Marketing management course case study of gillette

The brand markets itself as providing “high-performance styling and grooming products for men.” More than 600 million men worldwide shave with a Gillette product.. Over 800 million men u

THE STATE BANK OF VIETNAM MINISTRY OF EDUCATION

AND TRAINING

HO CHI MINH CITY UNIVERSITY OF BANKING

MARKETING MANAGEMENT COURSE

CASE STUDY OF GILLETTE

Students: 050609212262 - Dang Pham Huyen Trang

0506092 10856 — Vo Thi Kim Ngan

050610220601 — Tran Minh Thu

050610220601 — Nguyen Tran Hong Ngoc

Ho Chi Minh City, 31th October, 2024

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1 Introduction about enterprise

Gillette is a leading brand of razors and personal hygiene products It was founded in

1895 It produced the first safety razors using disposable blades in 1902 In 1958, it produced its first ‘adjustable’ razor — the model for most of today’s razors The company

is famous for bringing out different designs of razors, each claiming to produce a much better, closer shave than the ones before Its slogan is "The Best a Man Can Get" The brand markets itself as providing “high-performance styling and grooming products for men.” More than 600 million men worldwide shave with a Gillette product Gillette was bought by Procter and Gamble in 2005 and the name ‘The Gillette Company’

disappeared The company also produces shaving gels and creams, hair care products, and deodorants

2 Summary of Case Study

Gillette dominates the global shaving market with a 70% market share and $8 billion

in annual sales Over 800 million men use Gillette products, contributing to its brand value of $22.9 billion Since its founding in 1901, the company has introduced numerous innovations, including the Mach3 and Fusion razors Gillette's success is driven by high- quality products, extensive consumer research, and strong marketing campaigns, particularly through sports sponsorships After being acquired by Procter & Gamble in

2005, Gillette continues to be a highly profitable business

IL How Gillette manages mass media

Innovation and Technological Advancements: Gillette’s commitment to innovation has been a cormerstone of its success The brand has consistently introduced cutting-edge technologies and advancements in shaving solutions From introducing the safety razor to developing multi-blade systems, pivoting heads, and precision trimmers, Gillette has

continually pushed the boundaries of shaving technology By leveraging research and development, the brand has been able to create products that deliver superior

performance, comfort, and precision This focus on innovation has allowed Gillette to stay ahead of competitors and meet evolving customer needs

Quality and Reliability: Gillette’s relentless pursuit of quality and reliability has been instrumental in building trust and loyalty among consumers The brand places a strong emphasis on delivering products that consistently meet or exceed customer expectations Gillette has established a reputation for reliability and performance by ensuring product durability, consistency, and effectiveness This commitment to quality has fostered long-term customer relationships and has resulted in a high level of brand

trust

Strong Brand Equity: Gillette has successfully built a strong brand equity over the years The brand is widely recognized and associated with attributes such as precision, innovation, and a superior shaving experience Through strategic marketing initiatives, Gillette has effectively communicated its brand values, positioning

itself as a trusted and reliable choice for men’s grooming needs The brand’s consistent brand messaging, iconic taglines, and memorable advertising campaigns have contributed

to its brand equity, creating a positive perception among consumers

Extensive Product Line: Gillette’s extensive product line has played a vital role in its success The brand offers a wide range of products that cater to different shaving preferences, skin types, and grooming routines Whether it’s manual razors, electric shavers, shaving creams, or grooming accessories, Gillette’s diverse product portfolio ensures that it can meet the needs of various customer segments This wide selection enables the brand to capture a significant market share and provide comprehensive grooming solutions for men worldwide

Effective Marketing Strategies: Gillette’s marketing strategies have been pivotal in establishing and reinforcing its market leadership The brand’s advertising campaigns, celebrity endorsements, and emotional storytelling have effectively resonated with consumers, creating an emotional connection with the brand Gillette’s marketing efforts

have consistently communicated the brand’s commitment to excellence, innovation, and social responsibility By leveraging targeted advertising, strategic partnerships, and digital marketing initiatives, Gillette has successfully captured the attention of its target audience and maintained a strong brand presence

Distribution and Logistics: Gillette’s strong distribution network and robust logistics infrastructure have been instrumental in its success The brand’s widespread availability

in retail outlets, both online and offline, ensures easy accessibility for

customers Gillette’s investment in a sophisticated supply chain and logistics

management has also facilitated efficient inventory management, quick order fulfillment, and reliable product delivery This focus on distribution and logistics ensures that customers can easily access Gillette products and receive them promptly

Ill The Importance of Brand Ambassadors to Gillette

Enhancing Brand Recognition: Famous sports ambassadors help Gillette reach a broad audience For example, Gillette’s partnership with David Beckham in 2004 expanded its reach in Europe and Asia, increasing regional sales by up to 20% from 2004-2005 Thanks to the broad influence of these ambassadors, Gillette has established a strong global presence, holding a 70% market share in the shaving industry

Building Credibility and Trust: Endorsements from top athletes bring credibility and reliability to Gillette's products According to Brand Finance, partnerships with sports icons like Roger Federer and Tiger Woods helped Gillette increase its brand value

to $22.9 billion in 2008 These ambassadors reinforce Gillette's image as a high-quality and trusted brand that consumers can rely on

Creating Emotional Connections: Brand ambassadors can foster an emotional connection between the brand and consumers For example, the Gillette Champions program, launched in 2007, highlighted the achievements of Roger Federer and Tiger

Woods and boosted customer loyalty by 15% through these associations This has helped Gillette maintain and grow long-term relationships with customers

Leveraging Positive Values and Image: Athletes represent values such as

perseverance and success By partnering with Michael Phelps and Serena Williams, Gillette utilized images of persistence and achievement to elevate its brand position in the minds of consumers This campaign contributed to an 18% sales growth for Gillette from

2015 to 2016

IV Impact of Scandal on Brand Reputation: Analyzing the Influence of the Tiger Woods Scandal on Gillette's Brand Image and Value

The Tiger Woods scandal began in November 2009 with reports of a car accident near his home, followed by rumors of extramarital affairs After the accident, Woods faced allegations of multiple affairs, leading to widespread media and public criticism This incident not only impacted Woods’ personal image but also resulted in significant losses for the brands he endorsed, including Gillette, Accenture, and AT&T Following the scandal, Accenture's stock dropped by 2%, and Gillette decided to terminate its contract

to limit potential losses

Loss of Brand Value: Woods' scandal caused consumers to have a negative perception of Gillette A study from Harvard Business Review indicated that brands associated with controversial celebrities could lose 1-3% of their market value

immediately due to decreased credibility In the case of Woods, Gillette lost more than

$10 million in brand value in a short period

Reduced Customer Trust and Loyalty: After the Woods scandal, surveys showed that 40% of Gillette customers felt disappointed and lost trust in the brand Customers often view brand ambassadors as an extension of the brand’s identity, so when the ambassador is involved 1n a scandal, the brand image is also heavily affected This

association can cause current and potential customers to distance themselves from the brand

Financial Damage and Stock Impact: Woods generated approximately $90 million annually for his sponsors before the scandal, but afterward, brands like Gillette and Accenture ended their contracts, losing part of the expected revenue After reducing Woods' presence m advertising and officially terminating the contract, Gillette spent over

$5 million on new advertising campaigns to rebuild its brand image

Widespread Media Impact: Television programs like South Park and The Tonight Show continuously covered Woods' scandal, making it a central topic and placing pressure on associated brands This widespread coverage amplified the scandal, increasing Gillette's global losses and forcing the company to work hard to regain public trust in the brand

How Gillette Managed Brand Ambassador Controversy

Reducing Woods’ Presence in Advertising: Gillette reduced the frequency of ads featuring Woods shortly after the scandal, lessening the brand’s association with negative publicity

Terminating the Contract: Gillette ended its contract with Woods to protect its values and minimize associated risks This action clearly demonstrated the brand’s stance

on ethical issues

Using Public Messaging: Gillette utilized media to emphasize that it does not tolerate inappropriate behavior, helping the brand reaffirm its core values and attract ambassadors who better align with those values

V, Gillette and products for women

1 The birth of Gillette Venus

The late 19th and early 20th centuries witnessed a surge in the feminist movement, which empowered women and demanded equality across all spheres of life, including personal care This shift led to a growing emphasis on women's beauty and self-esteem, fueling a booming cosmetics and beauty industry Women began to view beauty as a reflection of self-care, confidence, and individuality

Gillette recognized this evolving landscape and identified a gap in the market Women were often forced to use men's razors, which were ill-suited to their needs and could cause skin uritation By developing a razor specifically designed for women, Gillette not only met a growing demand but also demonstrated a deep understanding of the female consumer

The launch of the Gillette Venus razor in 1992 was a groundbreaking move that created a new market segment and paved the way for further innovation in the beauty industry

1.2 Brand meaning

Venus 1s the name of a goddess in Roman mythology, symbolizing love, beauty and seduction When naming the women's razor product line, Gillette was very sophisticated

in choosing a name with a deep meaning

2.1 Advertising

In 1992, Gillette Co unveiled Venus, its new three-bladed razor for women, and said it would spend $100 million on advertising the product in the 12 months following its launch

On 2022, Gillette Venus introduced a new product, Venus Skin Love, designed to cater to the needs of young Indian women This innovative hair removal product is enriched with special skin essence to provide a painless and smooth shaving experience To celebrate the launch, Gillette Venus collaborated with popular influencers Ananya Panday, Prajakta Koli, Kritika Bharadwaj, and Revathi Pillai for a live YouTube discussion The Venus Skin Love is equipped with a flexible head and a scented handle, ensuring a comfortable

and refreshing shaving experience Its dual finger rest and elevated cartridges enable easy maneuvering, even on the most delicate areas of the body

2.2 Events and Experiences

On 2018,Procter & Gamble - P&G's women's razor brand Gillette Venus launched 'Her Shot' a social experiment designed to promote women's perspectives As part of the initiative, Gillette Venus is focused on:

¢ Working with 10 up-and-coming female directors to create video content that showcases a woman's point-of-view The brand hopes to show the impact of a female perspective on the world

¢ Partnering with actress and director Regina King to provide tips and advice to help the directors succeed in the industry

« Raising awareness about the lack of women and diversity among creators in the marketing and media industry, as fewer than 7% of directors are women

¢ Bringing more visible and mvisible diversity to the brand, in front of as well as behind the camera

This experience was part of the 'My Skin, My Way' campaign, designed to attract public attention This aimed at diversifying images of beauty It sent the message that there is

no one way to have beautiful skin or to show it The film on Youtube aimed to diversify and represent more woman and stories and features a woman with Vitiligo, a common, genetic, autormmune skin disease resulting in loss of pigment The film also shined a light on those who defy convention and break the social norms by featuring women with tattoos, nose rings etc ‘My Skin, My Way’ created by Grey New York

2.3 PR

Gillette Venus leverages strategic partnerships to enhance its brand reputation and customer engagement By collaborating with influential figures in the beauty and skincare industry, such as dermatologists and beauty influencers, the brand gains credibility and expands its reach These partnerships often involve product reviews and testimonials, offering authentic perspectives that resonate with consumers

Furthermore, Venus incorporates educational elements into its PR strategy, positioning itself as a trusted authority in personal care Campaigns focusing on proper shaving techniques and skincare tips provide valuable information to consumers, fostering a deeper connection with the brand

Gillette Venus also demonstrates its commitment to social responsibility by supporting causes aligned with women’s health and well-being By partnering with organizations that

promote self-care and empowerment, the brand strengthens its emotional connection with its audience

Product launches are often accompanied by extensive PR campaigns that highlight research and development efforts This approach emphasizes the brand's dedication to innovation and quality, generating excitement and anticipation among consumers These PR strategies collectively help Gillette Venus position itself as a brand committed

to empowering its users, promoting healthy skin care, and championing social and environmental causes

3 Can Gillette become as successful at marketing to women?

In 2007, Gillette’s men’s and women’s replacement cartridges revenue totaled $671 million, more than five times its razor sales ($124 million) and more than three times its sales of disposable razors ($209 million), according to Information Resources

Gillette has expanded its product line to cater to women's beauty needs beyond the face, focusing on more discreet areas and primarily promoting these products through online channels While this is seen as a strategic move to broaden the brand's appeal, the overall impact of this campaign remains to be quantified

Although Gillette Venus products are still well received by the public, they are not really as successful as products for men

VI Conclusion and limitations of the study

Gillette's ongoing success 1s rooted in two core principles: empowering consumers through product innovation and catering to diverse customer needs By continuously improving product quality and introducing unique features, Gillette has consistently delivered exceptional shaving experiences The brand's commitment to offering products

at various price points ensures that there's a Gillette product for everyone This

combination of innovation and accessibility has propelled Gillette to the forefront of the global personal care market

References

13 chương trình Loyalty thành công ngành thoi trang (16, 12 2022) From Kyanon Digital: https://www.brandsvietnam.com/congdong/topic/329353-13-chuong- trinh-Loyalty-thanh-cong-nganh-thoi-trang

TBH, T (2023) How Gillette Dominates Grooming? — Success Factors of Gillette From The Brand Hopper: https://thebrandhopper.com/2023/07/1