Cottle Taylor

MKTG Assignment – 2

Cottle Taylor

Q1) What factors determine demand for toothbrushes? How can you estimate demand for toothbrushes? How can demand be increased?

Target Market: India

Opportunities in the market:

* Population as of 2009 - 1.16 billion ; median age of 25 and growth rate of 1.4%

* Projected Population in 2010 = 1.18 billion

* Roughly half the population still not concerned with oral care problems ; hence a strategy that creates awareness can increase sales

* Economic prosperity as indicated by the GDP in 2009 was 146 times greater than it was in 1990.

* Cottle-Taylor already accounted for 46% of total toothbrush units sold in India in 2009. Cottle’s share of total oral care market volume in 2009 was 38%.

Challenges of the market:

* Hindi was the primary language, English the second language and there were 22 other official languages - Advertising needs to incorporate this diversity for maximum reach

* Many still used neem twig, tobacco and ash as substitutes; and did not relate gum problems to improper oral care - they considered it a disease or genetic disorder.

* GDP increase is inconsistent and 30% of the increase is contributed by just the 3 states of Maharashtra, Uttar Pradesh and Andhra Pradesh.

* Three-Quarters of Indians lived on less than $2 a day.

* There was one dentist for every 10000 people, and mainly clustered in urban areas.

Factors that determine demand for toothbrushes:

A. Awareness about oral hygiene

Why?

* As of 2009, India has a population of 1.16 billion, with a median age of 25 and a growth rate of 1.4%. If sufficient awareness about oral hygiene is created, it is a huge emerging market that can be tapped, to increase the overall sales revenue for Cottle-Taylor.

* It is found that roughly 50% of the population is still not concerned with oral care problems. In rural India, many Indians did not associate dental problems like cavities or bleeding gums...