colgate- john hoffmeyer’s brand loyalty measurement model

Brand ManagementJohn Hoffmeyer’s Brand Loyalty Measurement

Model

-Submitted byShagun Lidhoo

Amreen Shakeel SheikhStuti K MurthyTanya Godinho

Trishna DattaTwinkle Bhatia

• Many people in India still clean their teeth with traditional products like Neem twigs, Salt, Ash,

Tobacco or other herbal ingredients.

• Average all India per capita consumption of toothpaste is a dismal 82gms. The dentist to

population ratio is a critically low 1:35000 in the country.

• This results in low oral hygiene consciousness and widespread dental diseases. Less than 15%

of the Indian toothpaste users brush twice a day.

• Colgate and Hindustan Lever together account for over 85% of the organized toothpaste

market. Red and Black toothpowder still accounts for 35%of the toothpowder market.

Indian Oral Care Industry

Toothpaste Segment

• The toothpaste market is characterized by the presence of few large multinational companies

like Colgate Palmolive India Ltd, Hindustan Lever Ltd, Procter & Gamble, SmithKline Beecham.

• Consumer health care and a handful of Indian companies such as Dabur, Anchor Health and

Beauty Products, Vicco Laboratories etc.

• Traditionally, Colgate and HUL were the main players in the toothpaste market of white and gel

form. Then Procter &Gamble joined the market.

• Domestic Indian companies like Balsara and Vicco industries used to produce the ayurvedic

range of toothpaste along with their other ayurvedic products.

Sample Space: 100Demographic Variables No. of respondents

1) Age (years) a) 15-18 b)18-25 c) 25-30 d) above 30

12481624

2) Gender a) Male b) Female

4357

4) Occupation a) Student b) Professional a) House wife b) Business Man

5624812

How satisfied are you with our brand?

How important is the choice of the brand to you?

How attracted are you to a rival’s brand?

The Three Questions

0

5

10

15

20

25

30

35Brand Satisfaction

Committed loyal buyers

Un-committed regular buyers

Non-Users of brands

Un-committed buyers of rival brand

Committed loyal buyers of rival's brand

Brand Loyalty Measurement

Analysis

Active committed Loyals : 30

Potential Loyals: 26

Pseudo Loyals: 20

Reasons for switching

Customer switch

Pricing factors

loyalty incentives

competitor attractiveness

Sevice failure

Sl No. Consumer Strategy

1Committed loyal buyers of

Colgate

Provide recognition to the existing loyal

customers, in order to make them Brand

Advocates and Brand Champions.

2Un-committed regular

buyers of Colgate

Make them aware of the superior

differential advantage of the Brand

through advertising and promotional

events.

3Uncommitted regular

buyers of rivals

Do Market Research and recognize the

needs of the customers. Create awareness

about the superiority of the product and

why has it been a leading brand.

Suggestions to produce or retain Brand Loyalists

THANK YOU!