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A Study on the Influence of Packaging in Brand Selection in Toothpaste Industry -C Anandan The not so commonly dealt marketing strategy

that most of the firms will not be giving much importance may be packaging of products. But still, it is of great relevance to judge how far the betterment of packaging has influenced the preference of customers to a specific brand and at the same time preventing any major ecological hazards. Keeping in view the growing concern of customers for a healthier and fit life, and the importance being given to dental cleaning, the influence of packaging on toothpaste industry is taken as the thread for this study and the related aspects of packaging and other influential factors are dealt with, keeping in view the growing popularity of a better and attractive package for products among the customers and the firms as well. The various dimensions of packaging ranging from protection of contents to enhancing the overall utility of the product have also influenced this study. Packaging may be considered as a true value catalyst in the toothpaste industry in view of the brand value it adds to the product and the superior brand image it creates in the customer's mind. The contributions from the respondents and their cooperative attitude towards the survey conducted, has helped a lot in sorting out the various crucial problems facing toothpaste industry, which all melted down to some feasible and fine solutions which any toothpaste firm can implement without much prior preparations. Introduction Usually, most of the companies plan and implement some marketing activities mainly to receive a favorable response from their buyers. Be it small, but notable improvements in the contents or the flavors or even manipulations in pricing, firms play an intelligent game in getting new customers and attracting them to buy their products again and again. The last, but not the least marketing strategy that most of the firms will resort to will be packaging of products. Since customers are the ones to take the final judgments, as well as the assessment of the final product based on a holistic view of the total product offer, it is of great relevance to judge how far the betterment of packaging has influenced the abovesaid assessment of the customers. Keeping in view the growing concern of customers for a healthier and fit life, and the importance being given to dental cleaning, the influence of packaging on toothpaste industry was selected for this study. This study was thus carried out to assess the influence of packaging in customers' selection of a particular brand of toothpaste. Literature Review Packaging is defined as the activities of designing and producing the container or wrapper for a product. The container or wrapper is called the package. Packaging is grown as a marketing tool due to the following factors:

Self Service: Package must attract attention, describe the product's features, create consumer confidence, and make a favorable overall impression. Consumer Affluence: Consumers are willing to pay a little more for the convenience, appearance, dependability and prestige of better packages. Company and Brand Image: Companies are recognizing the power of well-designed packages to contribute to instant recognition of the company or brand. Innovation Opportunities: Innovative packaging can bring large benefits to consumers

and profits to producers.1 Packaging is rightly considered to be the 5th P of marketing mix, and the key objectives of packaging are:

Contain the contents Protect the contents Promote the contents Differentiate the contents Increase the utility of middlemen and final buyers2.

The packaging for some specialized products like beverages may be designed to convey and enhance the high-end positioning of the brand. Packaging can be a major key to product success. In the present scenario, it is important, and more of added value to the customers. Product packaging is not only a product tactical variable, but, a part of the promotional variable also. The crucial goals of packaging include providing product awareness, setting image formation, highlighting incentives of purchase, and to determine positioning of a product. A product package communicates whether the product is expensive or cheap, functional or aesthetic, high quality, nominal quality, or low quality3. Functions of Packaging

Packaging serves several utilitarian purposes. It protects the product on its route from the producer to the final customer, and in some cases, even while it is being used by the customer. Moreover, some protection is provided by "child-proof" closures to containers that are potentially harmful to children. Packaged goods always have an edge over the bulk items, in being more convenient, cleaner, and less susceptible to losses from evaporation, spilling, and spoilage. Packaging may implement a company's marketing program. Packaging helps in identifying a product and thus, may prevent substitution of competitive goods. A package may thus help in differentiation of goods. In the case of some industries, customers are even willing to pay more for special and attractive packages. Besides this, an increase in ease of handling or a reduction in damage losses, due to packaging, will cut marketing costs, again increasing profit 4.

Packaging plays a major role in value generation as well as positioning and repositioning of a product5. Usually, brand preference provides a basis for positioning of a product 6. Packaging, hence, on a broader sense, is meant for consumer utility and promotion7. Packaging Regulations Packagings of products are regulated by the following acts: 1) Standard Weights and Measures Act (SWM Act): This enforces the metric system of weights and measures and sets out standards, penalties for non compliance and means for enforcement. 2) Packaging Commodities Regulation Act: This act expects all consumer products to show on the package, ultimately sold to the consumer,

The date of manufacture/expiry Maximum retail price excluding local tax Net content and the name and address of the manufacturer8. Toothpaste Industry With regard to toothpaste industry, brands have proved successful in creating additional value, for companies have been able to build strong brands with customers. Innovations have the potential of enhancing the customer value proposition and thereby, the brand value. In this context, packaging may be considered as a true value catalyst in the toothpaste industry due to the following reasons9:

Strategic decisions should be taken regarding the packaging of toothpastes, as packaging decisions are attracting increasing public attention. Decision should be made on additional packaging elements such as materials, color, text and brand name. Decisions must be made on much or little text, cellophane or other transparent films, a plastic or laminate tray, and so on. The various packaging elements must be harmonized with decisions on pricing, advertising, and other marketing elements. Developing effective packaging may cost several hundred thousand dollars and take from a few months to a year. Packages play crucial role in attracting and satisfying customers. Companies must pay attention, however to the growing environmental and safety concerns about packaging and make decisions that serve society's interests as well as immediate customer and company objectives. Label may be a simple tag attached to the product or an elaborately designed graphic that is part of package. Label is for identification, promotion, grading and overall description of the product. As far as toothpastes are concerned, certifications of renowned associations like the IDA (Indian Dental Association) and other health related aspects may be highlighted on packages.

Packaging Decisions Due to the above stated aspects, in toothpaste industry, "packaging" can be rightly considered as a part of the product strategy and several related packaging decisions may be implemented for better profitability and customer satisfaction and some of the crucial strategic decisions are listed below:

Get Organized: Coordinating efforts of many organizational areas in the industry is involved in packaging. Conduct Packaging Research: Marketing research to help position the toothpaste, the particular brand and package among competitive offerings. Advertisements and imagerelated research may be carried out, as may package usage tests. Develop Graphics and Copy: Color illustrations, and copy must be consistent with the overall image desired. The color combinations used should have a deep impact on the customer. Develop Physical Package: Physical design includes shape, size, material, and color. As far as the strategies regarding packages are concerned, the best approach identified is `Think small and keep the product simple'. The convenience offered by sachets of shampoos, detergents, small bottles of coke, etc., can be extended to toothpastes as such10. Test the Design in Market: Marketing research using in-store test, or direct psychological

methods, or obtaining distributor feedback is often appropriate before going to market with a packaging. Do an Environmental Check: Includes packaging safety, disposable packaging, quantity of packaging, littering, and avoidance of misleading labeling and an unrealistic impression of the quantity purchased11.

Environmental Concerns Besides littering of the surroundings by plastic packages or tubes or whatever, toothpastes have been subject to several controversial health issues, the latest being fluoridated toothpastes. This issue was first raised in Malaysia, during a Seminar on Product Safety, December 6, 1997, focusing on the safe use of fluoride in toothpaste, with particular reference to children. In Malaysia, it has been made mandatory that, all manufacturers of fluoridated toothpaste in the country will be required to insert a health advice including the safe use of the product on the tube and packaging. This new directive by the Ministry of Health is deemed as necessary to educate the public on the proper use of fluoridated toothpaste. Methodology Source of Data In this study, the source of data for arriving at a conclusion is primary data. Hence, the survey regarding "The influence of packaging in selection of products" for Toothpaste Industry was conducted at various retail shops in Thiruvananthapuram and some residences in Trichy and primary data has been collected from housewives, students, families and retail shopkeepers. Since the respondents' breakup was based on various key demographic factors like social class, income, age, gender, etc., it would represent a good cross-section of the population. Data Collection A questionnaire was designed based on various influential factors and it was pilot-tested to ensure clarity and validity so as to elucidate a better and reliable response from the respondents. After making further modifications, the questionnaire was published. In order to avoid any `misconception' of the questionnaire, the interactions with the respondents were personal. Sampling Method The sampling method adopted was Convenient Sampling Sampling Size and Plan The sample size is 125 of which 55 are men and 70 are women. The profile of the respondents is given in Table 1.

The following objectives were set for the research study: 1. To understand the influence of packaging on brand preference of customers. 2. To find the impact of packaging on the pricing strategy of products. 3. To make out the influence of packaging in communicating the quality image of the brand. 4. To determine the role of packaging as a promotion tool of the product. 5. To make out the environmental and legal issues regarding packaging. 6. To determine the influence of packaging on positioning and repositioning of a product. 7. To determine the influence of packaging on product differentiation. Analysis 1. Attributes Influencing Brand Choice in Toothpastes A Mann-Whitney test proved that the respondents' preference of attributes of toothpaste is not influenced by their gender, with quantity offered being preferred most and quality given least preference. A Friedman and Kendall test proved that income had got no significant impact on the preference of various attributes of toothpaste. 2. Factors Influencing Preference of Cardboard Pack for Toothpaste The results of the phi test conducted indicate that gender and the preference of cardboard as packing material were lowly correlated. A chi-square test was conducted to see if age, income had any significant impact on the cardboard as packing material for toothpastes and it is inferred that both the demographic variables are not influencing. Friedman and Kendall tests indicated that there exists a clear preference of attributes of a preferred toothpaste brand. 3. Factors Influencing Brand Choice in Toothpastes A Mann-Whitney test was conducted to see if gender had any significant impact on the preference of various factors that influence buying of toothpaste. It can be inferred that the significant value (P) is greater than 0.05 (at 5% level of significance), hence the null hypothesis is accepted and it is concluded that the respondents' selection of toothpaste is not influenced by various factors based on their gender, with material of pack being

the most influencing factor and quality being the least influencing one. It can also be inferred that, from among the 125 respondents of the study, packaging was given the utmost preference among the various factors influencing buying of toothpaste, and that too, by males. A Friedman and Kendall test was conducted to see if income had any significant impact on the preference of various product related factors of toothpaste. It can be concluded that the respondents' preference for the various product related factors influencing the toothpaste purchase is not significantly different in all ranges but for (15,000-25,000) income range where, the purchase preference of toothpaste is influenced by the preference given to the various product related factors. But, in (<5,000), (5,000-15,000) and (>25,000) income ranges, the preference given for the different product related factors does not influence the purchase preference of toothpaste by the respondents. 4. Opinion Regarding whether Packaging Influences Brand Selection The results of the Mann-Whitney test proved that the gender had no significant impact on the opinion regarding whether packaging influences brand selection. From the study and the subsequent research, it can be inferred that, from among the 125 respondents of the study, majority of the males were of the opinion that packaging influences brand selection. The Kruskal Wallis H test conducted to see if age and income had any significant impact on the opinion regarding whether packaging influences brand selection showed that both are not influencing the opinion as to whether packaging helps in brand selection of product. 5. Opinion Regarding if Good Quality Products Come in Good Packaging The Mann-Whitney test and Kruskal Wallis H test were conducted to see if gender and age and income had shown significant impact on the opinion regarding whether good quality products come in good packaging. It can also be inferred that, from among the 125 respondents of the study, majority of the males were of the opinion that good quality products come in good packaging. 6. Preference of Package of Toothpaste The Mann-Whitney test, Friedman and Kendall tests were conducted to see if gender and income had any significant impact on the preference of packing material for the toothpaste. It is proved that the preference had not significantly differed among the various categories. It can also be inferred that, from among the 125 respondents of the study, ecofriendly packing was given the maximum preference and that too, by males, among the various factors influencing buying of toothpaste.

7. To Check the Willingness to Pay a Premium for Preferred Brand A phi test was conducted to see if gender had any significant impact on the willingness to pay a premium for a preferred brand. The test shows the Phi value is -0.269. It clearly shows that the correlation between gender and willingness to pay a premium for a better quality pack is very low. This proves that respondents' willingness to pay a premium for a better quality pack is in no way influenced by their gender. Chi-square tests were conducted to see if age and income had any significant impact on the willingness of the customers to pay a premium for a preferred toothpaste brand if it comes in a better packing, had proved that the respondents across the age and income categories, were not willing to pay a premium. 8. Factors Influencing Brand Switching for Better Attractive Pack The phi test was conducted to see if gender had any significant impact on the brand switching for a better attractive pack. From the study, it can be inferred that, the Phi value is 0.009. It clearly shows that the correlation between gender and brand switching for a better attractive pack is very low. The conclusion that may be drawn from this is that, gender does not play any role in influencing brand switching in toothpastes, for a better attractive pack. The chi-square tests conducted to see if income and age had any significant impact on the respondents' decision to switch brands, had indicated that both the factors are not influencing brand switching because of an attractive pack. 9. Factors Influencing Noting of Instructions on a Toothpaste Pack The respondents were not keen on noting down the instructions given in the packaging. This phenomenon had been observed to be common across age, income and gender. 10. Dominant Colors on Toothpaste Pack A cross tabulation test was conducted to see if gender had any significant impact on the selection of one dominant color of the pack. The study shows that, among the total respondents who preferred buying toothpaste, majority of the males and females preferred red as one of the dominant colours in their toothpaste pack. It is recorded that more females noted green, white and blue as one of the dominant colours of their toothpaste packs. A cross tabulation test was conducted to see if age had any significant impact on the selection of one dominant color of the pack. It can be concluded that, among the total respondents who preferred buying toothpaste, red recorded the greatest voting from the respondents and, in that, (35-45) age group noted red as one of the dominant colors in their toothpaste pack. Yellow and Orange were the least preferred colors. A cross tabulation test was conducted to see if income had any significant impact on the selection of one dominant color of the pack. The study shows that, among the total respondents who preferred buying toothpaste, majority of the respondents recorded red as one of the dominant colors of the toothpaste pack, and in that, maximum voting was from (15,000-25,000) income

range. Yellow and Orange were the least preferred brands. 11. Opinion Regarding if Packaging Helps in Convenient Handling of the Product The Mann-Whitney test and Kruskal Wallis H test conducted to see if gender and `age and income' had any significant impact on the opinion regarding whether packaging helps in convenient handling of the product proved that there was no significant impact. 12. Logistic Regression The influence of packaging in brand selection of toothpaste depends on the independent variables listed below: 1. Cardboard box (Q6) 2. Preferred colour of package (Q13) 3. Volume of purchase (Q14) 4. Package reflecting the features and specialties of the product (Q16) 5. Preference over package size (Q17) The final iteration results of the logistic regression model for brand preference are given in Table 2. The following observations are made from Table 2. The research analyzed the influence of purchase of toothpaste and the package material (cardboard box). 1) Among the respondents that say they won't buy the toothpaste if it does not come in a cardboard box influence the brand selection to the tune of 1.129387515006846E+66 times to those who will purchase a toothpaste if it does not come in a cardboard box. 2) Also those respondents who are not sure will influence the brand selection to the tune of 1.305315824803373 E+65 times to those who will purchase toothpaste if it does not come in a cardboard box. The influence of color of package cover over the brand selection showed the following results. 1) The respondents that prefer green color pack influence the brand selection to the tune of 2427192.536 times to those who prefer red color package. 2) The respondents that prefer white color pack influence the brand selection to the tune of 145046207031920600000.000 times to those who prefer red color package.

3) The respondents that prefer blue are not influenced by packaging in brand selection. 4) The respondents that prefer yellow are not influenced by packaging in brand selection. 5) The respondents that prefer orange are not influenced by packaging in brand selection. 6) The respondents that have no preference over color of the package influence the brand selection to the tune of 9584311588200250000 0.000 times to those who prefer red color package. The research aimed at finding the customer purchase behavior with the satisfaction level i.e., if the respondent is satisfied with the sachet that he has bought, will he go for a bigger pack or again go for a sachet, the following inference was obtained. The packaging influencing the brand selection for respondents that will again go for sachet is to the tune of 56956029027963200000.000 times to the respondents who will go for a bigger pack. The influence of features depicted on the toothpaste pack on the brand selection was studied. 1) The respondents whom the features depicted on the package influence the purchase to the tune of 170077387857478100000 0.000 times to that of respondents who say those the package reflects the features and specialties of the product. 2) The respondents who are not sure of the features and specialties of the product in the package influence the purchase to the tune of 6.207986074181430E+55 times to those of respondents who say that the package reflects the features and specialties of the product. The influence of brand selection given a choice of individual pack at a higher price and family pack at a lower price was studied. 1) The influence of respondents who choose family pack in the purchase of toothpaste is to the tune of 9699802789.202 to those of respondents who gave individual pack as their choice. 2) The respondents who were not sure of their choice influence the brand selection to the tune of 1.155579274237520E+87 to those of respondents who choose the individual pack. The Hosmer-Lemeshow goodness-of-fit test indicates that there is a high degree of fitness (P = 1.0) for the model. Table 3 indicates that the rest of the independent variables are not significant at 5% level of significance. Hence, they are not included in the logistic regression model. Findings and Recommendations New developments occurring rapidly in packaging, and in a seemingly endless flow, require management's constant attention to packaging design. The present scenario in marketing is characterized by innovations as we see new packaging materials replacing the traditional ones, new shapes and sizes, new closures, and other new features. The choice of a particular product is

usually influenced by its external attractiveness. Among the various factors that influence the preference of a particular brand of product, packaging is considered to have a deep and everlasting influence on product choice of customers. This study and the subsequent research tested the influence of packaging over product choice. For dental cleaning, people may opt from toothpaste, toothpowder, or natural products. Almost all the respondents were found to use toothpaste for dental cleaning. Brand Switching Colgate is rated the most popular brand among the various toothpaste brands. Most of the respondents are very brand loyal and showed very negligible brand switching behavior. This sort of consumer behavior was noted across the various income groups and that too irrespective of age and gender variations. Reasons for Brand Preference In the order of priority, the reasons for brand preferences are listed below:

Preferable quality of the product Availability of the product Quantity offered Price of the product Packaging of the item.

Material Used for Packaging The study tested the customers' preference of primary packing material for the toothpaste, like, tin tube, plastic tube, sachet, reusable pack, ecofriendly pack, etc. Most of the respondents opted for plastic tube only, though, hopefully, there were some respondents who preferred eco-friendly packaging. With such a preference they are showing their concern for the environment and the surroundings. Moreover, the growing concern over shortages of paper, aluminium, and other materials suggests that marketers should try to reduce their packaging. Many packages litter the streets and countryside. Hence, packaging creates a major problem in solid waste disposal, requiring huge amounts of labor and energy. These packaging questions have mobilized public interest in new packaging laws. The marketers should design fair, economical, and ecological packages for their products. Besides this, reusable packs and sachets were opined to be convenient, the latter being said to be immensely helpful for those who travel a lot. For the secondary packaging material, most of the respondents were not willing to buy the toothpaste if it does not come in a cardboard box. More evidently, many customers who were switching brands for better attractive pack of toothpaste showed predominantly variety seeking buyer behavior. Significance of Packaging The study revealed a whole lot of information regarding packaging and its relevance as far as toothpaste industry is concerned. Though some of the respondents proved to be hard-core brand loyals to a particular toothpaste, regardless of the mode of packaging resorted to, the ultimate findings from the study lead us to two schools of thoughts as to packaging can be insignificant in a broader sense but at the same time, can influence the users to some extent. These two

findings are listed below. Packaging is found to have no influence in the brand selection of customers across the various income, age and gender groups. Most of the customers are not willing to pay a premium for a better attractive packaging, nor are they willing to resort to brand switching for a product with attractive packaging. This in itself explains how insignificant packaging can be, as far as toothpastes are concerned. The study reveals that, packaging is given the least preference among the various attributes that the consumer considers while buying the toothpaste. As per the research, packaging is not found to have an influence on the preference of various toothpaste brands by the customers. Among those surveyed, a good number of customers revealed that they are keen in noting the instructions on the toothpaste pack, whereby they have proved to be health conscious and at the same time are worried about the utility and shelf life of the product. Hence, the marketers should make it a point to provide more clear and user-friendly instructions. A good number of the respondents were not willing to buy the toothpaste if it does not come in a cardboard box. Almost all the users revealed that packaging helps in convenient handling of the product. Most of the respondents could recollect the dominant colors of their toothpaste brands. This in itself shows that packaging can have an impact on the customers, provided the firms use proper marketing strategies to harness the customers' inclination towards packaging. Moreover, regarding the various health hazards brought about by fluoridated toothpastes, people are becoming more aware of the side effects of such toothpastes in children. Hence, this issue was first raised during the Seminar on Product Safety, December 6, 1997, focusing on the safe use of fluoride in toothpaste, with particular reference to children. The National Poison Center (PRN) welcomed the statement by the Malaysian Dental Association (MDA) and also the Ministry of Health about the labeling of fluoridated toothpastes in this country.12 In short, the growing concern for health and well being of the people will necessitate additional labeling laws to require open dating (to describe product freshness), unit pricing (to state the product cost in standard measurement units), grade labeling (to rate the quality of certain consumer goods), and percentage labeling (to show the percentage of each important ingredient).13 For the overall results of this research, refer to Appendix I. Conclusion Since the information was collected from the actual users, the outcome will help the toothpaste firms to fine-tune their marketing strategies for better profitability and customer loyalty. With the inclination of the customers towards packaging, it is imperative for the firms to go in for ecofriendly packaging which will check pollution of our environment by plastic packs. Companies should, therefore, resort to biodegradable packing materials rather than going in for plastics and such other non-biodegradables. Besides these, packaging has a tremendous role to play as a multidimensional subject and hence, the firms should make the language of packaging more understandable to common man, keeping in mind its commercial and social significance.14 References 1. Philip Kotler, Siew Meng Leong, Chin Tiong Tan, Marketing Management: An Asian Perspective,

Prentice Hall, year of publication 1996, Simon & Schuster (Asia) Pvt. Ltd. 2. Indian Journal of Marketing, Vol-XXX1, Nov-Dec 2001, No. 11-2. 3. William A Cohen, The Practice of Marketing Management - Analysis, Planning, and Implementation, MacMillan Publishing Company, 9th Edition, 1998. 4. Fundamentals of Marketing, William J Stanton, 7 th Edition, McGraw-Hill International Book Company, 1984, pages-225 to 235. 5. Victor P Buell, Marketing Management-A Strategic Planning Approach, McGraw-Hill Series in Marketing. 6. Indian Journal of Marketing, Vol-XXX111, August 2003, No. 8. 7. Ben M Enis, Marketing Principles - The Management Process, 2nd Edition, Good Year Publishing Company. Inc., California. 8. Economic and Political Weekly, "Marketing and Public Policy", S L Rao, February 27, 1988, Pages - M17 to M21. 9. Marketing Mastermind, A Monthly Digest, May 2003, Volume III, No. 5, pages-36 to 38, Editor - Anshul Kaushesh. 10. Indian Journal of Marketing, Vol. XXX111, July 2003, No. 7. 11. David W Cravens, Gerald E Hills, Robert B Woodruff, Marketing Management - Cravens Hills Woodruff, Richard D Irwin Inc. Homewood, Illinois 60430. 12. http://www.prn2.usm.my/mainsite/bulletin/1998/prn16.html. 13. Marketing Management: An Asian Perspective, Philip Kotler, Siew Meng Leong, Chin Tiong Tan, Prentice Hall, year of publication 1996, Simon & Schuster (Asia) Pvt. Ltd. 14. http://www.johnboardmantraining. com/jb05/packaging-2. Reference # 03J-2004-11-03-01.
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