Gillette Fusion case study: developing a US$1 billion brand

Published by: Datamonitor

Published: Jun. 5, 2008 - 6 Pages

Table of Contents

DATAMONITOR VIEW

CATALYST

SUMMARY

ANALYSIS

Gillette Fusion is the latest men's razor from P&G, which has proved to be a major success

P&G regularly upgrades its Gillette razors in order to stay ahead of the competition

Fusion, the first five-bladed razor on the market, captured 55% of all new razor sales in the US just four weeks after launch

Fusion is expected to be P&G's fastest ever brand to reach a US$1 billion in sales

P&G has justified a price rise for the Fusion brand with tangible product improvements aiming to make shaving quicker, more effective and smoother

Consumer skepticism first surrounded the launch of the Fusion brand

But Fusion was the first new Gillette razor brand since 1998, coming in two versions and with its own dedicated grooming products range

For the first time, Gillette rolled out two versions of its new razor at once - a manual and battery-powered model

P&G concurrently introduced a line of Fusion-branded male-grooming products, to boost a business that has lagged behind its razors

Fusion is said to offer improvements over its predecessor in both the handle and blade

The Fusion Power handle contains a microchip to improve the system's performance, as well as a better-grip surface

The Fusion contains five blades spaced closer together than the Mach3, as well as a trimmer blade and flexible comfort guard

P&G has launched an ambitious promotional campaign to achieve its US$1 billion sales target for the Fusion brand

Gillette's ""18th birthday program"" offers youths turning 18 a new Fusion razor, aiming to create brand loyalty in new users

Fusion marketing has a sports theme to attract male attention, with a sport-themed website and sports star ambassadors

The UK Fusion website received 30,000 hits a day in its first month of launch

New advertising for the Fusion in 2008 featured sporting 'superheroes', and was thought to be the most expensive in Gillette's history

The company is reportedly set to launch an entirely new razor in six year's time, but is content with Fusion extensions in the meantime

A new extension to the Fusion brand aims to get men to trade-up to a US$150 razor

P&G remains tight-lipped about any future razor innovations

APPENDIX

Case study series

Methodology

Secondary sources

Further reading

Ask the analyst

Datamonitor consulting

Disclaimer

List of Tables

Table 1: Gillette has been at the forefront of razor innovation since its inception

List of Figures

Figure 1: In 2006, P&G launched the new Fusion razor in both battery powered and manual versions, along with a dedicated personal care line

Figure 2: Gillette has three new brand ambassadors from the world of sport

Figure 3: Gillette Fusion is available in an ultra-premium variety under the Fusion Chrome Collection brand

Abstract

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