Gillette Business Model Canvas: Complete BMC Analysis
The Gillette Business Model Canvas reveals how Gillette pioneered one of the most influential business models in history—the razor-and-blades model. This BMC framework analysis covers Gillette's nine building blocks: Key Partners, Key Activities, Key Resources, Value Propositions, Customer Relationships, Channels, Customer Segments, Cost Structure, and Revenue Streams.
Value Propositions: Premium Shaving Experience
Gillette's Value Propositions include superior shave quality, innovative blade technology (Fusion, SkinGuard), brand trust, and a complete grooming ecosystem. This premium positioning within parent company P&G mirrors the brand portfolio strategy in the Unilever Business Model Canvas and Johnson & Johnson Business Model Canvas.
Revenue Streams: Razor-and-Blades Model
Gillette's Revenue Streams include razor handles (low margin), blade cartridges (high margin), shaving gels/foams, and grooming accessories. This recurring revenue model influenced countless industries and resembles subscription strategies in the Nespresso Business Model Canvas and Spotify Business Model Canvas.
Customer Segments in the BMC
Gillette's Customer Segments include men of all ages, premium grooming seekers, athletes (sponsorships), and increasingly women (Venus brand). This mass-market reach parallels the consumer diversity in the Unilever Business Model Canvas and Nestlé Business Model Canvas.
Key Resources: Brand and Innovation
The Key Resources block includes the iconic Gillette brand, blade technology patents, P&G distribution, and athlete endorsements. This brand equity mirrors the portfolio management in the Unilever Business Model Canvas and Johnson & Johnson Business Model Canvas.
Key Partners and Key Activities
Gillette's Key Partners include P&G (parent), retailers, sports leagues (NFL, MLB), and athletes. Key Activities encompass blade R&D, brand marketing, retail partnerships, and digital subscription (Gillette On Demand). Compare this to the marketing excellence in the Unilever Business Model Canvas.
Channels and Customer Relationships
Gillette's Channels include retailers (Walmart, Target), e-commerce, Gillette.com subscriptions, and pharmacy chains. Customer Relationships leverage brand loyalty, subscription convenience, and athlete endorsements. This omnichannel approach mirrors the Unilever Business Model Canvas distribution.
Cost Structure Analysis
Gillette's Cost Structure includes R&D, manufacturing, marketing (sports sponsorships), and retail trade spend. These CPG economics parallel the Unilever Business Model Canvas and Nestlé Business Model Canvas.
Comparing Consumer Goods Business Model Canvases
Study related BMC examples: Unilever BMC for FMCG portfolio, Johnson & Johnson BMC for consumer health, Nestlé BMC for brand management, and Nespresso BMC for razor-blades model in coffee.