Sales And Promotion On Toothpaste Marketing Essay

The best marketing strategy in the world will ultimately fail if you are unable to get the right message to your potential customers at the right place and the right time. An integrated marketing communications plan matches your available budget of time and money to the most effective means for distributing your message. No matter how great your product or service, if your potential customers don’t know it exists, there will never be a sale.

WHAT DOES INTEGRATED MEAN?

An integrated marketing communications plan has all parts of your tactics working together. For example, if your marketing communications plan calls for print advertising, the same theme of your print ads should be reflected on your web site. If your customer gets the same message and visual clues in both places, they are much more likely to comprehend your marketing message. By doing this, you will build your brand with that customer who will remember you when they are ready to buy.

INTRODUCTION: The IMC plan originates from the marketing plan and integral part the latter. Marketing communication manager utilize detail from marketing plan that are relevant for developing strategy. The IMC objective are laid down so as to fulfill marketing goals. The IMC plan helps in selecting right communication tool, intergrates them, plans accompanying media and message and also allocates the budget to various tools. It also help for managing how other marketing tool of marketing like: product, price, distribution should communicate to audience

MISSION : to become a household TOOTHPASTE name, that is sought after by consumer to manage and maintain their teeth so that it is strong , white, and healthy according to today’s trend.

VISION: our vision is to be the market leader in terms of market share within 5 year.

IMC OBJECTIVES

Creating awareness and curiosity.

Increasing the frequency of use.

Communicate superior product feature to the audience.

Establish quantitative benchmark.

Communicate advantage and benefits.

Increasing sales, profit, market share.

Creating a strong brand positioning in the mind of customers.

Meeting the tuff competition.

INTRODUCTION OF TOOTHPASTE

The toothpaste market in India is growing but Hindustan Unilever Ltd (HUL) has little reason to smile. While the oral care industry in the country continues to grow at double-digit rates and smaller rivals such as Dabur India Ltd have gained share, HUL hasn’t just lost market share but also grown slower than the industry.

In the quarter ended June, the oral care industry grew 12%, but sales of HUL’s flagship toothpaste brand, Pepsodent, grew by only 4.5%. Colgate-Palmolive (India) Ltd (C-P) grew its business 14% in the quarter, Dabur India, 32% and HUL (the oral care business), 11% according to data released by AC Nielsen a market research firm. HUL declined to comment.

Analysts say oral care is an extremely competitive category and product positioning as well as marketing communications impact sales to a great extent. “The positioning of the products and advertising and promotional campaigns play an important role in boosting products sales in such categories,” says Sumeet Budhiraja, senior vice-president, First Global Securities Pvt. Ltd, a Mumbai-based brokerage firm.

In an effort to boost sales across all its product categories, HUL spent Rs1272.88 crore, 26.5% more than it did the previous year, on advertising in the fiscal year ended December 2006. It restructured its oral care portfolio, which includes brands such as Pepsodent and Close Up; the ‘Pepsodent germi-check’ range was relaunched as ‘Pepsodent Complete’, but none of this seems to have helped.

AC Nielsen data shows that HUL’s oral care business has been bleeding since 2003. The business’ compounded annual growth rate (CAGR) between 2003-04 and 2006-07 was 4% (in volume terms) against an industry average of 8%. In 2006-07, while the Rs3052 crore (by sales) oral care industry grew 15.3% in value terms, HUL’s oral care business grew by 11%. The difference was even more stark in volume terms (total number of units sold) with the industry growing by 12%, and HUL, 6%. The company earned around Rs753.8 crore from the oral care sales during the period. For the fiscal year ending December 2006, the company reported a turnover of Rs12457.9 crore.

Meanwhile, HUL’s rivals, particularly Dabur India have registered impressive growth, albeit on a lower base, in the period. While Dabur India recorded an impressive growth of 24%, clocking Rs374.7 crore in revenues, Colgate-Palmolive’s oral care division grew 17% to report Rs1445.8 crore in revenues. Colgate markets brands such as Cibaca and Colgate, while Dabur’s brands include Babool and Dabur Last. The CAGR of the two companies between 2003-04 and 2006-07 was 9% and 32%, respectively. Colgate Palmolive did not respond to an e-mail query from Mint.

Analysts say Dabur’s growth can be attributed to its diversified product portfolio, whereas HUL is limited to the premium segment only. “Dabur’s Babool, Meswak, and Red cater to all consumer segments whereas HUL has a limited presence. Besides, the value-for-money segment, which Dabur has a strong presence in, has been growing faster than the premium segment; HUL is primarily limited to this segment,” said Budhiraja.

Dabur, however, credits the success of its oral care brands to consistent investments in brands, product upgradation, repackaging and aggressive marketing communications. “Babool was a Rs30 crore brand in 2005 while today, it has grown to become a near Rs100 crore brand, while Meswak is an over Rs20 crore brand. Once the brands were acquired (from Balsara Hygiene Products), Dabur went about repositioning and repackaging them. Alongside, Dabur also invested in marketing the brands much more aggressively than before. For instance, we signed film star Vivek Oberoi to endorse Babool,” said V.S. Sitaram, executive director (consumer care Division), Dabur India.

I am going launch a Toothpaste which name is MINT FRESH. MINT FRESH in this mint is mix which gives freshness and its also give whiteness to the teeth.. My main motive is that to take the name of toothpaste in the name of mint because it gives freshness and it is good for health also. The punch line for this TOOTHPASTE is “TASTE IT AND FEEL IT “

The imc model for TOOTHPASTE

Marketing plan

(marketing objectives and strategies)

)

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PERSONAL SELLING

INTEGRATED MARKETING

DISTRIBUTION

PROMOTION

PRICE

PRODUCT

SALES PROMOTION

IMC

LOW CONTROL MESSAGES

UNCONVENTION TOOLS

EVENTS

PR/PUBLICITY

DIRECT MARKETING

COMMUNCATION

MIX ELEMENT

Marketing mix element

EMPLOYEE BEHAVIOUR, WORD-OF-MOUTH,SYSTEM AND PROCESS,ETC

MARKETING PLAN FOR TOOTHPASTE

MARKETING OBJECTIVES:-Today’s scenario highly competitive market, establishing new and distinguishing a product name among the other parallel products are challenges that are not easily meet. Awareness of the TOOTHPASTE name MINT FRESH is the key in planning a successful plan. It is only with this information that decisions can be made on identifying the audience that you are trying to reach, what message I hope to deliver to them, and how I can best accomplish this.

1. Mint fresh toothpaste objectives are to create sustainable brand awareness among the existing and potential customers.

Brand means giving a product or a business name a distinct identity. Brand image is very necessary in the marketing, not only because consumers can recognize it worldwide but because many brands can make the consumer ‘look cool’ because the brand names are widely recognised. A lack of knowledge and recognition of the product among the customers are a critical situation for existing products. It is important that other product or brand can establish their presence in the market so that the customers know the benefits and offer of other product as well.

Equally important objective of the product is getting the message heard by the customer or the targeted market. It is important for company take into account that the product delivers timely information on the new launch of new product development in order to create awareness among customer.

2. Another objective of Mint fresh toothpaste is to create brand positioning in the hearts of the customers. Positioning is how the product present themselves in relation to other product in the market. Brand positioning is identifying where the specific brand is placed within the marketplace and its relationship to competitive brands. It is determined by customer come to know what is the benefits of this brand, opportunities for which the brand is best suited, the brand’s target audience and who are its main competitors.

MARKETING STRATEGY:-

Implement a systematic marketing strategy.

I introduce my product in the market in such a way that the customer attract a more. I provide Mint fresh toothpaste in cheap price and in better quality. So the customer attract a more and can also purchase a middle family people

Market Segmentation

Currently, there is an increase in gender segmentation in the toothpaste market. In the toothpaste market, segmentation is key for increasing the sales. Now I am going to segment it in for all age group.

Competitor Analysis

These days even selecting toothpaste is not an easy decision to make. Take the case of Colgate-Palmolive, one of the leading players in the oral care segment in India.

They’ve toothpaste for complete 12 hour gem protection – Colgate Total-12, tooth paste to clean and whiten teeth – Colgate advanced whitening, one with cooling crystals – Colgate Max Fresh, one with herbal ingredients – Colgate Herbal, one that contains salt – Colgate Active salt, a toothpaste for long lasting fresh breadth – Colgate Fresh Energy gel, one that is 100% vegetarian – Colgate Dental cream, one with fruity bubble gum flavour for kids – Colgate Kids toothpaste.

Selecting one from this list is not that easy. But, wait all these different choices are from just one company. So when you consider other leading brands like Close-up, Pepsodent, Dabur, you’ll be spoilt for choice.

AC Nielsen data shows that HUL’s oral care business has been bleeding since 2003. The business’ compounded annual growth rate (CAGR) between 2003-04 and 2006-07 was 4% (in volume terms) against an industry average of 8%. In 2006-07, while the Rs3052 crore (by sales) oral care industry grew 15.3% in value terms, HUL’s oral care business grew by 11%. The difference was even more stark in volume terms (total number of units sold) with the industry growing by 12%, and HUL, 6%. The company earned around Rs753.8 crore from the oral care sales during the period. For the fiscal year ending December 2006, the company reported a turnover of Rs12457.9 crore.

Meanwhile, HUL’s rivals, particularly Dabur India have registered impressive growth, albeit on a lower base, in the period. While Dabur India recorded an impressive growth of 24%, clocking Rs374.7 crore in revenues, Colgate-Palmolive’s oral care division grew 17% to report Rs1445.8 crore in revenues. Colgate markets brands such as Cibaca and Colgate, while Dabur’s brands include Babool and Dabur Last. The CAGR of the two companies between 2003-04 and 2006-07 was 9% and 32%, respectively. Colgate Palmolive did not respond to an e-mail query from Mint.

Analysts say Dabur’s growth can be attributed to its diversified product portfolio, whereas HUL is limited to the premium segment only. “Dabur’s Babool, Meswak, and Red cater to all consumer segments whereas HUL has a limited presence. Besides, the value-for-money segment, which Dabur has a strong presence in, has been growing faster than the premium segment; HUL is primarily limited to this segment,” said Budhiraja.

Dabur, however, credits the success of its oral care brands to consistent investments in brands, product upgradation, repackaging and aggressive marketing communications. “Babool was a Rs30 crore brand in 2005 while today, it has grown to become a near Rs100 crore brand, while Meswak is an over Rs20 crore brand. Once the brands were acquired (from Balsara Hygiene Products), Dabur went about repositioning and repackaging them. Alongside, Dabur also invested in marketing the brands much more aggressively than before. For instance, we signed film star Vivek Oberoi to endorse Babool,” said V.S. Sitaram, executive director (consumer care Division), Dabur India.

Marketing mix

Product Strategy

I select product strategy for Mint fresh is Mint fresh toothpaste is in a highly competitive market, it is important for the product to have a sustainable marketing communication that would appeal the interest of the existing consumer and the interest of potential consumers. An effective communication strategy could be an important strategy that the company would put into account with Mint fresh toothpaste.

Mint fresh is not still gain its awareness in the minds of the consumers, the important aspect in this plan is that the product gain sustainable awareness and impact to the targeted audience which includes all age groups.

Pricing strategy

At the same time, too low a pricing strategy can hamper the acceptance of the products. So the pricing strategy should be like this that a middle family.

Mint fresh brand is seen as the direct competitor to HUL which is also doing well because it’s been pricing its products cheaper. Their advertising campaigns are aimed at MIDDLE class people with catchy slogans and slightly provocative ads which as bold as they’ve been, have been successful in increasing up their sales.

For Mint fresh the way forward will require them to bring the prices of their products down and look to set up a manufacturing hub in India.

The Distribution Channel

Chain of intermediaries, each passing the product down the chain to the next organization, before it finally reaches the consumer or end-user. This process is known as the ‘distribution chain’ or the ‘channel.’ Each of the elements in these chains will have their own specific needs, which the producer must take into account, along with those of the all-important end-user.

Channels

A number of alternate ‘channels’ of distribution may be available:

Distributor, who sells to retailers

Retailer (also called dealer or reseller), who sells to end customers

Advertisement typically used for consumption goods

Distribution channels may not be restricted to physical products alone. They may be just as important for moving a service from producer to consumer in certain sectors, since both direct and indirect channels may be used. Hotels, for example, may sell their services (typically rooms) directly or through travel agents, tour operators, airlines, tourist boards, centralized reservation systems, etc.

There have also been some innovations in the distribution of services. For example, there has been an increase in franchising and in rental services – the latter offering anything from televisions through tools. There has also been some evidence of service integration, with services linking together, particularly in the travel and tourism sectors. For example, links now exist between airlines, hotels and car rental services. In addition, there has been a significant increase in retail outlets for the service sector. Outlets such as estate agencies and building society offices are crowding out traditional grocers from major shopping areas.

DISTRIBUTION

Mint fresh consumers tend to buy products in supermarkets where they can find more economical

Supermarket/Retail Chains: Distribution channels frequented by middle class and upper class consumers determine the entry barriers of this market. Because all this groups usually go there for purchasing the goods and also see there Mint fresh toothpaste than they show there willing to purchase it..

Department Stores and Specialized Toothpastes: Department stores and Toothpastes capture 25 percent of sales and are particularly strong in the selective product segment, where they have a nearly 50 percent share. moreover selective brands are mostly found in department stores and there are very few specialized toothpaste stores in which Mint fresh can also sell there .

Direct Sales: Direct sales are a consumer worldwide. Catalogue sales represent nearly 40% of cosmetics revenues in the country, so I also use this method to sell out my product I make 2-3 members in a particular city to sell out the products.

PROMOTIONAL STRATEGY

Promotional strategy

Push strategies

Pull strategies

Marketing theory distinguishes between two main kinds of promotional strategy – “push” and “pull”.

Push:- A “push” promotional strategy makes use of a company’s sales force and trade promotion activities to create consumer demand for a product.

So I am going to use this strategy I made the toothpaste and directly sell it to the customer like colgate. The Colgate use direct marketing same I use direct marketing.

I always take the product direct from the factory. Because only purchasing from the factory can give the high benefit to me.

Pull:- A “pull” selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product. If the strategy is successful, consumers will ask their deodorant retailer for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers.

A good example of a pull is the heavy advertising and promotion of children’s’ toys – mainly on television. Consider the recent BBC promotional campaign for its new pre-school programmed – the Fumbles. Aimed at two to four-year-olds, 130 episodes of Fimbles have been made and are featured everyday on digital children’s channel CBeebies and BBC2.

I will also choose this strategy so the product can be promoted.

TELEVISION:- I use television for the promotion of my toothpaste. My main target is middle class and upper class segment to see news channel, sports channel and other movies channel so I will invest only in these channel for advertising the product.

RADIO: – I also use radio for promoting my product because radio is very useful medium to promoting the product mostly men and boy use the radio at their free time so I will also promoting my product for the promoting the product.

NEWSPAPER:- All middle and upper class segment read newspaper daily so I will also advertise the product on newspaper. It will also help for promoting the product.

Banner:- banner is very effective technique for promoting the product. I use banner in the back of the busses because busses always goes one place to another one, also use the banner in the cities .

INTEGRATED MARKETING STRATEGY

The total communication system from the marketing perspective :

Point of interaction between provider and consumer/buyer or other stakeholder

What is it that can communicate?

Customer service

Telephonic and receptionist, reception area, brochures, security clearance, sales office and telephone line

Sales force

Brochures, appointments, manuals

Retail merchandising

Display and shelf-facings, point-of-sale materials

Dealer/distributor

Brochures, manuals, training

Production

Quality assurance, training, quality management

Brand management

Standard-setting, after-sales service

After-sales service

Manuals, training, brochures, online information sources, helpline

Internal communication

Newsletters, briefings, team-working, grapevine

Corporate identity

Design and policy, logo, signage, livery, uniforms, letterheads, business cards, gifts, annual report, packaging, office location and ambience

Advertising

Messages, information content, style, vehicle

Distribution

Location of outlets, vehicle condition, driver courtesy and safety, packaging

Pricing

Value-for-money relative to competitors – quality and status

Products

Quality consistent with price and advertising messages

People

Attitude, behaviour, orientation, and preparedness of sales, technical, delivery and reception staff

Processes

Technology and methods of product and co-production, convenience, reliability, safety

Market research

Hearing what customers, consumers, and buyers want and like/dislike

Complaints, comments, and requests

Access to responsible, responsive people

Public relations

Sponsorship, events, information sources, public profile of people and products, corporate performance

Integrated Marketing Communication Strategy

This model shows that, thus a model of IMC is built around the customer at the focal point. Integrated marketing communication is a shift towards more personalized, customer-oriented, technology-supported marketing systems. This is managed by a brand-level, cross-functional team to integrate marketing and marketing communication activities. Brand management requires integration of systems of communication

Internal and external communicative activities/actions communicate whether or not they are done with the intention of communicating. Thus, planning for the comprehensive use of a range of activities that provide communication opportunities and coherent messages recognizes that consumers and buyers do not see discrete advertising, public relations, and sales promotion.

The classification of buyer awareness levels

Communication goals must be set if the activities and resource usage of the marketing department are to be best deployed in contributing to corporate business goals. This concentrated effort will ensure that goals can be accomplished and overstretching of limited resources avoided. The wider marketing campaign may have social-change goals

• Cognitive change: to inform about, or increase recognition of, a cause

• Action change: to call for demonstration or petition-signing against some behavior or action of others

Marketing communication goals

Build brand equity Communication activities are used to reinforce brand values and identity. This encourages stronger band preference and can strengthen trading relationships in a competitive situation

Provide information Detail product uses, availability, incentives for purchase, technical specification, and so on

Manage demand Stimulate demand for new and innovative products, boost sales of mature products, or dampen demand for out-of-stock items

Differentiate and position Emphasize significant factors of difference, and position relative to competing offers

Influence attitudes and behavior Promote favourable thinking about a product and encourage some resulting action

Marketing communication goals 

 

Build brand equity

Communication activities are used to reinforce brand values and identity. This encourages stronger band preference and can strengthen trading relationships in a competitive situation

Provide information

Detail product uses, availability, incentives for purchase, technical specification, and so on

Manage demand

Stimulate demand for new and innovative products, boost sales of mature products, or dampen demand for out-of-stock items

Differentiate and position

Emphasize significant factors of difference, and position relative to competing offers

Influence attitudes and behavior

Promote favourable thinking about a product and encourage some resulting action

REVIEW OF THE MARKETING PLAN:

SEGMENTATION, TARGETING AND POSITIONING

SEGMENTATION:

Geographic: – – Punjab ,Delhi, Mumbai, Kolkata, Chennai, Bangalore, Chandigarh, and Lucknow.

Demographic

Age – all age groups

Socio-Economic Class- Upper middle and middle clas

Psychographic: Lifestyle- enjoys music, movies, parties and other such activities.

Behavior : 1) Regular

2) Benefits- strong, healthy and tasty hence no damage to teeth

TARGETING :

Target Audience: all the age groups who belongs to upper middle and middle class of society.

POSITIONING

” An Mint fresh toothpaste which care your teeth as you want.”

On the basis of benefit: Mint Product

PRODUCT LIFE CYCLE

INTRODUCTION

Objective:

To create awareness and trial- promotion

GROWTH

Objective:

To compete- advertising spending high

MATURITY :

Objective:

To sustain market share – sales promotion and use of greater variety of media

DECLINE

Objective:

To retain the product at reduced cost- Price cut and cost cutting in promotion .

SITUATIONAL ANALYSIS:

SWOT ANALYSIS

STRENGTHS

Herbal Product

Brand Image

Dedicated Employees

Distribution

Capital Availability

WEAKNESSES

New Product

Market Share

OPPORTUNITIES

Huge Market

Changing taste and preference

THREATS:

Competition.

Market Condition

PEST ANALYSIS:

POLITICAL

Government Support

ECONOMIC

GDP Growth

Liberalization

SOCIO-CULTURAL

Changing Lifestyle

Increase in Disposable income

TECHNOLOGICAL

Advanced Machines

PROMOTIONAL STRATEGY- IMC APPROACH

Online Marketing and Direct Marketing

Event- Press Conference.

Public Relation: Press Release

ADVERTISING.

Print Ad in Newspaper and Magazines.

Electronic Ad in Broad Cast Media.

Hoardings.

ONLINE MARKETING AND DIRECT MARKETING

Yahoo has 30 million registered users in India. And Yahoo.com offers mail shots (digital mailers) @ Rs.2 per mailer for 200,000 shots. We will target for 200,000 shots in first phase of promotion.

Direct marketing

I will chose the direct marketing for promoting the Mint fresh toothpaste. Such as I use to enhance the door to door services for that particular product. Taking the example of colgate, colgate use to make this strategy and make the member but they don’t give their product to retailer or wholesaler they directly sell their product to consumer for the low cost.

So I also use this technique I will make the member for the Mint fresh toothpaste they directly sell it to the customer at the low prices because the company give some kind of discount to the customer.

I also use this technique buy one get one free

I also use this technique buy three at particular price which is less than original value.

Publicity

I start the publicity with this line “Will that be a suit , roll with your Toothpaste”.

These are the words that change the mood, everyone willing to purchase these type of things. I have to spend an enormous amount of time and energy building and developing its luxury brand image, which has become more of a lifestyle for many. However, as our economy continues to decline they have to reconsider this position by rebranding themselves as an “affordable luxury.” The now recession-friendly toothpaste is promoting their new price 45 to 90 adding in their broacher. This puts Starbucks in direct completion with other toothpastes , which leads me to wonder, will they lose their position as a luxury lifestyle brand when the economy starts striking up again.

On more thing for my publicity of toothpaste I use brand ambassador. The brand ambassador for my toothpaste would be AKASHAY KUMAR because he is the hit personality at a particular time and he can create a very good position of Mint fresh toothpaste in the market. Actually these day many people are fan of Akashay kumar. And people use to do whatever he is doing. We need approximately 1 core rupees.80 lakh rs for brand ambassador and 20 lakh for advertising in the TV .

EVENT

In Diwali or in new year people are crazy to going in the event to look the function which is organized by the some companies. So I will also use these technique for promoting the Mint fresh toothpaste. This will help to increase the name and fame of that particular product. Because through this the will know the company as well as their product. In event everywhere I hang the banner of Mint fresh toothpaste. And those who are participating in the event they also do one skit on that particular product. Even the people who are anchoring they also told the public about the Mint fresh toothpaste. We need to organize 60 lakh rupees.

UNCONVENTIONAL TOOL

If the deodorant is buying at the retail store and we give offer to client such as with the shopping of 700 we give Mint fresh free.

In the offseason we will provide buy two get one free

Or one another strategy is buy two just of rs 150

Buy three just of rs 225

Buy one get a coupon

One another reason was to make a story on a particular product and send it to the press release

Whatever unconventional advertising technique be employed, stick the fundamental principles of direct response advertising. Target the customers we want to do business with, send them memorable advertising that gets their attention and measure response. In this way we will test the way of success with the unconventional way.

For this we need to produce the deodorant in the large quantity. Means need to spend 10 lakh.

Low control messages

I have to tell the customer about the advantages of Mint fresh toothpaste as well as their usage. This would be very necessary for promoting the particular product:

Don’t use in the eyes .

Those who don’t like mint may avoid to use the particular product.

For packaging and messaging need to spend 15 lakh rupees.

Personal selling

I also use the direct marketing for promoting the product. The direct marketing is door to door service we provide door to door service for promoting the product. It also help to maintain the direct link with customer so that the customer can complaint and also give suggestion for that particular product.

We can use door to door service .

Customer can give order through internet.

Customer also gives order through the telephone.

For personal selling need to hire people and need to printed broacher and banner. The overall rupees to spend 18 lakh. In which the transportation cost is also joined i.e 3 lakh because we have approximately 100 people. Per day transportation cost was rupees 100 for each employee.

INTERNET

Advertisement or promoting Mint fresh toothpaste through internet i