GILLETTE’S Razor Sharp Edge Over Its Competition Presented by:- Ketan thakur Tushar Patodia Nishab jauhri Rahul raut Bhanu pratap khushwaha
GILLETTE’S Razor Sharp Edge Over Its Competition
Presented by:-
Ketan thakur
Tushar Patodia
Nishab jauhri
Rahul raut
Bhanu pratap khushwaha
Overview
Background info on Gillette Problems/Solutions company faced Current info/issues
Background Information Founded in 1901 Flagship product—safety razor Company’s strengths:
Focus on scientific knowledge/studies Innovative products Large-scale manufacturing capability Useful products sold at fair price
Sales in 2000: $9.3 billion
Global Company Strategy: “To manage its business
with a long-term, global perspective”
Over 1 billion people interact with a Gillette product every day
Manufacturing operations located in 23 countries
Distribution in 200+ countries 40,000+ employees
Vision Statement “To build TOTAL BRAND VALUE by
innovating to deliver consumer value and customer leadership faster, better, and more completely than our competition.”
Fundamental Principles: Organizational Excellence
Superior performance at every level Core Values
Achievement, Integrity, Collaboration
Products Overview: Worldwide leader in 12 major
consumer product categories Focus on continual development of
new products Currently introduces 20+ new
products per year
Three Core Businesses
Gillette is the undisputed global leader in:
Grooming
Portable Power
Oral Care
Grooming Products World leader in male
and female grooming products
Blades, razors Wet, dry 700 million
consumers use Gillette razor blades
Shaving preparations and after-shaves
BLADES & RAZORS SEGMENT
DisposableRazors
ShavingSystems
ReplacementBlades
Blades &Razors
ElectricShavers
Shaving Products
Pre-Shave Post-Shave Deodorants
Toiletries
GroomingMale & Female
Introduction of project
The objective of the study is to understand the consumer attitude and buying behaviour for Gillette Razor And Foam. To understand the former part, we created a focused group questionnaire and conducted a focused Group Discussion (FGD) on Shaving Cream, gel and foam.
Research Question and Hypotheses
Are consumers more price conscious or brand loyal? What are the factors that play the most important role
in a consumer's choice of buying shaving cream/Razor?
What is the effect of non-attribute factors on the purchasing decision of Gillette shaving gel/foam?
What are the factors that play the most important role in a consumer's choice of buying shaving cream/gel/foam?
Use of Marketing Research Focus groups and surveys
revealed: Gillette must reform its approach by:
Emphasizing quality and brand equity Discontinuing use of disposable razor ads Developing new products
Role of Marketing Research
Told Gillette that it could change its former price approach to the market by emphasizing quality and brand equity as well as introducing new products.
Marketing Research Problem
To determine the consumer’s opinions regarding the quality of products over their prices.
To determine the impact of Gillette’s competition on its sales.
To determine the wants and needs of consumers using Gillette’s various shaving products.
Observations:
1)The surveyed sample considered Gillette to have the best packaging among all the brands. This feature highlights the fact that point of purchase is an important selling point for the shaving cream/shaving Razor market and Gillette has been outperforming the competitors.
2)For price sensitive customers products like V-John, Godrej and Dettol were more satisfying than Gillette.
3) The consumers are most satisfied with Gillette in all the cases except when the purchasing decision is based on price along with additional features.
Factor Analysis
A factor analysis was carried out to obtain the group of attributes which can be grouped together. Hence 4 factors were obtained as follows – Factor 1 Product attributes (Fragrance, Brand Name, Foam Formation, Ease of Use) Factor 2 Price Sensitivity (Price, And Offers/Discounts) Factor 3 Point of Purchase (Availability in Stores and Stylish Package Design) Factor 4 Additional Features (Colour of Shaving cream/gel/foam and Ingredients)
Competitor analysis
Product Weight (gms) Price (Rs.)
Palmolive Lime 70 37 Palmolive Moisturizer 70 39 Palmolive Delux 70 39
Colgate-Palmolive
Product Weight (gms) Price (Rs.) Axe Shaving Cream 70 45 Denim Exclusive 70 43
Hindustan Lever Limited,
Godrej
Product Quantity Price (Rs.) Godrej Shaving Cream 100 gms 25 Godrej Premium Shaving Cream 70 gms 25
Gillette Marketing Spending
Jan. 30, 2003 24% increase in ad spending
(fourth quarter) 2002: Global ad spending rose
12%--$650 million
New Challenges Jan. 30, 2003 Battery rival Energizer to acquire
Schick brand of razors Energizer to invest $930 million Result: Aggressive marketing
wars?
Questions and Answers
The End