{"id":7515,"date":"2015-12-09T23:28:16","date_gmt":"2015-12-10T04:28:16","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/harrys-giving-mens-grooming-a-clean-shave\/"},"modified":"2015-12-10T09:31:07","modified_gmt":"2015-12-10T14:31:07","slug":"harrys-giving-mens-grooming-a-clean-shave","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/harrys-giving-mens-grooming-a-clean-shave\/","title":{"rendered":"Harry\u2019s | Giving Men\u2019s Grooming a Clean Shave"},"content":{"rendered":"<p>Leave the office. Take the subway. Go to the pharmacy. Find the personal care aisle. Ask a sales associate to unlock the razor cabinet. Pick and choose razor and blades. Pay for them. Regardless of where you are or how many of these steps you take to buy your razor, it&#8217;s always a hassle.\u00a0In a world filled with over-priced, over-marketed, low-quality razors Harry&#8217;s makes &#8220;groom&#8221; for a better, convenient, and more efficient way.<\/p>\n<p><span style=\"color: #003366\"><strong>Who? \/\/\u00a0<\/strong><\/span>Launched in 2013, Harry&#8217;s was founded by Warby Parker co-founder Jeff Raider and Andy Katz-Mayfield as a vertically integrated, e-commerce company selling a fairly-priced, high quality razor for men. Just over two years later, Harry&#8217;s has taken on the\u00a0<a href=\"http:\/\/www.forbes.com\/sites\/forbestreptalks\/2015\/09\/23\/how-harrys-is-taking-on-the-big-boys-of-shaving\/\">&#8220;the big boys of shaving&#8221;<\/a>, Shick and Gillette, raising over $280\u00a0million in funding and reaching a $750 million valuation\u2014a success that has been attributed to the remarkable synchronization of its business and operating models.<\/p>\n<p><strong><span style=\"color: #003366\">Business Model: Direct-to-Consumer + Ready-to-Shave \/\/<\/span>\u00a0<\/strong>Harry&#8217;s core competency lies in\u00a0offering sleekly-designed, optimal quality razors, blades, and grooming product to today&#8217;s sophisticated man. In a space dominated by a handful of players pushing artificially priced products (with no respect to the quality of the\u00a0product), Harry&#8217;s bring the experience\u00a0online to help remove the friction and high costs from distribution, give the product a sexier name and look through smarter design. Harry&#8217;s\u00a0value proposition spans across four different dimensions:<\/p>\n<p><span style=\"color: #003366\"><strong><a href=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/harrys-xl.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-6603 alignleft\" src=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/harrys-xl-300x200.jpg\" alt=\"harrys-xl\" width=\"300\" height=\"200\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/harrys-xl-300x200.jpg 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/harrys-xl-600x400.jpg 600w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/harrys-xl.jpg 960w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a>A. Pricing:<\/strong><\/span> thanks to its vertically integrated approach, Harry&#8217;s offers products at half the prices of its competitors (2 razors at $10 and $20, $2 blades, $6-$8 face products, and $25 kits)<\/p>\n<p><strong><span style=\"color: #003366\">B. Design: <\/span><\/strong><span style=\"color: #000000\">minimalistically designed razors blending\u00a0<a href=\"https:\/\/www.harrys.com\/our-story\">&#8220;timeless simplicity and modern ergonomics&#8221;<\/a>, which are aptly labeled with &#8220;old-school&#8221; and sophisticated names as Winston and Truman, cleanly concocted face creams and moisturizers, and chic grooming kits<a href=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/Screen-Shot-2015-12-09-at-11.24.12-PM.png\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-7444 alignright\" src=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/Screen-Shot-2015-12-09-at-11.24.12-PM-300x218.png\" alt=\"Screen Shot 2015-12-09 at 11.24.12 PM\" width=\"300\" height=\"218\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/Screen-Shot-2015-12-09-at-11.24.12-PM-300x218.png 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/Screen-Shot-2015-12-09-at-11.24.12-PM-600x436.png 600w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/Screen-Shot-2015-12-09-at-11.24.12-PM.png 637w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/span><\/p>\n<p><span style=\"color: #003366\"><strong>C. Accessibility:\u00a0<\/strong><span style=\"color: #000000\">launched exclusively as an e-commerce merchant with seamless distribution capabilities providing affordable &#8220;Shaving Plans&#8221; with free trials, automatic refills, and easy modifications \/ cancellations<\/span><\/span><\/p>\n<p><span style=\"color: #003366\"><strong>D. Experience:\u00a0<\/strong><span style=\"color: #000000\">unlike its competitors, Harry&#8217;s is an aspirational luxury and lifestyle brand\u2014as evidenced by the opening of its 1920s-themed and elegant barbershop\u00a0<a href=\"http:\/\/techcrunch.com\/2013\/10\/28\/harrys-is-opening-a-barbershop-or-a-bridge-for-online-and-offline-customer-behavior\/\">&#8220;Harry&#8217;s Corner Shop&#8221;<\/a>\u00a0in Soho to bridge the gap between its gentlemanly customer&#8217;s online and offline behavior<\/span><\/span><\/p>\n<p><a href=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/corner.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-7490 alignleft\" src=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/corner-300x143.jpg\" alt=\"corner\" width=\"300\" height=\"143\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/corner-300x143.jpg 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/corner.jpg 596w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a>As a complement to Raider&#8217;s Warby Parker and commitment to give back, Harry&#8217;s\u00a0aims to\u00a0<a href=\"https:\/\/www.harrys.com\/give-a-shave\">&#8220;give a shave&#8221;<\/a>\u00a0about getting people ready for their lives and careers through its &#8220;1+1&#8221; program where it donates 1% of sales to City Year&#8217;s New York chapter and 1% of its time to work with City Year.<\/p>\n<p><strong><span style=\"color: #003366\">Operating\u00a0Model:\u00a0Iron Law of Distribution, No Problem \/\/\u00a0<\/span><\/strong><span style=\"color: #003366\"><span style=\"color: #000000\">Harry\u2019s is the only razor blade company that owns the\u00a0the entire process\u00a0from manufacturing of the razors to engagement on the consumer level through direct sales.\u00a0<\/span><\/span><\/p>\n<p>Prior to launch, Harry\u2019s co-founders\u00a0globe-trotted to\u00a0source the best manufacturers\u00a0until in early 2014 they came across 90-year-old German factory, an\u00a0experienced and flexible manufacturer of double-edged and five-edged blades, that have become the staple of\u00a0Harry&#8217;s.\u00a0With the purchase of Feintechnik, Harry\u2019s now has the ability to control the design and manufacturing of its products, and sell directly to consumers. Razor blades are hard to make and easy to mess up but by having direct control of the process, Harry&#8217;s is able\u00a0to change the molecular composition of the steel and then <a href=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/factory2.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-7382 alignright\" src=\"https:\/\/i4tsk12in2b2y7uts14c528g-wpengine.netdna-ssl.com\/wp-content\/uploads\/sites\/4\/2015\/12\/factory2-300x200.jpg\" alt=\"factory\" width=\"300\" height=\"200\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/factory2-300x200.jpg 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/factory2-600x400.jpg 600w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2015\/12\/factory2.jpg 850w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a>grind it so that it\u2019s very sharp at its tip and strong at the base. At the same time, Harry&#8217;s\u00a0can take feedback to the customer and invest back into the manufacturing process to ensure a high quality product every time. Harry\u2019s has begun to track customer purchasing habits in order to allow them to email those customers when they think it\u2019s time for them to buy new blades. As its customer base expands and it gathers more data on their style and tastes, the company will look to expand this kind of functionality to bring more Amazon-style personalization to its shopping experience.<\/p>\n<p>By eliminating unnecessary costs and disintermediating the supply chain of razor production, Harry&#8217;s is able to allocate its capital more efficiently towards research and development of new products and customer engagement through its online portal and brick and mortar corner shop. By doing so, Harry&#8217;s is able to remain competitive, accessible, top-of-mind and create value to its gentlemen.<\/p>\n<p><strong><span style=\"color: #003366\">Trimming the Path Forward \/\/\u00a0<\/span><\/strong><span style=\"color: #003366\"><span style=\"color: #000000\">Since its launch over two years ago, Harry&#8217;s has successfully aligned its business and operating models and yielded\u00a0500% growth in its revenue base. The company is not only seeking to strengthen the quality and delivery of its core products, the razors, but also to expand the offering to women&#8217;s grooming and dental hygiene products. Unlike Warby Parker, Harry&#8217;s is not planning on going down the brick and mortar store concept just yet, but they&#8217;re clearly trimming a trailblazing path across an industry that&#8217;s been due for a clean shaving.\u00a0<\/span><\/span><\/p>\n<p>_________________________________________________________________________________________________<\/p>\n<p><strong>Sources:<\/strong><\/p>\n<ol>\n<li>https:\/\/www.harrys.com<\/li>\n<li>http:\/\/techcrunch.com\/2015\/07\/07\/harrys-raises-75-6-million-in-series-c-valued-at-750-million-post-money\/<\/li>\n<li>http:\/\/techcrunch.com\/2014\/01\/22\/10-month-old-harrys-lands-122-5m-buys-93-year-old-factory-to-go-toe-to-toe-with-gillette-and-schick\/<\/li>\n<li>http:\/\/www.forbes.com\/sites\/forbestreptalks\/2015\/09\/23\/how-harrys-is-taking-on-the-big-boys-of-shaving\/4\/<\/li>\n<li>http:\/\/techcrunch.com\/2014\/01\/22\/10-month-old-harrys-lands-122-5m-buys-93-year-old-factory-to-go-toe-to-toe-with-gillette-and-schick\/<\/li>\n<li>http:\/\/www.forbes.com\/sites\/stevenbertoni\/2015\/07\/07\/razor-wars-harrys-raises-75-million-to-fight-gillette-and-dollar-shave-club\/2\/<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&quot;Quality craftsmanship, simple design, modern convenience and most importantly for guys who know they shouldn&#039;t have to overpay for a great shave.&quot;<\/p>\n","protected":false},"author":1214,"featured_media":7516,"comment_status":"open","ping_status":"closed","template":"","categories":[1180,1182,1181,57],"class_list":["post-7515","hck-submission","type-hck-submission","status-publish","has-post-thumbnail","hentry","category-harrys","category-nyc","category-verticallyintegrated","category-winning"],"connected_submission_link":"https:\/\/d3.harvard.edu\/platform-rctom\/assignment\/the-tom-challenge-tom-winners-and-losers-assignment\/","yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - 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