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Submitted By: Vaibhav Wadhwa PGDM-A Roll No 55
1. INTRODUCTION 2. COMPANY DETAILS 2.1.1. L’OREAL 2.1.2 HISTORY OF L’OREAL 2.1.3. SLOGANS 2.1.4. MAIN HAIR COLOR PRODUCTS AND SHADES 2.2 GARNIER 2.2.1. INTRODUCTION AND HISTORY 2.2.2. SLOGANS 2.2.3. HAIR COLOR PRODUCT AND SHADES 2.3 GODREJ 2.3.1. INTRODUCTION 2.3.2. HISTORY 2.3.3. BRAND VALUES 2.4. REVLON 2.4.1. HISTORY 3. MARKET SHARE AND PRICE COMPARISION 4. MARKETING, PROMOTION AND UNIQUE SELLING PROPOSITION 4.1. GODREJ 4.2. LOREAL AND GARNIER 4.3. REVLON 5. SWOT ANALYSIS OF BEST PRODUCTS OF EACH BRAND 5.1. GODREJ COLOR SOFT 5.2. LOREAL EXCELLENCE CREME 5.3. GARNIER COLOR NATURALS 5.4. REVELON COLOR SILK 6. POINTS TO FOCUS 6.1. GODREJ 6.2. LOREAL AND GARNIER 6.3. REVLON 7. REFERENCES
The chief reason behind this is the corporate culture which emphasizes that young male employees look smart and trendy. Looks like a lot of them decide in favor of it. They are launching new products. • This is the chief reason why we have many market players in this category targeting different stream of customers based on age groups. • In 1990’s came the entry of L’Oreal and other hair colors in India and the hair color market became one of the fastest growing segments in 1998. geography etc. • Godrej is the highest market holder with a share of 30% plus in the hair and dye market followed by L’Oreal. Godrej. But with the increase in youth population in India it has become popular especially amongst the young and the trendy. modifying and improving existing ones just to make sure they reach each segment of customers. Indica and Streax. It’s the size of the Indian hair color market. Men in the age group of 15-45 have largely patronized the hair color trend in a big way. . Introduction “Should I color my hair?” is a Rs 1200 crore question. • There are many companies who are competing in the hair color market. The major one’s are L’Oreal. Revlon. Just imagine how many individuals ponder over this question every day.1.Today if we see lot many brands in the Indian market it is because of the huge demand for the product. Wella . • When these brands first came to India the demand was only to cover grey hair and the products largely targeted women in the age group of 15-45.
The biggest revenue generator in India is the products division led by its brand Garnier. consumer products and luxury products.1. Company Details 2. L’Oreal India is one of L’Oreal’s fastest growing subsidiaries and employees over 1000 employees across six cities.5 billion Euros in the year ending 2010. L’Oreal in India operates through four main divisions: professional products.1. L'Oreal Consumer Products Professional Products Luxury Products Active Cosmetics Consumer Products Garnier fructice L’Oreal Paris Maybelline . The company had a turnover of 19.1. It’s present in over 125 countries with 66000 plus employees worldwide. 2. active cosmetics . L’Oreal Introduction L’Oreal is the world’s largest cosmetics company.2. It has been present in India for more than 20 years now and 2009 in celebrated its global centenary.
It also has four regional offices in India.Professional Products L’Oreal Professional Keraskin Kerastase Matrix Luxury Product Giorgio Armani Active Cosmetics Diesel Lancome Ralph Laurel Keihl’s La Roche-Posay Vichy Its factory location is in Pune and headquarters location in Mumbai. .
1. body and skin care. Some Facts about L’Oreal India L’Oreal formed a joint venture with MJ Group to launch the Ultra Doux range of hair care products.S. which were at that time sold to Parisian hairdressers.000 by 1984 and which is nearly 2. one in Japan. one in China. Encouraged by the response it received in India it’s seized the opportunity to break the joint venture and launch its own subsidiary in 1994. . In 1920. but the company soon ventured into beauty and cleansing products. L’Oreal has five worldwide research and development centers: two in France. L’Oreal expanded rapidly since launch of its product L’Oreal Excellence Line of Hair Color in 1997. L’Oreal began only in the hair-color business. 2. a small company that employed 3 chemists. On July 30. . The group’s research efforts permit each brand to benefit from formulas specifically adapted to the needs of men and women worldwide. Eugene Schueller. hair styling. makeup and fragrances.2. Schueller registered his company. a young French Chemist developed a hair dye formula called Auréale. The guiding principles of the company were innovation and research in the field of beauty. within each market or distribution circuit that is present. cleansers. permanents. 1909.000 today. the Société Française de Teintures Inoffensives pour Cheveux ("Safe Hair Dye Company of France" literally "French Society of Inoffensive Tinctures for Hair"). History of L’Oreal In 1907. Each brand is benefitted by considerable investments in research made by the L’Oreal group. L’Oreal currently has a market of over 500 brands and thousands of individual products in almost all sectors of the hair care and beauty business: hair color. the original L’Oreal. In 1950 had the research team of 100 strong and that number reached 1. On 17 March 2006. L'Oreal purchased cosmetics company The Body Shop for £652 million. Schueller formulated and manufactured his own products. one in the U.L’Oreal leadership is achieved through cutting edge technology with portfolio of well known brands that answers all beauty needs and are distributed in all the channels.the first time a company introduces a hair color other than black in the country.
Main Hair Color Products and Shades In India L’Oreal have two hair color brands by the name of Casting Crème Gloss and Excellence Crème. . the slogan was again changed to "Because we're worth it" following motivation analysis and work into consumer psychology of Dr. In 2009. 2. Slogans L'Oreal's famous advertising slogan was "Because I'm worth it" which was used for quite long time.4.3.1. L'Oreal also has a Hair and Body products range for kids called L'Oreal Kids. In the mid 2000s. Casting Crème Gloss comes in 11 shades and is ammonia free while Excellence Crème has 9 shades and is enriched with Pro-Keratin that strengthens your hair while you color. The shift to "we" was made so that it will create stronger consumer involvement in L'Oreal lifestyle and philosophy and provide more consumer satisfaction for people using L'Oreal products.1. this was changes to "Because you're worth it" to make it more appealing to the consumers. Maxim Titorenko.2. the slogan for which goes like "Because we're worth it too".
2.Color shades Color Mahogany Plum Medium Brown Dark Brown Praline Chocolate Darkest Brown Dark Chocolate Black Cherry Ebony Black Iced Chocolate Code 550 316 500 400 530 535 300 323 360 200 415 2. Garnier .
The company started as Laboratories Garnier in 1906 and was acquired by L’Oreal in 1970’s. It also has a slogan for skincare products which goes like "Great skin from the inside out".1.2. Hair color Product and shades( INDIA) In India Garnier color comes by the name of Garnier Color Naturals and for men it comes by the name of Garnier Color Naturals MEN . Slogans The English slogan for Garnier is "Take Care”.2. In India the hair color is sold by the name of Garnier Color Naturals.2. Introduction and History Garnier is a brand of L’Oreal that produces hair care and skin care products. Its available in the following shades in the Indian market.3. Garnier partnered with TerraCycle to promote up cycling of product containers and introduction of biodegradable products.” For hair that shines with all its strength" is used for its Fructis range. It also has a wide variety of skin care products like face wash. 2. Women Color Natural Black Darkest Brown Natural Brown Natural Light Brown Burgundy Code 001 003 004 005 316 . fairness creams etc.2. and has recently ventured into the field of deodorants. In 2011. 2.2. Its current product line includes shampoos and conditioner by the name Fructis which uses some natural extracts and hair color by the name of 'Nutrisse which is sold in many countries worldwide with specific product lines targeted for different skin types and cultures.
natural color to hair – from root to tip and does not drip. This product was responsible for putting Godrej brand right on top for long. Godrej Renew – a sub brand was also launched recently. It manufactures a lot of other hair color variants along with dyes and has a lot of delivery formats. burgundy and dark brown. gentle black.3. Gholo. GODREJ 2. . Each one of them is designed to bridge a need-gap.1. apply) – that helped it establish leadership which was unquestioned. Lagaalo (cut. The slogan – Kaato. This gentle hair color available in trendy shades is enriched with aloe vera and protein extracts. The product is available for a single-use in packing of 20ml for the convenience of those who need only a small amount for touch ups or have short hair.3. dissolve. In colors it offers four shades: natural brown. Renew confronts to the highest standards as it has been introduced after extensive research.Men Color Natural Black Darkest Brown Burgundy Code 001 003 316 2. Introduction Godrej manufactures a wide variety of hair color and dye products in India. . gives a uniform. It stamped it authority with its easy to use hair dye variant Godrej Powder Hair Dye. It a cream based die very easy to apply.
Following the stupendous success of the sachet product Godrej moved to advanced level of convenience by offering a shampoo based permanent hair dye. Godrej Powder Hair Dye is the largest selling hair dye in the world.2. It launched its first hair color brand – Godrej Liquid Hair Dye – in the 1970s. If all the sachets of Godrej Expert sold in 2008 were collected and lined up together they would make a stretch of 14. In those days it was used with some degree of hesitation. History Godrej was one of the early pioneers in the hair colorants category. Godrej Expert Powder Hair Dye outsells its nearest competitor. It has been very successful is demonstrated in its leadership status. . It has been at this position for more than 20 years. began to rise. other than black. hair coloring trends evolved and the demand for colors. In this quest Godrej did a lot of research in developing products and delivery formats which are specially suited for Indian hair. 2. 8 sachets of Godrej Expert Hair Dye are purchased every second in the world. To keep with the market developments. In the meanwhile. Brand Values Godrej is a symbol of uncompromising quality. Godrej conducted researches and introduced many henna-based herbal products and a range of in demand color shades in burgundy and brown color families.000 kilometers which is enough to go around India’s sea and land borders.3. Its hair dye brand is focused on delivering hair coloring solutions at affordable prices to masses. but when people started using the product Godrej became the category leader and laid the foundation basis for the market to come.3. two to one Three out of every four outlet in India stocking any hair color sell Godrej Expert Powder Hair Dye. Godrej added to its portfolio a hair dye in powder form in 1981. it was also a strategic step in countering competition. While this gave consumers a choice to select from and strengthened the relationship with the brand.3. trust and time honored values.2.
and added lipstick to the collection. In the 1960s. by Charles Revson and his brother Joseph. History Revlon was founded in 1932. Revlon offered an entire manicure line. and a chemist. Starting with a single product ‘a new type of nail enamel’ the three founders pooled their resources and developed a unique manufacturing process. each focusing on a different market. Revson segmented Revlon Inc into different divisions. By 1940. Charles Lachman. Revlon started selling the polishes in department stores and drug stores.S. In 1937.2. whose contribution to Revlon name was the character ‘L’. Each division had its own target customer: Revlon. upscale/international Ultima II. juniors Moon Drops. He borrowed this strategy from General Motors. The IPO price was $12 per share. In six years. the company became a multimillion dollar organization. Army. Revlon created makeup and related products for the U. Revlon went public.4. In November 1955. hypo-allergenic . During World War II. They used pigments instead of dyes and Revlon developed a variety of new shades of opaque nail enamel. REVLON 2. the largest and most popular-priced brand Princess Marcella Borghese.1. premium Natural Wonder.4. dry skin Etherea. but it reached $30 per share within 8 weeks. which was honored in 1944 with the Army-Navy "E" Award for Excellence.
totaling $2. On November 5. Revlon Absolute C™. In 1970. Mexico. Fire & Ice®. collaboration between Modi-Mundipharma Pvt. a joint business venture between the Umesh Modi Group( India) and Mundipharma Group (Switzerland) and Revlon group of USA. a subsidiary of Ronald Perelman's MacAndrews & Forbes Holdings.). 1985. In the mid-1980s. Revlon acquired the Mitchum line of deodorants. In 1989. India. Germaine Monteil. Revlon has made its special mark in the beauty industry in India. with the formation of Modi-Revlon Pvt. there were subsidiaries in France. when Revlon debuted in Japan. Revlon became one of the first companies to replace animal tests with alternative safety testing methods. The company offers range of quality products in different categories namely hair care. later sold to Procter & Gamble in 1991. Argentina. Lancaster.The company began to market its products overseas at the end of the 1950s. Revlon in India enjoys immense consumer franchise with its world famous brands like Revlon Super Lustrous™. Ltd. makers of Sinful Colors nail products. Revlon lost ground to Estée Lauder. Fermodyl. Modi-Revlon Pvt. Flex®. at a price of $58 per share. Charlie®. Also in 1991. Ellen Betrix. It also has a Research & Development Centre at Modi Nagar. Revlon® Nail Enamel. Revlon acquired Mirage Cosmetics. ColorSilk® and many more. hair colors and skincare.7 billion. Almay. Charles of the Ritz. Inc. ColorStay®. Ltd. It started in the year 1994. Modi-Revlon believes in the spirit of innovation and will continue to introduce new innovative products in future to make women look and feel beautiful . In 1983 the company attempted an unsuccessful hostile takeover of Gillette. Street Wear®. Revlon was the first International Color Cosmetics brand to be launched in India in the year 1995. and Asia. Modi-Revlon has two state of art manufacturing facilities one in India and one in Srilanka for its Color Cosmetics & Personal Care products under the licensing agreement with Revlon INC. Sales at the drugstore also declined as Revlon lost shares to Noxell's Cover Girl brand. fragrances. Max Factor.. Additional make-up lines were purchased for Revlon: Max Factor in 1987 and Betrix in 1989. Aziza. color cosmetics. Italy. By 1962.Ltd. Revlon sold the Clean & Clear brand to Johnson & Johnson In March 2011. Revlon was sold to Pantry Pride (later renamed to Revlon Group. Today. Revlon compensated with more acquisitions. and Halston. Revlon's share dropped from 20 percent to 10 percent of department store cosmetics sales.
They are available in different color variants and target different consumer segments on the basis of price and other functional attributes. The Indian hair care market grew by 14. Revlon has two more products ColorSilk and Top Speed priced at Rs 320 and Rs 550 repectively which gives competition to L’Oreal Excellence Crème priced at Rs 449 and L’Oreal Casting Crème priced at Rs. As it can be seen that godrej has the highest share in hair color market with its dye aquiring 26% of the market share and Colorsoft aqquring 4 % of the market share due its quality and pricing strategy taregting the lower middle and middle class. Hair Colors occupied 9. Godrej has two more hair color products Godrej Renew priced at Rs.1% in 2010 to reach a value of $2.157. oils and gels. creams. L’Oreal’s Excellence Crème has 11% share in the market with Garnier Color Naturals acquiring 5% of the market share and it has other products which are also making a mark for themselves like Garnier for men Color and L’Oreal Casting Crème.There are different physical forms of hair colors available in India namely. . 499. powders.4%. The Hair Color segment is estimated to grow at an annual rate of 21%.7% of the market value pie chart of different segments in this industry. Godrej currently leads the race with a market share of 33%. Garnier Color naturals is has been effectively price at 139 Rs to give stiff competition to Godrej Color Soft which has been priced at 120 Rs and Revlon Color and Care.3.8 million. The compound annual growth rate of the market in the period 2006-10 was 15. Market Share and Price comparison Hair colors form an important product category in the hair care segment of beauty products. 65 and Godrej Expert Hair Dye priced at Rs 17 and Rs 9 to target the people who want to spend less.
Karisma Kapoor and Sonam Kappor for branding different product. It has backed its innovations with the 12th largest media budget in the world. And it has also helped to establish nearly 300 salons in the last 5 years. Godrej was the first one off the blocks when hair dye advertising was deregulates in the 1990’s. L’Oreal (and Garnier) L’Oreal is known for continuous innovation in order to improve the quality of their products and services they have to offer to their consumers. said. In addition to advertisements they are also publish . Marketing.” The advertisements that are seen on screen are telecasted more in afternoon mostly to target the women with vivid subjects and attractive explanation of the products. the first Godrej commercial was based on the Aunty concept that no lady likes to be called as an Aunty so after applying the dye you will be called Didi. The Godrej group has been very adaptive in terms of the changing needs and advertising strategies to be adopted for eg taking Katrina Kaif to campaign for Godrej Renew reflects the shift.4. It also holds hair makeover sessions in various towns all over India. During the last 10 years L’Oreal has trained around 30. Godrej Expert Hair Color regularly invites local beauticians and barbers to hair styling workshops while the Godrej Hair Care Institute’s interactive website is a store-house of useful tips on hair care and styling. Promotion and Unique Selling proposition 4. Coloring of hair was considered to be a risk and advertising regarding this was also minimal. The theory is simple: If there is no natural demand for your goods. The commercial made an instant connect with the targeted group and powered its way into advertising memorabilia. John Abraham.1. Priyanka Chopra. 4. In India it has hired celebrities like Aishwarya Rai . It also offers online make over and provides video clips so that the consumers can learn best ways to apply the hair color. L’Oreal has tied up with many beauty parlors and salons that can sell and promote its products. stimulate it. Godrej Hair dying was not very popular in India. The Godrej brand also organizes various on-ground events at selected haats and melas to encourage trials among rural audiences. L’Oréal India’s country manager.” Didier Villanueva.000 hairdressers in India how to use its products.2. “We have created a profession and a market. “If you train people they will use your products. . Hiring John Abraham to target the men section in the Indian market and Karisma Kapoor for promoting Garnier Color Naturals explains the brilliant marketing strategy they adopt. The tagline that was next used was “”Kato Gholo aur Lagalo” was responsible for giving Godrej complete control over the India hair dye market.
Largest selling hair colour in terms of volumes (36 per cent volume share) 3. SWOT Analysis of Best Products of Each Brand 5. Stardust etc. shampoo.Limited semi-urban penetration which can be a huge market 2.1. The L’Oreal slogan also connects well with the consumers and they keep changing it so that most people can relate to it. L’Oreal products are also available easily on the internet. Godrej Color Soft SWOT Analysis 1. Revlon Revlon promotes its products through advertisements on TV and internet and outside home media on buses. Strength 7.Creation of “Godrej hair care institute” 1. pricing and penetration to strengthen their position amongst the customers.Built in moisture lock conditioner 5. The recent addition to Revlon’s global brand ambassador group was Olivia Wilde and Emma stone. It changed from “Because I am worth it" to “Because you worth it" and now to “Because we're worth it" so that it can relate to all customers. developer lotion. It has been releasing ads from its International catalogue and has not appointed an ad agency in the country.Basics hair shades available rather than fashion shades available Weakness with other brands . trains etc. and outlets at various malls. conditioner sachets. 4.No irritation to skin and eyes 4.adds in almost all the leading fashion and recipe magazines in India like Vogue.Complete packaging which includes colourant. It has set aside 15% of its turnover as its ad budget. 5. They concentrate on 3p’s Product Innovation.3. measuring cup and a pair of gloves.Ammonia free formulation that protects hair 2.Available in five different colours 6.
L’Oreal Excellence Creme SWOT Analysis 1. Many self owned hair cut and color shops in the country. Hair greying problem is increasing. 2. Threats 2. 5. 4. Increased sense of fashion and more marketing reach.2. Global expansion and international presence 1. Strength 1. . Strong Brand reputation.1. Competition from other international brand like Wella and Revlon. Many brands available now in the same category.Increasing competition from sophisticated formulations creams and gel 2.Tie-up and start of brand own hair saloons 2. Continuing research and innovation in the interest of beauty. therefore increasing target Opportunity base 1. Expensive 1. 6.In rural India heena is preferred Threats 3. Hair color is quick and easy to apply. 3. Easily available in lot of varieties. So target consumers are set to increase. Growing competition within the field of cosmetic brands. Good brand advertising and distribution. Weakness 2. 2.Launch of various fashion shades Opportunity 3.Increasing competition from local manufactures 5.
Limited semi.Ammonia free formulation that protects hair 2. Affordable and easily available.3. Good brand advertising and distribution 1. Competitively priced. 4. 2. Brand name of Revlon Weakness 1. 3. Might not be suitable for a few customers with sensitive hair 2. people may find that their products are not of their basic needs and would skip buying L’Oreal products. 3. Strong Brand reputation backed by legacy of L’oreal. 2. Increased awareness among people on its disadvantages. L’Oreal Group may be producing the best of its line. No irritation to skin and eyes. Weakness 3. Growing competition within the field of cosmetic brands 5. Revlon Color Silk SWOT Analysis 1. Hair color is quick and easy to apply. therefore increasing target Opportunity base 1. Increased sense of fashion and more marketing reach. Needs to be applied regularly. Continuing research and innovation in the interest of beauty Strength 5.4. So target consumers are set to increase. Strength 4. Threats 3. . Hair greying problem is increasing. Garnier Color Naturals SWOT Analysis 1.urban and rural penetration. 2.5. Competition from other brands and local substitute products 1.
L’Oreal should more actively participate in fashion events as it will increase the Market presence of the brand.Tie-up and start of brand own hair saloons Opportunity 2. there is a high probability that they are going to use it again. 3.Increasing competition from already established brands like L’Oreal Threats 2. More awareness and advertising 1. 1. hence it should focus more on making the consumers use the product for the first time. Points to Focus 6. Limited advertisements.2. L’Oreal (L’Oreal and Garnier) 6.2. If a consumer uses a product. L’Oreal focuses more on Word of mouth publicity and it believes in Viral Marketing. Revlon’s high end hair color products and other brands such as Wella. Godrej should keep aside 10-15% of its revenue for ad budget and should advertise more and create awareness about its new products. As Godrej already has a strong market base in the dye market it should concentrate more on the color market and try to improve its products like Renew which have not been able to make much impact.1. Godrej Godrej should introduce an improved hair color product which can give competition to L’Oreal hair color products. .Increasing competition from local manufactures 6. Limited brand awareness.
Revlon 6.co. L’Oreal has already captured most of the market where they can tap their target audience.loreal. L’Oreal should focus more on including natural products in their portfolio. Revlon should also more actively participate in fashion events as it will increase the Market presence of the brand.aspx? http://www. however we can include other brands too like Hair color made from natural extracts. 7. Hence L’Oreal should take this into consideration. People are more concerned today about the quality of the product . L’Oreal’s target customers are middle class people and educated people -mostly working and youngsters.com/Cosmetics. They already have Garnier in the list which uses natural ingredients.in/_en/_in/home.com/godrej/Godrej-ConsumerProducts http://www. allowing the employees to check new products and buy the one they want to.aspx http://www.in/_hi/_in/index.aspx . References http://umeshmodigroup. Revlon should appoint an ad agency in India if it wants its products to be more visible in India as locals can better relate to a brand if someone known to general public advertises for it.garnier.3. However once are where they can approach would be the corporate offices. Revlon should aggressively target all the sections of the market with effective branding and create awareness about its products.godrej. They are also hugely concerned about the effect and side effect of the same. They can put up stalls of L’Oreal in the office premises of different corporate companies.
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