LS0959: The Tanzania Toothpaste market has strong growth and reasonable volume. The market is dominated by Colgate which has more than 65% market share and rest 35% percent are scattered within 6-7 local players. Colgate is the market leader in prices while all the other local players are about 20-25% cheaper in prices. The top three parameters of buy of Tanzanian consumers are Health, White Teeth and Freshness in that order. While Colgate positions itself on a health platform, other local players are positioned on other 2. One of the biggest reason for lower market share is poor print quality on the toothpaste tubes whereas Colgate gets its products from Europe where better quality printing facility on tubes is available. You are an Indian contract manufacturer for Unilever in India and are now eyeing the Tanzania market where there is no clear number 2. You have set up a Contract manufacturing and Distribution partnership with CandC which is a local business conglomerate who apart from other businesses are also into FMCG but not into Toothpaste. You have decided to export quality printed toothpaste tubes from here for the purpose to overcome the problem faced by local manufacturers

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Question: The Tanzania Toothpaste market has strong growth and reasonable volume. The market is dominated by Colgate which has more than 65% market share and rest 35% percent are scattered within 6-7 local players. Colgate is the market leader in prices while all the other local players are about 20-25% cheaper in prices. The top three parameters of buy of Tanzanian consumers are Health, White Teeth and Freshness in that order. While Colgate positions itself on a health platform, other local players are positioned on other 2. One of the biggest reason for lower market share is poor print quality on the toothpaste tubes whereas Colgate gets its products from Europe where better quality printing facility on tubes is available. You are an Indian contract manufacturer for Unilever in India and are now eyeing the Tanzania market where there is no clear number 2. You have set up a Contract manufacturing and Distribution partnership with CandC which is a local business conglomerate who apart from other businesses are also into FMCG but not into Toothpaste. You have decided to export quality printed toothpaste tubes from here for the purpose to overcome the problem faced by local manufacturers.

a. Suggest what would be your pricing strategy for the new brand of toothpaste that you would introduce in Tanzania market based on the information.

b. Suggest the possible brand positioning for your Toothpaste in the Tanzania Market."


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