What if you have to launch a toothpaste brand in a cluttered environment?
What you do when market is cluttered with different brands.
Brands like Colgate, Colgate Fresh energy gel, Close-Up, Pepsodent, Babool & Ajanta are already present with strong market share.
In early 1996, there was a company who wanted to launch its brand in this environment. When I heard the strategy I felt it was simply amazing.
They differentiated themselves with only one line which says 100% Vegetarian toothpaste, the brand is called Anchor.
When it launched multinational companies like Colgate-Palmolive and HUL dismissed Anchor as low cost & inferior quality product.
But you know what in 2002, it killed these type of statements, Anchor was No3 toothpaste brand.
In 2006 Anchor displaced Pepsodent from the number 2 spot in Rajasthan & Gujarat. The funda over here is Rajasthan & Gujarat are states which have large number of vegetarian population and they were very responsive to Anchor.
The success of Anchor signifies that ethics is a cutting edge tool. Brand Anchor has precisely done that and has discovered that the brand has to be in resonance to the ethical frame of reference in the society where it operates.
Anchor also ran promotional schemes around vegetarian positioning of the brand.
What I think, Anchor saw an opportunity in Vegetarian toothpaste market and took a positioning called 100% Vegetarian toothpaste. By coming out with different variants & innovative promotional schemes they narrowed their focus and stood for one thing.
Anchor Brand has created a space in the mind of consumers and it stands for that & nothing else.
Anchor = 100% vegetarian toothpaste is set in the mind of consumers for years to come.
Now this is power of positioning….