Print Email Facebook Twitter Could Philips get into the personal care routine of young men?: Strategy to bring meaningful shaving solutions to young men Title Could Philips get into the personal care routine of young men?: Strategy to bring meaningful shaving solutions to young men Author Alberdi Alvaro, A. Contributor Buijs, J. (mentor) Sleeswijk Visser, F. (mentor) Faculty Industrial Design Engineering Department Design management Programme Strategic Product Design Date 2010-09-10 Abstract The current electric shaving market is stagnating in many regions of the world; and the blade market share is growing faster than the electric shaving market share. Philips is looking for new business opportunities to grow market share in the shaving market. A growth business opportunity that consists on targeting young men that are about to start shaving with an electric shaving solution has been identified. By targeting youth when they are about to start shaving, Philips could increase the possibility of men to start shaving with the brand´s electric shavers. As a result, young men could stay loyal to the shaving method (and the brand) when buying shaving products in the future, ensuring market share growth of electric shaving appliances not only among young men but also among older men in the long term, as 45% of men stick to the shaving method they start shaving with either blade or electric shaving. The project started by defining the risks which the new business opportunity might mean to Philips, pinpointing the current focus of Philips electric shavers on bringing shaving performance to men above 25 years old, the limited knowledge of the company on young men´s needs when starting to shave, young men´s shaving competitive product environment, and emerging trends that encourage men to keep up a stubble or styled beard. This encouraged the definition of an exploratory research to better understand trends on young men´s personal care market, needs and motivations of young men when starting to shave and the analysis of potential product competitors. In addition, Philips Shaving and Grooming business was analyzed by focusing on the current product portfolio and product market introduction strategies. The conclusions of the sections exploratory research and Philips Shaving and Grooming business analysis defined the facts that gave the foundation to identify opportunities and threats, to define whether Philips should go forward or not with the new business opportunity of targeting young men (budget restrictions and calculations were not considered in the scope of the project when making the decision). The analysis of the opportunities and threats revealed the following reasons why Philips should go forward with the business opportunity: young men´s shaving needs and motivations were identified to which current shaving products in the market do not give a solution; next, opportunities to improve the value proposition for shaving appliances was identified, which could help to define new shaving solutions for starting to shavers that could bring new customers to Philips Shaving and Grooming every year, since the starting to shave market of young men is a yearly new market. In the contrary, the most relevant reasons why not to go further targeting young men were based on the current innovation process of Philips Shaving & Grooming, which is still in the transition of being a user centered company (which does not ensure the ability of the company to deliver on specific needs of young men); furthermore, competing brands showed to have strong communication campaigns that target young men with styling products, whereas Philips market introduction strategies focus on retail shops instead of in end consumers. In addition, young men showed no interest in spending money on shaving appliances, unless shaving would bring more relevance and advantages to their personal care routine. If the product innovation process Philips currently follows was changed to one that focuses on defining products that deliver on the previously identified specific needs of young men, and also defining a brand that promises to bring a solution to young men`s needs and motivations to shave, Philips could define a differential advantage between the rest of the competing products that focus on targeting young men either with styling products (which is not an identified need of starting to shavers), sending razor blades to starting to shavers (razor blades do not deliver on the wish of young men of not getting nicks and cuts when starting to shave) and with low end products (which just focus on cutting the hair of and therefore do not bring an additional value to the personal care routine of young men). Therefore, I advice Philips to go forward with the new business opportunity by switching the innovation program into a more user and brand driven process, in order to bring meaningful shaving solutions to young men; by developing solutions that deliver on the specific needs of starting to shavers and bring value to the personal care routine of young men. The following four steps were followed (based on brand driven innovation process) to define the strategy Philips should follow to bring meaningful solutions to young men. First, a brand that is meaningful for both young men and Philips was defined, by starting from young men`s shaving needs and personal care motivations to define the brand that will guide the company through the innovation process. Second, a brand push strategy was defined with specific guidelines that intend to guide the innovation process: three guidelines that came from the analysis of the future personal care market of young men defined the relationship between the brand and the young men, the analysis of the competitive product environment resulted on the definition of the positioning of the brand in the market and, the user’s needs and motivations analysis defined three different personas that intend to guide Philips when developing shaving solutions (the three personas will help Philips to focus on designing solutions on the aspects of the brand promise that matter the most to each of the different personas). Third, design guidelines that intend to turn the brand promise into tangible experiences of the young men were defined: the brand name, logo, guidelines to define the navigation on the website, etc. And last, different touch points (interaction between the young men and Philips) were designed which intend to visualize the proposed different interactions between young men and the brand, such as the product, the packaging and a facebook application among others. Subject brandpersonal care To reference this document use: http://resolver.tudelft.nl/uuid:fd8012d2-463d-44bf-b271-503a7517511c Embargo date 2012-03-10 Access restriction Campus only Part of collection Student theses Document type master thesis Rights (c) 2010 Alberdi Alvaro, A.