that incorporates the direct relationship between consumer. personality and brand personality of Colgate toothpaste and their. combine effect on brand loyalty . that incorporates the direct relationship between consumer personality and brand personality of Colgate toothpaste and their combine effect on brand loyalty. BRAND ASSOCIATION PRODUCT RELATED ATTRIBUTES NON-PRODUCT- RE. Ability to charge Price Premia colgate pepsodent closeup d. . Customer's relationship to a brand is then plotted in terms of their altitude on.
However, Colgate has to keep their eyes open because the competition will try to do the same to them Berger, In comparison, Colgate has six options available to choose from, while Crest has 10 options.
This gives Crest a competitive advantage seeing that they can offer consumer a greater variety of product to choose from Austin, A disadvantage for Crest is that they are higher priced than Colgate. Competitive advantage Colgate Colgate has one main competitive advantage which is that their products are well known and has a high trust value worldwide.
The strength of their brand image is due to making their products very simple: Colgate offers its consumers an all-in-one solution as well as toothpaste which follow new care trends Haig, Moreover, Colgate has established a good relationship with dental cooperation which has led to the recommendation of Colgate toothpaste by dentist worldwide Colgate-Palmolive, Another competitive advantage of Colgate is that their local management has the experience and knowledge which is needed in order to reach the consumers Colgate-Palmolive, In order to perfect logistics, purchasing and sourcing processes Colgate integrated SAP technology.
This results in cost reduction and therefore is a significant advantage. The slogan is associated with the product of Colgate being unique: Next to that, Colgate has established cooperation with more than thousands local wholesalers and small shop owners. Rivalry among existing firms Rivalry among existing firms is high. The oral care market consists of a large number of brands.
There is not much room to compete with prices; they rather compete on brand image, innovation, and research and development. In both markets, there are already a great variety of products available. Threat of substitute products The oral care market has a lot of different companies competing with each other. This means that Colgate has to keep its eyes open because one mistake could be vital: Bargaining power of buyers The bargaining power of buyers is high. In China, the market is mostly focused on lower-priced brands.
Mexico also has high bargaining power of buyers, best example of this is that the first estimated price for Colgate Max Fresh was Bargaining powers of suppliers In the oral care market, there is a great number of suppliers and they compete on prices, quality, innovation, and speed.
The suppliers power is quite low because there is a great deal of suppliers in this industry. Colgate has developed a Supplier Diversity Program which focuses on minority owned and woman-owned business. It includes different aspects of the external environment: Demographics It is relevant to know some statistics about the human population in the both countries, Mexico and China, including age, gender, population growing and so on.
The Mexican population is around persons. If we look at the age, the median age is 27,3 years old. The major city in terms of population is Mexico City the capital with 20 people.
Indexmundi, Mexico Demographics ProfileIn China, the population is around 1 persons. If we look at the age, the median age is 36,7 years old. The major city in terms of population is Beijing the capital with 15 people. Indexmudi, 8 Economic The economic situation of a country plays an important role in making decisions.
The economic variables include the purchasing power, the GDP, the different sectors of activity, and so on. In Mexico, the GDP is over than 1.
Mexico has become the second export market for the United States and the third source for import. Since s China is more market and business oriented and nowadays plays an important role in the global economy. InChina became the first exporter in the whole world. Indexmundi, China Economy ProfileSocial Mexican population is sharply divided because of the income and the education level.
There are ethnics groups: In the country there is also a problem with the living habits because Mexico is one of the country when there the most of obesity.
China is also a collectivistic culture, which place the human and the relationship at the first plan. In Mexico, there is a great emphasis on nanotechnology and biotechnology and they work on issues about toxicity for human and environment. Ortman, In China, internet technologies know a very quickly expansion.
The mobile technologies now are involved in health care especially in rural regions of the country. This pollution and the deforestation are considered as national security issues by the government. Olty, In China there are environmental issues as well.
Market journal: Colgate toothpaste
First, coal production generates acid rain. There is a lack of water. There are also natural disasters like floods and earthquakes. The country has clean energies and low carbon technology.
Rizvi, 9 Politics Mexico is a federal republic. The chief of states and head of government is Enrique Pena Nieto.
The country is divides is 31 states and 1 federal district. About the law system, there are civil laws, and there is an influence of the US constitutional laws. Indexmundi, Mexico Government ProfileChina is a communist state. The country is divided in 23 provinces, 5 autonomous regions and 4 municipalities. About the legal system, there are civil laws which are influenced by soviet and continental Europe. Indexmundi, China Government Profile10 4. Strengths Weaknesses Brand awareness Saturated market Protecting global environment Communication challenges are a problem for Colgate.
Strengths This paragraph discusses the strengths of Colgate. Brand awareness Colgate has a high brand awareness seeing that is a household name. Protecting global environment The company has pledged to protect the global environment, in order to improve the communities where Colgate people live and word, and to be in line with government laws and regulations Colgate-Palmolive Company, n. Strong relationship with customers Colgate maintains a strong relationship with its customers, shareholders, and business partners.
No matter how big or small a customer is everyone is just as important to Colgate Colgate, Weaknesses This paragraph discusses the weaknesses of Colgate. Saturated market The oral care market consist of a many local and global companies. Communication challenges In Mexico it has proven to be a challenge to communicate the message of Colgate Max Fresh to the 11 consumers. Opportunities This paragraph discusses the opportunities of Colgate.
Emerging markets Most of the emerging market do not know the cosmetic benefits of toothpastes and therefore is a great opportunity. Threats This paragraph discusses the threats of Colgate. Competition in the market As mentioned earlier, the oral care market is a market with many competitor. As a result, it is becoming extremely hard for Colgate to differentiate itself from the other companies.
Market journal: Colgate toothpaste
Brand switching The oral care market offers a lot of different brands which all claim different benefits; this makes it very difficult to being loyal to one brand. High costs of marketing The different markets that Colgate wants to obtain require a different marketing strategy.
Moreover, emerging markets are not quite familiar with the cosmetic benefits of toothpaste and possibility of mergers could strengthen the brand of Colgate. In contrast, Colgate operates in a saturated market with lots of different players, which gives customers a various amount to choose from. Trying to penetrate new markets bring communicational issues with them, which result in high marketing cost.
Central problem The main problem Colgate should focus on can be described as followed: It is about giving some options in order to find a solution for the central problem of brand concerning the improving of Colgate Max Fresh in Mexico and China against the competitors.
Colgate-Palmolive has even experienced the potential of emerging markets, like Mexico and China. They have 45 percent of their revenue which come from these markets, and profitability is equal or higher than what they make in developed markets.
Gingrich, But there is a strong competition with the other brands. Colgate Max Fresh has to have the advantage of the Mexican and the Chinese markets in order to rival the competitors.
Colgate Case In order to reach to this goal they are some solutions: In order to aware both of the market on the concept of freshness or on the benefits of toothpaste, the brand can focus on advertising and deliver messages through this way. Different ways of advertisement will be used: Television, bill boarding and social medias.
Colgate Case - Merge It could be a good opportunity for Colgate to merge with another company.
It could permit to the brand to get a lot of benefits. At first, economies of scale will be saved through a managerial, financial, marketing and technological point of viewit will reduce the international competition and it could bring an evolution and a diversification to the product. Furthermore, it will predict the amount of time that is needed to break even. This chapter will use information from the report about the introduction of Colgate Max Fresh in in China and Mexico, by Quelch and Labatt-Randle Product In this subparagraph the core benefits for the consumer are discussed.
Colgate Max Fresh is an oral hygiene product. The freshness gives the customer a clean and fresh feeling in his mouth. The product gets a new toothpaste bottle to maximize visual impact.
Also the package style will be changed. Price In this subparagraph the cost for the customer are discussed. Because of this, Colgate should adjust the price of the Max Fresh toothpaste to compete with these other brands.
Place In this subparagraph the convenience is discussed. Besides these, the brand has also deals with dental associations that helps them promotion their products. In this way, dentists and medical stores have become its chief suppliers. Promotion In this subparagraph the communication is discussed. Promotion of Max Fresh in China and Mexico will be focused on the freshness aspect of the product, because this aspect has many grow potentials in these countries.
The instruments that are going to be used are: Also social media will be used, mainly Facebook, for interaction with the customers and increasing brand awareness trough actions such as contests.
In order to maximize that return of investment, Colgate should take the following actions: Furthermore, Colgate has to develop a new marketing campaign for China.Brand vs Product
What is most important that they use Chinese celebrities for spreading their message and speaks to Chinese civilization. This can be achieved through television commercials, billboard advertising, giving free breath strips to consumers in supermarkets to let them experience the benefits of Colgate Max Fresh.
However, Colgate has to deal with a lot of competition in the Chinese market. The Chinese market consist of lower-priced brands. Therefore, it would be wise for Colgate to keep the price low and follow the competition. This reduces risk in the mind of the buyer which, in turn, shortens the search process and helps to dictate the outcome of brand comparisons. Above the line ATLbelow the line BTL In the organizational business and marketing communications, are advertising techniques, or different strategies companies use to sell their products.
In a nutshell, while ATL communications use media that are broadcast and published to mass audiences, BTL communications use media that are more niches focused. While both ATL and BTL communications can be used to either build brand awareness or drive sales through specific offers promotionsit is BTL communication that gives the marketer the ability to tailor their messaging in a more personal manner to the audience.
ATL is a type of advertising through media such as television, cinema, radio, print, and Out-of-home to promote brands or convey a specific offer. This type of communication is conventional in its nature and is considered impersonal to customers.
It differs from BTL advertising, which uses unconventional brand-building and promotional strategies, such as direct mail, sales promotions, flyers, point-of-sale, telemarketing and printed media for example brochures — and usually involves no motion graphics. It is much more effective than when the target group is very large and difficult to define. BTL sales promotion is an immediate or delayed incentive to purchase, expressed in cash or in kind, and having short duration.
It is efficient and cost-effective for targeting a limited and specific group. It uses less conventional methods than the usual ATL channels of advertising, typically focusing on direct means of communication, most commonly direct mail and e-mail, often using highly targeted lists of names to maximize response rates. BTL services may include those for which a fee is agreed upon and charged up front.
BTL is a common technique used for "touch and feel" products consumer items where the customer will rely on immediate information rather than previously researched items. BTL techniques ensure recall of the brand while at the same time highlighting the features of the product. Another BTL technique involves sales personnel deployed at retail stores near targeted products. This technique may be used to generate trials of newly launched products.