Preview

Colgate Max Fresh: Global Brand Roll-Out

Powerful Essays
Open Document
Open Document
2018 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Colgate Max Fresh: Global Brand Roll-Out
COLGATE
Business Overview
Colgate Objectives
Organization Structure
$10.6 Billion Revenue (2005)
Operating in 200 Countries
70% of sales outside the US
Compete in Oral Personal & Home Care; Pet Nutrition segments
Brands: Colgate, Palmolive, Speed Stick, Ajax, Hills Science Diet
Consistent unit volume, revenue and gross margin growth.
Focus on high margin core businesses.
Case Facts: Colgate Max Fresh Colgate Max Fresh (CMF) launched in 2004
Less cannibalization than expected
More trading up than expected USA
China Mexico
May 2005 launch recommended
Effective launch plan vs. speed to market seen as more critical. August 2005 launch recommended
Addressing communication challenges is key (naming, breath strips concept) Television Ad (US) Colgate Max Fresh Situational Analysis Enviroment
Industry
Organization
Marketing Strategy Macro-Environment

Adaption of Western cultural values.
Increased focus on cosmetic attributes of consumer products.

Economic
Socio-cultural
Political
Gross world product up 2.5% in 2005, following two years of < 1% growth.
Overall emerging market economies exploding; + 10% GDP growth in China and + 6% growth in Latin America.
Political values in emerging markets may make it difficult for foreign competition to enter market without domestic partner and / or; foreign investment & market diversification less attractive (import / export tariffs).
Situational Analysis Situational Analysis Industry Purpose of the Oral Personal Care industry is to prevent teeth and gum diseases and deliver cosmetic benefits. Scope of the industry includes toothpaste, floss, mouth rinses and toothbrushes. Industry Definition
Competition
Colgate has dominant market value share in China (32%) and Mexico (82%).
China market fragmented with Colgate & P&G representing 53% of share.
Situational Analysis Industry Product Development growth strategy with launches of premium tier brand extensions Crest Whitening
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    What Is the Dilemma Facing Colgate-Palmolive?
    • 378 Words
    • 2 Pages

    What Is the Dilemma Facing Colgate-Palmolive?

    Colgate is a player in the $7.5 billion market of oral hygiene in the United States. This market includes products that cleanse, disinfect, freshens breath and whitens teeth and Colgate has a share of that market for all these products. The competition in this market makes being innovative practically a requirement since it is difficult to encroach upon your competitors. Knowing this information, companies must also ensure that they maintain a good balance of products in this industry.…

    • 378 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Rhetorical Analysis of Hit the Line Hard
    • 734 Words
    • 3 Pages

    Rhetorical Analysis of Hit the Line Hard

    Do you desire the elimination of bad breath, cavities and diseases? Possessing the right toothpaste can help an individual obtain the confidence they need to smile and associate with others. Hygiene has become an important aspect in one’s health especially when the mouth is the main focus. People gain the feeling of shyness and rudeness around others when they show their rotten teeth and/or the odor of their breath. Nobody wants to be treated in a harmful way for reasons that can easily be fixed. Get Colgate, a type of paste or gel that helps prevent bacteria, plaque and unhealthy gums from occurring. The 1924 Colgate ad, “Hit The Line Hard,” formulates a convincing advertisement that can be assessed using three rhetorical strategies which include appeal to appeal to logic, appeal to credibility and appeal to emotions.…

    • 734 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Buss4
    • 930 Words
    • 4 Pages

    Buss4

    Emerging markets are nations with social or business activity in the process of rapid growth and industrialization. The economies of China and India are considered to be the largest.[1] According to The Economist many people find the term outdated, but no new term has yet to gain much traction.[2] Emerging market hedge fund capital reached a record new level in the first quarter of 2011 of $121 billion.[3] The seven largest emerging and developing economies by either nominal GDP or GDP (PPP) are China, Brazil, Russia, India, Mexico, Indonesia, and Turkey.…

    • 930 Words
    • 4 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Promotional Activities Analysis Crest Whitestrips
    • 781 Words
    • 4 Pages

    Promotional Activities Analysis Crest Whitestrips

    The target market for Crest 3D whitestrips are individuals. These men and women are in the age range of 18 to 65 years old and still have their natural teeth. These individuals give great care to their personal stature in terms of hygiene and grooming. They are individuals who have little disposable income and seek quality, convenience and value. (). These individuals are influenced by media images of the perfect body or the perfect smile. Those images from movies, television, magazines seduce these targeted consumers to buy products to enhance or improve the perception of their personal image. Another influencer is peers pressure to look a certain way based on society’s acceptable standard of how white teeth should be and what a great smile should look like.…

    • 781 Words
    • 4 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    marketing plan for a teeth whitener product
    • 2660 Words
    • 11 Pages

    marketing plan for a teeth whitener product

    For the last two decades, the ADA Council on Scientific Affairs has monitored the development and the increasing numbers of tooth whitening products. As the market for these products grew, the Association recognized a need for uniform definitions when discussing whiteners.…

    • 2660 Words
    • 11 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Colgate Palmolive Case
    • 1682 Words
    • 6 Pages

    Colgate Palmolive Case

    60% of consumer toothpaste brand decisions are made in store which means there is room to gain new customers who don’t have current brand loyalty…

    • 1682 Words
    • 6 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Proctor & Gamble Scope Case Analysis
    • 1242 Words
    • 5 Pages

    Proctor & Gamble Scope Case Analysis

    Proctor and Gamble-Scope is faced with a very important decision, they need to prepare a marketing plan for P&G’s mouthwash business for the next three years. They want to know how they are going to be able to capitalize on the emerging market segment within the rinse category that focused more on “health-related benefits” than the traditional breath strategy of Scope. If the company does pursue this there are several concerns that they have.…

    • 1242 Words
    • 5 Pages
    Powerful Essays
    Read More
  • Good Essays

    Manging Project
    • 1170 Words
    • 5 Pages

    Manging Project

    Choose an individual brand or product line from either the producer and/or brand owner, who are involved in the marketing of an oral hygiene product or products. Investigate and evaluate their marketing strategy using contemporary marketing tools and techniques however this may be illuminated using examples from other companies/ organizations.…

    • 1170 Words
    • 5 Pages
    Good Essays
    Read More
  • Good Essays

    Cottle Case Study
    • 681 Words
    • 3 Pages

    Cottle Case Study

    3. To promote oral hygiene products (battery-operated toothbrush, mouthwash, denture care, dental floss) in urban cities & increase profit margine…

    • 681 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Brighter Smiles for the Masses: Comparison of Toothpastes
    • 751 Words
    • 2 Pages

    Brighter Smiles for the Masses: Comparison of Toothpastes

    Colgate’s competitive advantage had been its association with whiter teeth: its whitening toothpaste had been the number one seller in the market. Now, not only had Procter and Gamble released a superior product for whitening, but the heavy capital investment in research and development had allowed for a scientific way to quantify the change that had held up against the NAD (Exhibit 4) and Would hold up against the Lanham Act (Exhibit 6). Based on the results of the concept test, an important move would consist of correcting public opinion regarding the potency of Simply White via mass advertising. This was easily doable as Procter and Gamble already had relationships with channels due to the high amount of past advertising.…

    • 751 Words
    • 2 Pages
    Good Essays
    Read More
  • Powerful Essays

    P&G Scope Case Study
    • 1429 Words
    • 6 Pages

    P&G Scope Case Study

    Scope was introduced in 1967 by Procter & Gamble, is a green mint tasting mouthwash,and was positions as a great tasting mouth refreshing brand that provided bad breathprotection. Scope held 32% share of the Canadian market for 1990. In 1970 Scope becamethe market leader in Canada, with many competitors, such as Listerine mouthwash that waslaunched by Warner Lambert in 1977 and it was a direct competitor to Scope, it had nearlythe same characteristics as Scope with a 12% of the market share during that time. But themajor competitor for Scope was Plax, a brand by Pfizer Inc, which was launched in Canadain 1988 on a platform quite different from the traditional mouthwashes, and gained a 10%share since launched. Plax detergents were supposed to help loosen plaque to makebrushing effective. Before the entry of Plax, brands in the mouth wash market werepositioned around two major benefits that are fresh breath and killing germs, whereas Plaxwas positioned around a new benefit as a plaque fighter and claims Plax removes up tothree times more plaque than just brushing alone.In studying the current situation and preparing for a strategic plan, Gwen Hearst reviewedthe available information and surveys for the mouthwash market and Scope showed that75% of Canadian household use 1 or more mouthwash brands. The company’s marketresearch revealed that users could be segmented to “heavy” users that comprised 40% of all users and to “medium” users that comprised 45% of all users and to light users thatcomprise 15%. The company also made a research on why consumers use mouthwash,and the results were: consumer’s basic hygiene, it gets rid of bad breath, it kills germs andmany other reasons. Also surveys were conducted of mouthwash user’s image of the major brands based on several attributes such as, reducing bad breath, killing…

    • 1429 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Colgate Wisp
    • 360 Words
    • 1 Page

    Colgate Wisp

    Colgate trying to once again be ahead of the competition and inventive decided to develop a new product, a one of a kind in the disposable toothbrush market, the Wisp. This new Wisp would make cleaning teeth and freshening breath while on the go a simple as 1-2-3. The Wisp is a toothbrush that is small and contains bead that is a breath freshener that dissolves while brushing and no need for rinsing. In Colgate’s opinion it could not fail and would be an easy hit, no need for water, rinsing or even toothpaste. Plus marketing for this new product in thought should be very simple. However this product needs to gross sales over $62 million in the beginning this is the major problem facing Colgate.…

    • 360 Words
    • 1 Page
    Satisfactory Essays
    Read More
  • Good Essays

    Individual Case Analysis Colgate vs. P&G
    • 796 Words
    • 4 Pages

    Individual Case Analysis Colgate vs. P&G

    The Procter &Gamble Company (P&G) was the first one to launch the over-the-counter tooth-whitening product, Crest Whitestrips, which is able to be used at home to the market. After two years, Colgate followed to launch the rival product, Simply White, and snatched big part of the market share from P&G. The market share of Whitestrips dropped from 80% to 37% while Simply White achieved almost 50%. Apparently, Colgate has won this teeth-whitening competiton.…

    • 796 Words
    • 4 Pages
    Good Essays
    Read More
  • Powerful Essays

    Colgate
    • 1151 Words
    • 5 Pages

    Colgate

    Colgate’s new line represents a significant departure from the higher-margin, high-visibility household goods that Colgate traditionally markets. Colgate chairman Reuben Marks indicates that “The Colgate name is already strong in oral hygiene, now we want to learn whether it can represent health care across the board. We need to expand into more profitable categories.”…

    • 1151 Words
    • 5 Pages
    Powerful Essays
    Read More
  • Good Essays

    Financial Research Report
    • 2170 Words
    • 13 Pages

    Financial Research Report

    Colgate-Palmolive is a global company that needs no further introduction to potential investors. Although best known for its namesake Colgate brand of oral hygiene products, the company's stable of brand names extends far beyond applications for the mouth. The company is also the proprietor of Irish springs soap, Speed Stick deodorant, Palmolive dish soap, and even Science Diet pet foods. The super company has more than 40 brands, which reach consumers in more than 200 countries around the world, covering almost all the continents of the world. In 2011, it reported $17 billion in total revenue and $2.4 billion in earnings. Additionally, the company employs a staggering 39,000 people. Over the last four years, and assuming recent trends continue, the company will have spent more than $1 billion on research and development alone, trying to make better products for its customers and higher profits for shareholders. As its 2011 annual report put it: "At Colgate, developing innovative new products is a key driver of profitable growth. With the huge number of workforce, about 25% of its workers have been with the company for over 20 years. Some of the common themes they cite are great benefits, employee development programs, a positive work-life balance, and flexible hours. Most importantly, Shareholders have been very happy with the progress the company has been making. Over the last five years, the consumer-goods giant has notched an average return on capital of 35.7%, and its shares have returned an impressive 65% including dividends. This beat the S&P 500 index by more than 50 percentage points, and outpaced competitors like Procter & Gamble and Unilever by 12 and 39 percentage points, respectively. Not to mention, Colgate has paid uninterrupted dividends on its common stock since 1895, has increased payouts every year for 49 years, and currently yields a respectable 2.3%. In 2010,…

    • 2170 Words
    • 13 Pages
    Good Essays
    Read More