Marketing strategies of Colgate Palmolive Ltd

As early as 3000 B.C. Egyptians used toothbrushes fashioned from twigs. In the 20th century a major design advance occurred in 1938 with the launch of Dr. West’s Miracle Tuft toothbrush, the first nylon bristle brush. Until the late 1970’s toothbrushes were widely viewed by consumer as a commodity and were primarily purchases on price. The involvement remained low and the companies also treated their toothbrushes as an extension, to get their consumers to use their toothpastes. Typically in the Indian market the percentage of toothbrush users has slowly inched upwards. As it has always been associated with the non-users as a non-essential item. Even more so because of their fierce loyalty to the margosa twigg(Datun) and the index finger. The market of late has been the entry of several foreign players and the marketing game has assumed a totally new dimension. Companies are trying to shift to “PULL” strategy of long term returns and the inclination of consumers to shell out a few rupees extra to ensure a more wholesome care of their teeth and gum. This has resulted in rapid growth in value terms. Added to this is the initiative of the companies to focus on expanding the market by bringing the over 65% non-users in their consumer fold. With such vast potential to be exploited, the entry of several new players with their innovative ideas and experience in similar developing markets, the industry is likely to see a lot of action in the immediate future.

[...] DEMOGRAPHIC SEGMENTATION ACCORDING TO PRICE Segment Category Brands Characteristic Low income rural Economy Promise, Cibaca Looking for low class price Middle income Standard Colgate Classic Value for money group semi urban Pepsodent popular consumer Upper middle Premium Colgate Plus, High quality income urban Classic, Ajay, cleaning consumers Royal efficiency Upper class urban Super Oral Aquafresh, Unique, attribute, sophisticate Premium Jordan, Close Up dentists recommendation The last two categories merge, since Colgate Plus is intelligently positioned in between the two to maintain a high quality in age as well as encourage switches from standard category to up grade PSYCHOGRAPHICS Variations in Jazzy looks, Simpleton looks, Mix of the two : Product Transparent Modest transparent handle Flashy packaging, Solid handle but not colors Superior colors very flash Packing packaging. [...]

[...] Colgate Plus when it was launched in 1987, was introduced as a champion product to become the ‘hero’ of the toothbrush market meant to ‘keep your smile forever’. It promised to deliver more than the rest and was priced accordingly and soon became a major player in the market. At that time it was playing against ‘Jordan’ and ‘Royal’, both of which were being imported. Gradually as the market expanded, with the several new players coming in, Colgate Plus continued to be the top most brand of the players till Oral - Aquafresh, Forhans Galaxy came in . [...]

[...] Add value to the product by giving tips on taking good oral care, in the back side of the package or a free pamphlet with the purchase of a brush, like brushing twice a day, flossing, polishing, regular dental check-up by your dentist, this shows a caring and concerned attitude by the company. With the purchase of a toothbrush, give a free coupons which is to be filled in by the consumer and can be used by him or her for getting a free dental check-up as when and where specified in the advertisement in the newspaper. [...]