Wet Shave Club takes aim at Harry's, Dollar Shave Club

Dive Brief:

The Wet Shaving Club announced Wednesday a product offering of one safety razor and a one-year supply of safety razor blades starting at $24.99, according to a press release.
The direct-to-consumer company's highlighted product is dubbed the "One Year Wet Shave Package" on its website and comes with 105 safety razor blades. Shipping is free.
The company claims that its product offerings cost "up to 48% less than the cheapest offering at The Dollar Shave Club; and as much as 74% vs the similar offering at Harry’s Razors," per the release.

Dive Insight:

The razor market has seen an amazing amount of industry activity over the past year.

In January, the DTC women's shave and body brand Billie announced a $25 million Series A investment round led by Goldman Sachs' Private Capital Investing Group.

In the fall of 2018, one of the largest DTC company's in the razor space, Harry's, launched a new women's body care brand, Flamingo, with its own standalone site that offers products including razors, handles, blades, wax kits and shaving gel. In February 2019, Flamingo started its foray into brick and mortar when it was announced that products would be rolled out to all Target stores. Then in May 2019, Edgewell Personal Care Company (which owns Schick) purchased Harry's for nearly $1.4 billion.

Dollar Shave Club, which was acquired by Unilever in 2016 for reportedly $1 billion, has since expanded into other product categories, adding toothpaste, cologne and, in March, deodorant to its personal grooming lineup.

While the razor market is facing increased competition, The Wet Shave Club is foregoing the trend of a monthly subscription fee utilized by other personal care DTC brands by offering a year's supply of replacement razors all at once. The brand is offering a number of different packages, including the "Adjustable Safety Razor Package" and the "'Pick Your' Handle Package," as well as a "'Made in the USA' Package" that goes for $89.99.

The subscription model has been met with mixed success, with nearly 40% of subscribers ultimately canceling services, according to a 2018 study by McKinsey and Company. More than a third cancel in less than three months, and over half cancel within six months, per the report.