Gillette Australia’s Current Marketing Strategies Essay Example
Gillette Australia’s Current Marketing Strategies Essay Example

Gillette Australia’s Current Marketing Strategies Essay Example

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  • Pages: 2 (472 words)
  • Published: December 31, 2017
  • Type: Case Study
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This report presents information about Gillette's marketing strategies to the board of directors of Swedish Razors.Inc following a 6-week professional exchange to Gillette Australia. Gillette Australia, which has been operating since 1980, currently holds a 40% market share since the launch of its first product, the Gillette 'Contour'. The company employs 400 people in manufacturing and 320 in management.

The report focuses on the upcoming release of Gillette's new razor, the 'Mach 3 Turbo', which will replace the existing 'Mach 3' model released in 1999. The 'Mach 3 Turbo' offers new blade technology with 3 blades, allowing users to shave against the grain. It also includes a new lubrication strip and will be priced 15% higher than the previous model, positioning it as a premium product. This pricing strategy aims to convey the idea that higher price corresponds to higher qualit

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The price of replacement cartridges for the new product has increased from $19.99 for a pack of 8 replacement blades to $22.99.

Gillette's marketing strategy focuses on the Four P's:

  • Place: Mainly Supermarkets
  • They plan to allocate over $10 million in marketing budget this year, with half of that dedicated to advertising the launch of their new razor and rebranding of their skincare range.
  • The new razor will be heavily promoted through television, print, and outdoor advertising such as billboards.
  • Gillette will also organize public stunts in major cities to familiarize people with the new product. For example, they plan to cover everyone's toll on a peak hour Sydney motorway and use advertising slogans like "Save time with Gillette's Mach 3 Turbo".
  • The goal is to encourage all Mach 3 razor users to upgrade to the Mach 3 Turbo, a
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they are the customers looking for the latest and greatest razor. This is contrasted with the 5% of the market who still prefer the original "Gillette Contour" razor launched in 1980.

Gillette is targeting customers between the ages of 17 and 30.

The skin care range is being relaunched concurrently because younger men, who are particularly interested in maintaining healthy and attractive skin, have recently been the main source of growth. This age group tends to be more concerned about their image compared to other groups.

Conclusion:

To achieve advertising success comparable to Gillette's, Swedish razors should consider implementing the following recommendations: doubling marketing expenditure from $3 Million to $6 Million; allocating more resources towards product development; introducing an innovative product that would specifically appeal to young individuals.

Eg a razor with 4 blades - present it as a revolutionary advancement in razor technology, specifically aimed at younger customers, with the goal of capturing a portion of Gillette's market share. Keep the price of the razor itself low, but set a high price for the cartridges to generate the majority of profits from them. Additionally, consider sponsoring a women's modeling show or similar event that primarily attracts males in order to raise awareness about the product.

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