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