Dentonic

Product Description:-
Dentonic toothpowder is known as the pioneer of dental care
products. It is very famous in Pakistan due to effective result. It is a German
formula which is formulated to stop bleeding from gums and making teeth
clean. It is best anti cavity toothpowder which shows quick and affective result.
Manufactured by: Ala Chemicals, Pakistan
Country of Origin: Product of Pakistan
Product Weight: 1.58 OZ (45 grams)
Storage Instructions: Keep in dry and cool place
Package: Plastic bottle
History of Dentonic:
ALA Chemical have been in business since 1963, manufacturing and marketing the quality
oral care products for healthy and beautiful smiles. They have maintained an excellent quality
standards of products at all stages. When Dentonic was launched in Pakistan they were one of
the pioneers in the toothpowder industry and there was less competition.
Back ground :-
Dentonic’s owners work in a very coordinated way. Currently two brothers are running the
Company with their father as the chairperson. Mr. Saghir Alvi handles the marketing and
sales while Mr. Zaheer Alvi handles the production.
Why we choose this business?
We choose this business because we need that type of business whose market shares are
down. And we find why market shares of Dentonic are down in market.
What are the various business ventures they have been involved?
These are the various business ventures which have involved:-
 Dentonic Toothpowder
 Dentonic Toothpaste
 Dentonic floss
 Dentonic Toothbrushes
 Dentonic ultra whitening pack

Problems:-
. You can judge from the fact that every other day you would hear Dentonic ad on TV and
Radio. But now it’s slowly losing its popularity. Why? Because of change in cultural trends,
people like convenience and comfort. They are concerned about their health and fitness. The
trend is towards showoff and not simplicity.
There is some other weakness of Dentonic powder:-
 Old / outdated formula
 Lack of fragrance
 Lack of variety and taste
 Old fashion
 Lack of communication and availability
 Uneasiness to use
  Doesn’t reaches out to all part of the tooth
 Considered as unhygienic way of cleaning your teeth
 No correspondence with dentists
 Bad word of mouth from dentists and consumers
 Weak promotional strategies
In our view the financial position of the company is not very strong (for 39yrs they are
producing a single product)

Dentonic unique selling points

1. Den Tonic best Selling point is its widespread availability.

2. It has very effective distribution channels.
3. Den Tonic used a new concept of making it available absolutely everywhere
including of Pan Shops.
4. It should relied on door to door selling of den tonic and main focus is on
consumer or retailer rather than whole seller.
5. It should available on mostly every shop and also utility stores.
6. For its customers across Pakistan it should be available in other counties as
franchise selling.
7. In the beginning it was distributed from Karachi alone to other cities of
Pakistan around 15000 shops are covered every month.
8. Low price
9. Good quality
10. Good result
 Swot Analysis

Strengths Weaknesses
 Consumer loyalty  Started investing in research very
 Only Pakistani company to use
“Trychozan” of dental quality
late
 Exports to Sirilanka, Bangladesh  Working on very low margins
(Franchise), India (Calcutta), U.A.E and  Lack of advertising and promotion
Saudi Arabia  Lack of awareness in the current
 Latest Technology generation
 High Quality
 Strong consumer recall  Don’t have flavors or colors
 Market monopoly in tooth powder
 Good management and loyal staff
 Credible name
 Only well known tooth powder
 Exist in last 40 years
 Strong customer base around the globe
 Brand is well established.
 Product is available in the market with
consistency.
 It was established in1963 which proves,
has survived four decades.

Opportunities Threats
 Exports e.g. Japan, Malaysia and  Considered an obsolete solution
U.S.A to dental care
 Getting recognition by different  Lack of awareness today
Dental associations in Pakistan  The loyal consumers of the
 Can target higher class and product are growing old and the
current generation by product rate of new consumers growing in
development and promotion not enough
 Smokers (removal of stains)  Misconceptions
 Dentist recommendation Flavored  Value added benefits (fragrance)
powder  Changing life style
Almost 70% of the population of  Strong competition
Pakistan is miserly effected by  Concentration on new and
inflation. They are ready to buy a advanced scientific way of
product of good quality at reasonable brushing the teeth using tooth
prices. So considering this we have a brush.
huge target market which is loyal to  Majority of the Dentonic users
good quality & low priced belong to the lower class and are
product. tradition
bound so take time to accept
change.
 PEST analysis

Political Economical
Political factors play a vital role for Another imporatant external force
the business prevailing in the country. that directly affects our decisions is
If the government is inactive then the the economic variation. If a
company advances at a standard rate country experiences inflation then
but the other way round, a drastic fall it will have a negative impact on
can be seen. the businesses running in that
country. So our product is directly
influenced by this factor

Socio-cultural Technological
The main forces affecting decisions Basically technology does not
about our product are the social and apply here because those people
cultural factors. Before taking any who believe getting their tooth
decision we have to keep in mind the clean.
specific religious and cultural key
factors for our survival in the industry
because people will repel the product
that their religion or culture do not
prefer.

Legal Environmental
Competitors of Dentonic tooth powder :
Ala Chemicals has a toothpowder monopoly in Pakistan. Many companies tried launching
toothpowder, but failed. For example, Colgate launched a toothpowder by the name of
Trident, Khass powder was launched by Medicam group in 1989 and even Unilever almost
launched a toothpowder under the banner of Pepsodent which they later launched in India as
they could not compete with the low margins of Dentonic. Dentonic’s international
competitor in the U.A.E is Ukril. Apart from toothpowders, the biggest competition that
Dentonic is facing today is from the low priced toothpastes for example, English Toothpaste.
Another major competition faced by Dentonic is from Lukmani Mangin, which is created out
of salt, coal, ashes and acidic salt.
For Dentonic there exist two types of competition:
 Primary competition
 Secondary competition

Primary Competitors:
There are two primary competitors of Dentonic:-
 Manjan (D. T)
 Colgate tooth powder
Secondary competitors:
Secondary and indirect competitors of Dentonic are:-
 All other toothpastes( Colgate , Oral-B, Sensodyne)
 Floss
 Mouth wash
Competition analysis
Colgate toothpowder
Strengths Weakness
1. Colgate toothpowder the power of two 1. Offering of toothpowder limited only to
ingredients – calcium and minerals rural markets, not a product used in the
2 times stronger
urban areas where toothpaste is more
3. A 100% vegetarian tooth powder
4. Good distribution ensures availability in rural widely used
areas 2. Less brand awareness in semi-urban
5. Available in 3 sizes to suite all consumer areas, which is also potential target
requirements group.

Opportunities Threats
1. Need to tap rural migrants to urban areas 1. People shifting from toothpowder to
2. Product can be very useful to tap the rural toothpaste as the awareness and
markers where oral hygiene is still not very
penetration levels increase
prevalent
3. The company developed a three-pronged 2. Various local variants of tooth powder
strategy: consumer-centric promotional available in markets
initiatives, impactful visibility and an ad 3. Tooth Powder claim better properties
campaign featuring film actors for the tooth and advantages as compared to the
powder brand conventional tooth powders
Sensodyne toothpaste
Strengths Weakness
1. Contains no sugar 1. Certain shops don’t have
2. Clinically proven, helps to relives Sensodyne in stock.
sensitivity within 2 weeks. 2. Some consumers think the taste is
3. Proven carried protection of funny
fluoride. 3. Little more than expensive from
4. Dentists have been recommending other competitors.
Sensodyne for over 20 years 4. Customers confuse which flavors to
5. The #1 dentist recommended brand choose as it seems like all has the
for sensitive teeth. same effect.

Opportunities Threats
1. The brand target kids and youth 1. Lots of competition in the market
also since they frequently suffer from regular toothpaste brands.
from this kind of problem. 2. Some customers dislike the taste of
2. Should also promote other benefits, Sensodyne, as it does not have
apart from sensitivity relief. strong taste like other toothpaste.
Oral-B
Strengths Weakness
1. Pricing power 1. No wiki report
2. Brand name 2. Cost structure
3. Size advantages
4. Economics of scale
5. Customer loyalty

Opportunities Threats
1. Emerging markets 1. Volatile revenue
2. New products 2. Substitute product
3. New markets
 Competitor’s analysis
Strengths:- Weakness:-
1. Availability in markets 1. Lack of awareness
2. Pricing power
3. Customer loyalty
4. Well established brand
5. Dentists recommended

Opportunities:- Threats:-
1. Target the young 1. People shifting
generation toothpowder to
2. New products toothpastes
3. New markets 2. Strong competition
3. Dislike taste
 Consumer profile
Geographic
Region North, south , east and west
City all cities of Pakistan
Rural and semi urban areas both rural and urban areas
Demographic
Age for all age groups ( kids , youngsters and old.)
Family size 2+
Gender for both gender ( male and female)
Income for all income class i.e., ( sector A, B, C, D & E)
Occupation shops owners, skilled workers , no skilled workers
Education university graduates
Psychographic
Social class upper lower, working class, middle class
Behavioral
Occasions regular
Benefits economy, quality, convenience
User status nonuser, regular users
Usage rate medium
Loyalty status none , strong
Readiness stage unaware, aware
Attitude toward product positive and negative
Recommendations and Suggestions:-

 A proper track of stocks should be maintained. Stocks should not be outdated, over
stocked and under stocked at critical sales point.

 Online Buying and selling can also improve the Image of Dentonic.

 Always compare your products with others to keep track of how Dentonic is
performing with respect to others.

 Sales Person should be available till the closing time of superstores/wholesalers.

 Advertize yourself as much as possible. People today want to know about Dentonic
on
 Television, Radio and other communication Channels.

 Door to Door sales today cannot cover

the population of Pakistan. So its best
that promotion schemes should be
launched in the densely populated areas.

 A proper feedback system whether

online or offline should be launched

 Proper Sales Person Training Should be

carried out at least once/twice in a year
 Advertisement can attract more habitual
buying behavior
 Awareness Should be made among habitual buyers
 Try to create products for lower class at low prices (can be of small size) just like
upper class so at least they should know the product
 Try to make more innovative products for sensitive class
 For Upper Class too advertisements should be made for variety seeking buyers.
 Take Care of shelf space.
 Make each and every flavor competitors are making
 The company is high at CSR; it should analyze the annual profits and then set a
percentage for such activities.
 The company should divest few SKUs of powders if they are not producing the profits
 The company should develop Strategy to beat other local companies and their
preferred products.
 The company should focus on creating value rather than increasing volume.
 The company should change its target markets and positioning and producing the
product at lower Prices for the NGOs and charitable organization.
 With R&D, company should also focus on promoting the product.
 Maswak / other flavor in tooth powder.
Dentonic is the oral care industry is on the care industry is on the decline stage, as most
consumer prefer tooth paste or if recommended by dentist will use imported branded. So we
have to reinvest in it and change the consumer mind set About Dentonic, bring is back to
stability.

Research Process

Research Objectives and Defining the Problems:

We have conducted a research to find out the reasons of its non-acceptance and
dissatisfaction of among consumers and problems faced by them.
Research plan :
Research is explanatory as we had to find the problems and reasons of its less success
through it has a large potential market.
Data Sources :
We have gathered data from secondary source.
Secondary source of our data are internet. www.dentonic.com.pk and other different
websites.
Information gathered :
Due to fake Dentonic spread out in different locations in Pakistan the reputable name of
Dentonic tooth powder’s image was severely damaged, and market declined.
Because of no provision in advancement for a longer period of time Dentonic powder lost its
customers to other available brands. The shifting was caused because of no improvement in
the formula and no scientific recommendations were given from dental association.
The general perception about Dentonic powder in the minds of people was not favorable.
 Porter’s five forces model

Threats of new entrants are

high.
like toothpastes , mouth washes
and floss.

Toothapstes
Bargening power ofsuppliers is Floss Bargeining power of customers
very low. is very low.
Mouth wash

Threats of substitutes of
products are high.
 Ansoff’s Matrix

Existing Products New Products

Market Penetration Product Development

Existing Markets
 Increase distribution  Dentonic Plus
 New packaging

Market Development Diversification

New Markets
 Export markets  Toothpastes

Market Penetration:
Dentonic Toothpowder has a huge distribution network consisting of 10 vans to distribute in
Karachi. They distribute to CSD’s, departmental stores, utility stores, etc. Outside Karachi,
they have 250 distributors, covering 15000 shops every month.

Market Development:
Ala Chemicals started exporting its products to different countries such as U.A.E, Saudi
Arabia and Sri Lanka. Dentonic also gave a franchise in Bangladesh, from where the
toothpowder is sent to Calcutta, India.

Product Development:
Ala Chemicals developed a new toothpowder, Dentonic Plus which generates foam when
applied, unlike their regular toothpowder. This is to make the toothpowder feel more like
toothpaste.
Besides the new product, Ala Chemicals also changed Dentonic Toothpowder’s packaging
and introduced a press-to-open lid cover, which is more convenient for consumers. Dentonic
also has different packaging for export products.

Diversification:
Apart from the toothpowder business, Ala Chemicals launched its toothpaste 5 years back.
Now they have a whole range of toothpastes, which includes the regular toothpaste, Dentonic
for sensitive teeth and Dentonic Ultra whitening Gel (mainly for export).
 Product life cycle (PLC)

90

80

70

60

50

40

30

20 Dentonic

10

0
introduction growth maturity decline
 BCG Matrix

Market Share

High Low

High
Star ?

Market
Growth

Low Cash cows Dogs