Colgate plax - analysis of brand extension

1. Brand Extension
Analysis – Colgate Plax

2. COLGATE – World of Care

3. Colgate-Palmolive
Oral Care
Toothpaste, Toothbrush,
Toothpowder, Whitening
Product, mouthwash
Personal Care
Body wash, Hand
wash, skin care,
hair care, men’s
grooming
Household Care
Surface care
 Colgate-Palmolive India is 51%-owned subsidiary of US Colgate-Palmolive Co.
 Leading player in oral hygiene in India since 1950s
Categories

4. Net Profit
2011
INR 4
billion
2012
INR 4.5
billion
2013
INR 5
billion
 New product launches and increase in penetration in rural India aids value
and volume growth

5. Market share
Product Type Value Share Rank
Beauty & personal Care 6.8% 2
Bath & Shower Negligible 22
Men’s grooming 0.8% 17
Oral care 46.1% 1

6. COLGATE - Oral Care

7. Oral care in India
Toothpaste
is biggest
category
with 80%
share
Educate consumers
about good dental
hygiene via TV
advertisements as well
as urging them to brush
twice a day to increase
awareness
Mouthwash
has highest
value
growth of
44% in 2013
Oral Care
is
expected
to reach
131 billion
by 2018
Increasing awareness of
oral care products,
increasing penetration in
rural market and
expanding product
portfolio of leading
companies

8. Market shares in Oral Care
45.3 44.7 44.6
46.1
22.2 21.6 21.3
19.7
11.7 11.9 11.3 10.8
4.3 4.5 4.6 4.7
2010 2011 2012 2013
Colgate HUL Dabur Gillete

9. Mouthwash

10. Mouthwash Category
76
72.6 70.8
66.4
12.1
16.1 17.3 17.6
7.6 6.7 6 5.24.3 4.6 6
10.8
0
10
20
30
40
50
60
70
80
2010 2011 2012 2013
% share of different companies
Listerine Colgate Plax AM PM Mouthwash Others

11. Comparison of Mouthwash & Oral
care industry
133.8 409.4 696.9 1079.9 1550.4 2231.1
46226.8
50117.9
55414.5
63296.1
72374.6
83449.8
0
10000
20000
30000
40000
50000
60000
70000
80000
90000
2008 2009 2010 2011 2012 2013
Comparative growth of mouthwash against oral care(in INR
million)
Mouthwashes/Dental rinses Oral Care

12.  Mouthwashes/dental rinses witnessed the highest value growth of
44% in 2013 against 15.3% for overall oral care industry as urban
consumers used it for better protection, although it is still nascent in
India
 Mouthwash/dental rinses grew at a CAGR of 75.6% between 2008-
13 as against 12.5% for total oral care
 HUL launched Pepsodent Mouthwash in 2012 with the value
proposition of “First Non-Alcoholic herbal mouthwash”
 Mouthwashes/dental rinses is expected to grow at a value CAGR of
29% during 2013-2018

14. Product
 Available in 7 variants in
India– Fresh Tea, Complete
Care, Sensitive, Freshmint,
Peppermint, Active salt,
Visible white
 Remaining 2 variant - Ice,
Fruity Fresh not available in
India
 Packaged in multiple sizes –
50 ml, 60 ml, 100 ml, 250 ml,
500 ml
 Different colours to
differentiate between
variants

15. Price
 Pricing is based on
competitor’s price
 Pricing varies with variants
and packaging
Product size Price
50 ml Rs. 30
60 ml Rs. 40
100 ml Rs. 55
250 ml Rs. 115
500 ml Rs. 190

16. Place
 Widely available in Urban areas
from malls to retailers
 Placed along with competitors
product like Listerine or along with
other oral products from Colgate
 Greater thrust on increasing
product penetration to rural areas

17. Online Availability
 Available on all
major online
retailers website

18. Promotion
 Quick and easy method for
a cleaner, fresher and
healthier mouth
 Educate customers to use it
twice a day after brush
 Help remove 99.9% germs
for 12 hours
 Channels – TV, newspaper,
Hoardings, social media
https://www.youtube.com/watch?v=gvmQI4Qxq4w

21. Segmentation
 Demographic
 Target busy adults
 People whose income fall in middle and
upper class as it is a supplementary product
which can be used after brushing
 Geographic
 Mainly for Urban and semi-urban population
 Behavioural
 Adults who want cleaner, fresher and
healthier mouth
 Target adults who want white teeth, have
sensitive gums

22. Targeting
 Adults in the age group of 18-60
 Working people who frequently
interact with others and have
scarcity of time
 Adults who have teeth problems
like cavities, sensitive gums,
plaque

23. Positioning
 Colgate Plax positioned itself based on
its functionalities as a mouthwash
which provide fresher breath and germ
protection
 Long lasting fresh breath
 Removes up to 99.9% germs
 Alcohol free formulation
 No burning sensation
 The mouthwash that gives 12-hour germ
protection

24. Competitors- Direct
 Listerine Mouthwash
 Pepsodent
Mouthwash
 AM PM Mouthwash
 Himalaya HiOra-K
 Befresh Mouthwash
 Enliven Mouthwash

25. Competitors- Indirect
 Toothpaste
 Breathe Fresheners
 Floss
 Toothbrush
 Tooth whiteners

26. Consideration Set
 Listerine, Pepsodent, Oral-B and HiOra-K are considered by consumers

27. Points of Parity
 Removes bad odour
 Alcohol free formulation
 Contains fluoride to fight oral problems
 Prices are similar to its competitors
 SKU’s are similar in packaging and size

28. Points of Difference
 More variants are present in market
 Provides 12 hours of freshness
 More trusted and popular brand
among consumers
 Kills 99.9% bacteria
 Easily available in stores

29. Perceptual Map
Price
BrandValue

30. Summary
Mouthwashes
to grow at
CAGR of 29%
between 2013-
18
Colgate Plax is
available in 7
variants in India
in different sizes
Easily available
on online and
offline stores
Low price and
high brand
value

31. References
 http://www.colgate.co.in/app/Colgate/IN/OralCare/Mouthwash/PlaxClassic/Name.cvsp
 Financial Report-
http://www.colgate.co.in/Colgate/IN/Corp_v2/Investor/FinancialReports/annual-report-2014-
15.pdf
 GMID database - http://www.portal.euromonitor.com/portal/analysis/tab
 http://www.colgate.co.in/app/Colgate/IN/OralCare/Mouthwash/ColgatePlax/benefits-of-
colgate-plax.cvsp
 http://www.colgate.co.in/app/Colgate/IN/OralCare/Mouthwash/PlaxClassic/ProductInfo.cvsp
 http://www.colgateprofessional.co.in/products/Colgate-Plax-Mouthwash/details
 http://www.colgate.co.in/app/Colgate/IN/OralCare/HomePage.cvsp
 http://www.dreamstime.com
 http://www.studylecturenotes.com/mba-marketing/marketing-segmentation-targeting-
positioning-or-stp-process
 http://www.zopnow.com/mouthwash-c.php
 http://www.indiastudychannel.com/resources/157696-Best-Mouth-Wash-Indian-market-its-
prices.aspx

32. Under the guidance of
Prof. Sameer Mathur
Indian Institute of Management, Lucknow
Marketing Professor 2013-
Marketing Professor 2009-2013
Ph. D and M.S. Marketing 2003-2009BuddingMarkets.com
Submitted By
Jitendra Bharti
PGP30376
Indian Institute of Management, Lucknow
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