MARKETING STRATEGIES OF COLGATE TOOTHPASTE

SUBMITTED TO: Dr.NAVJOT KAUR SUBMITTED BYPUNEET KAUR (315) MANVEER KAUR (202) SONIA RAHEJA (344) CONTENTS1. INTRODUCTION AND HISTORY 2. TARGET GROUP AND COMPETITORS OF COLGATE 3. CHANGES IN ADVERTISEMENT PATTERN OF COLGATE 4. SALES OF COLGATE 5. CONCLUSION

INTRODUCTION Smile is often the mar of beginning of great relationship. A smile loo s better if its revealed through neat gleaning set of white teeth, and for a set of shin ning white and healthy gums, maintaining good oral health is absolutely essentia l. Colgate, an oral hygiene product line and one of the namesa e brands of the Colg ate Company, is a manufacturer of a wide range of toothpastes, toothbrushes, and mouthwashes. Colgate is serving from last 200 years. Company was founded by William Colgate in 1806, initially he started ma ing soaps and candles but in 1873 he started wi th toothpaste, it started advertising for its product in 1902. Most of Colgate t oothpaste brands use sodium fluoride. Colgate constitutes 43% of world mar et of toothpaste, its having its headquarters at New Yor and 36,002 employees are wor ing for the company. HISTORY 1806

William Colgate starts a starch, soap and candle business on Dutch Street in New Yor City. 1817 First Colgate advertisement appears in a New Yor newspaper. 1820 Colgate establishes a starch factory in Jersey City, New Jersey. 1857 Upon the death of founder William Colgate, the company is reorganized as Colgate & Company under the management of Samuel Colgate, his son. 1873 Colgate introduces toothpaste in jars. 1879 Gerhard Mennen establishes a pharmacy in Newar , NJ, later becoming the Mennen C ompany. 1896 Colgate introduces toothpaste in a collapsible tube. 1902 Stylish colgate advertising begins, emphasizing ingredient purity and product be nefits. 1906 Colgate & Company celebrates its 100th anniversary. Product line includes over 8 00 different products. 1911 Colgate distributes two million tubes of toothpaste and toothbrushes to schools, and provides hygienists to demonstrate tooth brushing. 1914 Colgate establishes its first international subsidiary in Canada. 1930 On March 13, Colgate is first listed on the New Yor Stoc Exchange. 1939 Dr. Mar L. Morris develops a pet food to help save a guide dog named Buddy from idney disease. This brea through leads to the first Hill's Prescription Diet p roduct. 1956 Colgate opens corporate headquarters at 300 Par Avenue in New Yor City. 1968 Colgate toothpaste adds MFP Fluoride, clinically proven to reduce cavities. 1972 Colgate acquires Hoyt Laboratories, which later becomes Colgate Oral Pharmaceuti cals. 1985 Colgate-Palmolive enters into a joint venture with Hong Kong-based Hawley & Haze l, a leading oral care company, which adds strength in ey Asian mar ets. 1989 Annual Company sales surpass the $5 billion mar . 1995 Colgate enters Central Europe and Russia, expanding into fast-growing mar ets. 1997 Colgate Total toothpaste is introduced in the U.S. and quic ly becomes the mar e t leader. Only Colgate Total, with its 12-hour protection, fights a complete ran ge of oral health problems. 2004

Colgate acquires the GABA oral care business in Europe, with its strength in the important European pharmacy channel and its ties with the dental community. Today Today, with sales surpassing $15 billion, Colgate focuses on four core businesse s: Oral Care, Personal Care, Home Care and Pet Nutrition. Colgate now sells its products in over 200 countries and territories worldwide. TARGET GROUP MAX FRESH Colgate targeted youth with the introduction of this toothpaste, as th is helps in refreshes breath. ACTIVE SALT Elder people are targeted in this segment as it ma es teeth stronge r and provides protection from cavities. COLGATE TOTAL Colgate Total contains the anti-microbial ingredient triclosan, wh ich reduces the number of bacteria that cause gingivitis, cavities and halitosis Basically its for ids but Mothers are targeted as they are very concerned abou t their ids. This toothpaste safeguards teeth for 12 hours. COLGATE SENSITIVE People who have sensitive teeth are targetted in this segment who have problem in their gums. KIDS TOOTHPASTE Often small children dont li e to brush teeth, so for them this t oothpaste was launched. Colgate had focused on taste aspect to encourage ids to brush teeth. COLGATE WHITENNING A whitening toothpaste that is "Clinically-proven to whiten i n 14 days. Its whitening ingredient is hydrogen peroxide, which gradually bleache s the teethFocus is given on group of customers in this segment those who are al ready suffering from plaque in their teeth. COLGATE 2in1 People who want both strongness and fresh breath are targeted. COMPETITORS Glister Ajanta Meswa Close Up Pepsodent Babool Nimboo Choice Optifresh Himalaya Promise All above are the existing toothpaste brands in India but the m ajor competitors are Pepsodent and Close up. Mar eting strategy Launching a new brand: Well, in this cluster of toothpaste brands, is there a possibility for a new bra nd to grow and gain significant mar et share? Only a disruptive strategy will he lp. And so Colgate toothpaste is specially made for brushing at night? If such a pro duct has its benefits and is proven scientifically, then it will be easy to weav e a mar eting strategy around this concept and ma e every other brand as morning toothpaste category. This will help the new brand to gain significant mar et sh are in its niche, night dental care segment. CHANGES IN ADVERTISEMENT PATTERN FIRST AD This advertisement is launched in 1960. In this advertisement colgate focused on youngsters. This ad shows a college campus where a girl pays attention to a boy who brushes his teeth with COLGATE. It was shown that colgate gives bright teet h and fresh breath. SECOND AD

This ad came on tv in 1996, with Aishwarya Rai. A boy is there in the ad who dat es with Aishwarya, it shows that colgate refreshes the breath. Its punch line wa s Saanso mein zindadil taazgi. THIRD AD This ad was launched on 18, may 2006. In this ad it was shown that some people f eels pain in their teeth when they eat something. A girl comes and suggests to u se colgate as it contains salt which helps in getting rid of tooth problems. FOURTH AD This ad came on tv on 31, august 2007 and was of 30 seconds duration. In this ad stress is given on fresh breath. A lady police is there in the ad who stops a guys car for alcohol test and she gets impressed by his tempting fresh breath. FIFTH AD This ad came on air on 9,april 2008 and was of 30 seconds duration. In this fat her & son are shown painting wood and son leaves some portion of it than father explains son the importance of total protection whether its wood or teeth. More revealing a dentist is shown doing comparison SIXTH AD In this ad there is a comparison between Colgate and other ordinary toothpaste, to ma e ad more revealing a dentist is shown doing this comparison that colgate ma es teeth and gums stronger and fights germs for a long time. SEVENTH AD In this ad two small ids are shown who are acting as a dentist at their fathers dental clinic where one id is diagnosing others teeth and they say that there i s no problem in the teeth and then father comes and says the same thing, so its shown that even a father as well as dentist is recommending Colgate to his ids. An advertising campaign for Colgate toothpaste from the 1940s used t he slogan "It cleans your breath while it cleans your teeth". From the 1960s onw ards, the slogan was "The Colgate ring of confidence".Colgate has a toothpaste a nd toothbrush mascot for children's entertainment The main punch line of Colgate is Dentist a sujhaya number one brand. This toot hpaste also approved by Indian Medical Association. SALES OF COLGATE TOOTHPASTE Colgate captures 43% of world toothpaste mar et, and earned $15.329 billi on revenue in 2008 and its net income is $1.951 billion in 2008. CONCLUSION Colgate has grown into a multinational corporation nown for its toothpaste and oral hygiene products with a $15.3 billion in net sales and $2.0 billion in net income for FY08. As of the end of 2008, the company holds a staggering 44.8% glo bal mar et share with its flagship toothpaste product line. Colgate's major advantages are the strength of its brand and its strong, global presence.