Dollar Shave Club: Disrupting the Shaving Industry
Subject
Economics, Marketing
Authors / Editors
Tavassoli N; Anderson J; Kollenz-Quetard K
Biographies
Publication Year
2018
Abstract
The case describes how Dollar Shave Club proved to be a disruptive force in the shaving industry, one dominated by Gillette for over a Century. It did so without a single patent to its name, and with a direct-to-consumer subscription and a content-based customer engagement model that was new to the shaving industry, but not to consumer products at large (e.g., Nespresso and Red Bull, respectively). The case demonstrates the disruptive power of a digital platform model, and highlights how new marketing capabilities can disrupt traditional channels. It challenges P&G owned Gillette to formulate a strategic response in light of Unilever’s threat to acquire the upstart business. The case provides online links to a rich set of free videos that include a CEO interview, competitive advertising, and analyst commentary.
Topic List
Business model innovation, Disruptive innovation, Dual business models
Industry
Retailing
LBS Case Number
CS-18-017
Location
United States
Publication Notes
Available on ECCH
No
