Research on the marketing plan of Colgate-Palmolive

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There are many brands and types of care products in Malaysia. Colgate-Palmolive is one of them. Colgate-Palmolive nearly 200 operating companies manufacture and market thousands of branded health care products in hundred of categories. In this final project, I am going to do a research on the marketing plan of Colgate-Palmolive. These marketing plans are the importance way to make them successful to obtain their goals. I will mention about their Marketing plan in consumer segment especially in some famous products in Malaysia.

At the last of this report, there will be a conclusion, an opinion and some of my own suggestion for this company in their way of running their marketing objectives. The company began in 1806 when William Colgate, an English immigrant, set up a starch, soap and candle business on Dutch Street in New York City. Francis Smith was made a partner the following year and the firm name became Smith and Colgate. William Colgate brought out his partner in 1813 and took his brother. Bowles Colgate, into partnership with him. The firm name was then changed to William Colgate and Company.

In 1817, the first Colgate advertisement – for ” Soap, Mould & Dipt Candles” – appeared in a New York newspaper. A few years later, William Colgate and his brother-in-law, John Gilbert, built a starch factory in an area that today is Jessey City, NJ. The Dutch Street factory was moved there in 1847, through the business office remained on Dutch Street. Principal products at that time were Windsor Toilet Soaps and Pearl Starch. And more than 50 years in the Strach, soap and candle business, William Colgate died in 1857. The company then became known as Colgate & Company.

1860s – 1910s In 1866, the company introduced perfumed soap and began the manufacture of perfumes and essences. Six years later, Cashmere Bouquet, the first milled perfumed toilet soap, was registered as a trademark. Surprisingly, it wasn’t until 1873 – almost 70 years after the company’s founding – that Colgate & Company produced its first toothpaste, an aromatic dental cream sold in jars. Then, in 1896, the company made toothpaste much more convenient to use by introducing the first collapsible toothpaste tube, one similar to those in use today.

Meanwhile in Milwaukee, the B. J. Johnson Soap Company founded in 1864, was about to change its destiny. In 1898, the company introduced Palmolive Soap, a product that was so successful it prompted B. J. Johnson to change its name to the Palmolive Company in 1916. By its 100th anniversary, Colgate & Company was manufacturing dental care products, laundry soaps, 160 different kinds of toilet soap and 625 varieties of perfume. In 1906, the company launched a plant expansion at its Jersey City site and a new S. Story factory opened on the site in Jessey City.

A few years later in 1910, the entire Colgate organization left the original buildings on Dutch and John Streets and moved to Jessey City. It was on the roof of one of Colgate’s factory buildings there that the first Colgate Clock, its face measuring 37112 feet in diameter and covering an area of 1,104 square feet, was installed in 1908. The original Colgate Clock, which became a fixture on the New Jersey waterfront, was moved to a new Colgate factory in Jeffersonville, Indiana in 1924 and was replaced with a new, bigger time place, which today is still one of the world’s largest single – faced clocks.

The new octagon – shaped clock measured 1,963. 5 square feet with a 25 – foot, 10 inches long minute hand and a 20 – foot long hour hand. 1920s – 1930s Meanwhile, The Palmolive Company was expanding too. In 1926, it merged with the soap manufacturers Peet Brothers in Kansas City to form Palmolive – Peet Company. Two years later, the company merged with Colgate & Company and the new entity was known as the Colgate Palmolive – Peet Company. A consumer product powerhouse, Colgate – Palmolive – Peet boasted sales of $100 million by 1939.

During these years, Colgate products were appearing on store shelves around the world. One of the first true multi – nationals, the company began its oversea expansion with formation of a French Company in 1920. During the early 1920s the company opened operations in Australia, the United Kingdom, Italy, Germany and Mexico. The late 20s saw the creation of subsidiaries in the Philippines, Brazil and Argentina. By the end of the decode, Colgate had entered Africa with the formation of a South African Company.

In 1937, the company opened its doors in India and during the next decade, opened operations in most of the nations in South America. 1940s – 1980s In 1947, the company introduced two notable new brands that would became household names – Fab Detergent and Ajax Cleanser. All this growth demanded more space, so in 1956, three years after changing its corporate name, the Colgate – Palmolive Company moved its domestic and international headquarters to an office building at 300 Park Avenue in New York City. Innovation continued with the 1966 introduction of Palmolive dishwashing liquid.

By 1967, the company’s sales passed the $1 billion mark. The following year oral health was again changed forever when Colgate toothpaste was reformulated with MFP Fluoride ( Monofluorophosphate ), termed the best possible protection against tooth decay. That same year, the company introduced Ultra Brite, positioned as a cosmetic toothpaste. In 1976, the company expanded its core business to include pet nutrition with the acquisition of Hill’s Pet Products, a company specializing in dietary management for companion pets.

New products continued to flourish at Colgate with the notable introductions of Irish Spring deodorant soap in 1972, Colgate Winter fresh Gel toothpaste in 1981 and Palmolive automatic dishwashing liquid in 1986. In 1987, Colgate acquired the liquid soap businesses from the Minnetonka Corporation and formed Soft-soap Enterprise to market these and other specialty consumer products. That same year, Colgate announced a major new redevelopment project on the waterfront in New Jersey, office space, housing, parts and a hotel would be built on the original site once occupied by Colgate’s Jersey City plant.

1990s In the 1990s, acquisitions continued to bring strong brands into the Colgate family. In 1990 the company acquired Javex? bleach in Canada, making Colgate-Palmolive the $1 marketer of bleach outside the United States. IN 1991 Colgate acquired Murphy? Oil Soap, the leading wood cleaner in the United States. The following year, Colgate made an acquisition that would strengthen its position as one of the world’s leading personal care companies. In 1992, The Mennen Company, maker of Speed Stick?

deodorants / anti – per spirants, became a part of Colgate – Palmolive. Around the world, Colgate was expanding as well. In 1992, the company extended its global business reach to include Eastern Europe and China. The following year it acquired the liquid soap brands of S. C. Johnson. In Europe and the South Pacific, making Colgate – Palmolive the global leader in the hand soap category. In 1994, work was completed on one of the most modern oral care facilities in the Colgate world, built in Huangpu, China.

Foreven with all the business Colgate had in the personal care, household surface care and fabric care categories, Colgate is still the name most of the world associates with Oral care. That global leadership position became even stronger with the 1995 acquisition of the Kolynos Oral Care Business in Latin America.

Manufacturing capacities increased in 1996 with the opening of a state of the act factory and warehouse in Thailand and a significant Expansion of its liquid products facility in Cambridge, Ohio. In 1998, Colgate decisively became the toothpaste market leader in the U.S. , thanks to the tremendous success of Colgate Total toothpaste, introduced in the U. S. in December 1997. Colgate Total has a revolutionary, highly effective patented formula that works in the mouth for 12 hours flighting gingivitis, tarter, cavities, plaque and bad breath. First introduced internationally in 1992, Colgate Total is sold in more than 100 countries with independent dental associations in 30 countries granting it seals of acceptance.

In 1997, Colgate Total ? became the first toothpaste ever approved by the U. S.Food and Drug Administration and accepted by the America Dental Association for protection against cavities, gingivitis and plaque. Today, Colgate – Palmolive is a $ 9 billion global consumer products company, tightly focused on Oral Care, Personal Care, Household Surface Care, Fabric Care and Pet Nutrition.

Colgate sells its products in over 200 countries and territories around the world under such internationally recognized brand names as Colgate, Palmolive, Mennen, Soft-soap, Protex, Sorriso, Kolynos, Ajax, Axion, Soupline, Suavitel and Fab as well as Hill’s Science Diet and Hill’s Precription Diet pet foods.

2. 2 Four main categories of products Descriptions In General Colgate-Palmolive had Segment their products into 5 main categories, which is Oral care product, Personal care product, Household care product, Fabric care Product and Pet nutrition product. But in this project since we are analyzing the Colgate-Palmolive product in Malaysia market, and we had discovered that in Malaysia, Colgate-Palmolive Product are base on four main category; Oral care product, Personal care product, Household care product and Fabric care Product.

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