Study of this Harvard case help us to know about the background of the company,its current scenario and various analysis which was done during this entire process.
4. FOUNDER: William Colgate
PLACE: New York City
YEAR : 1806
PRODUCTS: Soaps, detergents, and oral hygiene
REVENUE: $16.03 billion
PRECISION PRODUCT MANAGER: Susan Steinberg
COLGATE PALMOLIVE’S CEO: Reuben Mark
DIVISION GENERAL MANAGER: Nigel Burton
COLGATE PLUS MANAGER : John Phillips
LAUNCHING OF COLGATE PRECISION: Aug, 1992
5. Evaluate the impact of Precision marketing mix on sales
by defining 4 P’s.
Defining the marketing situation, actions and alternatives for a
new product: The Precision Toothbrush.
To analyze the consumer behavior and summarize it.
6.
7. 1992- Colgate Palmolive was poised to
launch a new toothbrush in US named
Colgate Precision
The product has been under development
for 3 years
Faced highly competitive market with substantial
new product activity
Susan recommended Positioning, Branding and
communication Strategies for “The Precision”.
8. U.S. MARKET SITUATION :
1991- Toothbrushes accounted for 15.5% of total oral care market
growth rate at an average of 9.3% per annum
1992- Growth rate was 21% in value and 18% in volume due to
introduction of new brands
9. S W
T
Strengths
•Strong commitment to innovation
through investment in R&D
•Diversification of product type
•Colgate-Palmolive is a global leader in
personal care and household products
Opportunities
•According to research, 46%
of adult consumers are concerned about
the health of their gums and are willing
to pay premium for new products
addressing the issue.
•Also consumers are willing to
experiment with new toothbrushes.
Threats
•Competitors are offering incentives
•Promotions are hitting the market hard,
discounts, and schemes are needed to be
implemented.
O
Weaknesses
• Not yet into the super-premium
toothbrush category
• Difficult to educate consumers to
prevent gum diseases.
•Oral-B has professional endorsements as
dentist’s toothbrush.
13. I. How Precision should be positioned, branded and communicated to
consumers?
II. What should be the advertising and promotion budget and how it should be
broken down?
III. How to analyze profit and loss that would enable Precision toothbrush to
reach its full potential?
16. PRODUCT (Demographic Segmentation)
•1980s- Marketed on the basis of adult and child aesthetic.
• The children segment had variety of new products like brushes
with sparkling handles, bugs and bunny etc.
•Later, new products mainly focused on technical performance
improvements.
21. WHY COMPETITION?
Offered promotions in the form of
•Coupons
•Mail-in refunds
•Discounts
HOW TO ANALYSE?
On the basis of
•stock keeping units (SKUs)
•price segments
31. • Background
• Situation and SWOT analysis
• Decision Factors
• Competitors
• Alternative Positioning Scenario
• Issues and Segmentation Hypothesis
• Actions and Calculations
32. Created by PALAK BANSAL,ZHCET (ALIGARH MUSLIM
UNIVERSITY) during a marketing internship under Prof.Sameer
Mathur (IIML) from 3rd July-29th July,2017.