COLGATE-PALMOLIVE CASE STUDY

Colgate-Palmolive case study



Colgate-Palmolive Case Study

Introduction

In 1991 and 1992 colgate Palmolive (CP) has been the leading force in oral care industry, mainly in the toothbrush segment. CP has a single toothbrush in the toothbrush market success, once the product launches, precision.There are several issues to be addressed in the RFP to gain market penetration the full potential of the new precision. A marketing mi must be created to ensure total market penetration potential. Also be communicated accurately and with the brand and the consumer, so it is more desirable than other toothbrushes on the market. Then, a budget for advertising and promotions that will be built to penetrate the market. Finally, an acceptable profit and loss proforma should create the accuracy that allows to reach their full potential. (Colgate Palmolive Company, 2007)

Discussion and Analysis

Placing Precision into the mainstream market will increase the percentage of cannibalization of the Colgate Plus toothbrush. This is due to compete in the same market segment, consumers will likely buy more accurate if it was in the same price range as the Colgate Plus. In addition, by eliminating a slow line PP Childhood is asking consumers to change that line to a new product. Consumers or the parent (s) for the case, you can choose a different brand at all. The information was introduced mainstream will most likely become a hot product and demand would be high, thus increasing sales.

By positioning accuracy in the niche market "super-premium", the target market is much smaller than the overall market. This would reduce the contribution to net profit compared with the general marketing approach. However, the niche market could later be e tended to the general market. This would allow much less cannibalization Colgate Plus, since most consumers in the mainstream market budget for the purchase of a toothbrush does not fluctuate much. In addition, there is less competition from Colgate in the "super-premium" market that allows market penetration easier. (Colgate Palmolive Company, 2009)

There are two alternatives which can accurately CP market. Or maybe the market as a premium toothbrush to the principal or as a "super-premium" toothbrush to a niche market. There are advantages and disadvantages of each alternative marketing strategy. Weighing the advantages and disadvantages of a decision will be made to determine these factors.

In 1991, the PP will hold 43% of the toothpaste market in the world and 16% of the world ...