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Gillette's New Razor Could Overturn Its 100-Year-Old Business Model

44 points| ethana | 12 years ago |businessweek.com | reply

56 comments

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[+] andykellr|12 years ago|reply
"But here’s the true innovation: Gillette’s new razor will use P&G’s current blades"

I'm confused. A new handle that let's you keep using existing $4 blades doesn't sound like a new business model. It just sounds like an iteration on the handle that will encourage people to buy their handle over the competitions' handles and thus sell more $4 blades.

What am I missing?

[+] dave5104|12 years ago|reply
It sounds like the "innovation" is that the new razor handle will use blades from existing P&G blades, as opposed to them using blades designed specifically for this handle.

Feels like another example of this would be HP making a new printer model that can use the same shaped ink cartridges from an older model.

[+] sheetjs|12 years ago|reply
Gillette uses a different bladeset for each handle type. For example, the Mach3 cartridges don't work on the Fusion and vice versa.

To entice people to switch, years ago Gillette mailed out free Fusion handles with a sample cartridge. The handle was free and could be used with new cartridges you bought.

Now it appears that they are going to charge for the handle, which is indeed a shift

[+] goldenkey|12 years ago|reply
It probably locks into the blade in a certain fashion that is patented. Therefore if you use their handle, you will also use their blades.
[+] gamegoblin|12 years ago|reply
About a year ago I switched to a straight razor with disposable single edge blades. I can get a pack of 100 Shark Stainless Steel blades for just over $5, and I usually change them out every 3 shaves or so. I skip a day every now and then, so all of my shaving needs are taken care of for $5/year.

After a week of practice, the straight razor is just about as fast as any typical razor, much closer shave, and less irritated skin.

[+] techsupporter|12 years ago|reply
I envy those of you who can make that work since I manage to cut myself around twice a week, on average, using a "safety" razor. If I switched to anything more basic, my bathroom would look like a crime scene.
[+] rch|12 years ago|reply
I'm really hoping straight razor shaving makes a complete comeback. Even if it doesn't though, I'm happy articles like this one no longer apply to me.
[+] jmspring|12 years ago|reply
I switch to wilkinson sword (schick) while without a razor in London. Much better than Gillette. That said, once those blades are gone, I'll likely try shark blades soon. That said, a decent razor that doesn't require all the soap etc is less to carry while traveling.
[+] modfodder|12 years ago|reply
I switched to a safety razor and have found similar results. I was amazed at how smoother the shave felt vs the typical modern razor.

The safety razor took about 5 min of practice vs a week, one of the reasons I opted for it.

[+] WalterSear|12 years ago|reply
Keep them in mineral oil between uses and they will stay sharper and last longer.
[+] subpixel|12 years ago|reply
I recently realized I've been using the same $8 razor blade for the last 18+ months. Before every shave, I rub the dry blades against my bicep - obviously not in the cutting direction. It keeps the blade damn sharp. Someone told me about it at a bar, I tried it, and so far I haven't had a shave that's made me think about changing blades.
[+] shitlord|12 years ago|reply
I read somewhere that storing the blade in baby oil also helps it last longer. Something about oxidation...
[+] vacri|12 years ago|reply
You're stropping the blade, just with your arm instead of a bit of leather.
[+] Nk26|12 years ago|reply
I've been using a Double Edge safety razor for over 10 years. I can't imagine going back to a Mach 3 style razor. I can buy a 100 pack of Astra's for $11 shipped.
[+] iends|12 years ago|reply
Can you provide a link to the model you use?
[+] diziet|12 years ago|reply
It makes no sense to spend any serious amount of time saving money on razor blades -- at total cost of ownership per year in the $100~200 range, the thing to maximize for is comfort and safety. If you get your blades for free but have a small chance of cutting yourself / someone else when you dispose of them, that's a terrible tradeoff.
[+] artursapek|12 years ago|reply
There's a lot of talk in this thread about double-edge safety razors and straight razors. They truly are amazing - I switched to using a DE about a year ago and I'm never going back to using those stupid overpriced cartridges.

For anyone who wants to learn more, I highly recommend /r/wicked_edge. It's a great little community that has compiled a lot of resources for people who are keen on learning more about all this. That's where I originally did my research when I was starting out.

http://reddit.com/r/wicked_edge

People who know what they're doing shave this way; people who don't think twice about it use cartridges. I want to encourage everyone to explore this because it's really superior in a lot of ways. It saddens me how many people have the impression that "Mach3Turbo" is the only way one can shave because it's all CVS carries.

[+] Balgair|12 years ago|reply
http://nymag.com/daily/intelligencer/2014/04/gillettes-razor...

Hmm, a razor costing 12 for just the handle is high tech and high cost. Depending on your hair and the cost of a new fence of razors/razor head, you're looking at a dollar a week(3$ a fence/head, 3 weeks per fence/head) Dollar shave club advertises at a dollar a month. If you have to shave a lot, dollar shave club is simple and easy and thoughtless. As the linked article above discusses, Gilette is for the James Bond type guy now. That's a niche market, but the dollar shave club is more, I dunno, hungover basic grooming guy which has broader appeal.

All that is to say, like the article above, beards are cheaper than anything else.

[+] vacri|12 years ago|reply
A straight razor handle is low tech and more expensive.
[+] clarky07|12 years ago|reply
I switched to electric years ago and I'll never go back. Quicker, easier, cheaper and just as good as far as I'm concerned without any mess.
[+] oxplot|12 years ago|reply
So did I. Got a Panasonic ES-LV61-A and now I don't have to worry about anything. No maintenance, no cuts, no burns, no aftershave. Works dry and wet. Shaving is no longer a matter of thought for me.
[+] sergers|12 years ago|reply
I buy my blades off eBay. Can get under 2$ a blade if you buy in bulk

Since I also shave my head bald daily, I go through a lot of blades Was thinking about a straightedge/ single blade razor.

The description of the new Gillette handle sounds just like http://www.headblade.com but with some ball bearing/big ball system instead of wheels.

I don't see the innovation. I always thought the blade would have been the innovation, not the blade holding vessel.

The headline caught me off guard. I thought it would have been blade that lasted a lot longer

[+] pat2man|12 years ago|reply
I switched to a single blade razor a while back. Blades are like 10¢. It's amazing.
[+] eyeareque|12 years ago|reply
I switched to a double sided safety razor a few years back. It was great at first, I found a way to stop paying 2-3 bucks per blade and got a decent shave. Fast forward two years and I'm at my parents house sans safety razor. I used my one of dad's (new of course) generic disposable two blade razor. To my amazement I had one of the best shaves in two years. Either I've been doing it wrong or cheap generic razors are better. I just can get as close of a shave with a safety razor. I've switched back, but part of me wants to give a straight razor a try.
[+] jusben1369|12 years ago|reply
Dollar Shave Club is great but let's be clear. 330,000 is a drop in the bucket. What's really hurting Gillette is that significant uptick of men who are don't shave (beard) or now shave every 2 - 7 days vs daily. This in of itself is a fashion trend and like all trends can change relatively quickly. All those 14 year old boys who want to be different when they come of age will rebel against the hipsters they see in ads and music videos today and go clean shaven.
[+] sirdogealot|12 years ago|reply
I can confirm by way of my own beard and all of my friends' beards.

I seem to notice them everywhere these days.

And verified by google trends, they are certainly on the uptick: http://www.google.com/trends/explore#q=beard%2C%20beards

Personally, I do it for convenience. It's nice having that extra 10 minutes every morning, and not possibly cutting my neck or face before I've had my first cup of coffee. That, and it looks badass. Almost every man throughout history I admire has had a beard, so why stop now?!

I bought a cheap Phillips $30 beard trimmer a few years ago (that's equivalent to about a month's worth of gillette razors for myself) and I have been loving my beard ever since.

[+] latch|12 years ago|reply
Opinion or fact? Sounds like BS to me. Is there really a "significant uptick of men" as you suggest? Or is there merely a significant uptick amongst people you know?

Have you considered the international market? How big is Gillete there? Is this trend also present?

[+] goldenkey|12 years ago|reply
I've been using twin blade razors for years now and they are so much cheaper and effective than this titanium 5 blade guillotine nonsense.

http://www.amazon.com/exec/obidos/ASIN/B002ZZGZ3O/B004D9R9OM...

There's no innovation needed for shaving except for the realization that you can shave for less than $10 a month.

[+] sergers|12 years ago|reply
I have used those and think they suck compared to what Schick/Gillette offer in 4 and 5 blade categories.

Maybe its because my hair is a lot thicker/coarse and sometimes let my hair grow a bit too much.

If u shaved daily or just growing stubble I could see how these work.

[+] bhousel|12 years ago|reply
I have a conspiracy theory that the reason they put more blades on razors now is so that they can get away with using crappier blades. I really believe I get a better shave the fewer blades there are.
[+] webwanderings|12 years ago|reply
It is not just a conspiracy theory, it is unethical business.

I was once sent one of those free promotional Gillette razor by mail. It lasted me for such a long time that I got fooled into believing that they are worth the extra cost. I went and bought the same kind and those ran out of their sharpness rather quickly. Obviously, the promotional ones were made to last long.

This razor business is one big conspiracy.

[+] dewitt|12 years ago|reply
"The Wall Street Journal got its hands on some secret documents..."

If a hacker did this someone would be going to jail. But when a newspaper does it, it's journalism.

Edit: Jonknee's theory below makes sense. I jumped to conclusions and likely stand corrected.

[+] jonknee|12 years ago|reply
They were very likely given the documents by someone working for Gillette. Full page ads in the WSJ are very expensive, what better way to launch a new shaving product than with an expose in a newspaper read disproportionately by older white men who shave every day?