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Colgate Total Imc Analisys Essay

2063 words - 8 pages

MARKETING PLAN AND SITUATION ANALISYS The Toothpaste Market: According to surveys done by and Red Summit Research (1) Americans, spent US$ 5.2 Billions on oral care products. That number represents an increase in 7% on the market sales over the previous year. Overall it increased 32.2% from 1996 to 2000 and its projected sales for 2005 amount US$ 6.7 Billion.The toothpaste and other dentifrice products are the top oral care market accounting for US$1.8 billion last year. There are more than 300 companies that compete in the toothpaste market in the US. However, only a few hold significant shares of the overall market.Simmons Market Research Bureau (1) reports that 93% of US adults use toothpaste, so the industry is somehow mature.This Market is regulated by the FDA "" Food and Drug Administration. The agency is responsible to verify the products components, its effectiveness and as the potential consequences to a human beings health.According to Red summit research (1), there are basically nine toothpaste types or segments divided by their Marketing focus and main ingredients: Whitening / anti stain Regular (fluoride) Anti tartar / anti plaque Baking soda Desensitizing Re mineralizing Anti gingivitis Natural Children's The Market can also be divided as the following (2): Sensory Sociable Worrier Independent Main benefit sought Flavor, package Brightness of teeth and breath freshness Decay and tartar prevention Price Demographics Children Teens, young adults Young families Men Preferred brands Colgate, Aim Close up, Ultra Brite, Aqua-Fresh Crest, Colgate Total. Brands on sale (1) Source: (2) Source: Essentials of Marketing William D. Perreault, Jr., E. Jerome McCarthy, pg. 68 The market for toothpaste is highly competitive. Competitors include significantly large corporations with substantially great resources. The high degree of trademark recognition and goodwill associated with many of the Company's brand names are important factors in one's ability to compete effectively. Competitors are able to commit significantly greater revenue to national communication campaigns. The primary Key success factors are product quality and formulation, distribution, reputation, advertising and consumer promotion.Based on data from Competitive Media reporting (3), it is calculated that expenses just in advertising "" not counting other promotional tools - totaled US$ 185 million in 1999. That number is one third less of the US$ 275 million spent in 1998.Regarding distribution, AC Nielsen's reports (4) shows that 69% of consumers bought toothpaste at Grocery stores, 53% in mass merchandisers and 27% in drugstores in 1997.The Market division was, in 1998, as follows: Most of those companies have at least one product for each of the different market segments above mentioned.Colgate Total: Colgate-Palmolive is one of the leading global consumer products corporations. The company is focused on Oral Care,...

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