SHAVING CREAMS CASE STUDY PROJECT: BYDHIRAJ AGARWAL & SUBHANIL BHADRA

Shaving cream industries “situation analysis”

• Almost every male per 1000 female use shaving cream daily

• Use of shaving cream and gel in India has increase from the last 3 decades

• Net sales increased from Rs 107 cr in 1997 to Rs 477 cr in 2000 representing a growth rate (CAGR) of 45 %.

• CAGR for net profits over the same period was over 50%.

Shaving cream industries “situation analysis

• Almost 70% of the shaving creams and its products industry is control by Gillette.

• Penetration in the urban sector is of the order of 65%.

• Penetration in the rural sector is only about 5%.

• Shaving gel/foam is more commoditized in India and that 81% of the Indian consumers use cream not gel or foams.

Gillette’s range of shaving gels and foams

The customer value hierarchy shows us clearly that Gillette has no product in the basic or core category which is dominated by the creams. This segment accounts for more than half the entire market.

Following are the variants in the product width:

S. NO

FOAM GEL

1 Foam Conditioning Gel Moisturizing

2 Foam Deep cleansing Gel Sensitive Skin

3 Foam Pure and Sensitive Gel Ultra Comfort

4 Foam Moisturizer

5 Foam Lemon

6 Foam Sensitive skin

SHAVING CREAMS

FOAM VARIANTS QUANTITY (ml) PRICE (Rs) UNIT PRICE(Rs) Conditioning 250 210 0.84 Deep cleansing 250 210 0.84 Pure & Sensitive 250 210 0.84 Moisturizer 200 120 0.6 Sensitive skin 200 120 0.6 Lemon 200 120 0.6--------------------------------------------------------------------------------------------- GELS QUANTITY (GMS) PRICE(Rs) UNIT PRICE(Rs) Moisturizing 60+20 53 0.66 sensitive skin 60+ 20 53 0.66 ultra comfort 60+20 53 0.66

COMPETITOR ANALYSIS

Colgate- Palmolive

Colgate-Palmolive’s Shaving Cream/Gel/Foam:S.NO PRODUCT WEIGHT(GMS

)PRICE(RS) UNIT

PRICE(RS)

1 PALMOLIVE LIME 70 37 0.52

2 PALOMOLIVE MOISTURIZER

70 39 0.56

3 PALMOLIVE DELUX 70 39 0.56

Proctor & GambleProctor & Gamble’s Shaving

Cream/Gel/Foam:S. NO

PRODUCT QUANTITY(GMS)

PRICE(RS) UNIT PRICE (RS)

1 Old Spice Foam 200ML 110 0.55

2 Old Spice Gel 60 GM 50 0.83

3 Old Spice Cream 70GM 45 0.64

HULHUL’s Shaving Cream/Gel/Foam:

S. NO

PRODUCT WEIGHT 9(GMS)

PRICE(RS)

UNIT PRICE(RS)

1 AXE SHAVING CREAM

70 45 0.64

2 DENIM XCLUSIVE

70 43 0.61

GodrejGodrej is priced quite below (44%) below thecompetitors products of same quantity:

S. NO PRODUCT QUANTITY(GMS)

PRICE(RS) UNIT PRICE(RS)

1 GODREJ SHAVING CREAM

100GMS 25 0.25

2 GODREJ PREMIUM SHAVING CREAM

70 GMS 25 0.35

FA Fa has two shaving cream products in the

market.

S.NO PRODUCT QUANTITY PRICE (RS) UNIT PRICE(RS)

1 FA OCEANIC 70+21 40 0.43

2 FA DYNAMIC 70+21 40 0.43

Other Brands!S.NO MARKETED BY PRODUCT QUANTITY PRICE(RS) UNIT

PRICE(RS)

1 PERSONA COSMETICS PVT LTD.

BLUE STRATOS

70 GM 40 0.57

2 JK HELENE CURTIS LTD.

PARK AVENUE CLASSIC

105 GM 49 0.46

3 RECKITT BENKISER LTD

DETTOL 98 GM 42 0.42

4 MARK VIKRAM 99LATHER SHAVING

125 GM 24 0.19

5 HINDUSTAN RIMMER

COSMO PLUS

125 GM 24 0.19

6 WIPRO ROMNIO

175 GM 210 1.2

7 UNITED DISTRIBUTER INC

DENIM 195GM 290 1.48

SHAVING CREAMS!!

FA

THANK YOU

F1/FW 2010-13 DHIRAJ AND SUBHANIL BHADRA