A DISSERTATION REPORT

ON
“A Sudy on Sales Promotion activity carried out by Colgate sensitive “
Submitted to
Savitribai Phule Pune University
In Partial Fulfilment of the Requirement for Award of the Degree of
MASTER OF BUSINESS ADMINISTRATION
BY
KUNAL
(MBA, MARKETING)
Under The Guidance of
Prof. SWAPNIL PATIL

S.K.N SINHGAD SCHOOL OF BUSINESS MANAGEMENT

AMBEGAON, PUNE
Academic Year
(2016-2018)
 DECLARATION

I, Kunal, hereby declare that the Dissertation entitled “A Project Report on Sales
Promotion activity carried out by Colgate sensitive “written and submitted by me to the
University of Pune, in partial fulfillment of the requirement for the award of degree of Master
of Business Administration under the guidance of
Prof. Swapnil Patil is my original work and the conclusions drawn therein are based on the
material collected by myself.

Place:
Date: Kunal
 Date:
CERTIFICATE

This is to certify that the Dissertation entitled “A Project Report on Sales

Promotion activity carried out by Colgate sensitive “is the original research work

completed by Mr. Kunal under my supervision and guidance. This is submitted herewith as

the partial fulfilment for the award of the degree of MASTER OF BUSINESS

ADMINISTRATION (MBA) of Savitribai Phule Pune University.

Signature of the Guide:

Name: Prof. Swapnil Patil.

Approved by:

Dr. Rajashree Shinde,

Director
 AKNOWLEDEMENT

The goal was fixed, moves were calculated and I have to move with full enthusiasm, vigor
and keen interest.

There was a time when it proved to be on uphill task, the goal seeming beyond my reach. But
as work progressed my determination and will power grew stronger and completion of this
work further confined my belief that “Where there is a will there is a way”

It‘s sheer pleasure for me to state with candidly that this entire project is heartily attempt for
me to reach maximum accuracy. I therefore take this opportunity to express my utmost
gratitude to all who have contributed in some way.

At the onset I would like to express my sincere gratitude to Prof. Swapnil Patil Sir for
assigning me the project and giving me a chance to work on it and my Director
Dr.Rajashree Shinde mam, and my project guide Prof. Swapnil Patil Sir for guiding me
through the way.

Place:
Date: Kunal
 INDEX
SR NO TITLE PAGE NO

1 EXECUTIVE SUMMARY

2 INTRODUCTION

3 OBJECTIVES

4 SCOPE

5 LIMITATIONS

6 LITERATURE REVIEW

8 METHODOLOGY

9 DATA ANALYSIS

10 FINDINGS&CONCLUSION

11 BIBLIOGRAPHY/REFERENCES
 EXECUTIVE SUMMARY

This dissertation report consists of the overall experience of working as a part of Colgate
Palmolive Ltd. This experience helped me understand the basic functioning of the particular
market where I was inducted.

The best learning experience was that I started from the very basics of getting to that position
and not from the position itself. This helped me get useful insight and understanding of
various products, the market details about them and the benefits provided by them to the
customers. Emphasis was given in analysis of the consumer behaviour.

I found that proper promotional activities can really push the sales. Many times advertisement
or POP material influences the customers to a great extent. From the research it can be drawn
out that a proper awareness of the technology have to be spread among the dealers and a good
relation with stockiest can also push sales because in many cases it was found that when the
question was asked regarding the brand the customer generally wants to buy then the
response of many dealers where that it was on their wish and they can sell any brand to them
because all the brand have a slight difference and in terms of price and quality, so most of the
customers depends on the stockiest or making final decision regarding the purchase of the
product.
 INTRODUCTION

Colgate was founded in the United States in 1806 and for the first 100 years, its business
focus was only there. However, in the very early 1900's, the Company began a very
aggressive expansion program that led to the establishment of Colgate operations throughout
the world. Today, Colgate-Palmolive is a $9 billion company, marketing its products in over
200 countries and territories under such internationally recognized brand names as Colgate,
Palmolive, Ajax, Fab, and Mennen as well as Hill's Science Diet and Hill's Prescription Diet.
Colgate Total is considered the greatest evolution in toothpaste since the introduction of
fluoride. This highly effective formula, containing fluoride and the antimicrobial ingredient,
Triclosan, has been demonstrated clinically to help prevent gingivitis, plaque, cavities and
tartar.

And, its unique patented formula, containing the co-polymer, Gantrez, continues to be active
between brushings. It continues to work fighting plaque, gingivitis, tartar and cavities after
you stop brushing, even if you eat or drink. No other toothpaste manufactured in the US
contains Triclosan or has been cleared to make claims for gingivitis and plaque reduction.
Since the announcement of the FDA clearance of Colgate Total on July 14, 1997, retailers
have expressed unprecedented enthusiasm and interest. Dr. Sigmund S. Socransky, Associate
Professor of Oral Biology, Harvard School of Dental Medicine, and Senior Member of the
Staff and Head, Departments of Microbiology and Periodontology, Forsyth Dental Center,
said, "Colgate Total represents one of the most remarkable oral therapeutic achievements in
the last 20 years." Colgate Total will benefit the oral health of all users. The most common
non-contagious diseases are periodontal diseases such as gingivitis. In fact, 63% of
Americans suffer from gingivitis. As the only toothpaste with this formula, Colgate Total will
help Americans take greater care of their teeth and gums than ever before and will help
younger people prevent these dental problems. Since Colgate Total was introduced
internationally in 1992, over half a billion tubes have been purchased.
OBJECTIVES OF STUDY:-

The Objective of the study of the sales Promotion activities is related to the new product
launch by Colgate.
Some objectives are as follows:

1. To find out Colgate-Palmolive’s current market share in the FMCG market in India.
2. To identify promotional activities of the company.
To study the factors considered by customers while purchasing Toothpaste and Toothbrush.

SCOPE OF THE STUDY:-

The study of the promotional activities is very important in the company view so for that
I started the study of promotional activities in the Colgate. Scope of the study is to find
out the promotional activities carried out by Colgate& new innovative branding
strategies on shop level.

Toothpaste helps keep your teeth clean and healthy, gives you nice breath prevents against
plaque, cavities, gum diseases & keep teeth white.

I wished my area by studying the various activities by the different techniques and also
by different views and added the brand awareness to the customers.

Limitations

 Toothpaste helps keep your teeth clean and healthy, gives you nice breath prevents
against plaque, cavities, gum diseases & keeps teeth white.
 Fluorine is known to cause health issue, but non-fluorine toothpaste is available.
 Flavoured toothpaste doesn’t protect against plaque. Food testes really bad after
brushing your teeth (especially orange juice.
 Literature Review

Teeth Sensitivity, just thinking about it pains me deep down my canines. I don’t know if it’s
due to age, but I tend to blame it all on Pregnancy. Before my kid, I was able to eat and drink
without paying attention to the temperature of the food. I had Slurpee – which by definition
are supposed to numb the brain, and on the same hour I could be enjoying a hot cup of coffee
at some friend’s house. Teeth sensitivity was not part of my vocabulary. Not until I had a
baby.

Right after delivery, I thought my teeth sensibility to some foods was due to change in my
hormones. But, it persisted for months and I was still very aware of my food intake. A slice
of warm apple pie with ice cream was tricky to eat, and this mama wasn’t going to quit her
indulgences so I continued to manoeuvre my food and avoid key areas in my mouth. Don’t
ask, you just feel it.
Then I remembered that my husband was already using a toothpaste specifically for his teeth
sensitivity and I decided to give it a try. Although, his toothpaste wasn’t made by Colgate or
Crest it was still made by a leader brand. So, it should be okay, right?

Sensitive Pro-Relief Whitening:-

I tried it and immediately the taste was so much better. In fact, almost as close to my regular
toothpaste in flavour and texture. I still wonder why I didn’t even think of trying another
brand before. I guess I just assumed these kind of formula were all the same, but they are
not. And, I’m very happy for this discovery, my teeth sensitivity days are over. I can start
indulging in the food I want without self-aware of my silly mouth movements. After two
weeks, I feel I regained my confidence towards my old eating habits. I even tried a warm
apple pie with ice cream on top at my last ladies’ night out.

If you have sensitive teeth, I strongly recommend you to give Colgate Sensitive Pro-Relief a
try, you will barely notice you made a change, only your teeth. And if you do try it, I would
also recommend pairing it with the Colgate 360 Pro-Relief toothbrush, it’s soft on your gums
but its design is tough on the tricky areas.

For more information regarding this product, here’s some good piece of literature:
Colgate Sensitive Pro-Relief (CSPR) toothpaste is formulated to shield and repair sensitive
teeth for long-lasting protection (with regular use). Most other sensitivity toothpastes contain
potassium nitrate, which primarily numbs the tooth nerve, masking the pain of tooth
sensitivity, and will take 2 weeks of use before relief is delivered. Colgate Sensitive Pro-
Relief toothpaste works by plugging the channels that lead to the sensitive tooth nerves, to
block the pain. With regular use, it builds a long-lasting protective barrier that acts like a seal
against sensitivity.
 CONCEPTUAL BACKGROUND

Sales promotion is one of the five aspects of the promotional mix. (The other 4 parts of the
promotional mix are advertising, personal selling, direct marketing and publicity/public
relations.) Media and non-media marketing communication are employed for a pre-
determined, limited time to increase consumer demand, stimulate market demand or improve
product availability. Examples include contests, coupons, freebies, loss leaders, point of
purchase displays, premiums, prizes, product samples, and rebates

Sales promotions can be directed at either thecustomer, sales staff, or distribution channel
members (such as retailers). Sales promotions targeted at the consumer are called consumer
sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales
promotions. Some sale promotions, particularly ones with unusual methods, are considered
gimmicks by many.

Sales promotion includes several communications activities that attempt to provide added
value or incentives to consumers, wholesalers, retailers, or other organizational customers to
stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or
purchase. Examples of devices used in sales promotion include coupons, samples, premiums,
point-of-purchase (POP) displays, contests, rebates, and sweepstakes.

Sales promotion is needed to attract new customers, to hold present customers, to counteract
competition, and to take advantage of opportunities that are revealed by market research. It is
made up of activities, both outside and inside activities, to enhance company sales. Outside
sales promotion activities include advertising, publicity, public relations activities, and
special sales events. Inside sales promotion activities includes window displays, product and
promotional material display and promotional programs such as premium awards and
contests.

Sale promotions often come in the form of discounts. Discounts impact the way consumers
think and behave when shopping. The type of savings and its location can.

Affect the way consumers view a product and affect their purchase decision. The two most
common discounts are price discounts (“on sale items”) and bonus packs (“bulk items”).
Price discounts are the reduction of an original sale by a certain percentage while bonus
packs are deals in which the consumer receives more for the original price.Many companies
present different forms of discounts in advertisements, hoping to convince consumers to buy
their products

CONSUMER SALES PROMOTION TYPES:-

 Price deal: A temporary reduction in the price, such as 50% off.

 Loyal Reward Program: Consumers collect points, miles, or credits for purchases and
redeem them for rewards.
 Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage
marked on the package.
 Price-pack/Bonus packs deal: The packaging offers a consumer a certain percentage
more of the product for the same price (for example, 25 percent extra). This is another
type of deal “in which customers are offered more of the product for the same
price”.For example, a sales company may offer their consumers a bonus pack in
which they can receive two products for the price of one. In these scenarios, this
bonus pack is framed as a gain because buyers believe that they are obtaining a free
product. The purchase of a bonus pack, however, is not always beneficial for the
consumer. Sometimes consumers will end up spending money on an item they would
not normally buy had it not been in a bonus pack. As a result, items bought in a bonus
pack are often wasted and is viewed as a “loss” for the consumer.
 Coupons: coupons have become a standard mechanism for sales promotions.
 Loss leader: the price of a popular product is temporarily reduced below cost in order
to stimulate other profitable sales
 Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for
delivery.
 Checkout dispensers: On checkout the customer is given a coupon based on products
purchased.
 Mobile couponing: Coupons are available on a mobile phone. Consumers show the
offer on a mobile phone to a salesperson for redemption.
 Online interactive promotion game: Consumers play an interactive game associated
with the promoted product.
  Rebates: Consumers are offered money back if the receipt and barcode are mailed to
the producer.
 Contests/sweepstakes/games: The consumer is automatically entered into the event by
purchasing the product.

 Point-of-sale displays:-
1. Aisle interrupter: A sign that juts into the aisle from the shelf.
2. Dangler: A sign that sways when a consumer walks by it.
3. Dump bin: Abeen full of products dumped inside.
4. Bidding portals: Getting prospects
5. Glorifier: A small stage that elevates a product above other products.
6. Wobblers: A sign that jiggles.
7. Lipstick Board: A board on which messages are written in crayon.
8. Necker: A coupon placed on the 'neck' of a bottle.
9. YES unit: "your extra salesperson" is a pull-out fact sheet.
10. Electroluminescent: Solar-powered, animated light in motion.
 Kids eat free specials: Offers a discount on the total dining bill by offering 1 free kids
meal with each regular meal purchased.
 Sampling: Consumers get one sample for free, after their trial and then could decide
whether to buy or not.

Online deal vs. in store deal:-

There are different types of discounts available online versus in the stores. On-shelf
couponing: Coupons are present at the shelf where the product is available. On-line
couponing: Coupons are available online. Consumers print them out and take them to the
store. Although discounts can be found online and in stores, there is a different thought
process when shopping in each location? For example, “online shoppers are more price-
sensitive because of the readily available low search cost and direct price comparisons”.

Consumers can easily go to other websites and find better deals as opposed to physically
going to various stores. In addition, buyers tend to refrain from purchasing bonus packs
online because of the scepticism (of fraud and scams) that may come with the deal. Since
“…bonus packs are more difficult than price discounts to process online, they are more
difficult and effortful for the consumer to understand”. For example, a buy-one-get-one-free
deal on a website requires more work than the same bonus pack offered in a store. Online,
consumers have to deal with payment processing, shipping and handling fees, and days
waiting for the products’ arrival, while in a store, the products are

available without those additional steps and delays. Another important element once the
buyer purchases any product physically he satisfies himself and after purchase his post
purchase behaviour may be positive rather negative.

TRADE SALES PROMOTION TECHNIQUE:-

1. Trade allowances: short term incentive offered to induce a retailer to stock up on a

product.
2. Dealer loader: An incentive given to induce a retailer to purchase and display a
product.
3. Trade contest: A contest to reward retailers that sell the most product.
4. Point-of-purchase displays: Used to create the urge of "impulse" buying and selling
your product on the spot.
5. Training programs: dealer employees are trained in selling the product.
6. Push money: also known as "spiffs". An extra commission paid to retail employees to
push products.
7. Trade discounts (also called functional discounts): These are payments to distribution
channel members for performing some function.
SWOT ANALYSIS

STRENGH
1. Helps maintain the natural whiteness of the teeth
2. Provides relief from the pain of sensitive teeth
3. Proven protection from sensitivity with regular use
4. Has a pleasant taste
5. Effective advertising showing product utility
WEAKNESS 1. Higher pricing of the product, targets only the premium segment who can
spend more on oral hygiene
2.No variants offered in the toothpaste in terms of flavors or use
3. Only 2 sizes available – 40g and 80g
OPPORTUNIT 1. Leverage on Approval by Indian Dental Association
Y 2. Capturing niche market segment of sensitive teeth in the too the toothpaste
industry
3. This scientifically advanced toothpaste uses the break-through Pro-Argin
technology
THREATS 1.High pricing can limit the market growth potential for the product
2.More competitors coming up with offerings for Sensitive teeth in
IndianMarket
3. Tie-up with dental clinics
 RESEARCH METHODOLOGY

RESEARCH DESIGN:

 A research design is an arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the
research purpose with economy ion procedure.
 A sample design is a definite plan for obtaining a sample from a given
population.
 For carrying out my research work I would follow Exploratory cum
Descriptive research design.

Data Collection:-

Data is the raw material used by the researcher to convert into information pertaining to the
problem at hand. There are various method to collect data. As far as concern about the project
sales promotion activity carried out by Colgate sensitive data is collection through secondary
data.

Secondary Data: -

The Secondary Data was collected with the help of

 Company’s website
 Organizational records
 Company reports
 Newspaper.
 DATA ANALYSIS

What are the percentage of sale of Colgate sensitive, Colgate sensitive whitening
and Colgate sensitive pro-relief?

As per the serve found that in India there are huge number of people buy Colgate
because Colgate has created the brand image in customer mind through their
promotional activity

24% of people buy Colgate sensitive because this toothpaste gives them an instant
relief from the problem of sensitive teeth.

48% of people buy Colgate sensitive pro-relief because this toothpaste gives long
lasting relief to enamel.

28% of people buy Colgate sensitive whitening because this toothpaste help them to
remove stains & restore natural whiteness teeth.
 Colgate product

28%
48%
Colgate sensitive Whitening
Colgate sensitive
24% Colgate sensitive pro-relief

What are the company market share of Colgate sensitive in FMCG sector India ?
 Percentage of market share

Other
HUL 10%
14%

Colgate
Dabur 55%
21%

Two years after first stepping into the sensitivity toothpaste market with the launch of
Sensodyne, GlaxoSmithKline (GSK) Consumer Healthcare has overtaken archival Colgate
Sensitive, with a share of 26 per cent to the latter's 25 per cent. The figures are for the month
of March, according to market research agency Nielsen.
It shows that the market share of Colgate is on the top most position in India with 55%, after
that Colgate debar with 21%, HUL with 14% and other comes in 10% market share.

As per the serve what factor consider by customer while buying toothpaste and
toothbrush?
  Quality
 Packaging
 Price
 Brand awareness

serve by prof. neilson

6
5
4
3
serve by prof. neilson
2
1
0
Quality price packaging Brand
awareness

As per serve by prof. Neilson described in their customer preference while buying Colgate
toothpaste and toothbrush. They explain the most of the buyer check the price 1st while
buying product after that quality packaging and brand awareness comes.

Which are the toughest competitor to Colgate product?

 HUL
  DABAR INDIA
 PEPSODENT
 CLOSE-UP
 SENSODYNE
 ANCHOR
 AQUAFRESH
 BABOOL
 MESWAK
 VICCO BAJRADANTI

3.5

2.5
Demand
2
price
1.5

0.5

0
HUL PEPSODENT CLOSE_UP DABAR INDIA

These are the toughest competitor in India for Colgate. the market share of each company is
on the level to gain more growth in toothpaste industry. the demand and the price for product
create the market.
 FINDINGS

From the above study it can be observed that various promotional activities carried out by
Colgate, but however it is not sufficient for completing their objectives. Customer aware of
the brand but still unaware its products.

1. In Dentist prescription Colgate Sensitive products are very less in number as

compared to their competitors.

2. As stated, the customers of Colgate’s products generally do not switch over to any
other company’s product.

3. Colgate merely concentrating on selective distribution strategy to promote Colgate

sensitive products.

4. Chemists who are nearby Dentist keep Colgate Sensitive stock in large quantity.

5. Colgate Sensitive Toothpaste is not only medicated toothpaste it also for general
purpose so its differ from other brand.

6. Colgate Sensitive toothbrush is one of the ultra-soft toothbrush available in market.

7. Colgate launches the no. of toothpaste in market as that all toothpaste has their
specific use

8. The price of the Colgate sensitive is very high.

 SUGGESTIONS

1. Sales Promotion activities should be increased and it’s more efficient.

2. Company may arrange more detailing campaign and advertisement about product
awareness.
3. Launching different promotional strategy for Colgate sensitive products regularly
shall improve market share.
4. Availability of Colgate Sensitive toothpaste in variety of flavours is recommended to
attract more customers.
Company should arrange more free dental check-up campaign which is ultimately useful for
sensitive products awareness.
 CONCLUSION

1. Colgate is a leading company in FMCG of Indian and global market.

2. Colgate Sensitive products are different than competitor’s product.
3. Colgate Sensitive products are limited to few customers in India majorly who are
suffering from Dental problem.
4. Colgate Sensitive product’s premium pricing policy is welcomed by Indian
customers.
5. Colgate’s entry in Indian market with different promotional strategy helps them to
compete in Indian market to promote sensitive product effectively.
6. Role of detailing about Colgate sensitive products is very important as it helps to
retailer as well as costumer to aware about the product and its way of application.
7. Colgate company focusing on its distribution channel which resulting that Colgate
company having highest share in oral care.
 BIBLIOGRAPHY

Published Books:

1. C.R Kothari, Research Methodology, 2nd edition 1990, Wishwa publications.

2. Philip Kotler’s Marketing Management 13th edition.

3. Saxena’s Marketing Management.

4. Company manual of Colgate Palmolive (I) Pvt.Ltd.

Websites:

www.colgatepalmolive.com

WWW.Businessworld.com

"http://en.wikipedia.org/wiki/Test_market"

American Marketing Association: www.marketingpower.com