A report onUNIQUE BRAND ELEMENTSUSED BY GILLETTEFORMACH3 RAZORSGroup AssignmentSubmitted to:Prof. Jones Mathews Submitted by: Dipendra Raj Tomar (PGFA1115) Garima Tyagi (PGFA1116) Gaurav Khatri (PGFA1117) Muniza Arif (PGFA1128) Pushpam Shree (PGFA1134) Timsi Luthra (PGFA1154)
EXECUTIVE SUMMARY Gillette has been the leading brand in men grooming industry in India andacross the globe. Gillette with its wide range of products caters to the premiumsegment of the men grooming market. Gillette owns 70% market share in thedisposable razors range worldwide. (Source: P&G Financial Statement 2008-09). This report aims at identifying the various Brand Elements associatedwith a product Gillette MACH 3 and then analyze them in detail. By definition,a brand element is defined as visually or verbally distinct information thatidentifies and differentiates a product or service. Examples of common brandelements include names, logos, symbols, characters, slogans, and packaging.Marketers often choose brand elements to build brand equity--to enhanceconsumers brand awareness or facilitate their formation of strong, favorable,and unique brand association.
CONTENTSS. No. Topics 1. Gillette- Introduction, Gillette Mach3, Benefits 2. Brand Elements: Concept and Use 3. Brand name 4. Slogan 5. Logo 6. Packaging 7. Bundling 8. Brand Equity: Concept and building 9. 4Ps strategy: Product, Price, Place & Promotion 10. Leveraging secondary associations: Celebrity spokesperson 11. Segmenting, Targeting & Positioning of Gillette Mach3 12. Value Proposition of Gillette Mach3 13. Conclusions 14. Recommendations 15. References
Gillette is a brand of Procter & Gamble currently used for safety razors, among other personal hygiene products. Based in Boston, Massachusetts, it is one of several brands originally owned by The Gillette Company, a leading global supplier of products under various brands, which was acquired by P&G in 2005. Their slogan is, "The Best a Man Can Get". The original Gillette Company was founded by King Camp Gillette in 1895 as a safety razor manufacturer.The Gillette Mach3 is a line of safetyrazors produced by Gillette andintroduced in 1998 after more than$750 million in research anddevelopment costs. The three bladedesign is marketed by Gillette asallowing for a shave with less pressureto the skin and with fewer strokes,thereby reducing skin irritation. Whilemany customers do experience greatercomfort with the three-bladed models,some individuals, depending upon skinand beard type, have experienced increased irritation or razor burn as thenumber of blades has increased.Due to clever marketing by Gillette (and notthe actual cost of producing the blades), theMach3 is more expensive than many otherrazors, as consumers are willing to pay morefor it. The recent release of the GilletteFusion with 5 blades is more expensive still,continuing the Razor and blades businessmodel, or a "loss leader" model, pioneeredby Gillette in the early 20th century. Sincethe increased price of the newer cartridgescreates slower consumer adoption of eachnew model, Gillette has heavily discounted the newer models throughnewspaper and in- store coupons and in many cases mailed free copies to
individuals on purchased mailing lists. While this practice has acceleratedadoption of both, Gillette still has a strong customer base using their two-bladedrazors as evidenced by their wide availability and high sales volume. The bladesused by Mach3 only cost a few cents to produce, but can sell for over $2 each.This shows that profit margins on Gillette razor blades are typically over4500%.Other razors in the Mach3 series are the Mach3Turbo and the M3Power. AllMach3 series razor blades are interchangeable between the three. The Venusseries of female razors are based on their Mach3 counterparts. The Venus isbased on the Mach3, the Venus Divine based on the Mach3Turbo and the VenusVibrance is based on the M3Power. The Venus models feature different gripshapes and lengths than their Mach3 counterparts design to assist with thediffering angle and reach needs of women shavers.BENEFITS 3 Spring Mounted Blades Progressive Blade Alignment Reduces Cutting Force Closer Shave Less Drag & Pull Greater Comfort Closer Shave As Fins Stretch The Skin Increased Lubrication, Improved Razor Glide Consistent Fading Indicates When To Change Less Irritation Enhanced Grip Better Control
BRAND ELEMENTSA brand element is defined as visually or verbally distinct information thatidentifies and differentiates a product or service. Examples of common brandelements include names, logos, symbols, characters, slogans, and packaging.Marketers often choose brand elements to build brand equity--to enhanceconsumers brand awareness or facilitate their formation of strong, favorable,and unique brand association.Before coming up with the product they collected some factsthrough research: There are about 30,000 beard hairs on the face of the average. The ideal shave angle (razor blade meeting the face) is28-32 degrees. Hair on the neck grows parallel to the skin. 42% of men report that they prefer to be clean shaven. The average shave lasts 3½ minutes. The average man spends 10-15 hours a year shaving. The average man begins to shave regularly when he begins to work regularly. Men between the ages of 18 and 24 shave an average of four times a week. Men over the age of 35 shave an average of six times a week.Brand Name & URLsThe Brand name is the name used to recognize the brand and to distinguish itfrom the competitors‟ brand.Gillette Mach 3 uses the name MACH3 for its razor. Mach means the ratio ofthe speed of an object to the speed of sound in the surrounding medium.For example, an aircraft moving twice as fast as the speed of sound is said to betravelling at Mach 2.So MACH3 denotes a shaving speed equivalent to three times the speed ofsound in the surrounding medium i.e. air. The name is attributable of speedyclose shave.
Brand URLURL or Uniform Resource Locator refers to the web address of the brands webpage. More and more brands are moving on to the web to increase customertouch points and to increase brand awareness.Gillette MACH3 has a website www.gillettechampions.com which use somefamous international athletes such as Roger Federer (Tennis), Tiger Woods(Golf), Thierry Henry (Football) and Rahul Dravid (Cricketer)(for South Asiancountries only) on the website to endorse its products.Gillette also has its own website as www.gillette.com which lists all its productsincluding Gillette Mach 3. The webpage is so designed that the visitor can zoomand see the various product features of MACH3 razor.SloganFor the most effective branding results, the slogan selected should be a shortsentence which is memorable or „catchy‟ and, again, easily remembered bycustomers. This will then combine with the name to strengthen the brandingstructures working for the product. In order to generate ideas for slogans to leadthe branding, focus on the potential customer should be maintained.GILLETES SLOGAN: THE BEST A MAN CAN EVER GETNow going by the slogan we can make out two meanings from it, either Gilletteis the best shaver a man can get or with the use of Gillette products a man is“the best he can get”. But the more obvious and intended meaning is thought tobe the former that Gillette razors with their superior and innovative technologyand instant ability to recognize consumer needs are able to offer the best shave aman can get out of all the available options to him.Going through its features what makes it admirable, efficient and popularamong the general public are installations like sharp blades, easy to clean, goodhandle design and not to mention the number of blades-three to be precise in themach 3 version of its razors, not seen in any other brand. The slogan is whatcatches the attention of most potential buyers of razors as it gives a strongmeaning and identification to the buyers that what the product offers is nothingbut the best that is not offered by any of the other competitors.
As said above it is the slogan which plays a very important role in catching theattention and signifying what the company is intending to offer to its buyers andwhat the buyers can derive out of the product, and in the same lines Gillette‟sslogan of „the best a man can ever get‟ gives out a strong signal to the buyersthat what they are going in for is the best shave they can get and thus shapes thebuyers perceptions about the product as well. This again is well accompanied byits extensive features as listed above which re- affirms their belief.At the same time being such a strong statement by declaring itself the bestamong others it acts as a catchy phrase that consumers will always remember,as buyers being rational would always want to go for the best they can get tosatisfy their need at competitive prices, and Gillette‟s slogan thus will alwaysremain in their mind. Whenever they think about shaving and shaving bladesthey think of the best being Gillette.Logo & symbolLogo is a term used to refer to a graphic symbolor emblem commonly employed by commercialenterprises, organizations and even individualsto aid and promote instant public recognition. Atthe level of mass communication or simply inthe high street a companys logo is today oftensynonymous with its trademark or brand.Gillette Mach 3‟s logo has the words Gillette Mach 3 printed on it with threehorizontal stripes present on the left hand side. The word Gillette is written inthe same fashion as that present in the parent brand‟s logo. In order to providecontinuity and to avoid confusion Gillette uses the strategy of using the parentbrand‟s logo as a part of the logo of all its sub brands.The three stripes which are sharp and somewhat faded at one end signify thespeed, accuracy and comfort which the triple blade action formula present inMach 3 provides.The three horizontal stripes which are blue in color and the letter „M‟ in Mach 3which has a tinge of blue on a white base hint at the freshness that a „GilletteMach 3 shave‟ gives to its users.
Therefore it can be said that Gillette Mach 3‟s logo somewhat fulfills therequirements of all the parameters that we discussed above and has been aconstant driving force in its brand building processPackagingPacking is the container in which a product is shipped, displayed, sold and/orpurchased in. It can represent the brand‟s category while also enable transport,storage and consumption ease.Gillette has come up with packing which fulfill all the essentials of packing thematerial, color, size and shape has been designed well. Its packing is very eyecatching. Gillette created similar packaging for both the Mach3Turbo andGillette Series brands, which enabled the creative team to develop POP designsthat visually linked the products while maintaining their individuality.The front of the Gillette razor pack is transparent allowing the customer displayof the product. Also for men‟s razor the colors that have been chosen are darkand solid but for women the colors have been kept soft and feminine. Forwomen also the packaging has been designed well and different women razorslike its Venus model has shown.The cartridges are packed in similar blue box and comes in sets of 4,8 and 12cartridges. The only difference in the packing of cartridge is that it is packed inhard multilayer corrugated box and the inner pack is a plastic casing whichprotects the blades.BundlingMore and more companies are bundling their products with other accessories touse the product. Bundling is the process of packing and selling more than oneproduct with related features or use together.The MACH3 comes with a shave gel combo in which the customer can saveupto Rs.100.
BRAND EQUITYThe value premium that a company realizes from a product with a recognizablename as compared to its generic equivalent. Companies can create brand equityfor their products by making them memorable, easily recognizable and superiorin quality and reliability. Mass marketing campaigns can also help to createbrand equity. If consumers are willing to pay more for a generic product thanfor a branded one, however, the brand is said to have negative brand equity.The basis of brand equity lies in the relationship that develops between aconsumer and the company selling the products or services under the brandname. A consumer who prefers a particular brand basically agrees to select thatbrand over others based primarily on his or her perception of the brand and itsvalue.One situation when brand equity is important is when a company wants toexpand its product line. If the brands equity is positive, the company canincrease the likelihood that customers will buy its new product by associatingthe new product with an existing, successful brand.Brand Equity can be build by using: Brand elements 4 Ps strategies Leveraging secondary associationsBrand elements have already been discussed earlier. 4Ps will are discussedbelow:Product:The Gillette MACH3 Turbo razor combines sophisticated shavingtechnologies that work together as a manual system to deliver a close,comfortable shave. The Gillette MACH3 Turbo razor combines Gillette‟s 3Blade Shaving Technology with Anti-Friction blades that gently glide over yourface. Its pivoting razor head with 10 Microfins follow every contour on yourface for outstanding comfort and closeness.
PowerGlide SmoothnessGillettes 3 Blade Shaving Surface Technology with Anti-Friction razor bladesgently glides across your face with incredible shaving ease and outstandingfacial hair removal. With a shave this smooth, comfort is a slam-dunk.Pivoting PrecisionA forward-pivoting razor head with 3 progressively spaced blades and 10Microfins on the cartridge helps deliver a smooth shave by gently followingevery curve of your face. A razor this comfortable will keep you on top of yourgame.Ultimate SensitivityThe Indicator lubricating strip releases more lubrication over time giving greatrazor glide and adding to shaving comfort. The green stripe fades with use tosignal when you may no longer be getting an optimal shave. A closecomfortable shave means you can put your best face forward.Price:Gillette Mach3 uses Perceived Value Pricing model. It means the valuation ofgood or service according to how much consumers are willing to pay for it,rather than upon its production and delivery costs. Using a perceivedvalue pricing technique might be somewhat arbitrary, but it can greatly assist inthe effective marketing of a product since it sets product pricing in line with itsperceived value by potential buyers.The price range of Gillette Mach3 is between Rs. 125 to Rs. 360.Place:Gillette uses Hub and Spoke method of distribution. 20 hub cities and spokesare Tier 2 and Tier 3 cities have been covered in India. Also, the distributionchannel of P&G is being used.Promotion: Strong and sustained advertisement all through out
Gillette brand has high recognition rate Massive influence, recall and salience—reminder advertising Successful MACH3 launch campaigns Focus on brand values, innovation and cutting edge technology AIM- to educate consumer on product advancements and improved shaving performance.Leveraging secondary associations:Celebrity spokesperson:Gillette roped in famous athletes for its MACH3 advertisements which includedRoger Federer (Tennis), Tiger Woods (Golf), Thierry Henry (Football) andRahul Dravid (Cricketer)(for South Asian countries only) the company namedthem as Gillette champions and showed them shaving and winning in theiradvertisements. Gillette also roped in football star David Beckham for MACH3Power. The advertisement was aired the most during sporting events such asFIFA World Cup, Barclays Premiere League, US Open, Wimbeldon, Cricketmatches T20 world cup etc.Another publicity stunt Gillette roped in Bollywood celebrities like MilindSoman and some famous models and also cricket ace MS Dhoni to shave withGillette MACH3 and tell how confident, good, and smooth it feels.Consistency is the key to successfully building and managing brand equity.Having a long-term outlook and projecting a consistent image of your brand tothe customer will maximize the results of building brand equity.
Customer Based Brand Equity ModelBrand Salience:Brand Salience measures awareness of the brand, how often and how easily thebrand is evoked under various situations or circumstances. It is the same asbrand identity i.e. Who are you?The Gillette brand is associated with best quality razors. For many people, razoris Gillette and no other brand will do. The core value of quality supports thebrand. Consumers know that they can trust a razor that carries Gillette branding.The brand has been successful in establishing the link, in the mind of theconsumer, that razor equals Gillette.Being an international brand, Gillette mach3 has gained immense awarenessworldwide. It has penetrated the market so well that the males are able to clearlyrecognize and identify as a razor very different from the rest. The product hasbeen on top of the mind of consumers since a long time now. Moreover, itsusage does not need the user to be extra careful because of its flexible quality.Brand awareness among men is quite pervasive as every second man is usingGillette mach3.
Brand Performance:Over the years it has survived in a highly competitive market with electronicrazors and manual blade clippers and has developed its competitive advantage.It is successful in communicating the customers that it is still the ultimate inshaving experience. The consumers can acknowledge the durability of theproduct. The attractiveness of packaging alone can be instrumental instimulating a purchase especially impulse buyers.The brand is the first choice of the consumers. Its various products like shavinggel, shaving foam, shaving cream, after shave lotions, razors and blades hasperformed extremely good in the market as far as satisfaction is concerned andtherefore has been completely accepted by the end consumers.Brand Imagery:It depends on the extrinsic properties of the product including the ways in whichthe brand attempts to meet customer‟s psychological or social needs.The intangible association to Gillette includes experiences. The product couldbe bought from supermarket or from department store or specialty store throughimpulse buying. It has developed a recognized image in the minds ofconsumers. Being an expensive product, people see it as a premium and areliable brand.Brand Judgement:These are customer‟s personal opinions about and evaluations of the brand,which consumers form by putting together all the different brand performanceand imagery associations.Brand Quality: Consumers trust the brand because there is certain level ofquality attached to it.Brand credibility: Gillette being such a trusted name since 1895 enjoys a sortof monopoly in the market. The brand has provided such an immensesatisfaction to users that all the products under this umbrella brand has gainedacceptability by men.Brand consideration: the Gillette razors have completely eradicated electricshavers from the market. People find it convenient to use this because of itsflexibility property and a cool effect after shave. Moreover, the blade lasts for
more than a month which is one of the reasons of its wide acceptance by themale section.Brand superiority: the quality which the product carries with itself issuperiority. The premium price and the ease of usage define its brandsuperiority.Brand Feeling:These are customers‟ special responses and reactions to the brand. The feelingsthat are evoked by the marketing program or by other means. People feel that itis a compatible, smooth, non-burning or itching, flexible and an easy to usedevice.Brand resonance:It describes the nature of this relationship and the extent to which customers feelthat they are “in sync” with the brand. It is characterized in terms of intensity, orthe depth of psychological bond that customers have with the brand, also thelevel of activity engendered by this loyalty (repeat purchase rates and extent towhich customers seek out brand information).Segmentation, targeting and positioning of Gillette Mach 3Market SegmentationGillette Mach 3 has been particularly produced for higher income consumers.Thus, we see that income segmentation has been the main factor when Gillettedecided to segment the market. Mach 3 has also been successful in thosecountries where the major segment of the population considers shaving to be adesirable activity and the means to look clean and sophisticated for exampleIndia and America. Thus, this type of international segmentation has alsobenefited Mach 3. Another interesting to note is that, Gillette after seeing thesuccess of the Mach 3, decided to offer a similar product for women. Thus,Venus Power came into existence. So, Gillette also gender segmentation.
Target MarketingGillette Mach 3 market segment has proved to be extremely attractive andprofitable for the company. The segment size is increasing at a rapid pace inIndia and America. Furthermore, the segment is made more attractive becauseof the fact that there are no strong and popular competitors of Mach 3. This hasprovided Mach 3 with a lot of market power.Substitute products like shaving machines are not considered as suitable enoughto replace Mach 3. The high price of Mach 3 proves that customers do not haveenough power to reject the product and that the company is in a far strongerposition than its suppliers and its customers. The company‟s objective thatMach 3 should be considered by the customers as the best shaving product hasbeen complimented by the investment of a lot of money in the product in termsof increased promotion and advertising.Selecting Target SegmentsMach 3 marketing strategy was differentiated marketing from the beginning.Gillette wanted to differentiate it from other shaving products and to targetseveral market segments. Some segments purchased Mach 3 because of theincome factor. Some did because of their preferences and particular lifestyles.Gillette converted Mach 3 into Venus Power just in order to cater to thesegment of women users. So, Gillette designed separate offers for differentmarket segments.Positioning for Competitive AdvantageMach 3 position in the market place is extremely strong and secure. Consumersdefinitely consider it a superior shaving product compared to other products.One can definitely say that it occupies a unique position in the minds of thoseconsumers who want to have an extremely close and smooth shave.If we analyze the position of Mach 3 on a positioning map, we will see that dueto its higher price, it will be situated on the upper portion of the map. As far asluxury and performance are concerned, Mach 3 is more inclined towardsperformance due to its three blades and other product features. These productfeatures have provided Mach 3 with a strong competitive advantage. The valueproposition of Mach 3 is definitely “more for more”. Extra product featureshave prompted Gillette to charge a higher price. Mach 3‟s positioning statement
should be: “To those people who want to get up in the morning with a desire tosucceed in this world, Mach 3 is a three blade shaving product with extrafeatures that allows you an extremely smooth and close shave which lasts forthe whole day”.Value Proposition of Gillette Mach3Gaining consumers share of mind is an art form. Getting them to try a newproduct and offering a "reason to believe" has never been better orchestratedthan with Mach 3. The first and most important step is creating a clear valueproposition for the consumer.For the Mach 3, the value proposition had to be compelling, succinct and easilyunderstood by a vast consumer base around the world. Like everything else inthe development process, it was a painstaking endeavor. Indeed, the valuestatement took two full years, countless meetings and innumerable focus groupsto write. The value had to be there for a wide cross section of shavers, from theserious system user to the disposables user.
Conclusions Strong brands provide value and have a variety of benefits. To customers, brands provide direction, they provide reassurance. Brands reduce risks and they provide a way to self-express. To marketers, brands provide a competitive advantage. They provide the means and the way of differentiation. Strong brands are based on a relevant differentiated position, without that, you cannot build a strong brand. A variety of associations are linked to a strong brand. RecommendationsUse of a Character Gillette has used character/spokesperson to build brand awareness and create brand equity. A character would be more fitting as it could be designed in alignment with the brand‟s meaning an also be easily transferable through future brand growth. Thus we can conclude that use of character could have been a contributing factor in Gillette‟s success.Increased use URL Gillette has not used its URL or SMS postings effectively. Most of them have been developed by bloggers only to share their views.Market Penetration Gillette Mach 3 has been particularly produced for higher income consumers. Thus, we see that income segmentation has been the main factor when Gillette decided to segment the market. So customer sees mach 3 as a premium product, so its penetration is limited to high class group only.