GILLETTE

The Razor-Wars Continue

 ABOUT THE COMPANY
› History
› Vision Statement
› Brands, Products, People
› Product Range
 Product Innovation At Gillette ?
 Wet Shaving Market Towards Saturation ?
 Gillette Vs Schick
 The Battle & It’s Bad Effects
 Gillette’s marketing program/strategies
 Should Gillette be worried about Schick ?
 Situational Analysis
 SWOT Analysis
 Key Success Factor
 Problem Identification
 Suggestion
 Founded by King C. Gillette in 1901 as a safety razor
manufacturer at Boston, Massachusetts
 1st patented safety razor in 1904
 Entered the India Market in 1984 in a JV with HOPE
 Merged with Duracell (India) Pvt. Ltd. and Wilkinson
Sword India Ltd.
 Sold off to P&G in 2005
 Famous for its shaving and personal care products
 Also makes brands like Oral-B, Braun, Duracell
batteries, Luxor and Parker pens
 “To build TOTAL BRAND VALUE by
innovation to deliver consumer value
and customer leadership faster, better,
and more completely than our
competitor”

 Fundamental Principles:
› Organizational Excellence
 Superior performance at every level
› Core Values
Achievement, Integrity, Collaboration
 $9 Billion in Sales (2003)
 Multinational Corporation
 Gillette - Recognized Brand Worldwide
 32 Manufacturing Centers
› 15 Countries
› 200+ Markets
 Approximately 29,000 employees worldwide
 4 primary Business Units
› Grooming
 Blades & Razors
Personal Care
› Batteries
› Oral Care
› Appliances
 Innovative: 47% of Sales from Products less than 5 years old
 PERSONAL DURACELL BRAUN
SHAVING ORAL B
CARE BATTERIE APPLIANCE
S S
MANUAL BRAUN
SHAVING GELS GENARAL USE
MEN TOOTHBRUSH
AND FOAMS BATTERIES KITCHEN
ES APPLIANCES
MACH 3 ADVANTAGE
GILLETTE SERISE COPPER TOP INDICATOR
MACH 3 BRAUN HAIR
SATIN CARE ULTRA CROSS ACTION
TOURBO CARE EPILATION
SENSOR ANTIPERSPIRANT PRISMATIC STAGES
SENSOR S POWER
EXCEL SPECIALITY TOOTHBRUSH
AND BARUN STEAM
BATTERIES ES
DEODRANTS IRONS
3D EXCEL
WOMEN GILLETTE SERISE PHOTO 3 D PULSATING
RIGHT GUARD HEARING AID CROSS ACTION
SOFT & DRI CAMCORDER PERSONAL
VENUS KIDS DIOGONASTIC
SENSOR DRY IDEA WATCH
ELECTRONICS FLOSS AND
DAISY
HOME MEDICAL INTERDENTAL

SATIN floss
ULTRAFLOSS
ESSENTIAL FLOSS
SUPER FLOSS
ORTHODENTIC
TOOTHPASTE
AND
MOUTH RINSE
 The Sensor (1990)
Sensor Excel For Men(1993) & For Women (1996)

 The Mach3
M3 Power Nitro
Mach3 Turbo

 Gillette For Women Venus

Venus Vibrance
Venus Divine
Venus Disposable

 Fusion
 Expansion of existing market.
 Continuous innovation.
 Research & development
 Well integrated programme of
marketing mix elements.
 Market leadership in men’s shaving
products.
 1) The Gillette Sensor: twin blades with spring-loaded action
2) The Gillette Sensor Excel: twin blades with micro-fins
3) The Gillette Mach3: THREE blades!
(Schick's falling behind, so they unveil the...)
4) The Schick XTreme3: three FLEXIBLE blades!
5) The Gillette Mach3 Turbo: three blades, TEN micro-fins, improved lubrication!
(Schick fights back with the...)
6) Quattro: FOUR blades!
(Gillette retaliates with the...)
7) the Gillette MP3 Power: battery-powered three blades!
8) the Schick Quattro Power: four battery-powered blades!
(Gillette brings.)
9) the Gillette Fusion: freaking Five blades!!!!
(Before Schick can beat it to the punch...)
10) the Gillette Fusion Power: battery-powered five blades!!!!
 Cause
 Emergence of Schick as a potential threat to the
market share of Gillette.
 Schick’s share has risen to 17%.
 Gillette’s monopoly is affected.
Law Suits
 Gillette lawsuit of patent infringement against Schick.
 Schick sued Gillette for misleading advertisement.
Bad effects
 Monetary loss in legal issues.
 Revenue loss in nonessential innovation.
 Loss of brand image due to unethical practices.
 Trade off between existing product.
 Problem in positioning the product.
 Gillette’s brand ambassador feature leading sports
personality.
 Design branded entertainment programs
 Procter’s marketing will be its entrance into sports.
 Playing with the product life cycle.
 Launch Gillette shaving cream.
 P&G’s sales and marketing knowledge can be
utilized by Gillette.
 Customer interaction center-marketing & product
development purpose
 Converting Consumers from single &
twin blades users to more profitable
sensor, sensor excel and Mach 3 lines
 Continued geographic expansion
 Gillette’s aggressive focus was the
launch of Fusion razor
 Gillette’s vision is to build total brand value by innovation
 The distribution network of Gillette is very robust
 Gillette has made extensive promotion campaign (Gillette
Champions & Gillette Stadium)
 Gillette has co-advertised shaving gels and foams along
with its razors
 Gillette has the widest product range and the deepest
product line
 Lessons learned during challenging times form guidelines
for its decisions and actions
 Gillette’s strong marketing commitment to gain market
share
 Macro-environment
 Economy
 Legal & Political Issues
 Technological Advancements
 Socio-cultural Trends

 Market
 Domestic vs. International market
 Market Size Demographic
Geographic
 Buying behavior Trend
Behavioral Description

 Competition

 Product

 SWOT
 Men’s Product

Schick Gillette BIC

Quattro Power ($11.99) Fusion Power ($11.99) Comfort 3

4 for $10.49 4 for $14.29
$4.29 for 4
8 for $19.99 8 for $28.99
Comfort Twin
Quattro Titanium ($8.99) Fusion($9.99) Sensitive $ 5.29
4 for $10.99 4 for $12.99 for 10
8 for $23.99
Quattro Power ($8.99) M3 Power Nitro ($11.99) Sensitive $3.29
4 for $9.29
8 for $16.99 for 12
Mach3 Turbo ($8.99)

Mach3 ($8.29)
 Women’s Product

Schick Gillette BIC

Quattro for Women ($8.99)

Venus Vibrance ($8.29)
4 for $9.29
8 for $16.99 4 for $8.49 Comfort Twin
8 for $19.99 Sensitive $ 5.29
Intuition Plus ($8.99)
Venus Divine($8.99) for 10
3 for $9.49
4 for $9.49
8 for $17.99
Intuition ($8.49)
3 for $8.29
Venus Disposable ($7.99) for 3
6 for $14.99
 Superior Product benefit
 The ability to meet consumer needs.
 Dedication and commitment to product design and
refinement leading to significant improvements over
currently available products
 Strong financial support for all areas including marketing.
 Ability to take risks
 Commitment to comprehensive promotional strategy.
 Aggressively moving towards diversification
by acquiring unprofitable companies.
 Unable to leverage its core strengths to
become dominate in each of its markets. 
 Complacent towards their core business
and their primary business sectors.
 Maximum revenue comes from sale of razor
rather then cartridge.
 Innovation should be time specific
 Concentrate on promotion of
complementary products
 Try to cater mass market