BIC

What is BIC?

BIC? Oh, you know them! Chances are you've actually used a BIC product in your life. Remember the last thing you wrote down? That was probably a BIC pen you used. You know the long lighters you often use to start your BBQ, BIC makes those as well. Well-known and well-loved, BIC is a global go-to for Pens, lighters, and shavers. Reliable, affordable, and available in more than four million retail outlets in around 160 countries, BIC products are one of those everyday essentials we tend to take for granted.

Background

Marcel Bich, the founder of BIC, left his job as a production manager for an ink company in 1945 to set up his own pen manufacturing business on the outskirts of Paris. As Bich was starting his enterprise, ballpoint pens were gaining traction in Europe but carried a hefty price tag at the time. They had also just made their debut in the United States, retailing for a whopping $12.50 each at New York's Gimbel’s Department Store.

Recognizing this opportunity, Bich decided to expand his business, moving from making pen parts to manufacturing plastic barrels for other ballpoint pen companies. In 1949 he then introduced his own line of ballpoint pens. Named BICs – a phonetic spelling of Bich's name – these pens were simple yet reliable. Non-retractable with clear plastic barrels, BICs sold for around 19 cents each, a far cry from the exorbitant prices of early ballpoint pens.

Growth

After initial success in Europe, BIC set its sights on the U.S. market. Unfortunately, breaking into a market already saturated with ballpoint pens was no easy task. The biggest hurdle was the prevailing sentiment among Americans that low cost equals low quality. This perception was a direct result of the inferior pens from other companies that had flooded the market. Due to this, BIC struggled to find acceptance.

Despite pressures to introduce a more expensive pen, Bich's conviction to an affordable ballpoint pen was rooted in his vision of offering a product that was not only affordable but also reliable and efficient. This philosophy led BIC to focus on enhancing its product quality and perfecting its manufacturing process. It was during this time that the company developed its iconic one-piece ballpoint pen, a design that ensured the pens would not leak or clog, problems that plagued other cheap pens.

This focus on quality over price began to pay off in the late 1960s when the BIC Boy advertisement was launched. The catchy ad campaign, coupled with the product's inherent reliability, finally started to change perceptions. Consumers began to realize that they could get a quality pen without having to spend a fortune.

During the 1970s and 80s, BIC expanded its product line beyond pens. The company introduced the BIC lighter, a safe, reliable, and inexpensive disposable lighter, and the one-piece BIC shaver, another inexpensive, quality product. These new offerings stuck to BIC's core philosophy of providing simple, inventive, and reliable products for everyone.

With these innovative products, BIC was able to solidify its position in the U.S. market and continue its global expansion.

Where are they now?

Today, BIC is a publicly traded company on the Paris Stock Exchange. While maintaining its core business in stationery, lighters, and shavers, the company has diversified into areas like promotional products and watersports. Their products are sold in more than 160 countries around the world, and the company is recognized globally for its commitment to quality, affordability, and accessibility.

Key Takeaways

1. Product Innovation: BIC's success is rooted in its ability to innovate and provide practical solutions for everyday needs. The company's transition from making pen parts to developing an affordable, high-quality ballpoint pen revolutionized writing and propelled BIC to a global company.

2. Singular Focus: One of the driving forces behind BIC's early success was its unwavering focus on one product: the ballpoint pen. This laser focus allowed BIC to not only refine their pen to a point of near perfection but even purchase the original patent for the ballpoint pen.

3. Strategic Market Movement: BIC, knowing that the market was already saturated in the US, recognized that it would have a hard time gaining a large share of the market as a new company. As a result, they acquired the struggling Waterman Pen Company, famous for inventing the fountain pen in the 1800s, to gain an immediate foothold. This acquisition provided BIC with an established distribution network and an existing customer base, effectively bypassing the typical challenges a foreign company would face when attempting to penetrate a new market.