Clean Edge Case Analysis
CASE ANALYSIS OF
CLEAN EDGE RAZOR
Submitted by
BrandMasters
Fatima Dilruba
(B13085)
Bhavya Singla
(B13080)
S Jayaram
(B13110)
Case Analysis of Clean Edge Razor
Problem Statement
Paramount Health and Beauty Company developed the Clean Edge Razor, a technologically advanced non disposable razor. The company now has to study and segment the market environment and find a suitable target to successfully position and launch their product.
Situational Analysis
General Market Profile
Products available in U.S. Razor market are non-disposable razors, refill cartridge, disposable razors, shaving cream, and depilatories. Non-disposable razors recorded average growth of about 5% in retail sales during the period 2007 to 2010 whereas refill cartridge and disposable razors recorded growth of approximately 2% and 3% respectively for the same period. Innovations and new product introductions are the prime factors for the growth.
Non-disposable razors and refill cartridge market is broadly classified into three segments namely value, moderate and super premium based on price and quality. Paramount’s consumer research identified distinct segmentation in terms of product benefits and consumer behavior.
39% of non-disposable razor users are segmented as Involved Razor users, social/emotional shavers; 28% as Involved Razor users, aesthetic shavers and 33% as Uninvolved Razor users, maintenance shavers. Studies from 2009 showed that the retail sales of non-disposable razors and refill cartridge came from 25% volume of super-premium, 43% of moderate and 32% of value segments.
In the last decade, the industry has experienced significant growth in the super premium segment. Product innovation and new technology is leading this sector for a number of new entrants. In 2008-09 the rate of new product innovation leads to 22 new SKUs to be introduced.
SWOT Analysis
Strengths
Paramount Health and Beauty Company’s biggest strength is that it is a
CLEAN EDGE RAZOR
Submitted by
BrandMasters
Fatima Dilruba
(B13085)
Bhavya Singla
(B13080)
S Jayaram
(B13110)
Case Analysis of Clean Edge Razor
Problem Statement
Paramount Health and Beauty Company developed the Clean Edge Razor, a technologically advanced non disposable razor. The company now has to study and segment the market environment and find a suitable target to successfully position and launch their product.
Situational Analysis
General Market Profile
Products available in U.S. Razor market are non-disposable razors, refill cartridge, disposable razors, shaving cream, and depilatories. Non-disposable razors recorded average growth of about 5% in retail sales during the period 2007 to 2010 whereas refill cartridge and disposable razors recorded growth of approximately 2% and 3% respectively for the same period. Innovations and new product introductions are the prime factors for the growth.
Non-disposable razors and refill cartridge market is broadly classified into three segments namely value, moderate and super premium based on price and quality. Paramount’s consumer research identified distinct segmentation in terms of product benefits and consumer behavior.
39% of non-disposable razor users are segmented as Involved Razor users, social/emotional shavers; 28% as Involved Razor users, aesthetic shavers and 33% as Uninvolved Razor users, maintenance shavers. Studies from 2009 showed that the retail sales of non-disposable razors and refill cartridge came from 25% volume of super-premium, 43% of moderate and 32% of value segments.
In the last decade, the industry has experienced significant growth in the super premium segment. Product innovation and new technology is leading this sector for a number of new entrants. In 2008-09 the rate of new product innovation leads to 22 new SKUs to be introduced.
SWOT Analysis
Strengths
Paramount Health and Beauty Company’s biggest strength is that it is a