Preview

Colgate Precision

Powerful Essays
Open Document
Open Document
3411 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Colgate Precision
FACTORSBranding: Should the name of the product on the package and in advertising be "Colgate Precision" or as "Precision by Colgate"Communication and promotion: This is an effective way to pull a market share because it is hard to increase primary demand unless stealing sales from existing productsMajor competitors in the super-premium segment: Oral-B, Reach Advance Design, Crest Complete, and Aquafresh FlexDifferential pricing structure: Niche market vs. Mainstream marketDifferent advantages/ disadvantages: Niche market vs. Mainstream marketDramatically change in technology advances: new toothbrushes come out very quickly and frequentlyCannibalization: New Precision toothbrush might taken away positioning of Colgate Plus and Colgate ClassicConsumer purchasing power: Personal preferences, behavior, product evaluation, and reasons in buying toothbrushesFactors impact consumers' decision: Great influence from dental professional for people who concern about gum diseaseDesigning a pro-forma income statement to compare the profit implications of the niche vs. mainstream positioning strategiesCENTRAL ISSUEHow can Colgate-Palmolive manage its new Precision toothbrush's position, brand, and communication strategies and achieve the market leader position in the toothbrush market.
BACKGROUND________________________________________COMPANY BACKGROUNDAs a global leader with 1991 sales of $6.06 billion and a gross profit of $2.76 billion, Colgate had spent about five hundred millions in its R&D and advertising.
CP's five-year plan had three strategies which are:1.Launch new product (275 worldwide new products) and entry into new geographic markets (acquisition of Mennen men's toiletries company, manufacturing in China and Eastern Europe);2.Improve efficiencies in manufacturing and distribution (upgrade 25 CP's manufacturing plant;3.Focus on core consumer products continuously.
Colgate-Palmolive's Oral Care Business and The U.S. Toothbrush Market:In 1991, CP held 43% of the
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
  • Powerful Essays

    Procter & Gamble— Scope
    • 5657 Words
    • 23 Pages

    Procter & Gamble— Scope

    packaged goods industry, and its consumer brands lead in most of the categories in which the company competes. Between 1987 and 1990, worldwide sales of P&G had increased by $8 billion and net earnings by $1.3 billion. P&G executives attributed…

    • 5657 Words
    • 23 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
    • 5134 Words
    • 21 Pages

    Proctor & Gamble Scope Case

    Procter and Gamble’s mouthwash product, Scope, had a 32% share of the Canadian mouthwash market in 1990. However, Plax, a new category pre-brushing mouthwash launched in 1998, poses a continuing threat to Scope market share. In early 1991, Procter and Gamble’s brand manager for Scope, Gwen Hearst, must decide on a course of action for maintaining the profitability of Scope. She is tasked with developing a three-year marketing plan for Procter and Gamble’s mouthwash business. Decisions include how to respond to the emergence of mouthwashes, such as Plax, that focus more on “health-related benefits” and whether a line extension or brand extension would be most advantageous to the company in profiting from this emerging market segment. Hearst can also recommend that Procter and Gamble (P&G) not pursue a line or brand extension.…

    • 5134 Words
    • 21 Pages
    Powerful Essays
    Read More
  • Good Essays

    Colgate-Palmolive Company: the Precision Toothbrush
    • 1371 Words
    • 5 Pages

    Colgate-Palmolive Company: the Precision Toothbrush

    Colgate-Precision (CP) held the number one position in the US retail toothbrush with 23.3% volume share in 1991; they are a global leader in household and personal care products. They currently have 2 toothbrush products in the market, but have been working on a three-year project in developing a technologically superior toothbrush into the market. This product, tentatively named Colgate Precision will be ready to be released into the market in late 1992. However, the toothbrush market has been evolving quickly and Precision product manager Susan Steinberg needed to establish the appropriate positioning, branding and communication strategy in light of all internal and external factors that will potentially affect the business. One of the big questions Susan had to answer was: Should Precision be positioned as a niche product or mainstream product? (See Exhibit 1 for a comparison between launching the product in the niche /mainstream market)…

    • 1371 Words
    • 5 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Colgate-Palmolive Precision Toothbrush Case Study
    • 487 Words
    • 2 Pages

    Colgate-Palmolive Precision Toothbrush Case Study

    * The name of the toothbrush has been well chosen, the name precision let think of efficiency and quality, with the strong brand Colgate.…

    • 487 Words
    • 2 Pages
    Satisfactory 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
  • Satisfactory Essays

    Issues with Colgate
    • 292 Words
    • 2 Pages

    Issues with Colgate

    3.)do think that it is possible to change the product's advertising without sacrificing brand loyalty as long as they do a good job of letting consumers know that it is the same product just with a different name. I also think that having a satisfaction guarantee which offers money back will be good to let consumers know it is the same product. I think that the risk of sacrificing brand loyalty is why Colgate is not responding quickly to complaints. They may think that people will stop buying this product and the company will lose many sales.…

    • 292 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Colgate Palmolive
    • 7683 Words
    • 31 Pages

    Colgate Palmolive

    Introduction and Company Background. Colgate Palmolive was the global leader in household and personal products, with sales of $6.06 billion and gross profit of $2.76 billion, as in 1991. The company was also the No. 1 in US retail tooth brush market with 23.3% of volume share. The company had 43% of the world’s tooth paste market and 16% of the world tooth brush market. In 1991 there was an increase. There was an increase of 12% in the worldwide sales of CP’s oral care products amounting to $1.3 billion which was 22% of CP’s total sale. The Colgate-Palmolive case involves the Precision toothbrush, which was…

    • 7683 Words
    • 31 Pages
    Good Essays
    Read More
  • Powerful Essays

    Colgate Case Study
    • 3196 Words
    • 13 Pages

    Colgate Case Study

    Colgate-Palmolive (CP) Company engages in the manufacture and marketing of consumer products worldwide. The company operates through two segments, Oral, Personal, and Home Care; and Pet Nutrition. Oral, Personal, and Home Care segment provides oral care products, which include toothpaste, toothbrushes, mouth rinses, dental floss, and pharmaceutical products; personal care products that consist of shower gels, shampoos,…

    • 3196 Words
    • 13 Pages
    Powerful Essays
    Read More
  • Good Essays

    Colgate palmolive
    • 673 Words
    • 5 Pages

    Colgate palmolive

    taking on the look of one of the most stable stocks on the exchange. Colgate…

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

    Global Adventures of Colgate Palmolive
    • 1915 Words
    • 8 Pages

    Global Adventures of Colgate Palmolive

    Colgate-Palmolive Co. was founded in 1806 by William Colgate, and today the company sells its well-known products in more than 150 countries. Colgate-Palmolive is in a very desirable position, which many other firms can only dream of. However the firm does not seem to be satisfied with all its successes and achievements; and is directed towards new regions to…

    • 1915 Words
    • 8 Pages
    Powerful Essays
    Read More
  • Better Essays

    Colgate Case Study
    • 1873 Words
    • 8 Pages

    Colgate Case Study

    Its trustworthy name was the big advantage to its product, which certainly consisting its loyal customer. Colgate toothpaste is the first brand that comes to people’s minds at the mention of toothpaste. Colgate has variety types and ranges of toothpaste for selections, up to 44 choices. Different choices come with different prices, it choices help its customers able to pick the particular toothpaste that they desired from the plenty choices. Furthermore, its 200 years of experience and practice certainly signifying its product was carried quality. Colgate is good in marketing strategies and consumer engagement, it using a combination of traditional media outlets, in-store communications and newer digital outlets, including social media. Colgate has run a lot of programs in a year, which majority in charity and education; however its non-profit program but it able to bring the impact and rising in its reputation, it is powerful marketing strategy bring awareness. Colgate staff has well trained and workforce skilled, staff been concerned because Colgate know employees are one of the key to…

    • 1873 Words
    • 8 Pages
    Better Essays
    Read More
  • Good Essays

    Unilever Case Study
    • 1190 Words
    • 5 Pages

    Unilever Case Study

    Mattimore tells the story of his colleague Gary Fraser, who took over the oral care business unit at Unilever, and had to take on two much larger, deeply entrenched competitors in the toothpaste market, Colgate and Crest. He couldn’t compete with them head-to-head from a product standpoint, and couldn’t…

    • 1190 Words
    • 5 Pages
    Good Essays
    Read More
  • Powerful Essays

    Every One Gets Close
    • 4623 Words
    • 19 Pages

    Every One Gets Close

    The Campaign Strategy for Close Up Toothpaste Introduction: The Unilever group is responsible for the creation and maintenance of thirteen successful global brands. Close Up is one of two oral health care brands under the Unilever umbrella, and is fairly unknown in the U.S. market and comparatively lacking marketing support. The American company that owns the licensing rights to Close Up, Church & Dwight Co., also leads the way in marketing some of the bigger name brands. The oral health care market in the United States is saturated with many household brands such as Crest and Colgate, and entry for Close Up will require prodigious strategy and an increase in marketing dollars. Close Up’s brand identity plays the fundamental human need for closeness. Reaching out the LGBT market in advertising and communication is becoming a new business trend, and Close Up could concentrate on this niche market in order to gain more brand recognition in the United States. By speaking with this often-overlooked market opportunity, Close Up can extend the brand message of gaining the confidence to get closer to the LGBT community. In turn, the LGBT community will be brand ambassadors of Close Up in the United States. Problem: Close Up is up against a huge challenge in the oral care market. First, the Oral healthcare is a well-developed category, and the toothpaste market is the biggest segment of the Oral care category. This toothpaste submarket is also saturated, especially in the U.S. market with limited market growth of 2% per year (Toothpaste industry market report). Secondly, in this competitive market, Close Up is far left behind by many other top of mind brands in the category. The top two leading brands…

    • 4623 Words
    • 19 Pages
    Powerful Essays
    Read More

Related Topics