Colgate Maxfresh Rollout

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1. Compare the China vs. Mexico launches of CMF. Evaluate Colgate's strategy in each country on a set of common criteria. Where was the launch more effective? When launching CMF in China, Colgate took advantage of Asia’s large freshness segment. The team in China handled the communications effectively by tailoring the names of the products to fit the consumer market i.e. names that the Chinese consumers could relate to and build brand affiliation. The team also worked effectively on positioning the brand according to the tastes of youth in China to encourage advocacy. Research and Development played a huge role in the success of the launch in China as many flavors were researched to understand what exactly Chinese consumers were looking for. The team in Mexico first executed a test to assess the consumers in the market. Even though the consumers’ expectations were clear, the team did not extend the benefits of the product to tailor the Mexican consumers’ needs i.e. adding lack of cavity, and whitening benefits to the freshness factor. The advertising used in Mexico was “snowsurfer” which the Mexicans can’t associate with as snow surfing is not common in the region. The team in Mexico reacted to price sensitivity effectively (13-14 pesos) to create a growing purchase pattern and this enabled them to counterfeit any competition from Crest or other local brands. In China, 28% of consumers’ reasons for purchasing toothpaste were based on the freshness of the product. After a massive investment in R&D, advertising and promotion, Chinese consumers responded above norms in context of purchase intent, value for money, believability, uniqueness and importance of main message. Comparing the trends of year 1 and 2 of sales, COGS, marketing expenses, and CM in China; prediction of year 3 could be increase in CM to 68% making the adaptation in China a success. In Mexico,

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