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Marketin

g
Strategy
Toothpas
te (Oral
care
industry)
Team members:

Celesteena R (F14012)
Delin Jeni (F14016)
Divrina Vyas (F14018)
Sharanya Prasad (F14052)
Spikenard Felix Deepak (F14053)
Stephen Sebastian (F14054)
Surendaran (F14055)
Viplav Kashyap (F14060)

Contents
INTRODUCTION TO ORAL CARE INDUSTRY.............................................................3
INDUSTRY OVERVIEW.......................................................................................... 4
TOP TEN TOOTHPASTE BRANDS :........................................................................4
GROWTH RATE:................................................................................................... 4
MAJOR PLAYERS:................................................................................................. 5
Top 5 Brands :..................................................................................................... 5
Colgate-Palmolive (About the company)................................................................6
Corporate Vision:............................................................................................. 7
Corporate Objectives:...................................................................................... 7
Caring:............................................................................................................. 7
Industry and Market Analysis................................................................................. 7
Distribution............................................................................................................ 9
Marketing Strategy Of Colgate Toothpaste.........................................................12
Product:............................................................................................................ 12
Product Analysis:........................................................................................... 13
Price................................................................................................................. 16
Place................................................................................................................. 17
Promotion......................................................................................................... 17
STP(Segmentation, Targeting, Positioning)..........................................................18
SWOT ANALYSIS................................................................................................... 19
SWOT ANALYSIS................................................................................................ 21
Strength........................................................................................................ 21
Weakness...................................................................................................... 21
Opportunity................................................................................................... 21
Threats.......................................................................................................... 21
Competitor Analysis...................................................................................... 21
Segmentation, Targeting and Positioning.........................................................22
Segmentation................................................................................................ 22
Targeting....................................................................................................... 22
Positioning..................................................................................................... 23
Product Mix....................................................................................................... 23
Product.......................................................................................................... 23
Product Life cycle.......................................................................................... 25
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Price................................................................................................................. 25
Place................................................................................................................. 26
Promotion......................................................................................................... 27
Brand Ambassador........................................................................................ 27
Free Gifts....................................................................................................... 28
CONCLUSION.................................................................................................... 28
Sensodyne........................................................................................................... 30
TOOTHPASTE MARKET IN INDIA...........................................................................30
ABOUT GLAXOSMITHKLINE................................................................................... 31
PRODUCTS DEVELOPED AT GLAXOSMITHKLINE................................................32
ABOUT SENSODYNE............................................................................................. 32
PRODUCT LINES UNDER SENSODYNE...............................................................33
BRANDING OF THE PRODUCT...............................................................................33
4Ps OF SENSODYNE............................................................................................ 34
PRODUCT.......................................................................................................... 34
PLACE............................................................................................................... 35
PROMOTION...................................................................................................... 35
MARKET STANDING IN INDIA................................................................................36
Close up............................................................................................................... 38
About Hindustan Unilever:................................................................................... 38
Brands in action at Hindustan Unilever:...........................................................39
About Close up:................................................................................................... 41
Key facts.......................................................................................................... 41
Segmentation, Targeting and Positioning:............................................................41
1. Segmentation............................................................................................... 41
2. Targeting....................................................................................................... 42
3. Positioning.................................................................................................... 42
Marketing Mix:..................................................................................................... 42
1. Product......................................................................................................... 42
2. Pricing:.......................................................................................................... 43
3. Place:............................................................................................................ 44
4. Promotion:.................................................................................................... 44
Branding:............................................................................................................. 45
Competition:........................................................................................................ 45
Dabur Tooth Paste (Introduction):.....................................................................47
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Dabur dental care:............................................................................................ 47


Corporate governance:..................................................................................48
Vision:............................................................................................................ 48
Strategic Intent:............................................................................................ 48
STP...................................................................................................................... 49
SWOT Analysis..................................................................................................... 49
Competitors:........................................................................................................ 50
4Ps of DaburToothpastes:................................................................................... 51
Product:............................................................................................................ 51
Price:................................................................................................................ 51
Place:................................................................................................................ 51
Promotion:........................................................................................................ 51
Branding strategies:............................................................................................ 52
PROMOTIONAL SCHEMES USED FOR STOCKIESTS...............................................53
PROMOTIONAL SCHEMES USED FOR RETAILERS..................................................54
PROMOTIONAL SCHEMES USED FOR CONSUMERS..............................................56
References:.......................................................................................................... 57

INTRODUCTION TO ORAL CARE INDUSTRY


In India, oral care market offers huge potential as penetration and per capita
consumption of oral care products is very low. However, rising per capita
income and increasing awareness is driving demand of oral care products.
Consumers have started switching to value-added toothpastes like gels,
mouth washes, and teeth whitening products. In rural areas, consumers are
switching from toothpowders to toothpastes. A key industry trend is the move
towards natural products comprising of herbs, vitamins and minerals.
A serious challenge for the industry is the low dentist-population ratio, with just
one dentist for 10,000 people in urban areas and about 0.25 million people in
rural areas. There is an urgent need of more dental health practitioners with
relevant
qualifications
and
training.
Government has taken various initiatives like dental health camps to promote
good oral care. Manufacturers have used advertising campaigns to promote
higher
consumption
of
toothpastes
and
toothbrushes.
Colgate and HUL together account for over two-thirds of the organized
toothpaste market. In toothpowder market, Colgate, HUL and Dabur are the
major players.
Opportunities for Toothpaste Industry In india : In India, oral care market offers
huge potential as penetration and per capita consumption of oral care
products is very low. However, rising per capita income and increasing
awareness is driving demand of oral care products. Consumers have started
switching to value-added toothpastes like gels, mouth washes, and teeth
whitening products. In rural areas, consumers are switching from
toothpowders to toothpastes.

INDUSTRY OVERVIEW
Total market of 750 crores.Growth rate of 18.6%Per capita usage mere
85 gms per person.Major player Colgate Palmolive and Hindustan
Unilever.

TOP TEN TOOTHPASTE BRANDS :


COLGATE (Coalgate Palmolive Ltd.) PEPSODENT (Hindustan unilever)
CLOSE UP (Hindustan Unilever) SENSODYNE (GlaxoSmithKline)
AQUAFRESH (GlaxoSmithKline) ANCHOR (Anchor health & beauty care
Ltd.) DABUR RED (Dabur India) BABOOL (GlaxoSmithKline) MESWAK
(GlaxoSmithKline) VICCO BAJRADANTI (Vicco Laboratories)

GROWTH RATE:
Growth rate of 18.6%Registered a compound growth rate of 6.6%
between 2004-09 Changing spending pattern with a increase in
purchasing power, there is a upward trend in the expenditure incurred upon
FMCG.Changing profile and mindset People look for MONEY FOR
VALUE rather than VALUE FOR MONEY. Switching from economy to
premium brands.

MAJOR PLAYERS:
Colgate Palmolive Ltd. (Market Share- 47.3%)Hindustan Unilever Ltd
(Market share- 30%)Dabur India Ltd. (Market Share- 7.2%)Other
companies like Vicco, Patanjali, Promise etc.

Top 5 Brands :
Market
Share
(2009)Colgate
Dental
Cream
34%Close-Up
14%Pepsodent Complete 10 11%Colgate Cibaca Top 5.7%Colgate
Fresh Energy Gel 3%Other Brands 32.3%

Colgate-Palmolive[Stephen Sebastian(F14054), Viplav


Kashyap(F14060)]
Colgate-Palmolive (About the company)
Colgate-Palmolive Company is a $16.7 billion global company serving people in
more than 200 countries and territories with consumer products that make lives
healthier and more enjoyable. The Company focuses on strong global brands in its
core businesses Oral Care, Personal Care, Home Care and Pet Nutrition. Colgate
follows a tightly defined strategy to grow market shares for key products, such
as toothpaste, toothbrushes, bar and liquid soaps, deodorants/antiperspirants,
dishwashing detergents, household cleaners, fabric conditioners and specialty pet
food.
It all began in 1806, when soap was commonly made at home; William Colgate had
the genius idea to start selling individual portions of starch, soap and candles. This
business was born on Dutch Street, in New York City, from where he delivered his
merchandise to all customers, an innovative approach at the time. By 1817, the first
Colgate advertisement appeared in a New York newspaper, and several years later,
they expanded and established a factory in New Jersey, an indication of their
growing success. This company was passed down from son to son, each and every
one of them striving for integrity and quality in every aspect of the business.
Concepts such as Colgate people were a way of managing, not just a team, but a
family. This concept was first introduced by the founder and is still used today.
Throughout the years, Colgate was an innovator, always developing new products.
They were able to forecast market trends before the competition and develop strong
brand equity through mergers, acquisitions, and joint ventures. The first merger was
with Palmolive Company, a soap company as well. Together, they created the first
scented soaps, perfumes, and essences. In 1872, Colgate introduced toothpaste in
malleable tube similar to the one we know today. Superior merits gave this
convenient and simple brand the prestige to successfully tap into several different
markets. In 1900, they won an honourable award for their premium soaps and
perfumes at the Worlds Fair, which was conducted in Paris. In 1906, the 100th
anniversary pronounced the success of over 800 brands, multiplying considerably in
the years to follow.
The years to come involve Colgate starting to think globally, by doing so through a
subsidiary in Canada, quickly followed by operations in Europe, Asia, Latin America,
and Africa. The development of new brands begins going rapidly, and what seems to
be like one influential brand after the other is constantly bombarding the market.
Many cleaning products are established such as Ajax and Soup line, which was first
popular in France and is now sold in 54 countries around the world. The Palmolive
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dishwashing liquid was introduced in 1966 and can now be found on rack of your
local grocery store. Irish Spring, Caprice hair care, and Protex, are brands that you
are also probably aware of, proving to still be successful to this day, and can be
found in over 70 countries. In 1976, they even acquired a leader in dog food named
Hills, which shows to what extent they were confidently conquering the world
horizontally with this wide variety of products. In 1983, one of todays extremely
popular products, the Colgate Plus toothbrush, is launched. So many are sold
annually that if you lined them up end to end, they would circle the globe 16 times.
(Colgate Website) Soon after, a joint venture is made with leading oral care
companies in Hong Kong. Acquisitions are made buying Murphy Oil Soap,
Mennen, Kolynos Oral Care, popular in Latin America, Gaba, prevalent in Europe,
and they most recently bought Toms of Maine, a US based natural toothpaste. By
1989 the annual sales were surpassing 5 billion dollars, and by 1997, Colgate Total
toothpaste is recognized as the market leader. With sales today surpassing the 15$
billion benchmark, Colgate continues to be a strong player in todays oral care
market. Moreover, the company also conducts triple bottom line practices, reaching
for success while targeting benefits for people, profits, and the environment. They
have a You Can Make A Difference Program, which distinguishes the Colgate
people for their grand efforts. Furthermore, they established Colgates HIV/AIDS
initiatives in South Africa. As for performance and profit, they have been ranked in
Business Week and Governance Metrics International Inc. as having the top Oral
Care products. Concerning sustainable practices and respect for the environment,
they contributed in a 40% decrease in water use, a 22% reduction in C02 emissions,
and were the first of its industry to use recycled material in Europe.
Corporate Mission:
Colgate-Palmolive Companys mission is to consistently deliver strong business
results and superior returns to stakeholders by providing consumers with the best
of their products to healthier and more enjoyable lives.
Corporate Vision:

Colgate-Palmolive Company is to become the best among the consumer products by


understanding consumers and consumers expectations better and by continually
innovating and improving their products, services and processes.
Corporate Objectives:

ColgatePalmolives
business
operations
have
been guided by three fundamental objectives which include: Caring,
Teamwork and Continuous Improvement are part of everything we do. They
foundation for our business strategy and are reflected in every aspect
work life.

always
Global
are the
of our

Caring:

The Company cares about people: Colgate people, customers, shareholders and
business partners. Colgate is committed to act with compassion, integrity, honesty
and high ethics in all situations, to listen with respect to others and to
value differences. The Company is also committed to protect the global environment,
7

to enhance the communities where Colgate people live and work, and to be
compliant with government laws and regulations.

Industry and Market Analysis


With over 24% category share in 2009, Colgate-Palmolive maintained its position as
a world leader in oral care followed by Procter & Gamble Co with 19.9% of company
shares, and GlaxoSmithKline Pc with 9.9% share. A significant reason why Colgate
benefits from the highest market share in the oral care category is due to it high level
of product development. They constantly launch new and innovative products, which
give them a competitive advantage in the market, and this is a big part of the
companys strategy driving profitable growth. For example, in 2009 the company
introduced the Colgate Wisp which was the first disposable mini-toothbrush with a
breath freshening bead that allows the user to have a clean, fresh mouth with no
water or rinsing. Due to their strong product development capability and focus on
innovation, Colgate-Palmolive is in a position to continuously upgrade its product line
regularly, thereby increasing customer loyalty and revenues.
Another reason why Colgate has been able to acquire such a high market share
is because of its high focus on marketing, leading to strong brand equity. Their
marketing strategies involve offering products based on consumers needs and
communicating the benefits though methods like free sampling as well as the
Internet. Using this approach worldwide has been successful in increasing sales but
also in acquiring a larger size of the overall category of the market. A further reason
why the market share is high is because the brand enjoys a strong level of consumer
recognition. Therefore, they have the possibility of gaining leverage in new markets
and maintaining loyalty of existing customers.
In addition to being a global leader in terms of company shares, Colgate
Palmolive Co also has the highest brand share in oral care, with Colgate possessing
19.8% in 2009. The Colgate brand is followed by the Braun Oral-B brand having 9%
of the market and then by Crest obtaining 6.4% of brand shares in that same year
(GMID- product development) (appendix with brand shares graph). Other smaller but
still significant competitors that Colgate-Palmolive faces in the oral care category
include Johnson & Johnson Inc, with their Listerine brand accounting for 6.4% of
brand shares, followed by the Unilever group with Signal that has 4.1%, and finally
GlaxoSmithKline Pc who owns the Aquafresh brand with 3.3% of brand shares.

It is important to note that although the Colgate brand is experiencing growth year
after year, the oral care is a mature category with limited room for innovation. Even
though there are some growth opportunities, because oral care accounts for around
63% of Colgate-Palmolives beauty and personal care revenue, it is highly exposed
8

to a slump in this category. In addition to being a mature category, the oral care
products are facing a higher level of competition from private labels, which again
hinders the profitability of the category. The increasing purchase of private labels is
largely due to the decreasing spending power, which is caused by the high level of
unemployment in many sectors since the economic downturn occurred. With a
minimal cost per purchase, maintaining a high level of brand equity allows Colgate to
remain competitive versus lower cost rivals. It also prevents recently established
firms from gaining market share.
With the threat of private label, Colgate increased their effort towards innovation and
branding by promoting the fact that they are the most recommended brand by
dentists. This has helped Colgate fight the competitive pressures they are facing in
the market. Not only does Colgate face increased competition from low-market
brands but also from their major competitors such as Procter & Gamble oral care
products, who are also looking to expand globally in more perspective markets.
Therefore, it is primordial for Colgate to continue investing in product development
catering to customer needs, in order to face their increasing competition.
There is also the issue of counterfeiting oral care products which is posing a
significant threat to the company in terms of revenue loss. In 2009 thousands of
tubes of fake Colgate toothpaste were recalled. This had a negative effect on
customer satisfaction since purchasers of the authentic Colgate could stop buying
this brand in the future believing that it is inferior to other brands and therefore
decreasing customer retention.
Despite the significant threats that Colgate faced in the oral care category, the
company intends to remain in a market leading position and continues to have
globally recognized brands by seeking opportunities allowing them to do so. For
instance, Colgate had begun taking advantage of the economic and population
growth with developing and emerging economies such as Brazil, India and China.
Each of these economies show very high growth prospects in terms of demand in
the upcoming years for consumer goods like oral care products. For instance, it is
expected that between 2009 and 2014, Brazil will be the fastest growing market in
oral care by accounting for 20% of the global growth, followed by China with 18%,
and India with 9%. Although Colgate-Palmolive dominates oral care in Brazil, China
and India with 44%, 26% and 38% of market share respectively, it is essential for the
company to maintain and increase its presence in these economies in order to reap
the benefits of this growth rate (GMID-product development). However, they have
already begun facing strong competition from their rivals P&G and Johnson and
Johnson in these countries. Local players in India and China have also begun
gaining importance in their individual markets. Domestic companies such as Yunnan
Baiyao in China, and Dabur in Japan, have begun offering herbal/natural oral care
products and there is a growing demand for them. Since Colgate is one of the most
valued and recognized brands globally, they are in a good position to take advantage
of this market and further increase their market share.
basic predecessors, and therefore carry a higher price tag. Colgate manual
toothbrushes sold at a variety of retailers range from $1.99 to $5.99. This strategy
has been particularly successful as Canadian consumers have developed loyalty to
their brand of toothbrush for they sense a more significant difference between the
9

regular and improved toothbrushes, thus dissuading many from switching or


trading down, thus increasing consumer lifetime value and profitability. Colgate is
also catering to more health conscious but price-sensitive consumers by increasingly
introducing affordable electric toothbrushes.

Distribution
Being low priced and requiring low consumer effort, Colgate products must be mass
distributed and accessible to most if not all Canadians. Colgate employs an intensive
distribution strategy aimed at a maximum market coverage which supports the
application of product replenishment based on pull strategies, as these come
closest to reflecting true consumer demand. Research suggests supermarkets are
the largest distribution points for toothpaste as well as other oral care products,
followed by mass merchandisers and drug stores. With that in mind, it would simply
not be efficient for Colgate to sell directly to small distributors, therefore Colgate
products often go through at least one wholesaler before reaching the shelves of our
supermarkets. Colgate does however, directly sell to some of the larger retailer
chains such as Wal-Mart, who purchase in such large volumes that it is more
efficient to do so. Colgate therefore operates in what is called a parallel distribution
network in which some retailers are forced to buy through a mass distributor while
others are not. However, Colgate is working closely with small shop owners and local
wholesalers through Joint Business Plans to ensure greater availability of Colgate
products, as well as to provide the right assortment of products with the best visibility
on the store shelves. Prior to distribution, while Colgate products are produced
around the world, use of contract manufacturers is very limited as more than 90% of
products were made in Colgate facilities. Colgate does concede however that the
use of contractors often allows to optimize their supply chain capabilities, deliver
innovative technologies, increase speed of delivery, and especially increases
flexibility which is key in a rapidly changing marketplace. Three-year globalization
contracts with their main suppliers enabled a reduction of the supplier base from 11
to 4 suppliers. For a key toothpaste ingredient, the supplier base was reduced from 7
to 3 to help achieve record savings and cost reductions. With optimized supply chain
logistics and control over the manufacturing process, Colgate products are quick to
move from their respective factories to stores all throughout Canada. In five years,
Colgate managed to cut its time from product concept to retail shelves by 50%.

Boosting Sales Introduction Of Colgate Total


Beginning in the late 1980s, Colgate had begun development of a toothpaste that
contained a gingivitis-fighting antimicrobial agent, triclosan. Researchers found a
way to use polymers to bind triclosan to teeth for up to 14 hours, allowing users to
10

fight bleeding gums and bad breath continuously with only two brushings a day. The
company began marketing the product overseas in 1992 under the name Total,
eventually distributing it to 100 countries. The toothpaste was a major success, and
enabled Colgate to increase its worldwide share of that market segment.
In the United States, however, introduction of Total was held up by the Food and
Drug Administration (FDA), which required extensive tests to prove the product's
effectiveness before Colgate could make gingivitis-fighting claims on package labels.
After some five years the agency granted final approval, and Total reached store
shelves in December 1997.
The response was even stronger than anticipated, and cemented Colgate's place as
leader of the U.S. toothpaste market, a position it had actually reached in the months
prior to Total's introduction. This was the first time since 1962 that ACNielsen's
rankings had shown Colgate on top. Following the successful launch, the company's
profits and stock price climbed steadily. In December 1998 the FDA also approved a
variant of Total, Total Fresh Stripe, which reached stores several months later. A year
after Total's release it was the number one toothpaste brand in the United States.
Competitors such as Procter & Gamble, which already marketed a triclosan-based
toothpaste in Canada, were prevented from mounting a quick response by the
lengthy FDA approval process. Powered by Total and the strong U.S. economy,
Colgate continued to do well in 1999, with record earnings approaching the $1 billion
mark.

New Challenges in the Early 2000s


Under Mark's continued leadership, Colgate-Palmolive maintained its momentum
into the early 2000s. By keeping a tight rein on costs, the company boosted its gross
profit margin to 54.6 percent by 2002, when net income reached $1.29 billion on
sales of $9.29 billion. On the new product front, the Colgate Actibrush batterypowered toothbrush was brought to market in 2000, soon followed by products in the
burgeoning at-home tooth-whitening sector, such as Simply White gel and Total Plus
Whitening toothpaste. In pet food, the company in 2002 introduced Hill's Science
Diet Nature's Best, a new line of premium dog and cat food made with natural
ingredients.
Long unable to compete with Procter & Gamble in that firm's mainstay detergent
lines, Colgate pulled back from that sector in certain markets. In 2001 it sold its
detergent business in Mexico, headed by the Viva brand, to Henkel KGA, and then
two years later off-loaded its European detergent brands to Procter & Gamble. In
2004 Colgate sold its detergent business in Ecuador and Peru. In June of that year,
the company completed its first major acquisition since the 1995 purchase of
11

Kolynos. Colgate spent $866 million for GABA Holding AG, a privately held European
oral care company based in Switzerland. GABA, operating in 15 countries, had
annual sales of about $300 million. Its strength in the pharmacy channel
complemented Colgate's leading presence in the European retail market. The
addition of GABA boosted Colgate's share of the European toothpaste market to 33
percent.

Although revenues increased another 7 percent in 2004, topping the $10 billion mark
for the first time, profits fell 7 percent, to $1.33 billion. Intense global competition-particularly from a resurgent Procter & Gamble--forced Colgate to allocate additional
money for advertising, and the firm also had to contend with increased raw material
and packaging costs and the growing power of discount retailers such as Wal-Mart
Stores, Inc. who were forcing consumer product makers to hold the line on price
increases. To free up funds for marketing initiatives and new product development
efforts, Colgate launched a sweeping restructuring in December 2004, its first major
overhaul since 1995. The latest reorganization, a four-year program, aimed to
generate between $250 million and $300 million in after-tax cost savings by 2008 by
closing 26 of the firm's 78 factories around the world and eliminating about 12
percent of the workforce, or more than 4,400 jobs. Cumulative after-tax restructuring
charges of between $550 million and $650 million were anticipated. As part of the
restructuring, further divestments of noncore lines were very possible. As Colgate
continued to deemphasize its detergent business, it seemed likely to seek buyers for
its Fab and Ajax brands. Just as the restructuring began, however, Colgate faced the
prospect of an even more formidable chief foe. Procter & Gamble reached an
agreement to acquire The Gillette Company in January 2005 for $57 billion, which
would add Gillette's Oral-B toothbrushes and toothpastes to P&G's Crest line. This
deal was likely to compound the competitive pressures that Colgate-Palmolive faced,
making the successful implementation of the restructuring that much more important

Marketing Strategy Of Colgate Toothpaste


Product:
Product Overview
Toothpaste works with tooth brushing to clean teeth and fight plaque and
bacteria.
Specifically:
Toothpaste contains abrasive materials that physically scrub away plaque.
In addition, toothpaste abrasives help remove food stains from teeth and polish
tooth surfaces.
12

Toothpaste delivers fluoride to the teeth. Fluoride incorporates itself into


tooth enamel weakened by acid attack, making it more resistant to future acid
attack from plaque bacteria and food.
Technological improvements in some toothpaste contain ingredients
that chemically hinder the growth of plaque. Colgates brands consists of a
multitude of unique toothpastes lines, specializing in the preservation and
treatment of oral hygiene. Colgate has created an array of 40 different patented
toothpastes keeping Colgate competitive in the market place. There are
13 different classifications and varieties of Colgate toothpastes. Colgates
toothpastes feature; cavity protection, plaque & gingivitis prevention, long
lasting fresh breath, tartar control toothpastes, tooth whitening, baking soda
and peroxide, enamel strengthening, sensitivity relief and toothpaste designed
for children.
Product Analysis:

* Colgate Cavity Protection Great Regular Flavor * Colgate Total Advanced


Whitening
* Colgate Cavity Protection Winterfresh Gel * Colgate Total Advanced Clean
* Colgate Total Advanced Fresh Gel
* Colgate Tartar Control Whitening Cool Mint Gel * Colgate Total Clean Mint
* Colgate Tartar Control Whitening Crisp Mint * Colgate Total Whitening Paste
* Colgate Total Enamel Strength
*Oxygen Bubbles Whitening Brisk Mint Paste
*Oxygen Bubbles Frosty Mint Striped Gel
* Colgate 2in1 Oxygen Whitening
* Colgate 2in1 Whitening
* Colgate 2in1 Icy Blast
* Colgate 2in1 Kids Strawberry
* Colgate 2in1 Kids Watermelon
* Colgate Max Fresh w/ Mini Breath Strips
* Colgate Max Fresh w/ Mouthwash Beads
* Colgate Max White w/ Mini Bright Strips
* Colgate Sparkling White CinnamonMint
* Colgate Sparkling White Mint Zing
* Colgate Sparkling White Caribbean Cool

13

* Baking Soda & Peroxide Oxygen Whitening


Frosty Mint Striped Gel
* Colgate Baking Soda & Peroxide Whitening
* Colgate Sensitive Multi Protection
* Colgate Sensitive Enamel Protect
* Colgate Sensitive Maximum Strength Whitening
* Colgate ProClinical Daily Whitening
* Colgate ProClinical Daily Cleaning
* Colgate ProClinical Daily Renewal for Enamel
* Colgate Dora the Explorer Mild Bubble Fruit
* Colgate SpongeBob Mild Bubble Fruit
* Colgate My First Toothpaste
* Colgate Pop Stars
* Colgate Luminous Crystal Clean
* Colgate Luminous Paradise Fresh
Colgate Regular: In over 173 years, Colgates original flavored mint
toothpaste has changed very little. It cleans, strengthens, protects teeth and
breath.
Colgates Original formula uses active fluoride to keep teeth and gums healthy.
Colgate Regular is ADA approved and doctor recommended.
Colgate Tartar Control Toothpaste: One of the top sellers in the
Colgate toothpaste line and for good reason. Colgate Tartar Protection fights
tartar build up and removes stains to whiten teeth and fight cavities.
Colgate Total is the most popular toothpaste under the Colgate brand. It
has eight products and flavors within the line that all promote 12-hour
protection from:
gingivitis, stains, plaque, whitening, cavities, tartar, weak enamel, tender gums
and bad breath. Colgate Totals products all protect against these unwanted
oral issues, but some target specific individual problems in a variety of
toothpastes and gels.
Including, Colgate Total Enamel Strength Striped paste, protects from acid
wear.
Advanced Clean is available in both a gel and paste form and contains silica,
which is similar to what dentists use to maintain a professional cleaning feel.

14

Colgate Total Advanced Fresh Gel contains an added flavor booster to keep
breath ultra fresh for up to 12 hours. Colgate Total Clean Mint Paste has a
delightful mint taste.
Colgate Total Mint Stripe Gel is a minty blend of gel and paste that leave the
users mouth fresh and clean.
Colgate Oxygen Bubbles Toothpaste: When activated, the product foams
to get in between teeth to fight cavities and kill germs that cause bad breath.
Oxygen Whitening works to gently remove surface stains to reveal the natural
whiteness of your teeth.
Colgate 2in1 Toothpastes is a mix of two distinct features in one
gel toothpaste. Whitening foaming that gets between teeth to fight cavities and
kill germs that cause bad breath and Oxygen Whitening works to gently
remove surface stains to reveal the natural whiteness of teeth.
Colgate Sparkling White Toothpaste is clinically proven to protection
teeth from wear and tear staining. The formula is a patented creation for
sparkling, healthy, white teeth accompanied by a unique flavour experience. It
is available in the following flavours: Colgate Sparkling Mint Zing, Colgate
Sparkling White CinnaMint, and Colgate Sparkling White Caribbean Cool.
Colgate

Sensitive

Multi

Protection fights

tartar,

removes

plaque,

promotes healthy gums and whitens teeth for a healthier smile. The sensitive
element in the three Colgate Sensitive Toothpastes protects from painful oral
sensation. Colgate Sensitive
Enamel Protect helps protect tooth enamel from acid attacks. Colgate
Sensitive
Whitening helps restore the natural whiteness of teeth.
Colgate Pro Clinical is relatively new to the market. It comes in three
varieties inspired by dentists to create a high quality and satisfaction
guaranteed product.
Colgate Max Line established in 2007 consists of three varieties.
Colgate Max
White with Mini Bright Strips freshens breath and helps to bring back the
natural whiteness of a persons smile. Colgate Max Fresh with Mini Breath
Strips is packed with hundreds of mini breath strips. These breath strips
unleash a powerful rush of freshness and are formulated to whiten
teeth. Colgate Max Fresh with Mouthwash

15

Beads contains concentrated mouthwash beads that leaves the users mouth
ultra clean and fresh. Colgate has several lines of toothpaste targeting children
in regard to packaging, flavour and theme. Including Colgate Dora the
Explorer Mild Bubble Fruit, Colgate
SpongeBob Mild Bubble Fruit, Colgate My First Toothpaste and Colgate
Pop Stars.
Colgate Luminous is Colgates newest brand launched in early 2009. It
is manufactured in two flavours, Crystal Clean Mint and Paradise Fresh
Colgate. Luminous is a specific formula that safely lifts off yellowing surface
stains to restore the natural whiteness to teeth. Using fluoride mineral
formulation, ColgateLuminous strengthens weakened teeth enamel.
Marketing Mix

Price
Colgate features products in the oral health isle of almost all stores carrying
oral health products. Colgate has a large span of shelf space on nine rows,
totalling 35 items per store that illustrates the wealth of variety Colgate offers. It
is important to note that Colgate is the first product on display in the toothpaste
section of the oral health isle. The subtotal of all of Colgates products per
ounce is 28.58 equalling $0.81 per ounce, making it the most expensive brand
of the three toothpaste category leaders. The most expensive toothpaste per
ounce is the Colgate Pro Clinical, which is featured at eye level on the top
shelf. The least expensive toothpaste per ounce is the Colgate Regular super
tube, which is located on the second shelf from the store floor or shin level of
the consumer.
Sl. No.
Product

Price

1.

Colgate Dental Cream

20 gramRs. 5/-, 40 gramRs. 10/-, 50


gramRs.14/-, 100 gramRs. 30/- and
200 gramRs. 50/-

2.

Colgate 12

150 gram-Rs. 62/-

3.

Colgate Sensitive

100gram-Rs. 58/-

4.

Colgate Max Fresh

150 gram-Rs. 50/- (Both blue and


Green Flavours)

5.

Colgate Kids Toothpaste

150 gram-Rs.48/-

6.

Colgate Fresh Energy Gel

50 gram-Rs. 15/-, 100 gram-RS.32/and 200gram-Rs. 58/-

7.

Colgate Herbal

100 gram-RS.29/- and 200gram-Rs.


54/16

8.

Colgate Cibaca Family Protection

50 gram-Rs. 10/-, 100 gram-RS.17/and 200gram-Rs. 27/-

9.

Colgate Active Salt

100 gram-RS.29/- and 200gram-Rs.


54/-

Place
Colgates product distribution is immense. Almost all super markets, discount
chains and pharmacies such as Wal-Mart, Albertsons, Target, Walgreens and
CVS carry Colgate Toothpaste. Colgate toothpaste is physically located in the
oral health isle of stores. Colgate toothpaste can sometimes be found in more
prominent locations when on sale or launching new products into the market.
Colgate is sold over almost all the retail outlets of India viz.,Kirana stores,
supermarkets, medical shops, co-operative stores, etc. It is well-distributed
through the supply chain of company distributors to whole sealers to retailers to
final consumers. All the products are available in the all-India market, including
semi-urban and rural markets which are their primary focus areas. But the
various varieties of Colgate are not so easily available other than in the oral
care outlets or super markets. The small tubes of Colgate are also available in
small road-side shops and from the vendors.

Promotion
The Colgate Toothpaste promotions can be found throughout the marketing
mix in a variety of mediums. The advertisements and promotions are located in
a targeted media selection that appeals to the target consumer.
Website: Colgate has a dynamic website with the title, Colgate World of
Care, that details products, oral care, company history, e-newsletter and
special offers.
The website also has a social networking page called Colgate Smile to engage
the consumer to get involved with their oral health and the ColgatePalmolive Company. Colgate also has social media pages on Facebook,
Twitter and MySpace.
Coupons: Colgate Toothpastes has printable weekly coupons online in the
special offers section of the website. Colgate coupons can also be found as cut
outs in the weekend coupon sections of 500+ newspapers around the country.
17

Television:

Colgate

and

its

advertising

agency

produce

several

television advertisements a year using humour and pseudo-scientific displays


to appeal to consumers.
Magazines/Outdoor: Colgates marketing campaigns have been known to
use historical, sexual, cultural and social inferences in their advertisements.
Donations: Colgate donates millions of dollars annually to the ADAs Give a
Kid A Smile. Colgate is a direct partner with this ADA program.
Coupons are the largest form of promotion offered by the home product giant
P&G. Coupons can be found online via the Crest and Oral-B e-newsletter. Sent
out monthly, the E-mail newsletter includes updates, latest advances, new
products and exclusive offers at
P&G. Crest also sends out the P&G Brand Saver found in over 500 local
Sunday Newspapers nationally. This coupon booklet provides discounts on
P&G products that are redeemable at purchase. Colgate normally gives out
small product samples at annual events like Oral Health month to remind
target consumers, especially kids to take better care of their teeth after eating
sweets. This method does not drive strong results as most consumers tend to
forget the message, even if they have collected the samples. Now, instead of
giving away product samples, Ice cream and cotton candy were given out. The
stick carrying the ice-cream and cotton candy carries a hidden message. Once
consumers are done the message printed on the tip of the stick shaped like a
toothbrush reveals Dontforget with the Colgate logo. This simple message
effectively reminded consumers to brush their teeth.

STP(Segmentation, Targeting, Positioning)


SEGMENTATION :- Colgates market segmentation is very broad because all their
products are of need to most people so those people share a similar interest in
product needs. Colgate uses a segmentation bases by knowing that certain groups
of people need Colgate toothpaste for a specific similar reason like yellow teeth,
sensitive teeth or just teeth with cavities. Colgate also uses the family life cycle
because they make toothpaste that could be used for grownups and children. Also,
toothbrushes are made to attract young children with cartoon characters and
different tastes and are less strong so that it wouldnt damage their gums
TARGETING:- MAX FRESH : Colgate targeted youth with the introduction of this
toothpaste, as this helps in refreshes breath. ACTIVE SALT :- Elder people are
targeted in this segment as it makes teeth stronger and provides protection from
18

cavities. COLGATE TOTAL :- Colgate Total contains the anti- microbial ingredient
triclosan, which reduces the number of bacteria that cause gingivitis, cavities and
halitosis Basically its for kids but Mothers are targeted as they are very concerned
about their kids. This toothpaste safeguards teeth for 12 hours. COLGATE
SENSITIVE :- People who have sensitive teeth are targeted in this segment who
have problem in their gums. KIDS TOOTHPASTE :- Often small children dont like
to brush teeth, so for them this toothpaste was launched. Colgate had focused on
taste aspect to encourage kids to brush teeth. COLGATE WHITENNING A
whitening toothpaste that is "Clinically-proven to whiten in 14 days. Its whitening
ingredient is hydrogen peroxide, which gradually bleaches the teeth. Focus is given
on group of customers in this segment those who are already suffering from plaque
in their teeth. COLGATE 2in1 :- People who want both strength and fresh breath
are targeted.
POSITIONING:- Colgate dental cream positions itself as toothpaste that has the
necessary calcium and minerals to provide decay protection, strong teeth, germ
protection and fresher breath. Colgate positioned several toothpaste so that people
would like the products more like adding a different style or taste to the toothpaste.
Colgate repositions their products because with the way they market and promote
their products, consumers know that these products are way better than other
brands and competition that is out there. Lately with competition from indigenous
vegetarian toothpastes, Colgate dental cream has also positioned itself as an
always 100% vegetarian toothpaste. The tagline of its advertisements, trusted by
generations to make teeth stronger.

SWOT ANALYSIS
INTERNAL FACTORS:-(1) STRENGTH:- Colgate dental cream offers all-round
cavity protection, even where a toothbrush cannot reach. Its great mint taste
freshens breath. It protects against root caries. It cleans & makes teeth whiter and
repairs early decay spots. Extremely popular brand and high brand awareness due
to advertising.(2) WEAKNESS:- High dependence of the company on a single
category i.e., oral care. Reduction in advertisement expenditure in order to maintain
growth.
EXTERNAL FACTORS (3) OPPORTUNITIES:- Leverage on fact that Colgate has
been ranked as the most trusted brand in India. Focus on innovations and new
product launches by deploying advanced technologies. Growth in emerging markets
19

rural and semi- urban.(4) THREATS:- High competition from competitive brands
like Pepsodent from HUL. Increasing commodity prices for manufacturing.

Pepsodent Toothpaste[ Divrina Vyas(F14018), Sharyna


Prasad(F14052)
Pepsodent Toothpaste
20

The parent company of Pepsodent is HUL, which is the worlds largest fast
moving consumer goods company with 80 factories across India. It was
formerly Hindustan Lever Limited and renamed as Hindustan Unilever
Limited in June 2007 with Unilever commanding a majority stake in it. HUL
has a diverse portfolio of brands offering home care solutions for millions
of consumers across India. Pepsodent toothpaste was launched in 1993
and its products today include: Germicheck, Whitening , 2in1, Center
Fresh, Gum Care, Sensitive, Kids. It noted a sales growth of 17% in 20112012. In fact pepsodent and close up together accounted for 22% of
market share in 2011-2012.

SWOT ANALYSIS
Strength

It is the largest dental association in the world and is also supported by


FDI. It has established itself as a strong brand having the second largest
market share only next to Colgate of Colgate-Palmolive Ltd. It has used
celebrities like Shahrukh han that have helped it capture the mind space
of the customer as a reliable brand.

It is one of the most trusted brands of India. Pepsodent toothpaste fights


germs to protect teeth against cavities and gives strong teeth, fresh
breath and healthy gums. Pepsodent as an oral care expert offers solution
to specific problems like bleeding gums and sensitive teeth.
Weakness

Pepsodent toothpastes face severe competition from Colgate that enjoys


huge customer loyalty and brand equity. Moreover, it has low penetration
in the rural areas.
Opportunity

Pepsodent has used innovative marketing strategies like pepsodent


toothpaste packs in 2002 would include a germ indicator that would allow
customers to check the efficacy of the toothpaste in fighting germs.
Moreover, Pepsodent campaigns aim at educating consumers on the need
for germ protection through the night. It has also used smaller packaging
for rural markets, tied up with hotel chains and schools.
Threats

It faces intense competition from internal brands like Close up and


external brands like Colgate.
Competitor Analysis

The major competitors of pepsodent are Colgate, Oral B, Dabur.


21

Segmentation, Targeting and Positioning


Segmentation

Pepsodent toothpaste has segmented the market based on geographic,


behavioural and demographic lines.
Geographic: In terms of geographic segmentation the market is divided
into urban and rural areas. The urban market for the toothpaste is almost
stagnant. Hence for deeper penetration into the rural markets they have
taken measures such as selling 100 gms packets at 10 rupees and
conducting tooth campaigns in schools in villages.
Behavioural: They have made different variants of products to suit
different consumer preferences such as G for gum care, germicheck for
cavities, and whitening for white teeth.
Age: They came up with different coloured packets to make it appear
attractive to the kids such as pink depicting Barbie, blue depicting
superman, and orange for Tom and Jerry.
Targeting

Most of pepsodent products are sold in urban areas and the sales from
these areas constitute about 80% of the income. Currently it is into
selective specialisation like Pepsodent kids for kids, smaller and cheaper
variants for rural markets, Pepsodent complete for educated urban
consumer.

22

Figure 1 Depicting Selective Specialisation

This type of targeting means targeting different markets with different products.
Positioning

Pepsodent was launched in 1993 by HUL to capture the market from


Colgate. It was launched in the platform of Germ fighting property.
Pepsodent has experimented with its positioning throughout its life. Ad
Campaigns to supplement this positioning include:

Lasting Protection for hours


Germ Fighting Campaign
Dental Insurance and
Dishum Dishum Bhoot Campaign

HLL launched the famous Dishum Dishum campaign. The insight for this
campaign was that mothers were really worried about the eating habits of
their kids. From that insight came the Big Idea let Pepsodent fight germs
for you". The campaign and the smart pricing virtually killed the regional
brands in the oral care market.
Pepsodent knew that they should expand the total market of toothpaste
and hence decided to increase market by increasing the usage of the
product. Thus they came up with the bhoot campaign. Pepsodent aims to
teach the kids to brush at night; (with Pepsodent of course).Research
shows that brushing teeth at night can reduce chances of tooth decay by
30%. And because of this campaign 12 lakhs kids are brushing teeth at
night now and mothers are happy.

Product Mix
Pepsodent has its products which cover a large area.
Product

Pepsodent offers a wide range of toothpastes catering to needs and the


wants and the demands of the consumers both in Rural and Urban areas.
Their products are:

Pepsodent Germicheck +
Pepsodent Whitening
23

Pepsodent 2 in 1
Pepsodent G
Pepsodent kids

24

Product Life cycle

From the Diagram Above, it can be deduced that Pepsodent is currently at


the Maturity stage of the product Lifecycle
The different characteristics of maturity include: heavy Competition
search for other target markets, and Psychological Pricing Methods to gain
market share.

Price
A brief comparison of the product variants and their corresponding price
range and product weight of Pepsodent and its competitors- Colgate and
Sensodyne has been discussed. Colgate also has 4 other variants :

Salt
Herbal
Total and
Cibaca Family Protection

Pepsodent has no equivalents (Pepsodent Complete has been


discontinued). Pepsodent has the 2 in 1 variant for which Colgate doesnt
have an equivalent. Some of the variants mentioned above have subvariants which have a price variation of 1-2 rupees.

25

Figure 2: Prices for Pepsodent and its competitors

Overall, Pepsodent is priced at the same level as Colgate, however, they


have different selling points. Pepsodent has the Offers protection against
germs angle while Colgate has the Makes teeth stronger angle

Place
Pepsodent Toothpastes are readily available at all retail shops, Kirana
shops and Supermarkets . The figure given below indicates the three
Distribution Channels employed for FMCG goods. Since Pepsodent
Toothpaste is an item of daily Usage irrespective of the income groups,
hence it follows a relatively Simple distribution channel illustrated in the
third level in the chart.

26

Figure 3: Pepsodent uses level 3 of the Distribution Channel

Promotion
There are various promotional activities taken up by HUL in the promotion of its
product Pepsodent.
The following are the promotional activities adopted by HUL for
Pepsodent

Free dental check-ups,


Organise health camps involving villagers to fortify its campaign
Offer free samples to the villagers to try out the product
Offer discount coupons on wrapper redemption schemes

Brand Ambassador
In May, 2010, Pepsodent had roped in Shah Rukh Khan to be their Brand
Ambassador.

27

SRK had been roped in for Pepsodents latest campaign Pappu & Papa.

Free Gifts

Pepsodent has agreed to sell its Products with a toy along with the
purchase of the product. With phrases like Collect Them All! the
customers would want to buy more products in order to collect all the
gifts.

CONCLUSION
Even though the demand of pepsodent is more than any of its
competitors, its sales are the second best behind Colgate. In the coming
years, Pepsodent is going to increase in the toothpaste market but just
gradually every year. Through its promotional strategies, it can spread its
brand name which can help increase sales.

28

Color Variants: Its been a proven fact that children are attracted to bright
colors more than the dull dark colors. The variants available in the market
are Tom & Jerry (Orange Packs), Barbie (Pink Packs) and Superman (Dark
Blue Packs). By the sales figures in the retail outlets, it was seen that the
children respond positively only to first two variants.Alternatives Attractive
colors can be introduced to keep children pulled in to try the new variants
every time. Special limited editions during festive seasons & holidays can
be sold to increase revenue. New cartoon characters in the current day
channels (Cartoon Network etc.) can be added as new variants. By the
TRP ratings, children are found to watch Shin Chan show more and form a
potentially attractive market for the new variant.
Future Prospects to Increase Its Sales:
1. A kit can be introduced along with a Kids Stand to hold only the
Pepsodent Kids toothpaste and toothbrush in sockets. The sockets must
be made to hold only the Pepsodent products.
2. The Kids Stand can be introduced in variety of themes matching
different characters. The kit can also contain a booklet/ sheet depicting a
small story or characters description. The children view these as their toy
and also feel proud of owning it.
3. Children generally use the toothbrush for 3 months but the toothpaste
gets over in a month considering 40 gm pack. Hence once the tooth paste
gets over, children refill the socket with Pepsodent Kids toothpaste in that
place

29

SENSODYNE (Surendaran S(F14055)


Sensodyne
Sensodyne is an oral health brand targeted at people with sensitive teeth. Sensodyne
products are applied at home by the patient to treat this condition. Sensodyne is owned
by GlaxoSmithKline and is marketed under the name Shumitect in Japan.

TOOTHPASTE MARKET IN INDIA


Competition in Indias toothpaste market has been heating up in the last few months.
India accounts for 5% of the global market which values the countrys oral care
market at about $1.5 billion
The Indian oral care market has grown by lowdouble digits to high-teens in the last few years. It registered annual growth
of 13% during March 20122013, while the global market grew by only 3% during
the same period. With a 17% simultaneous increase, the toothpaste segment is
witnessing the fastest growth. n the back of increasing oral hygiene awareness,
improving discretionary income and high advertising expenditure by oral care
companies, Indias oral care market is forecast to grow at a CAGR of 14% in the next
three to four years. This is much higher than the 3% CAGR forecast for the global
market. The expected high growth rate in India presents an opportunity for oral care
players to offset the impact of lower growth rates in developed countries.
The toothpaste segment is particularly attractive to these players. It accounts for
over 70% of the total value of the oral care market in the country. The penetration
level of toothpastes in India (55%) is low, as toothpaste usage in rural India is still
very limited. Also, the per capita toothpaste consumption in India (127gm/year) is one
of the lowest in the world. These factors allow room for extensive growth in oral care.

Key Trends Fueling Growth In Indias Toothpaste Market?


1. Rising demand from rural India: Although only 42% of the people living in
Indias villages and small towns use toothpastes, the proportion is increasing with
rising rural income and greater awareness about oral hygiene through advertisements,
dental camps and free dental checkups.
30

2. Rife oral hygiene problems: More than 30% of Indias population suffers from
gum sensitivity and oral hygiene problems. Thus, Indias urban population is
continuously upgrading from regular to functional toothpastes due to which the
category is growing by 30%40% annually.

ABOUT GLAXOSMITHKLINE
GalxoSmithKline is a British multinational pharmaceutical, biologics, vaccines and
consumer healthcare company which has its headquarters in Brentford, London. As of
March 2014, it was the world's sixth-largest pharmaceutical company after Johnson &
Johnson, Novartis, Hoffmann-La Roche, Pfizer, and Sanofi, measured by 2013
revenue. The company was established in 2000 by the merger of Glaxo Wellcome
(formed from the acquisition of Wellcome plc by Glaxo plc) and SmithKline
Beecham plc (formed from the merger of Beecham Group plc and SmithKline
Beckman Corporation, which in turn was formed by combining the Smith, Kline &
French and Beckman companies).
The company has a primary listing on the London Stock Exchange and is a constituent
of the FTSE 100 Index. As of 2 May 2014 it had a market capitalisation of 79 billion,
the fourth-largest of any company listed on the London Stock Exchange. It has a
secondary listing on the New York Stock Exchange. Andrew Witty has been the chief
executive officer since May 2008.
GSK manufactures drugs and vaccines for major disease areas such as asthma, cancer,
infections, diabetes, digestive and mental health conditions, the biggest selling of
which were Advair, Avodart, Flovent, Augmentin, Lovaza, and Lamictal in 2013.
Many medicines were historically discovered or developed at GSK and its predecessor
companies and are now sold as generics. Its drugs and vaccines earned 21.3 billion in
2013. Its consumer healthcare division, which earned 5.2 billion in 2013, sells oral
healthcare and nutritional products, drinks and over-the-counter medicines,
including Sensodyne, Boost and Horlicks.
Various areas for which GlaxoSmithKline has developed products are as follows
Prescription: Augmentin, Betnovate, Ceftin etc
Vaccines: for influenza, tetanus, diptheria and many other
Consumer health care : Horlicks, Boost, Aquafresh, Sensodyne, Iodex, Crocin, Eno,
Boost etc;
Stiefel:Skin health [Dermatology]
31

PRODUCTS DEVELOPED AT GLAXOSMITHKLINE


GSK manufactures drugs and vaccines for major disease areas such as asthma, cancer,
infections, diabetes, digestive and mental health conditions, the biggest selling of
which were Advair, Avodart, Flovent, Augmentin, Lovaza, and Lamictal in 2013.Its
drugs and vaccines earned 21.3 million in 2013.
Top-selling products include its asthma/COPD therapeutics Advair, Ventolin, and
Flovent; its diphtheria/tetanus/pertussis vaccine Infanrix and its hepatitis B vaccine;
the epilepsy drug Lamicatal; the antihyperlipemia drug Lovaza; and the antibacterial
Augmentin.Its consumer healthcare division, which earned 5.2 million in 2013, sells
oral healthcare, and nutritional products, drinks and over-the-counter
medicines,including Sensodyne, Boost and Horlicks.Medicines historically discovered
or developed at GSK and its legacy companies and now sold as generics
include amoxicillin and amoxicillin-clavulanate,ticarcillin-clavulanate and ceftazidime
for bacterial infections, zidovudine for HIV infection, valacyclovir for herpes virus
infections, albendazole for parasitic infections, sumatriptan for
migraine, lamotrigine for epilepsy, bupropion and paroxetine for major depressive
disorder, and cimetidine and ranitidine for gastroesophageal reflux disorder. Among
these, amoxicillin, amoxicillin-clavulanate, mupriocin, zidovudine, albendazole, and
ranitidine are listed on the World Health Organization's list of essential medications.
The company's over-the-counter health-care products include Abreva to treat cold
sores; Aquafresh, Maclean's and Sensodyne toothpastes; Night Nurse, a cold remedy;
Breathe Right nasal strips; and Nicoderm and Nicorette nicotine replacements. It also
sells several drinks, including Horlicks, a malted milk drink and Boost, a chocolateflavoured drink, and formerly sold Lucozade, marketed as an energy drink,
and Ribena, a fruit drink

ABOUT SENSODYNE
Sensodyne is the Number1 toothpaste for sensitive teeth, offering a range of
specifically formulated toothpastes. Sensodyne works to relieve tooth sensitivity due
to sensitive teeth and to provide lasting protection all day, every day when used as
directed.
Since being introduced in 1961, Sensodyne has become the favorite sensitive
toothpaste of dentists around the world. Sensodyne has continually provided
clinically proven relief from sensitive teeth.

32

PRODUCT LINES UNDER SENSODYNE


*Sensodyne Repair and Protect
*Sensodyne Fast Acting Relief
* 24*7 Protection
*Gentle Brushing are the various product lines in Sensodyne.
It is sold as an over-the-counter medicine.The productlines cater to the varied needs of
the customers based on the problem faced by them.

BRANDING OF THE PRODUCT


The product is branded by saying that it provides relief from sensitive teeth in 2
weeks time when the product is used continuously.
Sensodyne toothpastes work in one of three ways to relieve the pain of sensitive teeth.
Depending on the product's active ingredient - Potassium Nitrate, Strontium Acetate,
or NovaMin technology.
Sensodyne is branded as the number 1 dentist recommended desensitizing toothpaste
brand than can help provide relief from dentin hypersensitivity. The Sensodyne range
is available in many types and flavors, each offering specific benefits to patients and
helping them comply in the long term with a good oral hygiene regimen.
Since being introduced in 1961, Sensodyne has become the favorite sensitive
toothpaste of dentists around the world. Sensodyne has continually provided clinically
proven relief from sensitive teeth

33

Sensodyne toothpastes works to relieve the discomfort of sensitive teeth. This depends
on the product's active ingredient, which is either Potassium Nitrate or, for Sensodyne
Rapid Relief, Strontium Acetate, or for Sensodyne Repair & Protect, patented
NovaMin technology.

Potassium Nitrate: The potassium ion in Sensodyne is believed to soothe the nerves
inside the teeth.
Clinical studies show potassium nitrate progressively reduces the
pain of sensitivity over a period of weeks. As long as a toothpaste
with potassium like Sensodyne is used twicedaily in brushing, the
nerve response will gradually be reduced and sensitivity pain is
relieved. To protect against tooth sensitivity every time you eat and every time your
drink, you need all day sensitivity protection. Sensodyne toothpaste provides all day,
every day sensitivity protection when used twice daily.The potassium ion in
Sensodyne toothpaste builds a protective barrier and prevents transmission of nerve
impulse to brain which results in relief from sensitivity.
Strontium Acetate: Sensodyne Rapid Relief contains strontium acetate, which is
similar to calcium. The strontium in Sensodyne Rapid Relief replaces some of the
calcium lost from the dentine and blocks the exposed tubules in the dentinal tissue.
This helps prevent the movement of the fluid within the tubules in response to a
sensitivity stimulus that could otherwise cause tooth pain.
Sensodyne Rapid Relief: relieves sensitivity pain when directly applied to the
sensitive area of a tooth with a fingertip for one minute. This is because it is
formulated to create a physical seal against sensitivity triggers.
Bioactive glass: Sensodyne contains calcium sodium phosphosilicate (Brand name
Novamin) which some studies have shown to reduce tooth sensitivity and cause
remineralisation.

4Ps OF SENSODYNE
PRODUCT
Value Providing relief from sensitive pain within two weeks.
34

Sensodyne targets customers with varied tooth ailments and also customers that
purchase toothpastes for the routine use on a daily basis.Sensodyne targets customers
with sensitive teeth and provides products that can provide relief to them from their
tooth ailments.
Branding: No.1 toothpaste recommended by dentists globally.
Sensodyne has contracts with nearly 15k dentists that are spread globally in order to
conduct clinical experiments and based on the results the product is marketed as the
number 1 oral product for providing relief to people with sensitive teeth.
Variety: Fresh Mint and Fresh Gel.
Sensodyne comes out in two different flavours as Fresh Mint and Fresh Gel to cater to
the needs of its customers.

Packaging: Attractive paper box


The product is packed in an attractive and protective paper box.The tooth brush is also
packed in a similar kind of attractive box.The packaging is significantly different to
other products that are available in the market.
Size: Available in 40gms. and 100gms.
Design: Simple and appealing Product

PLACE
The product is sold in Retail Stores and hypermarkets in urban markets. [Tier-1
cities].The product is sold as an over the counter medicine in the pharmacies . It is
also sold through distributors to cater to the needs of the people living in the
unchartered territories of the market.

PROMOTION
TV Commercials in regional languages.TheChill Testsin hypermarkets Promotion
through dentists and dental colleges go a long way in winning over the hearts of the
potential customers who ponder over the product to go with to get rid of their tooth
35

ailment . A dentist telling about a product in favour of it definitely helps the product to
get a broader customer base .
PRICING

Packet Price
Rs.42 for 40gm tube of Fresh Mint.Rs.75 for 80gm tube of Fresh Mint . Rs.45 for
40gm tube of Fresh Gel.
Discounts Rs.2 discount in D-Mart.
Pricing Strategy
Penetration Pricing . Penetration pricing is a pricing strategy where the price of a
product is initially set at a price lower than the eventual market price, to attract new
customers. The strategy works on the expectation that customers will switch to the
new brand because of the lower price. Penetration pricing is most commonly
associated with a marketing objective of increasing market share or sales volume,
rather than to make profit in the short term.The price will be raised later once this
market share is gained.

MARKET STANDING IN INDIA

GlaxoSmithKline's Sensodyne is now India's No.1 dentist recommended brand for


sensitive teeth as per research conducted among dentists by TNS, an independent
market research firm. Sensodyne came out as the clear leader and was voted most
recommended brand by more than 500 dentists surveyed across the country.
According to the research more than 8 out of 10 dentists recommend Sensodyne to
their patients suffering from sensitivity.
Within three years of its launch and close on the heels of becoming the No 1 brand in
the sensitive toothpaste category last year, Sensodyne clinched yet another major
milestone in the short span of time to become No 1 recommended brand for sensitive
teeth by dentists across the country.
Commenting on the No 1 ranking, Mr. Zubair Ahmed, Managing Director,
GlaxoSmithKline, said, Sensodyne is the global sensitivity expert and works closely
with dentists across the globe. We have been rated as No 1 recommended brand by
36

dentists worldwide and are extremely pleased and delighted to have been rated No 1
by dentists in India too. We want to thank the dentists in India for showing trust &
confidence in the brand and for recommending the brand to help their patients lead
sensitivity free life. We are aware that we still have a long way to go and we will
continue to work closely with the dentists to create a world where every life is
sensitivity- free.
Since its launch, Sensodyne has worked closely with Dentists in India to raise
awareness about the sensitivity condition and help their patients lead a sensitivity free
life. In a first of its kind initiative, Sensodyne partnered with leaders in the dental care
community to create Sensitivity Guideline document to help dental experts and
professionals make informed decisions on sensitivity and build awareness around the
condition. Going forward, Sensodyne will work closely with dentists to update them
on latest advancements to enable them to recommend sensitivity management
solutions to their patients. In addition to strengthening its existing relationships,
Sensodyne also aims to reach out to more experts' year on year to help more patients
lead a sensitivity free life and enjoy small pleasures of life.

37

Close Up[Spikenard Felix Deepak.S(F14053)]

Close up
Close-up is a popular brand of toothpaste in India and is marketed by Unilever. Unilever is a
well FMCG company in Indian markets. It has an experience of around 50 years and has the
faith of millions of people in India. Close-up is an important product through which Unilever
launched themselves as a leading company in India. Close-up, launched in 1967, is said to be
the first gel toothpaste in the world. From the day of launch, it has been compared to
Freshness and has been targeted to the youth crowd. In 2003, Unilever sold the licensing
rights to Church & Dwight in United States and Canada. But, in India the Unilever continues
its sales and it has not failed to appeal the youth crowd even today. The advertising
campaigns of this toothpaste are also very stylish and many famous stars have been roped in
to endorse this brand. It has been market leader in the Indian markets for over 3 decades.

About Hindustan Unilever:


Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods
Company with a heritage of over 80 years in India and touches the lives of two
out of three Indians.

38

HUL works to create a better future every day and helps people feel good, look good and get
more out of life with brands and services that are good for them and good for others.
With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos,
skin care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and
water purifiers, the Company is a part of the everyday life of millions of consumers across
India. Its portfolio includes leading household brands such as Lux, Lifebuoy, Surf Excel, Rin,
Wheel, Fair & Lovely, Ponds, Vaseline, Lakm, Dove, Clinic Plus, Sunsilk, Pepsodent,
Closeup, Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality Walls and Pure-it.
The Company has over 16,000 employees and has an annual turnover of INR 27408 crores
(financial year 2013 - 2014). HUL is a subsidiary of Unilever, one of the worlds leading
suppliers of fast moving consumer goods with strong local roots in more than 100 countries
across the globe with annual sales of 49.8 billion in 2013. Unilever has 67.25%
shareholding in HUL.
HUL was established in 1933 as Lever Brothers and, in 1956, became known as Hindustan
Lever Limited, as a result of a merger between Lever Brothers, Hindustan Vanaspati Mfg. Co.
Ltd. and United Traders Ltd. It is headquartered in Mumbai, India and employs over 16,500
workers, whilst also indirectly helping to facilitate the employment of over 65,000 people.
The company was renamed in June 2007 as "Hindustan Unilever Limited"
Hindustan Unilever's distribution covers over 2 million retail outlets across India directly and
its products are available in over 6.4 million outlets in the country. As per Nielsen market
research data, two out of three Indians use HUL products.

Brands in action at Hindustan Unilever:


Food brands:

Annapurna salt and atta

Bru coffee

Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea

Kissan squashes, ketchups, juices and jams


39

Lipton tea

Knorr soups & meal makers and soupy noodles

Kwality Wall's frozen dessert

Modern Bread, ready to eat chapattis and other bakery items

Magnum (ice cream)

Homecare Brands

Active Wheel detergent

Cif Cream Cleaner

Comfort fabric softeners

Domestos disinfectant/toilet cleaner

Rin detergents and bleach

Sunlight detergent and colour care

Surf Excel detergent and gentle wash

Vim dishwash

Magic Water Saver

Personal Care Brands:

Aviance Beauty Solutions

Axe deodorant and aftershaving lotion and soap

LEVER Ayush Therapy ayurvedic health care and personal care products
40

Breeze beauty soap

Clear anti-dandruff hair products

Clinic Plus shampoo and oil

Close Up toothpaste

Dove skin cleansing & hair care range: bar, lotions, creams and anti-perspirant
deodorants

Denim shaving products

Fair & Lovely skin-lightening products

Hamam

Lakm beauty products and salons

Lifebuoy soaps and handwash range

Liril 2000 soap

Lux soap, body wash and deodorant

Pears soap

Pepsodent toothpaste

Pond's talcs and creams

Rexona soap

Sunsilk shampoo

Sure anti-perspirant

41

Vaseline petroleum jelly, skin care lotions

TRESemm

TIGI

Water Purifier Brand:

Pure-it Water Purifier

About Close up:


Unlike the typical opaque, mint-flavored toothpaste of the time, Close Up debuted in 1967 as
a clear red gel with a spicy cinnamon taste and mouthwash right in the toothpaste. A unique
brand identity was developed, with Close-Up positioned as the toothpaste that gives people
confidence in those very "up close and personal" situations.
Couples with bright smiles in very "close" situations were featured on the packaging, and
commercials depicted youthful adults blowing kisses at each other.
The idea of a toothpaste that could give them fresh breath, white teeth and, subsequently, a
little extra self-confidence and sex appeal provided instant appeal to consumers. Over the
years, Close-Up briefly flirted with a few variations, from a green mint-flavored version to a
trendy clear gel.
In 2006, Close-up Limited Edition launch in Arabia redefined the toothpaste market with its
unique new flavors: Choco-loko, Tangerine Burst, and Lychee. It brought excitement and life
into the rather boring toothpaste category and helped the brand achieve record sales and
shares. One thing remains constant: Close-up is still symbolized by attractive white smiles in
very close situations.
Key facts

First toothpaste in US to combine mouthwash and toothpaste in one formula


First gel toothpaste in the world
The Fluoride in Close Up called monofluorophospate, makes the entire tooth structure
more resistant to delay. It also strengthens teeth, which aids in repairing early delay

before the damage can even be seen.


Close-Up is the number 2 brand in the GCC

42

Segmentation, Targeting and Positioning:


1. Segmentation
Market segmentation is broadly classified into two categories:

Specific need based segmentation.


o Enhancement needs : this cater the need for having fresh breath and
whiteness of teeth
o Hygienic needs : This caters to the overall Oral care needs

Demographic segmentation The segmentation was specially to target youth between


18-25 years, however it did not alienate the people who were above the age of
30 years (especially the ones who feel young at heart).This product was also
targeted to those groups of audiences who liked experimenting with different
products.

2. Targeting
Close up is targeted at young people; the target market being Multi Brand Households
where the young does not use what their parents use. This particular targeting was
significant when Close Up was launched because Colgate positioning was a sort of oral
care and hygiene benefits. Also, Colgate was going for a broad market constituting of all the
age groups

3. Positioning
Positioning Close up falls under the third pillar of toothpaste Freshness Segment particularly
dealing the need for white teeth and freshness. Also Close Up has positioned itself for
Emotional benefit of closeness and rational benefit of freshness. The name Close Up was
propounded with a motive of building social confidence to get closer to others. Close Up was
positioned as a youth oral care brand from the very beginning. In 2004, the brand was relaunched with a publicity blitz that communicated virtues of a Vitamin Fluoride
system present in the product -- a powerful mix of vitamins, fluoride, mouthwash and microwhiteners, for fresher breath and stronger, whiter teeth.
The two words which positions the product in the mind space of the consumer is:

Freshness
Confidence
43

Marketing Mix:
1. Product
In an industry where technology has almost come to a standstill and toothpaste is just
toothpaste, the one bog strength of close up is its distinctive product. In a world of white
pastes, Close up owns the minds of bright red gels. While white pastes use calcium carbonate,
Close up uses silica as its base. Silica is considered to be a more efficient abrasive and an
ingredient that is non-reactive to other ingredients in the formulation (flavours or actives).

Close up offers the following types of toothpastes in the market:

Crystal with soft blue granules


Lemon Mint
Menthol chill
Peppermint Splash
Red Hot
Fire Freeze

2. Pricing:
The price of the product is the same for the rural and the urban market, however the products
are offered in a smaller pack in rural area to enable them to purchase the same.
Decision to fix the price is taken into consideration after evaluating the competitors
pricing strategy. However the price for Close Up was on premium basis at par with the
premium variance of the competitors. In India, there is a high consideration given to
the basic need of the consumer and based on which price of the product is decided,
which is mostly in parity with the basic needs.

Brand

Size

Amount (Rupees)

Close Up Red Hot

40 gms

15

80 gms

33

150 gms

59

44

150 gms x 2 (Combo Pack)

94

80 gms

32

150 gms

58

Close Up Peppermint Splash

150 gms

55

Close Up Lemon Mint

150 gms

60

Close Up Fire Freeze

80 gms

35

150gms

65

Close Up Menthol Chill

Pricing Strategy: Market Penetration Strategy

3. Place:
Close Up has its presence in both urban and rural markets. However, the sales is more in
urban market rather than the rural market. The urban market has 60% of the sales whereas the
rural market has 40% of the sales.

Close up is easily available in all retail stores and super markets.


Pharmacies
Distributors
Wholesalers

4. Promotion:
Promotion for Close Up is done through various modes of media. There
i s a d v e r t i s e m e n t telecasted on television, especially on the youth oriented
channels like MTV and so on. The C l o s e U p t u n e P a a s a a o . . P a s s a a o . .
P a a s a a o n a i s v e r y p o p u l a r a m o n g t h e youth. There are also promotional
activities on radio, and outdoor media like banners and hoardings. Also there are promotional
activities done in mall. In Philippines promotion was carried out by asking people to get their
breath tested and then they were asked to brush their teeth in mall, after which again there
was a test conducted to know the difference in the freshness of their breath after
using Close Up. The findings of this experiment were that the subjects were convinced that
Close Up was effective in providing freshness. T h e r e w a s a l s o a p r o m o t i o n a l
a c t i v i t y c o n d u c t e d i n N i g e r i a b y c o n t a c t i n g t h e S c h o o l s a n d helping the
45

young students to understand the effect of using Close Up. Close Up also conducts
promotional activities in colleges all over the world to increase their sale. T h e y h a v e
recent tied up with online gaming company Zapak.The brand plans to
u s e t h e gaming platform to promote 'Fire Freeze'. Gaming apart, the brand is also betting
on Facebook. Close Up has sponsored a reality show called Nachenge Gayenge Joomenge
on Doordarshan.
The main promotional events include:

Advertisement in Television and Movie Theatres


Distributing sample packets in super markets and stores
Promotion through dentists
Conducting Dental camps.

Branding:
Close-Up toothpaste targeted youth people and hence their marketing strategies are youthful
and trendy. Their advertisements had lot of music and dance. Popular stars who appeal to the
youth crowd have been roped in the advertisements. The strategies emphasized on white
teeth, fresher breadth, no tooth decay, more confidence to come close to their preferred sex,
etc, and this was exactly the characteristics of the toothpaste that teens demand. The covers of
the toothpaste had couples with bright smiles with white teeth. This gave a fresh look to the
brand. When we consider niche market of people between 13 to 24 year old, Close-up
continues to be a leader in the market.

Competition:
Main competitor for Close Up is Colgate - Colgate Max Fresh and Colgate Fresh Energy Gel
in gel form. To break into Close Up's stronghold, Colgate's Max Fresh gel has also
been trying to don a young image. A few months ago it roped in numerous
celebrities like Shahid Kapoor, Genelia D ' S o u z a , Vir e n d e r S e h w a g , G a u t a m
G a m b h i r a n d Z a h e e r K h a n t o p r o m o t e t h e p o w e r o f freshness. It is also
building an engaging Facebook page and organized a Max Fresh Alarm contest
during the IPL season 4, where winners got the opportunity to meet cricketer
Virender Sehwag. However, breaking into the youth space will not be an easy feat
46

for Colgate's Max Fresh as Colgate gel's biggest handicap is its mother brand
equity of a serious health brand and this fact itself makes it less appealing to younger
consumers. C o l g a t e h a s b e e n a c t i v e l y a d v e r t i s i n g i t s g e l t o o t h p a s t e i n t h e
s o u t h a n d h e n c e , i n o r d e r t o counter this, Close Up roped in Suriya as its Brand
Ambassador in the south.Close Up's success has not been enjoyed by Hindustan Unilever's
sister brand Pepsodent (white tooth paste) which has seen a steady decline in sales in
the last few years. This has largely been due to getting the price points and rural
strategy wrong.
The main competitors of Close Up are:

Colgate Palmolive India Limited


Hindustan Unilever Limited (Pepsodent Toothpaste)
Vicco Group of companies
Henkel India Limited
Johnson and Johnson Limited
Dabur

47

Dabur Tooth Paste [Celesteena R(F14012), Delin


Jeni(F14016)]

Dabur Tooth Paste (Introduction):


Dabur India Limited is a leading consumer goods company with interests in hair care,
oral care, health care, skin care, home care and foods. From its humble beginnings in the
bylanes of Calcutta way back in 1884 as an ayurvedic medicine company, Dabur India Ltd
has come a long way today to become a leading consumer products manufacturer in India.
At present, it is Indias leading FMCG companies with sales of Rs.52,832 million,
market capitalisation of Rs.2,09,133 million and net profit of Rs.6,449 million. They have
their distribution network covering 2.8 million retail outlets. It is available in over 60
countries across the globe. It has 17 manufacturing plants catering to needs of diverse
markets. Daburs overseas revenue accounts for 30% of the total turnover.
Consumer care business addresses consumer needs across the entire FMCG spectrum
through 4 distinct business portfolios of personal care, health care, home care and foods. Its
master brands are

Dabur Ayurvedic health care products


Vatika Premium hair care
Hajmola - Tasty digestives
Real Fruit juices and beverages
Fem Fairness bleaches and skin care products

International business division caters to the health and personal care needs of
customers across different international markets spanning Nepal, Bangladesh, the Middle
East, North and West Africa, EU and the US with its brands Dabur and Vatika. This
contributes to about 30% of total sales. It leverages the Natural preference among local
consumers to increase share in personal care categories.

48

Dabur dental care:


Dental care is critical, not just for a radiant smile, but also because unhealthy gums
and teeth can lead to other serious health problems.

The various dental care products of Dabur are

Dabur Red Paste


DaburBabool
DadurLalDantManjan
DaburMeswak
Dabur Super Babool Salt
Promise Tooth Paste

Their products classification based on age groups are

Dental Care for Kids


Dental Care for Adults
Dental Care for Youngsters
Dental Care for Seniors

Corporate governance:

Professionalisation of board
Less and active board
Less number of promoters on the board
More professionals and independent directors for better management
Governed through board committees for audit, remuneration, shareholder

grievances, compensation and nominations


Meets all corporate governance code requirements of SEBI

Vision:

Dedicated to the health and well-being of every household


Strategic Intent:

Dabur intend to significantly accelerate profitable growth. To do this,

It focuses on growing its core brands across categories, reaching out to new
geographies, within and outside India and improve operational efficiencies by

leveraging technology.
It tries to be the preferred company to meet the health and personal grooming
needs of its target customers with safe, efficacious, natural solutions by
synthesizing its deep knowledge of ayurveda and herbs with modern science.
49

Its tries to provide its consumers with innovative products within easy reach.
It tries to build a platform to enable Dabur to become a global ayurvedic

leader.
It tries to be a professionally managed employer of choice, attracting,

developing and retaining quality personnel.


It tries to be responsible citizens with a commitment to environmental

protection.
It provides superior returns, relative to our peer group, to its shareholders.

Dabur toothpastes Dabur red, Daburbabool, Promise etc:


Category Tooth paste
Parent company Dabur
Sector FMCG
Tagline Keep dental problems away, daantswasth life mast
USP Gets rid of dental problems through ayurvedic solutions

STP
Segment:
Their segment is toothpowder or toothpastes
Targeting:
Their target is the people facing dental problems
Positioning:
They have positioned themselves as toothpaste containing ayurvedic ingredients and
effective in preventing and curing dental problems

SWOT Analysis
Strengths:
Their main strengths are,
50

Scientifically validated formulation and ayurvedic ingredients


Contains ingredients trusted by Indians as home remedies for dental problems
Does not contain fluoride- a toxic industrial waste which most toothpastes

contain
Reasonable price
Belonging to a strong family of Dabur having a name in ayurvedic products

Weakness:
Their weaknesses are,

Marketing not as powerful as colgate


Unusual colour of the toothpaste or toothpowder
Limited customer base

Opportunity:
Their opportunities are,

Expansion in markets outside India at a large level


Better promotion and expansion online
Explore rural segments

Threats:
Their threats are,

Price wars between competitors


Presence of easily available and lesser priced substitutes
New products from the competitors

Competitors:
Their main competitors are
Colgate
Closeup
Pepsodent

51

4Ps of DaburToothpastes:
Product:
All products of Dabur are divided into five power brands of high quality available in
different sizes. This gave many benefits like Dabur could specialize in non ayurvedic
products, tap consumers of various age groups, position itself as an herbal specialist in the
lucrative FMCG sector etc. Dabur also introduced new products looking at demand and
different trends in the market.Dabur targeted Rs 19 billion toothpaste market by introducing
Dabur Red toothpaste and increased its market share from 1.8% to 8%. Besides, they also
produced different products for different class of people and also in different sizes.

Price:
Competitive pricing was one of the growth strategies adopted by Dabur. Dabur
maintained very competitive pricing for selling their products. Dabur could have charged
high prices in their ayurvedic products but they kept their prices competitive with other
players in the market. To increase demand, dabur introduced Rs.5 smaller pack segments in
toothpastes. Thus, Dabus chose to stand out against its competitors by cutting prices.

Place:
Dabur constantly kept on increasing its geographical spread to increase its sales
revenue. From 8 percent of dabur sales from South Indian market in 2003, Dabur improved
its sales to 10 percent in 2004. It has expanded its market in the international arena very
successfully. Dabur has its branches in over 50 countries with subsidiaries being established
in Nepal, Nigeria, Bangladesh and Pakistan and this international business has added Daburs
turnover. Main focus areas include Afghanistan, Russia, Asia Pacific and other CIS countries.

Promotion:
Dabur is well known for its promotional campaigns. Dabursigned Mr.Bachchan for a
sum of Rs. 80 million for advertising campaign undertaken by Dabur. Dabur also signed
cricketer VirendraSehwag and his wife for Oral products. Moreover, different brands Have
their own marketing and advertising teams. Apart from thisDabur has also adopted integrated
marketing communication program which included ground promotion, sampling exercise,
mass media advertising, institutional promotion etc.
52

Branding strategies:
A Banyan tree has been the logo of the company for since its Inception.The banyan tree
stands for what has not been achieved. The company has been branching out. It has seven
brands in the oral care category, nine in the hair care space and six brands in foods.
Hazam sab,chahe jab
Hajmola kare khana complete
Chatpata swad,jhatpat aaram
People could relate to the product immediately because of the 125 year long trust in Dabur.
Brand has innovated to keep up with the evolution of consumers.Changed its branding
strategy by moving from the Umbrella Strategy to the Key brand Strategy

Categorized itself into five power brands

Dabur (HEALTHCARE)
Vatika (HAIR CARE)
Anmol (PERSONAL CARE)
Real

( JUICES)

Hajmola (DIGESTIVE SUPPLEMENTS)

PRODUCT LINE EXTENSION

In the JUICES range Dabur introduced :


Coolers (Low fruit Content)
Real

( High fruit pulp Content)

Real ACTIV (Health Conscious Youth)


Real Juniors (for the children below 6 years of age)
Real Schoolpack .

53

Dabur is trying to capture market by launching product with a regional twist. Planned an
agressive marketing strategy to increase its sales in the four southern states. Currently 10 per
cent sales of consumer care products in the south .Renaming them in local languages.Come
out with special products with distinct local flavour .Even roping in local celebrities as brand
ambassadors, the company is adopting every trick in the book to drive deeper into the south
indian markets.In tamil nadu- sivappu pal podi- lal dantmanjan. The Astra training
consultancy module- Bengali, Tamil, Telugu, Malayalam and Kannada.
PROMOTIONS :
Among Daburs promotional focus, 75% of total sales from rural markets. Increasing Brand
awareness through fairs and festivals like the Kumbh Mela and haats & holding reality shows .

Different brands had its own marketing and advertising team

Different brands had different promotions

Utilized the popularity of Indian films in the domestic and global markets to promote its
brands

Undertook the most advertising campaign with Mr. Bachchan endorsing Dabur brands

Signed cricketer Virendar Sehwag and his wife for selected Oral, Hair and Healthcare
products

Adopted the INTEGRATED MARKETING COMMUNICATION programme in 2003 to


increase its market share

Targeted the Institutional market which included hotels and airlines

Partnered with Institutional clients to provide value added services

Held various contests

Training sessions and workshops for food and beverage professionals

Tie-up with Discovery Channel.

PROMOTIONAL SCHEMES USED FOR STOCKIESTS

Encourage stockiest to participate in displays and sales contests.

Higher Margins: Tries to give higher margins to stockiest so that they dont loose interest in
the product and can earn good profits after meeting all the expenses.
54

Sales Contests: Sales contest are held annually and whichever stockiest has the best sales
record a prize is given to him, like free holiday to the family etc.
Allowances: Special allowances are given to both stockiest and stockiest sales man if they
achieve their monthly target.
Subsidy for Promotion Budget: Company gives subsidy to the stockiest, who spend some
money on the promotional schemes, like conducting a sampling activity.
Danglers and Posters: Company gives posters and danglers to stockiest which are further
pasted and distributed by stockiest sales man.
Training: Special Training is given to Stockiest Sales Man, a training workshop is organized
by the company for stockiest sales man so that they dont face any problem while placing
their products and taking orders from retailers.
Annual Gathering: All the stockiest meet under one roof at least once a year and then the
stockiest whose performance was best in term of sales is awarded.
Fun Trip: A zone wise fully paid fun trip is organized by the company for all the stockiest
once a year.
Gathering While Launch of New Products: All the stockiest and their sales man gather
when there is a launch of a new product. Company gives free samples & gifts to stockiest and
their sales man.
Special Trade Schemes: Special trade schemes like two SKU free with the 12 SKU.
Free danglers and posters for publicity.
Buyback: Dabur foods have a scheme of replacement of products which gets expired.

PROMOTIONAL SCHEMES USED FOR RETAILERS

Trade allowances: Short term incentives are offered to induce a retailer to stock up
more dabur products.

Dealer loader: An incentive given to induce a retailer to purchase and display the
products of dabur.

Trade contest: A contest to reward retailers those sells the most product of dabur
foods and after a specific period they are rewarded.

55

Point-of-purchase displays: Extra sales tools given to retailers by dabur to boost


sales, like danglers, posters, banners etc helps in promoting sales.

Push money: Also known as "spiffs". An extra commission paid to retail employees
to push products. This kind of practice dabur hardly follows.

Free samples: Dabur foods gives free samples are given to retailers so that they can
try that product if the product is new, or gives some discounts.

Demos: Special demos are given to retailers and even some stands, fridge are given
by retailers.

Discount Sales: Some special discounts are given to retailers from time to time, like
1% cash discounts if payment is made in cash.

Retailer Coupons: Dabur gives some coupons like free lunch for family etc if the
retailer buys and sells a specific amount of products.

Higher Margins: Retailer has the highest margins and dabur foods also have the
same criteria, and retailer can further sell the dabur product to consumer at discount
keeping his margin safe.

Allowances for additional shelf space: Company as such does not pay anything to
retailer but gives some additional benefits for giving them shelf space which is visible
to customer when ever they enter the shop.

Merchandising Allowances: Allowances are given to Stockiest sales man for


merchandising dabur products. When ever the Stockiest sales man goes to take orders
then he also merchandises dabur products.

Bonus Packs: Time to time dabur gives bonus packs to retailers like buy 10 get 2 free
with that.

Trade Allowance: Dabur comes with different types of trade discounts from time to
time, like sometime price discounts, sometimes gifts etc.

56

Free goods: Dabur gives free goods on the purchase of specific number of goods.

Cash Rebate: Generally cash rebate is given by stockiest if retailer makes the
payment in cash at the time of purchase.

Product sampling: Dabur organizes sampling activities for its products which are
new, these activities are generally at the place where footfall is very high.

Displays: Dabur tries to give special displays to the retailers, so that they can display
their products on that.

Point-of-Purchase Material: POP material is available in the form of stickers,


banners, displays, posters, signs, streamers, etc. put up inside and outside the stores &
other possible purchase locations.

PROMOTIONAL SCHEMES USED FOR CONSUMERS


Price deal: A temporary reduction in the price is given to consumer during some festival
session by dabur foods.
Price-pack deal: The packaging offers a consumer a certain percentage more of the product
for the same price (for example, 25 percent extra).
Coupons: Dabur foods gives coupons during different sampling activities to consumers and it
have become a standard mechanism for sales promotions.
Loss leader: Dabur foods temporarily reduce the price of its popular product in order to
stimulate other profitable sales.
On-shelf coupons: Coupons are present at the shelf where the product is available.
Rebates: Consumers are offered money back, rebate at different point of time.
Contests/sweepstakes/games: if a customer wins some game or contest at the time of
sampling activities then they are given a discount coupon of products of dabur foods.
Point-of-sale displays: Displays helps the consumer easily recognize their products, dabur
keeps a special check on the displays and merchandising of dabur products.
Sampling Activities: Dabur organizes different sampling actives at different retail outlets.
Gift with purchase: Dabur foods gives gift items with purchase like a glass, spoon etc.

57

Money Refunds: Customer can claim for refund of money if they face some problem with the
product
Contest /demos: There are different contests where customers play games and win contests.
Festival Sales: Dabur foods come out with some special offers during festival seasons like buy
one get one free.
Multi-packs: Dabur foods has some products in multiple packaging which are comparatively
priced lower to the products sold in a single pack.
Trade Fairs & exhibitions: Here dabur foods displays all range of its products, making it
easier for customers to know about product line and choose the best out of that.
Customer feedback: dabur foods consider its customer most important and in case of any
complaint by customer the foods department will leave all its important work and will contact
the customer.
Contact points: Customer can contact dabur foods by writing the mail or letter on the
addresses given at the back of dabur products, or even they can call and visit the dabur web
site.

References:
http://en.m.wikipedia.org/wiki/Dabur
https://www.daburdentalcare.com/DentalCareByNature/Pages/default.aspx
http://www.slideshare.net/mobile/abhike/marketing-strategy-of-dabur-india-ltd
http://www.managementparadise.com/
http://mbaskool.com/
http://www.slideshare.net/Ken_Research/india-oral-care-industry-30075703
http://www.researchandmarkets.com/reports/602416/indian_oral_care

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