Professional Documents
Culture Documents
SUBMITTED BY
P.S.SOUJANYA
(Regd. No: 17551E0081)
In partial fulfilment of the reward of degree of
MASTER OF BUSINESS ADMINISTRATION
Under the Esteem Guidance of
MS ANJANA
MBA.PH.D.,
Professor
RAJAHMAHENDRAVAM
(2017-2019)
GODAVARI INSTITUTE OF ENGINEERING AND TECHNOLGY
(ACCREDITED by NBA Approved by AICTE to JNTUK)
RAJAHMAHENDRAVARAM-533101
(2017-2019)
CERTIFICATE
This is to certify that the project entitled “A Study on Brand Awareness & Brand
Perception on LOREA’L PARIS ”, submitted to JNTUK, Kakinada in partial fulfilment of
the requirement for the award of the Degree of MASTER OF BUSINESS
ADMINISTRATION carried out by P.S.SOUJANYA, Reg. No. 17551E0081 is a bonafied
work done under my guidance ANJANA.
DR.PR.K.RAJU ANJANA
MBA, Ph.D.,
DECLARATION
The project represents the combined effort of large number of individuals and it’s my
pleasure to acknowledgement those concerned.
I am extremely grateful to Sri .DR .P. R. K. RAJU, MA, M. Phil, Ph.D. LLB, and PGDSW
Director, GODAVARI INSTITUTE OF ENGINEERING & TECHNOLOGY, for
providing facilities to undertake this project.
I would like to express my sincere thanks to, internal guide for his excellent guidance and
valuable assistance at all stages of the project ANJANA
P.S.SOUJANYA
CONTENTS
CHAPTER-1
INTRODUCTION
OBJECTIVES OF THE STUDY
SCOPE OF THE STUDY
METHODOLOGY
LIMITATIONS OF THE STUDY
CHAPTER-2
INDUSTRY PROFILE
&
COMPANY PROFILE
CHAPTER-3
THEORITICAL FRAMEWORK
CHAPTER-4
DATA ANALYSIS AND INTERPRETATION
CHAPTER-5
FINDINGS
SUGESSTIONS
CONCLUSION
QUESTIONNARIE
CHAPTER-1
INTRODUCTION
CONCEPT OF MARKET :
A market is that set of suppliers and demanders whose trading establishes the
price of a good.
According to Pyle, “market includes both place and region in which buyer & seller are in
free competition with one another.”
CONCEPT OF MARKETING :
“Marketing is nothing but demand creation and customer satisfication.”
In which , Discover and translate consumer needs and wants into product and service
and further expand the demand.
Managerial definition is “ marketing is the art of selling products.”
According to Philip kotler, “ marketing is a human activity directed at satisfying needs
and wants through exchange process.”
BRAND AWARENESS:
BRAND : A Brand is defined as a “ name , term, sign symbol that identifies
the maker or seller of the product”.
Brand awareness means the ability of a consumer to recognize and recall a
brand in different situations.
Brand awareness consists of :brand recall and brand recognition.
Brand recall means when consumers see a product categort, they can recall a
brand name exactly.
Brand recognition means consumers has ability to identify a brand when there
is a brand cue i.e. consumers can tell a brand correctly if they ever saw or
heard it.
The average person is exposed to 2500 advertising messages per day throughvarious media
channels such as billboards, magazines and newspapers, television, radio, online etc. As human
beings, we have a limited amount of ‘storage space’ in which we retainthese brands and it is
therefore very important for the future success of brands that the peoplein charge of managing
them are aware of who the target audience is, what it is in their lives thatthey want brands to
fulfil, and how the current image, perception or attitude of YOUR brandcompares to that of your
competitors’ brands.
Thiswill / should prove to be valuable information for L’Oréal as it will inform them as to
whether ornot their current brand positioning is aligned with what the consumer desires, and
throughuncovering the current brand image profile, L’Oréal will be aware of whether or not
action isneeded in order to improve the image.
OBJECTIVE OF THE STUDY
PRIMARY OBJECTIVE
SECONDARY OBJECTIVE
The following are considered to be the secondary objectives of this research study:
To measure / determine the brand image, perceptions, attitudes and behavior of the
target audience with regard to the corporate L’Oréal brand as well as the products and
To measure / determine the value drivers for the target audience when purchasing
This study helps to find the impact of the brand names among customers with reference
to product.
To find how far people are aware and attracted towards the brand name of particular
product.
The satisfaction level of the customers in different ways towards the branded
To find the relationship between the quality of the product and its brand name.
METHODOLGY
INTRODUCTION
Research refers to search of knowledge. The pattern in which a research is carried out to arrive at
a conclusion or to final new relationship within a particular framework is called research
methodology. Research methodology also refers to the various sequences, steps to be adopted by
a researcher to study a problem with certain objectives in view.
RESEARCH DESIGN
Research design is the framework or plan for a study that guides the collection and analysis of
the data. It is a map or blue print according to which research is to be conducted. The research
design is given below,
A) NATURE OF RESEARCH:
The research design followed for this study is descriptive research for analyzing the collected
data, an in-depth research analysis was framed and various statistical tools and techniques were
also used for the purpose.
B) DESCRIPTIVE RESEARCH :
Descriptive research includes surveys and fact-findings enquiries of different kinds. The Major
purpose of descriptive research is description of the state of affairs as it exists at present. The
methods of research utilized in descriptive research are survey methods of all kinds, including
comparative and correlation methods.
4.3 DATA TYPE:
The two main types of data for present study have been primary data and secondary data.
A) PRIMARY DATA
Primary data is collected in the form of questionnaire. Through the questionnaire which consists
of a number of questions printed in a definite order on a set of forms, the respondents were
expected to read and understand the questions itself. The respondents need to answer the
questions on their own and according to their perception.
B) SECONDARY DATA:
Secondary data consists of information that already exists. Somewhere, having been collected for
specific purpose in the study. The secondary data for this study was collected from various
books, internet etc.
4.4.2 SAMPLE:
Sample denotes only a part of the universe which is studied and conclusions are drawn on this
basis for the entire universe.
SAMPLE SIZE:50
LIMITATIONS OF THE STUDY
.The survey was limited to Chennai city due to the limitation of time.
The study was conducted under of assumption that the information given by the
respondents is authentic.
INDUSTRY PROFILE
Cosmetics have been in shape for many years, the earliest documented use of cosmetics is
around 4000BC way back in ancient Egypt days where eye decoration and scents became
common place. From then to now, very little has changed in the use of cosmetics, they are still
The word "Cosmetics" is a rather broad term targeted towards many market sectors, its
dictionary definition is; “A powder, lotion, lipstick, rouge, or other preparation for beautifying
the face, skin, hair, nails, etc.” Cosmetics, superficial measures to make something appear better,
encompasses most modern day beauty products and is targeted to Facial cosmetics such as Eye
Today's Cosmetic market place is a huge global economy worth approximately $40 billion,
mostly generated in the western countries but it is ever expanding into other global markets and
these expand. One of the best known and oldest cosmetic providers is L'Oreal. L'Oreal first
started in 1909 specializing in hair colouring products in France, this grew rather rapidly and
eventually caught the eye of some now established cosmetics companies in the USA. The year
1910 was when the likes of Max Factor, Elizabeth Arden and Helena Rubinstein began their
global domination of this now lucrative market. These companies were not joined by any others
till Revlon joined in shortly before WWII and Estee Lauder just after WWII.
The cosmetics industry has developed rather rapidly since these early days of limited products as
the quest for beauty has become ever more important. Brands are now represented by key
celebrities around the world in a bid to increase the market share of this $40 billion industry. The
modern Cosmetics range includes: Skincare, Lotions, Powders, Perfumes, Lip Colour, Nail
polishes, Eye Makeup, Face Makeup, Hair Colour, Hair Care, Baby products, Bath Products,
Party Makeup, Special FX makeup. As with any growing industry using chemicals, the
Cosmetics industry has been in resistance with Governing bodies from the word go as it brought
into question the chemicals in use with these products. Most countries now have a governing
body controlling the quality of allowable ingredients used within cosmetic products; the USA
has the FDA (Food & Drug Administration). The FDA is a government Department of Health
and Human Services and is responsible for the safety regulation of many things including
Cosmetics. Because of the involvement of this regulation it has forced many companies to look
at the ingredients used and eliminate some of the synthetic ingredients, thus the trend of the new
Many products now available boast not only a visible benefit to the skin but a nutritional one
also. In terms of development cosmetics could be viewed as take a step back in the history
timeline to ancient Egypt times. For years synthetic ingredients have replaced natural ones due to
their ease to work with and the visible results. With that in mind these governing organizations
have benefited the consumer, giving them better products using Natural or Organic materials.
Natural products contain mineral and plant ingredients and organic products are made with
organic agricultural products. So when on the next makeup shopping spree bear a thought for
what is on sale and weight up the price verses the benefits, as Natural Mineral makeup may have
more of an impact on the wallet, but will come with the added benefit in protecting and
COMPANY PROFILE
Our Professional Products Division strives to promote the global development of highly
innovative and exclusive hair care products for salon use, and the expansion of the salon
profession through a policy of active partnership centered on hairdresser training. The mission of
our Consumer Products Division is to develop beauty products for the widest possible range of
retail channels. The Luxury Products Division devotes itself to maintaining the highest possible
quality in its products, packaging, merchandising, and communications, thus confirming the
brands as world-renowned signatures. And our Active Cosmetics Department strives to create
and develop dermo-cosmetic healthcare brands that meet the highest standards of skin care safety
L'Oréal SA, one of the largest companies in France, is the world's largest manufacturer of high-
quality cosmetics, perfumes, hair care, and skin care products. Its brands are found in over 150
countries and include such well-known names as Lancôme, Maybelline, Garnier, Redken, and
Matrix. The company is known for its involvement in research and development--it spent 3
percent of sales on cosmetology and dermatology research in 2000--and owns a 19.5 percent
stake in the Sanofi/Synthélabo. Liliane Bettencourt and her family control 51 percent of
Gesparal, a holding company that owns 54 percent of L'Oréal.The Swiss food giant, Nestlé S.A.,
L'Oréal's story begins in turn-of-the-century Paris, at a time when women of the demimonde
dyed their hair, their choice restricted to fiery red or coal black. In 1907, EugèneSchueller, a
young chemist, began to concoct the first synthetic hair dyes by night in his kitchen and sell them
to hair salons in the morning under the brand name of Auréole. His strategy was successful;
within two years he established the SociétéFrançaise des TeinturesInoffensives pour Cheveux,
which soon afterward became L'Oréal.
In 1912, the company extended its sales to Austria, Holland and Italy and by 1920 its products
were available in a total of 17 countries, including the United States, Brazil, Chile, Peru,
Equador, Bolivia, and the Soviet Union, and in the Far East. At this stage, L'Oréal consisted of
Schueller's timing had been singularly fortunate. The end of World War I was celebrated by the
Jazz Age, when short hairstyles became fashionable, with a new emphasis on shape and color.
By the end of the 1920s, there were 40,000 hair salons in France alone and L'Oréal's new
productsO'Cap, ImédiaLiquide, and Coloral captured the growing market. In 1928, the
company made its first move toward diversification, purchasing the soap company Monsavon.
In the 1930s and 1940s, platinum-haired screen idols such as Jean Harlow and Mae West made
blond hair especially popular and bleaches such as L'Oréal Blanc sold well. L'Oréal was quick to
make use of both old and new media to promote its products. In 1933, Schueller commissioned
famous artists of the time to design posters and also launched his own women's magazine, Votre
Beauté. Dop, the first mass-market shampoo, was promoted through children's hair-lathering
competitions at the highly popular French circuses. and by 1938 L'Oréal was advertising its hair
During this period, L'Oréal demonstrated its ability to meet new consumer demands. When the
Front Populaire won the 1936 elections and introduced the first paid holidays for French
workers, L'Oréal'sAmbreSolaire was ready to capture the new market for suntan lotions.
Meanwhile, the company's sales network was expanding on both a national and an international
scale. Products began to be sold through pharmacies and perfumers and new Italian, Belgian, and
Even the outbreak of World War II in 1939 failed to curb the company's growth. At a time of
strict rationing, women permed their hair and bought cosmetics to boost their morale. L'Oréal
launched the first cold permanent wave product, Oréol, in 1945. At the same time, the company
continued to expand; by the end of the war there were 25 research chemists and distribution had
During this period, François Dalle and Charles Zviak joined the group, both recruited by
Monsavon at a time when the cosmetics industry held far less attraction for graduate chemical
engineers than the atomic-energy or oil industries. Both men would play an important role in the
company's future; by 1948, Dalle had already been appointed joint general manager of L'Oréal.
The consumer boom of the 1950s and the arrival of new blond screen idols (originally a
brunette) meant further expansion for L'Oréal. By 1950, a research-and-development team of 100
chemists had created further innovative products, including the first lightening tint, Imédia D,
introduced in 1951, and the first coloring shampoo, Colorelle, introduced in 1955, which
answered an increasing demand for subtlety. The company advanced further into the field of skin
care, entering into technological agreements with the company Vichy, in 1954. Vichy was to
EugèneSchueller's promotional talents were recognized in 1953 when he was awarded and
advertising Oscar. Schueller died in 1957 and François Dalle took over as chairman and CEO at
39 years of age.
CHAPTER-3
THEORITICALFRAMEWORK
A theoretical framework consists of concepts and, together with their definitions and
reference to relevant scholarly literature, existing theory that is used for your particular
study. The theoretical framework must demonstrate an understanding of theories and concepts
that are relevant to the topic of your research paper and that relate to the broader areas of
The theoretical framework is most often not something readily found within the literature.
You must review course readings and pertinent research studies for theories and analytic models
that are relevant to the research problem you are investigating. The selection of a theory should
By virtue of its applicative nature, good theory in the social sciences is of value precisely
because it fulfills one primary purpose: to explain the meaning, nature, and challenges associated
with a phenomenon, often experienced but unexplained in the world in which we live, so that we
may use that knowledge and understanding to act in more informed and effective ways.A
theoretical framework is a collection of interrelated concepts, like a theory but not necessarily so
well worked-out. A theoretical framework guides your research, determining what things you
will measure, and what statistical relationships you will look for.
(seefor more information). In those kinds of studies, the theoretical framework must be very
Surprisingly, theoretical frameworks are also important in exploratory studies, where you really
don't know much about what is going on, and are trying to learn more. There are two reasons
why theoretical frameworks are important here. First, no matter how little you think you know
about a topic, and how unbiased you think you are, it is impossible for a human being not to have
preconceived notions, even if they are of a very general nature. For example, some people
fundamentally believe that people are basically lazy and untrustworthy, and you have keep your
wits about you to avoid being conned. These fundamental beliefs about human nature affect how
you look things when doing personnel research. In this sense, you are always being guided by a
theoretical framework, but you don't know it. Not knowing what your real framework is can be a
problem. The framework tends to guide what you notice in an organization, and what you don't
notice. In other words, you don't even notice things that don't fit your framework! We can never
completely get around this problem, but we can reduce the problem considerably by simply
making our implicit framework explicit. Once it is explicit, we can deliberately consider other
frameworks, and try to see the organizational situation through different lenses.
Cases are objects whose behavior or characteristics we study. Usually, the cases are persons. But
they can also be groups, departments, organizations, etc. They can also be more esoteric things
Variables are characteristics of cases. They are attributes. Qualities of the cases that we measure
or record. For example, if the cases are persons, the variables could be sex, age, height, weight,
feeling of empowerment, math ability, etc. Variables are called what they are because it is
assumed that the cases will vary in their scores on these attributes. For example, if the variable is
age, we obviously recognize that people can be different ages. Of course, sometimes, for a given
sample of people, there might not be any variation on some attribute. For example, the variable
'number of children' might be zero for all members of this class. It's still a variable, though,
In any particular study, variables can play different roles. Two key roles are independent
variables and dependent variables. Usually there is only one dependent variable, and it is the
outcome variable, the one you are trying to predict. Variation in the dependent variable is what
you are trying to explain. For example, if we do a study to determine why some people are more
satisfied in their jobs than others, job satisfaction is the dependent variable.
The independent variables, also known as the predictor or explanatory variables, are the factors
that you think explain variation in the dependent variable. In other words, these are the causes.
For example, you may think that people are more satisfied with their jobs if they are given a lot
of freedom to do what they want, and if they are well-paid. So 'job freedom' and 'salary' are the
independent variables, and 'job satisfaction' is the dependent variable. This is diagrammed as
follows:
There are actually two other kinds of variables, which are basically independent variables, but
work a little differently. These are moderator and intervening variables. A moderator variable is
For example, suppose that the cases are whole organizations, and you believe that diversity in the
organization can help make them more profitable (because diversity leads to fresh outlooks on
old problems), but only if managers are specially trained in diversity management (otherwise all
that diversity causes conflicts and miscommunication). Here, diversity is clearly an independent
variable, and profitability is clearly a dependent variable. But what is diversity training? Its main
function seems to be adjust the strength of relation between diversity and profitabilityFor
example, suppose you are studying job applications to various departments within a large
organization. You believe that in overall, women applicants are more likely to get the job than
men applicants, but that this varies by the number of women already in the department the
person applied to. Specifically, departments that already have a lot of women will favor female
applicants, while departments with few women will favor male applicants. We can diagram this
as follows:
An intervening or intermediary variable is one that is affected by the independent variable and in
turn affects the dependent variable. For example, we said that diversity is good for profitability
because diversity leads to innovation (fresh looks) which in turn leads to profitability. Here,
Note that in the diagram, there is no arrow from diversity directly to profitability. This
control for a variable means to hold its values constant. For example, suppose we
measure the diversity, innovativeness and profitability of a several thousand
find that the more diverse companies have, on average, higher profitability than the
less diverse companies. But suppose we divide the sample into two groups: innovative
companies and non-innovative. Now, within just the innovative group, we again look
at the relationship between diversity and profitability. We might find that there is no
relationship between diversity and profitability there either. That's because the only
Here's another example. Consider the relationship between education and health. In general, the
morea educated a person is, the healthier they are. Do diplomas have magic powers? Do the
cells in educated people's bodies know how to fight cancer? I doubt it. It might be because
educated people are more likely to eat nutritionally sensible food and this in turn contributes to
their health. But of course, there are many reasons why you might eat nutritionally sensible food,
even if you are not educated. So if we were to look at the relationship between education and
health among only people who eat nutritionally sensible food, we might find no relationship.
It should be noted, however, if you control for a variable, and the relationship between two
variables disappears, that doesn't necessarily mean that the variable you controlled for was an
intervening variable. Here is an example. Look at the relationship between the amount of ice
cream sold on a given day, and the number of drownings on those days. This is not hypothetical:
this is real. There is a strong correlation: the more you sell, the more people drown. What's going
on? Are people forgetting the 'no swimming within an hour of eating' rule? Ice cream screws up
your coordination? No. There is a third variable that is causing both ice cream sales and
drownings. The variable is temperature. On hot days, people are more likely to buy ice cream.
They are also more likely to go to the beach, where a certain proportion will drown. If we control
for temperature (i.e., we only consider days that are cold, or days that are warm), we find that
there is no relationship between ice cream sales and drownings. But temperature is not an
intervening variable, since it ice cream sales do not cause temperature changes. Nor is ice cream
sales an intervening variable, since ice cream sales do not cause drownings.
CHAPTER - 4
DATA ANALYSIS AND DATA INTERPRETATION
TABLE
TABLE SHOWING THE INCOME LEVEL OF THE RESPONDENTS
RESPONDENTS PERCENTAGE
Rs.21,000-Rs.30,000 12 24%
TOTAL 50 100
CHART
Series 1
25
20
15
10 Series 1
0
10000-20000 21000-30000 30000 ABOVE
INTERPRETATION: The above table shows that, high percentage of income people are
36% and they can only prefer branded items.
TABLE
TABLE SHOWING THE NO OF RESPONDENTS WHO ARE
AWARE OF L’OREAL PARIS
YES 28 56%
NO 22 44%
TOTAL 50 100
CHART
Sales
30 28
25
20
15
Sales
10
5 3.2
0
YES NO
INTERPRETATION: The above table shows that, high percentage of income people are
36% and they can only prefer branded items
TABLE
TABLE SHOWING THE AWARENESS OF L’OREAL PARIS’S
PRODUCTS
YES 38 76%
NO 12 24%
TOTAL 50 100
CHART
Sales
40 38
35
30
25
20
Sales
15 12
10
5
0
YES 2nd Qtr
INTERPRETATION:
It shows that L’Oreal Paris product is aware for 76% of people.
TABLE
TABLE SHOWING CONSUMER’S BUYING ASPECT OF
L’OREAL PARIS’S PRODUCTS
PRICE 3 6%
QUALITY 29 58%
PACKAGING 2 4%
FRAGRANCE 7 14%
TOTAL 50 100
CHART
Sales
35 29
30
25
20
15 9
10 7
3 2 Sales
5
0
INTERPRETATION: It is observed that customers prefer purchasing L’Oreal Paris for its
quality.(58%)
TABLE
TABLE SHOWING CUSTOMER’S 1st PREFERENCE TOWARDS
L’OREAL PARIS’S
AGREE 10 20%
NEUTRAL 12 24%
DISAGREE 4 8%
STRONGLY DISSAGREE 3 6%
TOTAL 50 100
CHART
22
14 12
12 10
10
8
6 4 22
4
2 1.2
0
AGREE NEUTRAL DISAGREE STRONGLY
DISSAGREE
INTERPRETATION:
It is inferred that only 64% of respondents strongly agree L’Oreal Paris is their 1st preference,
TABLE
TABLE SHOW’SHOW RESPONDENTS CAME TO KNOW ABOUT
L’OREAL PARIS’S
FRIENDS 10 20%
INTERNET 2 4%
WORD OF MOUTH 3 6%
INFLUENCE
MAGAZINE 15 40%
TOTAL 50 100
CHART
Sales
25 20
20
15 10
10
5 2 3 1.2
0 Sales
TABLE
TABLE SHOWING WHETHER L’OREAL PARIS IS COSTLY?
YES 42 84%
NO 8 16%
TOTAL 50 100
CHART
Sales
45 42
40
35
30
25
20 Sales
15
10 8
5
0
YES NO
INTERPRETATION:
n=No of Respondents
n=100
p=110/135=0.81
q=25/135=0.19
Zα=1.96
P-1.96√𝑝𝑞/𝑛 , P+1.96√𝑝𝑞/𝑛
=0.81-0.06440 , =0.81+0.06440
=0.7444 , =0.8744
=74% , =87%
Conclusion
which lies in It is concluded that after the training program, the employee’s are
regularly practicing the training process between 25% to 44%
TABLE
TABLE SHOWING CUSTOMER’S OPINION TOWARDS L’OREAL PARIS’S
GOOD 28 56%
FAIR 10 20%
BAD 4 8%
WORST 2 4%
TOTAL 50 100
CHART
Sales
30 28
25
20
15
10 Sales
10
6
4
5
0
EXCELLENT GOOD FAIR BAD WORST
TABLE
TABLE SHOWING THE CUSTOMERS PURCHASING PATTERN OF
VERY OFTEN 3 6%
REGULAR 20 40%
SOMETIMES 12 24%
OCCASIONALLY 10 20%
TOTAL 50 100
CHART
Sales
25
20
20
15 12
10
10
5
5 3
Sales
0
INTERPRETATION:The chart denotes 40% of the respondents purchase L’Oreal Paris only
sometimes.
TABLE
TABLE SHOWING THE AVAILIBILITY OF L’OREAL PARIS IN ALL
YES 41 82%
NO 9 18%
TOTAL 50 100
CHART
Sales
45
41
40
35
30
25
20 Sales
15
10
5 3.2
0
YES NO
INTERPRETATION :It is inferred that the majority of respondents say L’Oreal Paris is
available in all outlets.
TABLE
TABLE SHOWING PROPOTIONATE OF RESONDENTS AWARE OF
L’OREAL PARIS AMBASSADOR
OTHERS 6 12%
NOT AWARE 6 12 %
TOTAL 50 100
CHART
Sales
40 38
35
30
25
20
Sales
15
10
6 6
5
0
AISHWARIYA RAI OTHERS NOT AWARE
TABLE
TABLE SHOWING PROPOTIONATE OF RESPONDENTS AWARE OF
MEN’S PRODUCT
YES 37 74%
NO 13 26%
TOTAL 50 100
CHART
Sales
40 37
35
30
25
20
Sales
15
10
5 3.2
0
YES NO
TABLE
TABLE SHOWING THE SATISFACTORY LEVEL OF RESPONDENTS
SATISFIED 7 14 %
NEUTRAL 31 62%
DISSATISFIED 4 8%
HIGHLY DISSATISFIED 2 4%
TOTAL 50 100
CHART
2
40 31
35
30
25
20
15 2
10 6 7
4
5 2
0
HIGHLY SATISFIED NEUTRAL DISSATISFIED HIGHLY
SATISFIED DISSATISFIED
TABLE
TABLE SHOWING THE PRCE COMPARISON OF L’OREAL PARIS WITH
OTHER PRODUCTS.
HIGH 29 58%
SAME 4 8%
LOW 5 10%
VERY LOW 3 6%
TOTAL 50 100
CHART
Sales
35
29
30
25
20
15 Sales
9
10
4 5
5
0
VERY HIGH HIGH SAME LOW VERY LOW
INTERPRETATION: The chart denotes 62% of the respondents feel the price of L’Oreal
Paris in high.
TABLE
TABLE SHOWING BUDGET FOR COSMETIC OF RESPONDENTS PER
MONTH
Rs.150-Rs.300 10 20%
Rs.300-Rs.500 12 24%
TOTAL 50 100
CHART
Sales
14
12
12
10
10
8
Sales
6 5
2 1.2
0
ABOVE 50 150-300 300-500 ABOVE 500
The chart denotes 57% of respondents who answered the questionnaire are male.
It is observed that customers prefer purchasing L’Oreal Paris for its quality.
It is inferred that only 12% of respondents strongly agree L’Oreal Paris is their 1st
preference.
It is found that L’Oreal Paris influenced 60% of its customers through advertisements.
The chart denotes 43% of the respondents purchase L’Oreal Paris only sometimes.
It is observed that only 54% of respondents are aware of the ambassador, 16% with
The chart denotes 52% of the respondents feel the price of L’Oreal Paris in high
The author suggests that L’Oréal Paris concentrate on marketing and communication efforts and
adjust its advertising accordingly, in order to reflect a more accepted brand imagery for the
ethnic group with respect to the L’Oréal brand, through meeting the desires, social and self-
expressive needs of the this group more accurately. By identifying what it is that this segment
values the most in personal care products, the brand can adjust its value proposition accordingly
in order to increase its market share. By providing a superior value proposition, and meeting the
problems, desires and needs of the consumer more appropriately, the brand can head towards
enhancing and improving the customer satisfaction and loyalty metrics. The survey did give an
indication that the respondents valued functional and emotional benefits the most when using
L’Oréal products, but it is important for the organization to keep in mind that in this industry,
functional benefits are very easily imitated. The organization has a more endurable, and
sustainable competitive advantage when they consider their brand from a product perspective, an
organization perspective, a person perspective, as well as from a symbolic perspective. When the
brand only fixates on the product at hand, they are very susceptible to imitation. Only by viewing
the brand from the other three perspectives is the brand able to derive a more durable and
sustainable value proposition. The author suggests that L’Oréal focus on developing brand
strategies concerned with being able effectively to improve the satisfaction of emotional needs
on the part of the population in question. Solid and enduring brand relationships are important
developments in this regard, and a manner in which this can be achieved is by encouraging
loyalty (considered a brand asset) towards the brand by using tools such as incentive
programmes for the consumer. Through creating a loyal consumer base there is more of a
guarantee of future sales and profits, which in turn contributes to positive brand equity
,Incentives, or frequent- purchasing programmes, are just some of the ways in which L’Oréal can
improve the preference for and loyalty towards the brand, which in turn would discourage brand
switching.
CONCLUSION
The various tests conducted on the data obtained from the implementation of the questionnaire
allowed the author to understand the various drivers for purchasing personal care products. The
author could identify that a high level of brand awareness is an important driver with regard to
influencing purchasing behaviour. A few analyses with regards to the desirability for the brand
indicated that there was a difference in the levels of desire according to ethnicity. It was shown
that the ethnic group which had the most desire for the brand also displayed the most positive
behaviour with regard to purchases (behaviour). Further tests were performed which gave a clear
indication that it is possible to see the effect that a favourable perception / attitude of the
corporate / product L’Oréal brand has on influencing behavioural intention and ultimately the
endbehaviour (purchases). In terms of identifying whether or not the current value proposition
ofL’Oréal is suited to the target audience, the overall impression of the author is that it would be
a strategically important move if L’Oréal were to try to develop a stronger emotional bond with
their target audience, a well as to find ways in which to ‘sell’ to the consumer unique self-
expressive benefits which can be gained when using L’Oréal branded products. The survey also
revealed the weaker presence of L’Oréal amongst the black ethnic group. The author believes
that this weakly tapped market could be a valuable additional income stream for L’Oréal if they
were to develop actions to enhance the brand imagery that this group associates with the L’Oréal
brand positively. These actions should lead to long-term strategic and market-related benefits
(e.g. market share) for L’Oréal within the target audience of this study.
BIBLIOGRAPHY
BOOKS:
Aaker, D. A., 1991. Managing Brand Equity: Capitalizing on the Value of a Brand Name.
WEBSITES:
http://www.forbes.com/technology/enterprisetech/2004/09/20/cx_ld_0920itloyalty.html
.http://www.studymode.com/essays/Factors-Affecting-The-Location-Of-Retail-
578148.html
http://en.wikipedia.org/wiki/L'Or%C3%A9al
http://www.slideshare.net/hemanthcrpatna/a-study-of-brand-awareness-and-brand-choice
QUESTIONNAIRE
L’OREAL PARIS
I am pursuing MBA in GIET college of engneeing technology. I’m here to undergo a project
on “MEASUREMENT OFBRAND
1. Name:
2. Age:
3. Gender:
Male Female
4. Occupation:
Government Private Self employee student others
employee employee
5. Income level:
Rs.10000-20000 Rs.21000-30000 Rs.30000 Above
Yes No
21. Do you prefer L’Oreal Paris brand to your friends and relatives?
Yes No
22. Few lines about L’Oreal Paris
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