Case Study: Gillette Indonesia Essay

Words: 3845
Pages: 16

SQ2012 28-02-78
Gillette Indonesia
Marketing Plan

Table of Contents 1. Executive summary 3 2. Situation analysis 4 2.1. Market summary 4 2.2. Market demographics 4 2.3. Market needs 5 2.4. Market trends 5 2.5. Market growth 5 2.5.1. Competition 6 2.6. SWOT analysis 6 3. Marketing strategy 8 3.1. Marketing objectives 8 3.2. Target markets 8 3.3. Positioning 8 3.4. Marketing mix 9 3.4.1. Product 9 3.4.2. Place 9 3.4.3. Promotion 11 4. Gillette Indonesia: case questions 13

Executive summary
The Gillette Company has effectively entered the razor blade market in the main parts of Indonesia. Even though there is still a lot of potential for growth, it faces stiff competition, as well
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In particular this happened in the urban areas, where 35% of the population resides.

Another interesting fact regarding market trends is related to the shaving rate. This rate increased from 4.5 times per month among the 66% of the adult men in 1993 to 5.5 times among the 80% in 1995. Three main factors influence the shaving rate: * Increasing awareness of Western practices as a result of exposure to foreign media, multinational companies and their employees * College students and graduates entering the workforce were important trendsetters * Asian beards grew slower than Western beards
Market growth
As shown in the previous paragraph, the shaving rate increased in the last two years. Hence, even if the number the customers were the same, the number of Gillette products sold would be increased. However, each year two million of people enter into workforce, constantly increasing the potential customer base for shaving products.

Moreover, the growing economy allowed for more people to improve their incomes and living standards within the last 20 years. Because of that, they had more money to spend for their personal care products, like shaving and complementary shaving products, and this boosted the shaving products sales.

This situation increased the Gillette’s market share that almost doubled from 28% in 1993 to 48% in 1995 and was expected to reach 50% by 1996.
In the blades market, the main