Question

“Dollar Shave Club” created an ad for their services that went viral a few years back. On the strength of the ad alone they were able to attract over 200,000 subscribers. What does the “Dollar Shave Club” do…? They provide inexpensive razor blades that they deliver each month. There are three pricing options ($3.50, $6.50, and $9.50 per month including shipping).

First, explain how they have segmented the market. Which key needs have they targeted? How would you go about characterizing this segment? Who are the people that have these needs, and why do you think this? How confident are you that you can accurately characterize his segment?

Second, explain why we would even want to characterize the segment? What use is it to marketers to characterize their target market? Explain. Finally, talk a bit about the match (or mismatch) between the advertising tool that “Dollar Shave Club” used and their “true” target market. In case you are not aware of the viral video, it was basically a humorous, irreverent ad in which the company’s CEO (a young casually dressed man) jokingly talked about the virtues of cheap razor blades while making some pretty whacked-out jokes. Given your previous answer, what other broad types of media (using the terminology discussed in class) do you think might be appropriate to reach the target market you identified & why (don’t worry about being too specific here, we’re looking to see that you understand the reasons why you would use different media types, rather than the specific tactics).

Answer 1

Dollar Shave Club is a genuinely new organization, starting tasks in July of 2011. Dollar Shave Club as of now holds 7.5 of the shaving business market share, offering much space for development. Dollar Shave Club has numerous competitors. Since Dollar Shave Club is just accessible on the internet, advertising is the main platform to increasing new clients, and subsequently a noteworthy concern. One of the real issues bothering Dollar Shave Club is contending with greater brands who have more cash to spend on promotion. As a result of constrained subsidizes as a new business, a large portion of the promoting for Dollar Shave Club has been through online networking. Additionally, the silliness in publicizing and bundling could be hostile to some potential clients. Also, so far, Dollar Shave Club has essentially focussed on men, in spite of the fact that ladies speak to 20% of current clients. Both of these issues are tricky as they take out potential clients. To address these issues, we have created essential and optional target markets in light of statistic research of purchasers who utilize the web and are thought to be "educated". These people will probably but over internet and more responsive to online networking advertisements. Dollar Shave Club has fragmented essential target market to men aged between 18-29, with a salary of at any thing around $30,000 a year and a high school diploma or better. The secondary target market will be females meeting similar criteria. Extending the objective market to incorporate ladies will possibly expand the piece of the overall industry of Dollar Shave Club.

Primary target market

In 2014, there were roughly 19 million people who fit our essential target advertise. Since this specific subgroup is the well on the way to be web sagacious, they stand the best possibility of being come to by means of You-Tube and online networking, which are the stages Dollar Shave Club has utilized for its advertising since the start. It is too critical to take note of that people of age 18-29 fit in with certain psychographics, which more seasoned ages don't. The sort of funniness (mockery, irregularity and foulness) utilized as a part of Dollar Shave Club's plugs could in all likelihood be lost or thought about vile by more established people. This funniness requests to canny, perceptive, hip and maybe even less genuine people, which would more than likely apply to more youthful ages. The current notices which focus on this group are not just financially savvy, they work. The objective advertise has effectively turned out to be attractive through past strategies. The administration "talks for itself" in its interest to people who have the psychographic requirement for straightforwardness and robotization. It doesn't get significantly less demanding or more advantageous than razors being conveyed to your doorstep on a month to month premise, with no requirement for re-requesting or suggestions to get that particular item (among others) from a physical store. It likewise stands to reason that the cutting-edge shavers (guys 15 years of age and up) will be presented to the same advertising material, since more youthful ages are by and large more mechanically keen than the ages previously them. This protects more Dollar Shave Club clients later on, as potential shavers come into the shaving custom as a characteristic movement in age.

Primary target market

In 2014, there were roughly 19 million people who fit our essential target advertise. Since this specific subgroup is the well on the way to be web sagacious, they stand the best possibility of being come to by means of You-Tube and online networking, which are the stages Dollar Shave Club has utilized for its advertising since the start. It is too critical to take note of that people of age 18-29 fit in with certain psychographics, which more seasoned ages don't. The sort of funniness (mockery, irregularity and foulness) utilized as a part of Dollar Shave Club's plugs could in all likelihood be lost or thought about vile by more established people. This funniness requests to canny, perceptive, hip and maybe even less genuine people, which would more than likely apply to more youthful ages. The current notices which focus on this group are not just financially savvy, they work. The objective advertise has effectively turned out to be attractive through past strategies. It doesn't get significantly less demanding or more advantageous than razors being conveyed to your doorstep on a month to month premise, with no requirement for re-requesting or suggestions to get that particular item (among others) from a physical store. It likewise stands to reason that the cutting-edge shavers (guys 15 years of age and up) will be presented to the same advertising material, since more youthful ages are by and large more mechanically keen than the ages previously them. This protects more Dollar Shave Club clients later on, as potential shavers come into the shaving custom as a characteristic movement in age.Secondary Target Market With the essential target showcase comprising of men, keeping in mind the end goal to augment benefit, we have decided the auxiliary market ought to be ladies as behaviorally, ladies for the most part shave bigger bits of their bodies than men. Legs and underarms alone (which is ordinarily most regular) give more surface region to shaving than a single faceResearch demonstrates that the quantity of ladies inside this statistic is almost indistinguishable to that of our essential market, with a fragment of around 19 million. .From the psychographic stance, females ordinarily have a fairly wild way of life, expanding the requirement for included comfort

Positioning Statement

Dollar Shave Club offers different items, fundamentally razors, to men who are learned in innovation, that need a spotless, helpful, and ease shave, while as yet tending to their skin

In the 21 century this company can target various platforms where the cost the cost benefit attained can eb very high. company can strategically bundle its products with others to sell goods which customers generally don't buy individually. moreover it can focus on content marketing and affiilate marketing on several platforms starting from Amazon, Flipkart, Ebay, Alibaba, etc. Dollar shave can also increase its online presence by posting ads on facebook and various other social media platforms as its target customers include mmostly the youth.