1.Project on Toothpaste Industry

2. Why toothpaste industry is oligopoly? 3. Colgate with their competitors TYPE COLGATE COMPETITORS VANILA VARIANTS Colgate strong teeth 200gm-Rs.72 Pepsodent germi check 200gm-Rs.70 GEL VARIANTS Colgate max Fresh 150gm-Rs.75 Close up 150gm-Rs.75 Pepsodent centre fresh 150gm-Rs.75 WHITENING VARIANTS Visible white 100gm-Rs.79 Max white 150gm-Rs.70 Pepsodent whitening 150gm- Rs.70 GUM CARE VARIANTS Colgate sensitive 80gm_Rs.90 Colgate sensitive pro relief 70gm- Rs.95 Colgate total 150gm-Rs.92 Sesodyne 80gm_Rs.98 Pepsodent G 80gm Rs.45 Pepsodent sensitive 80gm- Rs.90 Oral B prohealth 140gm-Rs.98 4. Game theory 5. Whether Colgate IS competing on price? 6. http://www.you tube.com/watc h?v=R347lsr23X 8 7. Colgate is in problem? 8. Market Strategy of Colgate In India P&G targeted on Colgate Palmolive P&G launched its new toothpaste in July 29,2013 and that time market share of Colgate decreased by3% Colgate announced capacity expansion plans in India by opening its fifth facility in the country to take over P&G Colgate came up with its 3 new product Optic White Crystal mint Colgate sensitive The Demand of Colgate sensitive bring Colgate again into its position 9. P&G against Colgate Colgate P&G Sonam Kapoor Madhuri Dixit April 2013 July 2013 Colgate Visible White Whiter teeth Oral-B Pro Health Multiple therapeutic properties 10. Profit Margin of Colgate ## 2012-13 2011-2012 2010-2011 Total Sales 3,324.21 2,805.55 2,382.96 Total Expenditure 2,484.81 2,158.05 1,801.41 Net Profit 498.03 446.25 402.63 Profit Margin 14.98% 15.90% 16.90% In crores Note - Profit margin decreased because of they increases their marketing and promotion expenses by 31% 11. Variable Cost 2012-13 2011-2012 Raw Materials 1,227.99 1093.57 Power & Fuel Cost 19.58 17.07 Employee Cost 249.43 215.61 Other Manufacturing Expenses 27.82 25.70 Selling and Administration Expenses 345.00 288.00 Advertisement expenses 490.00 412.00 Miscellaneous Expenses 124.76 106.39 Total variable cost 2,484.81 2158.05 In Crores 12. How exchange rate affects Colgate Industry ? # Let the imports quantity be constant March 2013 March 2012 Import of raw material 112.65 85.51 Import of finished goods 25.85 24.53 In crores In March 2012, 1$ = Rs 50.34 In March 2013, 1$ = Rs 54.40 13. Environmental Factors 14. Environmental Negative Impacts On a Global Level Deforestation Colgate consumes approximately 0.2 percent of the combined palm oil output of Malaysia, Indonesia and Thailand Source - palm oil loss of natural habitats of critically endangered species Increased greenhouse gas emissions Hazardous waste 15. Step Taken Towards Environment by Colgate Protecting the environment by planting more trees They have environment policy in their company for protecting an environment They are using high technology for cleaning waste They are organising awareness programmes to save environment They follow the rules and schemes of Government towards environment 16. Future prospect Currently, toothpaste enjoys a country wide penetration level of 55 % 15 % of them brush twice a day The oral care industry in India is worth Rs. 5,400 Cr. annually & comprises of: 1. Toothpastes: 60 %: Rs. 3,240 Cr., 2. Tooth powder: 23 %: Rs. 1,242 Cr., 3. Toothbrushes: 17 %: Rs. 918 Cr. The per capita consumption in India stands at 127gms/year. Now also traditional materials like neem and tobacco are popular for cleaning teeth in the rural areas Source - http://www.sanasecurities.com/top-story/future-prospect-indian-oral-care-industry 17. Presented by : Abhishek Sharma Abirami K Addagarla Aneesh Anagha Jayakumar Ankit S Nair Aravindhan S Ashwin Devdas Aswin Nambiar Athul Ayyappan Champa P R Chikkam Alekhya Sai Danny Varghese Deepak Sakhtivel S Thank you