3. HISTORY
Company incorporated in 1806 by William
Colgate, started with soap, and candle
business on Dutch Street in New York.
In 1817 first Colgate advertisement appeared in
New York newspaper.
Colgate established factory in 1820 in Jersey
City, New Jersey.
In 1873 Colgate introduced Toothpaste in Jars.
In 1896 Colgate introduced in collapsible tube.
Today with sales surpassing $15 billion,
Colgate focuses on four core businesses. Oral
Care, Personal Care, Home Care and Pet
Nutrition. Colgate now sells its products in over
200 countries and territories worldwide.
4. PRODUCT & PROMOTION
Product:
Brand Colgate deals in various products relating to oral hygiene care. Colgate toothpowder and
mouthwash is one of the very common products of this brand as they both relate to a different
section of the customer.
Promotion:
Colgate has always encouraged a strategy that is unique and different so that it stands out. The
products are accessible at every part of the country including rural, semi urban and urban
market. In order to meet the wants and needs of all its consumers successfully the brand
Colgate has opted for innovative schemes and attractive packing strategies. The standard
colour red is now being associated with Colgate and hence the brand capitalises on this
easy familiarity with its products.
5. MARKETING STRATEGY
One of the top brands of the world and the leading brand in
Oral hygiene, Colgate is known for its dominance for the
past few decades when it concerns tooth paste, tooth brush
or even dental hygiene. Colgate has implemented fantastic
marketing strategies over time, including roping in dentists
to brand the product, which has resulted in Colgate being
the leader in the oral hygiene industry. Here is the
marketing strategy of Colgate.
6. SWOT ANALYSIS
STRENGTHS
Brand recall & visibility: Colgate being the household name it is,
has high brand recall & visibility. Excellent advertising and brand
visibility of products with a strong customer loyalty for brands had
helped the brand to compete with other players, thereby
emerging as one of the topmost brands in the FMCG market.
Financial position: Being 2 centuries old company and having
operations in 200 countries has built a strong financial base for
Colgate.
7. WEAKNESS
Saturated market: With large number of local & national players fighting in
personal & oral care segment, the market has become saturated & there is
little scope for growth while all companies are eating each others market
share.
OPPURTUNITIES
Tapping the rural market in developing economies: It is one of the major
challenges that every FMCG company is facing nowadays. With urban
markets close to saturation, the rural markets are the only hope for
reaping profits for the company.
People need to be made aware about the optimum usage rate for these
products so that the market utilizes the product as forecasted by the
company. This can happen only through advertising /word of mouth
/doctor prescription. Many a times companies forecast wrong because
they assume a higher usage rate in the market.
8. THREATS
Competition in the market: With increasing number of local &
national players it’s becoming very hard for the companies to
differentiate themselves from others. There is also threat from
counterfeit products destroying its brand image in the market.
Low Margins: As the competition rises, the margins for
companies are dropping and companies find that they have to
give more and more discount to sustain in the same channel.
9. SEGMENTATION, TARGETING
& POSITIONING
Market Segmentation: – The process in which the market is divided distinct subsets of
consumers with common needs and selecting many different segments to target with a
distinct marketing strategy
Levels of market segmentation:
Mass Marketing: provides the same product to all consumers like Salt.
10. Segment marketing: provides different products to many segments.
Niche Marketing: provides many unique different products but to sub segments.
12. CONCLUSION
In Conclusion, Colgate Company is a typical market oriented company,
operating in more than 200 countries. They are providing many new
employee oriented programs both for senior level and entry level people.
They are aware of their social and ethical responsibilities. They are
managing the consumer and business market in an effective manner. They
face their competitors and feel proud to take it as a challenge. They feel
pride in making their customers happy. They know how to conduct their
business in international communities. They maintain levels of the CRM at
the company to ensure good customer support. The way they have proved
themselves in consumer, business and international markets, they still
have a high aim to attain more and more.