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Marketing is a widely used term to describe the means of communication

between the company and the consumer audience. Marketing is the adaptation
of the commercial activities and use of institutions by the organizations with a
purpose to induce behavioral change on a short-term or permanent basis. The
American Marketing Association most recently defined Marketing as "the
activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients,
partners, and society at large."

The techniques used in marketing include choosing target markets through

market analysis and market segmentation, as well as understanding methods of
influence on the consumer behavior. The marketing planning creates strategies
for the company to place advertising to the dedicated consumer.

From a societal point of view, marketing provides the link between a society's
material requirements and its economic patterns of response. This way
marketing satisfies these needs and wants through the development of
exchange processes and the building of long-term relationships.

In the case of nonprofit organization marketing, the aim is to increase the

deliver an ethos message about the organization's services to the applicable
audience. Governments often employ marketing to communicate messages
with a social purpose, such as a public health or safety message, to citizens.


The marketing orientation evolved from earlier orientations, primarily the

production orientation, the product orientation and the selling orientation.


Recent approaches in marketing include relationship marketing which focuses

on the consumer, business marketing or industrial marketing which focuses on
an organization or institution and social marketing with focus on benefits to
society. Newer forms of marketing also use the internet and are therefore
called internet marketing or more generally e-marketing, online marketing,
'digital marketing', search engine marketing, or 'desktop advertising'. It
attempts to perfect the segmentation strategy used in traditional marketing. It
targets its audience more precisely, and is sometimes called personalized
marketing or one-to-one marketing. 'Direct marketing' is used by those
organizations, such as insurance services and health clubs, that have a defined
customer or membership base they wish to develop strong, on-going
relationships with via personalized communications – traditionally through
'direct mail' (postal) communications and more recently, via e-mail.
Additionally, direct marketing will employ broadcast mechanisms such as
press, print or television campaigns with a strong call to action to attract new
customers or members. Internet marketing is sometimes considered to be broad
in scope, because it not only refers to marketing on the internet, but also
includes marketing done via e-mail, wireless media as well as driving
audiences from traditional marketing methods like radio and billboard to
internet properties or a landing page.

The marketing mix was proposed by Professor E. Jerome McCarthy in the

1960s. It consists of four basic elements called the "four P's". Product is the
first P representing the actual product. Price represents the process of
determining the value of a product. Place represents the variables of getting the
product to the consumer such as distribution channels, market coverage and
movement organization. The last P stands for Promotion which is the process
of reaching the target market and convincing them to buy the product. The four
Ps determine how marketing satisfies consumer needs. They are considered
controllable marketing mix factors, meaning that they can change or be altered
as needed. Habits, lifestyle, and diet are all considered to be controllable risk

In the 1990s, the concept of four C's was introduced as a more customer-driven
replacement of four P's. There are two theories based on four Cs: Lauterborn's
four Cs (consumer, cost, communication, convenience) and Shimizu's four Cs
(commodity, cost, communication, channel) in the 7Cs Compass Model (Co-


In addition to the controllable marketing mix factors, there are uncontrollable

factors called environmental forces. The external influences are the forces that
affect the characteristics of the marketing strategies to which marketers adapt.
Amongst others they include: regulatory, economic, social, and political
environmental, competitive and technological.

• Regulatory: This refers to laws and legality (governmental policies) that may
affect the way marketing can be characterized. For example, government
restriction on the importation of a particular product might hinder the
marketers playing in that particular field.

• Economic. Various trends in the economic business cycle, including

inflation, recessions, deficit or income level. Each of these factors can have a
direct impact on marketing which may have to be re-evaluated and overhauled
as a result.

• Social: The social forces refer to the structure and dynamics of individuals
and groups and their behaviors, beliefs, thought patterns and lifestyles,
friendships, etc. When consumers change their needs and wants, this directly
affects marketing strategies.

• Political: The socio-economic conditions are closely related to the state of

the governmental institutions. Depending on the governmental impact on
bureaucracy, corruption, freedom of speech and other limitations (or
opportunities), the marketing strategies will adapt to the political conditions.

• Competitive: Competition refers to the numbers of similar competitive

product brands. A new competitor entering the market will directly affect the
marketing strategies of the incumbent companies. Firms offering similar
services or products often achieve differentiation through marketing,
positioning and branding.

• Technology. The marketing strategies often adapt to the pace of development

of the consumer demand and exponential technological progression.

Constructive criticism helps marketers adapt offerings to meet changing

customer needs.

A firm in the market economy survives by producing goods and services that
persons are willing and able to buy. Consequently, ascertaining consumer
demand is vital for a firm's future viability and even existence as a going
concern. Many companies today have a customer focus (or market orientation).
This implies that the company focuses its activities and products on consumer
demands. Generally, there are three ways of doing this: the customer-driven
approach, the market change identification approach and the product
innovation approach.

In the consumer-driven approach, consumer wants are the drivers of all

strategic marketing decisions. No strategy is pursued until it passes the test of
consumer research. Every aspect of a market offering, including the nature of
the product itself, is driven by the needs of potential consumers. The starting
point is always the consumer. The rationale for this approach is that there is no
reason to spend R&D (research and development) funds developing products
that people will not buy. History attests to many products that were
commercial failures in spite of being technological breakthroughs.

A formal approach to this customer-focused marketing is known as SIVA

(Solution, Information, Value, Access). This system is basically the four Ps
renamed and reworded to provide a customer focus. The SIVA Model provides
a demand/customer-centric alternative to the well-known 4Ps supply side
model (product, price, placement, promotion) of marketing management.

Product → Solution

Promotion → Information

Price → Value

Place (Distribution) → Access

If any of the 4Ps were problematic or were not in the marketing factor of the
business, the business could be in trouble and so other companies may appear
in the surroundings of the company, so the consumer demand on its products
will decrease. However, in recent years service marketing has widened the
domains to be considered, contributing to the 7P's of marketing in total. The
other 3P's of service marketing are: process, physical environment and people.

Some consider there to be a fifth "P": positioning. See Positioning (marketing).

Some qualifications or caveats for customer focus exist. They do not invalidate
or contradict the principle of customer focus; rather, they simply add extra
dimensions of awareness and caution to it.

The work of Christensen and colleagues on disruptive technology has

produced a theoretical framework that explains the failure of firms not because
they were technologically inept (often quite the opposite), but because the
value networks in which they profitably operated included customers who
could not value a disruptive innovation at the time and capability state of its
emergence and thus actively dissuaded the firms from developing it. The
lessons drawn from this work include:
Taking customer focus with a grain of salt, treating it as only a subset of one's
corporate strategy rather than the sole driving factor. This means looking
beyond current-state customer focus to predict what customers will be
demanding some years in the future, even if they themselves discount the

Pursuing new markets (thus new value networks) when they are still in a
commercially inferior or unattractive state, simply because their potential to
grow and intersect with established markets and value networks looks like a
likely bet. This may involve buying stakes in the stock of smaller firms,
acquiring them outright, or incubating small, financially distinct units within
one's organization to compete against them.


The extent to which what customers say they want does not match their
purchasing decisions. Thus surveys of customers might claim that 70% of a
restaurant's customers want healthier choices on the menu, but only 10% of
them actually buy the new items once they are offered. This might be
acceptable except for the extent to which those items are money-losing
propositions for the business, bleeding red ink. A lesson from this type of
situation is to be smarter about the true test validity of instruments like
surveys. A corollary argument is that "truly understanding customers
sometimes means understanding them better than they understand themselves."
Thus one could argue that the principle of customer focus, or being close to the
customers, is not violated here—just expanded upon.

The extent to which customers are currently ignorant of what one might argue
they should want—which is dicey because whether it can be acted upon
affordably depends on whether or how soon the customers will learn, or be
convinced, otherwise. IT hardware and software capabilities and automobile
features are examples. Customers who in 1997 said that they would not place
any value on internet browsing capability on a mobile phone, or 6% better fuel
efficiency in their vehicle, might say something different today, because the
value proposition of those opportunities has changed.


In this sense, a firm's marketing department is often seen as of prime

importance within the functional level of an organization. Information from an
organization's marketing department would be used to guide the actions of
other departments within the firm. As an example, a marketing department
could ascertain (via marketing research) that consumers desired a new type of
product, or a new usage for an existing product. With this in mind, the
marketing department would inform the R&D (research and development)
department to create a prototype of a product or service based on the
consumers' new desires.

The production department would then start to manufacture the product, while
the marketing department would focus on the promotion, distribution, pricing,
etc. of the product. Additionally, a firm's finance departments would be
consulted, with respect to securing appropriate funding for the development,
production and promotion of the products. Inter-departmental conflicts may
occur, should a firm adhere to the marketing orientation. Production may
oppose the installation, support and servicing of new capital stock, which may
be needed to manufacture a new product. Finance may oppose the required
capital expenditure, since it could undermine a healthy cash flow for the
organization.[citation needed]

Herd behavior in marketing is used to explain the dependencies of customers'

mutual behavior. The Economist reported a recent conference in Rome on the
subject of the simulation of adaptive human behavior. It shared mechanisms to
increase impulse buying and get people "to buy more by playing on the herd
instinct." The basic idea is that people will buy more of products that are seen
to be popular, and several feedback mechanisms to get product popularity
information to consumers are mentioned, including smart card technology and
the use of Radio Frequency Identification Tag technology. A "swarm-moves"
model was introduced by a Florida Institute of Technology researcher, which is
appealing to supermarkets because it can "increase sales without the need to
give people discounts." Other recent studies on the "power of social influence"
include an "artificial music market in which some 19,000 allegations
downloaded previously unknown songs" (Columbia University, New York); a
Japanese chain of convenience stores which orders its products based on "sales
data from department stores and research companies;" a Massachusetts
company exploiting knowledge of social networking to improve sales; and
online retailers such as who are increasingly informing
customers about which products are popular with like-minded customers.


An emerging area of study and practice concerns internal marketing, or how

employees are trained and managed to deliver the brand in a way that
positively impacts the acquisition and retention of customers, see also
employer branding.

Diffusion of innovations research explores how and why people adopt new
products, services, and ideas.
With consumers' eroding attention span and willingness to give time to
advertising messages, marketers are turning to forms of permission marketing
such as branded content, custom media and reality marketing.


Marketing research involves conducting research to support marketing

activities, and the statistical interpretation of data into information. This
information is then used by managers to plan marketing activities, gauge the
nature of a firm's marketing environment and obtain information from
suppliers. Marketing researchers use statistical methods such as quantitative
research, qualitative research, hypothesis tests, Chi-squared tests, linear
regression, correlations, frequency distributions, Poisson distributions,
binomial distributions, etc. to interpret their findings and convert data into
information. The marketing research process spans a number of stages,
including the definition of a problem, development of a research plan,
collection and interpretation of data and disseminating information formally in
the form of a report. The task of marketing research is to provide management
with relevant, accurate, reliable, valid, and current information.

A distinction should be made between marketing research and market research.

Market research pertains to research in a given market. As an example, a firm
may conduct research in a target market, after selecting a suitable market
segment. In contrast, marketing research relates to all research conducted
within marketing. Thus, market research is a subset of marketing research.


Staying ahead of the consumer is an important part of a marketer's job. It is

important to understand the "marketing environment" in order to comprehend
the consumers concerns, motivations and to adjust the product according to the
consumers needs. Marketers use the process of marketing environmental scans,
which continually acquires information on events occurring outside the
organization to identify trends, opportunities and threats to a business. The six
key elements of a marketing scan are the demographic forces, socio-cultural
forces, economic forces, regulatory forces, competitive forces, and
technological forces. Marketers must look at where the threats and
opportunities stem from in the world around the consumer to maintain a
productive and profitable business.

The market environment is a marketing term and refers to factors and forces
that affect a firm's ability to build and maintain successful relationships with
customers. Three levels of the environment are: Micro (internal) environment -
forces within the company that affect its ability to serve its customers. Meso
environment – the industry in which a company operates and the industry's
market(s). Macro (national) environment - larger societal forces that affect the


Market segmentation pertains to the division of a market of consumers into

persons with similar needs and wants. For instance, Kellogg's cereals, Frosties
are marketed to children. Crunchy Nut Cornflakes are marketed to adults. Both
goods denote two products which are marketed to two distinct groups of
persons, both with similar needs, traits, and wants. In another example, Sun
Microsystems can use market segmentation to classify its clients according to
their promptness to adopt new products.

Market segmentation allows for a better allocation of a firm's finite resources.

A firm only possesses a certain amount of resources. Accordingly, it must
make choices (and incur the related costs) in servicing specific groups of
consumers. In this way, the diversified tastes of contemporary Western
consumers can be served better. With growing diversity in the tastes of modern
consumers, firms are taking note of the benefit of servicing a multiplicity of
new markets.

Market segmentation can be viewed as a key dynamic in interpreting and

executing a logical perspective of Strategic Marketing Planning. The
manifestation of this process is considered by many traditional thinkers to
include the following; Segmenting, Targeting and Positioning.


Market research, as a sub-set aspect of marketing activities, can be divided into

the following parts:

Primary research (also known as field research), which involves the

conduction and compilation of research for a specific purpose.

Secondary research (also referred to as desk research), initially conducted for

one purpose, but often used to support another purpose or end goal.

By these definitions, an example of primary research would be market research

conducted into health foods, which is used solely to ascertain the needs/wants
of the target market for health foods. Secondary research in this case would be
research pertaining to health foods, but used by a firm wishing to develop an
unrelated product.

Primary research is often expensive to prepare, collect and interpret from data
to information. Nevertheless, while secondary research is relatively
inexpensive, it often can become outdated and outmoded, given that it is used
for a purpose other than the one for which it was intended. Primary research
can also be broken down into quantitative research and qualitative research,
which, as the terms suggest, pertain to numerical and non-numerical research
methods and techniques, respectively. The appropriateness of each mode of
research depends on whether data can be quantified (quantitative research), or
whether subjective, non-numeric or abstract concepts are required to be studied
(qualitative research).

There also exist additional modes of marketing research, which are:

Exploratory research, pertaining to research that investigates an assumption.

Descriptive research, which, as the term suggests, describes "what is".

Predictive research, meaning research conducted to predict a future occurrence.

Conclusive research, for the purpose of deriving a conclusion via a research


Applied research – examines variables within a specific context of interest to a


Basic research – aims to understand relative relationships between variables.

The variables may have either causal or correlation relationship. Causal
relationships is when one variable influences the other but not vice versa.
Conversely, Co relational relationships is when there is a statistically testable
relationship between an event and a condition.

Causal research – research done to identify and understand cause-and-effect

relationships through experiment. Experiments are typical in causal research.
(Experiments – manipulate variables in a controlled setting to determine their
relationship to one another)


The marketing planning process involves forging a plan for a firm's marketing
activities. A marketing plan can also pertain to a specific product, as well as to
an organization's overall marketing strategy. Generally speaking, an
organization's marketing planning process is derived from its overall business
strategy. Thus, when top management are devising the firm's strategic direction
or mission, the intended marketing activities are incorporated into this plan.
There are several levels of marketing objectives within an organization. The
senior management of a firm would formulate a general business strategy for a
firm. However, this general business strategy would be interpreted and
implemented in different contexts throughout the firm.

Marketing strategy

The field of marketing strategy considers the total marketing environment and
its impacts on a company or product or service. The emphasis is on "an in
depth understanding of the market environment, particularly the competitors
and customers."

A given firm may offer numerous products or services to a marketplace,

spanning numerous and sometimes wholly unrelated industries. Accordingly, a
plan is required in order to effectively manage such products. Evidently, a
company needs to weigh up and ascertain how to utilize its finite resources.
For example, a start-up car manufacturing firm would face little success should
it attempt to rival Toyota, Ford, Nissan, Chevrolet, or any other large global
car maker. Moreover, a product may be reaching the end of its life-cycle. Thus,
the issue of divest, or a ceasing of production, may be made. Each scenario
requires a unique marketing strategy. Listed below are some prominent
marketing strategy models.

A marketing strategy differs from a marketing tactic in that a strategy looks at

the longer term view of the products, goods, or services being marketed. A
tactic refers to a shorter term view. Therefore, the mailing of a postcard or
sales letter would be a tactic, but changing marketing channels of distribution,
changing the pricing, or promotional elements used would be considered a
strategic change.

A marketing strategy considers the resources a firm has, or is required to

allocate in effort to achieve an objective. Marketing Strategies include the
process and planning in which a firm may be expected to achieve their
company goals, in which usually involves an effort to increase revenues or
assets, through a series of milestones or benchmarks of business and
promotional activities.

The report on the personal care market explores the global industry that is
largely driven by increasing consumer disposable income and changing
lifestyle. Despite fluctuating economies worldwide, the personal care industry
is one of the few sectors that is comparatively unscathed.

The research report offers an insight into the size, scope and dynamics of the
personal care market during the forecast period. It identifies key factors that
have led to its present growth, highlights past and future strategies, and
illustrates the industry’s benchmark for success. The report also analyses
leading companies in the market, giving information regarding industry share,
individual strengths and weaknesses, profit and market opportunities. By
dividing the overall market on the basis of various parameters, the report
reviews the largest and fastest growing segments as well as stagnant or slow-
growing areas, factors essential for their success or failure, and their
contribution to the global market.


The primary driving force of the global personal care market, as identified in
the report, is rising disposable income which has enabled consumers to spend
on the ever-widening industry. While personal care products for women were
always a strong category, introduction of the men’s line of grooming products
has propelled the market significantly. Even for women, innovative and
improvised products such as multifunctional and cosmeceutical products have
gained popularity. Commodities suited for specific skin and hair types have
flooded the market and are catering to the customized needs of consumers.
Media penetration, advertising and promotional offers have furthered the
growth of the market. In developing countries, factors such as rapid
urbanization, availability of international brands, and rise in spending power
have largely fueled the market.

The market for personal care is highly diversified and can be broadly divided
into two main segments: personal care appliances and personal care products.
Personal care appliances have gained popularity worldwide and innovative
products are penetrating new sections of the market every year. These
appliances include hair clippers, hair setters (blow dryers, flat irons, and
curlers), massagers, trimmers, and electric toothbrushes. The personal care
product segment includes make-up, bath and shower, fragrances, deodorants,
oral hygiene, personal hygiene, hair care, and skin care. The market is also
categorized on the basis of age and gender.



The global personal care market consists of companies that dominate the
products segment and those that lead the appliances segment. The major
competitors of the personal care appliances market mentioned in the TMR
report include Colgate-Palmolive, Johnson & Johnson, Royal Philips
Electronics NV, Procter & Gamble, and Panasonic Corporation. Some of the
top beauty care products companies are L’Oréal Paris, Avon Products,
Unilever PLC, Estée Lauder and Procter & Gamble. Leading companies in the
world hygiene industry are Colgate-Palmolive Company, Unilever, Johnson &
Johnson, Godrej Industries Ltd., Helen of Troy Ltd., and Proctor & Gamble
This market research report analyzes the following geographies:

North America

Asia Pacific


Rest of the World

This report gives you access to decisive data such as:

Market growth drivers

Factors limiting market growth

Current market trends

Market structure

Market projections for the coming years

Key highlights of this report

Overview of key market forces propelling and restraining market growth

Up-to-date analyses of market trends and technological improvements in the

micro servers industry

Pin-point analyses of market competition dynamics to offer you a competitive


An analysis of strategies of major competitors

An array of graphics and SWOT analysis of major industry segments

Detailed analyses of industry trends

A well-defined technological growth map with an impact-analysis

Offers a clear understanding of the competitive landscape and key product



The global beauty market is usually divided into five main business segments:
skincare, hair care, color (make-up), fragrances and toiletries. These segments
are complementary and through their diversity they are able to satisfy all
consumers’ needs and expectations with regard to cosmetics..
Over the years to come, the cosmetics and personal care industry is predicted
to record gains across the board, with particularly strong growth expected for
sun protection and anti-aging products as consumers become increasingly
aware of the dangers of sun exposure and more concerned with preserving a
youthful appearance. Emerging nations represent huge potential for
international companies, offering better quality products than locally produced
goods to populations with rising income levels. Multinational companies have
begun establishing a strong foothold in countries such as Russia, India and

Rising income means that consumers are more concerned with product
effectiveness and ingredients used than cheap products. Manufacturers are
therefore focused on advertising their products as superior to those of rival
companies, rather than systematically seeking to undercut market prices.
Distribution channels are changing in that cosmetic brands are available not
only in retail outlets like department stores, but also through internet
purchasing, television infomercials, home shopping, airport vending machines
and in spas
India’s personal care industry is composed of hair care, bath products, skin
care and cosmetics, and oral care. The sector is driven by rising income, rapid
urbanization, and celebrity promotions. This industry accounts for 22% of the
country’s fast-moving consumer goods (FMCG), which is the term for
Consumer Packaged Goods in India. Foreign direct investment in this sector
totaled $691 million in 2014.

Hair care is a main category of this industry. A study by Nielsen, a market

research firm, determined that shampoo is the most popular FMCG product in
India. The $818 million shampoo segment is dominated by Hindustan Unilever
Ltd., owned by U.K.-based Unilever. Its most popular brands are Sunsilk,
Clear, and Clinic Plus. Hair oil is another important product, valued at $1.3
billion annually. India-based Marico's Parachute and Dabur are leaders in the
production of branded coconut hair oil.

Estimated at $1 billion, the soap and bath category is significant. Soap is a

prevalent product found in more than 90% of Indian households. The most
common brands include Godrej’s Cinthol, Reckitt Benckiser’s Dettol, Wipro’s
Santoor, and Unilever’s Lux, Dove, Hamam, and Lifebuoy. For men, shaving
cream and razors are important personal care items. Procter & Gamble’s
Gillette is the most popular shaving cream and razor brand in India.

Within the cosmetics category, India’s most prevalent products are skin
creams, lotions, whitening creams, and makeup. Hindustan Unilever has three
brands that are popular among Indian women—Fair & Lovely, Lakmé, and
Ponds. Fair & Lovely was the world’s first skin lightening cream and is the
company’s leading skin care brand. Colgate Palmolive’s Charmis moisturizer
is also prominent. The majority of the demand for cosmetics comes from
working men and women. L’Oreal Paris develops both skin care and cosmetic
products for India. New York-based Revlon expanded further to smaller cities
in India, generating $40 million in revenues in 2014.

The organic skin care category grows at over 20 percent annually and is
expected to total $157 million in 2020, according to Azafran Innovacion, an
organic skincare group. Large Indian organic skin care companies include
Himalaya Herbals and Biotique. Both specialize in Ayurveda-based products.

The oral care category is the smallest category; less than half of Indian
consumers utilize western-style products such as toothpaste. Colgate Palmolive
dominates more than half of this industry and was named India’s most trusted
brand four years in a row by a brand equity survey. Hindustan Unilever is
another significant player with toothpaste brands Pepsodent and Close Up.

As a beauty products distributor, manufacturer or other related business owner,

you work in an industry experiencing continued growth/expansion throughout
the country and overseas. The personal care product industry boasts roughly
750 companies that produce a combined annual revenue of more than $40
billion. The 50 largest companies generate almost 70% of the entire revenue.
Still, the market will bear competition from small companies that can offer a
specialized product or cater to a particular niche market.

Industry leaders include companies like Kimberly-Clark, Johnson & Johnson,

Estee Lauder, Alberto-Culver, Avon, Colgate-Palmolive, L'Oreal, Parlux
Fragrances, Proctor & Gamble and Revlon. Companies within the industry
formulate, manufacture, market and sells a huge array of beauty and personal

Considered by many as one of the most unregulated industries, the cosmetics

industry's products don't require FDA approval before going to market, with
the exception of color additives. The FDA classifies cosmetics but doesn't
regulate them, and many personal care products never undergo safety testing.
The burden of validation falls to the companies themselves, who don't always
FDA authority over cosmetics and find links to the Federal Food, Drug and
Cosmetic Act and the Fair Packaging and Labeling Act at the FDA website.
Also visit the FDA website to examine Title 21, Code of Federal Regulations
Cosmetic Products.

Join professional associations for the health and beauty skin care products

Within the industry, you'll run across several associations you may find
beneficial to join. Not only will they provide valuable information on industry
news, technology, trends and events, they present priceless opportunities for
professional growth and networking.

Learn about different roles of manufacturing in the health and beauty care

Industry manufacturers prepare, blend, compound and package products.

Beauty and personal care products don't always come to fruition by a
manufacturer alone. It often takes a concerted effort from outside companies
with compatible technology to improve the way a product works. Other
companies handle all aspects of manufacturing, formulating, logistics and
packaging for companies that want to outsource any segment of their beauty
and health care product business.

As part of a beauty and personal care products industry overview, remember

that the beauty care products industry remains one focused on and obsessed
with quality-of-life enhancing products. Additionally, men represent a growing
market for personal care and cosmetics. To ensure success, align yourself with
companies that keep their fingers on the pulse of current trends and
technological developments.


Personal care or toiletries is the industry which manufactures consumer

products used in personal hygiene and for beautification.


Subsectors of personal care include personal hygiene and cosmetics.

There some small distinction between personal hygienic items and cosmetics,
which are luxury goods solely used for beautification, but in practice such
sundries are most often intermixed in retail store aisles.


Swedish ad for toiletries, 1905/1906.

Personal care includes products as diverse as cleansing pads, colognes, cotton

swabs, cotton pads, deodorant, eye liner, facial tissue, hair clippers, lip gloss,
lipstick, lotion, makeup, nail files, pomade, perfumes, razors, shaving cream,
skin cream, talcum powder, toilet paper, toothpaste, and wet wipes.

Hotel application

Typical toiletries offered at most hotels include:

small bar of soap

disposable shower cap

small bottle of moisturizer

small bottles of shampoo and conditioner

toilet paper

box of tissue

face towels

disposable shoe polishing cloth (on occasions)

Tooth paste


A few examples of the major corporations in the personal care industry,

illustrating the great diversity in the industry, include:





Combe Incorporated

Energizer Holdings


ITC Limited

Johnson & Johnson



Procter & Gamble

Reckitt Benckiser
Remington Products


Svenska Cellulosa Aktiebolaget SCA


Garden Química


Other corporations, such as pharmacies (e.g. CVS/pharmacy, Walgreens)

primarily retail in personal care rather than manufacture personal care products
 Colgate – Palmolive Company is an American diversified multinational
corporation focused on the production, distribution and provision of
household, healthcare and personal products, such as soaps, detergents,
and oral hygiene products (including toothpaste and toothbrushes).

 Under its “Hills” brand, it is also a manufacturer of veterinary products.

The company’s corporate offices are on Park Avenue in New York
City, across from the Waldrof Astoria.

 In India, it operates under the name as Colgate-Palmolive (India)

limited and its head office is at Mumbai.

 Colgate Palmolive is a $10.6 billion global company serving people in

more than 200 countries and territories with consumer products that
make lives healthier and more enjoyable.


 Headquarter in Mumbai.
 Annual Turnover around 1100 crs.
 Market leaders in oral care.
 Colgate consistently won India no 1 brand of the year award from last
three years.
 Colgate ranked among best employer in India.
 Customer base of more than 8 lacs retailers.
 Serviced by company field force, more than 1800 stockiest & super
stockiest & their field force.
 Colgate is the brand that people trust, for complete oral care protection
for themselves and ones they lov

 1806 - William Colgate starts a starch, soap and candle business on
Dutch Street in New York City.

 1817 - First Colgate advertisement appears in a New York newspaper.

 1820 - Colgate establishes a starch factory in Jersey City, New Jersey.

 1857 - Upon the death of founder William Colgate, the company is

reorganized as Colgate & Company under the management of Samuel
Colgate, his son.

 1873 - Colgate introduces toothpaste in jars.

 1879 - Gerhard Mennen establishes a pharmacy in Newark, NJ, later

becoming the Mennen Company.

 1896 - Colgate introduces toothpaste in a collapsible tube.

 1902 - Stylish Colgate advertising begins, emphasizing ingredient purity

and product benefits.

 1906 - Colgate & Company celebrates its 100th anniversary. Product

line includes over 800 different products.
 1911 - Colgate distributes two million tubes of toothpaste and
toothbrushes to schools, and provides hygienists to demonstrate tooth

 1914 - Colgate establishes its first international subsidiary in Canada.

 1930 - On March 13, Colgate is first listed on the New York Stock

 1939 - Dr. Mark L. Morris develops a pet food to help save a guide dog
named Buddy from kidney disease. This breakthrough leads to the first
Hill's Prescription Diet product.

 1956 - Colgate opens corporate headquarters at 300 Park Avenue in New

York City.

 1968 - Colgate toothpaste adds MFP Fluoride, clinically proven to

reduce cavities.

 1972 - Colgate acquires Hoyt Laboratories, which later becomes Colgate

Oral Pharmaceuticals.

 1985 - Colgate-Palmolive enters into a joint venture with Hong Kong-

based Hawley & Hazel, a leading oral care company, which adds
strength in key Asian markets.

 1989 - Annual Company sales surpass the $5 billion mark.

 1995 - Colgate enters Central Europe and Russia, expanding into fast-
growing markets.

 1997 - Colgate Total toothpaste is introduced in the U.S. and quickly

becomes the market leader. Only Colgate Total, with its 12-hour
protection, fights a complete range of oral health problems.

 2004 - Colgate acquires the GABA oral care business in Europe, with its
strength in the important European pharmacy channel and its ties with
the dental community.

 Today …
Today, with sales surpassing $15 billion, Colgate focuses on four core
businesses: Oral Care, Personal Care, Home Care and Pet Nutrition.
Colgate now sells its products in over 200 countries and territories

As the Muslim market continues to grow, the demand for halal products
increases too and many companies are beginning to tap into this growing
market. According to a Thomson Reuters report, the global halal (‘permissible’
or ‘lawful’) market, which includes products and services complying with
Islamic laws and regulations, was valued at $1.7tn in 2012; growing faster than
other consumer markets despite the recent global recession. Despite the most
common belief that the term ‘halal’ is limited to meat and poultry,
opportunities in the halal market go way beyond this and include cosmetics,
personal hygiene products, retail, banking, travel, clothing amongst many
more. As discussed in the MarketLine case study, Colgate-Palmolive: leader in
oral hygiene; the company has a number of toothpaste products that are
certified halal. Of particular interest is Colgate-Palmolive’s miswak toothpaste.
Miswak is a teeth cleaning twig made from the Salvadora persica tree, and the
practice of using it is predominant in Muslim inhabitant areas. It is often
mentioned that the Islamic Prophet recommended the use of miswak. The
company has marketed its product strategically; the advertisement highlights
the benefits of miswak and then demonstrates how this is now in a paste form
making it easier to use for consumers; particularly younger consumers who
may have difficulty using a miswak twig for cleaning their teeth. Innovation is
a crucial element in addressing business opportunities in the halal market,
allowing players to find a gap in the market or even set new trends; Colgate-
Palmolive’s miswak toothpaste has been successful in doing this. This product
will not only attract consumers in Muslim countries, but is also reaching out to
many Muslims worldwide. This in turn will increase the company’s revenues
and help the company compete in international markets. Moreover, by
marketing its products as halal, consumers may be willing to pay a premium
for products that meet their ethical and religious beliefs. This provides many
opportunities for the company to generate revenues further - See more at:










 The product, the Precision toothbrush, is a product that should add

value to a buyer’s life.

 It should also add utility, and meet the wants and needs of targeted

 The product should be unique and different from all similar products that
are already available on the market.

 The strategy is to differentiate the product’s design and packaging,

which in return will cause the toothbrush to stand out.



 The price of a product says something about the


 Even though the quality of the Precision toothbrush will be significantly

higher than other leading toothbrushes, the price of the toothbrush will
be determined by the prices of the other toothbrushes already in the

 This pricing strategy is a result of positioning the toothbrush as a

mainstream product rather than a niche product.

COLGAT 20g 40g 50g 75gm 80g 100g 150g 200g 300g
E ms ms ms s ms ms ms ms ms

Dental 5rs ---- 14rs ---- ---- 30rs 45rs 56rs 86rs
Max fresh --- --- 15rs --- 32rs 35rs 55rs ---- ---

Total ---- ---- --- 35rs --- --- 65rs --- ---

Sensitive --- --- 35rs --- --- 60rs --- --- ---

Kids --- 26rs --- --- --- --- --- --- ---

Advance --- --- --- 27rs --- --- 53rs --- ---
Active salt ---- --- 14rs ---- ---- 30rs ---- 54rs ----
Cibaca --- --- --- --- --- 18rs --- 28rs ---

Herbal --- --- 14rs --- --- 30rs --- 55rs ---

Fresh --- ---- ---- ----- --- --- 55rs 60rs ---
energy gel


 Place represents the location where a product can be purchased.

 The most important part of marketing is how a product will get from
the seller to the buyer.

 Many products go through a channel of distribution, which involves

manufacturers, wholesalers, retailers, and consumers.

 The distribution strategy proposed for the Precision toothbrush is

through dentists, plastic surgeons, drug stores, grocery stores, large
retail stores, and department stores.

 The product is available in the all India market, including semi-urban

& rural markets which are their primary focus.

 Product promotion is communication spread through advertising,

Publicity and sales promotion.

 Promotion represents all of the communication that marketers use in

the market.

 We suggest that Colgate-Palmolive advertise their products by using

commercial, magazine ads, the radio, ads that are to be placed in
dentist offices, billboards, and the sides of buses.

 Advertising is done to promote new products, remind consumers of

existing products, and also promote the image of the company at hand.
We also suggested that Colgate offer special coupons and rebates
through their other products, and also food products.

 Also, Colgate could benefit from the usage of in-store displays.

 Most of the promotional activities would be T.V. media.

 T.V., FM radio for urban population.

 Promotion towards rural population also.


 The BCG matrix or also called BCG model relates to marketing. The
BCG model is a well- known portfolio management tool used in
product life cycle theory.

 BCG matrix is often used to prioritize which products within company

product mix get more funding and attention.

 The BCG matrix model is a portfolio planning model developed by

Bruce Henderson of the BOSTON CONSULTING GROUP in the
early 1970’s.

 The BCG model is based on classification of products (and implicitly

also company business units) into four categories based on
combination of market growth and market share relative to the largest

 “SWOT is an acronym for the internal strength and weakness of a

firm and the environmental opportunities and threats facing the firm.

 SWOT analysis is a widely used technique through which

managers create a quick overview of a company’s strategic situation.

 The technique is based on the assumptions that an effective

strategy derives from a sound “fit” between a firm’s internal resources
(strengths and weakness) and its external situation (opportunities and



 Colgate dental cream offers all-round cavity protection, even where a

toothbrush cannot reach.

 Its great mint taste freshens breath.

 It protects against root caries.

 It cleans & makes teeth whiter and repairs early decay spots.

 Extremely popular brand and high brand awareness due to advertising.


 High dependence of the company on a single category i.e., oral care.

 Reduction in advertisement expenditure in order to maintain growth.



 Leverage on fact that Colgate has been ranked as the most trusted brand
in India.

 Focus on innovations and new product launches by deploying advanced


 Growth in emerging markets – rural and semi- urban.


 High competition from competitive brands like Pepsodent from HUL.

 Increasing commodity prices for manufacturing.



 Colgate’s market segmentation is very broad because all their products

are of need to most people so those people share a similar interest in
product needs.

 Colgate uses a segmentation bases by knowing that certain groups of

people need Colgate toothpaste for a specific similar reason like yellow
teeth, sensitive teeth or just teeth with cavities.

 Colgate also uses the family life cycle because they make toothpaste
that could be used for grownups and children.

 Also, toothbrushes are made to attract young children with cartoon

characters and different tastes and are less strong so that it wouldn’t
damage their gums.

 MAX FRESH :– Colgate targeted youth with the introduction of this

toothpaste, as this helps in refreshes breath.

 ACTIVE SALT :- Elder people are targeted in this segment as it

makes teeth stronger and provides protection from cavities.

 COLGATE TOTAL :- Colgate Total contains the anti-microbial

ingredient triclosan, which reduces the number of bacteria that cause
gingivitis, cavities and halitosis Basically it’s for kids but Mothers are
targeted as they are very concerned about their kids. This toothpaste
safeguards teeth for 12 hours.

 COLGATE SENSITIVE :- People who have sensitive teeth are

targeted in this segment who have problem in their gums.

 KIDS TOOTHPASTE :- Often small children don’t like to brush

teeth, so for them this toothpaste was launched. Colgate had focused on
taste aspect to encourage kids to brush teeth.

 COLGATE WHITENNING – A whitening toothpaste that is

"Clinically-proven to whiten in 14 days”. Its whitening ingredient is
hydrogen peroxide, which gradually bleaches the teethFocus is given on
group of customers in this segment those who are already suffering from
plaque in their teeth.
 COLGATE 2in1 :- People who want both strongness and fresh breath
are targeted.


 Colgate dental cream positions itself as toothpaste that has the

necessary calcium and minerals to provide decay protection, strong
teeth, germ protection and fresher breath.

 Colgate positioned several toothpaste so that people would like the

products more like adding a different style or taste to the toothpaste.

 Colgate repositions their products because with the way they market
and promote their products, consumers know that these products are way
better than other brands and competition that is out there.

 Lately with competition from indigenous “vegetarian” toothpastes,

Colgate dental cream has also positioned itself as an “always 100%
vegetarian” toothpaste. The tagline of its advertisements, “trusted by
generations to make teeth stronger”.

 Colgate total 12 have been projected as the “most advanced

toothpaste” that provide 12 hr germ protection even after eating and
drinking by building a protective shield around the teeth.
 Colgate max fresh positions itself on the basis of “freshness”. The
tagline “new dimensions brings” home this very point.

 Colgate kids toothpaste tries to position itself based on emotions which

is apparent in its tagline “makes fighting cavities fun”


 Colgate should hire celebrities for the advertisement.

 They should also increase their CSR activities because they have very
good image in the market.

 Target market should be clearly emphasized in the advertisement.

 Colgate should emphasize on digital branding i.e., online purchase.

 Colgate should use colorful paste to create uniqueness.

Balance Sheet of Colgate------------------- in Rs. Cr. -------------------
Palmolive (India)
Mar '15 Mar '14 Mar '13 Mar '12 Mar '11
12 mths 12 mths 12 mths 12 mths 12 mths
Sources Of Funds
Total Share Capital 13.60 13.60 13.60 13.60 13.60
Equity Share Capital 13.60 13.60 13.60 13.60 13.60
Share Application Money 0.00 0.00 0.00 0.00 0.00
Preference Share Capital 0.00 0.00 0.00 0.00 0.00
Reserves 756.72 586.28 475.99 421.79 370.45
Networth 770.32 599.88 489.59 435.39 384.05
Secured Loans 0.00 0.00 0.00 0.00 0.00
Unsecured Loans 0.00 0.00 0.00 0.00 0.05
Total Debt 0.00 0.00 0.00 0.00 0.05
Total Liabilities 770.32 599.88 489.59 435.39 384.10

Application Of Funds
Gross Block 1,192.19 902.03 582.88 522.50 489.17
Less: Revaluation Reserves 0.00 0.00 0.00 0.00 0.00
Less: Accum. Depreciation 410.61 346.13 302.21 268.08 234.12
Net Block 781.58 555.90 280.67 254.42 255.05
Capital Work in Progress 141.18 141.51 101.96 69.38 8.21
Investments 37.13 37.13 47.12 47.12 38.74
Inventories 252.23 225.74 185.30 217.68 153.70
Sundry Debtors 69.64 54.73 81.21 87.27 75.30
Cash and Bank Balance 254.45 286.95 428.80 309.81 395.15
Total Current Assets 576.32 567.42 695.31 614.76 624.15
Loans and Advances 165.68 186.77 181.73 143.92 107.86
Fixed Deposits 0.00 0.00 0.00 0.00 0.00
Total CA, Loans & Advances 742.00 754.19 877.04 758.68 732.01
Deferred Credit 0.00 0.00 0.00 0.00 0.00
Current Liabilities 804.40 793.66 717.64 586.96 591.61
Provisions 127.18 95.21 99.54 107.25 58.30
Total CL & Provisions 931.58 888.87 817.18 694.21 649.91
Net Current Assets -189.58 -134.68 59.86 64.47 82.10
Miscellaneous Expenses 0.00 0.00 0.00 0.00 0.00
Total Assets 770.31 599.86 489.61 435.39 384.10
Contingent Liabilities 77.74 235.68 166.77 68.45 72.51
Book Value (Rs) 56.64 44.11 36.00 32.02 28.24

 By the Detailed study on the product and market of COLGATE it

was able to get a clear picture of the past and present of the products and
was able to get in to the assumptions about the future of the product.

 The Brand “COLGATE” has been sold successfully and has

created a good demand all the time.

 It is also holding a good place in the toothpaste market with a

share of around 10% - 15%.

 As like for all other products Colgate is also facing a tight

competition in the toothpaste Market.

 Since the competition is too strong the company has to keep on

watching market closely for avoiding any sudden collapse for the

 Finally, it should note that the company may have to face lot of
threats in coming years like political threats, legislation threats ongoing
economic crisis, changing life style of the people etc. If the company is
able to overcome all the threats and can prepare themselves for facing
the problems in advance it can achieve a good growth for “COLGATE”.