 Overview of L'Oreal

 L'Oreal India at a glance

 Strategies Involved
 International Marketing -Mix
 Overview Of L’Oreal
 L’OREAL Group - worlds largest
cosmetics and beauty company
 Founded in 1909 by Eugene Schueller
 L’Oreal has explored the fields of
cosmetics like hair care, hair color, skin
care, sun protection, and perfumes.
 L’Oreal is also active in dermatological
and pharmaceutical field, which makes
L’Oreal the top nanotechnology patent-
holder in United States
 L’Oreal has global market share of 17%
 3,268 employees of 60 different
nationalities
 € 581 million dedicated to cosmetic and
dermatological research in 2009
 18 research centers across the world and 13
evaluation centers
 628 patents filed in 2009
 100 active cooperation agreements with
leading academic and research institutions.
 Brand Under L’Oreal
 Brands are generally categorized by
their targeted markets
 Cosmetics are divided in different
segments as:
Consumer Division
Professional Division
Luxury Division
Active Cosmetics
 L’Oreal India
 L’Oreal entered Indian market in 1990,
in partnership with MU group with the
Ultra Doux range of hair care & lip care
products
 In 1994, L’Oreal set up its wholly-
owned subsidiary for marketing its
consumer products in India
 L’Oreal has set up its own
manufacturing plant in Pune,
Maharashtra
 L'Oreal had the vision to realize all
that would change and invested
heavily in hairdressing education and
training.
 We skim the top 100 cities in India
and have the largest salon base in the
country, of which 20 per cent is
exclusive to us, contributing to 40 per
cent of our revenue.
 Determined to promote an approach to
beauty that is fun, affordable,
fulfilling, genuine and generous.
L’Oreal Paris
 Product Personality
L’Oreal Paris is a women who is:
 Well educated
 Confident
 Women of substance
 An achiever
 Clear about her goals in life
 Gives high regard to herself and wants
the best for herself
 Market Presence
Market share:
 Total Lip Color market in India is 400
crore
 L’Oreal Paris Lip Color has
approximately 20%-22% market share
in India
 World market share of L’Oreal is 5.3%
 Market Presence
Product Life Cycle:
 L’Oreal Paris is at the second phase of the
growth stage:

 Sales has increased at 40% growth rate

 Spends heavily on advertising
 International players have entered in market
in past few years
 Market Analysis
Market Segmentation:
Demographics:
Sex: Women
Age: 25 and above
Market Analysis
Psychographics:

 Social Class: Upper Middle Class

 Personality: Confident, well educated
woman of substance.
 Life Style: Standard of Living is
high
Likes to socialize
 Buying Motive: Brand Name
Wants the best for herself
Market Analysis
 Price:
L’Oreal Paris Lip color varies from Rs
550- Rs 800
 Positioning:
Has positioned itself as high end brand
in consumer division and also as
affordable luxury
 Distribution:
Distributed through prestige stores and
broad distribution channel
 Competitors Analysis
L’Oreal Paris faces major competition
from:
 Revlon
 Chambor
 Launching
L’Oreal Paris Lip color
 Advertising Campaign
 Have extensive campaign for L’Oreal
Paris Lip Color
 Have gone for television
advertisement
 Also had out of home advertisements
like hoardings, at malls on digital
screen
 Marketing Strategy
Distribution:
 Widen distribution network by giving
various incentives to distributers,
retailers, stockiest etc in order, not to
loose self space
Product Modification:
 Modified the product by adding SPF, so
that lips can be protected from harmful
radiations of sun
Marketing Strategy
Promotion:
 Distributed complementary lip care
guide on purchase of worth Rs 1000,
that will have tips on how the various
brand ambassadors of L’Oreal Paris
apply Lip Color on themselves and how
they take care of their lips
 Sponsored and supported fashion
designers at various international
Fashion weeks from India
Marketing Strategy
Social Responsibility
 L’Oreal supported campaign for safe
cosmetics which was started in
October 2007 which helped in
building consumer confidence, that
L’Oreal Lip color is safe