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Colgate

Colgate-Palmolive Company is an American multinational corporation focused on producing and distributing household, healthcare, and personal products. It operates in over 200 countries and territories worldwide. Some of its major brands include Colgate toothpaste, Palmolive soap, and Hill's Science Diet pet food. Founded in 1806, Colgate has grown through acquisitions and expanding its global presence. It remains a top consumer products company with operations spanning oral care, personal care, home care, and pet nutrition segments.

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0% found this document useful (0 votes)
668 views

Colgate

Colgate-Palmolive Company is an American multinational corporation focused on producing and distributing household, healthcare, and personal products. It operates in over 200 countries and territories worldwide. Some of its major brands include Colgate toothpaste, Palmolive soap, and Hill's Science Diet pet food. Founded in 1806, Colgate has grown through acquisitions and expanding its global presence. It remains a top consumer products company with operations spanning oral care, personal care, home care, and pet nutrition segments.

Uploaded by

urjanagar
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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 Colgate – Palmolive Company is an American diversified

multinational corporation focused on the production,


distribution and provision of household, healthcare and
personal products, such as soaps, detergents, and oral hygiene
products (including toothpaste and toothbrushes).

 Under its “Hills” brand, it is also a manufacturer of veterinary


products. The company’s corporate offices are on Park Avenue
in New York City.

 In India, it operates under the name as Colgate-Palmolive (India)


limited and its head office is at Mumbai.

 Colgate Palmolive is a $10.6 billion global company serving


people in more than 200 countries and territories with consumer
products that make lives healthier and more enjoyable.

Page | 1
In 1806, when the company was founded by 23-year-old William Colgate, it
concentrated exclusively on selling starch, soap, and candles from its New
York City-based factory and shop. Upon entering his second year of business,
Colgate became partners with Francis Smith, and the company became Smith
and Colgate, a name it kept until 1812 when Colgate purchased Smith's share of
the company and offered a partnership to his brother, Bowles Colgate. Now
called William Colgate and Company, the firm expanded its manufacturing
operations to a Jersey City, New Jersey, factory in 1820; this factory produced
Colgate's two major products, Windsor toilet soaps and Pearl starch. Colgate-
Palmolive Company's growth from a small candle and soap manufacturer to
one of the most powerful consumer products giants in the world is the result of
aggressive acquisition of other companies, persistent attempts to overtake its
major U.S. competition, and an early emphasis on building a global presence
overseas where little competition existed. The company is organized around
four core segments--oral care, personal care, home care, and pet nutrition--that
market such well-known brands as Colgate toothpaste, Irish Spring soap,
Softsoap liquid soap, Mennen deodorant, Palmolive and Ajax dishwashing
liquid, Ajax cleanser, Murphy's oil soap, Fab laundry detergent, Soupline and
Suavitel fabric softeners, and Hill's Science Diet and Hill's Prescription Diet
pet foods. Colgate-Palmolive has operations in more than 200 countries and
generates about 70 percent of its revenue outside the United States.

 In 1857, William Colgate died and the company was reorganized as "Colgate
& Company" under the management of Samuel Colgate, his son.
 In 1873, the firm introduced its first toothpaste, aromatic toothpaste sold in
jars.
 His company sold the first toothpaste in a tube, Colgate Ribbon Dental
Cream, in 1896.
 In 1928, Palmolive-Peet bought the Colgate Company to create the Colgate-
Palmolive-Peet Company.
 In 1953 "Peet" was dropped from the title, leaving only "Colgate-Palmolive
Company", the current name.

Page | 2
 1997,Colgate Total toothpaste is introduced in the U.S. and quickly becomes
the market leader. Only Colgate Total, with its 12-hour protection, fights a
complete range of oral health problems.
 2004,Colgate acquires the GABA oral care business in Europe, with its
strength in the important European pharmacy channel and its ties with
the dental community.
 Today Colgate has numerous subsidiary organizations spanning 200
countries, but it is publicly listed in only two, the United States and India.
Colgate Palmolive milestone

• 1806: Company is founded by William Colgate in New York to make


starch, soap, and candles.

• 1873: Toothpaste was launched

• 1928: Colgate and Palmolive-Peet merge, forming Colgate-Palmolive-Peet


Company.

• 1937: the company moved into India.

• 1966: Palmolive dishwashing liquid is introduced

Colgate Palmolive milestone in India

• 1937: launch first toothpaste Colgate dental cream

• 1949: launch tooth powder and toothbrush

• 1950: Palmolive shave cream

• 1976: launch programmed “young India.”

• 1989: Palmolive extra care soap launched.

• 2003: launch oral health month program

Page | 3
Colgate has been ranked as IndIa’s #1 Most trusted brand
across all categories for four consecutive years from 2003 to
2007
51% market share in the toothpaste segment.
48% market share in the toothpowder market.
30% share in the toothbrush market.
On 4Sept.2009, Colgate-Palmolive signed SRK as its Brand
ambassador.
Presently it is facing competition from no. 2 player HUL. E.g.
Pepsodant.

Page | 4
 Many people in India still clean their teeth with traditional products like Neem
twigs, salt, ash, tobacco or other herbal ingredients.
 Average all India per capita consumption of toothpaste is a dismal 82gms.
 The dentist to population ratio is a critically low 1:35000 in the country. This
results in low oral hygiene consciousness and widespread dental diseases.
 Less than 15% of the Indian toothpaste users brush twice a day.
 The toothpaste market grew at a CAGR of 7-8% between 1995-2000. But in
2001 the market grew by only 4%.
 Colgate and Hindustan Lever together account for over 85% of the organized
toothpaste market.
 Red and Black toothpowder still accounts for 35% of the toothpowder market.
 In toothpowders, Colgate and Dabur are the leading players sharing between
the 75% of the market.
 Penetration of toothpowder in the urban areas has been declining, as more
and more consumers switch from powders to paste.
 Brand loyalty is quite high for toothpastes, but is extremely low for
toothbrushes.

The Rs. 2,200-crore toothpaste market (the largest oral care segment), grew a
robust 10 per cent in value in 2000. But this wound down to 2.4 per cent in 2001.
In the first six months of 2002, the market for toothpastes in fact shrank by around
5.7 per cent in value; in volumes terms it was much higher at 11 per cent. The
going was tough for the oral care industry .Little wonder that teeth were bared
between the market leader, Colgate Palmolive, and the challenger, Hindustan
Lever, as the marketing war between the two FMCG giants for protecting market
share got tough. As if that was not enough, these players found new aggressive
competition coming their way from regional low priced competitors such as Anchor
Healthcare &Ajanta India, who priced their offerings at over 40% discount, giving
market leaders a run for their money. But then the big boys struck back, Colgate
revitalized one of its existing brands, Cibaca as Colgate-Cibaca. It was to act as the
price flanker brand in the portfolio. Ditto by HLL with Aim. The market dynamics
changed. Within a year, Colgate Cibaca managed to garner whopping 50% of the
market share in the discount segment and established Colgate’s supremacy once
again. HLL’s Aim however could not match the success and was subsequently
withdrawn from the market .Today not only has Colgate's flagship brand grown, but
Colgate Cibaca has risen to become the 4th largest paste brand in the country in
volume terms after Colgate Dental Cream, Pepsodent and Close-up .It is interesting
to note that Colgate Cibaca became big without any intensive communication
support.

Page | 5
 Focus on innovative and new product launches.
 Colgate business planning initiative
 Diversified business operations.
 Strong financial performance

 Product research
 Highly leveraged
 Because of high rate of taxes prices are high

 Emerging market growth


 Deploying advance technologies
 Implementing new products majorly to attract youth.

 Competitive landscape from other private label growth


 Increasing commodity prices
 Political conditions are not stable

Page | 6
MARKETING MIX

PRODUCT

MARKETING PRICE
PROMOTION MIX

PLACE

Page | 7
MARKETING MIX

CUSTOMER WANTS
PRODUCT AND NEEDS

PRICE COST TO SATISFY

CONVIENCE TO BUY
PLACE

COMMUNICATION
PROMOTION

A product is a set of tangible and intangible attributes which may include packaging, color, price,
quality and brand. A tangible product that the consumer feels comfortable purchasing without
gathering additional information and then actually buys with a minimum of effort is termed a
convenience product. A product that is use for business is called business product. Like if a producer
produces and sell products and earn money or profit, so that product is a business product for the
producer. If the middleman buys a product from producer and sell it to the end customer, so that
product ll’ be a business product for the middle man and vise versa .Consumer products are the
products which customer buys to satisfy his/her personal needs & wants. Like the products of our
daily use i.e. toothpastes, soap etc. A lot of customer purchases the Colgate product for their own
consumption to satisfy their daily personal needs. From the marketing point of view Colgate
Toothpaste is an excellent business product. Whole sellers & retailers purchase the Colgate
toothpastes from its manufacturer (Colgate-Palmolive) and sell it to the end customer or
consumers and earn a good business from it.

Page | 8
Colgate Product Mix:
A product mix is the set of products offered by a company. The structure of the
product mix has both the number of product lines and number of product mix in
that line. Colgate-Palmolive is having different product line. Like they are having
product line consists of personal care, bathroom care, household care and many
more.
Some of the Colgate-Palmolive’s products lines are given below.
Oral Care
 Colgate Dental Cream Trusted by Generations to make Teeth Stronger
 Colgate Total 12 Fight 12 teeth and Gum Problems (the Complete
Toothpaste)
 Colgate Max Fresh For a whole new dimension of freshness
 Colgate Kids toothpaste makes fighting cavities Fun
 Colgate Fresh Energy Gel Fresher Breath Stronger Teeth
 Colgate Herbal Strong Teeth, Healthy gums, Naturally
 Colgate Herbal White Pearly White Teeth……..Naturally
 Colgate Cibaca Top Now Strong Teeth Fresh Breath for Your Family
 Colgate Advance Whitening Whiter Teeth in 14 Days
 Colgate Active Salt fight germs for Healthy Teeth and Gums

 List price- the list price of the product is RS 12.50 for 50g pack. the product
is in the popular segment which is priced higher to onlythe economy segment
and lower than the gel and premium segment in the toothpaste market.
 Discount/Allowances- No promotional discount are allowed.
 Payment period/credit terms- Being an off-the-shelf FMCG, in line with
the category, no credit ia allowed by the company (though the store allows
credit on purchase of all items)

Colgate toothpastes are available at every convenience place to facilitate its


customers. So, customer purchases it with a very little shopping effort. Colgate use
different channel (retailers and wholesalers) to search and delivers the prospective
customers. Colgate use the distribution channel which is very efficient, effective
and which is not only meets customer needs but also provide them the valuable
services. It uses the different method to design a channel of distribution. First of all
Colgate specify the role of its channel of distribution. It usually adopts the offensive
kind of distribution which is fast enough to sell its products rapidly throughout the
country. Here Colgate keeps in mind the marketing objectives and all the
marketing mix.
Page | 9
Promotion is one of the most important “P” of marketing mix. Promotion plays an
important role in the progress of a product. Promotion in the marketing is like a
tool which helps a company to let the people know about the product. The main
purpose of the promotion is to Create Awareness, Persuasion, Education,
Information, Emotion, Brand Loyalty, Understanding, etc. Colgate-Palmolive
informs its customers about its new products as well as the product that is being
used by the customers. Colgate-Palmolive persuades and convinces its new as well
as old customers to purchase its
new product. Adopting a good promotional strategy Colgate has succeeded to
retain its customers and image. By this Colgate strongly focuses on different
promotional strategies i.e. mass selling, advertising, publicity and sale promotion
etc. Colgate-Palmolive has proved itself as a keen observer of the market and the
culture all around itself. Colgate has done in the past and still doing at the moment.
It is producing & introducing the products especially for the kids. Colgate is very
popular among young kids just because of its perfect promotion. Colgate-Palmolive
is promoting kids products by labeling the cartoon Characters like Looney tunes,
Barbie, Barney and many more which are being loved by the children. It also
educating Children by slogan “Stronger say bhe
Strong, Mera Colgate”
Colgate-Palmolive has list of products for the children like:
 Oral health for children.
 Toothpastes.
 Toothbrushes.
 Great Flavor.
 Games,
 Track for Brushing.
Through the strong promotion by the media i.e. TV, radio, newspaper etc. It is
rightly successful to capture the mass market. So, we can say that the Colgate is
the product of mass selling. Colgate is not only using the traditional advertising
media for its Promotion. However it is also using the electronic advertising media
i.e. internet etc. Because a large number of people are using the internet. So,
Colgate also advertises on the different websites with its required information for
its customers and has a specific website to promote each Colgate product. Colgate
also promotes its product by sales Promotion to attract its customers to use the
product. Sometimes, Colgate introduces the product at low prices according to the
quantity and to facilitate its customer. Which effect positively on the Colgate’s end
customer or consumer? Colgate’s positive Promotion effect on the product as well
as company. By using the idea of AIDA and IMC, Colgate’s promotional activity not
only became strong but also helps to convincing the customers to adopt the
product for using. So, we can say that the Colgate’s proper promotion makes new
room in the market for establishment.

Page | 10
Innovation is a process in which a company always tries to produce and
introduce a new and unique product in the market. Colgate-Palmolive has a
kind of nature. It is in a habit of introducing stunning products in the market
and tries to have an edge from its competitors. Colgate always tries to create
its images as innovators. By introducing new products in a product line
Colgate try to defend its market & create its image as innovators. The adoption
is a set of successive decisions an individual person or an organization make
before accepting a new product. Here we are talking about Colgate
(toothpastes). As we all know that people are well informed about the brand of
Colgate. Colgate-Palmolive always introduces toothpastes which are new as
quality but it use to have a flavor which is easily adaptable. Customer never
compromises on quality. Due to this behavior of customers, it is easy for
Colgate customers to adopt any new product without any fear or hesitation.
For the customer, Colgate is a reliable brand. That’s why when ever Colgate
introduces any new product (toothpastes) it easily spread throughout the social
system in a short period of time.
BRAND PERSONALITY

Sincerity Dimension:-Realistic, sentimental, and down-to-earth—under the


Sincerity dimension are more relevant for Colgate because the respondents feel
that the brand is suitable for cleaning and maintaining teeth and the benefits
highlighted by the brand such as white and strong teeth are based on facts.
While sincere and wholesome—are not applicable to Colgate because the brand
is not fair and just and its usage does not give physical and mental satisfaction.

Exciting Dimension:-cool, contemporary, and imaginative—are not applicable


to Colgate brand because the respondents believe that the advertisements, sales
promotion programmed, POP displays, etc., are not very creative and are
based on current events.

Competence Dimension:-successful—under Competence dimension is not


applicable to Colgate brand because the users do not believe that it is one of the
successful brands.
Sophistication Dimension:-charming, smooth, and glamorous—under
Sophistication dimension are more relevant for Colgate because the usage of
this brand improves the physical attractiveness of the user and the brand
arouses admiration of friends and relatives visiting the house.

Page | 11
BRAND IDENTITY

There are brands which are not known by many buyers in the market place on
the other hand there are brands for which the buyers have a fairly high degree
of brand awareness. Beside this there are brands with high degree of brand
preference. Finally there are brands that command high degree of brand
loyalty. This is where the acid test of brand lies. Whenever a brand innovates,
the role of brand name is to protect the innovation – it creates a mental patent.
The brand name makes the innovation exclusive and protects it against
imitations.
The sources of a brand’s identity include: The product, the name, brand
characters, form of advertising.
There are four component of brand identity platform:
1. The product class in which the brand is to operate.
2. The targeted consumer segment.
3. Brand location in the perceptual space of the target consumer.
4. Benefits and Attributes with the brand by the consumer.

Colgate Max fresh


 It is the first and only toothpaste infused with
Colgate-Palmolive, the world leader in oral care, is
redefining the gel segment of toothpaste in India, with
the introduction of new Colgate MaxFresh Gel.

Maximum Fresh Cool Mint


 Cooling crystals that dissolve in the mouth
completely upon brushing, releasing an intense rush
of breath freshening power.

Maximum Fresh Clean Mint

 This patented formula gives a whole new


dimension of freshness to its user’s everyday.

Page | 12
Colgate total

 Colgate Total provides complete 12-


hour protection and fights a full range of
oral health problems
 It helps prevent plaque and gingivitis
— even after meals

Colgate sensitive

 This is a sign of sensitive teeth and this


pain is cold by Dentinal sensitivity.
 You will notice improvement in 2-4 weeks.

Colgate advanced whitening

 Restores natural whiteness


 Prevents stains for adhering
 Fights tartar, cavities and plaque

Colgate Herbal

 Colgate Herbal White combines the


expert science of Colgate with a unique blend of
eucalyptus, Melissa and mint herbs. Strengthens
teeth and safe to use everyday

Page | 13
BRAND HIERARCHY
A brand hierarchy is a useful means of graphically portraying a firm’s branding
strategy by displaying the number and nature of common and distinctive brand
elements across the firms products, revealing the explicit ordering of brand
elements. It’s based on the realization that we can brand a product in different
ways depending on how many new and existing brand elements we use and how
we combine them for any one product. We can construct a hierarchy to represent
how products are nested with other products because of their common brand
elements.

COLGATE TOOTHPASTE

Colgate
Dental
Cream
Colgate
Colgate Colgate Cabana
Active Max
Colgate Fresh
Colgate Salt
Total
Herbal

BRANDING STRATEGY OF COLGATE


 Every company requires a system of continuous growth and up
gradation for maintaining the Brand Equity in the market. Colgate may
give emphasis on Research and Development Projects in order to develop
new products.
 By introducing some Ayurvedic Oral Care Products The Colgate aims at
reaching to the rich and consuming customers of rural India
 Colgate may launch some oral care products specifically targeting the
urban youth and the urban rich class In order to strengthen its' Brand
Image in the urban market of India.
 Colgate Branding Strategy aims at introducing some special oral care
products which will focus on functional benefits. The Brand can launch
specific oral care products for different age groups.
 The Branding Strategy of Colgate also plans to customize its packaging
techniques, based on price points. This, in a way will establish a new
pricing strategy.

Page | 14
 Colgate Branding Strategy has a objective strengthening its' business
promotion network. The company is undertaking advertising strategies
and campaigning programs with the objective of reaching to the
customers of India across income classes.

Strong distribution - The Company has backed its products with a very strong
distribution network

 Brand Tagline Proposition –Colgate “Bhartiya dentist’s ki number one


pasand." Colgate is the expert ( the last word) on dental care and provides
you with 12 hour protection safeguarding you against 12 common tooth
problems
 ADVERTISEMENT: Its different products which are designed for
different segments are targeted to the audience by highlighting its
features. Its common tagline for all products is-
 No1 brand recommended by dentist.´
 Sales promotion:-for rural market COLGATE uses VAN (van is a mobile
promotion station having facilities for screen show, slide show and mike
publicity.

Page | 15
By the Detailed study on the product and market of
COLGATE it was able to get a clear picture of the past
and present of the products and was able to get in to
the assumptions about the future of the product.

The Brand “COLGATE” has been sold successfully and


has created a good demand all the time.

It is also holding a good place in the toothpaste


market with a share of around 10% - 15%.

As like for all other products Colgate is also facing a


tight competition in the toothpaste Market.

Since the competition is too strong the company has


to keep on watching market closely for avoiding any
sudden collapse for the product.

Finally, it should note that the company may have to


face lot of threats in coming years like political threats,
legislation threats on-going economic crisis, changing
life style of the people etc. If the company is able to
overcome all the threats and can prepare themselves
for facing the problems in advance it can achieve a
good growth for “COLGATE”.

Page | 16
Q 1) Are you a consumer of Colgate?

□ Yes □ No

Analysis: The survey suggested that out of 30 consumers 20 are consumers of

Colgate Products and rest 10 are consumers of others. Colgate is quite famous

with the different types of consumers in the market. Our survey took the

sample of consumers in general.

Q 2) what comes first in your mind when you hear the word Colgate?

 Colgate Active Salt

 Colgate MaxFresh Gel.

 Colgate Dental Cream

 None of these

Analysis: The survey suggested that 15 out of 30 consumers associated Colgate

active salt, 10 for Colgate max fresh gel and 5 People are familiar with Colgate

dental cream.

Q 3) what is the brand that comes to your mind when we say the word tooth
paste?
 Colgate

 Pepsodant

 Dabur red

 close up

Analysis: The survey suggested that Colgate is the most popular brand with

consumers of tooth paste. It suggests that 15 out of 30 consumers associate with

Colgate.

Page | 17
Q 4) Rank the following Colgate products w.r.t. frequency of purchase with 1

being the highest rank

 Colgate Dental Cream

 Colgate Total

 Colgate Herbal

 Colgate Active Salt

 Colgate Max Fresh

Analysis: People purchase Colgate max fresh noodles in majority. The

frequency of the purchase of Colgate is high.

Q 5) on a scale of 1 to 5 rate Colgate on the following parameters

· Taste ____________

· Variety/Flavours ____________

· Hygiene/Purity ____________

· Availability ____________

· Packaging (SKUs) ____________

Analysis: The products of Colgate have been rated well above 3 in the above

parameters by most of the consumers.

Q 6) How do you perceive Colgate products?

· Good for teeth.

· Tasty / Fun eating

Analysis: The survey suggests that most of the consumers perceive Colgate

products as being good for teeth.

Q 7) Which Colgate products in do you regularly buy? (Repositioning

awareness)

 · Colgate Dental Cream

 Colgate Total

 Colgate Herbal

 Colgate Active Salt

 Colgate Max Fresh

Page | 18
Analysis: The survey suggested that most of the consumers regularly buy

Colgate max fresh.

Q 8) You came to know about Colgate from:

· Newspapers

· Radio

· T.V advertisements

· Word of mouth

· Other source

Analysis: The survey suggested that a majority of the people came to know

about Colgate through television advertisements. Colgate advertisements are

quite famous with the consumers.

Q 9) Do you remember any of the T.V. advertisements of Colgate?

□ Yes □ No

Analysis: The survey suggested that the advertisement of colgate is

remembered by the consumers. 30 out of 30 consumers remember the

advertisement of Colgate by SHARUKH KHAN & SAIF ALI KHAN.

Q 10) Do you perceive Colgate as a healthy product for teeth?

· Yes

· No

Analysis: The survey suggested that majority of the consumers perceive Colgate

as a healthy product for teeth. The survey suggests that 30 out of 30 consumers

perceive Colgate as a healthy product for teeth.

Page | 19
 HTTP://WWW.MANAGEMENTSTUDYGUIDE.COM/MARKETING-

MIX.HTM

 WWW.SLIDESHARE.NET/

 HTTP://WWW.COLGATE.CO.IN

 HTTP://GOOGLE.CO.IN/

 WWW.WIKIPEDIA.COM

Page | 20

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