Thursday, February 21, 2008

4Ping Brandalysis: Gillette Mach 3



Gillette Mach 3: It is not about shaving, it is all about shaving experience.

What do you call a company that keeps razor-sharp focus on the global consumer market. The company that understand the needs of consumer better than its competitors and can successfully place it self to fulfill those needs. And most importantly what do you call a company that can perfectly blend art of innovation and science of marketing. I believe Boston based Gillette is one such marketing genius.

For most of the men, shaving is an unpleasant, time consuming and irritating experience. Yes, we like to see our face shining everyday morning but it the process that makes the men lazy. Perhaps this statement could have been true if it had written before July, 1998. The month Gillette Mach 3 was introduced in the global market.

Whether it is Trac II (World’s first twin blade razor ) or BIC ( World’s first disposable razor ) continuous innovation has been the philosophy at Gillette since its inception. And the best thing is that people at Gillette never set back on its laurels. They make continuous efforts to make the shaving experience close and less irritable. This can be explained by the fact that, by the time Gillette launched its hugely successful Sensor excel in 1994, marketing plans were ready for Gillette Mach 3.

In 1994, Gillette shook up the shaving razor market by introducing Sensor and sensor excel. Sensor excel demonstrably gave better and close shave with the spring in the handle that adjusts the razor according to face. Having learned lessons from the sensor excel that converted Gillette earnings, marketers at Gillette were clear that the launch has to be like a military operation. It took 18 months to launch Sensor in the global market and for Mach 3 they wanted to reduce it to less than 12 months. To launch a product in Global market in a time span of less than 12 months is a huge challenge itself because it not only requires financial strength, but also a clear cut understanding of consumer in every geography. One small mistake can give disastrous results. And when company has already invested 7 years and $ 750 million in R & D, there should not be any chance for the mistake.

Mach 3 name was given after thousand of one –to one interviews with consumer world wide. One thing they wanted to make sure that the name should work in all the market including Europe and Latin America. The entire operation was so secret the executives involved in the process had to sign an agreement which stated that even telling spouse is not allowed. Stock market guru Warren Buffet, who was one the board of director at Gillette, was allowed to see the razor just before 9 months of the launch.

Mach 3 was priced 35% higher than the sensor excel, which had been priced at 25% higher over its previous offerings. To decide the price point, Gillette kept in mind that men used on an average 20 blades a year for sensor excel. It was going to come down by nearly 60% because of Mach 3’s superior performance. The promotional campaign, advertising, packaging, point of sale material were kept same in all the countries except minor translational changes. Since they were planning global roll out, they made it sure that the stores don’t go out of stock in any country. Before the Mach 3 was actually launched, the sales force of Gillette cleared the shelf at retail store for Mach 3 and placed sign boards stating that “This is where Gillette Mach 3 will be”.

After careful planning, the revolutionary product was introduced in North America in July 1998, in Europe and Russia in Sept, in Japan in Feb 1999 and in Asia, Latin America and Australia in April 1999.

By Mid 1999, Mach 3 was the clear winner in all the market. It achieved the success that brand managers always dream about. It acquired almost 15% market share within 3 months in all respective market. In fact, it took Sensor two years to reach the sales level that Mach 3 achieved in six months.

If success can be planned, Gillette has done it. There is no harm in stating that during the market planning of Mach 3, the blue prints for Mach 3 Turbo and Gillette Fusion was already on the table because continuous innovation without falling in love with their own product is in the blood of Gillette.

Interesting Fact:

The Mach 3 team was given code name of 225 Task Force. It took 7 years and 1 billion ( $ 750 mn for R & D and $ 300 mn for marketing ) to launch Gillette Mach 3.
4Ping Brandalysis: Gillette Mach 3SocialTwist Tell-a-Friend

19 comments:

Piuesh Jain said...

A very well written article on Gillette...i am sure that readers will benefit from this article very much....k

Keep writing!!

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