Church and Dwight
Essay by nikky • April 8, 2012 • Essay • 1,665 Words (7 Pages) • 2,567 Views
When we think of baking soda we think of Arm & Hammer in the yellow box. Church & Dwight have been around over 150 years and for many of those years relying solely on sales of baking soda. It wasn't until 1987 when they started introducing other products. The first to be introduced was the Arm & Hammer carpet deodorizer in 1981. It appears that Church & Dwight started out with the no change strategy. Arm & Hammer has one the nations most recognized logos and is among the 15 most trusted trademarks. Just with those two accomplishments Arm and Hammer has and will continue to have endless opportunities.
After reviewing the company history and current status I came up with the following SWOT analysis. Church and Dwight have many strengths, one of Church & Dwight's main strengths is brand awareness. When you think baking soda you automatically think Arm & Hammer, in the yellow box. Estimates show that Arm & Hammer products are found in 95% of all households. Church & Dwight produce a product that has many uses, cleaning, baking, deodorizing and many other uses. Arm & Hammer is environmentally safe and does not harm the environment. It is alternative to the products that contain harsh chemicals used that can possibly harm you.
Along with all the qualities of the product itself, Robert A Davies III, was and still is part of the continued success of Church & Dwight. Davies added to the strengths of Church & Dwight by acquiring the laundry brand XTRA and NICE' n FLUFFY from USA detergents and the purchase of ARRID Antiperspirant and the Lambert Kay Pet care business. Then the joint venture to acquire TROJAN Condoms, Nair Depilatories and First Response home pregnancy and ovulation kits. All of these brand name products are added strength for the expansion of Church & Dwight.
One major weakness for Church & Dwight is poor marketing and a lack of public awareness of all the uses of baking soda. I was amazed to find on the Arm & Hammer website all the uses of baking soda. Church & Dwight also lacks in how they package their products, they do not use eye catching packaging. When I personally shop for toothpaste would not grab the Arm & Hammer brand; it does not stand out from the others. All the other toothpaste brands also have baking soda included in their ingredients. Church & Dwight needs to change some of the packaging to be more appealing to they eyes of the consumers. I think a better advertising campaign for all their products. I can not think of any commercials that I have seen for the baking soda, or even the cleaning and personal products. The only products that come to mind that they advertise are the First Response. Arm and Hammer could even come up with an advertising campaign on all jobs you can use baking soda for
There are many opportunities for Church and Dwight to expand on their product lines. They offer a product that has so many uses; they can use this as their advantage to develop new products with the trusted Arm and Hammer name. Church & Dwight have not taped into the International market, unlike some of their competition.
One of the biggest threats that Church & Dwight will face is competition. Unlike other companies in the consumer product industry, Church & Dwight have not gone global and tried to market its products overseas which can give the competition an advantage. Buyers have a great deal of choices when it comes to personal care and cleaning products. One of Church & Dwight's biggest challenges will be getting consumers to choose their product and maintain market share.
The threat of substitution is high; people can find other alternatives to baking soda or the Arm & Hammer brands. They will buy the generic brand of baking soda if it is cheaper. They might like the different scents of other laundry detergents. There are so many different products for consumers to choose from and the competition will continue to be flooded with new products to gain the attention of consumers.
Church & Dwight could turn their opportunities into competitive advantages. Church & Dwight need to investigate expanding their business globally. Their competition has been successful in making their way globally. By expanding globally should increase revenues, gain market share and build bargaining power.
Church & Dwight already have a trusted brand name I would consider an opportunity. They need to develop new products to keep the consumers interested in buying their products. There are so many uses for baking soda they could use that opportunity and develop different packaging for different uses. Many uses listed on the Arm & Hammer website recommend that you make a paste and they tell you how much baking soda and how much water. Church & Dwight could prepare this mixture for consumers and package it in different ways. Consumers now days want fast and easy, we don't have time to sit and make our own products. They could also use the fact they have been used for baking for so many years, and possible start a line of baking products. They have endless opportunities to develop new products using one of
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