Project of Sales force and Channel management

On
“Channel and Distribution Structure of Colgate-Palmolive”

By
UTKARSH
19020341113
About the company
Colgate Palmolive is a well-reputed company with a large series of its well-known products
having different varieties in terms of flavor. Colgate Palmolive is the world leader in oral care
industry. They cater the need of different segments by offering innovative products. The main
objectives of this study is to analyses the existing channel strategies, physical distribution, sales
force design and marketing strategies of Colgate Palmolive in India and recommend the
improvement if any on these areas. Furthermore, the communication strategies are discussed in
detail. The communication strategy includes the study of the message strategy, creative
strategy, the positioning of various brands of Colgate as well as the use of the various
communication channels
Channel structure
It has 200-year history which reflects the strength and innovation that our people have used to
constantly transform our Company and identify new opportunities. With global brands sold in
over 200 countries and territories, Colgate, Speed Stick, Lady Speed Stick, Palmolive, Ajax,
Soft-soap and Hill’s pet Nutrition are among the world’s most recognizable household names,
trusted and relied upon by consumers everywhere. The oral care distribution network is
spread across 90 cities in India. The company products are available across 4.3 mn retail
outlets. Flagship brand- Colgate dental cream is the largest distributor product in the
toothpaste market available in 4.1 mn store.
Distribution channel of Colgate Palmolive:
Colgate uses different marketing channel strategies for its different toothpaste product. We have
analyzed some of the marketing channel strategies used by Colgate Palmolive:
Channel of distribution:
A set of interdependent organizations that help make a product or service available for use or
consumption by the consumer or business user. Colgate Palmolive uses all the available
intermediary’s wholesalers, retailers, and stockiest. Distribution strategy for the Colgate Total is
Indirect. It is through Dentist, plastic surgeon, drug stores, grocery stores, large retail stores and
department stores.
Channel level
A layers of intermediaries that perform some work in bringing the product and its ownership
closer to the final buyer. Colgate Palmolive uses level 2 channel level containing wholesalers
and retailers.
Channel conflict
Disagreement among marketing channel members is generated when one channel members
action prevents another channel from achieving its goal. Colgate Palmolive fallow the
traditionally distribution channel not involving overlapping of intermediaries so there is very less
amount of channel conflict.
Intensity of distribution
As the product is daily useable commodity so the company is using intensive distribution
Multichannel distribution system
As the time changes the companies changed from single channel distribution system to the
multichannel distribution system, often called as hybrid marketing channels. Multichannel
marketing occurs when a firm set up two or more marketing channels. With each new channel,
the company can expand its sales and market coverage. But those are hard to control, and may
create conflicts. Colgate Palmolive uses the Multichannel distribution.
Recommendation

 Dentists plays a big role in the distribution of oral care products. Colgate Palmolive
should more focus on distribution of toothpaste in dentist’s offices.

 Colgate Palmolive should focus more strongly on other retail locations, even it adapted
intensive distribution there is still scope of other retail location where small unknown
brand capture the market share.

 Colgate could direct market the toothpaste by sending special coupons in the mail to
consumers, or by offering rebates to consumers who purchase other Colgate-Palmolive
oral care products.
  The toothpaste could be distributed through plastic surgeons because many people who
visit a plastic surgeon are concerned about their appearance, and would likely

Distribution Channel
The most important part of marketing is how a product will arrive from the seller to the buyer.
Many products go through a channel of distribution, which involves manufacturers, wholesalers,
retailers and consumers. The distribution strategy proposed is through dentists, plastic
surgeons, drug store, grocery store, large retail stores and department stores. Therefore,
Colgate total channel system is indirect because its consumers are spread through many
geographic areas and often prefer to shop for certain products at specific places.
Beside convenience stores and large retail stores, many food stores play a key role in the
distribution of oral health care products. ‘mass merchandisers gained shares due to increase in
store promotion support’, because of the increase in the demand for oral care products, stores
began shelving more oral care products. This is the big advantage for Colgate because there
would be more room in the stores to market the Colgate products.