Colgate Palmolive Case Report
Colgate-Palmolive (CP), the main retail toothbrush manufacturer inside the United-States searching for to broaden its business by entering into the competitive high-end toothbrush market section with the intro of it is technologically progressive Precision. Although product's launch promised extremely profitable results, it also provided Colgate using a number of problems including a significant financial expenditure, fierce competition, manufacturing restrictions, and potential cannibalization. Following assessing the company's positioning on the market with the consumers perception from the colgate manufacturer and the mother nature of the competitors SWOT and market share, CP can be faced with the decision of how to put, brand, and communicate the Precision benefits to the market. This must be done without a detriment to the old product's industry or revenue. The proposed strategy can conform to the stated business goals and mission assertion of CLUBPENGUIN while maximizing long-term revenue gain.
The promoting of toothbrushes changed to cosmetic features when dividing in to two functional segments -- value and professional markets in the 1980's. Later on in the 1980's, the professional industry was further more segmented and led to the development of the super-premium niche. In 1992, the super superior niche accounted for 35% of toothbrush device volume and 46% of sales. Three identified marketplace segments would be the super-premium section (price range: over $2. 00, device volume: 35% and dollar sales: 46%), professional section ($1. 59-2. 09, 41%, 42% respectively) and benefit segment (below $1. up to 29, 24% and 12% respectively). The major players in the toothbrush market will be CP and Johnson & Johnson, Oral-B. The impending discharge of the Colgate Precision toothbrush will be CP's first admittance into the super-premium market part that Oral-B virtually settings. After considerable testing, effects show that CP Finely-detailed showed a 35% increase in plaque removal and is...