ABSTRACT

Interestingly, with all this wealth of information, some of it developed by the greatest minds in the
industry, we still hear “but what is branding?” Considering the multitude of sentences that begin “branding
is …”it’s an understandable question. What we believe people are looking for is not another definition,
what rather understanding, and an idea of how and why this tool fits in to their business. The brand
Equation:

Visual + Verbal + Experiential = Brand Perception

“ Consumer is king ” –the statement carries profound truth in it. Today the success of any firm depends
upon the satisfaction of consumers. For satisfying the consumers the firm should know about the
behaviour of the consumers. In these circumstances understanding consumer is a very difficult task
because of the changing technology, innovation, and changes in life style. Researchers conducted many
research in this area, and they give only few suggestion, but there is no final conclusion. As per the ideas
given by the researchers, there are two factors influencing the consumers such as intrinsic and extrinsic
factors. It is difficult to classify consumers by conventional demographic factors and unless their thought
process and buying behaviour are fully understood, decisions on product designs and packaging, branding
and distribution channels are likely to be misplaced.

With the inevitability of change looming large over the horizon, Indian companies must learn from their
western counterparts; not only to identify the sources, timing and direction of the changes likely to affect
India, but also the new competencies and perspective that will enable them to respond to these changes,
comprehensively and effectively. This study mainly focus on understanding the external factors like
demographic, social, cultural ,price, quality ,product attributes etc. for buying toothpaste. The market
share of any product is highly determined by the purchasing behaviour of the consumers. Following study
is conducted by the researcher to find out the behaviour of the consumers, to analyse the preference of
consumers, & consumer awareness. Descriptive research design was adopted and the data is collected
through primary and secondary sources. The method adopted for conducting survey is questionnaire;
Simple random sampling technique was adopted for selecting the consumers

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 OBJECTIVE OF THE RESEARCH
1. To know the measurement of customer satisfaction of Colgate Tooth paste.
2. To know the level of awareness of Colgate Tooth paste.
3. To determine the market share of Colgate Tooth paste.
4. To identify the factors influencing the customer to purchase Colgate Tooth paste.

SCOPE OF THE STUDY

1. To find how far people are aware and attracted towards the Colgate Tooth paste.
2. The study also gives an idea about the competitions market share .
3. The study helps to find impact of the brand names among customers with reference to Colgate
Tooth paste.

RESEARCH METHODOLOGY

Data sources :Research is totally based on primary data and secondary data can be used only for the
reference. Primary data has been collected by interacting with various people. Secondary data has been
collected through various journals and websites and some special publication.

Area of study :The study covers customer satisfaction and behaviour towards Colgate toothpaste. This
survey was conducted in Pune.

Period of the study:The survey to know about the customer satisfaction towards Colgate Toothpaste
with special reference to lasted for a period of 1 week.

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 CHAPTER - 1

BRIEF HISTORY OF COLGATE

Colgate was found in 1806 by a man named William Colgate. At the time his main goal was to produce
starch, soap and candles. This all started in a small shop that he owned in New York City. Around 1820 as
Colgate’s products started to expand, his main products at the time were soap and starch. In 1857 when
William Coalgate passed away, his shop became Colgate and Company. At this time Samuel Colgate ran his
business and added more products to the company such as perfume and perfumed soap As time went on
Colgate finally produced toothpaste in a jar in the year of 1873.

A long 23 years after their toothpaste was produced, they introduced their toothpaste as Colgate Ribbon
Dental Care .Colgate-Palmolive (India) Limited is India's leading provider of scientifically proven oral care
products. The range includes toothpastes toothpowder toothbrushes and mouthwashes under the Colgate
brand as well as a specialized range of dental therapies under the banner of Colgate Oral Pharmaceuticals.
The company also provides a range of personal care products under the `Palmolive' brand name. Colgate-
Palmolive Company U.S.A. is the company's ultimate holding company.Colgate-Palmolive (India) Ltd was
incorporated in the year 1937.

In the year 1983 the company introduced their successful product Colgate Plus toothbrush in the market.
In the year 1988 CPIL received a licence for producing 24000 tonnes per annum of fatty acids. They also
registered with DGTD for production of 30000 tonnes of toilet soap per annum. In June 1988 the company
established a wholly owned subsidiary at Hetanda in Nepal to manufacture the toothpaste and tooth
powder initially. In the year 1991 the company launched new Colgate Gel Toothpaste Palmolive Extra Care
and new Palmolive soap. They also re-launched a high quality Colgate Plus and other toothbrushes.

In the year 1994 the company acquired the oral hygiene business of Hindustan Ciba-Geigy Ltd.In the year
1996 the company introduced the Colgate fresh stripe toothpaste and Palmolive naturals soap in personal
care products segments Keratin Treatment Shampoo and Palmolive optima in Hair care segment. Also they
established a modern facility at Aurangabad to manufacture Dicalcium phosphate a key ingredient for
toothpaste.

In the year 1998 the company launched Colgate Double Protection toothpaste for the entire family. They
launched the ad campaign for their new product Colgate Double Protection toothpaste in competition with
rival brand Pepsodent from the Hindustan Lever stable.

In the year 1999 the company launched three new products such as Colgate Double Protection Colgate
Total and Colgate Sensation. They started a new research and development centre a manufacturing facility
in Nepal. Also they completed a dicalcium phosphate facility in Aurangabad. In the year 2000 the company
introduced two new variants to their Palmolive Naturals soap range and revitalised their sandalwood soap.
Also they launched two new variants in their Palmolive Naturals range of beauty soap lime and milk cream.
The company re-launched their Colgate Gel as Colgate Fresh Energy Gel.

During the year the company entered into a strategic tie-up with Calcutta-based First-net Solutions Ltd for
joint sales promotion of Colgate Fresh Energy Gel toothpaste on the Web portal called www.yantram.com.
They made a foray into a new category of herbal care with the launch of Colgate Herbal touted to be a
vehicle for increasing the company's rural market penetration over a period of time.
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 In the year 2000-01 the company launched Colgate Herbal Toothpaste Economy Toothpaste
Colgate ZigZag Toothbrush Colgate Navigator Toothbrush and Transparent Skin Care Soap in the year
market. They came out with a mega promotion 'Colgate keandarkyahai' which was one of the key drivers in
strengthening the consumer bond with the Company's oral care and personal care brands. During the year
2001-02 the company re-launched Colgate Fresh Energy Gel with a refreshing falvour in a unique first-of-its
king transparent tube and economy toothpaste.

In the year 2002-03 the company re-launched their flagship brand Colgate Dental Cream. Also
they re-launched their premium toothpaste Colgate Total in a green and white striped paste format. They
launched ColgateCare Products Pvt Ltd and SS Oral Hygiene Products Pvt Ltd and thus they became
subsidiaries of the company with effect from November 1 2007.

In the year 2003-04 the company launched Colgate Herbal White striped toothpaste with
lemon extracts eucalyptus and mint. They launched Colgate Navigator Plus Toothbrush in the market.

In the year 2004-05 the company established a state-of-the-art additional toothpaste

manufacturing facility at Baddi Himachal Pradesh to meet the growing market demand. The first phase of
the facility became operational in April 2005.

In the year 2005-06 the company established Oral Care Category Innovation Centre works
closely with the Technology Centres in India and U.S.A. to shape ideas into products that meet today's
consumer needs. They launched Colgate Advanced Whitening Colgate Active Salt Colgate MaxFresh Gel
and Colgate Super Flexible Toothbrush with Unique Tongue Cleaning Feature.

In the year 2006-07 Sewri manufacturing facility discontinued its operations with effect from
September 27 2006.

In the year 2007-08 the company acquired 75% shareholdings in three companies namely
Advanced Oral Care Products Pvt Ltd Professional Oral Oral Care Products Pvt Ltd and CC Health Care
Products Pvt Ltd were amalgamated with the company with effect from April 1 2009.

In April 2008 the company acquired 75% shareholding in CC Health Care Products Pvt Ltd at Hyderabad for
a total consideration of Rs. 193.83 lakh. Thus the company became a subsidiary company. During the year
2008-09 the company acquired the remaining 25% shareholding in SS Oral Hygiene Products Pvt Ltd at a
total consideration of Rs 77.70 lakh. Also as per the scheme of amalgamation SS Oral Hygiene Products Pvt
Ltd was amalgamated with the company with effect from March 26 2009.

In the year 2009-10 the company acquired the remaining 25% shareholdings in Professional
Oral Care Products Pvt Ltd and CC Health Care Products Pvt Ltd at a total consideration of Rs 2.40 crore and
Rs 69.07 lakh respectively. Also as per the scheme of amalgamation Professional Navigator Plus toothbrush
to deliver excellent cleaning with a high degree of comfort and control. Also they re-launched Colgate
Super Flexible with the consumer promise of '3-way action for a comfortable clean'. During the year the
company divested their entire shareholding in Camelot Investments Company Ltd (Camelot) a wholly
owned subsidiary of the company.

In June 2011 EsselPropack Ltd signed a long-term agreement with the company to set up a plant in Goa at
an investment of Rs 400 million. On 30 September 2011 Colgate-Palmolive (India) announced that the

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manufacturing operations at its Hyderabad factory have been discontinued effective 29 September 2011
after the workmen of the factory accepted the compensation packaged offered under the Voluntary
Retirement Scheme.On 14 January 2013 Colgate-Palmolive (India) announced its entry in the gum care
segment with the launch of Colgate Total Pro Gum Health toothpaste.The Board of Directors of Colgate-
Palmolive (India) at its meeting held on 25 March 2013 agreed subject to the approval of the shareholders
to sell and transfer the whole of the company's division viz. Global Shared Services Organisation (GSSO)
including all employees assets liabilities etc. to Colgate Global Business Services Private Limited a wholly
owned subsidiary of its ultimate holding company Colgate-Palmolive Company U.S.A. effective 1 June 2013
by way of a slump sale for a total consideration of Rs 59.89 crore.

On 21 August 2013 Colgate-Palmolive (India) announced the launch of Colgate SlimSoft - a toothbrush
with super slim and ultra-soft tapered bristles.

On 22 May 2014 Colgate-Palmolive (India) announced that the commercial production of toothpaste has
commenced on 21 May 2014 at the company's new manufacturing facility at Sanand Gujarat. In the initial
stage the company intends to manufacture 15000 MTs toothpaste from this manufacturing facility. On 28
May 2014 Colgate-Palmolive (India) announced the launch of a toothpaste with first of its kind technology -
Colgate Maximum Cavity Protection Plus Sugar Acid Neutralizer.

On 23 June 2014 Colgate-Palmolive (India) announced that the Colgate brand was once again ranked the
No.1 `Most Chosen Consumer Brand' in India in the 2014 Brand Footprint report by consumer knowledge
and insights firm Kantar Worldpanel.On 4 August 2014 Colgate-Palmolive (India) announced the launch of
Colgate SlimSoft Charcoal - India's first toothbrush with super slim tip bristles infused with Charcoal. This
revolutionary toothbrush technology is based on the key Indian insight of the traditional oral care benefits
of Charcoal.

On 2 March 2015 Colgate-Palmolive (India) Limited announced the launch of Colgate Sensitive Pro-Relief
(CSPR) Enamel Repair - a scientifically advanced technology that provides long-term relief from the
problem of tooth sensitivity. The toothpaste repairs sensitive teeth by rebuilding worn-off enamel - the
outermost layer of teeth - offering lasting protection from sensitivity.On 30 March 2015 Colgate-Palmolive
(India) announced that commercial production of toothbrush at its new manufacturing facility at Sricity in
Chittor District in Andhra Pradesh will commence on 1 April 2015. The unit will have an installed capacity
to produce 220 million pieces of toothbrushes by the end of the year.On 6 May 2015 Colgate-Palmolive
(India) announced that the toothpowder manufacturing operations at Aurangabad factory have been
discontinued with effect from 5 May 2015 after the workmen of the factory accepted the compensation
packaged offered under the Voluntary Retirement Scheme.

On 16 February 2016 Colgate-Palmolive (India) announced the launch of innovative new product Pain Out
for express relief from Tooth pain. Pain Out is the First aid solution which can offer temporary relief from
Tooth pain. On 21 June 2016 Colgate-Palmolive (India) announced the launch of a natural product based
toothpaste to provide protection against sensitivity - Colgate Sensitive Clove. On 22 August 2016 Colgate
Palmolive (India) announced the launch of a new electrifying blue gel toothpaste called Colgate
MaxfreshPowerFreeze - an intense minty variant packed with icy cooling crystals. On 6 October 2016
Colgate Palmolive (India) announced that the company has signed a Memorandum of Understanding
(MoU) for the sale/transfer of industrial land and building located at Waluj MIDC Aurangabad on `as is

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basis'. The company has identified a suitable buyer to whom the property will be sold/transferred on
mutually acceptable terms and conditions.

1.1 JOURNEY OF COLGATE

Brand Colgate has come a long way since the days when a tube cost 14 annas. Today, in addition to a wide
range of toothbrushes, mouthwashes, whitening and expert care products, Colgate has well over ten
variants of toothpaste including everything from regular plain ’ white paste and flavoured toothpaste for
kids to Active Salt and Sensitive Pro-relief.

Indeed, Colgate’s advertising has changed over the years, long copy has given way to celebrities showing
off their pearly whites or getting advice from the experts. However, some things are better left untouched.
For the second year running Colgate has taken the number one position on Brand Equity’s Most Trusted
Brands survey.

In 2011 after spending years in second place, the brand dethroned Nokia. And they have done it again this
year by retaining the title as the consumer’s pick of the Most Trusted Brand. So what makes Colgate tick
after over seven decades? PrabhaParameswaran, MD, Colgate-Palmolive India, says Colgate’s 75 year long
journey in the country has been remarkable. “It commenced on an interesting note; beginning with Colgate
Dental Cream toothpaste being distributed on handcarts. We have come a long way from offering one
toothpaste brand. Today, we provide a product portfolio that addresses a wide array of consumer oral
health needs. Whether it’s launching products at the lowest possible price point to overcome the entry
barrier or driving growth in the premium category through relevant product innovation; we have been
addressing consumers at both ends of the spectrum and all points in between.”

Colgate’s top competitor is Procter and Gamble Company. Procter introduced Crest Pro-Health which
claims to carry in one tube everything a consumer could possibly want in toothpaste. Pro-Health is a direct
challenge to Colgate Total. Colgate was the first toothpaste to claim that it fights gingivitis, an advantage
that let Colgate ahead of Crest for the first time in decades . Procter is now claiming that Pro-Health is the
only toothpaste that protects against gingivitis, cavities, sensitivity and stains. With the two brands fighting
about having the best product, it all comes down to who can advertise and get their name out more. For
example, advertisements from Crest Pro-Health feature real people who have tried and liked the product.
Rather than focus on science, Colgate uses glamour and emotion to advertise its germ fighting toothpaste .
The theme for Pro-Health is “Healthy, beautiful smiles for life.”, whereas Colgate carried the theme “Look,
mom, no cavities.” Crest Pro-Health was ranked sixth among top selling toothpaste brands in the United
States with sales of $13.7 million .

Colgate and Company does a great job with their products and to satisfy their customers as best as they
can. They don’t only have great products but they also have tremendous and useful programs all around
the world to families and kids that are in need. Colgate has a program called “Colgate Bright Smiles, Bright
Future”. In this program they help families that are in need with free dental examinations and free dental
education. Colgate has helped many people around the world and is expanding every day. This program
not only attracts more people to buy their products but it also helps them have a better name with the act
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of kindness that they do. Currently they are giving their free service of dental education and examinations
in more than 80 countries around the world . “Colgate Bright Smiles, Bright Future” also have a mobile van
that they travel around the world to villages and small cities that don’t have transportation to help them
out. They currently help over 1 million kids a year with this mobile van children,”. Even with the cost of
traveling and products, they are willing and are nice enough to charge nothing to their customers that are
in need. This may be one of the most helpful and useful programs around the United States. “Colgate
Bright Smiles, Bright Future” not only think about people in the United States but people all around the
world to make them have a better living .

Colgate doesn’t only have a great history of how they started but also great success stories of helping
others throughout the world. It’s amazing how Colgate started over 200 years ago from nothing but starch
and soaps to being the number one best seller for toothpaste. They protect your teeth from decaying and
having gum diseases, it is also one of the top products in the world, but they should always be aware of
their competitors because toothpaste can be one of the most competitive products. Colgate reaching out
to thousands of communities shows how much they care for others who are in need of not only dental
care but with oral health education. These are the reasons why I choose Colgate over other brands
because of their promising results in using their toothpaste and the thoughtfulness organizations that they
have to offer. With myself being a loyal customer to Colgate, I feel like with every purchase I make, I am
helping a child or a family that are in need of something so important, and I am proud to be one of these
helpers.

Advertising has played a critical role in shaping that journey. The brand’s communication has evolved over
the years, in line with India’s fast changing environment, to best connect with consumers. “We create
integrated marketing campaigns that combine consistent brand messages with new ways of reaching
consumers, including innovative in-store execution, mass media innovation and exploring strategic
approaches to social media,” says Parameswaran.

New media channels like digital are becoming an integral part of the communications mix. For example, to
connect with youth, a core segment of their TG for Colgate Plax, they leveraged the augmented reality
medium for heightened consumer engagement and also partnered with the Sunburn Festival and Mood
Indigo, popular youth centric platforms, to create brand awareness and relevance. Mobile marketing is
another powerful medium of communication, given Indian’s mobile growth and rural penetration .

Colgate’s advertising has changed over the years, long copy has given way to celebrities showing off their
pearly whites or getting advice from the experts. However, some things are better left untouched. For the
second year running Colgate has taken the number one position on Brand Equity’s Most Trusted Brands
survey. In 2011 after spending years in second place, the brand dethroned Nokia. And they have done it
again this year by retaining the title as the consumer’s pick of the Most Trusted Brand.

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 Chapter 2

Literature review

Colgate's market share has largely stabilized but we still don't see signs of gaining meaningful share
anytime soon. As a category leader, Colgate needs to drive category growth at a time when natural's fad is
moderating. Senior level management churn (Ram Raghavan - MD and MukulDeoras India chairman) keeps
us interested in the story. Ram began his career as a management trainee with Colgate India in 1997. His
recent experience as the head of innovation center at Colgate-Palmolive LATAM is exactly what Colgate
India needs i.e. product excitement and diversification. With limited upside, we remain NEUTRAL on the
company. We will be tracking any revamp in strategy that may trigger our upgrade. Colgates 1Q
performance was slightly below our estimates (revenue and APAT). The story remains sombre but senior
level management churn instills new hope. We cut EPS by ~2% to factor slower than expected recovery in
FY20. We roll forward to Jun-21 EPS and value the co. at 35x, arriving at a TP of Rs 1,281.

https://trendlyne.com/posts/1973364/colgate-palmolive-1qfy20-story-remains-sombre-maintain-neutral

Availability of widevariety of products, increasing health awareness and rising income levels are some
factors which have led to higher consumption of oral care products. Interestingly, the per capita
consumption of toothpaste is about 146 gms-one of the lowest in the world. Taking this into consideration,
CPIL has expanded its dominance in India’s toothpaste category, aided by its presence across premium,
popular and mass categories. CPIL’s market share in toothpaste has increased from 54.5% in CY12 to 57.8%
in 2015 (YTD April 2015).Further, with new launches both in the premium and economy segments
maintaining their pace, we expect toothpaste segment to grow at a CAGR of 11.3% over FY15-18E.
Innovations to drive growth ahead: CPIL continuously focused on expanding its product portfolio through
new launches and variants (innovations). In FY16, CPIL introduced Colgate Total Charcoal Deep Clean,
Colgate Active Salt Neem, Colgate 360 toothbrush range & Palmolive liquid hand soap with new range of
liquid and foam. These introductions would help the company in tapping the urban market where lifestyles
are fast changing and demand for innovative products is rising. Over the years, this strategy (innovations)
has aided CPIL in improving its market share. It has also improved its product mix through higher sales of
value-added products and better realizations. Interestingly, the average selling price of premium products
like Colgate Total Charcoal, Colgate Sensitive Pro Relief, Colgate Visible White is over 2x the base product.
Hence, the impact on realisation growth and gross margin is tremendous.

https://www.fundsindia.com/blog/wp-content/uploads/2016/04/Research-Report-Colgate-Palmolive-
IndiaLtd.pdf?x96223

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ORGANIZATIONAL STRUCTURE OF COLGATE:

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 Sales Report Of Last 10 years:

Year 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16* 2016-17* 2017-18*

Sales 175816 202465 231740 273617 324451 375738 421120 431898 448985 429989
* The figures reported for F.Y. 2015-16, F.Y. 2016-17 and F.Y. 2017-18 are Ind AS compliant

Sales
500000
450000
400000
350000
300000
Sales

250000
200000
150000
100000
50000
0

Years

According to above sales graph , from 2008 to 2017 there is a constant growth and from 2017 the sales is
decreasing , due to less market demand as new several competitors came into the market.

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Market Price Data: The monthly high and low of the company’s shares traded on
BSE limited NSE of India Limited, Mumbai are as follows

BSE BSE NSE NSE

High Low High Low

Apr-17 1047.05 980 1047.8 980

May-17 1048.7 970 1049 966.75

Jun-17 1120 1009.55 1123.7 1009.15

Jul-17 1132.9 1059.75 1138.9 1055.1

Aug-17 1117 1028 1119 1027.5

Sep-17 1175.5 1050.35 1178.35 1050

Oct-17 1123.45 1026.3 1126 1026

Nov-17 1067 1016.8 1067 1015.1

Dec-17 1103 1022.5 1103.5 1022

Jan-18 1174 1086 1174 1084.85

Feb-18 1137.25 1031 1139.95 1029

Mar-18 1065 1022.5 1070 1020.9

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 BSE
1400
1200
1000
800
High
600
400 Low
200
0

In BSE we can see that there is no as such fluctuation in their stock price

NSE
1400

1200

1000

800
High
600
Low
400

200

0
1 2 3 4 5 6 7 8 9 10 11 12

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 In NSE we can see that there is no as such fluctuation in their stock price

Graphical representation of survey , based on customer response

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