Clean Edge Razor

2) How is the nondisposable razor market segmented? What are the crucial elements of consumer behavior for nondisposable razors?

According to an article from dailymail.co.uk., men are spending more time worrying about grooming which is a push brought on by the media and current trends. "Apparently, men spend 83 minutes a day on personal grooming, including cleansing, toning and moisturising, shaving, styling hair and choosing clothes." the article is about men and how more and more men are practicing a more concerned lifestyle of metrosexuality, in which they focus on their looks and physical representation more then the regular man. These behaviors are catching on and have become the new norm. It's quite normal for men to trim and or clean shave most if not all of their body, for the sake of looks and hygiene. Without all of the excess hair, you have a less susceptible spot for sweat to build up and bacteria to grow. I really like the way they phrased these changes in the article. "Simon Comins, of Superdrug, said: 'Once upon a time it was cool for men to appear rough and ready, looking like they hadn't spent more than a couple of minutes getting ready in the morning. "But these days, everyone appreciates a man who takes care of his appearance, smells nice and looks like he has made an effort.".

1. What changes are occurring in the non-disposable razor category? Assess Paramount’s competitive position. What are the strategic life-cycle challenges for Paramount’s current products as well as Clean Edge?

According to Randall’s analysis, to launch “Clean Edge” as a mainstream product would require significantly more market support. Mainstream razor unit volumes were expected to capture over three times niche volumes in the first year, and reaching the masses would require an extensive advertising campaign as we can observe on Exhibit 7. In other hand, launching as a “niche” positioning, would be a lot cheaper. Also, the company could use the market penetrance of the brand to help consumers buy the product.

Majority of us guy’s go to a barbershop to get a sharp haircut or just to kick back and get a laugh out of all the crazy and funny story’s that customers or barbers like to share. At times that barber can be a role model to us younger gentlemen because some of us might of grew up without a father figure in are life and he could show a positive example of what a hardworking man should be or basically just because he is a man’s best friend because that 30-45 minute haircut could include some of the best advice that you have ever received from another person. But one thing that 50% of us didn’t know that Barber’s in the early ages were Barber surgeons, which meant that they were surgeons and also dentists performing most of the duty’s that a normal dentist or surgeon would do now a days. So that’s why I decided to do my Research paper on how barbering has changed over the year’s! I’ve spent various amount of hours shadowing barbers who are veterans in the barber business and well known and respected among the barber community and also been attending barber battles and competition’s around the Bay Area just so I can see the different types of styles a certain type of crowd might have over a certain crowd and to experience that real barber brother and sister connection there is that is well known and respected among different barbers nation and country wide. With this experience of shadowing barbers and spending time in barbershops I’ve seen the art of barbering is a beauty many

The introduction of the Sensor Shaving System, one of the biggest product launches ever, forced Gillette to reevaluate its strategy in its shaving and non-shaving business. It had to decide whether to go ahead with the launch and if so, at what scale.

Panasonic ES-LA93-K: The electric shaver is as good as the one’s listed above and for those who prefer closest of shaves without any risk, this device is the best choice. For the prevention of ingrown hairs there is an ultra thin vibrating outer foil which lifts any flat lying hair so that the shave is equal and close. The two motor system, flexible pivot, linear motor with 14,000 CPM, multi fit arc blades, etc. produces a powerful and smooth shave every time.

Synopsis: Gillette has long been known for innovation in both product development and marketing strategy. In the highly competitive, but mature, razor and blade market, Gillette holds a commanding worldwide market share. The peak of its innovation occurred in 2006 with the introduction of the Fusion 5-bladed razor. Today, innovation in razors and blades is thwarted by a lack of new technology and increasing consumer reluctance to pay for the “latest and greatest” in shaving technology. Gillette must decide how to put the razor wars behind them and maintain or increase its share of the global razor market.

Paramount has become a market leader in global consumer products; but knows that innovation is vital to continue success. Paramount has used technology to create an innovative razor, but wants to make sure that it is positioned effectively.

For this reason, Gillette has always been trying to innovate in the market with new products. But they did not want their product to be bought just because they are a novelty but because it was perceived by the customer as a good quality product and have a staying power and product loyalty. This can be illustrated by the launch of the “Fusion” product by

Present sales of the Paramount in razor industry come to $170 million and Paramount Pro contributes to this significantly. By introducing Clean Edge in the mainstream sector a 60% fall in the sales of Pro is predicted and the revenue generated by it will come down to $68 million. But it is expected that clean edge will generate a revenue of $147.8 million* and in turn Paramount can achieve a net sales of $215.8 million. Marketing cost is approximated to $42 million and Paramount will be able to generate a profit of $173.8 million. If they had positioned it in the niche segment they would lose only 35% sales of Pro. But at the same time, due to the constraints in the market clean edge can raise sales of only $52.8 million and the net sales will total to $163.3 million. Here the marketing cost is approximated to $15 million and the revenue generated will amount to $148.3 million. Thus the figures clearly indicate that concentrating the mainstream would be more beneficial. Also Paramount will be able to achieve a profit margin of $3.09 per unit even after providing distributors a margin of $3.36 per unit.

The Gillette Company has effectively entered the razor blade market in the main parts of Indonesia. Even though there is still a lot of potential for growth, it faces stiff competition, as well

Gillette is seeking means to retain dominance in market share they have lead for the last century. Along with sustaining market share Gillette has continued focus on expanding worldwide into less saturated markets. In this analysis multiple alternatives will be explored in order to make a recommendation on steps that would favor Gillette’s organization in meeting their aspirations.

Gillette has successfully convinced the world that “more is better” in terms of number of blades and other razor features. Why has that worked in the past? What next?

Gillette is successful because the focus on the one thing they know and that is men. They understand what men need for their grooming needs, and their products are sold all over the world (P Kotler, 2017). Gillette’s popularity has worked because of several factors, including high-quality innovation, consumer research, and mass communications. With their research, and the fact they have kept improving their product, Gillette has made many breakthrough product innovations, which should allow their success to keep increasing. In 1971, there was the Trac II, the first twin-blade shaving system, then the Atra in 1977 there was a razor with a pivoting head, and then in 1989 they developed the Sensor the first razor with spring-mounted twin blades dubbed (P Kotler, 2017). In 1998, Gillette introduced the Mach3 it was the first triple-blade system, surpassed only by the 2006 launch of the six-blade Fusion, promoted as “the best shave on the planet.” (P Kotler, 2017) It is possible that Gillette can become as successful with Women as Men due to the fact Procter & Gamble acquired Gillette in 2005 and Procter & Gamble are experts at marketing to women, due to the fact most of their lines such as dishwashing liquid, laundry detergent, and hygiene products are aim for their woman clients.