Thursday, March 3, 2011

MARKETING REPORT ON TOOTHBRUSH


Executive Summary:-
Since power toothbrush introduction in the 1960s, it has been significantly improved, and today’s power toothbrushes are both highly effective and reliable. Their efficacy in comparison with that of the manual toothbrush has been evaluated in a large number of well-designed short- and long-term controlled clinical studies carried out by academic institutions and contract research companies specializing in dental research. These studies consistently have shown the power toothbrush to be superior, with results demonstrating greater plaque removal and, as a consequence, more improvement in gingival condition than that achieved with a manual toothbrush alone.
In addition to being highly effective, power toothbrushes have been shown to be well-received by patients and have the potential to improve compliance. Power toothbrushes can have two clinically important benefits over manual toothbrushes. First, they are more effective at plaque removal, presumably because they confer on the patient a better brushing technique, and, second, they encourage better compliance with brushing. However, despite these clinically proven benefits, relatively few dental professionals recommend the use of a power toothbrush to their general patient population, and only about 1% of Indian population use it.
The fact that dental professionals and patient do not wholeheartedly embrace the power toothbrush suggests that either the clinical data now available are not reaching them and they are unaware of its benefits, or it is priced much above the market acceptance level. Indian market is very much sensitive to pricing in toothbrush segment while electric toothbrush available in the market is much above the manual toothbrush price. Thus by giving people a value for money electric toothbrush which will be priced 15-25% above the manual toothbrush  can help the company to attract a large number of customer and capture a considerable market share










TABLE OF CONTENT


·        INTRODUCTION
·        DEMAND OF PRODUCT
·        EXTERNAL FACTORS
·        STP
·        DIFFERENTIATION AND PRODUCT BENEFITS
·        PRICING STRATEGY
·        4C’S
·        SWOT
·        PROMOTION TECHNIQUES
·        TARGET MARGET AND PROPOSED STRATEGY
·        QUESTIONARIE AND RESPONSES WITH INTERPRETATION













PLATINUM PVT. LTD. PRESENTS

POWER TOOTHBRUSH AND
E- BRUSH A BRISTLE FREE XPERIENCE

We believe that every person has a right to have an everlasting smile, and thus we help people to smile to their fullest. Platinum offers you a new formula to keep your smile, with its powered toothbrush and E-brush for both adults as well as kids. Benefits of using these unique products range from oral hygiene to a happy and joyous life.  
Who does not want to have a clean and fresh smile?


Product Introduction:


Power Toothbrush :- The purpose of a toothbrush is to remove plaque and to stimulate the gums to prevent tooth decay and gum disease. With excellent design and technology of power toothbrushes, clinically proven to remove significantly more plaque than a traditional toothbrush, especially in hard-to-reach areas. It will standardized the tooth cleaning process of the consumer providing them the best results.


Brush without bristles:- The brush is used with a sponge , the sponge is water absorbent. The brush which has the rotating sponge which simply has to be moved from tooth to tooth. Flouride, mouth rinses help reduce and prevent tooth decay.

Clean each and every part of mouth. Clean and use up to 40% more times than ordinary brushes. Gums, tongue can be cleaned. Different flavors' for kids . Sponge can carry water, can massage your gums and there will be no bleeding gums








Demand of the Product:-

Oral care industry is worth Rs. 4,200 Crores annually & comprises of:

Toothpastes: 60 %: Rs. 2,520 Crores
Tooth powder: 23%: Rs 960 Crores
Toothbrushes: 17%: Rs.715 Crores

50% of the Indian population is known to use modern oral care products.

Penetration of toothpowder in the urban areas has been declining, as more and more consumers switch from powders to paste. Toothpaste is link with toothbrush therefore it is taken that toothbrush market will going to increase.

Brand loyalty is quite high for toothpastes, but is extremely low for toothbrushes.
Thus there is a great opportunity for a new entrant with some differentiation to capture a good amount of market share.

It is estimated that 700 Million toothbrushes are sold every year. The segmentation is purely on the basis of price points starting from regular to premium with power brushes accounting for less than 1% sale.


External Factors :-

·        The dentist to population ratio is a critically low 1:35000 in the country. This results widespread dental diseases people are demanding more standardized product which will reduce their dependency and number of visits to a dentist.
·        With more and more people are becoming cautious towards their oral hygiene.
·        Changing demographics of Indian population and increasing number of young people will help to market electric toothbrush.
·        Increase the income level of the middle and upper middle class of the society.
·        With increase in education level of people they become more aware of electric toothbrush and there usage.
·        Changing life style of the people.
·        Service expectation from a  from a manufacturing goods.
Customer :-

·        Middle class and upper middle class.
·        People living in cities and Metros.
·        People who are more health conscious and want to standardize their teeth cleaning practices and people who looks for hassle free brushing.


STP:-

 Segmentation :-
People in metros and other major cities, upper middle class and middle class

Targeting :-
 Kids, adults, seniors, look conscious women

 Positioning :-
Done as an innovator in providing health care facility through product design which are very user friendly, design specially according to consumer needs. And value for money.


Differentiation and Product Benefits :-

·        Power toothbrush with standardized movement of bristles, giving you the best result with complete oral hygiene.
·        Bristles are replaced with small sponge The brushing gel which contains fluoride which will help to protect the teeth from decay.
·        The timer that is attached to the brush which stops automatically after 2 minutes ensure that a person brushes for 2 minutes which is the ideal time mentioned by American Dental Association (ADA).
·        IR tested movement of brush which ensures a complete cleaning of teeth.
·         for those who lack manual dexterity or the ability to direct the toothbrush in the correct motion, a power toothbrush will be helpful.
·        New experience for many customers including.
·        Bristles free sponge brush suits well to kids and old people. As there is a constant complain from their part about the hardness of bristles which cause damage to their gums.
 Pricing strategy :-

Our main focus here is on the customers. We want them to be able to get the most for their money. By producing a superior toothbrush, that offers more qualities than the other toothbrushes available on the market, at or around the same price as the competition, consumers will hopefully want to purchase the Power toothbrush over the others. There will be more
qualities offered at no extra charge.

As only the vibrater machine will be a bit costly but replacement cost of bristles and sponge  is less therefore this product will cost less to the consumer in long run. And consumer will be more  loyal to the company and will use same product for a long time.


INTRODUCTIONARY PRICE

1 Power toothbrush (Comes with a machine replacement warranty of 1 year)* 3 briselts
Price : 199 Rs.

 1 E-Brush (Comes with a machine replacement warranty of 1 year)* Tooth Gel 5 Sponge + 1 with brush Price : 249 Rs The brush runs on battery .


Pricing Strategy : Market penetration.

Price is kept Low while Promotion is kept high, Strategy is : Rapid Penetration


This strategy is adopted after seeing the huge market potential and getting the first mover advantage. Company want to reach to the maximum people before the competitors could respond thereby creating a high brand awareness.







Marketing Plan, Marketing Strategies, Marketing Program

This product and can be used by people of all age. There will be two broad of products design, for adults and another for kids and old aged people.

4 C,s:

Company :-

 Platinum is our parent company who manufactures oral care products. The Head Quarters is located in Bangalore. We want to exploit the opportunities in oral hygiene sector of Indian market we are introducing our product Power brush and E- brush without bristles. Finance is provided by the parent company.

Context :-

Platinum is launching its new product in India at the most apt time . Huge population Growing economy More Youth Great Purchasing power Focusing on un-served markets in India Growing Health consciousness Expansion plans in the future (Rural market , more economical products)

Customer :-

 Middle class and upper middle class People living in cities and Metros People who looks for hassle free brushing People who are more health conscious

Competition :-

Brush : Normal brushes with bristles. The major competitors are Colgate, Pepsodent, Oral-B .

Powder : Colgate, Dabur lal dunt manjan, vico vajradanti, monkey brand,organic tooth whiting powder.
Traditional methods: Neem stick, Babul stick, black salt and black soil.
 



SWOT:

Strength
·        New product to the target segment
·        Value for Money
·        No side effects Unbreakable (Fibre)
·        Cost effective


 Weakness
·        Customer needs to change the battery
·        Kids might find it difficult to hold the brush due to the size
·        POWER BRUSH is heavier than conventional brushes so they are less desirable by consumers


Opportunities
·        Un-served market
·         Large market
·        Huge population
·        Increasing importance in hygiene

 Threat
·        Competition from existing/upcoming players
·        Un-awareness about the bristle free brush
·        People’s perception to the new concept
·        POWER BRUSH requires extensive training by a professional to ensure proper usage
·        Consumers of toothbrushes do not change types of toothbrushes easily









Promotional techniques :-

Promotional techniques Pamphlets related to the importance of oral hygiene . Awareness related to the heart ailments caused by poor oral hygiene. Could be promoted through Dental clinic’s and Dentist’s. Can be promoted through Pharmacies and retail stores.

Target markets and proposed strategies

1.     Target market A and proposed strategies
The first segment market that the power toothbrush will target will be consumers who are concerned about oral health issues, such as fighting plaque and gum disease. These consumers purchase products, toothbrushes, which will be the most effective when it comes to oral health care. These consumers “buy and use products for themselves,” Most consumers in this segment are adults, especially ones who have oral health problems.
Distribution
·        When distributing the Precision toothbrush to this market segment, we suggest they place emphasis of distribution on dentists, drug stores, grocery stores, and large retail stores.
·        Dentists would be a good when distributing the new toothbrush because many dentists act as “opinion leaders”, meaning they have a big impact on what others think. Like Oral-B is the main distributor when it comes to dentists.

Promotion :
·        Advertising and promotion should be done through commercials, magazines, radio, and ads put up in places such as dentists offices.
·        These advertising and promotion mediums should target this segment’s consumers, and should focus on the benefits the Power toothbrush has to offer in connection with oral healthcare.
·         Commercials made for this market segment should also show the benefits of the toothbrush, possibly through demonstration. Commercials should air at night during “prime-time”, the time in which most people watch television, and during the day.
·        Also when it comes to advertising, we will use institutional advertise, meaning they should not only promote their new Power toothbrush, but they should also promote the company’s image. This in return will remind consumers of Platinum’s other products that are available in the market.
·         Platinum could direct market the toothbrush by sending special coupons in the mail to consumers, or by offering rebates to consumers who purchase other Platinum oral care products. These rebates and coupons would act as an incentive to consumers when it comes to purchasing or trying the new toothbrush. These coupons and rebates could also be dispersed through hard to eat food products, such as popcorn. Also in-store displays could be set up throughout stores. These in-store displays could also include demonstrations.








2.     Target market B and proposed strategies

The second segment market that we would target would be consumers concerned with their oral hygiene, such as bad breath, and personal appearance. Many, but not all, consumers in this group are female adults who worry about what they look like. These consumers purchase products that will “effectively deliver cosmetic benefits,”
Distribution
·        When it comes to the distribution of this product, the toothbrush should be distributed through the same locations as Target A.
·        The toothbrush should be distributed through make-up departments because most people who shop for make up at large department stores are also concerned with looking their best.
·        With the addition of plastic surgeon practices and make-up departments of large retail department stores, The toothbrushes should be distributed through plastic surgeons because many people who visit a plastic surgeon are concerned about their appearance, and would likely consider the different options available to them that will enhance their appearance, such as their teeth.

Promotion
·        Advertising and promotion should be done in a similar manner as Target A, through commercials, magazine ads, the radio, with the addition of placing advertisements on billboards, and buses.
·        The commercials and other advertisements should focus on the cosmetic benefits of the toothbrush. We suggest the adds show well made up men and women, who one can tell place great emphasis on their looks, demonstrating the strengths of the new toothbrush.
·        The placement of ads on billboards and buses throughout the larger cities will hopefully increase consumer demand because many people who live in large cities have important jobs that require them to look nice.
·         Special promotions that Platinum can offer can be through other Platinum
products that many consumers also associate with appearance and oral hygiene. Such products can include dental floss and mouth rinses. As with Target A, special rebates and coupons can be offered through these products. Also, the use of in-store displays could be useful when promoting the toothbrush.











Target market C
This market consist of kids, children and old age people which are consumer of the product but their purchasing decision is taken by either target A group people or Target B group people. Thus promotion and distribution of the product for this consumer group can be done same as of Target A and Target B.
           
Some additional strategies, for a children can be use like
Distribution :
·        Distribution of toothbrush design for kids and children can be done from Toy’s store.
Promotion :
·        Through TV ads on channels like cartoon network, pogo, etc.
·        Company patch up with schools to teach children about teeth cleaning activities and can make student aware of power tooth brush and its effectiveness in teeth cleaning.
Bottom of Form
Analysis of the data:-

Primary data:-

We had interpreted following things after analyzing the primary data
·        Most of the people are not habitual to brush twice or more
·        Time given to brushing the teeth is much more than the standard time which is generally consider to be 2 min.
·        Most of the people do not concentrate on brush movements while brushing, and consider their brushing satisfactory which can be very fatal for their teeth.

Response helpful in product design and pricing of product
·        100% respondents are branded toothbrush user.
·        From secondary data it is known that people are not so brand loyal thus can switch easily switch to our brand if we can offer them better product and value for money.
·        Very less people go to a dentist for consulting for their teeth cleaning practices, thus standardizing their teeth cleaning process can give them a better service.
·        Nearly 50% people face oral problems, thus standardizing the teeth cleaning process can offer them a better service and better oral hygiene.











Secondary data:-

·        It is estimated that more than 1 billion toothbrush is sold every year and electric toothbrush share Is near amount only 1% of this. Thus there is a huge market potential and very less penetration of electric toothbrush.
·        After usage 80 % people say they feel some improvement from Electric brush.
·        97% percentage of respondent are satisfied with the cleanizing ability of electric toothbrush.
·        Power toothbrush usage increase by 25% in eight month among the respondent.

5 comments:

  1. Dude, impressive report but where are the references??

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  2. This comment has been removed by the author.

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  3. It’s wonderful post and very helpful, thanks for all this information. You are including better information regarding oral b topic in an effective way.

    ReplyDelete
  4. Parents often struggle to choose the best electric toothbrush for kids. There are many options to choose from, with each brand claiming to be the best. teething rash on face

    ReplyDelete