120045214 case study gillette

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Page 1: 120045214 Case Study Gillette

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Class: BBA 8th

Topic: Case Study Gillette

Submitted to: Mam Zoya Khan

Submitted by : Zulkernain Mukhtar

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1 !o" is the Gillette Series bein# positioned "ith respect to $a% competitors& $b% the

tar#et market& $c% the product class& $d% price and 'uality( )hat other positionin#

possibilities are there(

Answer: $a% Competitors:

The first thing which positioned Gillette series among their major competitors is that they are

focusing on Technology. As it is mentioned in case study that a company spent 300 million dollar 

to develop a technology that can significantly improves 3 major attributes of shaving

• Closeness

• Comfort

• afety

They also provide innovative ideas li!e introducing a ra"or with independently moving twin

 blades. The company also spent a good amount in advertising as it is mentioned in this case

study that they spent ##0 million dollars in the first year to advertise ensor which help them to

reduce the mar!et percentage of disposables from $0% to &'%

The company also shows that the customers always comes first for them as it is mentioned the

introduction of a new product line was cancelled by the Gillette(s C)*+ Alfred ,eien. -e insisted

that the line not be launched until consumer tests showed that each of the #& products was

 preferred to the best performing brand in its category. o these are few main reasons due to

which Gillette is able to be positioned among their competitors.

$b% Tar#et Market:

The company produces blades and toiletries accessories and wanted to capture the big mar!et of 

it as the company(s C)*+ ,eien says+ /we(re already the worldwide leader in blades+ ill we be

the world leader in other 1toiletries2 or not That(s our goal.4 As it is mentioned in this case

study that the company(s goal is to become a number one leading company in toiletries mar!et.

Gillette mostly target men around the world. 5ut not in the start of the company as it is shown in

this case study that Gillette(s success+ 6ight Guard 7eodorant was a mar!et leader in the #890(s.

6ight Guard was one of the first Aerosols+ and it became a family product which was used both

 by men and women.

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$c% *roduct class:

roduct class means group or range of products that may serve as substitutes for one another.

Gillette introduces a wide range of new toiletries product which is based on ;uality and they try

to convince the customers to switch brands and pay the higher prices. They produce ensor 

ra"ors for shaving which can be used in the place of disposable ra"ors. ensor ra"ors gives much

 better shave then disposable ra"ors. ensor ra"ors are ;uite e<pensive then disposable ra"ors but

they give much better shave then disposable ra"ors so if the men want a good smooth shave then

he must go for sensor ra"or. imilar to sensor ra"ors Gillette many products li!e deodorants+ after 

shave gels+ after shave lotions etc can be used as substitute of the products made by other 

companies.

$d% *rice and +uality:

Gillette always focuses on ;uality. Gillette main agenda is to convince the customers to switch

the brand on the basis of ;uality not price. They spent a lot of investment in producing ;uality

 products that can give better performance li!e sensor ra"ors which gives much better shave then

the other ra"ors although it is little bit e<pensive but it ensured ;uality shave. imilarly they

spent nearly => million dollar in producing other ;uality products li!e shaving creams+ shaving

gels+ after shaving gels+ after shaving lotions etc which prices are #0 '0 % higher than the prices

of major competing items. They target the ;uality oriented customers more then price oriented.

And ? thin! this is not a bad idea.

$e%  ,ther *ositionin# *ossibilities -or Gillette:

*ther positioning possibilities for Gillette is advertising and mar!eting. They spent about 90

million dollar in advertising their new product line with sensor. They come up with a different

and very impressing tag line which is /The 5est a man can get4. @owadays they are focusing

more in mar!eting field as they select world(s best athletes and celebrities li!e Tiger oods+6oger ederer+ Thierry -enry+ Bicheal Clar! as their brand ambassador.

. /s Gillette makin# the best use o- the brand e'uity that has been created "ith

Sensor(

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Answer: yes because Gillette is using its most recent success+ the sensor ra"or+ as a springboard

for its new toiletries which is not a bad idea. The ensor story provides the bac!ground necessary

to understand the mar!eting of the Gillette eries+ and also offers some insight into Gillette(s

mar!eting abilities. o they decided to use sensor as a springboard for other new product. The

other toiletries products comes in silver and blue pac!ages li!e the ensor+ and the blac! lines on

the pac!ages match the grooved sides of the ensor 6a"or handle as well. The company also

decided to spend 90 million on a joint advertising campaign with ensor. ?nitial TD

commercials were one minute in length. They started with #> seconds on shaving gels+ and

cream+ followed by 30 seconds on ensor and #> seconds on aftershaves. This is a good idea

 because it psychologically affects the mind of the customers. A normal person can thin! that

these stuffs are related to each other if you can buy a Gillette(s sensor ra"or then you have to buy

Gillette(s shaving gel and aftershave as well.

0 )hat strate#ies do you propose to Gillette( Address the entire marketin# mi

Ans"er: Bar!eting mi< consists of &p(s. 5ut there are some other (s as well which is also

considering being the important aspect of mar!eting. Gillette has to focus on all these =p(s of 

mar!eting in order to get advantage over their competitors. These =p(s are discuss below

$1% *roduct

Gillette is worldwide leader in blades they have to focus on other toiletries products for 

that purpose they introduce new product line deodorants+ shaving cream+ aftershave etc.

They should focus on ;uality of the product as it is clear from this case study that Gillette

normally target ;uality oriented customers. They should also introduce new products li!e

sports watches+ sports shoes+ clothing+ sports accessories etc as ? thin! this can benefit a

company a lot.

$.% *rice

Gillette normally target ;uality oriented people and their main target is to convince the

customer to switch the brand on the basis of ;uality not price. 5ut pricing strategy is very

important in mar!eting. ? thin! they should focus on penetration pricing strategy. ?t is

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used as a loyaltybuilding or mar!etentry tool. The penetration pricing strategy offers a

high;uality product at a much lower than e<pected price. This combination helps the

 business enter a new mar!et even when strong competitors e<ist+ and it builds loyalty

with new customers from the beginning. And ? thin! this strategy suits Gillette because

their main focus is ;uality and they want to ensure the customers that their products are

of good ;uality and their prices are not very high.

$0% *lace

Gillette is usually using indirect distributing channels ie their products normally found

on general shops or stores. ? thin! they also have to focus on direct distribution method as

well li!e opening outlets which contains only Gillette products. This can also help them

to improve their company(s revenue.

$2% *romotion

romotion is considered to be the most important mar!eting mi< among all. romotion

contains advertising which is very important aspect of mar!eting. The company has done

well enough in this department for e<ample recently in a!istan they ma!e famous pop

music band T6?@G as their brand ambassador. 5y investing more money and by

 putting more effort the company can improve their promotion strategies. 

$3% *eople

Gillette has to ma!e sure to the people that their product is made only to comfort them.

The company must ensure their customer that people always comes first for them. This

can help Gillette to increase the number of loyal customer. ?f the customer is satisfied

with Gillette(s this strategy then he or she can easily shift the brand without caring about

 price.

$4% *rocess

 The process of product and service delivery is crucial as it ensures that the same standard

of service is repeatedly delivered to the customers. Gillette has to ma!e sure that they

 provide best process of products or services delivery. They have to ma!e strategies to

ma!e sure that their product is easily available to the people or customer.

$5% *hysical Appearance

?t is also consider being the important part of mar!eting mi<. hysical appearance is the

first distinction of a product. Gillette has to ma!e sure that their customer easily

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recogni"ed their product form its physical appearance. They have done ;uit well in this

field if we see their products li!e Bach eries+ usion+ sensor e<cel ra"ors etc. they are

all came in very stylish loo!. This helps them to attract the customer.