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{
   The company established by King Camp Gillette on 28 September
    1901 in Boston.
   Initially it was American Safety Razor Company.
   The invention of Razor was patented in 1904.
   1905 Develops new markets by opening London Offices.
   1914 Gillette brokers deal with US Army (3.5 Million razors, 36
    Million blades)
   In 1952, its name changed to The Gillette Company.
   In India, co. established on 9th February 1984, in Rajasthan as Indian
    Shaving Products Limited and was jointly promoted by House of
    Poddar Enterprises and Gillette co.
   Now it is called as Gillette India Ltd.
   Merged with Duracell (India) Pvt. Ltd. and Wilkinson Sword India
    Ltd.
 1973 Net Sales exceed $1Billion.
    1980 Net Sales exceed $2 Billion.
    Sold off to P&G in 2005 for $57 billion
    Launched various innovative products to capture the Indian
     Audience
    Market leader in premium shaving care segment
    Good reputation for delivering high quality, value added products
    Still in the infant stage with great opportunities ahead. Saw a 16%
     growth in 2008
    Awarded as the 13th most global brand by Bloomberg
     Businessweak

References:
http://www.moneycontrol.com/company-facts/gilletteindia/history/GI22
http://images.businessweek.com/ss/09/09/0917_global_brands/89.htm
BRAND HIGHLIGHTS
 Gillette India Limited (GIL) is one of India's well-known FMCG
  Companies.
 The world's largest personal care and household products

  company.
 First in INDIA to introduce gel in tubes.

 Running since 111 years (1901-2012).

 Global Leader in premium shaving care segment

 Over 1 Billion men start their day with Gillette.

 Manufacturing operations located in 23 countries.

 Distribution in 200+ countries.
Core Businesses
Gillette India Limited (GIL) has 3 core
businesses:

   Grooming

   Portable Power

   Oral Care
GILLETTE WORLDWIDE MANUFACTURING SUBSIDIARIES




                   UK
                EUROPE                 ASIA
  NORTH
 AMERICA



       SOUTH
      AMERICA
                         AFRICA
                                  AUSTRALIA
STRENGTHS                                      WEAKNESS
                                              Highly dependent on core business
Creativity and R&D investment                 Expensive brand maintenance
Product availability worldwide                Heavy Dependence on Street Retail
                                              Outlets
People Reliance on Quality of Product
                                              Gillette has multiple blade and razor
Strong marketing and advertising
                                              systems but their cartridges are not
Strong brand loyalty                          interchangeable with their other models
Market Leader
                                      SWOT
OPPORTUNITIES                        ANALYSIS               THREATS
Use of e-commerce
Increased Grooming, changes in societal       New Competitors
attitudes and consumer brand preference
                                              Growth in number of substitutes
New product launches
                                              Electric shaving technology
Increasing buying Power
                                              Economic downturn
Demand for high quality products
                                              Cloning of successful brands
Still an infant industry in India with huge
scope for growth in future
GLOBAL STRATEGY
   Corporate Objective
     global focus on consumer products

     global competitive advantage in quality, value
      added personal care/use products

   Global Market
     competing       in     the    triad     markets
      (Europe, Japan, North and South America)
     industry concentration

     global market leadership in male and female
      grooming products
THE GILLETTE STRATEGY
 Global resources organised and deployed to achieve
  market leadership in all their products
 to maintain and increase existing market share in

  male and female grooming products
 Corporate Strategy

    aggressive research and advertising

    strategic diversification e g mergers & acquisitions

    new product developments (invest in technology

     and product innovation)
    focus on core competencies

    maximise e-commerce opportunities

    build strong product portfolio
GILLETTE’S STRATEGY IN INDIA
Launching innovative and
customised products
   Gillette has created a new market
    for the power battery toothbrush
    through Oral-B (the oral care
    subsidiary of Gillette India). It also
    introduced Mach3Turbo, a triple-
    blade shaving system in India.
    Gillette   India    has    launched
    customised     products     specially
    designed for Indian consumers. It
    introduced ‚Vector Plus‛, which is
    a twin blade system with push clean
    anti-clogging function in the mid-
    price segment.
Localisation of distribution system
  and wide distribution network
 Gillette’s sales and distribution network is
  wide, enabling consumers all over the
  country to buy its products.
 Gillette has localised its distribution system

  and made it specific to the Indian market.
 Gillette has targeted the Indian market on a
  shop-by-shop basis as against the European
  and US market where there are only few
  major retailers.
Restructuring         business        to      drive
 Gillette restructured its business in India in
  2003.
 Strategic restructuring:   Focused on grooming
  and oral care business while exiting battery and
  household appliances business.
 Financial restructuring: Focused on improving

  the margins, cost reduction and improving asset
  utilisation.
 The restructuring undertaken by Gillette paid

  off with increasing profits.
Leveraging India’s large market
   Gillette is tapping the large Indian consumer base to
    establish a strong presence in the country. The market for
    shaving blades in India is the largest in the world.

   The market for oral care (toothbrushes) is the second
    largest in the world, while that of batteries is the third
    largest in the world (all in volume terms).

    Apart from this the increasing consumer-spending
    capacity and the increase in retail activity are also some
    factors which attract Gillette to expand its business in
    India.

    http://www.ibef.org/download/GilletteIndia.pdf
Price Strategy

   Gillette Presto, a product designed to upgrade
    consumers who still use double-edge blades, with
    a product priced atRs18, and with refills priced at
    Rs5 which lasts up to 5 shaves. With the company
    pursuing a volume-led growth strategy, its
    advertising and promotion expenditure can be
    expected to continue growing at high levels.
    And, even as sales growth may continue to
    surprise on the upside, profit can be expected to
    lag for some time to come.
In a bid to increase share and growth, Gillette
introduced the Mach3 in November 2011, priced at
Rs125 or 60% lower than the Mach3 Turbo. This
product is targeted at greater conversions from the
doubled-edged segment, which accounts for 62%
and 86% of the razors and blades market, in value
and volume terms, respectively. And nearly half of
this market comprises users who get their shaves
done in a salon. Gillette is attempting to convert
this segment by giving them a salon-quality shave
at an affordable price.


http://www.livemint.com/2010/11/28211336/Gillette-India-shortterm-pai.html
MARKETING
   Strong distribution strategies played
    a prominent role in the robust
    growth, as a result of which Gillette
    brand has managed to tap both the
    ‚premium‛ and the ‚value-for-
    money‛ consumers – Sharat
    Verma, Marketing manager of
    Gillette India

   The lower-value products, followed
    the company’s realisation that while
    ‚new and improved‛ is still
    good, ‚lower price‛ works better in
    these tough times
BRANDING
Umbrella Branding
PROMOTIONS AND
ADVERTISEMENTS


  {
Gillette’s ‘SHAVE INDIA MOVEMENT’
GILLETTE ‘SHAVE SUTRA’
Arjun Rampal and Neha Dhupia lead Gillette Mach3 Turbo
Sensitive’s conduct Gillette Shave Sutra – The World’s Largest
Shaving Lesson

• 150 couples come together to break the world-record for the
Largest Shaving Lesson EVER!!

• Gillette Shave Sutra demonstrates how with the comfort of
Mach 3 Turbo Sensitive shaving becomes so effortless that even
your partner can shave you.
 Tied up with Rediff-on-the-Net e-commerce to market its product

 Tied up with ZAPAK for The India Gaming Championship 2009

 Uses sports as a major promotional vehicle

 Uses social networking sites like Facebook to promote it’s products
and carry out different surveys
BRAND
AMBASSADORS
GILLETTE IN THE
 MINDS OF THE
  CONSUMERS
HOW OFTEN DO YOU SHAVE?
        Frequency



                    Alternate days
                    Every 3-4 days
                    Twice a week
                    Once a week
                    Once in 2 weeks
TRADITIONAL RAZOR
50
45
40
35
                                               Gillette
30
25                                             Dynamite
20                                             Topaz
15
                                               7'o clock
10
5
0
     Gillette   Dynamite   Topaz   7'o clock
WHICH DISPOSABLE RAZOR DO YOU
PREFER?     Preference




                     Gillette Guard
                     Super Max
                     Presto
                     Dynamite
WHICH REPLACEMENT CARTRIDGES DO
            YOU USE?

  25


  20


  15


  10


  5


  0
       Mach 3   Mach 3 plus   Vector plus   Fusion
DO YOU USE AN ELECTRIC
SHAVER?



                    YES
                    NO
WHICH SHAVING CREAM/SHAVING
FOAM/SHAVING GEL DO YOU USE?

 60%

 50%

 40%

 30%

 20%

 10%

 0%

       Nivea   Old Spice   Gillette    Park
                                      Avenue
PREFERENCE ON THE BASIS OF?


                      Availibility
                      Price
                      Easy To Use
                      Safety
                      Quality
                      Quick
IF THE FIRST PREFERENCE IS NOT
AVAILABLE,WHAT WOULD YOU BUY?



                         Some Other
                         Brand
                         Same Brand
IF THE PRICE OF YOUR PREFERRED BRAND
INCREASES, WHAT WOULD YOU DO?


 90
 80
 70
 60
 50
 40
 30
 20
 10
 0

      Shift To Other Brand   Still Buy Same
GILLETTE IN THE
 MINDS OF THE
    SELLERS
DISTRIBUTION OF SALES

                  Sales
      24%



                            Gillette
                            Axe
                      55%   Supermax
15%

                            others

            11%
SALES GRAPH OF GILLETTE PRODUCTS


6

5

4

3
                                       SALES
2

1

0
      Fusion   Mach 3 turbo   Presto
PRICE AND QUALITY OF THE PRODUCTS
Almost all the sellers surveyed feel that the Gillette
products are premium in quality.

The company offers products for middle as well as higher
income groups.

Gillette constantly strives to provide convenience and
better quality to its consumers

The products are priced as per its quality. Though a little
expensive, the price is worth the quality

Attractive advertisements and sponsoring events one of
the key reasons for higher sales.
STOCK OF THE PRODUCTS IN THE SHOPS

The products are easily available.


Efficient follow-up by the distributors
in the retail shops.

Very rarely there occurs a shortage.

Gillette recently adopted D.C system
for its modern trade. This has lead to
better availability in the super markets.
COMPLAINTS AND SUGGESSTIONS
Hardly any complaints from the end-users.

Minimal instances of the products procured from the
distributors being defective. However, defects occurring
during transportation can be neglected.

The company must allow credit duration of a week.

Better margins expected from the company. Shouldn’t merely
be a ‘A SOCIAL SERVICE’ act by the retailers. Competitors
offer 10-15% extra margin than Gillette.

Blades more expensive than razors. Reduction in blade prices
will help considerably in increasing the market share.
Gillette India

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Gillette India

  • 1. {
  • 2. The company established by King Camp Gillette on 28 September 1901 in Boston.  Initially it was American Safety Razor Company.  The invention of Razor was patented in 1904.  1905 Develops new markets by opening London Offices.  1914 Gillette brokers deal with US Army (3.5 Million razors, 36 Million blades)  In 1952, its name changed to The Gillette Company.  In India, co. established on 9th February 1984, in Rajasthan as Indian Shaving Products Limited and was jointly promoted by House of Poddar Enterprises and Gillette co.  Now it is called as Gillette India Ltd.  Merged with Duracell (India) Pvt. Ltd. and Wilkinson Sword India Ltd.
  • 3.  1973 Net Sales exceed $1Billion.  1980 Net Sales exceed $2 Billion.  Sold off to P&G in 2005 for $57 billion  Launched various innovative products to capture the Indian Audience  Market leader in premium shaving care segment  Good reputation for delivering high quality, value added products  Still in the infant stage with great opportunities ahead. Saw a 16% growth in 2008  Awarded as the 13th most global brand by Bloomberg Businessweak References: http://www.moneycontrol.com/company-facts/gilletteindia/history/GI22 http://images.businessweek.com/ss/09/09/0917_global_brands/89.htm
  • 4. BRAND HIGHLIGHTS  Gillette India Limited (GIL) is one of India's well-known FMCG Companies.  The world's largest personal care and household products company.  First in INDIA to introduce gel in tubes.  Running since 111 years (1901-2012).  Global Leader in premium shaving care segment  Over 1 Billion men start their day with Gillette.  Manufacturing operations located in 23 countries.  Distribution in 200+ countries.
  • 5. Core Businesses Gillette India Limited (GIL) has 3 core businesses:  Grooming  Portable Power  Oral Care
  • 6. GILLETTE WORLDWIDE MANUFACTURING SUBSIDIARIES UK EUROPE ASIA NORTH AMERICA SOUTH AMERICA AFRICA AUSTRALIA
  • 7. STRENGTHS WEAKNESS Highly dependent on core business Creativity and R&D investment Expensive brand maintenance Product availability worldwide Heavy Dependence on Street Retail Outlets People Reliance on Quality of Product Gillette has multiple blade and razor Strong marketing and advertising systems but their cartridges are not Strong brand loyalty interchangeable with their other models Market Leader SWOT OPPORTUNITIES ANALYSIS THREATS Use of e-commerce Increased Grooming, changes in societal New Competitors attitudes and consumer brand preference Growth in number of substitutes New product launches Electric shaving technology Increasing buying Power Economic downturn Demand for high quality products Cloning of successful brands Still an infant industry in India with huge scope for growth in future
  • 8. GLOBAL STRATEGY  Corporate Objective  global focus on consumer products  global competitive advantage in quality, value added personal care/use products  Global Market  competing in the triad markets (Europe, Japan, North and South America)  industry concentration  global market leadership in male and female grooming products
  • 9. THE GILLETTE STRATEGY  Global resources organised and deployed to achieve market leadership in all their products  to maintain and increase existing market share in male and female grooming products  Corporate Strategy  aggressive research and advertising  strategic diversification e g mergers & acquisitions  new product developments (invest in technology and product innovation)  focus on core competencies  maximise e-commerce opportunities  build strong product portfolio
  • 10.
  • 11. GILLETTE’S STRATEGY IN INDIA Launching innovative and customised products  Gillette has created a new market for the power battery toothbrush through Oral-B (the oral care subsidiary of Gillette India). It also introduced Mach3Turbo, a triple- blade shaving system in India. Gillette India has launched customised products specially designed for Indian consumers. It introduced ‚Vector Plus‛, which is a twin blade system with push clean anti-clogging function in the mid- price segment.
  • 12. Localisation of distribution system and wide distribution network  Gillette’s sales and distribution network is wide, enabling consumers all over the country to buy its products.  Gillette has localised its distribution system and made it specific to the Indian market.  Gillette has targeted the Indian market on a shop-by-shop basis as against the European and US market where there are only few major retailers.
  • 13. Restructuring business to drive  Gillette restructured its business in India in 2003.  Strategic restructuring: Focused on grooming and oral care business while exiting battery and household appliances business.  Financial restructuring: Focused on improving the margins, cost reduction and improving asset utilisation.  The restructuring undertaken by Gillette paid off with increasing profits.
  • 14. Leveraging India’s large market  Gillette is tapping the large Indian consumer base to establish a strong presence in the country. The market for shaving blades in India is the largest in the world.  The market for oral care (toothbrushes) is the second largest in the world, while that of batteries is the third largest in the world (all in volume terms).  Apart from this the increasing consumer-spending capacity and the increase in retail activity are also some factors which attract Gillette to expand its business in India. http://www.ibef.org/download/GilletteIndia.pdf
  • 15. Price Strategy  Gillette Presto, a product designed to upgrade consumers who still use double-edge blades, with a product priced atRs18, and with refills priced at Rs5 which lasts up to 5 shaves. With the company pursuing a volume-led growth strategy, its advertising and promotion expenditure can be expected to continue growing at high levels. And, even as sales growth may continue to surprise on the upside, profit can be expected to lag for some time to come.
  • 16. In a bid to increase share and growth, Gillette introduced the Mach3 in November 2011, priced at Rs125 or 60% lower than the Mach3 Turbo. This product is targeted at greater conversions from the doubled-edged segment, which accounts for 62% and 86% of the razors and blades market, in value and volume terms, respectively. And nearly half of this market comprises users who get their shaves done in a salon. Gillette is attempting to convert this segment by giving them a salon-quality shave at an affordable price. http://www.livemint.com/2010/11/28211336/Gillette-India-shortterm-pai.html
  • 17. MARKETING  Strong distribution strategies played a prominent role in the robust growth, as a result of which Gillette brand has managed to tap both the ‚premium‛ and the ‚value-for- money‛ consumers – Sharat Verma, Marketing manager of Gillette India  The lower-value products, followed the company’s realisation that while ‚new and improved‛ is still good, ‚lower price‛ works better in these tough times
  • 21. GILLETTE ‘SHAVE SUTRA’ Arjun Rampal and Neha Dhupia lead Gillette Mach3 Turbo Sensitive’s conduct Gillette Shave Sutra – The World’s Largest Shaving Lesson • 150 couples come together to break the world-record for the Largest Shaving Lesson EVER!! • Gillette Shave Sutra demonstrates how with the comfort of Mach 3 Turbo Sensitive shaving becomes so effortless that even your partner can shave you.
  • 22.  Tied up with Rediff-on-the-Net e-commerce to market its product  Tied up with ZAPAK for The India Gaming Championship 2009  Uses sports as a major promotional vehicle  Uses social networking sites like Facebook to promote it’s products and carry out different surveys
  • 24. GILLETTE IN THE MINDS OF THE CONSUMERS
  • 25. HOW OFTEN DO YOU SHAVE? Frequency Alternate days Every 3-4 days Twice a week Once a week Once in 2 weeks
  • 26. TRADITIONAL RAZOR 50 45 40 35 Gillette 30 25 Dynamite 20 Topaz 15 7'o clock 10 5 0 Gillette Dynamite Topaz 7'o clock
  • 27. WHICH DISPOSABLE RAZOR DO YOU PREFER? Preference Gillette Guard Super Max Presto Dynamite
  • 28. WHICH REPLACEMENT CARTRIDGES DO YOU USE? 25 20 15 10 5 0 Mach 3 Mach 3 plus Vector plus Fusion
  • 29. DO YOU USE AN ELECTRIC SHAVER? YES NO
  • 30. WHICH SHAVING CREAM/SHAVING FOAM/SHAVING GEL DO YOU USE? 60% 50% 40% 30% 20% 10% 0% Nivea Old Spice Gillette Park Avenue
  • 31. PREFERENCE ON THE BASIS OF? Availibility Price Easy To Use Safety Quality Quick
  • 32. IF THE FIRST PREFERENCE IS NOT AVAILABLE,WHAT WOULD YOU BUY? Some Other Brand Same Brand
  • 33. IF THE PRICE OF YOUR PREFERRED BRAND INCREASES, WHAT WOULD YOU DO? 90 80 70 60 50 40 30 20 10 0 Shift To Other Brand Still Buy Same
  • 34. GILLETTE IN THE MINDS OF THE SELLERS
  • 35.
  • 36. DISTRIBUTION OF SALES Sales 24% Gillette Axe 55% Supermax 15% others 11%
  • 37. SALES GRAPH OF GILLETTE PRODUCTS 6 5 4 3 SALES 2 1 0 Fusion Mach 3 turbo Presto
  • 38. PRICE AND QUALITY OF THE PRODUCTS Almost all the sellers surveyed feel that the Gillette products are premium in quality. The company offers products for middle as well as higher income groups. Gillette constantly strives to provide convenience and better quality to its consumers The products are priced as per its quality. Though a little expensive, the price is worth the quality Attractive advertisements and sponsoring events one of the key reasons for higher sales.
  • 39. STOCK OF THE PRODUCTS IN THE SHOPS The products are easily available. Efficient follow-up by the distributors in the retail shops. Very rarely there occurs a shortage. Gillette recently adopted D.C system for its modern trade. This has lead to better availability in the super markets.
  • 40. COMPLAINTS AND SUGGESSTIONS Hardly any complaints from the end-users. Minimal instances of the products procured from the distributors being defective. However, defects occurring during transportation can be neglected. The company must allow credit duration of a week. Better margins expected from the company. Shouldn’t merely be a ‘A SOCIAL SERVICE’ act by the retailers. Competitors offer 10-15% extra margin than Gillette. Blades more expensive than razors. Reduction in blade prices will help considerably in increasing the market share.