Question

In formulating a value strategy for its new brand of toothpaste, Colgate is considering listing all the benefits of the product—cavity protection, gum disease prevention, fresh breath, white teeth, variety of flavors, and so on. Management reasoned that citing all the product’s benefits would strengthen its positioning and win over its competitors. Critique this all-benefits approach.

Answer 1

Mentioning all the benfits of the product on it can be very beneficial. It helps the company in gaining a competitve advantage over its competetiors. Mentioning all the benefits of the toothpaste colgate which are - cavity protection, gum disease prevention, fresh breath , white teeth, variet of flavours etc. can attract the consumer to buy the product. For example, A guy named John was mocked by his friend for having yellow teeth. John plans to change his toothpaste and goes to a store to buy a new toothpaste. He compares 2 toothpaste and decides to buy the one which has all these factors mentioned on the packaging. Seeing the ''white teeth factor'' caught his attention and he purchased it with the expectation of his problem getting solved. This is an example of how all benefits approach helps in gaining a competetive advantages.

A customer who finds another toothpaste as good as colgate in terms of quality and of the same price will still continue to buy colgate. This happens due to human tendency. Mentioning all the advantages of the product on it attracts the buyers and provides the company a competetive advantage eventually. It also leads to increase in demand of product. Moreover, listing all the benefits will increase sales as the consumers be notified about the benefits and will know if the product will fullfil their requirements.