Competitive Analysis - Tide Pods
Allison Scanlon
Michael Carter
Marketing 3700 13 March 2013
Competitive Analysis
Introduction
Proctor and Gamble has spent nearly a decade developing Tide Pods, and thus far, it appears that their work has paid off. Tide Pods have claimed a 68% market share in the new laundry pods category, which now accounts for 7.3% of the total multibillion dollar laundry industry (Monk, Tide Pods successful enough to boost P&G's earnings). Tide Pods are unit-dose liquid packets that are twice as compacted as liquid detergent. They contain three different chambers and products: a liquid detergent, stain remover, and brightening agent. Tide Pods unique chemistry and packaging add a little magic to a despised chore.
Existing Competition
Proctor and Gamble gave their competitors a great advantage in the laundry pod market by delaying the launch of Tide Pods twice ("Proctor & Gamble Delay Tide Pods a Second Time"). Church & Dwight, a competitor of Proctor & Gamble, was able to launch Arm & Hammer Toss N’ Done Power Paks slightly before Tide Pods were released into the market. Power Paks are a single-use laundry pod, but they contain a powdered detergent as opposed to Tide’s liquid detergent Pods. Power Paks also contain a brightening agent and a bleach product for stains, which is a considerable strength for them (Leverette, Arm N' Hammer Toss N' Done Power Paks Laundry Review). No other unit-dose pack has these features besides Tide Pods. They also contain baking soda, a quality that has off put some consumers. Consumers have noted that the Power Paks are not soluble in all washing machines or water temperatures, and they sometimes leave a film residue on clothes. Another complaint that consumers have had with Power Paks is their scent; many have complained about an unpleasant smell after washing their clothes with the Paks. They do not have a cost advantage over Tide Pods either; they actually tend to run about $0.02 more per ounce
Michael Carter
Marketing 3700 13 March 2013
Competitive Analysis
Introduction
Proctor and Gamble has spent nearly a decade developing Tide Pods, and thus far, it appears that their work has paid off. Tide Pods have claimed a 68% market share in the new laundry pods category, which now accounts for 7.3% of the total multibillion dollar laundry industry (Monk, Tide Pods successful enough to boost P&G's earnings). Tide Pods are unit-dose liquid packets that are twice as compacted as liquid detergent. They contain three different chambers and products: a liquid detergent, stain remover, and brightening agent. Tide Pods unique chemistry and packaging add a little magic to a despised chore.
Existing Competition
Proctor and Gamble gave their competitors a great advantage in the laundry pod market by delaying the launch of Tide Pods twice ("Proctor & Gamble Delay Tide Pods a Second Time"). Church & Dwight, a competitor of Proctor & Gamble, was able to launch Arm & Hammer Toss N’ Done Power Paks slightly before Tide Pods were released into the market. Power Paks are a single-use laundry pod, but they contain a powdered detergent as opposed to Tide’s liquid detergent Pods. Power Paks also contain a brightening agent and a bleach product for stains, which is a considerable strength for them (Leverette, Arm N' Hammer Toss N' Done Power Paks Laundry Review). No other unit-dose pack has these features besides Tide Pods. They also contain baking soda, a quality that has off put some consumers. Consumers have noted that the Power Paks are not soluble in all washing machines or water temperatures, and they sometimes leave a film residue on clothes. Another complaint that consumers have had with Power Paks is their scent; many have complained about an unpleasant smell after washing their clothes with the Paks. They do not have a cost advantage over Tide Pods either; they actually tend to run about $0.02 more per ounce
Cited: n.d. Amazon.com. ""Proctor & Gamble Delay Tide Pods a Second Time"." 12 January 2012. bizjournals.com. Web Article. 19 February 2013. Branna, Tom. "Tide Pods Have Landed." n.d. happi.com. 19 February 2013. Leverette, Mary Marlowe. "All Mighty Pac Product Review." n.d. laundry.about.com. 19 February 2013. Leverette, Mary Marlowe. "Arm N ' Hammer Toss N ' Done Power Paks Laundry Review." n.d. Laundry.About.Com. 10 March 2013. Monk, Dan. "Procter & Gamble Washing Out Rivals with Tide Pods." 12 September 2012. Bizjournals.com. 19 February 2013. "Tide Pods successful enough to boost P&G 's earnings." 31 August 2012. bizjournals.com. Web Article. 19 February 2013. Neff, Jack. "P&G Reinvents Laundry With $150 Million Tide Pods Launch." 30 August 2011. adage.com. 19 February 2013.