1. Chile Marketing Report
AllSmile
Ryan Gardner
Lizzy Smith
Tom Bredin

2. Chile Capitol: Santiago Population: 16,763,470 Language: Spanish
Government: Representative Democracy
President: Michelle Bachelet
Surface Area: 292,183 sq. mi. 

3. Social Factors Low infant mortality rate Long life expectancy
-Age 80 (Female)
-Age 73 (Male)
Stable population growth rate
Young population

4. Economy
Second highest per capita Gross Domestic Product (GDP) in Latin America
High GDP growth rate
Lowest Latin America poverty rate
Exporting nation
Member of MERCOSUR
Currency has strengthened against the dollar

5. Economic Factors Population (Millions) Population Growth GDP Growth
Inflation Rate
Mfr Sales/Toothpaste
Argentina
40.3
1.0%
5.2%
5.0%
172.2
Brazil
190.4
1.3%
3.5%
6.0%
491.4
Chile
16.2
0.9%
12.5%
5.3%
112.3
Mexico
108.8
1.2%
255.2
Peru
28.6
1.4%
4.6%
3.0%
35.6
Venezuela
26.0
12.0%

6. Competition Local One has the largest market share
Regional One has 2nd largest market share
Britesmile is the only global competitor

7. Prior to Entry No kids market established
Economy
White
Healthy
Kids
Total
Unit Sales (Mill.)
45.2
8.8
29.6
0.0
83.6
Britesmile
0.0%
100.0%
10.5%
Local One
69.5%
69.8%
62.3%
Regional One
30.5%
30.2%
27.1%
No kids market established
Low competition in whitening market

8. Target Market Establish a Kid’s variation of Allsmile
Young/Whitening because only offered in one market
Target economy toothpaste market

9. Products We Plan To Offer
Young Whitening: Medium, Tube, Paste
Family/Kids: Medium, Pump, Gel
Family/Economy: Medium, Tube, Paste

10. Younger-Whitening Size: Delivery: Texture: Small 40.0% Tube 70.0%
Paste
60.0%
Medium
55.0%
Pump
30.0%
Gel
Large
5.0%

11. Family/Kids Size: Delivery: Texture: Small 30.0% Tube 25.0% Paste
10.0%
Medium
35.0%
Pump
75.0%
Gel
90.0%
Large

12. Families-Economy Size: Delivery: Texture: Small 5.0% Tube 60.0% Paste
40.0%
Medium
Pump
Gel
Large
35.0%

13. Pricing
Argentina
Brazil
Chile
Mexico
Peru
Venezuela
Approx. Cost Reduction 9%
13%
11%
19%
26%
28%
$104 Million (USD) currently being spent on toothpaste in Chile
Economy paste tube: 700 (Ch $)
Whitening Tube Paste: 800 (Ch $)
Kids Pump Gel: 830 (Ch $)

14. Distribution Preferences are evenly distributed
Retail Sales (Millions USD)
Traditional
Self-Serve
Hyper Market
Web/ Other Home
% Direct
Chile
139.7
40.2%
25.9%
32.1%
1.8%
29.3%
Preferences are evenly distributed
Target almost all distribution channels

15. Advertising
Our ads will be relevant and connect to the Chilean people.
Ads for:
-Younger/Whitening
-Families/Economy
-Families/Kids.
Allsmile currently has ads available for Whitening and Basic, we can use those to the Chile market.

16. Allsmile must build a plant in Chile:
Plant Decision
Allsmile must build a plant in Chile:
Central Location
Exchange Rates
Shipping Cost
Labor Costs
Tariffs

17. Exchange Rates USA Dollar (USD) Argentina Peso (ARS) Brazil Real (BRL)
Chile
Peso
(CLP)
Mexico
(MXN)
Peru
Sol
(PEN)
Venezuela
Bolivar
(VEB)
3.1447
2.2936
558.66
3.2680
Argentina
0.3180
0.7294
177.65
3.6552
1.0392
744.73
0.4360
1.3711
243.58
5.0115
1.4248
0.0018
0.0056
0.0041
0.0206
0.0058
4.19
0.0870
0.2736
0.1995
48.60
0.2843
203.75
0.3060
0.9623
0.7018
170.95
3.5172
716.63
0.0004
0.0013
0.0010
0.2385
0.0049
0.0014

18. Shipping USA Plant Argentina Plant Brazil Plant Chile Plant
Mexico Plant
Peru Plant
Venezuela Plant
Argentina
0.030
0.005
0.010
0.020
Brazil
Chile
0.015
Mexico
Peru
Venezuela

19. Tariffs MERCOSUR FREE TRADE AGREEMENT WITH U.S.A
Argentina
Brazil
Chile
FREE TRADE AGREEMENT WITH U.S.A
FREE TRADE AGREEMENT WITH CHINA

20. Toothpaste Sales (Last 6 Years)
Country
5 Years Ago
4 Years Ago
3 Years Ago
2 Years Ago
Previous Year
Current Year
Sales Per Capita (USD)
Arghentina
122
130
135
132
142
152.6
3.82
Brazil
385
395
390
410
423
454.6
2.42
Chile 59 65 69 78
83.1
5.16
Mexico
150
175
189
209
228.1
2.12
Peru 23 25 26 28 31
35.1
1.24
Venezueala 27 22
26.3
1.02

21. Why Chile? Transportation Infrastructure Distribution System
Economic Infrastructure
Low Cost of Labor
Centrally Located
Steady Signs of Growth