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Rethinking Gillette’s Pricing With Dollar Shave's Disruptive Innovation

Rethinking Gillette???s Pricing With Dollar Shave's Disruptive Innovation
Photograph by Nathan Schroder

When we think of disruptive innovation, what comes to mind are high-tech startups such as Napster, Netflix, Twitter, and Facebook. Few would think of a company selling mundane products such as razors and blades as disruptive. Yet this is what the recently launched Dollar Shave Club is trying to achieve.

With its hilarious viral video that amassed over 3 million views in less than a week, Dollar Shave Club is out to make customers an offer they can’t refuse—shaves for as low as a $1 a month. Not $1 a cartridge but $1 a month (which gets you five two-bladed cartridges monthly). You can also upgrade: For $6 per month, you can get a four-bladed razor, and for $9 per month you can get a six-bladed one. Sounds like a great deal, right?