Colgate –Palmolive is a well-known brand that served more than a billion of people all around the world in different country. This company is founded in 1806 and the founder is known as William Colgate. For now, Colgate is running in a multinational consumer products company that focused on the production, distribution and provision of household, health and personal care products. Meanwhile, the mission and goals of Colgate is by reducing total delivered cost, extending technology resources and developing excellence in purchasing, logistics and sourcing processes to provide Colgate with a significant competitive advantage (Colgate World of Care, 2014).
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But, there is also a weakness of this strong competitor. Kodomo Lion is not often to have an advertisement for their product, therefore, Colgate have a very big chance to increase their market in this region by attracting more new customer like new mother and father that just have their kid’s.
Target Market and Positioning Strategy
By using the bases for segmenting consumer markets, demographic segment is the most suitable segment for this new product line extension by dividing the market into groups based on variables such as family size, family life cycle and age. On the other hand, the consumer in this target market must have the characteristic as the consumer household must have at least a kid`s and have the knowledge to maintain the health of teeth for kid`s. Example, parent and guardian; that both of them have the highest consumption of the product as there are the one that decide to purchase which brand of kid`s toothpaste even though they are the non-user in the product category. Then, when come to the positioning strategy, this new product could use the benefits, needs or solution positioning strategy. With adding more new flavor to this product that the competitor do not have, it will give the product a distinctive edge and this will also help the product to differentiate from the competitor as there is only a single company is producing this kind of flavor for kid`s toothpaste.
The core product is the intangible product that cannot be touched (Cuccureddu, 2011). It is the benefits of the product that makes it valuable to the customers, which determine customer’s decision (Friesner, 2014). Therefore, when Colgate comes out with the kid’s toothpaste, it will emphasizes on the benefits that it enables clean, strong, and healthy teeth as well as the prevention of tooth decay for kids. It will also point out in all Colgate kid’s toothpaste advertisement that the calcium contain in its kid’s toothpaste is able to lead to a stronger and healthier teeth since calcium has been widely believed to have strengthen the teeth.
The actual product is the tangible and actual physical of product (Cuccureddu, 2011). It includes the level of quality, special product and service features, branding, styling and packaging (Friesner, 2014). In the case for this Colgate kid’s toothpaste, its actual product would be the toothpaste itself that contain high level of fluoride and calcium and also include different color of packaging for different type of flavor in order to persuade customer to buy the toothpaste. For example, pink packaging for strawberry, orange packaging for orange, purple packaging for grape, and red packaging for apple. The most importantly is the logo, Colgate, which color can only be white to promote clean and healthy teeth.
The augmented product can be referred as the non-physical part of product (Cuccureddu, 2011). It usually consists of additional features or benefits and...