Submitted to :
QISMAT ALI KHAN
COLGATE TOOTH PASTE
The premium toothpaste market in India is a market ...view middle of the document...
The pricing of Sensodyne Rs. 42 for 40 gram tube and Rs. 75 for a 80 gram tube which was priced to directly take in the then leader in the sensitive tooth market Colgate Sensitive which was priced at Rs. 42 for 40 grams and Rs. 75 for 80 grams.
GSK launched Sensodyne which was launched with a positioning statement that it helps to fight the problem of sensitive teeth within a week and the within this week the problem of sensitive teeth will be solved with the use of Sensodyne. This fact was then accentuated by the company by using Dentist's in their ads that were shown recommending use of Sensodyne to fight the problem of sensitive teeth.
Now to counter this threat Colgate came forward with an improved version of the toothpaste to take Sensodyne head on and leave it behind and take the toothpaste market into the super premium segment. In this segment as per Colgate, customers will be willing to pay a price for an instant relief from sensitivity of teeth within a few moments of usage of Colgate Sensitive Pro relief. And this instant relief came
at a price which is even higher than the earlier premium segment.
The company is charging a price of Rs, 70 for a 40 gram tube and Rs. 120 for a 80 gm tube which is an increase of 66 percent in the price of Colgate Sensitive Pro-Relief over the price of Colgate Sensitive Original.
This mainly highlights two things. One is that Company was not willing to loose the hold of market leadership position to any player which tries to take it on and secondly it came out with an even better product than Sensodyne, as Sensodyne was positioned as a toothpaste that gave you relief from toothpaste properly after at least one week's usage, but Colgate Sensitive Pro-Relief has been positioned as a toothpaste which provides you an instant relief from the problem of sensitive teeth because of the presence and use of a completely new technology known as "Pro-Argin" technology, which contains argentine, an amino acid normally found in human saliva and calcium carbonate and both these combined together provide a perceivably better protective oral health benefits and that too for a long term relief by removing the problem from the root.
The promotional strategy was using both the Above the line communication channels like television ads, internet...