Latest / Pricing Power Podcast with Fexingo: How Businesses Set Prices, Raise Margins, and Win Customers
How Dollar Shave Club Priced Disruption Through a Funny Video
In 2012, a two-minute YouTube video for a startup called Dollar Shave Club went viral, but the real business lesson was in the pricing. Lucas and Luna unpack how founder Michael Dubin used a subscription model to undercut Gillette's razors — $1, $6, or $9 per month — and created a $1 billion exit to Unilever. They discuss the economics of razors as 'loss leaders' turned recurring revenue, the psychology of 'good enough' quality at low prices, and why Gillette's decades-old pricing strategy finally cracked. Plus: how the subscription model reshaped consumer goods…
The skinny
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