Toothpaste industry has grown immensely in the Indian scenario. There is a lot of competition in the industry mainly between two major players Colgate and HLL .The companies are coming up with new schemes as well as products to lure the customers. The usage of toothpaste has grown because of the lifestyle and the way the individuals are living i.e. more awareness about health.  Colgate is going ahead with almost 60% of the market share in the industry.
The title of the project was “study on consumer buying behavior in the toothpaste industry”.


The objectives of the study were to “Study the consumer buying habit” and “to study the toothpaste brands to identify important parameters for customer”.
The questionnaire methodology was adopted and the consumers and the sales officer in companies were contacted in order to have their view on toothpaste. The area of the study was restricted to Gurgaon 100 respondents were contacted .The sales managers in two companies were contacted and their views were known in terms of how they were going in the toothpaste segment.
It was found that many firms are in the toothpaste segment. So it is a highly competitive segment. It was found that focus as well as cost leadership was being followed by the firms when they were going in the toothpaste segment.
The firms are more and more focusing on the promotion and they are spending a lot of money on this front. Customers are also becoming demanding now-a-days and it is seen that many attributes are important for the success of a particular brand. The firms are going in for new launches.
It is found that the discounts are important factor. Another important factor is brand image or brand name.
The project provided an opportunity to know about a competitive segment and how consumers behave in that segment. It also provided an insight into the toothpaste industry and the attitude and perception of the consumer in that segment.


Objective of the Study:

  • To study the Consumer Buying habits in Toothpastes.
  • To study the various factor and identify important parameters for customer acceptance.
  • To plot popular Toothpastes Brands on the perceptual maps.

Scope of the Study:
(1) Identification of gaps in positioning stances.
(2) Identification of consumer perceptions and attitudes regarding Oral hygiene.

Conclusions:
The toothpaste industry is going to be more competitive in the near future. The profit margin is going down over the year and going to be continuing for the future also. So the main mantra for the companies to be successful is to satisfy the consumers and develop brand image and brand loyalty amongst them.
So it has become very necessary for the consumers to understand the Indian consumers very well. So in the future the companies who come up with new products at competitive prices and with good quality are going to the successful one. Promotional activities are also going to play an important role that should to be for both retailers and consumers.
So we are going to see a market which is going to heat up in the near future where mainly two major players Colgate and HLL will fight the war.

Suggestions:

  • The companies should give more emphasis on advertising and sales promotion as the competition is becoming tougher and tougher. So they need to make some brand image amongst the consumers. 
  • The customers are becoming king as they have a whole lot of choices. So the companies should try to be cost effective and pass on the saved amount to the customer.
  • Retailers are still the place to buy toothpaste. So the companies should focus on retailers also who is also a customer for their products.
  • The companies should try to launch new products after through research of the consumers as they are becoming more dynamic day by day.
Limitations:
  • The responses can be biased, as some of the respondents may not have revealed the true pictures.
  • The company officials also too tend to give biased answers, as they always want to give a rosy picture of their company.
  • The managers were reluctant to give information about the product.
  • The sample was restricted to the Gurgaon region only.