Colgate Toothpaste
Situational Analysis
“Stronger Say Bhe Strong Mera COLGATE”
Presented to:
Ms Fagiha Ahmad
Presented By
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Farooq Iqbal
MKTE0509
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“Stronger Say Bhe Strong Mera COLGATE” 1
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Presented to:
Ms Fagiha Ahmad 1
Introduction 3
Product: 5
Colgate Product Mix: 6
Colgate Fresh Energy Gel 7
Distribution
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Promotion 11
Packaging 13
Price
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Strategies 14
Market Dominance 14
Porter Generic Strategies 14
Product Differentiation 14
Brand Image & Personality 16
Recommendation 17
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Introduction
Marketing strategies serve as the fundamental underpinning of marketing plans designed to
reach marketing objectives. It is important that these objectives have measurable results.
Marketing strategies are partially derived from broader corporate strategies, corporate
missions, and corporate goals. They should flow from the firm's mission statement. They are
also influenced by a range of microenvironmental factors. Marketing strategies are dynamic
and interactive. They are partially planned and partially unplanned.
In our point of view Colgate management is using very good strategies regarding its product,
place price & promotion.
Colgate is very good product for the protection of teeth are very important part of the human
body so they need more protection for this Colgate is very good toothpaste and its company is
trying to improve its quality with the association of doctors.
Where as the price of Colgate is concerned. It is very much affordable for every consumer.
Anyone can buy it from anywhere and any kind of departmental store. The strategy made for
the pricing is very good. The company keeps in view the purchasing power of the customers.
Colgate is promoted on all & every kind of media. The strategy being followed by the
management is to make the people aware of its product. So, Colgate-Palmolive has promoted
it on TV and print media as well.
The distribution of Colgate is very intensive and it uses the channels which are very quick
and sale intensive. So, every one can buy it from nearest stores.
Where as the of the Colgate are concerned it provides greater protection against germs. Its
one product Colgate Gel makes the teeth well look shining & white.
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Colgate positions its product in the eyes of customers comparing with the other competitors’
products, that it is very useful for the teeth as well as for gums. Its positioning is very strong
as many customers get attracted towards it.
In a nut shell Colgate is a very profitable company. And the graph of its popularity is
increasing day by day. And it may get in the near future by introducing some new in the
product line of the toothpastes of Colgate-Palmolive.
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Product:
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, soup 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.
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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.
Toothpastes
Anti-per spirant &
Dish-wash Liquid
Detergent
Science Diet
Toothbrushes
Deodorant
Household Cleaners
Fabric Softener
Prescription Diet
Kid’s ProductsBar Soap
Scourer
Pet Food
Whitening Products
Body Wash
Bleach
Floss
Liquid Hand Soap
Automatic Dish-Wash
Oral First Aid
Shave Preps
Liquid
From the Dentist
Toiletries for Men
Hair Care
Under each product line there are is a list of products which shows the depth of ColgatePalmolive’s product line. Colgate-Palmolive is looking for expanding its products lines by
producing & introducing more and more products. In the Oral Care line they have further
categories the products
Brand
Slogan
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
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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
Colgate Fresh Energy Gel
Colgate Fresh Energy Gel has been launched in two variants: Ice Blue and Sparkling Red.
The refreshing gel of Colgate Fresh Energy fights germs and give long lasting fresh breath
energy all day long. This launch has further strengthened the Colgate equity in Pakistan and
has reaffirmed Colgate’s commitment to provide oral care products for its consumers.
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Distribution
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.
It then specifies the role of product, price and promotion. It decides that what type of
middlemen should be used either retain whole seller an agents. Colgate set the intensity of the
distribution, it uses the very intensive kind of distribution, and it means that its sale volume is
very large.
The channel of distribution which Colgate-Palmolive is using is :
Producer
Agent
Retailer
Consumer
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It shows that the services of different agents which provide Colgate-Palmolive’s product line
to different retails and then retailer further provide them to the ultimate consumers.
In Pakistan, Colgate provide its products to agents who may or may not take the title of the
products, in the big cities like Lahore, Karachi and Islamabad where there are retailers who
are running large stores, the agents provide them the products. The (retailers) may also get
directly from company outlets. But in smaller cities where the traditional retailing system,
agent took the owner’s ship of products and sell them further to the traditional retailers. The
reason behind is that the traditional retailers in the smaller areas usually make the payments
late. But the traditional retailers can collect the payments from them after sometime because
they had to pay the company. Another reason is that they have good relation with the
traditional retailers.
Colgate also use multiple distribution channels to hit different target markets. For example
for large retail store in the area where people are of upper class, they can acquire the products
directly through the company office but for other markets it has hired the services of some
agents.
Colgate as it is a product which is included in the convience products. So, it has to be
distributed on a large volume of scale, so that the consumers can get the products from the
nearly and easily available outlets or stores.
There are large number of retailers which usually get the Colgate-Palmolive’s products
directly. In these retailing departmental stores comes first. They keep breath and depth of
products assortments. These stores are settled on a large scale so they play an important part
in the increasing the volume of sale of Colgate-Palmolive products.
There are many factors which effect the choice of the distribution channels. These channels
include the type of market, geographic location and order size. Colgate may use different
channel of distribution for both business and consumer markets.
Geographic location also effect the distribution channel. For example if it is a very remote
location companies may chose to take the help of the agents where as in the developed
market it may directly deal with the retailers.
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Similarly the order size also affects the distribution channel. If the total volume of order is
big it is useful for the company to directly sell to the retailers otherwise it uses agents and
then retailers for the sale of product.
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Promotion
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 specially for the kids.
Colgate is very popular among young kids just because of its perfect promotion. ColgatePalmolive 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:
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Oral health for children.
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Toothpastes.
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Toothbrushes.
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Great Flavor.
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Games,
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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. Some times, 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. Which helps a lot to
establish the product image as well as company image in the minds of customers.
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.
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Packaging
The packaging and labels can be used by marketers to encourage potential buyers to purchase
the product. Package design has been an important and constantly evolving phenomenon for
dozens of years.
Colgate uses attractive packaging which visible it from competitor’s brand. They have used
following colours
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White: Classic color, Accurate background, Sophistication & agility of company,
Natural colour
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Red: Strength, energy, love, excitement, leadership, power, Active, exciting, good
luck, Young Generation
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Blue: Research process, Calmness and peace, Innovation, Freshness
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Yellow: Sunlight, joy, happiness, wealth (gold), hope,
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Green: Nature, spring, fertility, youth, environment, wealth, money (US), good luck,
vigor, generosity, go, grass , Green also symbolizes go because of its use in traffic
signals
Price
Colgate products are easily available on the smallest and largest retail stores. The price of its
products may slightly different.
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Strategies
The following strategies are used by Colgate
Market Dominance
In this scheme Colgate is classified as Leader on its market share or dominance in Oral Care.
Colgate is catering all segments carefully by its long product line and through massive
advertising and awareness especially in children segment.
Porter Generic Strategies
Strategic scope refers to the breadth of market penetration while strategic strength refers to
the Colgate sustainable competitive advantage by using product differentiation and market
segmentation strategies.
Product Differentiation
Colgate is the modification of a product to make it more attractive to the target market. This
involves differentiating it from competitors' products as well as its own product offering. It
has different packaging for its all product line and changing its packaging acording to product
innovation.
The differentiation of Colgate is it massive promotion in different channels, that create a
different image in the eyes of consumers.
The objective of these strategies is to develop position that potential customers will see as
unique. That’s why the target market sees the product as different from competitors' which
helps to have more flexibility in developing marketing mix.
Innovation Strategy
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Colgate through its new product development and business model innovation have Pioneer in
its category. Colgate have cutting edge on its innovation strategy.
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Brand Image & Personality
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 such kind of nature. It
is in a habit of introducing stunning products in the market and try 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.
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Recommendation
1. The company should introduce new medicated toothpaste for the people who the
problem of bleeding gums and other teeth problems. Although it has introduced the
product which can give teeth natural shine but most of the people are suffering from
gums diseases which cause bad smell.
2. Another change which they should bring is to use baking soda as an ingredient of
their product. Because it is very help full in making the teeth white.
3. They should cut down the prices of the products or at least should make a product
which is effective and easily affordable for the low in cost. People, like in Pakistan
their is a majority of people who can spent the money buying this toothpaste.
4. Colgate should introduce the sachet packs of its product, it may help in increasing the
sale of its products and it is very cheaper so people having low income can afford it.
5. On the part of their research side they should the services of dentists. So that they may
help in increasing the efficiency of the product.
6. In our point of view Colgate is a successful company but still it needs some changes
to increase its success graph.
7. The disadvantage of this repositioning is that it usually requires large advertising and
production expenditures.
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