{More than 1 billion men

across the world start their day with Gillette

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.

All About Gillette

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/GI22http://images.businessweek.com/ss/09/09/0917_global_brands/89.htm

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.

BRAND HIGHLIGHTS

Gillette India Limited (GIL) has 3 corebusinesses:

Grooming

Portable Power

Oral Care

Core Businesses

                                                                                                                                              

NORTHAMERICA

SOUTHAMERICA

UKEUROPE

AFRICA

ASIA

AUSTRALIA

GILLETTE WORLDWIDE MANUFACTURING SUBSIDIARIES

STRENGTHS

Creativity and R&D investmentProduct availability worldwidePeople Reliance on Quality of ProductStrong marketing and advertisingStrong brand loyaltyMarket Leader

WEAKNESS Highly dependent on core business Expensive brand maintenanceHeavy Dependence on Street Retail OutletsGillette has multiple blade and razor systems but their cartridges are not interchangeable with their other modelsOPPORTUNITIES

Use of e-commerceIncreased Grooming, changes in societal attitudes and consumer brand preferenceNew product launchesIncreasing buying PowerDemand for high quality productsStill an infant industry in India with huge scope for growth in future

THREATS

New CompetitorsGrowth in number of substitutesElectric shaving technologyEconomic downturnCloning of successful brands

SWOT ANALYSI

S

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

GLOBAL 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

THE GILLETTE STRATEGY

GILLETTE PRODUCTS

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.

GILLETTE’S STRATEGY IN INDIA

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.

 Localisation of distribution

system and wide distribution network

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.

Restructuring business to drive growth

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.

Leveraging India’s large market

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

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.

Price Strategy

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

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

MARKETING

BRANDINGUmbrella Branding

{

PROMOTIONS AND ADVERTISEMENTS

Gillette’s ‘SHAVE INDIA MOVEMENT’

 

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. 

GILLETTE ‘SHAVE SUTRA’

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 daysEvery 3-4 daysTwice a weekOnce a weekOnce in 2 weeks

TRADITIONAL RAZOR

Gillette Dynamite Topaz 7'o clock05

101520253035404550

GilletteDynamiteTopaz7'o clock

WHICH DISPOSABLE RAZOR DO YOU PREFER? Preference

Gillette GuardSuper MaxPrestoDynamite

WHICH REPLACEMENT CARTRIDGES DO YOU USE?

Mach 3 Mach 3 plus Vector plus Fusion0

5

10

15

20

25

DO YOU USE AN ELECTRIC SHAVER?

YESNO

WHICH SHAVING CREAM/SHAVING FOAM/SHAVING GEL DO YOU USE?

Nivea Old Spice Gillette Park Avenue

0%

10%

20%

30%

40%

50%

60%

PREFERENCE ON THE BASIS OF?

AvailibilityPriceEasy To UseSafetyQualityQuick

IF THE FIRST PREFERENCE IS NOT AVAILABLE,WHAT WOULD YOU BUY?

Some Other BrandSame Brand

IF THE PRICE OF YOUR PREFERRED BRAND INCREASES, WHAT WOULD YOU DO?

Shift To Other Brand

Still Buy Same0

102030405060708090

GILLETTE IN THE MINDS OF THE SELLERS

55%

11%

15%

24%

Sales

GilletteAxeSupermaxothers

DISTRIBUTION OF SALES

Fusion Mach 3 turbo

Presto0

1

2

3

4

5

6

SALES

SALES GRAPH OF GILLETTE PRODUCTS

PRICE AND QUALITY OF THE PRODUCTSAlmost 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 SUGGESSTIONSHardly 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.

Tarin PoddarMeera Panchal

Ummulkiram PardawalaSmik Hindocha

Niket Shah

Truly, Gillette is the best a man

can get!