the customers about the benefit offered by putting the words “new pro argin technology” in the advertisements. Colgate's’ positioning however is observed to be very close to Sensodyne, as based on the perceptual map. This is deduced from similar ads from Sensodyne that reads “Daily Relief from the Pain of Sensitive Teeth”; however, Colgate avoids direct confrontation with Sensodyne’s ads by changing the words Daily Relief into Instant Relief.

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BRAND EQUITY DRIVERS

1. The brand elements or identities

2. Marketing activities & Product

3. Other associations

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1. Brand elements or identities

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2. Marketing activities & Product

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Product • • • • • •

Toothpaste Toothbrushes Mouthwashes Kids Products Toothpowder Specialty Products

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Toothpaste • • • • • •

Colgate Strong Teeth Colgate Maxfresh Colgate Sensitive Original Colgate Total Colgate Visible White Colgate Sensitive Pro-relief

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Tooth Brush • • • • • •

Colgate Sensitive Colgate Slim Soft Colgate 360° Colgate Extra Clean Colgate Zigzag Colgate Kids

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Mouthwashes • Available in 7 variants in India– I. Fresh Tea II. Complete Care III. Sensitive IV. Fresh mint V. Peppermint VI. Active salt VII. Visible white • Remaining 2 variant which are not available in India – I. Ice II. Fruity Fresh 29

Kids Products • Colgate Barbie Toothpaste • Colgate Spider Man Toothpaste

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Toothpowder & Speciality Products • Colgate Toothpowder • Colgate Pain Out

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Price • Colgate follows a competitive pricing policy under its marketing mix strategy. Colgate products are priced at similar range or slightly higher range with respect to its competitors. • Colgate charges premium price for its specialty products as it is targeted at a niche category. • Colgate Palmolive target all sections of society by providing products at all price ranges. • A higher price range is justified by an added ingredients that provides extra benefits to consumers. • The products are available in various SKUs so that it can cater to a broader base. The pack sizes ranges from 50g to 500g. • Colgate also bundles its toothpastes with toothbrushes to make the offers look attractive to consumers. 32

Place • Widely available in Urban areas from malls to retailers as well as in Rural areas in retail shops. • Placed along with competitors Brands like HUL,Dabur or along with other oral products from Colgate. • Greater thrust on increasing product penetration to rural areas 33

PROMOTION • Quick and easy method for a cleaner, fresher and healthier mouth. • Educate customers to use it twice a day after brush. • Help remove 99.9% germs for 12 hours. • Channels – TV, newspaper, Hoardings, social media Colgate Palmolive promotes its products to its huge target audience through various channels. • Colgate also capitalizes internet marketing through Facebook and YouTube advertisements.The brand Colgate positions it products as the one that are recommended by dentists. • Colgate also advertises its products through various celebrity endorsements. 34

3.Other Associations • People

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Other Associations • Things (Events)

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Other Associations • Other Brands

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Ansoff’s Model Existing products

New products Product Development

Existing markets

Product development

Market Development

Diversification

New markets

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Brand Knowledge • Image: Brand Ambassadors (Virat Kohli, Ranveer Singh, Priyanka Chopra) • Feelings: Mother’s Trust Colgate Dental Cream Ad • Thoughts: Strong teeth, Cavity protection • Experiences: Oral Health Month

• Belief: India’s No. 1 Toothpaste recommended by Dentists

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BRAND MANTRA

Emotional Modifier

Descriptive Modifier

Functional Modifier

Maintain Family Oral care for performance Brand with longer hours consistently, multidimensi high onal benefits reliability innovations

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Brand Failure

• Colgate may be one of the leading toothpaste brands but consumers just couldn’t comprehend buying Colgate “food”. • Maybe Colgate thought that by eating a Colgate meal, people would then brush afterwards with Colgate toothpaste but it was a bad idea from the start. 41

POINTS OF PARITY AND POINTS OF DIFFERENCE • Brand Mantra- ‘Deeper Clean than Brushing Alone’. • Points of Parity – Colgate Plax,Scope&Oral-B- mouthwash & Oral hygiene Industry – Offers a instant relief from bad breath, instills Freshness, provides a day worth of confidence & assures complete & efficient cleanliness. • Points of Differences – Characteristic tinge that Listerine leaves in mouth. – Customized variants. – USP to kill.

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Thanks

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