Marketing Coursework About: Colgate-Palmolive Company

Business and Marketing (Colgate-Palmolive Company)
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Institution
Introduction
According to Stroller (2017), Colgate-Palmolive is an international company worth $15.6 billion and is currently operating in more than 200 countries across the world. The company has mainly focused on the strong global brands in its core businesses such as oral care, Pet Nutrition and Home Care. It is important to remember that Colagate-Palmolive of about $6.06 billion and also a gross profit of $2.76 billion in 1991.
This essay examines changes that are occurring in the toothbrush category, and it will also answer a question on a case study about Colgate Palmolive.
Question One
Changes that are Occurring in the Toothbrush Category, and also Assessment of Colgate-Palmolive’s Competitive Position
The manufacturers of toothbrush have been able to inject millions of dollars and a lot of hours, so as to mix form and function in the oral health care products that would enable their customers to brush frequently, properly, and above all comfortably. Moving forward, they have been able to build the United States oral care market to estimated $2.9 billion market. The new toothbrush has been able to change the brushing habits of millions and turned the idea of brushing teeth a trendy habit among its clients across the world. Since the consumers are increasingly becoming concerned about how their teeth can be healthy; the tooth brush company has responded by working on ways that would enable this desire come true and also to help them have an optimal dental health by offering numerous kinds of toothbrush. For these companies to do this comfortably they have been able to focus their energy on the customers’ needs. Due to high demand for good toothbrushes, different companies have been able to make several aesthetic and functional changes to the bodies and the heads of their products. It is important to remember that there are some toothbrushes that have specifically been made to inform the consumers who to change the toothbrush; the handles have been thickened for a more comfortable grip, and also to extend the reach of the bristles. The other change that has also taken place in the toothbrush is on the shaft materials, this has incorporated translucent and more flexible plastics that are there in the handle as well as the rubber components that are specifically tailor made into thumb ridges so as to prevent the slippage. The other thing that ought to be noted is that toothbrush market has become very competitive. Due to the competition in the toothbrush market, the Colgate-Palmolive is facing quite strong competition from other existing companies like Oral-B, Johnson & Johnson, and also other new companies like the Procter & Gamble and also the Smith Kline Beecham that strategically positioned their product lunches in the segment of super-premium toothbrush. In the year 1991, the Colgate-Palmolive successfully launched new products in the United States market, and is in control of 43% of the global toothpaste market, and also sixteen percent of 16% of the world’s toothbrush market. Some other oral care products include mouth rinses and dental floss. In this same year 1991, the worldwide sales of the Colgate-Palmolive’s oral care products actually increased from 12% to 22% that accounted for $1.3 billion sales (Quelch & Laidler, 2006).
Question Two
Segmentation of the Toothbrush Market
The Colgate-Palmolive has got its market segmented for its toothbrushes into three categories such as Value, Professional and Super-Premium. By the year 1992, the super-premium segment was expanded to include other brands like the Oral-B indicator, Crest Complete, Oral-B Regular, Reach Advanced, and the Aquafresh Flex. The other segment that is known as Professional consist of; Colgate Plus, Reach Regular, and also Pepsodent Prof. the other segment consisted of Colgate classic, and the Pepsodent regular. As compared to the toothpaste, it is important to remember that consumers are not supposed to share their toothbrush. The manufacturers were of the belief that toothbrushes were equally important just like the toothpaste for the purposes of ensuring effective oral hygiene and also the main role of the toothbrush is to remove the food particles. However, it is quite important to note that things like plaque removal, and gum removal was considered to be secondary. The Colgate Palmolive has estimated that approximately 82% of most toothbrushes being purchased are not planned. Most importantly to note is that the average or toothbrush replacement were only done once in every 8.6 months in the year 1990, and 7.5 months in 1991, and as result of two-for-one, the average was projected to be 12.4 months in the year 1990, and in general 9.7 months in the year 1991(Quelch & Laidler,2006).
Comparison of Consumer Behavior for Toothbrushes and Toothpaste
When it co...