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Healthcare Sector in India

In: Business and Management

Submitted By anil14bits87
Words 1478
Pages 6
Case Analysis on “ Colgate Max Fresh: Global Brand Roll - Out “
BY Group – 8

Situation Analysis
Company Background * 10.6$ billion revenue (2005). * Operating in 200 countries. * 70% of sales outside USA. * Two core product segments: Oral personal & home care pet nutrition segments.
Organization structure * Regional presidents with P&L responsibility. * Global business development groups organized by category.

Year 2004 * Reported +6.5% unit volume growth. * +7% sales dollar growth. * +0.1% point growth in gross profit margin to 55.1% . * Colgate launched world’s first commercial toothpaste in 1873. * In 1955, P&G launched first fluoride toothpaste – Crest. * By 1990, virtually all toothpaste in U.S. offered fluoride protection and consumers evolved to additional oral care concerns. * In 1997, CP launched Colgate Total promising 12 hours protection against full range of oral health problems.
Colgate max fresh product development * Global research and development works with CIC’s to develop new products. * CMF utilized patented technology of dissolvable mini breath strips as a point of differentiation. * Product consisted of small pieces of “Tape”, packaged in a convenient carrying case which dissolves on the tongue releasing a flavor designed for fresh breath .
Initiatives & cannibalization * Four factors involving franchise growth: 1. Consumer substitution 2. Market Spending 3. Distribution Penetration 4. Transaction Size
UNITED STATES
Market segments * Cavity/fluoride protection was the key benefit sought, followed by reduction in plaque build-up , breath freshening and tartar control. * In 2004, U.S. toothpaste market was evenly split between toothpastes that emphasized therapeutic (cavity/fluoride protection/ sensitivity relief) benefits and those

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