Gillette UK Ltd and Social/Demographic Changes

Topics: BusinessMarketing


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Last updated: April 17, 2019

The Gillette Company manufactures personal care products for men and women, including shaving items and toiletries under the Gillette brand name. But they also own the following brands: Braun, Oral B and Duracell.Changes in the Population and their effect on BusinessThe latest Census of Population in the UK shows that the proportion of people over 50 is increasing and will continue to increase for the next 20 years, a fact which is supported by the Economic and Social Research Council. This is due to the children of the ‘baby boom’ era (1946-1964) reaching retirement age and this will have a profound impact on the way businesses market themselves if they are to tap into this expanding section of the population.

What Next for Business?To stand a chance in the future market place Gillette will have to re-evaluate its 7 P’s marketing mix:PriceDespite the findings in the ‘Fit and Fifty’ Report from the ESRC which shows a direct correlation between the over fifties and a higher percentage of disposable income, many older people live below the poverty line. As such any company which could offer a permanent price reduction to senior citizens would be well placed in the market.When an individual reaches official retirement age and is issued with their bus pass, they would qualify for a 10% discount on all products.

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This would be given by ‘swiping’ their bus pass at the time of purchase (or entering the number on a keyboard if ordered over the Internet) and the ‘cash back’ would be put into their virtual account, which they could use to buy products in the future.PlaceIn order to specifically target this age range Gillette will have to expand where it sells its products. One such expansion could include having advertising or vending machines (selling miniature versions of their range) in public bathrooms, such as in restaurants and bars, after all it is a proven fact that they older you are the more often you go to the bathroom.ProductThe company could introduce a new brand that is specifically targeted at the over fifties, such as denture cream.PromotionAlternatively Gillette could simply change the marketing strategy on its current product range away from ‘the 30 something sportsman’ to ‘the retired 50 something gentleman sailing on his yacht.

‘PeopleGillette would do well to invest in a devoted After Sales Service or Customer Service team manned by humans and not an automated phone system, as the retention or clients has great value to an organisation.Process/Physical AmbienceDespite the desire to talk to people and not machines, the world is becoming more dependent on technology and the Internet as a place of trade and information. Due to this it is believed that the future will see an expansion in virtual stores with 3D sales assistants and holograms. As the ‘baby boomers’ have grown with technology and are mostly proficient in its use, Gillette should look to expand its online shopping network to include these.

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