11-04-2013, 04:37 PM
MARKETING PLAN OF DENTAFRESH
MARKETING PLAN.doc (Size: 1.07 MB / Downloads: 43)
EXECUTIVE SUMMARY
Basic needs or physiological needs have to be fulfilled irrespective of the level of income that one earns. Toothpaste is one product whose sales will not be affected much if there is inflation or economic downturn. Toothpaste will be probably one of the last products in the consumers cost cutting list. Rate of innovation in the toothpaste industry is moving at a very slow pace. Since there is a big scope for innovation, anybody who can innovate will have a huge advantage in this industry. With this in mind we decided to enter this industry. We have to follow all the rules applicable to us and fulfill all the safety norms. We have to follow the rules of concerned regulatory authority. Indians have traditionally used natural ingredients like ash, salt, tobacco, neem twigs etc, and the market has now majorly moved from the traditional items to the modern and sophisticated toothpowder, toothpaste, toothbrush and mouthwash.
The degree of dependency on complementary or supporting products is very low in the toothpaste market. There is a huge competition in this industry. Our product quality will be at par and the price will be slightly lower than our competitors. Our target market is the youth. We positioned our product as a value for money product and it will consist of freshness as well as benefits of having an antiseptic cream.
Our brand name will be “DENTAFRESH”. The logo will be textual logo and it will be simple. The slogan will be “SMILE WITH FRESHNESS”. Our packaging will be totally different from our competitors. Our competitors are offering their product in laminated tube but we will offer our product in aerosol cans which is more attractive than a usual laminated tube pack. Our business will be dependent on one product or service for over 80 percent of profits. It will require a good research and development department to develop a new product. The product and the brand name will be protected through patents. We would go ahead and complete the process of safeguarding our brand name, product formula and logo once we are out with the product.
INTRODUCTION
Toothpaste is a paste or gel dentifrice used with a toothbrush to clean and maintain the aesthetics and health of teeth. Toothpaste is used to promote oral hygiene: it can aid in the removal of dental plaque and food from the teeth, aid in the elimination and/or masking of halitosis and deliver active ingredients such as fluoride or xylitol to prevent tooth and gum disease (gingivitis). Some dentist recommendations include brushing your teeth at least twice a day, if not more. In most or all developed countries, usage after each meal is encouraged by dentists. However when cleaning teeth with a toothbrush with toothpaste, the essential cleaning is done by the mechanical brushing, and not by the active toothpaste chemicals. Toothpaste is most commonly sold in flexible tubes, though containers are available. The hard containers stand straight up, availing more of the toothpaste and saving shelf space.
SITUATIONAL ANALYSIS
For any human being basic needs or physiological needs has to be fulfilled irrespective of their level of income .so we being a toothpaste company will not be affected much if there is any economic downturn or inflation .Price might go up or but the need for toothpaste will be there specially in urban, semi urban and semirural areas. Toothpaste will be probably one of the last products in the consumers cost cutting list. If the economy grows then we have the opportunity to compete with major players in this field in rural areas. If consumer’s purchasing power in the rural area is increased they will be willing to try out new toothpaste instead of using their traditional way of brushing the teeth. but if the cost of raw material for manufacturing toothpaste is increased then we will have problem .problem is that big players like “Colgate” can bear the losses up to some extent by not increasing their selling price. we being a new company cannot afford to sell it either at lesser price or at higher price (because brand is not well known so people will not be willing to pay higher price for our product. so in first scenario if the economy grows is opportunity for us. but in case of economic downturn it will be threat for us in coming 4 or 5 years. There are few players like Colgate and HUL’s (close-up, pepsodent) are dominating the market. so it is very tough for any foreign player to come and replace them .it will require huge amount of money as well as patience(time taken in positioning).though 73% percent of the India resides in rural areas .so there is some scope for any foreign player to come and tape this rural market. so we might have a competitor from foreign but the possibility is very grim. But to run the company smoothly .we have to follow all the rules applicable to us .we have to fulfill all the safety norms .we have to follow the rules of concerned regulatory authority. Now it is also important to look at the important association’s likeIndian dental association (IDA).
COMPETITION ANALYSIS
After collecting the data we came to know that there is a stiff competition in Indian toothpaste industry. Indian oral care industry (including toothpaste and toothpowder) is about Rs. 35 billion. Colgate and HUL contribute around three fourth of the total market. HUL owns Pepsodent and Close-Up brands. Close-up was the first gel launched in India. Other major players include Dabur and Anchor group together contributing around 15% of total market. So we can see that HUL is market leader with around 46% market share.
PACKAGING
TYPES OF PACKAGING COMPETITOR OFFERING
Our competitors are offering their product in laminated tubes
How laminated tubes are manufactured
A fishing rod, golf club shaft or the like is produced by a laminated tube, which is formed by winding a prepreg formed of a fiber reinforced sheet around an outer periphery of the mandrel which has cylindrical configuration and is removed after the formation of the laminated tube body. A first winding material wound around either one of the inner, intermediate, and outer portions of the laminated tube body in spiral or twill form with suitable pitches and a second winding material having a good adhesive property with respect to the thermosetting or thermoplastic resin is wound around an outer periphery of the first winding material, the second winding material being composed of yarns or mono-filament of organic or inorganic fiber having a good adhesive property with respect to said resin. The first winding material is wound around the laminated tube body while winding the second winding material around the first winding material.