Gillette Loses 8 billion dollars (LOL)

Started by eThneoLgrRnae2 pages

Gillette Loses 8 billion dollars (LOL)

Gee, I wonder why lol.

https://www.youtube.com/watch?v=NvIJpU7CBsI

https://www.breitbart.com/tech/2019/08/02/gillette-loses-8-billion-as-sales-drop-following-woke-commercials/

This just proves that the saying "Get woke, go broke" is true. 😛

Their marketing mssg was so good, I don't understand how this could happen..... 😆

I am sure it has nothing to do with much less expensive direct mail competitors.

I'm proud to say I haven't bought another Gillette razor since that "woke" man-bashing commercial and I never will again. Been using disposable razors ever since dropping Gillette.

Gillette razors are disposable.

Originally posted by Adam_PoE
I am sure it has nothing to do with much less expensive direct mail competitors.

Bingo.

It's what I use. I pay cents on the dollar compared to buying a ridiculously overpriced pack in the store.

But I find it funny these people are openly saying a commercial hurt their feelings to the core. Sensitive males.

Originally posted by Robtard
Bingo.

It's what I use. I pay cents on the dollar compared to buying a ridiculously overpriced pack in the store.

But I find it funny these people are openly saying a commercial hurt their feelings to the core. Sensitive males.

Let's hope they learned a lesson here, don't polarize your target audience away from your brand when your competitors don't care how woke your company is 🙂

If you think sensitive men losing it over a commercial is the reason the company lost billions and not because of the varied online stores where you can get nice disposable razors for cents on the dollar mailed to your home, you go ahead.

Originally posted by Adam_PoE
I am sure it has nothing to do with much less expensive direct mail competitors.

I'll fact check your statement, later. Curious if you're right.

Yeah Robbie and Adam are Def Living in a Fantasy Land.
Company Gets Woke. Goes Broke is a Proven Fact Again.

Robbie can be Gillette's Last Sensitive Not-a-Man shaver they have.

Originally posted by Adam_PoE
I am sure it has nothing to do with much less expensive direct mail competitors.
Originally posted by Robtard
Bingo.

It's what I use. I pay cents on the dollar compared to buying a ridiculously overpriced pack in the store.

But I find it funny these people are openly saying a commercial hurt their feelings to the core. Sensitive males.


Used to use Gillette Mach 3 to shave, but switched years ago to the Dollar Shave Club's executive razors. It was significantly cheaper and offered a better shave.

The Gillette ad had f*ck all to do with the switch. In fact, I found it to be goddamned silly that anyone would be bothered or, much less, offended by it.

This might more be a case of "Gillette was shitty and doing bad and tried to get woke to do better, but failed".

Originally posted by Eternal Idol
Used to use Gillette Mach 3 to shave, but switched years ago to the Dollar Shave Club's executive razors. It was significantly cheaper and offered a better shave.

The Gillette ad had f*ck all to do with the switch. In fact, I found it to be goddamned silly that anyone would be bothered or, much less, offended by it.

Same ones I used to buy, excellent razors, but the price is not worth it when I can get 10 quality razor heads for $10.00 a month mailed directly to my house.

Never underestimate the the potential flow of tears from the sensitive males who see their fragile male-ness attacked from every shadow. But an 8bil lose due to a truly benign commercial? Nope.

Originally posted by Eternal Idol
Used to use Gillette Mach 3 to shave, but switched years ago to the Dollar Shave Club's executive razors. It was significantly cheaper and offered a better shave.

The Gillette ad had f*ck all to do with the switch. In fact, I found it to be goddamned silly that anyone would be bothered or, much less, offended by it.

same here

I immediately applied the figure four leg lock to the closest Gillette razor I had when I heard the news.

Originally posted by Adam_PoE
I am sure it has nothing to do with much less expensive direct mail competitors.

You're expecting them to apply occams razor, when they could torturously warp logic to make a partisan point? 🙂

Buckle Up.

I did some research into Gillette's problems and figured out what's going on.

1. Proctor and Gamble's controversies with laws and regulations:
I found nothing recent. Most recent was a case from 2016 (final case). Fines from France. Very hefty fines. But not company-breaking.

https://www.theguardian.com/business/2014/dec/18/france-fines-unilever-reckitt-benckiser-procter-and-gamble-gillette-price-fixing

Conclusion: Did not contribute to devaluation.

2. Gillette is suffering as a company due to stock prices
That does not match their stock prices over a year:

And this definitely does not match their stock prices over 5 years where they appear to be a really good investment, long-term:

Quick hint: investing in household product companies is a good idea because the human population is still growing exponentially and socio-economic mobility is still vastly improving across the globe meaning household products will continue to be very strong investment opportunities for the foreseeable future.

Conclusion: Did not contribute to devaluation. The opposite is true of Gillette and their stock is stronger than ever.

3. Gillette suffered from sales drops due to their controversial ad in Jan 2019

Confirmed:
http://www.pginvestor.com/file/Index?KeyFile=398954304

Looks like their sales for their grooming products (Gillette) took a dive. However, their financial earnings report did not specify the drop in sales after the controversial ad. Organic sales are up but volume is down. Also, they specify in their article that foreign sales were the primary attributions for their organic growth which they try to mask the domestic sales drop which is the real reason their volume is down.

Don't fall prey to the trickery in this financial reports.

Here's their FY 2018 sales figures which clearly shows growth in volume:
http://www.pginvestor.com/file/Index?KeyFile=395405640

How does this compare to Schick?

Their financial reports are a bit more honest than Gillette's and they break down markets:

"Wet Shave net sales decreased $6.4 million , or 2.2%, as compared to the prior year period. Excluding the impact of currency movements, organic net sales decreased $1.9 million or 0.6%, as compared to the prior year, reflecting the impact of lower volumes and pricing in North America partly offset by strong sales and volume growth in International markets. By region, North America organic net sales declined 7% and International markets increased 5.5%."

Conclusion: It appears Gillette suffered from their controversial ad in Jan and is just now recovering. Schick sales are also down.

4. Gillette is having financial issues because it is competing with Harry's and Dollar Shave Club

I found no evidence of Harry's and Dollar Shave Club having enough sales issues that can explain the market issues Gillette saw in the US. In fact, both have been purchased already by big personal care companies. Dollar Shave club's revenue growth appears to have sharply slowed down as of 2018 indicating a market share saturation point.

https://www.axios.com/shaving-giants-schick-gillette-harrys-dollar-shave-club-acquisition-fba1b15b-ee9e-4e5a-a37b-2e530162f15e.html

https://www.cnbc.com/2019/05/09/dont-compare-harrys-to-unilevers-dollar-shave-club-deal-edgewell-ceo.html

Conclusion: Harry's and Dollar Shave Club are not impacting Gillette's sales since the ad aired. Gillette made a bad move with the ad and has learned from it.

Stop lighting your farts on fire, ddm

8 billion seems like a lot of money to put solely on the ad itself, it seems like too much money to blame on any one factor. Don't even know the price of razors these days, I made the switch to a beard trimmer in 2012, but perhaps the 8bn comes from only a few thousand people boycotting Gillette.