The initial model of a cheaper “handset” and expensive blades is now shifting to the recurring revenue model as developed by Dollar Shave.
In addition to channel and revenue innovation, it also went for an innovative go to market model. (subscription/membership model)
Razor Sales Move Online, Away From Gillette
The fast-growing online market for razors and blades is becoming a bigger problem for Gillette, the world’s largest shaving brand.
Source: www.wsj.com/articles/SB12147335600370333763904581058081668712042
Unilever buys Dollar Shave Club for reported $1B value
Unilever creates and captures a unicorn with its plans to acquire Dollar Shave Club. Announced this evening, the $130 billion dollar multinational consumer..
Source: techcrunch.com/2016/07/19/unilever-buys-dollar-shave-club-for-reported-1b-value/
The slider on the left explains the evolution of the Shaving blade/and related products.
These patterns are all relatively simple
Shaving has very simple “core functional requirements”
Distil the requirements onto one page
You can see the evolution in terms of
- Modular design (safety razor)
- DIY (home use rather than barber)
- Multi blade (from 1 to 5)
- Make it Powered (vibrating head)/
- Make it faster (lubricated strip)
- Flexible (pivot head)
- Information (wear indicator)
- Disposable
- Special needs (female)/special handle – make it easier
Similiarly the revenue model has shifted.
There are also cultural norms wrt to male shaving (ie shaving is a male ritual rather than using hair removing creams)
You can see the growth in terms of shifting channels and the subsequent acquistions
Below is the link to the Dollar Shave Website
Dollar Shave Club
SHAVE
Boldking also follow a similar subscription model but also are green in terms of recycling the blades and packaging.
See it below
BOLDKING
Source: www.boldking.com/
