Case Study Colgate
CASE STUDY: SENSODYNE OVERTAKES COLGATE IN SENSITIVE CATEGORY
INTRODUCTION
The sensitive toothpaste segment accounts for less than 10% of the country 's Rs 5,400-crore toothpaste market at Rs 470 crore, but is growing at 50% a year.
Oral care giant Colgate Palmolive, which controls about 53% of the country 's toothpaste market, has been selling its Sensitive brand in India since the last seven years.
India had very low levels of awareness on the condition of tooth sensitivity. Over the past two years, Sensodyne has invested in creating awareness both through media and through dental detailing which has led to good category growth. GlaxoSmithKline 's Sensodyne has overtaken Colgate Sensitive to become the top-selling sensitive toothpaste brand in modern retail outlets and pharmacies that account for most sales in this category.
Hindustan Unilever, the second-largest toothpaste maker, recently expanded its Pepsodent Expert Protection range to tap the rising demand for premium products. "Over the last few years, the premium segment of the oral care category grow well ahead of the market,"
Colgate too has aggressively marketed premium products, and analysts say the market leader is not facing any big risk.
"We don 't see an immediate risk for Colgate as the category is not very big in Colgate 's portfolio. And Colgate being market leader in oral care, if the segment interests the company, it will grow faster benefiting all the players involved
INDUSTRY ANALYSIS :
1. Competition in the sector:
It was mainly dominated by three market leader: Colgate Palmolive, Hindustan Unilever Limited and Dabur. They jointly hold a market share of 85% both by volume and value. Apart from there were a few Indian companies such as Anchor,Babool which captured a significant market share in this industry. In 2011, GSK Healthcare has come up with Sensodyne which is capturing a major market share in the healthcare industry. It plans to engage customers through
INTRODUCTION
The sensitive toothpaste segment accounts for less than 10% of the country 's Rs 5,400-crore toothpaste market at Rs 470 crore, but is growing at 50% a year.
Oral care giant Colgate Palmolive, which controls about 53% of the country 's toothpaste market, has been selling its Sensitive brand in India since the last seven years.
India had very low levels of awareness on the condition of tooth sensitivity. Over the past two years, Sensodyne has invested in creating awareness both through media and through dental detailing which has led to good category growth. GlaxoSmithKline 's Sensodyne has overtaken Colgate Sensitive to become the top-selling sensitive toothpaste brand in modern retail outlets and pharmacies that account for most sales in this category.
Hindustan Unilever, the second-largest toothpaste maker, recently expanded its Pepsodent Expert Protection range to tap the rising demand for premium products. "Over the last few years, the premium segment of the oral care category grow well ahead of the market,"
Colgate too has aggressively marketed premium products, and analysts say the market leader is not facing any big risk.
"We don 't see an immediate risk for Colgate as the category is not very big in Colgate 's portfolio. And Colgate being market leader in oral care, if the segment interests the company, it will grow faster benefiting all the players involved
INDUSTRY ANALYSIS :
1. Competition in the sector:
It was mainly dominated by three market leader: Colgate Palmolive, Hindustan Unilever Limited and Dabur. They jointly hold a market share of 85% both by volume and value. Apart from there were a few Indian companies such as Anchor,Babool which captured a significant market share in this industry. In 2011, GSK Healthcare has come up with Sensodyne which is capturing a major market share in the healthcare industry. It plans to engage customers through