Dollar Shave Club Creates Smooth Customer Experience

susanmcguire2018    February 13, 2018

It is hard to believe that purchasing razor blades would include a little comic relief but that is exactly what you get when you subscribe to the Dollar Shave Club. My husband, a member since 2014 signed up for The Dollar Shave Club (DSC) after seeing a video shared on Facebook.

The Los Angeles-based startup launched in 2011 with the goal idea to steal market share from razor powerhouse, Gillette. Founder & CEO Michael Dubin promised a better price point: for $3 a month, no contracts and no hidden fees, DSC sends you a high quality razor. He created a crude and goofy viral video to support the launch. Fast forward to 2018 and that that video has been viewed over 25 million times, and DSC has grown to include 1.1 million subscribers, a whopping $615 million valuation in 2015, and most recently a $1 Billion all-cash acquisition by Unilever.

DSC is a young, smart, stylish, yet playful brand. When you join the club, you’re not just signing on for low-cost razors and blades, you’re investing in the monthly “delight” that comes along with it. As a member, you get in on the joke and belong to an exclusive community that no other brand offers.

If your brand can give someone an experience unlike any other; something they can share on Instagram, or mention to their coworkers or friends, they will be that much more pleased (and loyal) in the long run.

Ordinary Product Delivers Customers Extraordinary Experience

The content they put together for members is simple and inexpensive, but, like their launch video, they took an ordinary product and made it an extraordinary experience for the customer.

When you first sign up for the club, you are met with a friendly welcome email that confirms your transaction, welcomes you into the community, and explains how you can get more out of it.

Shortly after, your first shipment arrives with:

  • A Branded Box
  • Funny Welcome Note
  • Your shaving products
  • An explanation of the upgrade process
  • Dollar Shave Club’s News & Member Spotlights

Monthly Shipments include:

  • Branded Envelope
  • Blades
  • Club News & Member Spotlights

DSC has made the act of buying your monthly razors something worth looking forward to and smiling about. They also have the added bonus of being more affordable. As a customers, you really can’t go wrong.

SOCIAL ENGAGEMENT

In addition to their clever pieces of content, DSC also thrives on social engagement. For example, when members share a photo of their monthly box on Instagram  or Facebook page, the brand reposts their favourites, and then rewards that member with a free t-shirt. It’s little perks like these that keep customers feeling special and interacting with the brand and community long term

By selling something people actually want and need (in an industry that has not seen much innovation in decades). DSC was able to set the stage for both marketing and overall organizational success. They took a boring topic and made it entertaining and worth sharing with a friend (not to mention, grabbing nationwide attention in the process).

Today DSC has:

Facebook
3.5 Million Likes
3.4 Million Followers

Instagram
98.K Followers

Twitter
82.3K Followers

Google+
565,400

Lessons for Others

  • DSC was able to identify product that lends itself perfectly to subscription on a long-term basis
    • People busy razors
    • People need to change blades frequently
    • People shave on a regular basis
  • DSC was able to determine existing buying experience for buying razors was cumbersome and created online experience of purchasing razors both simple and fun.
  • DSC paid close attention to why subscribers churn and worked hard to address these issues and improve likelihood members will continue to subscribe.
  • DSC created an amazing consumer experience that retains its users at high levels.

Organization: Dollar Shave Club
Industry: Online Retail (Direct to Consumer Subscription Business)
Name of Organization Contact: Michael Dubin, Founder & CEO

Authored by: S.McGuire

If you have concerns as to the accuracy of anything posted on this site, please send your concerns to Peter Carr, Program Director, Social Media for Business Performance.


References

Leave a Reply