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1/ In 2011, Michael Dubin founded Dollar Shave Club, a subscription service for men's razors. Just five years later, he sold it to Unilever for $1 billion.
How in the world did this happen?
Read more to find out.
How in the world did this happen?
Read more to find out.
2/ The idea actually started when Dubin was at a party and his friend's dad asked him to help sell a surplus of razors online.
The idea hit him: sell razors using a subscription model.
The idea hit him: sell razors using a subscription model.
3/ So, he decided to try to disrupt the razor industry with a subscription business model, even though P&G dominated the market with an insane 71% market share.
Turns out some of the best markets have slow-moving incumbents with massive market share who keep prices too high
Turns out some of the best markets have slow-moving incumbents with massive market share who keep prices too high
4/ How did they do it?
Two ways:
1. Genius brand building
2. A 10x (maybe more?) better experience.
Two ways:
1. Genius brand building
2. A 10x (maybe more?) better experience.
5/ Brand.
Dubin was a digital marketer by training and had 8 years of improv comedy experience at in LA. Simply put, he is hilarious.
So hilarious that Kristen Green wrote him a check because of his vision + charisma, despite seeing challenges with the business and market.
Dubin was a digital marketer by training and had 8 years of improv comedy experience at in LA. Simply put, he is hilarious.
So hilarious that Kristen Green wrote him a check because of his vision + charisma, despite seeing challenges with the business and market.
6/ Dubin's personality didn't just help raise money. It helped build the brand. Funny and memorable commercials became a hallmark of DSC, like this OG DSC video here:](
7/ This video went viral in 2012, and DSC received 12,000 orders over a two day period following its release. The company was off and running, thanks to some creativity and humor.
8/ A 10x better experience.
DSC was both way less expensive + way more convenient than its main competitor Gillette. DSC would send 5 blades to customers per month at just $1 ($3 incl. shipping and handling).
And, the subscription ensured purchasing was completely seamless.
DSC was both way less expensive + way more convenient than its main competitor Gillette. DSC would send 5 blades to customers per month at just $1 ($3 incl. shipping and handling).
And, the subscription ensured purchasing was completely seamless.
9/ Gillette, on the other hand, charges ~$3 per blade, and at the time had very little e-commerce presence.
Better price and more convenience = a way better customer value prop.
Better price and more convenience = a way better customer value prop.
10/ So, what's the lesson?
DSC thrived not only because of branding and humor, but also because of a substantively better offering.
Both are important.
You don't get to $1 billion without a strong brand AND a 10x better experience.
Invest in both.
DSC thrived not only because of branding and humor, but also because of a substantively better offering.
Both are important.
You don't get to $1 billion without a strong brand AND a 10x better experience.
Invest in both.
