Unilever buying Dollar Shave Club for $1 billion - I thought this was just nuts

[Liberty]

Here's an even better way to save money on shaving (and it's not about growing a beard):

 

 

For those who were wondering if this trick works, I've been on the same blade cartridge since I posted that, and it wasn't a new one at the time. I don't have a Homer Simpson beard, though, some your mileage may vary.

[sjh]

Or just buy this one: https://www.amazon.com/Remington-MB-200-Titanium-Mustache-Trimmer/dp/B0009OMU0A

 

It worked more than 5 years for me, then I had to buy a new one. Brings down your costs for shaving to around 5$ per year. :)

[rkbabang]

I use the Dorco Pace 6 blades and they are pretty cheap on Amazon.  I haven't tried the trick from the video yet.

 

Also if you want to save money, I hope no one is using shaving cream.  I bought this pack of shave soap a few years ago, it is a 12 pack for $23 (I think I might have paid less than that) and so far each bar has lasted me about 10-11 months (and I shave everyday).  At this rate I'll get over 10 years of shaving out of it.  $2.30 per year.  You also need a badger hair brush and a soap dish, but those are fairly cheap and last a long time too.

 

http://www.amazon.com/gp/product/B001A3DNXC/

[Liberty]

I use the Dorco Pace 6 blades and they are pretty cheap on Amazon.  I haven't tried the trick from the video yet.

 

Also if you want to save money, I hope no one is using shaving cream.  I bought this pack of shave soap a few years ago, it is a 12 pack for $23 (I think I might have paid less than that) and so far each bar has lasted me about 10-11 months (and I shave everyday).  At this rate I'll get over 10 years of shaving out of it.  $2.30 per year.  You also need a badger hair brush and a soap dish, but those are fairly cheap and last a long time too.

 

http://www.amazon.com/gp/product/B001A3DNXC/

 

I shave in the shower, regular soap plus hot water is enough for me. It's not even so much to save money (though that's always a good habit to keep for things big and small, and I hate feeling gouged by regular shaving accessory prices), it's to keep things simple and not add steps and products that aren't necessary. There's satisfaction in elegance and minimalism, at least to me.

[Pelagic]

Guess if you don't have jeans, or an arm, you could buy one of these leather strops.

 

https://www.theartofshaving.com/razors/straight/small-hanging-strop/00670535680109.html?gclid=Cj0KCQjwxtPYBRD6ARIsAKs1XJ5Tj1QbYc3nxs88e-KmfWxAEmpx7bLBlXbFq6qYZ3Mz8IgDdgA1yHUaApgbEALw_wcB&cm_mmc=PPC-IP-GL-_-Non%20Brand%20-%20Shopping%20Categories-_-Categories-_-1918975c-c170-4100-9334-5f10c59c27b9

 

I'd imagine an old leather belt would work just as effectively though. I don't think any of these methods are actually sharpening the blade, just realigning the edge much like using a honing steel on a knife.

[Liberty]

I'd imagine an old leather belt would work just as effectively though. I don't think any of these methods are actually sharpening the blade, just realigning the edge much like using a honing steel on a knife.

 

Exactly. I guess the lesson is that most "dull" razor blades are actually still pretty structurally sound and just need a little bit of help.

[LC]

I always wondered about these corporate acquisitions.

 

Just how judicious is the acquiring company? I mean, who exactly are they buying from?

 

Hypothetical:

 

Joe Schmoe founds Dollar Shave Company. After three, four, five rounds of financing, he is down to 20% ownership (hypothetical). The remainder is owned by a bunch of angel funds and other financing providers. And these guys are probably (or at least probably employ) ex-CPG insiders.

 

Long story short is you have Unilever spending shareholder $$s to buyout a small competitor owned by a bunch of ex-Unilever executives.

[TwoCitiesCapital]

I always wondered about these corporate acquisitions.

 

Just how judicious is the acquiring company? I mean, who exactly are they buying from?

 

Hypothetical:

 

Joe Schmoe founds Dollar Shave Company. After three, four, five rounds of financing, he is down to 20% ownership (hypothetical). The remainder is owned by a bunch of angel funds and other financing providers. And these guys are probably (or at least probably employ) ex-CPG insiders.

 

Long story short is you have Unilever spending shareholder $$s to buyout a small competitor owned by a bunch of ex-Unilever executives.

 

Crazy thing is, you'd think they could have built this in house for far less than $1B. When you lose perspective of consumer benefit, and focus on only $ and cents, you can overlook ideas that consumers will jump at in favor of the old-fashioned way of doing things. Or maybe it was just another instance of corporate bureaucracy preventing people below from implementing?

 

I'd imagine an old leather belt would work just as effectively though. I don't think any of these methods are actually sharpening the blade, just realigning the edge much like using a honing steel on a knife.

 

Exactly. I guess the lesson is that most "dull" razor blades are actually still pretty structurally sound and just need a little bit of help.

 

I did this for the longest time and can also confirm it works.

 

But eventually I just moved to a single blade safety razor. Maybe not as cheap as re-sharpening my 4-blade "disposable" razor every few days, but certainly less and still incredibly cost effective compares to the disposable razors that even Dollar Shave club offers.

 

 

 

[LC]

Crazy thing is, you'd think they could have built this in house for far less than $1B. When you lose perspective of consumer benefit, and focus on only $ and cents, you can overlook ideas that consumers will jump at in favor of the old-fashioned way of doing things. Or maybe it was just another instance of corporate bureaucracy preventing people below from implementing?

 

Building it in house isn't going to get some ex-Unilever guys a fat paycheck, though.

 

I wouldn't call it corporate bureaucracy - more like corporate captivism.

[Liberty]

I always wondered about these corporate acquisitions.

 

Just how judicious is the acquiring company? I mean, who exactly are they buying from?

 

Hypothetical:

 

Joe Schmoe founds Dollar Shave Company. After three, four, five rounds of financing, he is down to 20% ownership (hypothetical). The remainder is owned by a bunch of angel funds and other financing providers. And these guys are probably (or at least probably employ) ex-CPG insiders.

 

Long story short is you have Unilever spending shareholder $$s to buyout a small competitor owned by a bunch of ex-Unilever executives.

 

A lot of serial entrepreneurs do this in Silicon Valley too. Build something, get acquired or acqui-hired by Google, stay until you vest fully, then leave and build something else and get acquired by Google or Microsoft or Apple or whoever, rinse and repeat.

[LC]

Right but my question is more going towards...is Google/MSFT/etc. behaving appropriately?

 

Or are they providing preferential treatment (or pricing) towards former Google executives who are helping finance a startup which they are shopping to Google.

 

Honestly, given how incestuous that world is, I would not be surprised if shareholders are being fleeced by management through preferential acquisitions, consulting contracts given out to past management, etc. etc. etc.

[Liberty]

Right but my question is more going towards...is Google/MSFT/etc. behaving appropriately?

 

Or are they providing preferential treatment (or pricing) towards former Google executives who are helping finance a startup which they are shopping to Google.

 

Honestly, given how incestuous that world is, I would not be surprised if shareholders are being fleeced by management through preferential acquisitions, consulting contracts given out to past management, etc. etc. etc.

 

That's a good question, but I think it's the same question you have to ask yourself even if there's no history between the parties. M&A is often done for the wrong reasons and destroys value (empire building, "strategic" reasons, following competitors, etc). At least buying tiny startups isn't quite as dangerous for these behemoths as doing large acquisitions where there's a chance that the culture will clash or that projections/synergies will never materialize.

[LC]

Fair point! Although for whatever moral reason it irks me more when it seems like insiders are colluding to fleece shareholders vs. when arms-length parties do it out of incompetence.

 

Another point is: Even when you're HugeCo and you buy out SmallCo, there IS a culture clash. But HugeCo usually fixes all that by firing just about everyone from SmallCo and replacing them. Obviously that is easier to do when you're absorbing a SmallCo vs. merging with another company around your size.

[Liberty]

Here's an even better way to save money on shaving (and it's not about growing a beard):

 

 

For those who were wondering if this trick works, I've been on the same blade cartridge since I posted that, and it wasn't a new one at the time. I don't have a Homer Simpson beard, though, some your mileage may vary.

 

Another update. I'm still on the same blade cartridge as back in February. The whole disposable blade industry is built on a lie. Granted, I'm not Homer Simpson in the beard department, but still, I'd usually have gone through multiple cartridges since last Feb if I wasn't doing this trick...

[mranski]

I recently switched to shower shaving and find it way better. One process instead of 2, and way easier on the skin. My soap puck is about one and a half years old and just about finished. I take the wood bowl in, and will keep reusing that. The only issue is I haven’t found great options on shower mirrors. That Van Der Hagen 10 pack may be the last shave soap I buy, I’m 62!