Thursday, September 22, 2016

Marketing Environment of Elmex Toothpaste product

Introduction of the company and the product

1.         Which product have you chosen and why?
2.         Which is the producing company of the product? Is this company also owner of the brand name?
3.         Briefly describe the history and growth of the company that is selling the product.
4.         Which other products are sold by this company?
    

1.        I have chosen Elmex toothpaste. I have been satisfied with it for more than 2 years therefore I chose this product.

2.         The producing company of this product is GABA International AG, a Swiss company that manufactures oral-care products. Although GABA Intl. AG is not an owner of the brand. The brand and the company itself is wholly owned by Colgate-Palmolive in USA.

3.         The first GABA AG was founded in 1917 and is based in Therwil, Switzerland where the companies headquarters are based currently. GABA International AG was founded in 1979. Although the brand Elmex was founded in 1963. Since then the company was growing by introducing new brands such as Elmex Sensitive in 1990's and Elmex Caries Protection dental rinse in 1991.

4.         The company also sells Meridol toothpaste which was introduced in 1986.    

         Marketing strategy and understanding competitors

1.         What is the mission statement of the company?
2.         Which are the main competing products? Make a distinction between generic competition (non branded, cheap, same product), product form competition (substitute: can perform same need) and brand competition (direct competitor brands offering same product)
3.         What is the competitive position of the company with the chosen product? Motivate your answer.
4.         Which differential advantages does the company have over its’ competitors?
5.         When we look at the Ansoff Matrix, which growth strategy do you see for your product? Motivate your arguments!

1.         Mission statement of the company is "As a company that strives to be the best truly global consumer product company, we are committed to doing business with integrity and respect for all people and for the world around us."
2.         The main competing products would be the same oral care products. Generic and product form competition is not evident in the toothpaste market; there are no alternatives because the products of a toothpaste is the same.  Although brand competition is very active. There are numerous toothpaste brands all over the world.
3.         Delivering value. Elmex toothpaste was the first toothpaste to contain aminuoflorid and is often sold with Aronal (same producing company) which is used only in the morning.
4.         Huge product portfolio, different segmentation of their products, good distribution network.

5.         Product development. As it is an oral care product, through product development high quality must be maintained all the time baucause of consumer sensitivity to the product.

       Consumer buying behaviour

1.          Describe the social environment of the consumer and the way this influences the use of your product.  
2.         Discuss your product in relation to the stages of the family life cycle. 
3.         What type of consumer buying behavior is most likely for your product? Describe the consumer buying decision process for buyers of your product.
4.         Develop an attitude scale with which you will be able to measure consumers’ attitudes towards your product.

1.         The consumer who uses Elmex toothpaste is from at least a middle-class family, living in the city or near the city, watching television, having a smartphone, listening to the radio. All these things are influencing to buy the product with the help of promotion. One of the biggest influencers on the toothpaste is also family members.
2.         Toothpaste is unique product that is needed in every stage of family life cycle.
3.         Habitual buying behaviour. Consumers are involved very little in this category due to the relatively cheap product which is purchased quite frequently. Usually consumers don’t get attached towards the brand but they do select it because it is familiar with them.

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