Building Brand Architecture Report: Colgate vs. Pepsodent

Introduction

This report builds and examines the brand architecture of two brands – Colgate and Pepsodent - in the personal toothpaste market. The two brands are chosen as they compete in very similar markets and yet have very different brand personalities. Colgate and Pepsodent are among the most valuable brands in the toothpaste market, and this report will bring out the stark differences in the brand architectures of these two brands. The goal is to observe how consumers can have vastly different perceptions of and relationships with very similar products owing to the differences in brand architectures.

Brand Architecture

The first step is to develop brand pyramids for both brands.

Ø Brand Architecture for Colgate

Ø Brand Architecture for Pepsodent

Brand comparison

As we can see both brands compete in very similar markets. Also, both brands put a high value on Price, and product attributes. However, the differences in the brand personalities appeal to very different target audiences in the same market. Pepsodent mainly targets the urban segment who do not mind spending more for a quality product. The brand has positioned some of its daily use products a little above that of Colgate. The additional price is commanded for its Germ shield active ingredients.

Pepsodent targets the top end of the market, and its customers do not usually price sensitive. There are a few options to choose from, but brand loyalty is very high.

Due to differences in pricing, Pepsodent’s products are high margin products. On the other hand, Colgate relies more on sales volume. Thus both brands serve the company’s goal of revenue share through two different drivers.

Brand Value

Interbrand ranked Colgate as the most valuable brand in the toothpaste market in its 2019 brand rankings with a brand value of $ 18,824M, with a percentage of growth of 2% over the last financial year. Brandz.com rated Colgate as the top brand in toothpaste. These rankings resemble the Brand asset valuator in that they do not provide a monetary value, and rather rate brands on various other parameters such as innovation, customer reviews, etc. Pepsodent’s brand value could not be determined. However, Colgate can be arguably treated as a more valuable brand. Over the years, Pepsodent under Unilever has struggled to maintain brand value. While Colgate continues to grow its brand loyalty.

Sources Consulted

1. Journals.sagepub.com

2. Ukessays.com/essays/marketing

3. www.bartleby.com

4. Interbrand.com/best-brand

5. Wikipedia