DM 672 BUSINESS STRATEGY | 02.22.15 Alaa Balkhy | Ann Marie Puente | Reshma Ramrattan | Ali Akbar Sahiwala
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DM 672 BUSINESS STRATEGY | 02.22.15
Alaa Balkhy | Ann Marie Puente | Reshma Ramrattan | Ali Akbar Sahiwala
Established in 1806 | Operates across 200 countries
Oral Care
COLGATE-PALMOLIVE
System of Care
46% 21% 20%Personal Care Home Care
13%Pet Care
Global Growth and Efficiency Program“2012 Restructuring Program”
Expand commercial hubs
Optimize global supply chain and facilities
Extend shared business services
Streamline global functions
How can Softsoap brand achieve a leadership positioning in the
premium liquid hand soap (LHS) market within the next five years?
In 2014, LHS Category in U.S. worth $702.9 million
Since 2009, LHS Category in U.S. grew 15%
Softsoap commands 30.5% market share
Since 2009, Softsoap market share declined 6.6%
Meta Trends
Better quality products E-commerce
Rise of Entrepreneurship
Safe and better quality products
DHV
Work-Life Balance
Core Competencies
● Caring
● ContinuousImprovement
● Global Teamwork
+
=
Partnerships with Suppliers
System of Care provider
Strong Distribution Capabilities
Supply Mgmt
Product Design
Mfg + Operations
Sales + Distribution
Customer Service
B2B Value Chain
Brand Recognition for Family Care +
=
Broad Product &Brand Portfolio
System of Care provider
B2C Value Chain
Supply Mgmt
Product Design
Mfg + Operations
Sales + Distribution
Customer Service
Colgate-Palmolive’sStrategic Competitive Advantage
Establishing a “System of Care”
Long standing history for family care
Strong recession resistant portfolio
Ability to learn from best practices internally
Competitor Analysis
Industry RivalryHighly Competitive and
Fragmented Market
Power of Suppliers
Distribution Chain Strength
Power of Customers
Greater Product Transparency
Threat of Substitutes
Easy to Switch - Low Costs
Threat of New Entrants
Technology Lowers Barriers to Entry
Opportunity Space
Premium Competitor Value Chain Analysis
Method
Softsoap - B2C
Supply Mgmt
Product Design
Mfg + Operations
Sales + Distribution
Customer Service
Supply Mgmt
Product Design
Mfg + Operations
Sales + Distribution
Customer Service
Marketing
Strategic Recommendation Strategic Recommendation
Can Softsoap compete in the premium Liquid Hand Soap market?
Overall Low-cost Strategy
Private Label
Focused Differentiation
Lysol
Best Cost/ Best Value Mix
Softsoap
Market Target
Type of Competitive Advantage
Lower Cost Differentiation
Broad
Narrow
Broad Differentiation
Method
Focused Low-cost Strategy
Softening every moment
Brand Ideal/Purpose
Enriching people’s lives with moments of joy and confidence.
PERSONA
Delicate Tailor-made ScentsPurity RejuvenationAffordable Luxury Everyday GetawayFresh Smooth and Nourished
BENEFITS
Comfort Soft AppealOlfactory bliss Trust
OWNABLE ASSETS
Clean you can Trust™ 35-year Legacy
Aspiration & Target
Catered to Middle-Class American moms
Success Drivers, Capabilities & Systems
Leverage Oral Care Best Practices
Bundle E-Commerce Offerings
Success DriversDelivering the Value of “System of Care”
Capabilitesxyz
TBLD+C SlidePeople
Serve Communities
ProfitRegain Market Share
CultureTailor scents to Multi-Ethnicities
PlanetUse Safe Ingredients
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