This is overview of Colgate-Palmolive case study from Harvard Business School. Presentation contains overview and short analysis of case study.This presentation was made during marketing internship under prof. Sameer Mathur.

1. COLGATE-PALMOLIVE
COMPANY
THE PRECISION TOOTHBRUSH
Case Study
HARVARD | BUSINESS | SCHOOL
BY- SHUBHRA DESHPANDE

2. COLGATE PRECISION
TOOTHBRUSH
Where You Can Actually Feel
It Working

3. No such
awareness and
enthusiasm in
people about oral
care till 1970
BY 1980 wide
acceptance for
oral care products
Heavy research
and high end
technology
1990, Oral care
grown at an
annual rate of
6.1%.
By 1992-93,
Customers
took great
interestHOW WAS THE GROUND
FOR THE PRODUCT?

4. CONSUMER
BEHAVIOUR
Consumer
THERAPEUTIC
BRUSHESHERS
46% OF ADULTS
Consumers
COSMETIC
BRUSHERS
21% OF ADULTS
Uninvolved
Oral Health Consumers
33% OF ADULTS
Functionally Effective Product Cosmetic Benefits Lack of Interest in Product
Buy & Use Product for
Themselves
Buy & Use Product for
Themselves
Buy Product for Family
Use Premium Products 75% Use All Product on Avg 75% Less Products with 50%
Preferences:
Oral B Angle
Oral B Regular
Colgate PLus
REach
Preferences:
Colgate Classic
Oral B Regular
Colgate PLus
Oral B Angle
Preferences:
Colgate Classic
Oral B Regular
Colgate Plus
Reach

5. POSITION OF
COLGATE-PALMOLIVE
● Global Leader in household and personal
care products with gross profit of $2.76
billion
● Leaders with exotic RnD and marketing
mix strategies
● Ready to compete with two segments:
○ VALUE : Mainstream market with Colgate
Classic
○ PROFESSIONAL : End high market with
COlgate PLus
COMPANY

6. COMPETITION FOR
MARKET LEADER
Major Expenditure on Mix Marketing
Coupons, Refunds Offers
Targets Super-Premium Range

7. THE TARGET STATEMENT

8. HOW TO DEFINE A MARKETING
STRATEGY
POSITIONING
BRANDING
COMMUNICATION STRATEGY
FOR NEW TOOTHBRUSH
COLGATE PRECISION

9. PRODUCT DESIGNING AND TESTING

10. WHAT
● Designed with keen analysis of
Consumer’s brushing habits
● Targeted Area
○ Plaque Removing
○ Gum Line
○ Between Teeth
○ Gum Health
○ Reach where no one can reach
HOW
● Triple-Action Brushing Effect
● Bristles of three different length

11. POSITIONING
Pricing & Cost

12. POSITIONING STRATEGY
● Create the best brush possible
● Targeted Top range, Super Premium
Class
● Position as NIche Product
● Capture 3% of U.S. toothbrush
market

13. THE MAJOR CONFUSION
for
COLGATE PRECISION
As
NICHE PRODUCT OR MAIN STREAM
PRODUCT

14. MAIN STREAM PRODUCT NICHE PRODUCT
● Widely Reached Market
● Consumers are Interested in Product Features
● High Returns
● Consumers are Ready to Pay High Amount
● Easy to Hit the Competition
● Manufacturing Price : 2.02
● Retail Price : $ 2.89
● Easy to Reach the Market
● Consumers are Trend Followers
● Large NUmber of Consumers
● Consumers are Consistent
● Target Market can be Hit easily with
Association with Dentist
● Less Competition
● Manufacturing cost : $1.76
● Retail Price : $2.49

15. CATEGORY AVERAGE RETURNS
VALUE
More Economic
Wide Market
$1.29
PROFESSIONAL
Better Quality
More Market
$ 1.59 - $ 2.09
SUPER PREMIUM
Targeted Baby Boom
$2.29 - $2.89
SEGMENTATION & RETURNS

16. BRANDING & COMMUNICATION

17. NAME TEST
● Name that have prominence of name Colgate
● To take the advantage of Brand Equity
● Finalized name Colgate Precision
COMMUNICATION
● Product was branded as 35% More Plaque
Removal and Gum Disease Preventer
● Which produced 80% probability that
market will get attracted and 14% of which,
will definitely buy it

18. ● Product Display
● Media Advertisement
● Free Sampling
● Coupons
● Use Dentist to Sample Consumers
● Proper Separation of Niche
Position & Main Stream
● Took care that Precision doesn’t
Overshadow ‘Colgate Plus’
BRANDING STRATEGY

19. ANALYSIS
● The case study is about Launching a
Premium Product
○ Consumer is aware of it’s ‘Need’
○ Clear Segmentation
○ Clear Objectives
● Observations
○ Excellent work by Research & Development
○ Clear & Strong Positioning
○ Proper Branding
○ Marketing is done so that the product lifts up the
overall Brand Equity
● Point of Difference of Case
○ Product and variation in quality
○ Strategy to check Competition
○ Marketing strategy
○ Approach that is completely based on Consumer
Survey
OF CASE

20. CONCLUSION
● Precision is more than a niche
product or simple extension
● Has technological benefits
● Should be positioned and branded
according to charts.
● Precision should reach to it’s full
potential without overshadowing
‘Plus’
● It definitely a potential product to
confirm Colgate as a market
leader.
& Future Scope

21. DISCLAIMER
CREATED BY
SHUBHRA DESHPANDE
DURING THE MARKETING INTERNSHIP
UNDER THE GUIDANCE OF
PROF. SAMEER MATHUR, IIM LUCKNOW