Colgate Palmolive Strategy

INTRODUCTION:
Colgate-Palmolive is a USA based company that started its operations in Pakistan in mid 1870s. It was first recognized as Colgate but it merged with Palmolive-Peet Company in 1828 band became Colgate- Palmolive. It worked under the license of Colgate Palmolive USA as a joint venture with Lakson group. Its registered head office is located in Karachi. Since then it has been successfully producing and marketing some renowned oral and personal care consumer products. They manufacture brands under four major product categories.
Over the years it has established itself to be in the top 25 successful companies of Pakistan. Brands like "Colgate" and "Palmolive" have made their grounds in Pakistan as household brands. They have also

Established companies have the major part of market share. Low rate of this threat exists in this industry.
3. Threat of Substitute Products:
Products that fulfill or satisfy same needs are threat to this company. For example soap bars can substitute detergents. Threat rate of this force is high.
4. Bargaining Power of Buyers:
Intermediaries that include retailers, distributors and consumers have a very important role to play in an organization’s success. Colgate Palmolive Pakistan sells its products to distributors such as Metro, Hyperstar and Macro. Also retailers play a vital role in making its products available in rural areas. Here this company needs to think about their profits because intermediaries have the bargaining power to buy mass products on low prices. Bargaining power of buyers therefore poses a high threat to its profitability.
5. Bargaining power of suppliers:
There are numbers of suppliers in this industry as the competition is increasing. For a supplier, it is important to maintain an active chain of supply, as there are many alternatives available for suppliers. Therefore, they don’t pose a high

Oral care
Colgate-Palmolive manufactures a top notch and leading oral care brand under the name of Colgate. Their oral care category is sub divided into 2 categories that are toothpastes and toothbrushes.
• Toothpastes: Colgate toothpaste is the most popular toothpaste in Pakistan.
• Toothbrushes: Colgate produces top quality toothbrushes that hold a huge market share in this category.
2. Personal care: They capture a fairly large share of the market through their personal care products. Which are:
• Palmolive soaps
• Hand wash
3. Fabric care:
Colgate-Palmolive has a diverse and popular fabric care category. They face tough competition from surf Excel of Proctor & Gamble and Ariel of Unilever. But they still own a fairly large amount of market share in this category.
(a) Laundry Detergents:
The brands which fall under this category are:
• Brite
• Express
• Bonus

(b) Fabric Conditioners:
Only one brand falls under this category which is Softlan.

4. Surface Care:
Colgate-Palmolive also manufactures a leading surface care brand i.e. Max. Its major competitor is Vim from Unilever, but it has still firmly maintained its position in the