Killer pro tips for Gillette Case study

In spite of the market shares leading to its zenith, there are scopes squeezing the margins even further. According to on insider of the industry, the retail price of a packet containing four fusion razor blades being £9.72, the manufacturing costs remain as low as 30p that would lead to a margin of 3000% . Secondly, when Gillette launched a five bladed line of Fusion, it came with a price that was higher than 40% of the base price. Gillette shifted its focus from manufacturing the basic line of product even though it earned the company good profit margins. It was sensible to focus on the new product, as the margin of profit was even better. 

Television advertisement endorsed the new product, as five is better than three are. The third factor although less lucrative than the first two,  Gillette Case study    is the easiest and most trust worthy way to retain consumers’ loyalty to a brand and products. It might seems to be crazy to shell out millions of dollars on the advertisement with faces such as Tiger Woods, and Roger Federate who all directly suggest using the Gillette products, the profit margin and the sales tell a different story.    

Moreover, Gillette has a rich history of being the first in the market as per the area of operations. With products being continuously added to the market, it has also improved the technologies that are used in its products.

Researching And Developing A New Product

There are two important methods of carrying out a market research: Quantitative Research and Qualitative research.

Quantitative research is carried out with the help of questionnaires that are conducted with a huge sample of people that provides clearer understanding of the data collected. Thus looking at data that consists of numbers and data that is objective in nature, instead of depending on data that is subjective is the main difference tesco swot analysis  between Quantitative and Qualified Research method. Qualitative research in turn is the process of working on a small group of people that contains of data such as those who shave, the kind of razors the prefer to use. It also focuses on the answers of questions that are based on their expectation from the products in their shaving kit. Qualitative Research is a method of knowing the way consumers use razors and they opinion about the experience.