Listerine in Brazil Case Brief

Listerine was looking to become a lifestyle brand and become a household name. The consumers in the oral care market are usually provided with four products: toothpaste, toothbrush, mouthwash, and dental floss. Most customers in Brazil did not have a fully established oral care routine and would therefore buy less than the suggested volume of mouth care products. The brand managers have the task of creating awareness, ensuring innovation and gaining market visibility. Art, the brand manager for Listerine in Brazil, was headstrong in trying to establish a oral care routine for Brazilians that included Listerine products.

However, there was a disconnect between what they were offering, and what the segment they were targeting wanted. This is a great case of trial and error, and the importance of knowing your market before you enter it. Listerine priced their products 15% lower in an attempt to reach lower and middle class people- only to find that price wasn’t necessarily their problem. People, and the dentists who had a lot of recommendation power in land were not happy with the strong alcohol taste.

Art was strategic in not giving free samples of the brand away, but rather starting a “21-day challenge” that would give customers the opportunity to return if they weren't satisfied. Although risky, Listerine started a promotion that gave 1.5L bottles with the purchase of a 350mL bottle. This was strategic on their part because it increased the usage of the brand, but tricky because their competitor was offering free mouthwash with the purchase of any Colgate brand. Colgate was a strong competitor, but through this kind of strong market penetration, towards the end of 2014 Listerine acquired 96% product category volume at a time when the major competing brand had 94%. Then, Listerine was able to expand its market share from 37.7% in 2013 to 38.4% in 2014 and to 41.7% in 2015. It is important to note that Colgate experienced a reduction in its