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Table of Contents

1. Introduction......................................................................................................................................5
Origin and History of Listerine:.........................................................................................................5
2. Market overview..............................................................................................................................5
Market Size.......................................................................................................................................5
Market growth.................................................................................................................................6
Market Trend....................................................................................................................................7
COVID-19 impact..............................................................................................................................7
3. Brand Research................................................................................................................................8
STP analysis......................................................................................................................................9
Marketing Mix................................................................................................................................11
4. User Research.................................................................................................................................15
Research Overview:........................................................................................................................15
Distribution Partners......................................................................................................................16
Influencer (Dentists):......................................................................................................................16
End Users:.......................................................................................................................................17
Regular Users...............................................................................................................................17
Casual Users.................................................................................................................................18
Non-Users....................................................................................................................................19
5. Gap Analysis:..................................................................................................................................24
6. Conclusion and Recommendations................................................................................................25
1. Introduction
Oral care is one of the least penetrated market segments in IndiaThe Indian oral care market has
tremedndoues growth potential. In comparison to other developing countries’ where, 97% of the
populationpeople uses toothpaste dailyeveryday, merely 68% of the Indians population uses
toothpaste daily. Furthermore, of those using toothpaste, 87 % of people brush twice in a day for
the US compared to merely 17% in India 1.

Mouthwash, the topic for this marketing strategy report, forms a small chunk of overall oral care
category. In the US it has been growing faster at around 15% against aggregate oral care market
growth of 13%2., At present, with nearly two-thirds (62 percent) of Americans using mouth washit,
the oral care market is already matured to accept it as an add-on to brushing teeth daily to
maintain theiryour daily dental hygiene. Whereas in India, penetration is still hardly 2-3%, and it
iswith an estimated to have ahave cummaltive annual growth rate (CAGR) of 12% compared to oral
care market growthCAGR of 5%(CAGR).

In this report, we will discuss the brand marketing strategy of Listerine, a brand that pioneered the
mouth washt category globally. Thise report is based on primary research, through interviews of
marketeers, influencers, distributersdistributors, end end-users, and supplementary additional
secondary research. Report section on brand research has discussion ondiscusses learnings from
secondary research and interviews with Listerine’s product manager and sales managers of
Listerine. The analysis of while analysis of user interview analysis s s ishas been discussed presented
in the user research section,. This which is followed by gap analysis and our recommendations and
conclusion.

2. Origin and History of Listerine:


Listerine, the over 130 years old brand, was named after its inventor Joseph Lister in 1879. Claims
of its usage have also varied widely - ranging from curing sore throats, and colds andto healing
wounds to even floor cleaner and hair tonic 3. But eventually, the brand found its place as an
effective mouthwash due to its teeth cleaning properties by 1895. By 1914, Listerine became the
first prescription mouthwash to be sold over the counter (OTC) in the US4.
The history of Listerine’s history was not without controversies. When some reports were
published claiming linkage oflinking regular use of mouthwash with Oral cancer, Listerine, the
category leader was most impacted. The study claimed an increased risk of oral cancer due to very
frequfrequent ent (3 times a day or more) usage of alcohol alcohol-containing mouthwash.5 But
However, more studies concluded that there is was not enough evidence for the claims made. 6
HoweverNonetheless, the mark of oral cancer mark still lingers in media and the brand has been
actively educating about it this ever since.

1
Colgate: India Oral Care Penetration is very low. https://blog.covalue.io/colgate-india-oral-care-penetration-
is-very-low/
2
MOUTHWASH MARKET MINTS 15% GROWTH IN 5 YEARS, mintel.com https://www.mintel.com/press-
centre/beauty-and-personal-care/mouthwash-market-mints-15-growth-in-5-years#:~:text=New%20research
%20from%20Mintel%20reveals,market%20rate%20of%2013.6%20percent.
3
https://americanhistory.si.edu/collections/search/object/nmah_1170944
4
https://www.nocavitykids.com/blog/the-crazy-and-disgusting-history-of-mouthwash/
5
https://www.nhs.uk/news/cancer/is-frequent-mouthwash-use-linked-to-oral-cancer/
6
https://scienceblog.cancerresearchuk.org/2009/01/14/does-mouthwash-cause-cancer/
The brand, Listerine, has changed hands over these years changed hands many times over the
years. The original brand owners were Warner- Lambert, which which was later was aacquired by
Pfizer. In 2008, the brand again changed hands to Johnson & Johnson 7 and has hasd been part of
their portfolio ever since.

3. Market overview

Market Definition

The oral hygiene market consists of retail sales of (non-confectionery) toothpaste, breath
fresheners, dental floss, denture care, mouthwash, toothbrushes & replacement heads. The market
is valued according to the Rretail Sselling Pprice (RSP) and includes any applicable taxes.
Mouthwash segment is approximately 7.5% of the overall oral hygiene market. The key market
players in the mouthwash segment areincludes the following: -
 Listerine,
 Colgate Plax,
 Close-up mouthwash,
 AM AM-PM Mouthwash, and
 Pepsodent Fresh Mint.
 Clohex
Listerine is the market leader with over 70% market share in these Over the counter (OTC)
mouthwashes. PThere is separate type of prescription mouthwashes hasve a separate market
segmentin the market, with the most popular being Chlorohexidine Gluconate based
mouthwashes like Clohex by Dr. Reddy’s.

Market Data
Market Value

The Indian oral hygiene market grew by 8.3% in 2019 to reach a value of $1,865.9 million. With a
CAGR of 8.2% The compound annual growth rate of the market in between the period 2015- and
2019. was 8.2%.

Table 1: India oral hygiene market value: $ million, 2015–19

Year $ million Rs. Million % Growth


2015 1,361.60 95,849.30

2016 1,475.80 1,03,890.00 8.40%


2017 1,595.40 1,12,306.70 8.10%

2018 1,722.90 1,21,285.70 8.00%


2019 1,865.90 1,31,349.20 8.30%

CAGR: 2015–19 8.20%

Market Segmentation

7
http://marketingpractice.blogspot.com/2010/01/listerine-pioneering-category.html
Toothpaste is the largest segment of the oral hygiene market in India, accounting for 76.8% of the
market's total value of $1865.9 million. The Mouthwash segment accounts for a 7.5% of the total
market valued at $139.4 million.

Table2: India oral hygiene market category segmentation: $ million, 2019

Category 2019 % Size

Toothpaste 1,432.6 7 76.8


Toothbrushes & Replacement Heads 292.1 15.7
Mouthwash 139.4 7.5
Dental Floss 1.8 0.1
Total 1,865.90 100

Market Trend

Notably, India has one of the youngest populations globally, which has provided opportunities for
existing brands to expand and new brands to break through. Furthermore, the demand for
products with natural ingredients is gaining popularity due to rising health consciousness. The
category is India is mainly characterised by toothbrushes and toothpasteoothbrushes and
toothpaste mainly characterize the oral hygiene category in India, ; therefore, the demand for other
categories has traditionally been low and but evolving. This situation is not expected to change in
2020 with mouthwashes/dental rinses growing from a much smaller base. An aversion to eating
meat during the lockdown on the back of health concerns, however, is set to have a slightly
negative impact on dental flossing in 2020.

Table 3: Brand Shares of Mouthwashes/Dental Rinses: % Value 2016-2019


201 2018(%
7 ) 2019(%
Responsible Brand Company 2016 (%) (%) )
Listerine (Johnson & Johnson & Johnson
Johnson Inc) (India) Ltd 71.5 72 71.3 70.8
Colgate Plax (Colgate- Colgate-Palmolive India
Palmolive Co) Ltd 16.6 14.3 12.5 11
AM PM Mouthwash
(Elder Pharmaceuticals Ltd) Elder Health Care Ltd 3.1 3.1 3.1 3.1
Pepsodent Fresh Mint
(Unilever Group) Hindustan Unilever Ltd 1.8 1.8 1.8 1.8
Others Others 7 8.7 11.4 13.4
Total Total 100 100 100 100

Market Distribution
Convenience Stores form the leading distribution channel in the Indian oral hygiene market,
accounting for a 71.1% share of the total market's value. Hypermarkets & Supermarkets
accounts for a further 14.1% of the market.

Table 4: India oral hygiene market distribution: % share, by value, 2019

Channel % GrowthDistribution %
Convenience Stores 71.1

Hypermarkets & Supermarkets 14.1


Chemists/Pharmacies 7.1

Direct Sellers 3.0


Other 4.6

Total 100

4. Market Outlook

Market Value Forecast


In 2024, the Indian oral hygiene market is forecasted to have a value of $2,437.1 million, an
increase of 30.6% since from 2019. Assuming the same % contribution percent of mouthwash
remains similar, it’s the mouthwash market size would be approximately $182.78 million
approximately.

Table 5: India oral hygiene market value forecast: $ million, 2019–24


Year $ million RsINR. Million % Growth

2019 1,865.90 1,31,349.20 8.30%


2020 1,769.50 1,24,566.10 -5.20%

2021 1,998.30 1,40,671.30 12.90%


2022 2,110.20 1,48,548.50 5.60%

2023 2,256.80 1,58,867.10 6.90%


2024 2,437.10 1,71,558.60 8.00%

CAGR: 2019–24 5.5%

Market Value Growth by Segmentation


In 2024, the Indian oral hygiene market is forecasted to CAGR of have having a value of $2,437.1
million, an increase of 30.6% since 2019. Assuming the same % contribution of mouthwash it’s
market size would be $182.78 millionIn addition to the mouthwash category, mentioned in the
table above, the table below outlines the expected segement share for the period between 2019
and 20248.

Table 6: Forecast Sales of Oral Care by Growth by Category, 2019-2024 (source 8)


2019 2020 2021 2022 2023 2024

Dental Floss 0.3 0.3 0.4 0.4 0.4 0.5


Mouthwash/ Dental Rinse 6.2 6.8 7.5 8.2 9.0 9.8

Toothbrush 16.4 16.3 16.1 16.0 15.9 15.9


Toothpaste 77.1 76.6 76.0 75.4 74.7 73.9

Oral care 100.0 100.0 100.0 100.0 100.0 100.0

Market Analysis
Based on the data presented above, it can be observed that even though the mouthwash category
is quite small presently, it is growing at a rapid rate. The impact of the COVID-19 pandemic is
predicted expected to to decline by growth by decline 2020 YoY sales by-5.2% in 2020 and not
return tomay take unitll 2021to reach pre-outbreak levels until 2021. Data suggests that from 2019-
2024, CAGR is for mouthwash category is estimated to be at 12.1% outgrowing oral care market,
which is expected to grow at around 5%.

Rising disposable incomes, rapid urbanization, and a large population has haves been contributing
to the growth of the Indian oral hygiene market. Moreover, rising increasing awareness about oral
care and changing lifestyles in of the urban population has have been the driving the mouthwash
segment growth thusfar.

5. Brand Research

8
Indian Oral care MarketLine report, June 2020 MLIP3157-0010
Customer Competitors Collaborators
Urban Families and individuals Direct: Colgate Plax,Close up,Oral B Dentists
14 major Tier 1 and Tier 2 cities Indirect: Water used for gargling, Social influencers
Age group 25 - 34, Sec A mouth freshners Pharmacies, supermarkets, mom and pop
Oral hygeine conscious Parallel: Prescription mouthwashes stores

Company Context
Self- care products, strong association with baby care Niche product, 7% of oral care market, 1% indian consumer
products, pharmaceutical market penetration
Product disassociation with brand as listerine is not Small and growing market
suitable for children Oligopoly, dominated by 2 dominant player with many small players
Strong brand image of Listerine Wider adoption would require change in oral care habit of consumers

STP analysis

Based on the available primary and secondary data from this projectintelligence gathered, the
following STP analysis has been arrived atoutlines the STP framework:
 
Segmentation:
This The product is being considered falls under the in the oral care segment, which a segment
consists consisting of toothbrush, toothpaste, dental floss, mouthwash, etc. From a geographic
segmentation standpoint, the company is looking at urban and rural markets separately, and within
urban – primarily the top tier-1 and tier-2 Indian cities in India. Consumers are also segmented by
their age range – young spenders will easily quickly adapt to using this product. Additionally, from a
psychographic point of view, the consumers are divided into groups such as the ones who are
conscious about of their oral health and the ones who are not. AAn additional view aspects of
behavioural segmentation is lookedfocusses at upon - for consumers who are price price-sensitive
and the ones who are notvice-versa, consumers and ones who are concerned about fresh breath
and the indifferent consumers.
 

Targeting:
Based on the segmentation above, it is seen that the company targets consumers who are
concerned about complete oral care. The primary target group is SEC A, age 22-35, males and
females, living in the top 14 cities in India. The target group is not price sensitive for their oral care
needs and is self-aware of the benefits of using mouthwash - t. These consumers doare
indifferentn’t go with to the recommendation of the pharmacist when buying the product and
choose to buy the tried and tested products instead. To some extent, the company also targets the
consumers who are frequent travellers, and also even select groups of consumers in the rural areas
(SEC A). Additionally, the company is targeting only the over-the-counter mouthwash segment and
not venturing into the prescription mouthwash segment.
 
Though, the company is not targeting the specific group of customers, who are who is solely looking
solely for freshness/fresh breath, several of the casual users indicated in their interviews that they
prefered to use Listerine over competitor products mainly for freshness.
 
Positioning:
Listerine is a market leader in the product category. Listerine has basically established the mouth
wash category in India. It is a known product internationally, and a lot of users know about the
brand through the from their familiarity of the product from foreign markets. Similar positioning of
the product is carried over to the Indian market to a some extent, as much as relevant. The
company positions the product as a complement to brushing and not a replacement or substitute.
The strategy used by the company is based on attribute-based positioning, wherein the product is
positioned as a therapeutic solution requisite for complete care and hygiene of the complete
mouth, in addition to the toothbrush. Water is not enough for oral care as it does not eliminate
germ build-up inside the mouth. Their marketing communication mentions "not just for fresh
breath", “reduce gum problems” and “removes 99.9% of the germs”- indicating their intent to
position the product for complete oral care and hygiene, not just for bad breath. The term
“antiseptic” is also used in the communication to reinforce the product’s position as one for
preventiveon and and protectiveon against germs and to maintain cleanliness inside the mouth.
They have positioned this product in the over-the-counterOTC mouthwash segment. Several users
indicated high brand stickiness, and most people interviewed were aware of the brand – few users
would even go against the recommendation of the pharmacist to insist on this product rather than
any competitor’s product. The product is priced slightly higher than competition though not
significantly considering the target segment and is targeted at a niche category. The company has
been trying to develop the product category and create relevance for mouthwash use in India.

To cater to different preferences/ taste of consumers, they have several options available for
flavoursseveral flavors of the product isare available. Since most of these contain alcohol, which
some users might experience as a burning sensation in the mouth, they also have a milder flavour
available, which is non-alcoholic and higher pH. Additionally, they have small SKU catering to the
traveller segment. This has an additional benefit ofalso catersing to first time users who just want
to try the product and would prefer to go with a smaller SKU.

The Listerine brand has been active in the mouthwash segment for more than 10 ten years now.
Listerine got acquired by Johnson and Johnson in 2008. The brand strategy has been observed to
have gradually shifted since then. Earlier, the positioning of the product was medicinal such that it
was meant - to be used for tooth aches and bad breath. It was projected more as a medicinal
product -– which This type of positioning resulted in restricted and smaller due to this, the target
group was very restricted. Several non-users would be hesitant to use the product as the
perception was that it is meant to be used only during specific oral problems. Lately, the JnJ has
positioning repositioned has movedit towards a therapeutic product for preventive use and as
protection for the complete mouth, including teeth, gums and bad breath. Due to this, the product
category itself has expanded to include users who use the product for preventive purposes.
 
Listerine differentiates itself as a brand from the competition by several attributes to build the
points-of-difference. These include; complete oral care, obtained by use of the product andproduct
made by a strong, natural essential oils-based formulation used for the product. Consumers
associate the brand with complete comprehensive oral care, and not just for fresh breath. Colgate
Plax is seen more as a product for freshness instead, as seen from their marketing communication
and user perception (from primary research).

Additionally, the brand shares several points-of-parity with competitor brands such as Colgate Plax,
Close-up mouthwash, etc. These mainly include attributes such as fresh breath and oral hygiene.
Apart from this, the Listerine product line also shares the popular mint flavour with Colgate Plax.
For several users, Listerine is synonymous with mouthwash as it is the oldest and most popular
brand in the category.
Marketing Mix

(a) 1. Product Strategy


(i) a. Product Definition: The product is a non-prescription liquid mouthwash with
germicidal properties that supplements the Teeth-brushing. of teeth. It helps in preventive
oral hygiene and dental health care. The formulation is patented and consists of five key
natural essential oil ingredients, along with other substances.

(ii) b.PProduct Line: The primary product line consists of flavours such as Original,
Fresh Burst, and Coolmint – these flavours have alcohol content in them. An additional non-
alcoholic product is sold as Coolmint – Mild mild taste. They also offer a higher benefit
product with the name Cavity Fighter, which is priced 10% higher than other products. The
products are sold in bottle sizes of 80ml, 250ml, and 500ml.

(b) 2. Place: Marketing Channels

(i) a. Target sales only in the top 14 cities of India: In generalAs mentioned earlier,
the mouthwash category has very low penetration, 2%-3% only, in India. It can be said
that Listerine essentially established the segment in India. However, the adoption of
mouthwash in India is still very shallow, with current penetration levels of 2-3%. Listerine
targets SEC A customers within the age group of 22-35 and living in the top 14 cities of
India as they are likely to be the early adopters of this new category, and will have offer a
higher Lifelife-Time time Valuevalue.

(ii) b. Place of sale:


The channel strategy followed for Listerine is divided as follows:
 Traditional channel: This consists of pharmacies, kirana stores and general
merchant stores. Kirana stores usually stock very less FMCG products, so it’s not a
major contributor amongst these. Since this is a therapeutic product, pharmacies
contributed a lot to sales.
 Self-service stores channel: This channel consists of big supermarkets such as
Dmart, Haiko, Big Bazaar, HyperMart, etc. which are of self-service type. Lately, this
has become a key channel for the product.
 E-commerce channel: This consists of e-commerce retailers such as Big Basket,
Amazon, Grofers, etc. This channel is also becoming very prominent for the product
lately. In recent times, due to the COVID-19 outbreak and the resulting lockdown,
sales through this channel have skyrocketed. There is a lot of attention being paid
by the company for this channel lately.

(iii) Distributor Network: Currently, Listerine has a 1200 strong distribution network.
Each distributor has a sales team which that works towards getting market orders.
Additionally, there is a sales team from Johnson and Johnson, which supports the
distributor teams. Inventory is not held for more than 7-15 days at the retailer end, for
most of the SKUs. A typical distributor holds maintains inventory for 7-10 days. Very few
SKUs are held for a longer duration.

(c) 3. Pricing:

An analysis of the retail prices of Listerine and its competitor brands as on Jul 2020 is provided
below:

Avg Price (Rs/ml)


0.70
0.59
0.60

0.50 0.47
0.40
0.40

0.30

0.20

0.10

0.00
Listerine Colgate Plax Closeup
Based on data sourced from Big Basket & Amazon in July’20

Listerine is seen to have an average mark-up of about 25% above Colgate Plax.

Historically, the price of 250ml SKU of Listerine has been around Rs. 10 more than the
corresponding SKU for Colgate Plax. Only recently, Listerine has increased its prices, resulting in the
higher mark-ups. The company expects Colgate Plax to also respond accordingly to the recent price
rise.

Although Listerine is priced higher, the brand doesn’'t view itself as being priced premium to
Colgate Plax as the target group is insensitive to such a small price difference between the two
brands.

Promotion:
(i) Being the category leader, Listerine’s promotional campaign listerine revolves its
promotional campaign revolves around increasing awareness and educating consumers about
mouthwash benefits and usage. Hence, most of its advertisements are can be classified asmore like
an infomercials.

(ii) Aligned to Its positioning as a therapeutic mouthwash for complete oral care, it emphasizes
on germicidal properties and how it can supplement brushing in reducing germ build-up.
(iii) Given the target customers of Listerine are primarily young educated consumers living in
top 14 cities in India, it is a digital-first brand for Johnson and Johnson. This means that they are
using push marketing techniques on online media, which is targeted to specific consumer groups.
Since the target group is very niche, and the conversion rates are lower in TV and print media
compared to online, the company has adopted this strategy so that communication can be targeted
more effectively.

(iv) Their advertisements feature young adults between the ages of 20- and 30, and the scene
is usually set in a bathroom environment which is quite big and seems high-end. The speaker is
usually speaking in English (though they did release some of these ads in regional languages like
Marathi as well). This clearly indicates that they are targeting SEC A segment primarily.

(v) Listerine’s promotional strategy has also evolved over time from focusing on bad breath
and teeth problems in early 2010 to the current focus on total comprehensive oral health, clean
mouth and prevention of oral problems. They have also been running campaigns like “Listerine
Clean”, “Reduce gum problems in less than 2 weeks”.” This is a bit of a contrast to other players in
the market like Colgate Plax, which emphasizes more on freshness more.

(vi) Listerine recognizes dentists are an important essential stakeholder and influencer in oral
care market. Hence, they Listerene isare actively engaging with dentists to gain their
support for recommending Listerine as a regular mouthwash to their patients. However,
they have been unable to make significant inroads on this front. , though without much
success as of now.

(vii) But overallOverall, one can see that in even in digital media, promotional activities are few
and irregular with a burst of activities every few years. Based on the interview with Listerine
Brand managerManager, the main reason for this is limited focus by the parent company (J&J),
considering the nature and size of this category. Wider usage of the product necessitates a
change in oral care habits of the population, and habits change slowly. Hence, the brand strategy
is to allow the market to grow organically without significant promotional expenses.

Below are some examples of online ads of Listerine in India:


Source: Listerine India Facebook Page (accessed 12-Aug-2020)

Typical ads/infomercials by Listerine Source: Listerine India YouTube Page

6. User Research

Research Overview:

To understand the various aspects of the marketing strategy of Listerine and its impact on
consumer behavior, various groups of consumers were interviewed, and the collected data wereas
analyzed. Apart from the users of the product, several other types of interviewees were identified
to get a complete picture onof the aforementioned topicstopics above.
Based on this, a total of 24 interviews were conducted, and data was captured for further analysis.

Category Sub-category No. of Interviewees

Regular users 3
Casual users – Listerine 6
End consumers
Casual users – Colgate Plax 2
Non-users 2
Dentists 7
Pharmacy 1
Retailers
Supermarket 1
Brand Marketeers Brand Manager 1
Area Sales Manager 1

The key inferences from the interviews have been collated together in the relevant category and
listed below.

Distribution Partners

User analysis of Supermarket and Pharmacy –

 Commonality: Listerine is a fast-moving product which that accounts for about 60% of the
store's mouthwash sales. The sales are constant, and stores interviewed kept around 10 –
12 pieces of the product. The product commands a certain level of brand image, and
customers most often do not buy a substitute product. The “Original” variant is the slowest
moving variant in the category. Cool mint mild Mild and Ccool mint regular are the popular
variants. Retail margins on the product are low.
 Differences:Pharmacies: SKUs held by pharmacies are 80ml and 250ml, which is consistent
with consumer purchasing behavior. Consumers interviewed who buy Listerine from
pharmacies tend to purchase 250ml bottles (points to an individual or sporadic use).
 Supermarkets: Supermarkets tend to stock mainly the 250ml and 500ml SKUs, which is
consistent with the consumer purchasing behavior. Consumers interviewed who buy
Listerine from supermarkets tend to purchase 500ml bottles. Consumers generally tend to
buy products used by the entire family in supermarkets and that could be the reason for
the stocking of larger quantity SKUs at supermarkets.

Influencer (Dentists):

In continuation of the discussion with the Johnson and JohnsonJnJ brand manager on Listerine and
subsequent analysis of the conversation, the biggest challenge for Listerine or the over-the-counter
(OTC) mouthwash industry to achieve wider penetration in Indian markets was twofold. 1) General
lack of awareness about oral health hygiene and benefits of mouthwash 2) lLack of wider dentist
community support in terms of recommending them to consumers. The dentists are the biggest
influencers in oral hygiene and thus inspire consumer purchasing behavior.

The dentists, on being asked their apprehensions behind prescribingrecommending Listerine,


shared the following pointers:

1. Because OTC OTC mouthwashes are more of a branding stuff while sometimes, they look
for proper medicated ones which work for specific purpose.
2. Also, OTC OTC mouthwashes are readily available, so the importance of a prescription is
lost. It is like going to a doctor, and if the doctor prescribes an OTC product, the patient
wonders if there was a need for a doctor's prescription and visit, a feeling shared by many
dentists.
3. However, if an OTC mouthwash is solving a specific purpose, dentists don't find any harm in
recommending Dr Reddy's mouthwash as a second line of treatment especially Dr Reddy's.
.
4. Furthermore, if the patients have a positive review on a brand, and then the dentists are
happy in recommending it.

In addition to the above analysis, we also found that dentists preferred prescribing recommending
Chlorhexidine (CHX) mouthwashes but are also open to other prescription-based mouthwashes.
Among OTC mouthwashes, Dr. Reddy’s Clohex, has emerged as a favourite followed by others in
contention. This was primarily due to positive patient reviews and that it is milder either in pH or
alcohol content. However, in some cases, patients prefer stronger, and then Listerine is
recommended.

Clohex being a Chlorhexidine mouthwash may also be a factor for it being the favourite of dentist
as Chlorhediine is considered a Gold standard in Chemical Plaque Control 9.

Overall, dentists are satisfied with current channels of promotions and don’t feel the need to be
informed further. Additionally, they don’t recommend mouthwashes for regular or long-term use
and definitely not as a substitute for brushing or flossing.

9
Chlorhexidine: The Gold Standard Antiplaque Agent
http://jpsr.pharmainfo.in/Documents/Volumes/vol5issue12/jpsr05121306.pdf
End Users:

Regular Users

Profile: Regular users, in general, seems to be more aware and conscious about oral hygiene and
oral care. They are consider using mouthwash as an essential part of their daily oral routine, in
addition to brushing 2 times a day and using floss. Mouthwash is also considered a fall-back option
in certain cassome instances when brushing is not possible, for example, while travelling, after late
late-night snacking, before business meetings, post post-lunch. butHowever, it is not considered as
an alternative to brushing.
 
Why use: The primary motivation for regular users to use mouthwash is to maintain oral health by
plaque removal, cavity prevention, germ kill, etc. Fresh breath is a secondary reason but still
importantrelevant. Clean A clean mouth is expected to be free of bad breath, and gums problems.
A few users said they use mouthwash as it provides better cleaning even if they cannot use floss
due to any reason.

Usage: Being very conscious about oral health, they adhere to regular oral care routine with
brushing twice daily. Frequency The frequency of using mouthwash seems to vary from daily to 3-4
times a week formfrom user to user. Some users have the perception that daily or very regular
usage may also be harmful for to teeth. Coolm Mint seems to be the flavour of choice due to a
balance between taste, strength and perceived effectiveness. Listerine Original is considered too
intense and is not favoured by the users interviewed. These users also prefer purchasing larger
SKUs for use at home and consider it an essential buy and keep it in stock. Smaller SKUs are
preferred while travelling.

Purchase Ddecisions and Iinfluences: Regular userrs interviewed have all been using the Listerine
product for a long time, mostly influenced by their family or close friends and colleagues. Over
time, the product’s usage has made them loyal to some extent. None of them have reported to
havehaving been recommended to use this by their dentists. Dentists are generally happy with their
oral routine and recommended advised them to continue what they were doing. They have said
that for them to change the brand, they would require convincing reasons and independent
studies/data. Also, they are generally price insensitive as they consider this as an essential product
and are unlikely to base their purchase decision based on price. Place The place of the purchase
decision is more about convenience thaen prices. Owing to the recent CovidCOVID-19 pandemic
and the resulting lockdowns, most users have started purchasing online as well. None of them
seem to recall seeing any ads of Listerine.

Brand perception/recall: Listerine has top of mind recall across all the users in general and more so
with regular users. Listerine is perceived to be closely associated with oral health , while other
brands are perceived closer to freshness attributes than oral health. Regular Daily Users users also
associate the mildness of mouthwash with its effectiveness and hence consider Listerine to be more
effective than other milder brands like Colgate Plax. Most seem to have at least tried using Plax
owing to a recommendation from a friends and or families and then reverted to using Listerine as
they perceived the milder mouthwash to be less effective.

Casual Users

A total of 8 casual users were interviewed, 2 of whom were users of a competitor product (Colgate
Plax). The key findings from the interviews are listed below:
 
Profile: This type of users visits the dentist only when there is a problem and brush their teeth once
a day for the most part. Sometimes, they might brush twice a day, though.
 
Why use mouthwash: Most users indicated that their main primary motivation of using
mouthwash was for fresh breath and clean teeth/mouth. One specific user indicated stated that
she uses mouthwash after having food items which that have a strong flavour or smell (garlic, etc.).
A different user mentioned that he uses mouthwash when on travel and on treks, where water is
not readily available for brushing. About half of the users indicated that they started using
mouthwash after it was recommended by friends or family.
 
Usage: Most of the users interviewed use this product 1-2 times a week. They use it before going
out, before a meeting or event, or after a meal. A majority of them have been using the product for
several years now. Most of the Listerine users preferred the Coolmint flavour.
 
Purchase: Most of the users indicated that they buy mouthwash from supermarkets, mainly
because it was convenient. Only a few of them buy purchase mouthwash from pharmacies. Most of
the users do not get influenced much by discounts, even though a few of them think that the
Listerine product is overpriced. Based on their utility, different users have different preferences for
SKU size.
 
Brand perception: Listerine was on top of mind for most of the users, when asked about
mouthwash. However, Colgate Plax also had an equivalently high brand recall. Most users have not
seen advertisements of Listerine in the print or electronic media, while some of them recalled
seeing Colgate Plax advertisements. Most of the users were unaware of the parent company of the
product.
 
Other observations/comments: Some Listerine users do not like the bottle design. Few of them
suggested to make the small SKUs available at shops near the bus and train stations so that it is
more accessible for travellers. Only a few users are brand loyal, and they are willing to switch
brands for a variety of reasons. Most of the users have not tried flavours other than Cool mint. One
user of Colgate Plax did not like the chemical aftertaste post use from using theof Plax product.
Non-Users

Profile: The non- - users interviewed do not find any particular advantage of using a mouthwash.
They prefer maintaining oral hygiene with by brushing regularly, once or twice a day. They do not
take any special care for oral hygiene.
 
Usage: Non- – users interviewed find mouthwash to be a convenient for short term use like during
travelling. They might use it a couple of times a year under such circumstances or to make a good
first impression.
 
Brand perception/recall: Listerine has high recall value among non- – users as well. It is perceived
as a premium product. Colgate Plax is perceived as a more “family – friendly” and “mild” brand.

Others: Product awareness about the variants is low. Non- – users might become users if doctors
recommend it.
Generic Positioning

Attribute Positioning
7. Gap Analysis:
Product utility gap:
The company has positioned Listerine as a therapeutic and wellness product meant for the
prevention of tooth, gum, and bad breath problems and overall protection of the mouth. However,
there is a section of users – casual users – who use this product primarily for freshness. Though the
company positions the product differently, the utility to this type of users is different.

Product usage gap:


On an average,A regular user might consume 400-500 ml per month on an average. However, a
casual user might end up consuming only 100-150 ml per month on an average. This is a big
difference seen in the consumption levels for different kinds of users of the product.

Market penetration gap:


The company is trying to increase oral hygiene awareness so that the overall market size increases.
To achieve this, the firm ishis is done by positioning Listerine as a preventive care product so that
market penetration increases from current levels of 1% to higher levels, closer to 20% as seen in
developed countries. In terms of absolute numbers, the current penetration of 1% for India
indicatespresents a sustainable business opportunity as well as the potential to grow.

Where are we? Where do we want to be?

Population
Population

Current Desired
market market
essential
Oral
health
8. Conclusion and Recommendations

Increase awareness: Company can think ofcontemplate increasing marketing communication so


thatto increase awareness among the general population using for the category and product
increases. Company The company can also consider think of promoting highlighting the natural
content of the product so that user awareness amongst users is increased about thisis substantial
on the naturality of the product.

Awareness among dentists: Company can also consider increasing the awareness of the positive
effects of the product among dentists and highlight the benefits of Listerine as compared to Colgate
Plax, and Clohex and other prescription mouthwash products. .

Increase Aavailability of Ddifferent Fflavours: The most popular flavours are Coolmint Mild and
Coolmint regular. Several users indicated that they have not seen other flavours in stores. Company
can increase the availability of currently existing different flavours a bit more to address this.

New variants: It might be favourable to introduce new variants with a self-explanatory and vanity
purpose that may induce sales, such as the teeth whitening variant available in other countries.

Cup with 500ml SKU: Most users will use the bottle cap to pour the required quantity of Listerine
for use. The bottle suggests a usage quantity but fails to provide a measuring cup. An additional
glass can be provided supplied as a bundle with the largest (500 ml) SKU by placing it on top of the
bottle, as is done for some other products in different categories (for example, Aava mineral water
bottle with cap).

Discontinue slow SKUs: From the interview data, it was observed that the Original flavour seems to
be the slowest moving one and is disliked by most consumers. First time users might be dissuaded
from using the product altogether if they try out the Original flavour the first time and dislike it. The
company may consider discontinuing or reducing proliferation of the Original flavour, till it has
gained sufficient market acceptance.

Increase channel partners: To increase the aspirational perception of the product, the company
may consider increasing channel participation at venues such as high-end restaurants, hotels,
corporate offices, shared offices, etc.

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