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Colgate-Regaining Market Leadership in India's Sensitive Teeth Market

Autor:   •  January 22, 2017  •  Case Study  •  2,697 Words (11 Pages)  •  2,433 Views

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The purpose of this case is to analyse if Colgate-Palmolive can regain its market position in Indian Oral Care market. Could Colgate-Palmolive win the market leadership from its closest rival GlaxoSmithKline in the sensitive teeth market of India? How should Colgate-Palmolive navigate through the extremely competitive tides to regain its lost market share?

Answer 1)

To understand the competitive positioning of Colgate-Palmolive we will first perform a SWOT Analysis of Colgate-Palmolive for Indian Oral Care market:

STRENGTHS

• Brand Name: Colgate is synonymous to toothpaste in Indian Market

• Highest Distribution channel and retail penetration in India

• Stable Financial position for advertising and promotional budgets

• Huge Market Share and Good presence in rural areas of India

• India’s #1 most trusted brand and Closely worked with Indian Dental Association

• Innovative products WEAKNESSES

• Commoditization of Brand Name

• Unclear positioning of CP’s products in comparison to one of its biggest competitor GlaxoSmithKline’s product Sensodyne in the Dentine Sensitivity market

• Huge dentist references for GSK toothpastes

• Loss of Innovation and letting GSK gain first mover advantage in diversified oral problems such as bleeding and receding gums

OPPORTUNITIES

• Huge population suffering from Dentine hypersensitivity

• Increasing shift of Indian consumers towards Oral Care such as specialized toothpastes and mouthwash

• Increasing number of Dentist coming out of universities per year

• Increasing purchasing power of Indian consumers

• Growing CPG market in Tier 2 and Tier 3 Indian cities

• Huge rural market available to capture THREATS

• Competition from present Local Indian Brands such as Dabur, Himalya and upcoming Local Indian Brand Patanjali

• Competition from Global brands such as GlaxoSmithkline, Unilever and Proctor and Gamble

• Low profit margins of toothpaste industry

• One of the Lowest per capita toothpaste consumption

• Limited knowledge of Indian population about the causes and solution for tooth sensitivity

Colgate-Palmolive

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