A

Project Report

On

P&G - CREST: Strategies to Launch World No.1 Toothpaste in Indian Market

In partial fulfillment of the requirements of

The Summer Internship of

Post Graduate Diploma in Business Management

Through

Rizvi Academy of Management

Under the guidance of

Prof. Rajesh Vyas

Submitted by

Palak Shah

PGDBM

Batch: 2009-2011

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 CERTIFICATE

This is to certify that Mr. Palak Shah a student of Rizvi Academy of Management, of

PGDBM III bearing Roll No.117 and specializing in Marketing has successfully completed

The project titled:

“P&G – CREST: Strategies to launch World no.1 Toothpaste in Indian Market”

under the guidance of Prof. Rajesh Vyas in partial fulfillment of the requirements of Post
Graduate Diploma in Business Management by Rizvi Academy of Management for the
academic year 2009 – 2011.

______________________

Prof. Rajesh Vyas

Project Guide

______________________ ______________________

Prof. Umar Farooq Dr. Kalim Khan

Academic Coordinator Director

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 ACKNOWLEDGEMENT

I, Palak Shah would sincerely like to thank Prof. Rajesh Vyas, (Project Guide), for
his help, without which this project would not have been possible. This project is the
result of his constant motivation and guidance. I received great inspiration and
constant encouragement from him and his support is highly acknowledged.

The execution of this project could have not been possible without the valuable
advice and guidance of various individuals. It is therefore only fair that their
contribution does not get unacknowledged.

Last but not the least; I pass my thanks to Mr. Kalim Khan, the Director of Rizvi
Academy of Management for giving me a chance to make this project, leading to the
path full of valuable knowledge and information.

Palak Shah

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Sr. No. TOPIC PAGE NO.
1 Executive Summary 5

2 Scope of FMCG Sector in India 7

3 SWOT Analysis of Indian FMCG Market 9

4 Major FMCG Players in Indian Markets 10

5 Toothpaste market 32

6 Indian Toothpaste Market 35

7 About Crest Toothpaste 37

8 Need for Crest In Indian market 38

9 SWOT Analysis for Crest In Indian Market 40

10 4P’s Analysis for Crest 41

11 Michael Porter’s 5 force Analysis 46

12 Research Plan 48

13 Questionnaire 55

14 Data Analysis 62

15 Key Findings 74

16 Recommendations 75

17 Bibliography 77

Executive Summary

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The main purpose of conducting this research is to understand the buying behavior
of Indian consumers while purchasing toothpastes. Also the report will give a fair
clue on the parameters that all potential customers see while buying toothpaste and
what can influence a change to switch to other brands.

In order to achieve our desired objectives I have conducted a 2 months long

research, covering all the aspects of market Research. To aid in my research I also
referred to many books, journals, magazines, newspapers and websites

What is the Definition of Fast Moving Consumer Goods

(FMCG)?

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Products which have a quick turnover, and relatively low cost are known as Fast
Moving Consumer Goods (FMCG). FMCG products are those that get replaced
within a year. Examples of FMCG generally include a wide range of frequently
purchased consumer products such as toiletries, soap, cosmetics, tooth cleaning
products, shaving products and detergents, as well as other non-durables such as
glassware, bulbs, batteries, paper products, and plastic goods. FMCG may also
include pharmaceuticals, consumer electronics, packaged food products, soft drinks,
tissue paper, and chocolate bars.

A subset of FMCGs is Fast Moving Consumer Electronics which include innovative

electronic products such as mobile phones, MP3 players, digital cameras, GPS
Systems and Laptops. These are replaced more frequently than other electronic
products.

White goods in FMCG refer to household electronic items such as Refrigerators,

TVs, Music Systems, etc

In 2009, the Rs. 88,000-crore FMCG segment was one of the fast growing industries
in India. According to the AC Nielsen India study, the industry grew 7.3% in value
between 2008 and 2009.

Scope of the Indian FMCG Sector

The Indian FMCG sector with a market size of US$13.1 billion is the fourth largest
sector in the economy. A well-established distribution network, intense competition

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between the organized and unorganized segments characterizes the sector. FMCG
Sector is expected to grow by over 60% by 2010. That will translate into an annual
growth of 10% over a 5 Year period. It has been estimated that FMCG sector will
rise from around Rs 56,500 crores in 2005 to Rs 92,100 crores in 2010.

According to the study conducted by AC Nielsen, 62 of the top 100 brands are
owned by MNCs, and the balance by Indian companies. Fifteen companies own
these 62 brands, and 27 of these are owned by Hindustan Lever. Pepsi is at number
three followed by Thums Up. Britannia takes the fifth place, followed by Colgate
(6), Nirma (7), Coca-Cola (8) and Parle (9). Personal care, cigarettes, and soft drinks
are the three biggest categories in FMCG. Between them, they account for 35 of the
top 100 brands.

FMCG sector includes various products of Hair care, household care, male
grooming, female hygiene, and the chocolates and confectionery categories are the
fastest growing segments, says an HSBC report. Though the sector witnessed a
slower growth in 2002-2004, it has been able to make a fine recovery since then.
FMCG sector is characterized by a well-established distribution network, low
penetration levels, lo operating costs, low per capita consumption and intense
competition between organized and unorganized sectors.

For example, Hindustan Levers Limited (HLL) has shown a healthy growth in the
last quarter. An estimated double-digit growth over the next few years shows that
the good times are likely to continue.

The middle class and the rural segments of the Indian population are the most
promising market for FMCG, and give brand makers the opportunity to convert
them to branded products. Most of the product categories like jams, toothpaste, skin
care, shampoos, etc, in India, have low per capita consumption as well as low
penetration level, but the potential for growth is huge.

The Indian Economy is surging ahead by leaps and bounds, keeping pace with rapid
urbanization, increased literacy levels, and rising per capita income.

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The big firms are growing bigger and small-time companies are catching up as well.
According to the study conducted by AC Nielsen, 62 of the top 100 brands are
owned by MNCs, and the balance by Indian companies. Fifteen companies own
these 62 brands, and 27 of these are owned by Hindustan Lever. Pepsi is at number
three followed by Thums Up. Britannia takes the fifth place, followed by Colgate
(6), Nirma (7), Coca-Cola (8) and Parle (9)... Personal care, cigarettes, and soft
drinks are the three biggest categories in FMCG. Between them, they account for 35
of the top 100 brands.

SWOT Analysis of FMCG sector in India by P&G

Strengths

 Low operational Cost

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  Presence of established distribution networks of both urban and rural areas
 Presence of well-known brands in FMCG sector

Weakness
 Lower scope of investing in technology and achieving economies of scale
especially in small sectors
 Low export level
 Me-too products which illegally depicts the labels of the established brands.
These products narrow the scope of FMCG products in rural and semi-
urban areas

Opportunities
 Untapped rural market
 Rising income levels i.e. increasing purchasing power of consumers
 Large domestic market with a population of over a billion
 Export potential
 High consumer goods spending

Threats

 Removal of import restrictions resulting in replacing of domestic brands

 Slowdown in rural market
 Tax and regulatory structure

TOP COMPANIES IN FMCG SECTOR IN INDIA

Sr. No. Companies

1. Hindustan Unilever Ltd.
2. ITC (Indian Tobacco Company)
3. Nestlé India

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4. GCMMF (AMUL)
5. Dabur India
6. Cadbury India
7. Britannia Industries
8. Procter & Gamble Hygiene and Health Care
9. Marico Industries

This category has 9 major brands, aggregating Rs. 2,637 crore. Nestle and Amul
slug it out in the powders segment. The food category has also seen innovations like
softies in ice creams, chapattis by HLL, ready to eat rice by HLL and pizzas by both
GCMMF and Godrej Pillsbury. This category seems to have faster development
than the stagnating personal care category. Amul, India's largest foods company has
a good presence in the food category with its ice-creams, curd, milk, butter, cheese,
and so on. Britannia also ranks in the top 100 FMCG brands dominates the biscuits
category and has launched a series of products at various prices.

In the household care category (like mosquito repellents), Godrej and Reckitt are
two players. Goodnight from Godrej is worth above Rs 217 crore, followed by
Reckitt's Mortein at Rs 149 crore. In the shampoo category, HLL's Clinic and
Sunsilk make it to the top 100, although P&G's Head and Shoulders and Pantene
are also trying hard to be positioned on top. Clinic is nearly double the size of
Sunsilk.

Dabur is among the top five FMCG companies in India and is an herbal specialist.
With a turnover of Rs. 19 billion (approx. US$ 420 million) in 2005-2006, Dabur has
brands like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real.
Cadbury India is the market leader in the chocolate confectionery market with a
70% market share and is ranked number two in the total food drinks market. Its
popular brands include Cadbury's Dairy Milk, 5 Star, Eclairs, and Gems. The
Rs.15.6 billion (USD 380 Million) Marico is a leading Indian group in consumer
products and services in the Global Beauty and Wellness space.

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Hindustan Unilever Limited

Hindustan Unilever Limited also called Hindustan Lever Limited (HLL) was
established in 1933 as Lever Brothers India Limited. Hindustan Lever Limited
(HLL) is India's largest Fast Moving Consumer Goods Company, with a customer
base of 2 out of every 3 Indian in the category of Home & Personal Care Products
and Foods & Beverages The company has combined volumes of about 8 million
tonnes and sales of Rs. 20,869.57 crore (US$ 4.45 billion) (2008-2009) HLL is also
one of the country's largest exporters; the Government of India has recognized HLL

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as a Golden Super Star Trading House.

Some of HLL brands are:

• Kwality Walls Ice Cream

• Lifebuoy
• Rexona
• Lux
• Liril
• Brooke Bond Tea
• Pepsodent
• Close Up
• Surf
• Kissan
• Pond's
• Vaseline
• Fair & Lovely
• Lakme
• Clinic Plus
• Clinic All Clear
• Sunsilk and Lux Shampoos

The Hindustan Lever Research Center (HLRC) was established in 1958, and now
has facilities in Mumbai & Bangalore. HLRC has 200 highly qualified scientists and
technologists, many of them with post-doctoral experience.

In 2001, the company embarked on a programme called Shakti, through which it

creates micro-enterprises for rural women. Shakti also includes health and hygiene
education through the Shakti Vani Programme, which now covers 15 states in India
with over 45,000 women entrepreneurs in 135,000 villages. By the end of 2010,
Shakti aims to have 100,000 Shakti entrepreneurs covering 500,000 villages,
touching the lives of over 600 million people. HUL is also running a rural health

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programme, Lifebuoy Swasthya Chetana.The programme endeavors to induce
adoption of hygienic practices among rural Indians and aims to bring down the
incidence of diarrhea. So far it has reached 120 million people in over 50,000
villages

Hindustan Unilever's distribution covers over 1 million retails outlets across India
directly and its products are available in over 6.3 million outlets in India, i.e., nearly
80% of the retail outlets in India. It has 39 factories in the country. Two out of three
Indians use the company’s products and HUL products have the largest consumer
reach being available in over 80 per cent of consumer homes across India.

New Ventures

• Hindustan Lever Network

• Ayush Ayurvedic Products & Services
• Sangam
• Pure it Water Purifiers

Export items

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 • HPC
• Beverages
• Marine Products
• Rice
• Castor

ITC Limited

ITC was set up in 1910 by the name of 'Imperial Tobacco Company of India
Limited'. The company is now known as Indian tobacco Company Ltd. ITC's Agri-
Business is India's second largest exporter of agricultural products. ITC is one of
the India's biggest foreign exchange earners (US $ 2 billion in the last decade).
Currently companies overall revenue is US$6 billion (2009)

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ITC has its presence in Cigarettes, Hotels, Paperboards & Specialty Papers,
Packaging, Agri-Business, Packaged Foods & Confectionery, Information
Technology, Branded Apparel, Greeting Cards, Safety Matches and other FMCG
products. ITC is a market leader in the businesses of Cigarettes, Hotels,
Paperboards, Packaging and Agri-Exports It is gaining its market share very
rapidly in the businesses of Packaged Foods & Confectionery, Branded Apparel and
Greeting Cards & Stationery.

Some Facts about ITC

ITC ranks third in pre-tax profits among India's private sector corporations.

• Forbes magazine has ranked ITC among the World's Best Big Companies
and Asia's 'Fabulous 50'.
• Business World has placed it among India's Most Respected Companies.
• ITC has also been placed among India's Most Valuable Companies by
Business Today magazine.
• ITC's Agri-Business is one of India's largest exporters of agricultural
products.
• ITC is one of the country's biggest foreign exchange earners (US $ 2.4 billion
in the last decade).

Some ITC brands are

• Minto
• Sunfeast
• Candyman
• Bingo
• Wills Lifestyle and John Players
• Fiama di Wills

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 • Vivel

Nestle India Ltd

Nestle’s relationship with India started in 1912. It started its trading with India as
the Nestlé Anglo-Swiss Condensed Milk Company (Export) Limited, importing and
selling finished products in the Indian market. Nestlé India is amongst India's 'Most
Respected Companies' and amongst the 'Top Wealth Creators of India'.

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Nestle India is a subsidiary of Nestle S.A. of Switzerland Nestle India is a company
that provides Indian Consumers products with global standards and is committed to
constant growth and shareholder satisfaction. Nestle India has also provided
opportunities of growth and employment to about 1 million people including
farmers, suppliers of packaging materials, services and other goods. Today, the
company operates in 86 countries around the world with revenue of Revenue CHF
107.6 billion (2009)

Nestle made its first investment in Moga in 1961. In 1967 Nestlé established its next
factory at Choladi (Tamil Nadu). At present, it has a number of factories in
different parts of India such:

1) Punjab
2) Uttaranchal
3) Delhi
4) Gurgaon
5) Kolkata
6) Mumbai
7) Goa
8) Karnataka
9) Chennai
10) Tamil Nadu

Some of the Brands of Nestle in India

Milk Products & Nutrition

 Nestle milkmaid
 Nestle milk
 Nestle slim milk

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  Nestle milkmaid fruit yoghurt

Beverages
 Nescafe classic
 Nestle Milo

Prepared Dishes and Cooking aids

 Maggie 2-MINUTE Noodles

 Maggie Vegetable Atta Noodles
 Maggie Sauces

Chocolates and Confectionary

 Nestle Kit Kat

 Nestle Milky Bar
 Nestle Munch
 Polo
 Nestle Eclairs

Gujarat Cooperative Milk Marketing Federation

Gujarat Cooperative Milk Marketing Federation (GCMMF) is the largest food

product marketing organization of India. It aims to provide good returns to the
farmers and also to fulfill the requirements of consumers by giving them quality
products.

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Amul was formed in 1946 by an apex co-operative organization, Gujarat
Cooperative Milk Marketing Federation AMUL means "priceless" in Sanskrit.
GCMMF (AMUL) has the largest distribution network for any FMCG company. It
has nearly 50 sales offices spread all over the country, more than 3,000 wholesale
dealers and more than 5,00,000 retailers.

AMUL is also the largest exporter of dairy products in the country. AMUL is
available today in over 40 countries of the world. AMUL is exporting a wide variety
of products which include Whole and Skimmed Milk Powder, Cottage Cheese
(Paneer), Clarified Butter (Ghee) and Indigenous Sweets. The major markets are
USA, West Indies, and countries in Africa, the Gulf Region, Singapore, the
Philippines, Thailand, Japan and China.

Amul products are used by millions of people. Some of the Amul products are

• Amul Ghee
• Amul Cheese
• Amul Chocolates
• Amul Shrikhand
• Amul Ice cream
• Amul Milk
• Amul products are sold at reasonable prices.
• Amul has a revenue of Rs. 67.11 billion, $1.33 billion USD (in 2008-09)

Dabur India Ltd

Dabur India Ltd. is the fourth largest FMCG Company in India Dabur deals in
Health care and Personal care products. Today, Dabur has a turnover of Rs.1899.57
crores. The market penetration of Dabur is of about 1.5 million retail outlets all over
India with more than 5000 distributors. Dabur India is divided into 2 major
strategic business units:

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 • Consumer Care Division
• Consumer Health Division

Dabur has 3 subsidiary group companies:

1. Dabur Foods
2. Dabur Foods (Nepal)
3. Dabur International- Further divided into Asian Consumer Care in
Bangladesh, African Consumer Care in Nigeria and Dabur Egypt

Dabur has 13 ultra-modern manufacturing units in India

1. Jammu & Kashmir

2. Uttar Pradesh

3. Himachal Pradesh

4. Madhya Pradesh

5. Rajasthan

6. Uttaranchal

7. West Bengal

8. Silvassa

Dabur's Brands

 Vatika
 Hajmola
 Dabur Amla
 Real

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Exports

1. United Kingdom

2. Egypt

3. Bangladesh

4. Dubai

5. Nepal

Dabur has its offices and representatives in America, Europe, and Africa It exports
Active Pharmaceutical Ingredients to Latin America, Europe, Africa, and other
Asian countries Dabur also exports herbal products to Middle East, Far East, and
several European countries

Today Dabur is marketing its products in more than 50 countries with turnover of
approximately US$ 750 Million (Rs. 3390.9 Crore FY 09-10) & Market
Capitalization of over US$ 3.5 Billion (Rs 15500 Crore)

Cadbury India Limited

Cadbury entered India in 1948 by importing chocolates. And now, it has

manufacturing facilities in Mumbai, Pune, Gwalior, Bangalore, and Himachal
Pradesh and 4 sales offices at Mumbai, Kolkata, New Delhi, and Chennai in India.
The corporate office is in Mumbai. Cadbury is into the business of Chocolate

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Confectionary, Milk Food Drinks, and Candies

Some of Cadbury's key brands are:

Chocolates

• Cadbury Dairy Milk

• 5 Star
• Perk
• Eclairs
• Celebrations

Milk food drinks

• Bournvita

Cadbury is constantly engaged in the extension of its products line to satisfy its
customers. A good example of this is Bytes. Bytes were first launched in South India
in 2003.

Cadbury Worldwide

Cadbury is the largest confectionary company in the world and has its presence in
Beverages in Australia and Americas. The brands that are enjoyed in almost every

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country around the world are Schweppes, Halls, Trident, Dr Pepper, Snapple,
Trebor, Dentyne, Bubblicious, and Bassett.

On 19 January 2010, it was announced that Cadbury and Kraft Foods had reached
a deal and that Kraft would purchase Cadbury for £8.40 per share, valuing
Cadbury at £11.5bn (US$18.9bn)

Britannia Industries Ltd

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Britannia Industries Limited is an Indian company based in Kolkata that is famous
for its Britannia and Tiger brands of biscuit, which are highly recognized
throughout the country. Britannia is one of India’s leading biscuit firms, with an
estimated 38% market share with a revenue of Rs.2,200 crore The Company also
deals in manufacturing and selling of bread, Rusk, cakes and dairy products like
cheese, butter and milk.

The brand names of biscuits are:

• Marie Gold
• Treat
• Maska Chaska
• Good Day
• Milk Bikis

The Company's plants are located in

• Mumbai
• Kolkata
• Delhi
• Chennai
• Uttarakhand

Exports

• USA

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 • UAE
• Qatar
• Bahrain
• Ghana
• Saudi Arabia
• Kuwait
• Singapore
• Oman

Procter & Gamble

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Procter & Gamble is a Fortune 500 American multinational corporation
headquartered in Downtown Cincinnati, Ohio. That manufactures a wide range of
consumer goods. As of mid 2010, P&G is the 6th most profitable corporation in the
world, and the 5th largest corporation in the United States by market capitalization,
surpassed only by Apple, Exxon Mobil, Microsoft, and Wal-Mart. It is 6th in
Fortune's Most Admired Companies 2010 list. Procter & Gamble is in the
manufacturing of personal care products, pet food and household cleaners.

P&G has an employee base of 140,000 (2009) people and earned the revenues of US$
79.03 billion (2009). P&G is the parent company of companies such as Clairol and
shaving supply company Global Gillette

As of July 1, 2007, the company's operations are categorized into three "Global
Business Units" with each Global Business Unit divided into "Business Segments"

• Beauty Care

 Beauty segment
 Grooming segment

• Household Care

 Baby Care and Family Care segment

 Fabric Care and Home Care segment

• Health and Well-Being

 Health Care segment
 Snacks, Coffee, and Pet Care segment Brands
22 of P&G's brands have more than a billion dollars in net annual sales, and
another 18 have sales between $500 million and $1 billion.

Billion dollar brands

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  Ariel is a brand of laundry detergent/liquid available in numerous forms
and scents.
 Bounty is a brand of paper towel sold in the United States and Canada.
 Crest is a brand of toothpaste and teeth whitening products.
 Duracell is a brand of batteries and flashlights.
 Fusion is a brand of men's wet shave razors and is the quickest P&G
brand to have reached $1 billion in annual sales.
 Gillette is a brand of safety razor and male grooming products.
 Head & Shoulders is a brand of shampoo and conditioners.
 Olay is a brand of women's skin care products.
 Oral-B is a brand of toothbrush and oral care products.
 Pampers is a brand of disposable diaper and other baby care products.
 Pantene is a brand of hair care products (conditioners/styling aids).
 Rejoice is a brand of hair care products, mostly sold in Asia.
 Tide is a brand of laundry detergent.
 Wella is a brand name of hair care products (shampoo, conditioner,
styling, and hair color).
 Always/Whisper is a brand of panty liners sold primarily in Asian
markets.

Most of these brands, including Bounty, Crest, Pringles, and Tide, are global
products available on several continents. Procter & Gamble products are available
in North America, Latin America, Europe, the Middle East, Africa, Asia, Australia
and New Zealand.

Manufacturing operations are based in the following regions:

• United States
• Canada

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 • Mexico
• Latin America
• Europe
• China (31 wholly-owned factories) and other parts of Asia
• Africa
• Australia

Marico Industries Ltd

Marico is a leading Indian group providing consumer products and services in the
areas of Health and Beauty based in Mumbai.

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During 2009-10, the company generated an annual Revenue US$600 million (2010)
with a turnover of about Rs.26.6 billion (USD 600 Million), in respect of its food,
hair care and skin care related activities. Marico's own manufacturing facilities are
located at Goa, Kanjikode, Jalgaon, Saswad, Pondicherry, Dehradun and Daman

The organization holds a number of brands which are

• Parachute
• Saffola
• Hair Care
• Medicare
• Revive
• Black Chic

Exports Markets are

• USA
• UAE
• Bangladesh
• The Middle East
• Egypt.
• SAARC Countries

Growth Prospects

India has a population of more than 1.150 billion which is just behind China.
According to the estimates, by 2030 India population will be around 1.450 Billion
and will surpass China to become the World largest in terms of population. FMCG

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industry which is directly related to the population is expected to maintain a robust
growth rate

Major factors which would be beneficial for the growth

of FMCG sector in India are:-

Spending Pattern

An increase is spending pattern has been witnessed in Indian FMCG market. There
is an upward trend in urban as well as rural market and also increase in spending in
organized retail sector. An increase in disposable income, of household mainly
because of increase in nuclear where both the husband and wife are earning which
leads to growth in FMCG growth

Changing profile and mindset of consumer

People are becoming conscious about health and hygienic. There is a change in the
mindset of the consumer and now looking at “Money for value” rather than “value

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for money”. Consumers are switching from economy to premium product. Findings
according to A.C. Nielsen shows about 71 percent of Indian take notice of packaged
goods labels containing nutritional information compared to two years ago which
was only 59 percent. At present, urban India accounts for 66% of total FMCG
consumption, with rural India accounting for the remaining 34%. However, rural
India accounts for more than 40% consumption in major FMCG categories such as
personal care, fabric care, and hot beverages. In urban areas, home and personal
care category, including skin care, household care and feminine hygiene, will keep
growing at relatively attractive rates. Within the foods segment, it is estimated that
processed foods, bakery, and dairy are long-term growth categories in both rural
and urban areas.

As we can see the tremendous growth for FMCG sector in coming years, let us take
a product category – Toothpaste from the sector and understand what the trends in
toothpaste market, who all are the major players, etc. To begin with let us
understand the following-

What is toothpaste?

 Toothpaste is a paste or gel dentifrice used with a toothbrush as an accessory

to clean and maintain the aesthetics and health of teeth

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Why toothpaste is termed as a basic necessity globally?

 Toothpaste is used to promote oral hygiene: it acts as an abrasive that aids in

removing the dental plaque and food from the teeth, assists in the elimination
and/or masking of halitosis, and delivers active ingredients such as fluoride
or xylitol to help prevent tooth and gum disease (gingivitis)
 To strengthen the cavities & teeth
 To give a fresh breathe
 To keep our teeth strong, clean and white

What are the various types of toothpastes available?

 Natural Toothpaste
 Striped Toothpaste
 Herbal Toothpaste
 Ayurvedic Toothpaste
 Gel toothpaste
 White toothpaste
 Medicated toothpaste
 Clear gel toothpaste
 Mint toothpaste
 Kids toothpaste
 Sensitive care toothpaste
 SLS free toothpaste
 100% Vegetarian toothpaste

Market Trends in toothpaste

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Toothpaste is one of the most dynamic segments of the oral care market. The
frequency of product launches in existing segments of the market and genesis of new
product segments contributes to continuous evolution of the toothpaste market.
Increase in sales of oral hygiene products in major markets worldwide has largely
resulted from growing awareness of hygiene and product innovation. New
advancements have led to the launch of a variety of high-priced, value-added
multifunctional products in several oral care categories such as toothpastes and
toothbrushes. Whitening toothpastes and products offering multiple functions are
driving growth in the dentifrices segment.

Currently, for major toothpastes, averting tooth decay is not sufficient, which
usually guarantee benefits such as fresher breath, healthier gums and whiter teeth.
Technological advancements in recent years have altered the toothpaste segment to
one that offers additional benefits besides just fighting cavities to customers. This
made manufacturers to roll out products with a lot of additional features that were
not available previously.

Europe is the largest toothpaste market in the world and is projected to be worth
US$5 billion by the year 2012, as stated by Global Industry Analysts, Inc. Asia-
Pacific represents the fastest growing toothpaste market globally and is projected to
register a compounded annual growth rate of over 4% during 2001-2010 periods.

Numerous product launches in the oral care market in general, are expansions of
recognized brands. Marketers realize that there is more demand for products that
provide whitening and odor-fighting benefits. Taking advantage of recognized
brand names is one strategy through which oral care marketers can bring
innovative and novel products into the market.

The study also analyzes market data and analytics in value sales for regions such as
United States, Canada, Japan, Europe, Asia-Pacific, Middle East, and Latin

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America by the following product segments - Regular, Anti-Caries, Whitening,
Children's, Desensitizing, Gum Protection, Multi-benefit, Tartar Control, and
Others.

Key players dominating the global toothpaste market include Church & Dwight,
Colgate-Palmolive, GlaxoSmithKline, Henkel, Johnson and Johnson, Procter &
Gamble Company, and Unilever

34 | P a g e
Indian toothpaste Market History
35 | P a g e
Today’s companies are operating in macro-level environment forces. They are
facing the toughest competition ever. So, all the companies are involved in winning
customers and performing competition. India toothpaste market is one of the
country largest markets. Large number of manufacturer is present. They are trying
to go at top most position.

The toothpaste history in India can be tracked back from 1975 with 1200 tones of
toothpaste produced by the toothpaste industry. Prior to the toothpastes Oral
Hygiene was the domain of local homemade powders and ayurvedh practitioners?
With the entry of Colgate in Indian marketplace the awareness about Oral care and
the importance of oral care in recent years the Industry has shown impressive
growth rate of 18.6% (this growth is calculated in terms of value growth in Rs.)
The growth in the urban market has been largely by the Gel Segment. Presently, a
large chunk of the Market is still held by Colgate. The major players in the
toothpaste Industry being Colgate Palmolive and Hindustan Lever Limited and
several minor players like Balsara hygiene, Dabur etc.

Presently Colgate Dental Cream holds 52% of market share. HLL’s Close up lies
far behind with 23% of the existing market share. The third player in the
marketplace in terms of market share is Colgate Gel with 10.5% of the market
share. That leaves 14.5% market share for other Brands like Pepsodent, Pepsodent
G, Promise, Babool, Sensofoam, Forhans, Cibaca, Neem, Vicco etc. The toothpaste
market is presently valued at Rs. 750 crores out of which the Gel segment has
already bagged 1/3rd portion of it. The Gel segment presently stands at Rs. 248
crores and is growing at a rate much faster than Cream. In India toothpaste usage
as compared to other countries is very low which signifies about the potential of the
market. In Urban India the usage of toothpaste per person per year is just 190gms.
Where as it is 200gms of toothpaste per person per year in developing countries as
Indonesia and Thailand. In developed countries as USA and other European
countries the toothpaste usage is 375gms per person year. In India the toothpastes
companies are going in for advertising on a heavy note, on an average the

36 | P a g e
companies managing this FMCG category are spending 9.15% of their sales on
development. This is because 74 percent of our population live in rural areas and
are not well versed with personal health and hygiene. As the penetration level of this
rural segment is at a low of 30 percent, this means that only 200 million of our 740
million rural populations use toothpaste.

Product Launch for CREST in India

What is Crest?
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Crest, launched globally in 1955 as the world's first fluoride toothpaste, is a part of
P&G's global healthcare business unit and sold worldwide. It is currently one of the
leading toothpaste brands in markets like North America, Western Europe and
China.

The Crest product line includes toothpaste, toothbrush, dental floss, whitening
products & mouthwash

In a developing market plan, there are several questions that P&G need to ask
themselves in order to get their product to the correct customer. These include
identifying your target audience, identifying your competition, deciding where to
make your product available, the price in which to sell it, and the means of which to
promote the product.

Offering a product of oral care, the target market is very broad. Crest offers a
complete product line including items for children, which expands their target
market, therefore, the audience that crest needs to reach would be all people,
regardless of age, gender, income-level, ethnicity, education, occupation or
geographic location as long as they do have teeth and have need of oral care.

With any product comes the possibility of competition. Procter & Gamble should
closely keep an eye on the competitors of crest product line, so that they are able to
counteract the activities that the competition may do. Competition for crest in
Indian Market includes Colgate, HUL, AIM, Dabur, etc

Why is there need for Crest in Indian Market?

 It’s one of the biggest leading toothpaste brands in markets of North

America, Western Europe.

38 | P a g e
  Cavity Protection Toothpaste was the first ever to be accepted by the
American Dental Association.
 Crest – as a toothpaste brand has good global image as it was world’s 1st
toothpaste with fluoride which is highly recommendable by American Dental
Association
 Indian Market & China Markets are huge which includes 40% of world’s
entire population
 Population of Indian market is approximately 118 crores which is 18% of
entire world’s population Indian GDP is growing at very good rate which
indirectly improves the per capita & standard of living of consumers which
will directly reflect to good market for new toothpaste CREST under its
renowned brand name of P&G
 Indian consumers are more brand conscious rather than price difference
 P&G already has a good strong distribution network so there would not be
any problem in Market penetration for CREST
 Indian Rural Market is still needed to explore which has a customer base of
over 750 million which can be tapped This growth has been largely driven by
a consumer shift in rural markets from toothpowders to toothpastes.
 This growth has been largely driven by a consumer shift in rural markets
from toothpowders to toothpastes.
 Wide variety of products available under 1 brand name “CREST” which
would attract the Indian buyers easily by giving choice options
 P&G is already present in the market with its toothbrush brand, Oral-B, one
of the largest-selling brands in the country.

Before penetrating into any market P&G needs to

understand various things which are stated as under

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1) What is Company’s motive behind CREST launch in Indian
Market?

 To add a billion new customers from countries like India and China to the
company’s existing customer base of 5 billion

2) Who all are the competitors in toothpaste market of India?

 Colgate – 50%
 HUL – 27%
 Dabur – 10%
 Others 13%

3) What is the annual value of toothpaste market in India?

 The current value of toothpaste market for the year 2009 was recorded at
17800 crore of which market of 16000 crore was captured by the top 3 key
players
 Colgate (50%)
 HUL (27%)
 Dabur (10%)

SWOT ANALYSIS FOR CREST IN INDIA

Strengths

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 • P&G brand one of the biggest MNC brand
• World No.1 in US, Europe and China markets
• Wide distribution Network
• Broad portfolio of products at multiple price points
• Strong brand portfolio

Weakness

• Strong competitors
• Substitute products
• No advertisements

Opportunities

• Huge untapped rural market

• Increasing the volume of production
• Has the potential to become the market leader
• Toothpaste consumption very low in India at 92gms per household
per month

Threats

• Strong competition from already existing brands

• Emergence of small but strong regional players
• Economic crisis
• Chances of Price War
• Increase in labor production cost
• Political Effects

4 P’S ANALYSIS for Toothpaste CREST

PRODUCT:

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Clearly, Toothpaste is more than just toothpaste when P&G sells it. P&G’s great
success in the toothpaste world comes from developing an innovative product
concept. An effective product concept is the first step in marketing-mix planning.

Philip Kotler defines product as

“Anything that can be offered to a market for attention, acquisition, use or

consumption that might satisfy a -want or need It includes physical objects, services,
persons, places, Organizations and ideas.”

Product planners need to think about the product on three levels. The most basic
level is the core product, which addresses the question: What is the buyer really
buying?

Theodore Levitt has pointed out that buyers” do not buy quarter-inch drills; they
buy quarter-inch holes'. Thus when designing products, marketers must first define
the core of benefits that the product will provide to consumers

 The product planner must next build an actual product around the core
product. Actual products may have as many as five characteristics:
 quality level
 features
 Styling
 a brand name
 Packaging.

Product is more than a simple set of tangible features. Consumers tend to see
products as complex bundles of benefits that satisfy their needs.

We will now discuss our product CREST under the follow

Form:

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FEATURES

The CREST has whole range of toothpastes with different features. These are –

 Crest kid’s Sesame Street Toothpaste - Fun flavor encourages kids to brush
 Crest Pro-Health Night Toothpaste - Clean Night Mint – Spearmint flavor
 Crest Sensitivity Extra whitening toothpaste – for fresh breathe
 Crest Sensitivity Whitening Plus Scope Toothpaste - Minty Fresh flavor

SIZE OF PACKAGE

It would be available in the packs of different sizes that is

 Small packs - 135gm, 200gm

 Medium packs – 300gms
 Large pack – 500gms

BRAND:

Crest is a brand that has continually pushed to improve oral health since its
inception in 1955. Today, Crest is among the most trusted household brands, a value
reinforced by the continued recognition of many of its products by the American
Dental Association. Crest’s dream is to lead the way in the passionate pursuit of
perfect oral health so that everyone can have a healthy, beautiful smile for life.

4P’s of Crest

PRODUCT

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  Crest 3D white Advanced Vivid Toothpaste
 Crest kids sesame street toothpaste
 Crest pro-health night mint toothpaste – clean night mint
 Crest pro-health toothpaste – clean cinnamon
 Crest pro-health whitening gel toothpaste – Fresh clean mint
 Crest Sensitivity extra whitening toothpaste
 Crest Tartar protection toothpaste – regular

Price

 Crest would enter Indian market with aggressive price strategy to gain a
higher market share in the initial days
 Crest would enter the market with price range of Rs 25 for 150gm and Rs 45
for 300gm pack
 Crest toothpaste would also be made available in sachets packs at Rs. 3 for
10gms for the lower segment market

Brand analysis of pricing of competitor brands

Brand Feature Weight Price (Rs)

Oral B Specially for children 100gm 55*
Colgate Total Paste 100gm 35
Gel Gel 100gm 24.50

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 Ultra whitening Paste 150gm 39
Sensation whitening Paste 150gm 39
Calciguard Paste 100gm 24.50
Pepsodent Germicheck Paste 200gm 49.90
2 in 1 Paste+ gel 150gm 45.10
Aguafresh Paste + gel 100gm 25
Close up Gel 100gm 33

* The price of a paste and brush

The brands in the market offer basically two types of toothpastes - one is in the form
of the conventional paste and the other is the gel. Colgate Total, Pespodent
Germicheck, etc are examples of the former type. They offer clean teeth and a
safeguard against cavities. The Close up range, Promise Gel, Colgate Gel, etc
promise fresh breath. Aquafresh and Pepsodent 2-in-1 combine the two types by
having both gel and paste together.

Oral B is specially formulated toothpaste for children in India. It comes in one

flavor - mint. Though the children like the mild flavor the paste it self does not
foam. Also the paste comes along with a brush making it an expensive buy if you are
not interested in using their brush.

Place

 Initial stage Crest would be launched aggressively in markets of Metro cities

such as Mumbai, Delhi, Chennai, Bangalore, Kolkata, Ahmadabad, etc
 Later Crest would be made available in other parts of the country with the
help of wide range company’s distribution network

Promotion

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  Heavy promotional campaigns would be conducted across the country
 Celebrities endorsement and panel of doctors would be used in TV
commercials to get the maximum target audience reach
 Promotions would include Print and Television Advertisements which would
be in top non-business newspapers and general entertainment channels in
prime-time
 Free-sampling would be conducted at initial stage at various malls across
India to get feedback
 Mobile promotional campaigns would be done in towns and villages in India

Porter five force analysis

A graphical representation of Porters Five Forces

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A MODEL FOR INDUSTRY ANALYSIS

Michael Porter provided a framework that models an industry as being influenced

by five forces. The strategic business manager seeking to develop an edge over rival
firms can use this model to better understand the industry context in which the firm
operates.

For P&G - CREST

A) Key Industry Rivals

Dominated by large multi-national companies Colgate, Hindustan Unilever Limited

A few Indian companies such as Dabur, Anchor, babool

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 Bargaining power of Buyer

Very Low

Bargaining power of Supplier

Most of the companies in the Industry are integrated Backward

Manufacturing is largely outsourced

Potential Entrants

Future Group – Sach

Sector is not Capital-intensive

Threats from Substitute Products

Traditional products like twigs of the neem, salt, ash and other herbal items
Toothpowders with 23% market share can act as a threat to toothpaste market

After identifying all possible threats from all competitors of industry an exclusive
research was conducted in order to understand the buying behavior of Indian
customers

1) What is Market Research?

Market Research is a systematic and objective identification, collection analysis and

dissemination of information for the purpose of assisting in management in decision
making related to the identification and solution of problems and opportunities in
marketing.

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Why Market Research is important?

Managers need information in order to introduce products and services that create
value in the mind of customers. But the perception of value is a subjective one, and
what customer’s value this year may be quite different from what they value from
next year. Accordingly, the attributes that create value cannot be deduced from the
common knowledge. Therefore, data must be collected and analyzed. The goal of
market research is to provide the facts and directions that managers need to make
their decisions more important.

• To maximize the benefit of market research, it is very important for

the managers to understand the research process and limitations

• Once the need for market research has been established, most market
research involve the following steps

 Define the problem

 Determine research design
 Identify data types and resources
 Design data collection forms and questionnaires
 Determine sample plan and size
 Collect the data
 Analyze the data
 Prepare the research

In this project we are trying to figure out the criteria that consumers use in
evaluating toothpastes and to evaluate crest toothpaste on those mentioned criteria
using the above mentioned steps in order to identify the buying habits of individual
people. This will help us to understand the behaviors and preferences of consumers

49 | P a g e
2) Problem definition

Market research can help Crest to increase its market share by understanding what
perceptions consumers have of toothpaste products and how consumers Develop
preference towards their products

a) Management decision Problem :

• Is Crest toothpaste satisfying our customer need or not

b) Marketing Research problem

• To identify the criteria used by customers to purchase a toothpaste and

evaluate it on Crest toothpaste

3) Approach the problem (objectives & hypotheses)

a. Objectives:-

1. To know about the factors that influence the consumers decision to buy a
particular brand of toothpaste
2. To know about the product / alternatives which consumer might prefer to
brush their teeth other than a toothpaste
3. To know about the attributes that consumers look for in a toothpaste brand
when he/she buys for himself/herself
4. To evaluate crest toothpaste on the above mentioned criteria

50 | P a g e
 b. Hypothesis:-

1. Fresh breathe is the main factor that males evaluate in a toothpaste

2. Whiteness of the teeth is the main factors that females evaluate when
Purchasing toothpastes
3. Customers purchase Crest toothpaste for its cavity and gum protection
4. Customers purchase Crest toothpaste because of its Brand Positioning in
Global Toothpaste Market

4) Research Design

A) Type of a Research design

Descriptive Research will be helpful in figuring out factors that affects

consumer preference towards Crest toothpaste and how those factors affect
their Brand Loyalty

B) Specialization of information needs

Table 1:

H1 Variable Type of Data

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Fresh Breath is the main Factors used in evaluation : Primary data
factor that males evaluate in a (survey)
toothpaste
Price, taste, cavity and gum protection,
whiteness of the teeth and freshness Secondary Data

Table 2:

H2 Variable Type of Data

Whiteness of the teeth is the Factors used in evaluation : Primary data

main factor that females (survey)
evaluate when purchasing
toothpaste Price, taste, cavity and gum protection,
whiteness of the teeth and freshness Secondary data

Table 3:

H3 Variable Type of Data

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Customers purchase Crest for Differentiation Factors : Primary data
its cavity and gum (survey)
protection
Price, taste, cavity and gum protection,
whiteness of the teeth and freshness Secondary data

Table 4:

H4 VARIABLE Type of Data

Customers purchase Crest Differentiation Factors : Primary data

toothpaste because of its (survey)
Brand Positioning in Global
Toothpaste Market Price, taste, cavity and gum protection,
whiteness of the teeth and freshness Secondary data

C) Data collection from secondary sources:

 We used the internet search engine to find appropriate information about
P&G Products, its market share and information about direct competitors.

53 | P a g e
D) Data collection from primary sources:
 Our team designed 5000 samples of the questionnaire and was distributed to
our Target Sample.

E) Scaling techniques:
 We will use non-comparative scaling techniques like the Likert scale.
 We also used comparative scaling techniques like interval and rank order
scaling.

F) Questionnaire development and pre-testing:

 We took in consideration that every question should contribute to the
Information needed or serve our specific purpose.

G) Sampling techniques:
Target population: People using toothpaste regularly
Sampling frame: People at malls
Sampling unit: Individual consumers at malls
Sampling technique: Quota, Non-Probability Sampling
Sample Size: 5000
Duration: 2 month

Execution:
Select specific shopping malls judgmentally. Set quotas by
Gender (50% male and 50% Female) Use quota sampling to select mall
Customers and interview them.

54 | P a g e
H) Field Work:

We went to supermarkets and asked about the factors related to consumer

preferences of toothpaste listed below. We used a personal survey method and
precisely it was the mall-intercept personal interviews as it will be more efficient for
the respondent to be available, also as we are restricted with a minimal time frame
and costs therefore mall intercept interviews would be the best method. I would also
be able to control the data collection environment and to control the field force
which is important in to our survey.

5) Exhibits

A) Questionnaire

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Questionnaire

The questionnaire is held in order to know customer preferences towards toothpaste, please
helps by filling this survey

1) Do you use toothpaste on a regular basis?

a) Yes

b) No

If you answer no, please do not answer the remaining questions

2) Which toothpaste are you aware of?

a) Colgate

b) Pepsodent

c) Close-up

d) Amar

e) Babool

3) How do you come to know about the toothpaste that you are currently using?

a) TV advertisement

b) Print

56 | P a g e
c) Radio

d) Others

4) How frequently do you purchase toothpaste

a) 2 weeks

b) 4 weeks

c) 6 weeks

d) 8 weeks

5) Do you buy the same brand of toothpaste most of the time?

a) Yes

b) No

6) Please rank the importance of the following factors in your selection of a

toothpaste brand?

a) Price ______

b) Whiteness of the teeth _____

57 | P a g e
c) Fresh Breathe _____

d) Taste _____

e) Cavity Protection _____

f) Sensitivity _____

g) Brand Name _____

7) Please evaluate Crest toothpaste on the following Factors?

Very high High Neutral Low Very Low

A) Price 1 2 3 4 5
b) Whiteness 1 2 3 4 5
c) Fresh Breadth 1 2 3 4 5
d) Taste 1 2 3 4 5
e) Cavity Protection 1 2 3 4 5
f) Sensitivity 1 2 3 4 5

8) Please evaluate Colgate toothpaste on the following Factors?

Very high High Neutral Low Very Low

A) Price 1 2 3 4 5
b) Whiteness 1 2 3 4 5
c) Fresh Breadth 1 2 3 4 5
d) Taste 1 2 3 4 5
e) Cavity Protection 1 2 3 4 5
f) Sensitivity 1 2 3 4 5

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9) Please evaluate Pepsodent toothpaste on the following Factors?

Very high High Neutral Low Very Low

A) Price 1 2 3 4 5
b) Whiteness 1 2 3 4 5
c) Fresh Breadth 1 2 3 4 5
d) Taste 1 2 3 4 5
e) Cavity Protection 1 2 3 4 5
f) Sensitivity 1 2 3 4 5

10) Please evaluate Close-up toothpaste on the following Factors?

Very high High Neutral Low Very Low

A) Price 1 2 3 4 5
b) Whiteness 1 2 3 4 5
c) Fresh Breadth 1 2 3 4 5
d) Taste 1 2 3 4 5
e) Cavity Protection 1 2 3 4 5
f) Sensitivity 1 2 3 4 5

11) Please evaluate Amar toothpaste on the following Factors?

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 Very high High Neutral Low Very Low
A) Price 1 2 3 4 5
b) Whiteness 1 2 3 4 5
c) Fresh Breadth 1 2 3 4 5
d) Taste 1 2 3 4 5
e) Cavity Protection 1 2 3 4 5
f) Sensitivity 1 2 3 4 5

12) Please select the most preferred toothpaste brand?

a) Crest

b) Pepsodent

C) Amar

d) Colgate

e) Babool

f) Close-up

13) What is your Gender?

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A) Male

b) Female

14) What age range are you in?

a) 18-24

b) 25-30

c) 30-35

15) What is your marital status?

a) Married

b) Single

16) If you want to purchase toothpaste of 1 brand from where would you like to
purchase?

a) Retailer

b) Malls

c) Hypermarkets

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d) Supermarkets

Thank you for your time

6) Data analysis:

Chart 1

Brand Awareness
Babool
4%
Amar
6%
Colgate
Close-up
Colgate Pepsodent
20%
45% Close-up
Amar
Babool
Pepsodent
25%

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We have found that nearly half of our sample is highly aware as Colgate as their
Toothpaste Brand with Pepsodent as Brand awareness is 25% with Close up at 20%
and Amar and babool at 6% and 4% respectively

Chart 2

Product Awareness
radio
2%
Others
8%
Print Television
12%
Print
Others
radio
Television
78%
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We have found that more than 75% of our sample is aware of their toothpaste
brand due to television commercials whereas Product awareness by Print Media is
12% followed by others (Posters @ Retail Stores) is 8% and awareness via Radio is
2%

Chart 3
Duration of purchase

2 weeks
8 weeks 14%
30% 2 weeks
4 weeks 4 weeks
22% 6 weeks
8 weeks

6 weeks
34% 64 | P a g e
More than 60% of our respondents purchase their toothpaste after 6 weeks.
Respondents who purchase toothpaste after 4 weeks are the ones who are brushing
teeth twice a day and respondents who purchase every 2 week are the ones who buy
smaller packs.

Brand Loyal
Chart 4

No
34% Yes
Yes No
66%

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More than 65% of our sample is Brand Loyal, remaining sample size are satisfied with
Any given brand of toothpaste

Chart 5

Price

Very Low
4%
Very High
Low 18%
8% Very High
High
High Neutral
16%
Low
Very Low
Neutral
54%
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We have found that more than half of our sample doesn’t pay a great attention to
the price as a factor while purchasing Crest Toothpaste.

Chart 6

Whiteness of teeth

Very Low
7%
Low Very High Very High
14% 33%
High
Neutral
Neutral Low
20%
Very Low
High
26%

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The respondents have evaluated Crest toothpaste as very high concerning its ability
to whiten their teeth, however more than 50% of respondents highly rated Crest for
whitening their teeth

Chart 7

Taste

Very High
Very Low
12%
22% Very High
High High
22% Neutral
Low
Low Very Low
Neutral
30%
14%

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Concerning Crest toothpaste taste 50% of the respondents agreed that they dislike
its taste, and are not satisfied with its taste, on the other hand they preferred
Close-up toothpaste taste as it provides different kind of toothpaste tastes that it
satisfies the needs of maximum respondents

Chart 8
Fresh Breath
Very Low
2%
Low
8%
Very High
Neutral
Very High High
18%
42%
Neutral
Low
Very Low
High
30%

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A great percentage of our sample (72%) has been satisfied with Crest toothpaste
ability to give them a fresh breath

Chart 9

Very Low
Cavity & gum protection
2%
Low
4%
Neutral
Very High
18%
Very High High
46% Neutral
Low

High Very Low

30%

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More than 70% of the respondents very highly agreed that Crest toothpaste helps in
cavity & gum protection

Chart 10

Sensitivity

Babool
10%
Crest
6% Colgate
Colgate
Amar Pepsodent
40%
14% Amar
Crest
Babool
Pepsodent
30%
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The majority of respondents agreed that Crest toothpaste does not help in
maintaining of sensitive teeth. Colgate is most preferred toothpaste with 40%
respondents whereas Pepsodent is preferred with 30% of respondents with
Amar and Babool with 14% and 10% respondents respectively

Chart 11

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Majority respondents with 34% answered that they prefer Colgate toothpaste at 1st
place followed by Pepsodent’s preference at 22%, Crest-Close-up, Amar and Babool

Chart 12

Preferred Location

Supermarkets
30% Retailer Retailer
40% Malls
Hypermarkets
Supermarkets
Hypermarkets
Malls
20%
10%

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Out of all respondents of our sample size, 40% of them preferred to buy toothpaste
from nearest retailer whereas 30% preferred to buy from supermarkets due to
availability of discount on MRP whereas 20% preferred to buy from Hypermarkets
and remaining 10% preferred from malls.

7) Limitations:

 The research is limited to Malls of Mumbai only

 It was conducted on 5000 respondents

8) Key Findings

 People in India are strongly aware of products 2 major rival competitor

(Colgate-Palmolive & Hindustan Unilever Limited)

 Product Awareness among the Indian masses by Television Media is

humungous

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 Maximum Indian Family brush their teeth once a day so approximate
purchase of toothpaste is every 6 week to 8 week

 Price of a toothpaste is not of much importance for Indian Buyers

 Whiteness of teeth, Fresh Breath, Taste are very important Factor for Indian
Mass

 Cavity & gum protection, Sensitivity also required in a toothpaste

 Most preferred location for purchase of toothpaste is Retail outlets

8) Recommendations

 The results supported our hypothesis as we found respondents ranking

cavity and gum protection as number 1 in their evaluation for Crest
toothpaste

 Decision maker at Crest should add more tastes categories to their

Toothpaste in order to satisfy the needs of those customers whom are
Concerned with the toothpaste taste.

 Crest should produce new special toothpaste targeting those with sensitive
teeth

75 | P a g e
 P&G should introduce Crest toothpaste with low price to target C-class who
uses local powder instead of paste whereas shampoo type packed toothpaste
to be introduced for D-class with a new low cost packaging. This will lead to
a huge coverage of rural market

 National Brand Awareness should be done extensively with a famous

Bollywood Star (Katrina Kaif) as Brand Ambassador with an excellent TV
Commercial which to be telecasted during prime time in all General
entertainment Channels (GEC)

 Heavy Promotions should be done across Nation in all metro cities pre and
post of official launch of toothpaste with hoardings, Road-shows, Free-
sampling at malls along with TV commercials aired at prime-slots
simultaneously

 Product should me made available at all regular retail outlets, supermarkets,

hypermarkets, malls with the help of strong existing distribution network.

 Taste should be changed according to Indian Standards.

 Sensitivity factor should also be strongly taken into consideration and should
overcome the barrier required by Indian masses in their toothpaste by
focusing strongly R&D

 Enter the Indian Market with aggressive pricing strategy with discounted
offers which kills the competitors which will lead to generate Brand equity
for Crest among Indian masses

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  Come up with a Combo pack offer with every 300gms of Crest 1 Oral-B
toothpaste Free or a Combo pack offer with small 50gm Crest toothpaste
being given away with other strong P&G product such as Pantene or Gillette

Bibliography

www.crest.com
www.thehindubusinessline.com
www.financialexpress.com/news
www.findarticles.com
www.allbusiness.com

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