Clean Edge Razor
Marketing Case Analysis
- Clean Edge Razor Case -
Team members * Min Woo Song * Yang-hee Park * Yekaterina Li * Onofre C. Mateo * Khanan Pinnoi
Clean Edge Razor Case 1. What changes are occurring in the non-disposable razor category? What are the strategic life cycle challenges for Paramount’s current products as well as for Clean Edge? Assess Paramount’s competitive position. (1) Market growth in super premium segment
Non-disposable razor experienced approximately 5% growth per year from 2007 to 2010, especially super premium market’s growth rate was higher than other segments. (2) Innovative product and increased media advertising expenditure
Innovative and new products increased total market size and took bigger market share, especially in super premium market. Accordingly the portion of media advertising expenditures in promotion budget has increased continuously to deliver the value of new and innovative products to customers. But there wasn’t any change in Paramount current products. (3) Consumer’s attitude change
The industry participants tried to change the consumers’ attitude. They stimulated consumers to replace cartridges more frequently than before as delivering the benefit of frequent cartridge-change. As a result, the industry introduced 22 new stock-keeping units(SKUs) with advanced technology between 2008 and 2009. (4) Diversified distribution channel
Distribution channels increased their shelf space for refill cartridge SKU and refill cartridge’s retail margin was higher than others personal care items. And distribution channels have diversified from conventional food stores and drug stores to mass merchandisers, club stores and others. (5) Paramount’s competitive position
Paramount Avail was losing its market share increasingly but Paramount Pro took significant market share from competitors and shifted its customers in value to moderate
[Graph 1 : Market Share Change] market. But it
- Clean Edge Razor Case -
Team members * Min Woo Song * Yang-hee Park * Yekaterina Li * Onofre C. Mateo * Khanan Pinnoi
Clean Edge Razor Case 1. What changes are occurring in the non-disposable razor category? What are the strategic life cycle challenges for Paramount’s current products as well as for Clean Edge? Assess Paramount’s competitive position. (1) Market growth in super premium segment
Non-disposable razor experienced approximately 5% growth per year from 2007 to 2010, especially super premium market’s growth rate was higher than other segments. (2) Innovative product and increased media advertising expenditure
Innovative and new products increased total market size and took bigger market share, especially in super premium market. Accordingly the portion of media advertising expenditures in promotion budget has increased continuously to deliver the value of new and innovative products to customers. But there wasn’t any change in Paramount current products. (3) Consumer’s attitude change
The industry participants tried to change the consumers’ attitude. They stimulated consumers to replace cartridges more frequently than before as delivering the benefit of frequent cartridge-change. As a result, the industry introduced 22 new stock-keeping units(SKUs) with advanced technology between 2008 and 2009. (4) Diversified distribution channel
Distribution channels increased their shelf space for refill cartridge SKU and refill cartridge’s retail margin was higher than others personal care items. And distribution channels have diversified from conventional food stores and drug stores to mass merchandisers, club stores and others. (5) Paramount’s competitive position
Paramount Avail was losing its market share increasingly but Paramount Pro took significant market share from competitors and shifted its customers in value to moderate
[Graph 1 : Market Share Change] market. But it