Colgate Case Study
Colgate Case Study
Colgate Case Study
G R O U P 1: JA NA RT H , JU LI E, JO R D AN & M AH N O O R
D ATE : D EC 9, 201 6
C O U R S E: M KT G 3 100 1D
PR O F ESS O R : C AR O L BU R EA U
AGENDA
1. FACTS
2. KEY ISSUES
3. EVALUTION OF ALTERNATIVES
4. RECOMMENDATIONS
5. IMPLEMENTATION PLAN
FACTS
Who: Colgate vice president of customer relationships and Colgate- Palmolive Canada
decision maker Richard Werner.
What (problem statement): Already being a successful company their priority is too widen
their customer base and get consumers with other brands to switch. They need to invest in
marketing activities that will make this goal successful.
Why: They already hold most of the market share within the industry
They want to develop ways to take control of the industry by getting consumers over to
their brand.
When:
- 2013 fiscal year they want to implement these things in order to have them go into
immediate effect.
KEY ISSUES
Probability of Occurrence
MED
HIGH
EVALUTION OF ALTERNATIVES
PROS CONS
Alternative #1: Deploy - The Colgate brand is doing - Doing nothing for future
the same budget mix as well with what is currently growth rarely does well. If
2012 and not request an being implemented the company were to decide
increase Although the revenue growth to do nothing, there may be
targets for 2013 have not an increase in sales but it
been finalized, the targets will likely be extremely slow
are expected to increase by
4.5%
Alternative #2: Increase - The company already -Too many advertisements in
the advertising budget by holds the highest market the consumers face can
$3 million, which would share because of their cause a dislike towards the
allow an increased online advertisements. company
presence or and - Previous 75 percent of - Too many advertisements
increased television ad budget towards advertising in the consumers face can
frequency has proven to be successful cause a dislike towards the
for the business company
- Current campaign is - An increased online
extremely successful and is presence may not be as
grabbing the consumer's useful as according to the
attention. research most non-loyalists
make purchase decision in
Evaluation of alternatives cont
Increase the trade promotion budget by $3 million to focus on building
volume with all the major retailers.
Pros : More shelf space in store, A lot of consumers check weekly flyers
Pros: Many customers are brand loyal to them, will bring old and new
customers all together.
Pros: All the alternatives listed will bring success to the company. By
investing a portion of the $3 million to each type of promotion, there
will likely be an increase in market share, sales and brand loyalty.