Colgate

TABLE OF CONTENTS

Chapter No Contents Page No.

1. Executive Summary 2

2. Introduction 5

3. Objectives 6

4. Scope of the Study 7

5. Research Methodology 8

6. Company Profile 10

7. Marketing Strategy 17

8. Competitor’s of the company and Competitor’s Analysis

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9. Data Analysis and Interpretation 25

10. Findings 27

11. Conclusion 33

12. Suggestion 34

13. Bibliography 37

14. Annexure 38

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Executive Summary

The Colgate company is acknowledged as the world’s leader in personal care. This report analyses the Colgate’s current situation in order to give recommendations on their actual toothpaste product line.

The report is divided into two parts. The first parts will analysis the current situation of Colgate. On the basis of a Swot analyse the strengths, weaknesses, opportunities, and threats of the company as well as of Colgate’s toothpaste product line will be analysed. Furthermore additional information on the company’s current market share, profitability, sales and the external environment of Colgate within the scope of the PEST analysis will be presented. At the end of the first part the competitive advantage of Colgate will be mentioned. The second part includes a suggested marketing strategy of the author using marketing tools such as segmentation targeting & positioning, SMART objectives as well as the marketing mix. To better recommend improvements, the actual state of Colgate referring to their products, objectives, etc. is in some parts shortly mentioned. At the end a conclusion is drawn concerning the current situation of Colgate and suggested improvements for the future.

Introduction

Colgate is the world market leader in oral hygiene products. The toothpaste product line consists of strong brands. This is due to a very successful marketing strategy of the company in the past. But especially in a competitive environment like the personal care industry it is essential for Colgate that it upgrades its organizational as well as marketing strategies in order to meet the customer’s needs and strengthening the leadership. Furthermore nowadays a wide range of different toothpaste products is offered to the customers. This in particular means for Colgate that they must differentiate their products from the competitor’s products by being innovative and unique. Moreover the toothpaste market is growing constantly which means that more different needs and expectations of the customer will arise. Therefore Colgate must make use of marketing tools such as market segmentation to better identify their needs in order to supply them with the right products.

Situational analysis

The situational analysis attempts to address the question ‘where is the organization now?’ The situational analysis contains a vast amount of information and, as the term indicates, is an analysis of the situation that you are facing with the proposed product or service (Hollensen, S. (2003) Marketing Management: a relationship approach, p.652).

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Company analysis

1. Company profile

Colgate, founded in 1806 by William Colgate, is acknowledged as the world’s leader in personal care sales including oral hygiene products such as toothbrushes and toothpastes. Colgate has many subsidiary organisation located in more than 200 countries, but it is publicly in only two, the United States and India.

2. Growth and profitability

Global sales as reported were $15,327 million during the financial year ended December 2009 ($15,330 million in 2008). The operating profit was $3,615 million during 2009, an increase of 16.6% over 2008. At present, Colgate has a market share of 44, 4% in the world’s toothpaste market operating in more than 200 countries and territories. In the United States, one of the world largest consumer markets, Colgate is the market leader in toothpaste sales with a market share at 36.2 % (Colgate-Palmolive Annual Report 2009, p.2-4). Operating in more than 200 countries the company is not depending on one single market. Significantly for the global presence is that over 82% of the company's 2009 revenues came from outside the United States. The markets in industrialised countries are largely saturated. Because of the strong presence especially in emerging countries such as India and Brazil Colgate takes advantage of the positive consumer trends in these countries and can compensate the sluggish economic growth in industrialised countries. Please see appendix to find further financial information on Colgate.

3. Culture

Colgate’s success is linked to its culture, which encourages all Colgate people to demonstrate personal leadership every day. Personal leadership also include three fundamental global values of the company: Caring, Continuous Improvement and Global Teamwork (Colgate-Palmolive Annual Report 2009, p.19).

4. Goals

The main goals of Colgate are to better understand consumers behaviour, launching new products through innovation, increasing effectiveness and efficiency as well as strengthening the leadership worldwide.

5. Collaborators

Colgate is working closely with thousands of small shop owners and local wholesalers to ensure greater availability to their products as well as to provide the right assortment of products with best visibility in each store. To built credibility among the consumers Colgate cooperates also with dental professionals.

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6. Customer

The selling of Colgate’s products depends on chain reactions. If there is a growing population rate worldwide or in local markets, the need for oral hygiene products increases. Today the world population is approximately 6.85 Billion, predicting a world with 9.2 people by midcentury. Because of the globally presence of Colgate, there will be 2.35 billion new potential customers until 2050 (United Nations world population prospects 2008). Here is to point out that the average age of the population is not essential because all people have a need for oral hygiene products. Furthermore Colgate offers premium products which mean the consumer is willing to pay a high price for the product in order to receive high quality products.

7. Competitors

The main competitors are Unilever, Procter & Gamble and the Clorox Company. The personal care industry is mostly controlled by these companies. On the one hand in order to gain more market share within this industry, the only way is to take it away from one of these competitors. On the other hand Colgate must also be aware of losing market shares to their competitors. Please see Appendix to find a financial comparison of Colgate-Palmolive’s competitors.

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INTRODUCTION

“Necessity is the mother of invention” New formats of all organization is to create new

strategy, planning and implement those things to get a better result when compared to

competitor. Colgate Palmolive ltd. in one of the largest FMCG company in India. So their

planning and strategy should be remarkable ,and they are doing this very well. Colgate

Palmolive ltd. change their plan, strategy according to the market demand, competitor.

This project is also a sincere attempt of mine to discuss about PROMOTIONAL STRATEGY TO INCREASE AWARENESS OF THE PRODUCT OF COLGATE-SENSITIVE” and to find out importance of Chemist stores and how these are playing a major role in bridging relationship between Colgate and customer requirement in FMCG sector, those are emerging formats of FMCG sector.

While doing this project I had learnt a lot which I would not have been able to know had I not pursued this project in my summer training.

“Continuous enhancement is the key factor to success in every sector, FMCG sector also”

In the project the customer expectations and aspirations have been dealt with to analyze the quality of product and services provided by COLGATE-PALMOLIVE Ltd and what customer wants from them, and how much they are satisfied with the present quality of products and services. The project has tried to recommend ways of enhancing customer satisfaction by the quality of products and services provided by COLGATE-PALMOLIVE LTD to use those qualities of products and services to position them for the COLGATE-PALMOLIVE Ltd. in the competitive environment of FMCG sector. I hope that my efforts shall be considered by the COLGATE-PALMOLIVE Ltd. for implementation in their business strategy.

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OBJECTIVE

Understand the oral care markets.

To study the market area, its size and the habit of the market.

To find out retailers and customers response towards Colgate sensitive toothpaste and

toothbrush.

Detailing of the product to the retailer and Dentists.

Made an attempt to promote and increase the sales of Colgate sensitive toothpaste and

toothbrush.

To study and analyze the medicals owners view about the packs of new Colgate

sensitive toothpaste and toothbrush.

To carry out a market survey in the city to find the demand estimation Colgate sensitive

toothpaste and toothbrush.

To study the opinion of customers and chemists regarding Colgate sensitive toothpaste

and toothbrush.

Study the competitor’s in market.

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Scope of study

The scope of the study to revealed overall customers and retailers response over

Colgate sensitive toothpaste and toothbrush.

Competitor’s analysis to gain competitive advantage.

That will help to study SWOT ANALYSIS and according to which necessary

changes could be implied.

Source of data

1. Secondary data was collected by visiting medical association office, medical

representative and dental association diary.

2. Primary data was collected by Interviewing Various person-

Dentist

Chemist Shop

Distributer

City development officers

End consumer

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RESEARCH METHODOLOGY

Research Design Followed:

Descriptive Research is the research method used because descriptive studies embrace a

large proportion of market research. The purpose is to provide an accurate snapshot of

some aspect of the market environment. Descriptive research is more rigid than

exploratory research and seeks to describe users of a product, determine the proportion of

the population that uses a product, or predict future demand for a product. As opposed to

exploratory research, descriptive research should define questions, people surveyed, and

the method of analysis prior to beginning data collection. In other words, who, what,

where, when, why, and how aspects of the research should be defined.

Sampling:-

Sampling Technique Followed:

In this project the technique of sampling used was Judgment sampling. Judgment

sampling involves the choice of subjects who are most advantageously placed or in the

best position to provide the information required.

Sample unit:

In this project case sample were the retailers in City & the aim was to know the penetration level of Colgate Sensitive and the competitors present in the market.

Sample Size:

10 retailers

Data Collection Techniques:

SOURCES OF DATA

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PRIMARY DATA

To collect primary data from retailer’s Questionnaires were used. Questionnaire was

prepared very carefully so that it may prove to be effective in collecting the right

information.

SECONDARY DATA

Secondary data collected from different website. This secondary data formed the

conceptual background for the project. This secondary data was compared with the

primary data collected in area.

RESEARCH INSTRUMENT

The research instrument used in the project was Questionnaire to collect primary

information, it provided flexibility by using more close ended and few open ended

questions.

METHOD OF DATA COLLECTION

Information was collected by personally contacting retailers through interviews

ANALYSIS AND STATISTICAL TECHNIQUE USED

Types of data analysis techniques used in the project:

Tabular analysis.

Graphical analysis

Percentage analysis.

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Company Profile

HISTORY

In 1806, William Colgate, himself a soap and candle maker, opened up a starch,

soap and candle factory on Dutch Street in New York City under the name of "William

Colgate & Company". In the 1840s, the firm began selling individual cakes of soap in

uniform weights. In 1857, William Colgate died and the company was reorganized as

"Colgate & Company" under the management of Samuel Colgate, his son. In 1872,

Colgate introduced Cashmere Bouquet, a perfumed soap. 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. By 1908 they initiated mass selling of

toothpaste in tubes.

1806:William Colgate starts a starch, soap and candle business on Dutch Street in New

York City.

1817:First Colgate advertisement appears in a New York newspaper.

1820:Colgate establishes a starch factory in Jersey City, New Jersey.

1857:Upon the death of founder William Colgate, the company is reorganized as Colgate &

Company under the management of Samuel Colgate, his son.

1866:Colgate introduces perfumed soap and perfumes/essences.

1873:Colgateintroducestoothpasteinjars.

1879:Gerhard Mennen establishes a pharmacy in Newark, NJ, later becoming the Mennen

Company.

1896 :Colgate introduces toothpaste in a collapsible tube.

1900 :Colgate wins top honors for its fine soaps and perfumes at the World’s Fair in

Paris.

1902:Stylish Palmolive advertising begins, emphasizing ingredient purity and product

benefits.

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1906:Colgate & Company celebrates its 100th anniversary. Product line includes over 800

different products.

1908:Colgate is incorporated by the five sons of Samuel Colgate. Ribbon opening added

to Colgate tube: “We couldn't improve the product so we improved the tube.”

1911:Colgate distributes two million tubes of toothpaste and toothbrushes to schools, and

provides hygienists to demonstrate tooth brushing.

1912:William Mennen introduces the first American shaving cream tube.

1914:Colgate establishes its first international subsidiary in Canada.

1920:Colgate begins establishing operations in Europe, Asia, Latin America and Africa.

1928:Colgate merges with Palmolive-Peet to become Colgate-Palmolive-Peet Company.

1930:On March 13, Colgate is first listed on the New York Stock Exchange.

1939:Dr. Mark L. Morris develops a pet food to help save a guide dog named Buddy

from kidney disease. This breakthrough leads to the first hill's Prescription Diet product.

1947:Ajax cleanser is launched, establishing a powerful now-global brand equity for cleaning

products.

1953:Colgate-Palmolive Company becomes company's official name.

1956:Colgate opens research center in Piscataway NJ.Fabric conditioner is launched in

France as Soupline. Today, fabric conditioners are sold in over 54 countries around the

world.

1966:Palmolive dishwashing liquid is introduced and today it is sold in over 35 countries.

1968:Colgate toothpaste adds MFP Fluoride, clinically proven to reduce cavities.

1970:Irish Spring launches in Germany as Irische Frühling and in Europe as Nordic Spring. In

1972, Irish Spring is introduced in North America.

1972:Colgate acquires Hoyt Laboratories, which later becomes Colgate Oral Pharmaceuticals.

1975

Caprice hair care launches in Mexico. Today, hair care products are sold in over 70

countries, with variants to suit every type of hair need.

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1976

Colgate-Palmolive acquires Hill's Pet Nutrition. Today Hill's is the global leader in pet

nutrition and veterinary recommendations.

1983

Colgate Plus toothbrush is introduced. Today over 1.6 billion Colgate toothbrushes are

sold annually worldwide. If you lined them up end to end, they would circle the globe 16

times.

1985

Protex bar soap is introduced, and today offers all-family antibacterial protection in over

56 countries. Colgate-Palmolive enters into a joint venture with Hong Kong-based

Hawley & Hazel, a leading oral care company, which adds strength in key Asian markets.

1986

The Chairman's You Can Make A Difference Program is launched, recognizing

innovation and executioner excellence by Colgate people.

1987

Colgate acquires Soft soap liquid soap business from the Minnetonka Corporation.

Today, Colgate is the global leader in liquid hand soap.

1989:

Annual Company sales surpass the $5 billion mark.

1991

Colgate acquires Murphy Oil Soap, the leading wood cleaner in the U.S. Today, its

product portfolio has expanded to include all-purpose cleaners, sprays and wipes.

1992

Colgate acquires the Mennen Company. Today, Mennen products are sold in over 52

countries. Colgate Total toothpaste introduced.

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1995:Colgate enters Central Europe and Russia, expanding into fast-growing markets.

Colgate acquires Kolynos Oral Care business in Latin America and launches market-

leading Sorriso toothpaste.

1996:Bright Smiles, Bright Futures oral health education program expands to 50

countries, and today reaches over 50 million children annually.

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.

2006:Colgate enters the fast-growing Naturals segment by purchasing Tom’s of Maine, a

leader in that market in the United States.

Today …

Today, with sales surpassing $15 billion, Colgate focuses on four core businesses: Oral

Care, Personal Care, Home Care and Pet Nutrition. Colgate now sells its products in over

200 countries and territories worldwide.

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Date of Establishment 1937

Revenue 347.188 ( USD in Millions)

Market Cap 111160.5286158 ( Rs. in Millions )

Corporate Address

Colgate Research center,

Main Street, Hiranandani Gardens, Powai Mumbai-400076, Maharastra

www.colgate.co.in

Management Details

Chairperson- J. Skala

MD- R. D. Calmeyer

CEO: Ian M. Cook

Directors - Derrick Samuel, J K Setna, J Skala, K V Vaidyanathan, M A Elias, P K Ghosh, R A Shah, R D Calmeyer, V S Mehta

No. of Employees 38,100

Common Issue Type CS

Countries/territories of sales 200+

Countries with operation 80

Business Operation Background

Household & Personal Products Colgate-Palmolive is Rs 1,300 crore. Company started in year 1937. In Rs 2,400 crore domestic market it enjoys 50% of market share. It spread across 4.5 million retails outlets out of which 1.5 million are direct outlets. The Company is having four wholly owned subsidiaries namely Colgate-Palmolive.

Financials

Total Income - Rs. 18025.707 Million (year ending Mar 2009) Net Profit - Rs. 2902.194 Million ( year ending Mar 2009).

Business Description The Company manufactures and markets a number of products in the U.S. and around the

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world in two distinct business segments: Oral, Personal and Home Care; and Pet Nutrition.

Colgate Palmolive (I) is one of the leading companies in India in the FMCG industry segment. Colgate Palmolive (I) is the subsidiary of Colgate Palmolive Ltd., New York which is the parent company. Colgate Palmolive is a foreign-based public limited company. The company is in the business of consumer products for more than 100 years. In India it is the numerous brands.

Company Product

ORAL CARE

Toothpastes Tooth brushes Kids products Whitening product Over the counter

PERSONAL

Men’s & women’s Antiperspirant and Deodorant

Bar soap

Body wash

Liquid hand wash

Toiletries for men

HOME CARE

Dishwashing

Fabric

Conditioner

Household

Cleaners

Institutional products

PET NUTRITION

Science Diet

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Prescription Diet

Toothbrush:-

Colgate 360

Colgate Navigator Plus

Colgate Sensitive

Colgate Extra-Clean Gum Care

Colgate Massager

Colgate Kids 2+

Colgate Zig Zag

Colgate Dental Cream:-

Colgate Total 12

Colgate Sensitive

Colgate Max Fresh

Colgate Kids Toothpaste

Colgate Fresh Energy Gel

Colgate Herbal

Colgate Advanced Whitening

Colgate Cibaca Family Protection

Colgate Active Salt.

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MARKETING STRATEGIES

Colgate delights consumers around the world with an array of Oral Care, Personal Care,

Home Care and Pet Nutrition products. Behind the success of Colgate’s brands are

carefully developed business and marketing strategies.

Known for having a long history of strong relationships with its retail trade partners.

Small stores around the world are just as important to Colgate as large ones. Based on

consumer and shopper insights, the Company works closely with local merchandisers and

shop owners to offer a relevant assortment of products and merchandising services to

achieve high visibility in each store.

Colgate is sharply focused on aligning its strategies and goals with those of its trade

partners in order to achieve mutual success. Colgate people understand that the way they

do business is just as important as the results they achieve.

Colgate has developed global commercial selling principles that apply to their

relationships with all customers, regardless of their size or location. These principles

provide specific guidelines on how to achieve business goals, while maintaining

Colgate’s commitment to its values and to upholding the highest ethical standards in its

business dealings.

Innovation is a cornerstone of Colgate’s strategy to drive profitable growth. While

innovation in new product development is key, equally important is innovation

throughout all of the Company’s business functions and processes.

New product development for products expected to be launched within three years takes

place at nine consumer innovation centers strategically located around the world. These

centers create new product concepts and ideas based on specific insights into consumer

wants, needs and behaviors. For projects extending three to five years into the future,

work is focused in three category-specific long-term innovation centers: Oral Care, Pet

Nutrition and Personal Care. Supplementing these efforts, Colgate scientists conduct

early research to establish a scientific foundation for new product ideas generated, and

develop robust formulations that deliver new benefits to consumers.

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In marketing, Colgate is breaking ground in connecting with consumers in non-traditional

ways, particularly by leveraging the Internet and mobile phones. One successful program

is capitalizing on the popular use of the term “Colgate Smile” for any great smile.

Colgate encourages a personal, emotional connection with our brand by inviting

consumers to share their “Colgate Smiles” via photographs, stories and videos posted on

www.ColgateSmile.com and numerous social networking sites, such as MySpace and

Facebook. To best reach today’s consumers, Colgate uses integrated marketing

communications that include a mix of traditional and new media, as well as creative

promotional activities. For example, as part of its very successful “ FEEDING IS

BELIEVING” Maketing campaign

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Company Performance

Colgate's long history of steady growth and strong performance comes from a strategy of tight focus on global brands in four core businesses: Oral Care, Personal Care, Home Care and Pet Nutrition. Among the Company's goals for 2010 are to: Remain the undisputed global market leader in Oral Care. Become the undisputed global market leader in Specialty Pet Nutrition Become a stronger global No. 2 competitor in Skin Cleansing, leading in liquids and successful in other large Personal Care categories Become a stronger regional leader in selected Home Care categories Colgate becoming ever more streamlined and sustainable as we progress toward a truly global supply chain, providing us with greater flexibility and increased cost efficiencies. Since 2004, Colgate has reduced the number of manufacturing plants worldwide by over 25%, which includes five new state-of-the-art facilities. These new factories are environmentally friendly, making more efficient use of energy, water, materials and land.

By developing the full potential of all Colgate people and demonstrating our commitment

to our stakeholders’ health and wellness.

By growing consistently and responsibly, continuously meeting or exceeding our

financial goals and focusing on product sustainability.

By maintaining our commitment to our environmental targets and expanding our focus on

water quality and availability.

Performance

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007Globa

l8.66 8.80 9.00 9.08 9.29 9.90 10.5 11.3 12.2 13.7

Sales 1 1 4 4 4 3 84 97 38 90

The Market Size & The Major Players Are:-

Category Major Players Market share (In billions)SKIN CARE HLL 13

Personal Wash HLL 46Hair care MARICO 28Oral care COLGATE 23

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The Oral Care Market Can be Segmented Into

Toothpaste - 60%

Toothpowder - 23%

Toothbrushes - 17

60%23%

17%

Chart Title

TOOTH PEST TOOTH POWDER TOOTH BRUSH

This Segment is characterized by high entry barriers, a few major players, high

advertisement spending, and frequent product variant launches. The major players in this

segment are:

Colgate-Palmolive

Hindustan Lever Ltd.

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About the product

Colgate Sensitive Toothpaste

Colgate Sensitive toothpaste is medicated toothpaste. This toothpaste is effective a against Sensitive teeth.

Wouldn't you love a sensitivity toothpaste that not only relieves the immediate pain, but

goes beyond sensitivity relief to provide proven protection, fresh breath and whiter teeth?

New Colgate Sensitive, a sensitivity toothpaste that gives you more: fast relief, proven

protection, fresh breath and whiter teeth. Always read the label.

What Is Sensitivity?

Many adults suffer from sensitive teeth. Cold, heat and high sugar concentrations

can alter the fluid dynamics in microscopic tooth tubules, which in turn stimulate the

nerve deep inside the tooth causing pain and discomfort.

How Can Colgate Sensitive Help?

Colgate Sensitive's Potassium Citrate formula soothes the nerve ends and with

regular use builds a protective shield, providing both immediate relief from sudden

shocks of pain and long term sensitivity protection with regular use.

Fight pain to sweet/sour/hot/cold foods by desensitizing nerves.

Helps maintain the natural whiteness of your teeth.

Significance inhibitory effect on the formation of supra-gingival calculus.

Has a pleasant taste.

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INTRODUCING COLGATE SENSITIVE TOOTHPASTE

It gives you fast relief from sensitivity pain, lasting protection with regular use, proven

protection against cavities and plaque, fresh breath and gently restores the natural

whiteness of your teeth. Its advanced formula contains potassium citrate that provides

fast soothing relief. Colgate Sensitive is available in 50ml and 75ml tubes and 100ml

pumps.

Colgate Sensitive Multi Protection offers complete protection for sensitive teeth. With

unbeatable protection for sensitive teeth whilst also protecting teeth and gums, thanks to

its clinically proven bacteria fighting system.

Colgate Sensitive Toothpaste 100g sensitivity relief and fluoride protection, as well as

a great taste and fresh breath, for patients suffering from dental hypersensitivity. Colgate

sensitive is a toothpaste containing potassium nitrate, which has a direct desensitising

effect on the pulp nerve fibers of the tooth. Potassium nitrate is clinically proven to

actively relieve tooth sensitivity. Colgate sensitive also contains fluoride to provide

everyday care. Fluoride is proven to protect against cavities, and with regular brushing, it

helps fight plaque. Its foaming ingredients ensure effective cleaning.

Active Ingredients:

Potassium Nitrate

Copolymer/ Pyrophosphate

Sodium Monoflurophosphate.

Dosage:

Adults and children 12 years of age and older: apply approximately a 2.5cm strip of the

product onto a soft toothbrush. Brush thoroughly for at least one minute twice a day

(morning and evening) or as recommended by a dental professional. Make sure to brush

all sensitive areas of the teeth.

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Warnings:

Do not swallow. Children under 12 years of age: use only on the advice of a dentist or

doctor. If sensitivity persists, see your dentist.

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COMPETITORS OF THE COMPANY

As the company is in the market, the company has to face the competition from many

other companies. Colgate is also not an exception for that and company has following

direct competitors

DIRECT COMPETITORS:

Emoform

Sensitive teeth, inflamed and slightly bleeding gums The active ingredient potassium nitrate is the only substance classified by the FDA as a safe and effective tooth desensitizer. With regular brushing of the teeth, the patient experiences a marked alleviation of pain after 1-2 weeks and an improvement in the condition of the inflamed gums.

For the acute stage of painful and sensitive tooth necks, inflamed and mild bleeding of the gums

For the regular long-term care of sensitive teeth, prevention of dental decay and periodontitis

Thermoseal

Sensodent

Thermo kind-f

Pepsodent

HUL

Sensoform

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P & G

Competitor’s Analysis

One of the best sources of information is to investigate competing businesses. These

businesses can provide a wealth of information that can be used in evaluating the

potential for your business. By evaluating how a company markets its business, it is

possible to determine the markets it is targeting. For example, if competing businesses

are advertising in Southern Living, they are targeting affluent, middle age females.

However, if they are advertising in the sports section of a metropolitan newspaper, they

are most likely targeting males. In addition to collecting information on the markets they

are targeting, a competitor analysis can reveal packaging preferences, target market

information, pricing strategies, distribution channels and marketing strategies. Simply

evaluate the products and services your competitor is providing. Are they producing

family packs or individual serving sizes of their processed food product? How are they

getting their products to their customers? Are their products value prices or are they

priced for the high-end market? Are they focused on convenience, quality or quantity?

What type of packaging material are they using?

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Price of available competitors in market

Theromoseal 100 gm, 50gm Rs 54 , Rs 28 Strontium chloride

hex hydrate

Sensodent-K 100 gm, 50gm Rs 65, RS 42 Potassium nitrate

Emoform 150gm, 100 gm,

50gm

RS 50, RS 63, RS

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Potassium nitrate

Thermokind-F 100 gm, 50gm RS 43, RS 24 Potassium nitrate

5% w/w, sodium

Monoflurophosphate

0.7 % w/w, triclosan

0.3 % w/w

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FINDINGS IN MARKET

DATA ANALYSIS AND INTERPRETATION

On the basis of questionnaire we have analyzed the response of Retailers & Dentist where

the questionnaire was filled up by the Dentist and retailers had tried to put analysis

in graphical form.

Q.1 Are you aware about the Colgate Sensitive?

ANS. (a) Yes :30%

(b) No :70%

INTERPRETATION

From above Question I analysis the awareness of customers towards Colgate sensitive,

where in 30% of the respondents are aware of it and 70% are not aware of this product.

Awareness of Colgate sensitive is very low in market.

Q. 2. What make you to buy that brand?

ANS. a) Quality 55%

b) Brand 20%

c) Availability 15%

d) Price 10%

INTERPRETATION –

The above table analysis shows the decision making factor for the customers to buy

toothpaste. Most of the customers go according to the quality 55% of the respondents

cannot compromise with the quality. 15% take the product which is easily available,

where as 20% looks at the brand and 10% are conscious about the price.

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Q.3. Which is the brand that retailers offer to customers?

ANS: (A) Colgate Sensitive: 15% (B) Sensodent : 10%

(C) Emoform: 35% (D) Thermokind:12%

(E) Sensoform: 18% (F) Other: 10%

INTERPRETATION –

The above table analysis shows the Retailers brand preference in selling toothpaste to

customer. Most of the customers go according to the brand, they sell Emoform to 35% of

the respondents. Colgate-sensitive to 15% of the respondents. And rest at different

percentage to the respondent.

Q.4 Whether advertisement plays a very vital role in developing the brand?

ANS: Customer opinion No. of Respondents

YES 79

NO 21

INTERPRETATION –

The above question analysis the affect of advertisement in developing the brand, where

79% of the respondents are agreed that advertisement is necessary in developing the

brand, whereas 21% of the respondents do not think that the product needs advertisement.

Q.5 Does the company need advertisement to promote Colgate sensitive?

ANS: Customer opinion No. of Respondent

YES 72

NO 28

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INTERPRETATION –

The above question analysis the need of advertisement for promoting tooth paste and

toothbrush, where 72% says that the product needs advertisement for promotion and 28%

of the respondents do not think that the product needs any advertisement.

Q.6 Medicated Tooth Paste Available in chemist shops:

ANS: (A) Colgate Sensitive:14% (B) Sensodent:19%

(C) Emoform:10% (D) Thermokind:21%

(E) Sensoform:15% (F) Vocco:16%

(F) Other:6%

INTERPRETATION –

In market seal and Sensodent has good command over market. Colgate has brand image

as normal toothpaste not as medicated Toothpaste.

Q.7 Tooth Brush Available in chemist shops:

ANS: (A) Oral-B:50% (B) Colgate Sensitive:30%

(C) Pepsodent:15% (D) Other:5%

INTERPRETATION –

In case of toothbrush oral-B has very good command over market. Colgate sensitive

toothbrush is also doing well in market.

Q.8 Which Brand is prescribed by the doctors.

ANS: (A) Colgate Sensitive:10% (B) Sensodent:15%

(C) Emoform:30% (D) Thermokind:35%

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(E) Sensoform:5% (F) Other:5%

INTERPRETATION –

Doctor prescription is more for Thermo seal and Thermokind. In case of Colgate

sensitive it is low. This is one of the strong reasons behind failure of Colgate sensitive

Q.9 How many Consumers are satisfied with the brand Colgate-Sensitive.

ANS: (A) Satisfied:30% (B) Unsatisfied: 70%

INTERPRETATION –

A consumer satisfaction in case of toothpaste is very low, where in case of Unsatisfied it

is very high.

Q.10 How many peoples are aware of the utility of Colgate-Sensitive.

ANS: (A) Aware:40%

(B) Unaware:60%

INTERPRETATION –

In semi urban areas like Aurangabad awareness regarding oral care is less, which affects

the performance of medicated toothpaste and toothbrush.

Q.11 What was the response of the retailers for our product?

(A) Convince:75%

(B) Not-Convince:25%

INTERPRETATION –

Most of the retailers convince about the quality of Colgate sensitive. This good response

will definitely help the brand in market.

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Findings

Retailers Perception

The retailers have always given the feedback as consumers often buy the medicated tooth

pastes only after the recommendation of a dentist. Example Thermoseal. They cannot

convince the consumers to buy a different product even after it is associated with

Colgate. Colgate as a brand has created an image of a normal toothpaste and not as a

medicated toothpaste.

Brand awareness with respect to its competitors

Colgate Sensitive has low brand awareness as most of the customers purchase the tooth

paste on the recommendation of the dentists and currently not doing well in the market as

it is often seen as a normal toothpaste.

Distribution Channel

The product is dispatched from the company to Depot in Aurangabad from which it is

transferred to regional Stockiest which distribute them to retailers (Medical Stores) and

then it brought by consumers.

While working we made details of the feedback given to us by the retailers as well as the

distributors. This feedback helped us basically to understand what are the problems faced

by them and what are the actions which the organization could possibly take on them.

The problems faced by them are mentioned below:

During the survey it was found that still there are 80% people who have not tasted

Colgate sensitive.

Lake of Awareness in consumers. Many people are not known about Colgate

sensitive.

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When we interviewed people then many of the people cannot recall Colgate

sensitive advertisement. It shows Lake of Advertisement or advertisement is not

timely given or advertisement is not given on right time.

There is lack of Sales Promotional Activities i.e. free sample.

Problems of Distributor:-

Salesmen are not readily available.

It’s very difficult for them to arrange a new salesman if old one leaves job.

Stocks are being purposely dumped by the organization.

Availability of stock.

Problems of Retailers:-

Margins provided to them are not sufficient.

Distributors most the times don’t provide service in time, in return they have to

face loses.

Distributors show their monopoly.

Schemes are rarely provided to them.

Replacements are hardly provided to them.

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CONCLUSION

Since Colgate Company is well established in the market and its products have high

demand in the market taking an undue advantage of this the distributors create monopoly

in the market. Considering this point the separation of Colgate Sensitive as a separate

business line in the market is really good as it breaks the monopoly of the well settled

distributors in the market and this has helped us to understand the actual functioning of

an organization as we were a part of it. The retailers if given good range of margin will

also help in increasing the sales of the products to some extent as at a certain level the

retailers do control the sales of the products in the retail market.

The survey resulted into following conclusions:

Colgate must come up with new promotional activities such that people become

aware about Colgate Sensitive.

Quality is the dominating aspect which influences consumer to purchase Colgate

product, but prompt availability of other brands and aggressive promotional

activities by others influences the consumer towards them and also leads to

increase sales.

In comparison to Colgate sensitive, the other players such as thermo seal,

Sensodent, oral-B provides a better availability and give competition to the hilt.

People are mostly satisfied with the overall quality of Colgate sensitive brush but

for the existence in the medicated toothpaste market Colgate has to use aggressive

selling techniques.

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SUGGESTIONS

Working on COLGATE gave me good knowledge of the retail market and marketing of

F.M.C.G. products. One of the most important things which came to my notice is that to

some extent retailers do control the amount of sales of the products. We also found that

some of the marketing methods need to be changed like some distributors create

monopoly which needs to be controlled immediately. Below are some of our suggestions

which we would like to suggest to the organization:

1. Company should take care that the promotional schemes which are introduced by them

for retailers are reaching them; there have been many cases where most of the distributors

don’t provide schemes to the retailers and thus retailers are at loss and eventually they

start reducing the purchase of Colgate products which directly affects the sales of

company. This matter should be taken seriously by the company and should be worked

upon immediately.

2. In order to maintain and increase the sales in the city of Aurangabad, the following

recommendations regarding Colgate sensitive; particularly regarding advertisement,

distribution, promotional policies, etc, are hereby suggested.

a. First and foremost Colgate should take proper action in order to improve service.

b. Company should launch Colgate sensitive toothpaste in new attractive packing to

change image of Colgate sensitive toothpaste in consumers mind.

c. Company should introduce sales promotion schemes.

d. Company should launch Colgate sensitive toothpaste in new flavors.

3. The company can appoint a separate sales executive for these customers. The sales

executive will directly contact these medicals and provide them the products and he will

also handle the post-sale services. The reason for this is some of these medicals face

problems as the distributors in their area create monopoly thus directly affecting the sales

of the company.

4. Establish good relationship with dentist because the source of demand for medicated

paste is dentist.

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5. Conduct the awareness campaign of Colgate sensitive.

6. Improve the distribution network.

7. Small pack of Colgate sensitive should be provided for rural market.

8. Adopt aggressive marketing strategy for Colgate sensitive brand.

9. Do more publicity of the brand.

10. Can come up with different flavors as per the need and demand of the customers.

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BIBLIOGRAPHY

http.www.google.com

http.www.wekipedia.com

htttp.www.colgate.co.in

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Questionnaire

Name of the Chemist: ______________ City: ________

Address: ________________ Contact No. ______________

Q 1. Are you aware about the Colgate Sensitive?

(A) Yes (B) No

Q 2. What make you to buy that brand?

(A) Quality (B) Brand

(C) Availability (D) Price

Q.3. Which is the brand that retailers offer to customers?

(A) Colgate Sensitive (B) Sensodent

(C) Emoform (D) Thermokind

(E) Sensoform (F) Other

Q.4. Whether advertisement plays a very vital role in developing the brand?

(A) Yes (B) No

Q.5 Does the company needs advertisement to promote Colgate sensitive?

(A) Yes (B) No

Q.6 Medicated Tooth Paste Available in chemist shops?




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Q.7 Tooth Brush Available in chemist shops?

(A) Oral-B (B) Colgate Sensitive

(C) Pepsodent (D) Other

Q.8 Which Brand is prescribed by the doctors?




Q.9 How many Consumers are satisfied with the brand Colgate-Sensitive?

(A) Satisfied (B) Unsatisfied

Q.10 How many people’s are aware of the utility of Colgate-sensitive?

(A) Aware (B) Unaware

Q.11 How many retailers are responding?

(A) Convince

(B) Not-Convince

(C) Not Interested

Sign & Stamp of Medical Store

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THANK YOU

39

Colgate

Documents

Transcript of Colgate