Colgate-Palmolive was developing the Precision toothbrush, a technically advanced toothbrush designed to provide superior plaque removal and gum protection. It had undergone over three years of development. The Precision would be launched in three segments - Value, Professional, and Super-Premium - at various price points between $1.29 to $2.89. Market analysis identified three types of brushers as target consumers. Colgate considered both niche and mainstream positioning strategies for the Precision, weighing benefits and threats of each approach. It developed promotional campaigns including product bundling and dentist endorsements to launch the Precision brush.

1. COLGATE-PALMOLIVE
COMPANY:
THE PRECISION
TOOTHBRUSH

2. What is it?
 American worldwide consumer products
company
 Focussed on the production, distribution and
provision of household, health care and
personal products

3. Situation
 In 1992, Colgate-Palmolive set to launch
Colgate Precision (new toothbrush).
 Precision - technologically superior toothbrush
 Developed for over three years

4. The Precision Toothbrush
• A technical innovation
• Triple-action brushing effect
• More effective at plaque removal
• Provides gum protection

5. Product Segmentation
3 segments:
• Value
• Professional
• Super-Premium
 Different brands for different segments

6. Specifications of the 3 segments
• VALUE
• More economic
• Average price : $1.29
• PROFESSIONAL
• Better quality
• Average Price : $1.59 to $2.09
• SUPER-PREMIUM
• Improved designs
• Average Price : $2.29 to $2.89

7. Market Analysis(1992)

8. Consumer Analysis(1992)
3 distinct consumer groups:
• 1) Therapeutic Brushers
• 2) Cosmetic Brushers
• 3) Uninvolved Brushers

9. The segmentation

10. Reasons to use a particular brand

11. Product Design
• The longer outer bristles cleaned around the gumline.
• A superior ,technical, plaque removing device.
• The shorter bristles cleaned the teethsurface
• The long inner bristles cleaned betweentheteeth

12. ADVERTISING

13. Competitors’ Strategies

14. Meanwhile, Colgate’s strategies

15. Positioning Precision
• Niche Positioning
• Mainstream positioning

16. Niche positioning benefits
• A clear cut strategy can be used
• Can be later broadened to a mainstream
position: can’t be done the other way round
• Target group more open to paying higher
prices
• Less erosion of existing products
• Entry into superior market: can compete
with Oral-B

17. Niche positioning threats
• Less contribution to profit in coming years
• Reach limited to a specific section

18. Mainstream positioning benefits
• Accessible to larger market size
• Simple and direct campaigning
• Possibility of greater returns

19. Main stream positioning threats
• Higher price can turn people off
• Uninvolved consumers can’t be included in
target market
• Greater cannibalism of Colgate Plus and
Colgate Classic’s market share

20. Branding Precision

21. Promotion strategies
• 5.oz tube of Colgate Toothpaste with the
purchase of a Precision brush
• 50%-off offer on any size of Colgate
Toothpaste with a 50cent off on the brush
• Dentists Endorsing the product

22. Precision
• Niche Product
• Promotional Campaigns
• Should not cannibalise Colgate Plus
• Market the product as providing superior and
distinctive oral care

23. Disclaimer
• Created by Shweta Menon, Govt MEC, during
a marketing internship under Prof Sameer
Mathur, IIM Lucknow.