Colgate-Palmolive Company: The Precision Toothbrush case (HBS)

Colgate-Palmolive (CP), a global leader in household and snobby c are products, is poised to launch its new tooth wash in the United States, Colgate precision. To enter the super- tribute segment of a highly combative US toothbrush market with its technologically innovative product, the community should decide on aligning, branding and communication strategies. According to clinical tests, Precision offers core advantages compared with other star(p) toothbrushes. The brush achieved an ordinary 35% increase in governing body removal and is more effective at the gum and surrounded by the teeth. Focusing on ginmill of gum disease CP should strike off Precision by positioning it first as a niche product. aim customers are Therapeutic Brushers who account for 46% of the US cock-a-hoop population. Becoming more concerned intimately the health consequence this baby boom generation is leaveing to correct grant for innovative products. Precision?s superiority over its c ompetitors will allow CP to charge high prices (15% price premium over Oral-B). The reasons against mainstream positioning in a short-run outcome are a chiffoniernibalization effect (Exhibit 2), cost of shortage of catalogue and doable displacement of existing SKUs from shelves.

However, in the semipermanent subsequently puzzle out problem with production capacity the companionship should switch to mainstream positioning as niche strategy back end not determination long, profits from mainstream positioning are higher in the long-run period (Exhibit 2) and due to higher gross sales the company can increase its recognition. Marketing recommendations: ! 1. The name ? Precision by Colgate in order to stress Precision. 2. Product claims should emphasize gum prevention disease. (Exhibit 17 in the case) 3. Advertising reckon should be change magnitude by 80% to 43.38 with 75% going to Precision and 25% to Colgate Plus. 4. Consumer promotion includes leave social occasion sampling provided by dentists, a free 5.oz tube of Colgate toothpaste with a purchase of a Precision brush and a... If you want to uprise a full essay, order it on our website: BestEssayCheap.com

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