This presentation(Case Study Analysis) was made as a part of Marketing Internship under Prof. Sameer Mathur, IIM Lucknow.

1. A Harvard Business School
case study analysis

3. Background
• Founded:
William Colgate (1806)
New York City
• Products:
soaps, detergents, and
oral hygiene products

4. In 1992...
• Susan Steinberg (Precision product manager),
planned the launch of Colgate Precision.
• Either in a
– Niche Market or
– Mainstream Market.

5. Problem Statement
Defining a marketing strategy for a new product:
The Precision Toothbrush.

6. Three main aspect before planning
marketing strategies:
• THE U.S. TOOTHBRUSH MARKET
• CONSUMER BEHAVIOUR
• COMPETITION

7. 26%
23%
22%
6%
2%
5%
16%
Market share in 1992
Colgate Oral-B J&J Lever P&G Aquafresh Others

8. Consumer Behaviour
“Consumer behaviour is the study of individuals,
groups, or organizations and the processes they
use to select, secure, use, and dispose of
products, services, experiences, or ideas to
satisfy their needs and wants”

9. Consumer Behaviour
Brand choice was based on features, comfort and professional
recommendations. This table summarizes the main reasons why consumers
used specific brands.

10. Competitors
Major competitors
•Oral B
•Reach
•Crest
•Aquafresh Flex

11. BRAND Adult Child/Teen
Colgate 28 8
Oral-B 16 5
Reach 14 4
Crest Complete 10 0
Aquafresh Flex 6 1
Lever 7 2
Plax 2 1
Total 83 21
Number and type of stock keeping units (SKUs) for major brands.

12. Marketing Strategy
Promotion
&
Advertisement

13. Marketing techniques
• Use of dentists (Professional endorsements)
• Consumer research
• Free 5 oz. tube of Colgate toothpaste with the
purchase of a Precision toothbrush
• Price discounts up to 50%
• Sampling

15. NICHE MARKET
(Food & Drug stores)
MAINSTREAM MARKET
(Mass Merchandisers & Club
stores)

16. Emphasizing “Colgate” = 20% more sale.
Branding

20. The Product
The Precision Toothbrush: A technical Innovation.
• Triple Action Brushing effect
• Bristles of three different lengths and orientation
• Plaque removal
• Clean gum line, between the teeth and surface of the
teeth

22. STRENGTHS
• Strong brand image
• Financially strong
• Technical Innovation
• Increasing sales

23. WEAKNESSES
• Not yet into the super-premium market
• Strong competitors

24. OPPORTUNITIES
• Trusted brand, more opportunities
• New customers
• Customers ready to spend more on good
products
• Customers willingness to try new products

25. THREATS
• Not being accepted in a segment
• Offers by competitors
• Competition by new brands
• Increase in cost due to innovation

26. Conclusion
Colgate Palmolive’s Precision Toothbrush
managed by Susan Steinberg was positioned,
branded and communicated to consumers after
proper analysis.
Steinberg positioned the product in the niche
market segment (food & drug stores) where the
ongoing competition was tough and CP’s
product performed well.

27. Recommendations:
• Opting for mainstream brand positioning
(Mass Merchandisers & Club stores)
• Mainstream brand will fetch higher return in
the longer run as compared to niche
positioning.
• Expansion of market.
Conclusion

29. CREATED BY SAURABH YADAV, TCET MUMBAI,
DURING A MARKETING INTERNSHIP BY
PROF. SAMEER MATHUR, IIM LUCKNOW
DISCLAIMER