Oral-B Toothbrush P&G

Marketing
Management
Assignment
Company Name: Procter & Gamble.
Product: Oral B Toothbrush
Submitted by
Ankita Patel
MBA- C
Roll No 27
Rohit Sarode
MBA- C
Roll No 38
Raunak Rathi
MBA- C
Roll No 35
Shikha Sharma
MBA- C
Roll No 42
Shweta Sharma
MBA- C
4/3/2014
Roll No 42
Industry Type: FMCG- An Overview

With a population of over one billion, India is one of the largest economies in the world in
terms of purchasing power and increasing consumer spending, next to China. The Indian
FMCG industry, with an estimated market size of `2 trillion, accounts for the fourth largest
sector in India. In the last decade, the FMCG sector has grown at an average of 11% a year;
in the last five years, annual growth accelerated at compounded rate of ~17.3%. The sector is
characterized by strong presence of global businesses, intense competition between organized
and unorganized players, well established distribution network and low operational cost.
Availability of key raw materials, cheaper labour costs and presence across the entire value
chain gives India a competitive advantage. During 2012, the country witnessed high inflation,
muted salary hikes and slowing economic growth, which affected the FMCG sector with
companies posting deceleration in volume growth in their quarterly results. However, the
trend seen in 2012 is likely to accelerate in 2013 as growth will come from rural dwellers that
are expected to see a rise in their disposable incomes.
Fast Facts: Indian FMCG Industry
The Indian FMCG industry represents nearly 2.5% of the countrys GDP.
The industry has tripled in size in past 10 years and has grown at ~17%CAGR in the
last 5 years driven by rising income levels, increasing urbanisation, strong rural
demand and favourable demographic trends.
The sector accounted for 1.9% of the nations total FDI inflows in April 2000September 2012. Cumulative FDI inflows into India from April 2000 to April 2013 in
the food processing sector stood at `9,000.3 crore, accounting for 0.96% of overall
FDI inflows while the soaps, cosmetics and toiletries, accounting for 0.32% of overall
FDI at `3,115.5 crore.
Food products and personal care together make up two-third of the sectors revenues.
Rural India accounts for more than 700 mn consumers or 70% of the Indian
population and accounts for 50% of the total FMCG market.
Marketing Assignment/IIMP/Oral-b Toothbrush/P&G
Page 2
With changing lifestyle and increasing consumer demand, the Indian FMCG market is
expected to cross $80 bn by 2026 in towns with population of up to 10 lakh.
India's labor cost is amongst the lowest in the world, after China & Indonesia, giving
it a competitive advantage over other countries.
Unilever Plc's $5.4 billion bid for a 23% stake in Hindustan Unilever is the largest
Asia Pacific cross border inbound merger and acquisition (M&A) deal so far in FY14
and is the fifth largest India Inbound M&A transaction on record till date.
Excise duty on cigarette has been increased in the Union Budget for 2013-14, which
would hit major industrial conglomerates like ITC, VST Industries in the short term.
Opportunities in FMCG Sector:
Untapped rural market
India is one of the worlds biggest producers of a number of FMCG products but the
countrys exports account for a very small proportion of the overall output.
Food-processing Industry: With 200 mn people expected to shift to processed and

packaged food, India needs around USD 30 bn of investment in the food processing
industry.
Page 3
Key Concerns for the sector:
High inflation
Rising cost of inputs
Emergence of private labels
Counterfeits and pass-offs
Rupee depreciation may hit margins of companies
Infrastructure bottlenecks
Page 4
Company information-Procter&Gamble
Procter & Gamble Co. also known as P&G, is an
American multinational consumer
goods company
headquartered in downtown Cincinnati, Ohio, United

States, founded by William Procter and James Gamble,
both from the United Kingdom. Its products include pet
foods, cleaning agents, and personal care products. Prior to the sale of Pringles to the Kellogg
Company, its product line included foods and beverages. In 2012, P&G recorded $83.68
billion in sales. P&G remains a highly selective employer as less than 1% of all applicants are
hired annually
History- William Procter, a candle maker, and James Gamble, a soap maker, both born in
the United Kingdom of Great Britain and Ireland, emigrated from England and Ireland
respectively. They settled in Cincinnati initially and met when they married sisters, Olivia
and Elizabeth Norris. Alexander Norris, their father-in-law, called a meeting in which he
persuaded his new sons-in-law to become business partners. On October 31, 1837, as a result
of the suggestion, Procter & Gamble was created.
Page 5
New products launched by company

recently
Oral-B Smart Series

Added 13 Mar 2014
The new Oral-B Smart Series brings smart phone technology to oral care with the worlds
first-ever electric toothbrush with Bluetooth.
Tide Simply Clean & Fresh

Added 05 Mar 2014
Tide Simply Clean & Fresh is a new liquid detergent from Tide formulated to provide a great
clean at a good price.
Page 6
Tide Plus Collection

Added 05 Mar 2014
The New Tide + collection dials up the benefits of existing Tide variants so that consumers
can experience even more of what they love from Tide.
Tide Oxi Multi-Purpose Stain Remover

Added 05 Mar 2014
Tide Oxi Multi-Purpose Stain Remover is the first-ever Tide product designed to be used
inside and outside the wash.
Gain flings!
Page 7
Added 05 Mar 2014

Gain flings! gives consumers an exceptional laundry experience with the best Gain ever.
h&s Fresh Scent Technology

Added 25 Feb 2014
Head & Shoulders with new Fresh Scent Technology is a breakthrough anti-dandruff
shampoo that provides scalp relief and beautiful, flake-free hair with a great scent.
Secret Clinical Strength Collection

Added 14 Feb 2014
The new Secret Clinical Strength Collection provides women with the first and only clinical
strength deodorant collection available with Clear Gel and Invisible Solid.
Page 8
Vidal Sassoon Pro Series Color Finity Collection

Added 14 Feb 2014
Vidal Sassoon Pro Series Color Finity Collection provides a full regimen of products that
help lock in long-lasting vibrant color, prevent shade shifting, and maintain the precision of
vibrant, dimensional hair color.
Pantene Pro-V Anti-Oxidant Technology

Added 14 Feb 2014
Pantene Pro-V Anti-Oxidant Technology is Pantenes first clinically tested solution to
oxidative damage.
Page 9
Old Spice Hair Care & Styling

Added 31 Jan 2014
The manliest grooming brand on the planet now has guys covered from head to toe, literally,
with the introduction of the Old Spice Hair Care & Styling product lineup.
Wella ME+
Added 31 Oct 2013
ME+ is the first hair dye technology to deliver full permanent color performance, while
allowing hair color formulations with reduced risk of developing allergy.
Page 10
Gucci Made to Measure

Added 31 Oct 2013
Gucci Made to Measure is a new impeccably sophisticated and supremely masculine
fragrance for the man who demands the very best.
Product line information Oral B

(Toothbrush)
New and Featured
Toothpaste
Our
Search through the line
dental
development
expert
team
is
of Crest + Oral-B Pro-
always working on new
Health
Stages
and innovative products
toothpastes,
designed
to enhance your oral care
specifically
experience. Check out
special needs for babies
the latest advancements
and kids ages 2-7 Years.
and highlights in the

world
of
for
the
Oral-B
products.
Rechargeable Electric
Floss
Toothbrushes
Complete oral hygiene
Remove surface stains
involves
more
than
and plaque while getting
brushing
teeth.
Learn
Page 11
the
professional-level
how Oral-B and Oral-
clean that comes from
B Glide
brushing with an Oral-B
products are designed to
rechargeable
help keep your mouth
electric
toothbrush.
dental
floss
healthy by reaching the
spaces
your
brush
for
Babies
cannot.
Manual Toothbrushes:
Products
From brushes designed
and Kids: Kids change a
for bridges, crowns or
lot
during
their
braces to brushes with
developmental
years.
angled
Our
bristles
and
line
of
special
brushes that pulse, these
products for babies and
manual brushes will help
kids is designed to meet
you remove plaque and
their distinct oral care
achieve fresh clean teeth.
needs throughout every
stage of growth.
Replacement
Brush
Specialty
Dental
Heads
Products
Every person brushes a
Because
little differently. That's
procedures
why we offer several
oral hygiene difficult, we
replacement brush heads
offer products that make
for your battery-powered
cleaning
or rechargeable electric
dental and orthodontic
toothbrush. Whether you
work effective and easy.
want to try something
Explore products to help
certain
can
teeth
make
around
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new or you're looking
you floss with braces,
for your tried-and-true,
clean dentures and more.
find it here.
Product information
Oral B Manual Toothbrush
Various Products are
Oral B Complete Scope Scented Toothbrush
Oral B Pro-Health Clinical Pro Flex Toothbrush
Oral B Pro Health Toothbrush
Oral B Pro Health Vitalizer Toothbrush
Oral B Pro Health Gental Clean Toothbrush
Oral B Pulsar Pro Health Battery Powered Toothbrush
Oral B White Advanced Vivid Toothbrush
Oral B Pulsar Toothbrush
Oral B Advantage Complete Whole Mouth Clean Toothbrush
Oral B Advantage 3D White Vivid Toothbrush
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Oral B Complete Deep Clean Toothbrush
Oral B Indicator Counter Clean Toothbrush
Oral B Cavity Defense Toothbrush
Oral B Pro Health All in one Toothbrush
Manual Toothbrushes helps remove plaque and achieves fresh clean teeth. These
brushes are mainly designed for bridges, crowns or braces to brushes with angled
bristles. Various features of this type of product are
Enhances brushing experience through release of fresh Scope scent from the handle
Tongue and Cheek Cleaner helps freshen breath by removing odour causing bacteria
from tongue and cheeks
Removes up to 93% of plaque in hard-to-reach areas
Removes up to 34% more plaque along the gum line
Works gently on enamel and gums
Reduces gingivitis to improve gum health
Removal of surface stains with a gentle pulsing action
Deep penetration between teeth
Sweeping away of food and plaque from the tooth surface
Adjustment to the contours of your teeth
Moderation of the amount of pressure applied to your teeth and gums
Helps you track the wear on your brush
Accepted by the American Dental Association
Provides comfort and control
Fits in most toothbrush holders
Indicator bristles tell you when to replace your brush
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Oral B Rechargeable Electric Toothbrush-
Various Products in this category are
Oral B Black 7000 Electric Toothbrush with Smart Guide
Oral B Deep Sweep 1000 Electric Toothbrush
Oral B Deep Sweep 5000 Electric Toothbrush with Wireless Smart guide
Oral B Pro Health For Me Vitality Electric toothbrush
Oral B Pulsonic Sonic Toothbrush
Oral B Professional Care Smart Series 5000 with SmartGuide Electric Toothbrush
Oral B Professional Care Smart Series 4000
Oral B Professional Care 3000
Oral B Vitality Floss Action Electric Toothbrush
Oral B Dual Clean Vitality Electric Toothbrush
Oral B Vitality Pro White Electric Toothbrush
Oral B Vitality Sensitive Electric Toothbrush
Oral B Cross Action Power Max Whitening Electric Toothbrush
Rechargeable Electric Toothbrushes removes surface stains while getting the plaque removal
benefits. Various features for this product includes
Six High-Performance Brushing Modes: Daily Clean, Deep Clean, Whitening,

Massage, Sensitive and Tongue Cleaning.
Sophisticated pressure-sensor technology alerts you if youre brushing too hard and
automatically decelerates the pulsation and oscillation speeds of the brush head.
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Wireless SmartGuide gives you real-time information about brushing modes, times
and areas.
Specially designed seals and gaskets keep the Oral-B Black water tolerant to 500
millibars of pressure.
Made of different high-tech materials like silicon, the black travel case protects all of
its vital technology.
Designed by the engineers at Braun, it removes up to 100% more plaque than a

regular manual brush.
Superior plaque removal plus helps prevent and reverse gingivitis
40,000 pulsations and 8,800 sweeps per minute
Electric toothbrush has a pressure sensor that slows the brush speed when you're
brushing too hard
Naturally whitens teeth by gently removing stains
Effectively removes plaque
Helps you brush in two minutes
Oral B Battery Powered Toothbrushes
Various products in this category are
Oral B Complete Action Power Toothbrush Deep Clean
Oral B Complete Action Power Toothbrush with Anti-Microbial Bristle Protection
Oral B Pro Health Dual Clean Battery Powered Toothbrush
Oral B Pro Health Precision Clean Battery Powered Toothbrush
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Oral B Pro Health Stages My Friends Tigger And Pooh Power Toothbrush
Oral B Pro Health Stages Disney Princess Power Toothbrush
Oral B Battery Powered Toothbrushes helps remove plaque, stimulate gums and power clean.
Various features are as follows
Offers outstanding comfort and control
Rotating Power Head loosens and whisks away plaque from surfaces, gum line and
back teeth
Criss Cross bristles reach deep between teeth to lift out and sweep away plaque.
Cleans while stimulating gums
Significantly improves gum health
Significantly cleaner teeth than a regular manual toothbrush
Improved technology delivers more consistent battery performance
Reaches between teeth
Gently cleans
Makes brushing fun with Disney My Friends Tigger and Pooh characters
Makes brushing fun with Disney Princess characters
Oral-B Replacement Electric Toothbrush Heads
Replacement Brush Heads ensures wide variety that one can find perfect brush head
according to needs. Various Products are
Oral B Deep Sweep
Oral B Power tip Replacement Electric Toothbrush Head
Oral B Floss Action Replacement Electric Toothbrush Head
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Oral B Pro White Replacement Electric Toothbrush Head
Oral B Precision Clean Replacement Electric Toothbrush Head
Oral B Dual Clean Replacement Electric Toothbrush Head
Oral B Sensitive Replacement Electric Toothbrush Head
Oral B Ortho Replacement Electric Toothbrush Head
Oral B Braces Care Essential Pack
Oral B Pulsonic Replacement Electric Toothbrush Head
Oral B Cross Action Power Medium Replacement Electric Toothbrush Head
Oral B Complete Action deep Clean Refill
Oral B Complete Action Refill with Anti-Microbial Bristle Protection
Advantages for such type of brushes are
Brush head features 3 cleaning zones to keep your teeth and gums healthy:
Moving power tip for hard-to-reach back teeth
Shorter, stationary bristles for thorough surface cleaning
Longer, sweeping bristles for deep between teeth
Superior plaque removal vs. a regular manual toothbrush helps prevent and reverse
gingivitis
The Oral-B Cross-Action Power Medium replacement power toothbrush head features
multi-angled Criss-Cross bristles that reach between teeth to lift out and sweep away
plaque.
Oral-B Braces Care Essentials Pack is a set of two replacement electric toothbrush
heads that provides effective and convenient cleaning and care of dental braces. It's a
braces toothbrush option for those interested in power brushing.
Cleans deep between teeth as well as around braces and orthodontic appliances
Cleans and gently removes plaque from teeth with braces.
Oral-B Dual Clean replacement electric toothbrush head features two moving brush
heads in one, so it provides twice the cleaning action, removing more plaque than a
regular manual brush.
Provides twice the cleaning action
Delivers thorough cleaning, freshening, and gum care -all in one brush head
Penetrates hard-to-reach areas.
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Competitors and market share

P&G had showcased the Oral-B Pro-Health toothpaste for India in a Goldman Sachs
Consumer Product Symposium in May and said the launch would be done in the
second quarter this year.
According to analysts, it makes more sense for P&G to launch the new toothpaste
under the Oral-B brand than under its flagship Crest brand since Oral-B, with close to
30% market share in the toothbrush segment, has a strong brand recall and will thus
have a better consumer connect.
P&Gs entry is expected to heat up competition in the Rs 6,000 crore oral care
market. Thats bad news for competitors such as Colgate, HUL and Dabur.
P&Gs entry will definitely lead to increased ad spend by other players as they try to
protect their margins. It will result in market share losses for a few players. The jury is
out on this one even as P&Gs Brazil experience suggests that it gained the maximum
market share from smaller, unorganised players and Unilever. Colgate did well to
protect its market share, though it felt margin pressure as well.
Colgate, which has a strong presence across all segments and price points, will be in
a better position to counter competition from the new entrant. However, Margins for
Colgate (among the highest in the consumer space) could come under pressure as its
pricing power will moderate due to P&Gs foray into the Indian toothpaste space.
P&G is believed to have started test-marketing the products in super markets since
May. The launch is also expected to be in a phased manner, starting with bigger states
like Maharashtra. Globally, the Oral-B Pro-Health brand toothpaste is positioned as
an all-in-one toothpaste that covers several aspects of oral care, including sensitivity
and whitening.
Page 19
Oral-B, the consumer products division of The Gillette Company (acquired by

Procter & Gamble in 2005) that produces toothbrushes consists primarily of a
manual toothbrush that retails for $3 and an electric rechargeable power
toothbrush that retails for $50.
One year ago, a major competitor Church & Dwight Co. Introduced a batterypowered electric spinbrush under the Arm & Hammer brand that retails for $5 and
now controls 1% of the worldwide toothbrush market. The client Oral-B currently
lacks a comparable offering.
One year ago, the worldwide market was made up of 80% manual and 20%
rechargeable toothbrushes. The spinbrushs 1% market share gain has come mostly at
the expense of rechargeable toothbrush sales.
Manual toothbrush:
The client Oral-Bs net profit margin on sales of manual toothbrushes is 66%.
The average manual toothbrush user goes through 4 toothbrushes per year.
On average, 2 toothbrushes per year are given to manual toothbrush users free of
charge by their dentists.
Rechargeable toothbrush:
Rechargeable toothbrushes are sold as two separate components: a base that retails
for $50 (with a 60% net profit margin) and an associated head that retails for $5
(with a 90% net profit margin).
1 base and 1 head are needed at all times for the device to work; no other components
are compatible.
The average base last 10 years.
The average rechargeable toothbrush user goes through 2 heads per year and
purchases bases as needed.
Spinbrush:
No specific cost data is known for the competitors spinbrush offering.
Page 20
Client product development believes it could produce a spinbrush knockoff at a cost

of $3 per brush.
Colgate-Palmolive (India), the maker of flagship brand Colgate toothpaste, is losing ground
in the toothbrush segment in value terms to its US-based rival Procter & Gamble's (P&G)
Oral-B. The market share of Colgate toothbrush has declined by 300 basis points (100 basis
points (bps) is equal 1 percent) and 60 bps in the past 24 and 12 months, respectively to
P&G's Oral-B, according to data from market research firm Nielsen. Oral-B's value share has
gone up by nine percent in the past two years and three percent in the past 12 months and
now stands at 27.7 percent.
The oral care business including brushes and toothpastes are part of P&G's subsidiary,
Gillette. For the December 2013 quarter, oral care contributed nearly a quarter of Gillette's
revenues of Rs 427 crore, but this was largely led by brushes than toothpastes. Oral-B is a
strong number two in the brushing segment, with an estimated market share of 28 per cent.
Colgate has a volume market share of 41.5 per cent in the Rs 1,000-crore brushing category.
Like toothpastes, Colgate has upped the ante in toothbrushes too with launches such as
SlimSoft in recent months. But P&G has withstood this pressure, holding its ground against
the onslaught of Colgate. In toothpastes that hasn't been the case.
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International markets
Procter & Gamble (P&G) plans to substantially increase its oral care market share following
the launch of its Oral-B toothbrushes into the Kenya and East African regional market.
The toothbrushes, which are part of the companys oral care range that comprises of
toothpastes and dental floss, is part of P&Gs onslaught for a bigger stake in the fast growing
oral care market coming against the backdrop of a highly health conscience consumer.
P&G is optimistic that following the launch of its Oral B toothbrushes the brand should see
share growth as it plans to increase promotional investments to grab more market share.
The Oral-B brand is a worldwide leader in the over $5 billion brushing market. Part of the
P&G Company since 2006, the Oral-B brand includes manual and power toothbrushes for
children and adults, oral irrigators, oral care centres and interdental products, such as dental
floss. Oral-B toothbrushes are used by more dentists than any other brand worldwide.
With 30% of Kenyans using toothbrushes, Oral B plans to invest significant resources in
consistently increasing its brand equity among consumers and oral health care professionals.
It also intends to utilize its wide distribution presence in Africa to make huge promotional
investments to attract customers.
On an average, the price of a toothbrush for an adult costs anywhere between KES 50 KES
350 depending on the quality. The convenience of use of the toothbrush, ability to reach
difficult areas of the mouth, design and aesthetics are some of the factors that consumer
consider when selecting a toothbrush.
Unlike ordinary toothbrushes with straight bristles, Oral-B Pro Expert Complete 7 toothbrush
has bristles designed at a perfect angle to flex and attack plaque for a healthy mouth. The
brushes key features:
Criss Cross Bristles angles for through cleaning
Tongue Cleaner for a fresher mouth
Ergonomic Handle for visual appeal, firmer grip and extra control during brushing
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It is estimated that only five per cent of Kenyans have access to quality dental health care
because of lack of a proper health financing system which prevents most low income earners
from accessing dentists.
For oral health campaigns should consider addressing consumers such as school children who
must have good daily oral hygiene they are not likely to need more complex and expensive
dental treatment in the future.
According to a study title Oral health status and oral healthcare seeking behaviour of a rural
community in Kenya, there is widespread poor oral health and poor oral hygiene practices
among rural communities which imply there was a high demand for oral health care. The
study recommended public awareness of oral health, in particularly preventive oral health
measures with the aim of reducing the high levels of poor oral health status.
Due to an increased focus on core developed markets over faster growing developing
economies, P&G has conceded its share of the oral care industry to competitors such as
Colgate-Palmolive and Unilever in the past two fiscal years. However, the company has now
shifted its focus towards global expansion of the oral care business, and has entered 40
countries in the last four years. It has also hired singer and two time Grammy award winner,
Shakira, to promote its Crest 3D White and Oral-B brands around the world through print,
TV and online advertising.
Growing awareness about oral hygiene, more advertising by big players as well as population
and income growth are driving the robust expansion of the oral care industry in emerging
markets. To leverage the trend, P&G is expanding its reach in these markets by launching
new products. It launched the Crest 3D White toothpaste with Whitestrips in Brazil in Q2
2013, which resulted in 50% growth in oral care shipments to the country. Oral-Bs share of
the Brazilian toothpaste market also increased to 9% during the quarter. Demand for oral care
products in the country is expected to continue rising in the foreseeable future. The oral care
market in Brazil will grow at a CAGR of 8% during 20122017.
P&G also recently forayed into the Indian toothpaste market with the launch of Oral-B ProHealth. The market size of toothpastes alone is estimated to be around $1 billion in the
country. Although Colgate-Palmolive dominates the oral hygiene market in India with a share
of over 50%, there is immense potential for P&G to build a substantial presence as the market
is expected to grow at a CAGR of 14% during 20112015.
Page 23
Market Segmentation
Geographic: Oral-B satisfies geographic market distribution as it is available in North

America, Europe, South America, Middle East and Asia Pacific. For the past 50 years, OralB has been producing quality products that cater to the people and dental professionals, all
over the world.
Demographic: Oral-B is segmented demographically as it has products for children;
moreover, the kids brushes are also divided into four groups, depending upon the age from
four months of age to children who are above eight years of age. There are cartoon characters
in brushes to attract little children. Apart from brushes, kids toothpaste is also available.
Along with children, Oral-B offers various brushes.
Psychographic:
The products of Oral-B can also be divided on the basis of psychographic
market segment. People can choose Oral-B toothbrushes according to their individual taste,
as variety of brushes with variable prices are in offer. They can also choose brushes
according to their colour fascination. Apart from manual toothbrushes, power products are
also available that comes with rotating oscillation that is effective in reducing gingivitis and
oral plaque. But, they are a bit expensive than manual brushes.
Behaviouristic: Oral-B products can also be segmented as per behavioural market
segmentation. Apart from numerous benefits that the products serve, they have brushes for
regular use and occasional use.
Target Audience
The target market for the Oral-B Advantage would be teenagers to adults. Oral-B targets
consumers who are everyday people concerned about their oral hygiene and prefer to use a
manual tooth brush. Oral-B helps lure their potential consumers in on the facts. The facts are
their brush is gentle on teeth and gums, reduces plaque, and helps remove surface stains.
Another fact is their manual brush has been proven to reduce gingivitis in four weeks, has a
freshening tongue cleaner, and has unique bristles which indicate when the brush needs to be
Page 24
replaced. The fact the Advantage has a power tip with extra long bristles which cradle teeth
and aid in reaching the hard to reach places in the mouth aids in appeal to the target market.
The target market also likes the fact the handle can come in multiple colors to allow for a
display of personality but it also is equipped with a non-slip grip. The Advantage appeals to
teens and adults by showing personality through its sleek modern design while still getting
the job done. The brush acts as an all in one oral health package. Oral-B presents the
product in a way that encourages consumers to take the leap and trust them with your oral
care. Their slogan also helps with this: Trust the brush more dentists use. Since Oral-B
targets both teens and adults, they use a combined target market approach to appeal to both
consumer audiences concerns.
Positioning:
Oral-B is positioned as Dentist's Choice of Toothbrush. The brand uses the tagline " The
brand more dentists use themselves worldwide". In India too, the brand uses the same tagline.
Unique Selling Proposition of Oral B is Global leader in toothbrush market. The brand is
currently on a hyper active mode in India with lot of promotions in the visual media. Oral-B
was positioned as a premium brand. Oral-B is a marketer's icon. A brand which has brought
so much value into a dull product category. Earlier, the choice available for a consumer was
whether the bristles are soft medium or hard. Now the choice is numerous. The introduction
of power brushes (battery powered) created a new premium segment of toothbrushes. The
shape and the size of the bristles and toothbrushes also have changed.
From the typical rectangular head to round shaped head. From straight bristles to Zigzag .
Many things are happening to the good old toothbrushes. The interesting fact is that these
innovations have created a change in them in the set of consumers. Earlier consumers
believed that Toothpaste is the central product in the oral care/hygiene. Toothbrush's role is
limited in the oral care. The innovations from these players have prompted the customers to
think that toothbrush is also an important product that needs some serious thinking before
purchase. In India, Oral-B's strategy has been in line with the Gillette strategy of increasing
the value of the market by providing value to the consumers. The company has adopted a
two-pronged approach for marketing its two brands: Prudent and Oral-B. While the former
has addressed the volumes market, the latter has been focussed on value.
Page 25
Pricing Strategy
Pricing for the Oral-B Advantage was set by its target markets income levels and competitors
price range. People are willing to pay for a good product and because of great over all oral
care, the Advantage provides, consumers will pay extra for a brush that is worth the money.
The reputation of the product and trusted brand in buyers eyes also help to obtain a sale.
The product is priced at Rs. 30. Company officials attributed this pricing to superior design
and a technological breakthrough, saying Advantage comes with four US patents. Indian
patents have also been applied for.` `The brand is expensive on the face of it, but consumers
expect certain quality associations with the Oral-B brand,'' Mr. Pramanik said. In foreign
countries the company being a premium brand starts with a range of Rs. 300 till 1200. The
company does not compromise with the quality standards so it has the products priced so.
Intensive RnD is done before the product is finally launched in the market.
Product Mix
Width:
The width of a company's product mix pertains to the number of product lines that a company
sells. For example, if a company has two product lines, its product mix width is two. Small
and upstart businesses will usually not have a wide product mix. Product Depth is the number
of items within the product line. This combination is often referred to as Product/Service
Mix. Oral B has also introduced product brush for Babies & kids, manual toothbrush, floss,
toothpaste.
Length:
Product mix length pertains to the number of total products or items in a company's product
mix. Product length consists of different product that is related to each other and cant be
used solely. Eg- Oral B toothbrush, toothpaste & dental floss.
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Product Depth:
Depth of a product mix pertains to the total number of variations for each product. Variations
can include size, flavour and any other distinguishing characteristic. For example, if a
company sells three sizes and two flavours of toothpaste, that particular brand of toothpaste
has a depth of six. Just like length, companies sometimes report the average depth of their
product lines; or the depth of a specific product line.
Oral B offers toothbrush which are rechargeable, toothbrushes whose head can be replaced,
battery powered toothbrushes, manual toothbrush.
Consistency:
Product mix consistency pertains to how closely related product lines are to one another--in
terms of use, production and distribution. A company's product mix may be consistent in
distribution but vastly different in use.
Product life cycle
Product life cycle is a business analysis that attempts to identify a set of common stages in
the life of commercial products. In other words the 'Product Life cycle' PLC is used to map
the lifespan of the product such as the stages through which a product goes during its lifespan
Stages:
Development
In the development stage, the product goes through testing and a prototype is developed. This
is after considerable market research to identify consumer needs and wants. If the product is
deemed commercially viable, then the product may be put into mass production and
launched.
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It is important to remember at this stage expenditure for the company is high. No income is
being received as there are zero sales.
Introduction:
This is the stage in which a new product is first made available in the market. In the
introduction stage, customers are few, competition is less, sales are low, risk is high and
profits are low or nil. There are heavy distribution and promotion expenses. This stage is full
of risks and uncertainties. prices are also high because(1) costs are high due to low level of
output.(2) technological problems in production may not have been solved, and(3) high profit
margins are required to support the heavy promotion expenditure.
Growth:
If the product is popular with consumers, then sales will start to rise. It may be a rapid growth
or a slower one. Rapid growths that fall away just as quick are called 'Fads'.
Advertising is often still heavy at this point.
Maturity:
Once the product is well established and consumers are satisfied, then the product is widely
accepted and growth slows down. Before long, however, a successful product in this phase
will come under pressure from competitors. The producer will have to start spending again in
order to defend the product's market position or introduce extension strategies.
It may only be in the Maturity stage where companies will receive a return on their original
expenditure and investment due to potentially high start up and development costs.
Saturation:
At the very end of the Maturity stage, and where there is no further growth possible,
saturation occurs. This is also referred to as Saturation Point.
This is when little or no advertising is needed and sales are leveling off.
Decline:
Sooner or later sales fall due to changes in consumer tastes or new choices available from
competitor's products.
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Again, extension strategies may be open to the company to keep the product alive. The
product can be declined if there is no proper growth and the later stage which has been
discussed above.
Product-lifecycle of oral b toothbrush:

In 1950 the first Oral-B toothbrush was born. Since then, Oral-B has developed oral hygiene
products. Procter and Gamble own Oral-B and uses individual branding for Oral-B. Oral-B
is Procter and Gambles family name for their toothbrush lines. The Oral-B Advantage is the
brand and trademark name of the product. Even though the Advantage is a newer Oral-B
product, the age and success of the company and its products, set the life cycle stage of the
toothbrush as mature. The redesign of this product helps keep the toothbrush in the mature
cycle and out of the declining stage. The Advantage can be classified into three good
categories. The convenience good category is an option because people usually spend little
time or effort looking for a toothbrush and it doesnt matter where or when they make the
purchase as long as it is handy for them. It is an everyday staple that needs to be replaced. It
could be seen as a specialty good because people may specifically seek the product and or
brand searching specifically for it. The third classification could be a homogeneous good
because it has similar competitors and the customer may not even think about the product
they just want a toothbrush.
Page 29
Branding and Packaging
Like many other products, the Oral-B Advantage uses mass sales.
There are ads in
magazines, on the internet, on television, and coupons in newspapers. These ads show the
versatility and effectiveness of the brush. They emphasize on the sleek design and the ability
to pick the colour of your choice. They have people showing the visual effects of how these
toothbrushes have helped their oral health. They have people give accounts of how clean
their mouth feels. The Oral-B slogan trust the brush more dentists use litters ads and
encourages consumers to be part of the Oral-B experience. All of this seems attractive to
retailers and helps Oral-B get on their shelves. Then Oral-B representatives can do some face
to face personal selling to further promote the product. The company uses frequent
promotions, plus occasional BOGOs (buy-one-get-one-free deals) to maintain premium shelf
space in retail stores. Because their product quality is so high, its almost impossible to go
back to a straight-bristle brush after using a Cross Action, so the promo accomplishes its goal
of winning a new loyal customer. Even if you dont share my delight in diagonal bristles, its
hard not be impressed with Oral-Bs ability to brush away the competition and earn a mint in
profits. Do you have an example of a brand you couldnt live without?
1984 : Oral-B revolutionized Kid's toothbrush market with its Star Wars range which had the
characters in the toothbrush
1984 : The first Power Toothbrush launched under the Braun brand.
1987 : Oral-B Ultra plus was launched which had round head
1991 : Oral-B Indicator with fading bristles.
For the entire range of innovations, visit the brand website at : Oralb.com
Page 30
2007 saw another mind-blowing futuristic innovation from this brand- Oral-B Triumph with
Smart Guide Technology. The toothpaste now comes with a wireless digital monitor which
will guide the consumer to use the toothbrush in the ideal manner. The wireless digital
monitor have a timer which guide the customer to brush for 2 minutes and also indicates the
various motions and even indicates the replacement of the toothbrush head.
These innovations have made this product category a highly segmented and a high
involvement category. Earlier, the choice available for a consumer was whether the bristles
are soft medium or hard. Now the choice is numerous.
Packaging
What is packaging?
Packaging comprises of all activities of designing and producing the container
for the product. This container may include up to three levels of material:
Primary Package: Tetra pack, bottle, sachet, etc
Secondary Package: cardboard box, etc
Shipping Package: Cartons, etc
WHY PACKAGING?
Packaging has been getting increasing focus as a marketing tool for the following
reasons:
They promote Company and /or Brand Image
It is an opportunity to incorporate innovative features which can bring added convenience to
the consumer and in turn higher profits to the producer.
With rising incomes, consumers increasingly are willing to pay a little more for the
appearance and prestige of well designed packages.
Page 31
Procter & Gamble has eliminated the use of polyvinyl chloride (PVC) in packaging for its
Oral-B manual toothbrushes. They are more into environmental free packaging.
The packages are now made with Octal Petrochemicals' proprietary DPET (direct
polyethylene terephthalate [PET]) sheet.
Distribution System of Oral B

Toothbrush
The distribution network of oral b is very robust. They have P&Gs distribution network in
addition to Gillette Indias existing one. The distribution network is a combination of own
network and that of a franchisee. As of now, Gillette India has the same distributors in the 20
cities that P&G operates with. The distribution network follows a hub and spoke model. The
hubs are the 20 cities. It is under these stores that all the products of oral b are sold. Apart
from this the local retail shops and organized retail shops also sell their products. The spokes
are the various Tier 2 and Tier 3 cities and towns around the major hub. These cities are
managed by the exclusive distributors in those cities. Every city has only one franchisee
distributor. These tier 2 and 3 cities (spokes) thus serve a feeder market to the hubs. Each
franchisee distributor has his own set of employees working for him. The distributor also
manages his own fleet costs to supply to the retailers. There are no wholesalers. It is in this
form.
The sales representatives go with the drivers to the various Retailers under their geographic
span and take orders every week. The credit period offered is one week. So, for every week
the order is taken and supplied, the amounts due for the previous week would be collected.
The two sales managers have split the city into two parts for their span of control. They are in
charge of the big retailers, super markets etc.
Page 32
Promotional Mix
Oral-B is a highly promotional company in the industrial market. Oral-B uses the
following promotional techniques: product samples for dentists as well as bundling products,
focus on the buyer, trade show participation, infomercials on television, licensing agreement
with Disney, web site promotion and on site promotion of products Product samples for
dentists are what all the dentist's interviewed commented on as a favourable gesture by the
Oral-B company. Whenever a dentist was curious or interested in a new product's use, a
simple call to their supplier or Oral-B rep was made and free product samples were
immediately shipped to their office. Many times, Oral-B would take it upon themselves to
ship free samples of new products to dentists who were on their buying list. This strategy
promotes strong relationships, strong brand loyalty, as well as customer satisfaction.
Often, Oral-B will bundle products together to make them more attractive to dentists in the
purchasing process. A popular selling product is often bundled with a newer or little known
product to increase the awareness of the latter which could lead to future sales. This
technique also provides the buying dentist with the vision of getting something for free for
buying a commodity type product.
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Oral-B focuses strongly on the buyer during the buying process. Oral-B take a broader view
of supply in the value creation process, which most dentists favour. Oral-B combines
excellent sourcing capabilities and efficient operations which attract their buyers. Positioning
of their products is well used to secure a valued categorization in the mind of a buyer. Some
buyers value economy utmost, some performance, some order process efficiency, and others
after sale service. Oral-B makes sure it focuses on each individual buyer needs, to form a
positive relationship not only in the selling process, but for future relations.
Oral-B is an active participant at dental industry trade shows all over the world. Oral-B most
often has the largest exhibit at trade shows it attends with on site demonstration of its
products, as well as promotional price reductions, and free samples. Oral-B states the main
goals of attendance at trade shows is to strengthen customer relationships, and build further
relationships with trade press (such as major industry magazines like Dentistry Today, and
Oral Health).
Oral-B recently has taken part in another booming form of sales promotion, infomercials.
Oral-B decided to integrate infomercials into its marketing mix because the product could not
be adequately demonstrated in a 30-second or 60-second spot. The infomercial format,
however, provided time to thoroughly demonstrate the product benefits. Oral-B increased its
market share significantly and overtook its competitors to gain the leadership position within
most of their product categories. The infomercials were also very effective in helping expand
the categories. Oral-B wanted advertising that is breakthrough, state-of-the art, and unlike
anything in the industry categories.
In 2001, Oral-B entered into an exclusive licensing agreement with The Disney Company to
market a wide range of oral care products for children featuring beloved Disney characters
including Mickey Mouse, Winnie the Pooh, Buzz Lightyear and Disney Princesses. This
strategy targeted the most popular entertainment characters of children, to appear on their
toothbrushes to not only promote use by children, but to promote dentists to order these
brushes for their many children patients.
With the emergence of the Internet (World Wide Web), Oral-B puts to use their very
informative and interactive web site to educate their potential customers. The website is
loaded with information for any type of customer which features: many articles, product
demonstrations, product information, contact information, lessons on dental care, frequently
Page 34
asked questions, and company information. The Internet offers another form of exposure, and
company/product education.
Finally, a type of promotional strategy that has been around forever is on site promotion. This
is when Oral-B sends a sales representative to a dentists office and tries to sell products the
company is offering at the time. The rep will often provide demonstrations, one time only
sales discounts, and assured customer service and warranty of the products. The dentist
would be able to ask any questions pertaining to the products usefulness and co-ordinate an
onsite purchase right then and there. Another form of this type of promotion occurs when the
sales rep sends gifts to the dentist to either butter them up for a future purchase, or a way of
saying thank you for past business and looking forward to future dealings. Such gifts include
CD's, books, clothing, even as high as VCR's, DVD players, and individual golf clubs and
golf ball packs!
Conclusion
For more than 50 years Oral B had produced the highest quality dental hygiene products for
the families and dental professional worldwide. Trust the brand more dentist use themselves
worldwide. Oral B is a special brand. The brand is global leader in the toothbrush market.
Oral B is a special brand since it bought so many innovations in a low involvement product
like toothbrush. In fact Oral B is a brand that made toothbrush is high involvement
Product category.
In a strong and well established partnership with dental professional, Oral B develops and
markets a broad range of superior oral care products worldwide. Led by toothbrush, the Oral
B line also includes interdental products, speciality toothpastes, moth rinses, and professional
dental products.
Oral B strategy for growth relies on a combination of new product development and
geographic expansion. The oral care category has experiment growth due to new product
development of both manual and power assisted toothbrushes. Oral B holds about 20% of the
worldwide market for manual toothbrushes and a nearly 70% market share for power assisted
Page 35
toothbrushes. Geographic expansion continues with the establishment of sales organisation in

emerging economies, and the opening of a toothbrush manufacturing in Vietnam. These
strategies are supported by strong and promotion campaigns in an effort to sustain Oral B
worldwide growth.
Page 36

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Marketing

Industry Type: FMCG- An Overview

Fast Facts: Indian FMCG Industry

Marketing Assignment/IIMP/Oral-b Toothbrush/P&G

Opportunities in FMCG Sector:

Untapped rural market

Food-processing Industry: With 200 mn people expected to shift to processed and

Marketing Assignment/IIMP/Oral-b Toothbrush/P&G

Key Concerns for the sector:

Rising cost of inputs

Emergence of private labels

Counterfeits and pass-offs

Rupee depreciation may hit margins of companies

Marketing Assignment/IIMP/Oral-b Toothbrush/P&G

headquartered in downtown Cincinnati, Ohio, United

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New products launched by company

Oral-B Smart Series

Tide Simply Clean & Fresh

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Tide Plus Collection

Tide Oxi Multi-Purpose Stain Remover

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Added 05 Mar 2014

h&s Fresh Scent Technology

Secret Clinical Strength Collection

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Vidal Sassoon Pro Series Color Finity Collection

Pantene Pro-V Anti-Oxidant Technology

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