Gilette SWOT analysis and recommendations for maintaining market-leader status.

1. Gillette Case Study
Samantha Maurer
Kylen Huntwork
Crystal Bickoff
Terri Menser
Harris Weinstein

2. Background of Gillette
Leader in market
Controlling market share
Mature company
Unrelated acquisitions
Competition - Razor Wars
Current marketing activities
Gillette vs. Schick

3. The Razor Industry
Saturation
Cultural changes
Is more innovation
possible?
http://video.google.com/videoplay?docid=5775667601517821634&ei=EDlJSuqVCqjkrALI1qSiDQ&q=saturday+night+live+razor+commercial&hl=en&clie

4. What is the Problem?
Continued Success of Fusion
Innovation
R&D
Product Design
Product Expansion
Marketing
Customer Attraction
Advertising

5. Product Innovation
Superior Product
Wide array
R&D
$750 Million on Mach3
Women
Complimentary Products
What’s next?

6. Marketing Innovation
Female Market
Millions of women shave
Global Market
60% sales global
Diversify Image
Website- “The Best a Man Can Get”

7. Customer Attraction
Increase Market Share
Don’t stop at 70%
Embrace Cultural Differences
Western culture
Maintain Growth
Ever-changing products

8. Strengths
Reputation
Brand Recognition
Multinational distribution
channels
Market Share (about 70%)
Competitors
Efficient Manufacturing System
Lots of money for R&D
Marketing
Events/Athletes/Slogan
1-800 number
respond to complaints/innovate
products

9. Weaknesses
Future of Gillette = Fusion
Consumer skepticism (5
versus 3 blades)
Lost focus via poor
acquisitions in the past
Inability to continue growth at
high rates recently
Remained stagnant recently - “Sleeping
Giant”
5 Blade vs 3
Blade??

10. Opportunities
Expand dominating market
share
Globally
Acquisition of companies
Promote Western-style culture
Campaigns to glamorize clean-
shaven
Make teenage men/women
lifelong users
•Expand/innovate creams and lotion
•15% men don’t shave due to
discomfort, and 3% don’t care to
shave!
•Products for hair removal in other
places

11. Threats
Saturated/mature market
Fierce competition
Ongoing legal battles
Consumer skepticism
Increased use of other hair removal techniques
Cultural Impediments
CASPIAN boycotts

12. Alternative Solutions for a
Mature Company
Squeeze Margins
Positive Cannibalism
Encourage Higher Usage
Diversify and Expand Brand
Stay Creative

13. Other Marketing Aspects
to Consider...
• International Campaigns
• Cultural Sensitivity
• Celebrity Endorsements for Fusion
• Advantages of Fusion over Mach3
• Future of Women’s Line

14. Recommended Long-term
Solution
Maintaining Current Status
• Foreign Market Expansion
• Sensitivity (cultures and traditions)
• Glamorization
• Market to the Market
• In-store advertising system
• Loss leader marketing strategy

16. Recommended Long-term
Solution
Maintaining Current Status
• Foreign Market Expansion
• Sensitivity (cultures and traditions)
• Glamorization/Americanization
• Market to the Market
• In-store advertising system
• Loss leader marketing strategy

17. New Perspective on Marketing
• “Not only are we going to understand what is the same
everywhere, but we’re going to look to see what is different
everywhere.”
• -Chief Executive of BBDO Worldwide, the
Omnicom agency for Gillette
• Procter and Gamble’s $57 billion purchase
• The reciprocal influence of Venus and Mars

18. Japanese Consumers
Product Features

19. Recommended Long-term
Solution
Maintaining Current Status
• Foreign Market Expansion
• Sensitivity (cultures and traditions)
• Glamorization
• Market to the Market
• In-store advertising system
• Loss leader marketing strategy
Advertisement in Walmart

21. Recommended Solution
Issue at hand
Celebrity Endorsements
Encourage Cannibalization
Sponsorships/Promotions
Benefits
•MARKET THE FUSION INDIRECTLY TO THE
PURCHASING CONSUMER 80% MORE THAN