Professional Documents
Culture Documents
No.
1 INTRODUCTION
2 INDUSTRY PROFILE
3 COMPANY PROFILE
4 MARKETING MIX
1) BCG MATRIX
2) SWOT ANALYSIS
3) STP ANALYSIS
4) BALANCE SHEET
5) RECOMMANDATIONS
5 CONCLUSION
INTRODUCTION
MARKETING
From a societal point of view, marketing provides the link between a society's
material requirements and its economic patterns of response. This way
marketing satisfies these needs and wants through the development of
exchange processes and the building of long-term relationships.
EARLIER APPROACHES
CONTEMPORARY APPROACHE
In the 1990s, the concept of four C's was introduced as a more customer-driven
replacement of four P's. There are two theories based on four Cs: Lauterborn's
four Cs (consumer, cost, communication, convenience) and Shimizu's four Cs
(commodity, cost, communication, channel) in the 7Cs Compass Model (Co-
marketing).
• Regulatory: This refers to laws and legality (governmental policies) that may
affect the way marketing can be characterized. For example, government
restriction on the importation of a particular product might hinder the
marketers playing in that particular field.
• Social: The social forces refer to the structure and dynamics of individuals
and groups and their behaviors, beliefs, thought patterns and lifestyles,
friendships, etc. When consumers change their needs and wants, this directly
affects marketing strategies.
A firm in the market economy survives by producing goods and services that
persons are willing and able to buy. Consequently, ascertaining consumer
demand is vital for a firm's future viability and even existence as a going
concern. Many companies today have a customer focus (or market orientation).
This implies that the company focuses its activities and products on consumer
demands. Generally, there are three ways of doing this: the customer-driven
approach, the market change identification approach and the product
innovation approach.
Product → Solution
Promotion → Information
Price → Value
If any of the 4Ps were problematic or were not in the marketing factor of the
business, the business could be in trouble and so other companies may appear
in the surroundings of the company, so the consumer demand on its products
will decrease. However, in recent years service marketing has widened the
domains to be considered, contributing to the 7P's of marketing in total. The
other 3P's of service marketing are: process, physical environment and people.
Some qualifications or caveats for customer focus exist. They do not invalidate
or contradict the principle of customer focus; rather, they simply add extra
dimensions of awareness and caution to it.
Pursuing new markets (thus new value networks) when they are still in a
commercially inferior or unattractive state, simply because their potential to
grow and intersect with established markets and value networks looks like a
likely bet. This may involve buying stakes in the stock of smaller firms,
acquiring them outright, or incubating small, financially distinct units within
one's organization to compete against them.
The extent to which what customers say they want does not match their
purchasing decisions. Thus surveys of customers might claim that 70% of a
restaurant's customers want healthier choices on the menu, but only 10% of
them actually buy the new items once they are offered. This might be
acceptable except for the extent to which those items are money-losing
propositions for the business, bleeding red ink. A lesson from this type of
situation is to be smarter about the true test validity of instruments like
surveys. A corollary argument is that "truly understanding customers
sometimes means understanding them better than they understand themselves."
Thus one could argue that the principle of customer focus, or being close to the
customers, is not violated here—just expanded upon.
The extent to which customers are currently ignorant of what one might argue
they should want—which is dicey because whether it can be acted upon
affordably depends on whether or how soon the customers will learn, or be
convinced, otherwise. IT hardware and software capabilities and automobile
features are examples. Customers who in 1997 said that they would not place
any value on internet browsing capability on a mobile phone, or 6% better fuel
efficiency in their vehicle, might say something different today, because the
value proposition of those opportunities has changed.
ORGANIZATIONAL ORIENTATION
The production department would then start to manufacture the product, while
the marketing department would focus on the promotion, distribution, pricing,
etc. of the product. Additionally, a firm's finance departments would be
consulted, with respect to securing appropriate funding for the development,
production and promotion of the products. Inter-departmental conflicts may
occur, should a firm adhere to the marketing orientation. Production may
oppose the installation, support and servicing of new capital stock, which may
be needed to manufacture a new product. Finance may oppose the required
capital expenditure, since it could undermine a healthy cash flow for the
organization.[citation needed]
HERD BEHAVIOR
FURTHER ORIENTATIONS
Diffusion of innovations research explores how and why people adopt new
products, services, and ideas.
With consumers' eroding attention span and willingness to give time to
advertising messages, marketers are turning to forms of permission marketing
such as branded content, custom media and reality marketing.
MARKETING RESEARCH
MARKETING ENVIRONMENT
The market environment is a marketing term and refers to factors and forces
that affect a firm's ability to build and maintain successful relationships with
customers. Three levels of the environment are: Micro (internal) environment -
forces within the company that affect its ability to serve its customers. Meso
environment – the industry in which a company operates and the industry's
market(s). Macro (national) environment - larger societal forces that affect the
microenvironment.
MARKET SEGMENTATION
Primary research is often expensive to prepare, collect and interpret from data
to information. Nevertheless, while secondary research is relatively
inexpensive, it often can become outdated and outmoded, given that it is used
for a purpose other than the one for which it was intended. Primary research
can also be broken down into quantitative research and qualitative research,
which, as the terms suggest, pertain to numerical and non-numerical research
methods and techniques, respectively. The appropriateness of each mode of
research depends on whether data can be quantified (quantitative research), or
whether subjective, non-numeric or abstract concepts are required to be studied
(qualitative research).
MARKETING PLAN
The marketing planning process involves forging a plan for a firm's marketing
activities. A marketing plan can also pertain to a specific product, as well as to
an organization's overall marketing strategy. Generally speaking, an
organization's marketing planning process is derived from its overall business
strategy. Thus, when top management are devising the firm's strategic direction
or mission, the intended marketing activities are incorporated into this plan.
There are several levels of marketing objectives within an organization. The
senior management of a firm would formulate a general business strategy for a
firm. However, this general business strategy would be interpreted and
implemented in different contexts throughout the firm.
Marketing strategy
The field of marketing strategy considers the total marketing environment and
its impacts on a company or product or service. The emphasis is on "an in
depth understanding of the market environment, particularly the competitors
and customers."
The report on the personal care market explores the global industry that is
largely driven by increasing consumer disposable income and changing
lifestyle. Despite fluctuating economies worldwide, the personal care industry
is one of the few sectors that is comparatively unscathed.
The research report offers an insight into the size, scope and dynamics of the
personal care market during the forecast period. It identifies key factors that
have led to its present growth, highlights past and future strategies, and
illustrates the industry’s benchmark for success. The report also analyses
leading companies in the market, giving information regarding industry share,
individual strengths and weaknesses, profit and market opportunities. By
dividing the overall market on the basis of various parameters, the report
reviews the largest and fastest growing segments as well as stagnant or slow-
growing areas, factors essential for their success or failure, and their
contribution to the global market.
OVERVIEW
The primary driving force of the global personal care market, as identified in
the report, is rising disposable income which has enabled consumers to spend
on the ever-widening industry. While personal care products for women were
always a strong category, introduction of the men’s line of grooming products
has propelled the market significantly. Even for women, innovative and
improvised products such as multifunctional and cosmeceutical products have
gained popularity. Commodities suited for specific skin and hair types have
flooded the market and are catering to the customized needs of consumers.
Media penetration, advertising and promotional offers have furthered the
growth of the market. In developing countries, factors such as rapid
urbanization, availability of international brands, and rise in spending power
have largely fueled the market.
The market for personal care is highly diversified and can be broadly divided
into two main segments: personal care appliances and personal care products.
Personal care appliances have gained popularity worldwide and innovative
products are penetrating new sections of the market every year. These
appliances include hair clippers, hair setters (blow dryers, flat irons, and
curlers), massagers, trimmers, and electric toothbrushes. The personal care
product segment includes make-up, bath and shower, fragrances, deodorants,
oral hygiene, personal hygiene, hair care, and skin care. The market is also
categorized on the basis of age and gender.
The global personal care market consists of companies that dominate the
products segment and those that lead the appliances segment. The major
competitors of the personal care appliances market mentioned in the TMR
report include Colgate-Palmolive, Johnson & Johnson, Royal Philips
Electronics NV, Procter & Gamble, and Panasonic Corporation. Some of the
top beauty care products companies are L’Oréal Paris, Avon Products,
Unilever PLC, Estée Lauder and Procter & Gamble. Leading companies in the
world hygiene industry are Colgate-Palmolive Company, Unilever, Johnson &
Johnson, Godrej Industries Ltd., Helen of Troy Ltd., and Proctor & Gamble
Company.
This market research report analyzes the following geographies:
North America
Asia Pacific
Europe
Market structure
The global beauty market is usually divided into five main business segments:
skincare, hair care, color (make-up), fragrances and toiletries. These segments
are complementary and through their diversity they are able to satisfy all
consumers’ needs and expectations with regard to cosmetics..
Over the years to come, the cosmetics and personal care industry is predicted
to record gains across the board, with particularly strong growth expected for
sun protection and anti-aging products as consumers become increasingly
aware of the dangers of sun exposure and more concerned with preserving a
youthful appearance. Emerging nations represent huge potential for
international companies, offering better quality products than locally produced
goods to populations with rising income levels. Multinational companies have
begun establishing a strong foothold in countries such as Russia, India and
China.
Rising income means that consumers are more concerned with product
effectiveness and ingredients used than cheap products. Manufacturers are
therefore focused on advertising their products as superior to those of rival
companies, rather than systematically seeking to undercut market prices.
Distribution channels are changing in that cosmetic brands are available not
only in retail outlets like department stores, but also through internet
purchasing, television infomercials, home shopping, airport vending machines
and in spas
India’s personal care industry is composed of hair care, bath products, skin
care and cosmetics, and oral care. The sector is driven by rising income, rapid
urbanization, and celebrity promotions. This industry accounts for 22% of the
country’s fast-moving consumer goods (FMCG), which is the term for
Consumer Packaged Goods in India. Foreign direct investment in this sector
totaled $691 million in 2014.
Within the cosmetics category, India’s most prevalent products are skin
creams, lotions, whitening creams, and makeup. Hindustan Unilever has three
brands that are popular among Indian women—Fair & Lovely, Lakmé, and
Ponds. Fair & Lovely was the world’s first skin lightening cream and is the
company’s leading skin care brand. Colgate Palmolive’s Charmis moisturizer
is also prominent. The majority of the demand for cosmetics comes from
working men and women. L’Oreal Paris develops both skin care and cosmetic
products for India. New York-based Revlon expanded further to smaller cities
in India, generating $40 million in revenues in 2014.
The organic skin care category grows at over 20 percent annually and is
expected to total $157 million in 2020, according to Azafran Innovacion, an
organic skincare group. Large Indian organic skin care companies include
Himalaya Herbals and Biotique. Both specialize in Ayurveda-based products.
The oral care category is the smallest category; less than half of Indian
consumers utilize western-style products such as toothpaste. Colgate Palmolive
dominates more than half of this industry and was named India’s most trusted
brand four years in a row by a brand equity survey. Hindustan Unilever is
another significant player with toothpaste brands Pepsodent and Close Up.
Join professional associations for the health and beauty skin care products
industry
Within the industry, you'll run across several associations you may find
beneficial to join. Not only will they provide valuable information on industry
news, technology, trends and events, they present priceless opportunities for
professional growth and networking.
Learn about different roles of manufacturing in the health and beauty care
industry
PERSONAL CARE
SUBSECTORS
There some small distinction between personal hygienic items and cosmetics,
which are luxury goods solely used for beautification, but in practice such
sundries are most often intermixed in retail store aisles.
PRODUCTS
Hotel application
box of tissue
face towels
Tooth paste
CORPORATIONS
Alberto-Culver
Amorepacific
Beiersdorf
Colgate-Palmolive
Combe Incorporated
Energizer Holdings
Henkel
ITC Limited
Kimberly-Clark
L'Oreal
Reckitt Benckiser
Remington Products
Revlon
Unilever
Garden Química
Purell
Headquarter in Mumbai.
Annual Turnover around 1100 crs.
Market leaders in oral care.
Colgate consistently won India no 1 brand of the year award from last
three years.
Colgate ranked among best employer in India.
Customer base of more than 8 lacs retailers.
Serviced by company field force, more than 1800 stockiest & super
stockiest & their field force.
Colgate is the brand that people trust, for complete oral care protection
for themselves and ones they lov
COMPANY HISTORY
1806 - William Colgate starts a starch, soap and candle business on
Dutch Street in New York City.
1930 - On March 13, Colgate is first listed on the New York Stock
Exchange.
1939 - Dr. Mark L. Morris develops a pet food to help save a guide dog
named Buddy from kidney disease. This breakthrough leads to the first
Hill's Prescription Diet product.
2004 - Colgate acquires the GABA oral care business in Europe, with its
strength in the important European pharmacy channel and its ties with
the dental community.
Today …
Today, with sales surpassing $15 billion, Colgate focuses on four core
businesses: Oral Care, Personal Care, Home Care and Pet Nutrition.
Colgate now sells its products in over 200 countries and territories
worldwide.
As the Muslim market continues to grow, the demand for halal products
increases too and many companies are beginning to tap into this growing
market. According to a Thomson Reuters report, the global halal (‘permissible’
or ‘lawful’) market, which includes products and services complying with
Islamic laws and regulations, was valued at $1.7tn in 2012; growing faster than
other consumer markets despite the recent global recession. Despite the most
common belief that the term ‘halal’ is limited to meat and poultry,
opportunities in the halal market go way beyond this and include cosmetics,
personal hygiene products, retail, banking, travel, clothing amongst many
more. As discussed in the MarketLine case study, Colgate-Palmolive: leader in
oral hygiene; the company has a number of toothpaste products that are
certified halal. Of particular interest is Colgate-Palmolive’s miswak toothpaste.
Miswak is a teeth cleaning twig made from the Salvadora persica tree, and the
practice of using it is predominant in Muslim inhabitant areas. It is often
mentioned that the Islamic Prophet recommended the use of miswak. The
company has marketed its product strategically; the advertisement highlights
the benefits of miswak and then demonstrates how this is now in a paste form
making it easier to use for consumers; particularly younger consumers who
may have difficulty using a miswak twig for cleaning their teeth. Innovation is
a crucial element in addressing business opportunities in the halal market,
allowing players to find a gap in the market or even set new trends; Colgate-
Palmolive’s miswak toothpaste has been successful in doing this. This product
will not only attract consumers in Muslim countries, but is also reaching out to
many Muslims worldwide. This in turn will increase the company’s revenues
and help the company compete in international markets. Moreover, by
marketing its products as halal, consumers may be willing to pay a premium
for products that meet their ethical and religious beliefs. This provides many
opportunities for the company to generate revenues further - See more at:
http://www.marketline.com/blog/colgate-palmolive-widens-its-product-range-
to-muslim-consumers
MARKETING MIX
PROD
UCT
PLACE
MARKETING MIX
CUSTOMER WANTS
PRODUCT AND NEEDS
PLACE
CONVIENCE TO BUY
PROMOTION
COMMUNICATION
PRODUCT :-
It should also add utility, and meet the wants and needs of targeted
consumers.
The product should be unique and different from all similar products that
are already available on the market.
COLGAT 20g 40g 50g 75gm 80g 100g 150g 200g 300g
E ms ms ms s ms ms ms ms ms
Dental 5rs ---- 14rs ---- ---- 30rs 45rs 56rs 86rs
cream
Max fresh --- --- 15rs --- 32rs 35rs 55rs ---- ---
Total ---- ---- --- 35rs --- --- 65rs --- ---
Sensitive --- --- 35rs --- --- 60rs --- --- ---
Kids --- 26rs --- --- --- --- --- --- ---
Advance --- --- --- 27rs --- --- 53rs --- ---
whitening
Active salt ---- --- 14rs ---- ---- 30rs ---- 54rs ----
Cibaca --- --- --- --- --- 18rs --- 28rs ---
Herbal --- --- 14rs --- --- 30rs --- 55rs ---
Fresh --- ---- ---- ----- --- --- 55rs 60rs ---
energy gel
PLACE:-
The most important part of marketing is how a product will get from
the seller to the buyer.
The BCG matrix or also called BCG model relates to marketing. The
BCG model is a well- known portfolio management tool used in
product life cycle theory.
INTERNAL FACTORS:-
(1) STRENGTH:-
It cleans & makes teeth whiter and repairs early decay spots.
EXTERNAL FACTORS
(3) OPPORTUNITIES:-
Leverage on fact that Colgate has been ranked as the most trusted brand
in India.
(4) THREATS:-
SEGMENTATION :-
Colgate also uses the family life cycle because they make toothpaste
that could be used for grownups and children.
POSITIONING:-
Colgate repositions their products because with the way they market
and promote their products, consumers know that these products are way
better than other brands and competition that is out there.
RECOMMANDATIONS
They should also increase their CSR activities because they have very
good image in the market.
Application Of Funds
Gross Block 1,192.19 902.03 582.88 522.50 489.17
Less: Revaluation Reserves 0.00 0.00 0.00 0.00 0.00
Less: Accum. Depreciation 410.61 346.13 302.21 268.08 234.12
Net Block 781.58 555.90 280.67 254.42 255.05
Capital Work in Progress 141.18 141.51 101.96 69.38 8.21
Investments 37.13 37.13 47.12 47.12 38.74
Inventories 252.23 225.74 185.30 217.68 153.70
Sundry Debtors 69.64 54.73 81.21 87.27 75.30
Cash and Bank Balance 254.45 286.95 428.80 309.81 395.15
Total Current Assets 576.32 567.42 695.31 614.76 624.15
Loans and Advances 165.68 186.77 181.73 143.92 107.86
Fixed Deposits 0.00 0.00 0.00 0.00 0.00
Total CA, Loans & Advances 742.00 754.19 877.04 758.68 732.01
Deferred Credit 0.00 0.00 0.00 0.00 0.00
Current Liabilities 804.40 793.66 717.64 586.96 591.61
Provisions 127.18 95.21 99.54 107.25 58.30
Total CL & Provisions 931.58 888.87 817.18 694.21 649.91
Net Current Assets -189.58 -134.68 59.86 64.47 82.10
Miscellaneous Expenses 0.00 0.00 0.00 0.00 0.00
Total Assets 770.31 599.86 489.61 435.39 384.10
Contingent Liabilities 77.74 235.68 166.77 68.45 72.51
Book Value (Rs) 56.64 44.11 36.00 32.02 28.24
CONCLUSION
Finally, it should note that the company may have to face lot of
threats in coming years like political threats, legislation threats ongoing
economic crisis, changing life style of the people etc. If the company is
able to overcome all the threats and can prepare themselves for facing
the problems in advance it can achieve a good growth for “COLGATE”.