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SWOT analysis of Colgate

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SWOT analysis of Colgate
COLGATE
Strengths, Weakness, Opportunity andThreat Analysis
Strengths:
Colgate has a history of producing quality products and a stellar reputation for oral health products. Colgate has strong channels of distribution not only on a national scale but also globally. Thereby, Colgate is the number one selling toothpaste in theworld.
[3]Colgate is accepted by the ADA as effectively helping to prevent and reduce tooth decay. Within Colgate’s website is a social network that asks consumers to get involved with the brand called “Colgate Smile.”
Colgate has 40 product facings in stores, which is the most out of any toothpaste brand. Colgate has 93% product penetration.
Weakness:
Within the product life cycle most of Colgate products are either mature or declining, creating the need for Colgate to keep introducing new products.
Colgate’s product line is broad with over 40 different products varying in tube size, quantity, flavor and desired effect.
Toothpaste promotion is cutthroat. Products are frequently on sale, which appeals to price buyers and potential brand switchers.
This may also cost the company profits due to regular users taking advantage of the discounted price.
Opportunities:
Colgate commands 37% of the toothpaste market share opening the door to brand growth through marketing, acquisitions and mergers.
Colgate’s brand image is an ever-revolving door opening the opportunity for rebranding and new promotion/marketing tactics to be explored.
Threats:
Aquafresh’s products use innovative technology in packaging and development. Within the last several years Colgate has lost its leadership position to Crest. While thelost market share was regained, Colgate must remain aware of the competition.
Both Crest and Aquafresh products are cheaper per ounce than Colgate’s

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