Department of Business

Management

Preface

The Project work is field which uses tools and techniques to

transfer subjectivity in the environment into objectives, also the
findings of the research, when applied show results, which can
be measured and evaluated so there is feedback this is what
makes it a dynamic activity.

This survey is an analytical study of a different facts of the

product. The focus is given on the Brand profile. This project
entitled …………..of “GARNEAR FACEWASH”, is for the
partial fulfillment of B.B.A.(Hons) Degree.

The idea behind this project is to give practical knowledge

and to make them to face real life situation. The project survey is
commonly used for the collection from the respondents through
questionnaire. In this method statistical techniques have been
used systematically. This project survey is not only with my own
efforts but also that of others.
……………………..
 ACKNOWLEDGEMENT

I would like to whole hearty thank and express my sincere

gratitude to Prof. Y.S. Thakur Head of the
Department of Faculty of Management Studies Dr. Hari Singh
Gour Vishwavidyalaya, Sagar for suggesting me this problem
and for giving an insight in delaing with the subject

.I am highly obliged to ………………, Miss Shakuntala Yadav,

Dr. Shree Bhagwat, Miss Pragya Bhargava,, Miss Devagya
Shrivastava, Mrs. Jyoti Pandey, Mr. Ankur Randheliya Mr.
Girbal singh Lodhi, and All Faculty member, for guiding me in
various aspects of this project like conducting field work and
designing questionnaire and suggesting me the Project Work and
helping me in finalising the Report. I express my gratitude to all
the customers who very kindly discussed various aspects of this
study and provided useful suggestions for discussing various
problems.

Lastly, I Must express my gratitude to all the elders of the

family and citizen of the city who blessed me in course of
discussion. I also extend my sincere thanks to my family and my
friends for their encouragement and support.

……………………..

Faculty of Management Studies

Dr. Hari Singh Gour Vishwvidhyalaya,
Sagar

CERTIFICATE

This to certify that MISS NAMRATA DEEWAN Student of

B.B.A. (Hons) 16th Batch, Faculty of Management Studies Dr.
Hari Singh Gour Vishwavidyalaya, Sagar (M.P.) Has diligently
worked on the Project Report of the Company Profile of
“GARNIER”. He has done this Work under My Guidance and
Supervision. This project work is original and not submitted earlier
for the award of any degree or associate ship of any other
University.
During this study he made meticulous efforts for its
completion. I wish him all the best in this sincere endeavors for a
bright and successful future.

Signature of the Signature of the Signature of the

Supervisor Head of the Examiner
Department

DECLARATION

I hereby declare that the project work entitled

“Company Profile of GARNIER” submitted to the Faculty of
Management Studies Dr. Hari Singh Gour Vishwavidyalaya,
Sagar (M.P.), is a record of an original work done by me under the
guidance of MISS MAYURI JAIN Lecturer & Faculty Member at
the Faculty of Management Studies Dr. Hari Singh Gour
Vishwavidyalaya, Sagar (M.P.). I also ensure that this work done
by me is purely original and is my own creativity.
Date :
Place :

CONTENTS

S.No. TITLE Page No.

(A) Preface
(B) Acknowledgement
(C) Declaration of the Candidate
(D) Certificate
CHAPTER – 1 INTRODUCTION
 Objective
 Introduction
 History
 Mission and values of the company
 Overview of the company
 Major Achievement of the company
 Competitive Environment Before the Company
 Products of GARNIER
CHAPTER – 2 RESEARCH METHODOLOGY
 Importance of the Study
 Scope
 Data Collection Methods
CHATPER –3 COMPANY PROFILE
Boards of Director
 Executive Team
 Acquisition (joint Venture)
 Research & Development
 Human Recourse Development
CHAPTER – 4 DATA ANALYSIS AND INTERPETATION
 Graphical Presentation
CHAPTER – 5 CONCLUSION
 Swot Analysis of GARNIER
 Summary (Conclusion)
 Findings ( Specific merits of GARNIER)
 Limitation
 Suggestion
Graphical Presentation
 Reference
o Bibliography
o Questionnaire

EXECUTIVE SUMMARY

The application of the four Ps (Product, Price, Promotion, and Place) of

marketing revolves mainly around the customers in the target segment. The
target segment for any product is that homogeneous group of people which
is purported to be the most potential customer for the product. The market
follows the Pareto Principle, which says that 80 per cent of the sales come
from 20 per cent of the people. Thus, for any product, one of the major
tasks of marketers is to identify the group of 20 per cent that gives 80
per cent revenue of that product’s sale to the company. No surprise then
that major marketing efforts of companies attempt to attract the most
potential group.

This project is an extensive study of the 4Ps analysis of the Garnier

products. This detailed study helped us in understanding the Price, Place,
Product and Promotion aspect of the Garnier products in the region of
study i.e. Greater Noida and Noida. After having done this study we were
able to identify the pricing strategies followed by Garnier in terms of their
product along with their promotional strategy in the NCR region.
This case study also helps in getting an overview of the Indian skin care and
hair care market scenario, its growth trends, future prospects and
opportunities available.

L'Oreal is one of the most successful International premium brands in India.

This French brand came to India in 1991 with its Ultra Doux range of
Shampoo through its Agent Laboratories Garnier. In 1994 Laboratories
Garnier became the 100% subsidiary of L'Oréal.

In 2000 Garnier launched its range of cosmetics in to Indian market. The

Indian Cosmetic and skin care market is estimated to be around $300
Million. In this market the Color Cosmetic segment is around Rs 250 crore
while the Skin care segment is estimated to be around Rs 400 crore.

L'Oréal's strategy is to evolve Garnier into a master brand, stretching across

categories that over the next few years would include soap, body wash and
facial care, similar to Unilever with Dove. "Fructis shampoo and conditioner
is core, and they are introducing styling aids as part of a mega brand
strategy.
 PROJECT OBJECTIVE:

 The objective of our project is to comprehensively research on one of

the most successful sub-brands of Garnier- GARNIER.
 Within Garnier, we have incurred a study on the hair care product
range of Garnier that is Garnier Fructis and Ultra Doux. We have
essentially focused on shampoos and conditioners.

 We have researched on the brand perception of the product by the

customers and customer loyalty towards the product.

 The stress however has been on the PRODUCT out of all the four P’s
and on the consumer behavior and their perception towards the brand.

 We have also focused on the current leading competitors of Garnier-

Garnier and conducted a brief study on their marketing strategies.
 INTRODUCTION
Garnier was founded in the year 1909 by Eugene Schueller, a French
chemist who developed an innovative hair color formula. Today, the Garnier
Group is the world's largest cosmetics and beauty company and is
headquartered in the Paris suburb of Clichy, France. It got its start from the
hair color business but soon it developed activities in the field of cosmetics,
concentrating on skin care, sun protection, make up, perfumes and hair care.
L'Oreal is active in the dermatological and pharmaceutical fields. It is also
the top nanotechnology patent-holder in the United States. L'Oreal is a listed
company, but the founder's daughter Liliane Bettencourt who is one of the
richest people in the world, and the Swiss food company Nestlé each control
over a quarter of the shares and voting rights. Garnier famous advertising
slogan is "Because I’m worth it". It has recently been replaced by "Because
you're worth it". Its portfolio of brands includes the cosmetics range of
L'Oreal Paris and Maybelline NY, shampoo range Garnier, luxury products
such as Lancóme and active cosmetics such as Vichy. Its closest global
competitor in the premium make-up segment is Revlon.

India’s contribution to the growth of the global cosmetics market is

about 60 percent. The beauty and the wellness sector in India are on a
boom. Garnier started its operations in India thirteen years ago. The share
of the Indian market to L'Oreal's turnover of 15.8 billion is small, but is
growing. It operates in India through its wholly owned subsidiary, Garnier
India and has four divisions — consumer products, professional products,
active cosmetics and luxury products. The biggest contributor to its
revenue in India is the consumer products division led by its strongest brand
in terms of sales - Garnier.

COMPANY PROFILE

Garnier offers a vast range of hair color, hair care and skin care that bring
you natural beauty.
To guarantee complete satisfaction to its customers, Garnier seeks to
continually improve product performance by addressing their customer’s
specific needs using the company’s long expertise in hair care, hair color and
skin care.
To be sure Garnier products guarantee maximum effectiveness in total
harmony with the customer’s body, the company rigorously lab-tests all its
new product propositions. Evaluated by experts and consumers before being
put on the market, Garnier products give immediate and visible results. For
the natural beauty of hair and skin, the company offers to its customers,
more than simple products, providing advice and routines adapted to their
personal needs.
GARNIER TESTING POLICIES:
All products are the result of rigorous research and development and benefit
from the expertise of our multi-disciplinary scientists & research staff. Their
discoveries are frequently published in leading scientific journals and have
resulted in several patents.

Garnier uses methodologies recognized by the international scientific

community as part of its products' development process which assess their
safety and effectiveness.

Stages of research, development and evaluation at Garnier:

 STAGE I: Garnier products benefits from scientific and customer

research gathered from several research centers and evaluation centers
around the world.

 STAGE II: Independent clinical studies to assess the effectiveness

and safety of our products. They can be done under dermatological or
Ophtalmological control.
 STAGE III: Consumer studies verify product effectiveness and
consumer satisfaction rates before the product is launched.
 STAGE IV: Once products are launched; customer satisfaction
surveys are also carried out. These involve interviewing a statistically
significant number of people who have bought and used the products
for several weeks. This information helps us to monitor levels of
satisfaction and we use this type of customer feedback to evaluate and
improve our products on an ongoing basis.
History
The story began when Alfred Armour Garnier, a
young French chemist, created in 1904 the first
branded product, a hair tonic that used natural
ingredients (plant extracts), launched at a time when
people used soap to wash hair. GARNIER then
launched shampoos and conditioners, which were
advertised in women's magazines and soon became
popular. The brand began to expand its product line
in 1936 when it was the first to produce a line of
sunscreen products for skin. This allowed to expand
the line of skin care with the launch of products made
with natural ingredients and fruit extracts.

In the 60s, the GARNIER was the first manufacturer

to market a complete line of hair dyes for home use.
The success of this product, especially in Europe and
the United States, drew the attention of the French
company L'Oréal, which bought the lab in 1965. Until
then, GARNIER had a line of products targeted hair
care and skin care.

Products
Garnier currently has three product lines: Fructis,
Nutrisse and Nutritionist. Fructis, started in 1996, is
the Garner line of haircare and styling products.
Nutrisse, Garnier's hair color line released in 2002,
was originally called Natea when it debuted in 1998.
Natea wasn't as successful in the United States as in
Europe, hence the name change. Garnier started
selling Nutritionist, its skincare product line, in 2005.
 This is a catlog which I made for someone's
summer project (in 2009).

Innovation
Besides introducing Alfred Garnier's hair tonic in
1904, when people still used soap on their hair,
Garnier has been the first to produce sun-care items
(in 1936) and the first to make a permanent home hair
color (in 1960). Today Garnier is the number-one
brand in Europe using natural ingredients.

Logo
GARNIER recently changed its branding with the
launch of a new logo, a concept that is more aligned
with the roots of the brand: nature coupled with
technology.
products
Description
Garnier Face Wash is the ideal choice for a face
cleanser that not only removes all the impurities from
your face but also nourishes it and keeps it soft and
supple. This face wash has a natural moisturizing agent
to counteract the drying effect of water. It is a gentle
cleansing agent that complements your skin’s natural
balance. It is available in four variants:

Garnier Light Fairness Face Wash: an effective daily

face wash that helps you recover clear, radiant, even
complexion.

Garnier Pure Exfoliating Face Wash: for combination to

oily skin, this cleanser helps to remove excess oil and
imperfections, preventing them from re-appearing.

Garnier Gentle Soothing Face Wash: a gentle yet

effective daily face wash that suits all skin types.

Garnier Fresh Deep Clean Face Wash: ideal for

combination to normal skin, it helps to cleanse your
skin gently yet deeply, giving a sensationally fresh
feeling.
HAIR CARE PRODUCTS

• Garnier Fructis Daily Care

Garnier Fructis Daily Care is fortified with Reinforced Active Fruit

Concentrate - an innovative combination of vitamins B3 and B6,
fructose and glucose. Gentle enough for everyday use, it nourishes,
 strengthens and smoothes each hair strand, keeping it balanced and
healthy-looking. Hair is up to 5x stronger, up to 5x smoother and so
much shiner. The result: Great-looking hair that is anything but
ordinary.

• Garnier Fructis Color Shield

Garnier Fructis Color Shield is fortified with UV protectant and Reinforced

Active Fruit Concentrate - an innovative combination of vitamins B3 and
B6, fructose and glucose. Specially created to care for color-treated or
highlighted hair, it penetrates inside the hair to moisturize and strengthen it.
With UV protectant, the formula helps keep your color-treated hair brilliant
and shiny on the outside. Hair is up to 5x stronger, up to 5x smoother and so
much shinier, so color looks brilliant longer.

 Garnier Fructis Moisture Works

Drench your hair with moisture! Fortified with Reinforced Active Fruit
Concentrate - an innovative combination of vitamins B3 and B6, fructose
and glucose - this creamy system helps restore moisture in dull, brittle or dry
hair. Moisture is replenished and brilliant shine returns. Hair is up to 5 times
stronger, up to 5 times smoother and so much shiny

• Garnier Fructis Sleek & Shine

Can your frizzy, coarse, rebellious hair withstand even the most humid
weather? Get the strength to fight frizz with Garnier Fructis Sleek & Shine.
It's specially created to smooth dry, unmanageable hair and contains
Nutritive Fruit Micro-Oils - an innovative combination of apricot and
avocado oils, and vitamins B3 and B6. Hair is 5x stronger, 5x smoother and
so much shinier. The result: Long-lasting frizz control for hair that's
incredibly sleek, even with moisture in the air.

• Garnier Fructis Length & Strength

Impossibly long locks aren't impossible with Garnier Fructis Length &
Strength! Stronger hair grows even longer. It's the first anti-breakage system
with Reinforced Active Fruit Concentrate - an innovative combination of
vitamins B3 and B6, fructose and glucose. Specially created for hard-to-
grow-long hair, this system reinforces hair, protecting it from breakage and
split ends.

 Garnier Fructis Anti-Dandruff

Soothe your scalp! Created with Pyrithione Zinc and Active Fruit
Concentrate - an innovative combination of vitamins B3 and B6, fructose
and glucose - this double-action formula is gentle on your scalp, but ruthless
on dandruff. It's a powerful force for healthy-looking hair and the confidence
that comes with it. It helps eliminate the symptoms of dandruff, effective
with the first wash, and makes your hair up to 3 times stronger! The result:
No flakes guaranteed.

• Garnier Fructis Strength & Repair

Garnier Fructis introduces the Strength & Repair System to help reverse the
signs of damage in one week, leaving hair intensely nourished, repaired from
the inside out and more resistant to breakage. The formulas with Nutritive
Fruit Micro-Oils - a combination of apricot and avocado oils - nourish hair,
and Ceramide Reconstructor to help repair and fortify hair.

SKIN CARE PRODUCTS

 Garnier Pure Anti-blemish Products

Garnier Pure Anti-blemish - Garnier Pore purifying Astringent,

Garnier Pure Pimple Control Pen, Garnier Pure Exfoliating Face
Wash, Garnier Pure Deep Clean Gel Face Wash, Garnier Pure
Daily Treatment Cream.

Garnier Light Fairness Anti-Marks Products

Garnier Light Fairness Anti-Marks Products - Garnier Fairness

Face Wash, Garnier Fairness Wipe-off Lotion, Dark Spots
Prevention moisturizer, Garnier Anti-marks & Fairness
concentrate, Garnier Total Comfort Nourishing + Anti-tightening
cold cream, Garnier Light Matte Mattifying Fairness Cream,
Garnier Light Under Eye Dark Circle Lightening Cream.

Garnier Essential Cleansers Products

Garnier Essential Cleansers - Garnier Gentle Face Wash, Garnier

Gentle Cleansing Milk, Fresh Clean feel Face Wash.
 Garnier Essential Care Products

Garnier Essential Care - Garnier Daily Moisturizing Lotion,

Garnier Daily Moisturizing Cream, Garnier Replenishing Night
Cream, Garnier Eye Contour Gel.

Garnier Sun Control Products

Garnier Sun Control - Garnier Daily Moisturizer, Daily

moisturizer SPF 15 / UVA +, Daily moisturizer SPF 20 / UVA.

Garnier Wrinkle Lift Anti-ageing Garnier Body cocoon Body Moisturizers

Products

Garnier Wrinkle Lift Anti-ageing- Garnier Garnier Bodycocoon Body Moisturisers -

Anti ageing Cream. Intense Moisture Lotion.
 COMPETITORS
The company is creating a new in the market place and therefore faces
competition from a variety of companies. There are currently lots of head to
head competitors. The exiting competition can make more consumers
focused. Before launching and new product good knowledge about its
competitors are very crucial. Because it very necessary to know about
competitors all the things like product quality, price , packaging, brand
image of that product, marketing strategy that competitors are using.
A new product success is depending upon all the
thing about competitors mentioned top is play the very important role to
success new product.
The competitors of Lux face wash is given below:-

1. Himalaya face wash

2. Ayur Face wash

3. Dove Face wash

4. Lakme Face wash

 PROMOTION
Garnier has been very active and upfront in adopting new promotional
techniques to market its products. The company follows a very popular
technique to advertise and market its products that is the Viral Marketing
policy. Viral marketing is a term coined to define the productive ways a
marketing message is made available. And corporate are using the medium
to circulate brands and brand messages. The idea has caught on like a virus,
as efficiently as Information Technology has entered households and
businesses.

Firms are now structuring their businesses in a way that allows them to grow
like a virus and lock out the existing brick and mortar competitors through
innovative pricing and exploitation of competitors' distribution channels.
The beauty of this marketing technique is that none of it requires any
marketing. Customers, who have caught the virus, do the selling. Viral
marketing describes any strategy that encourages individuals to pass on a
marketing message to others, creating the potential for exponential growth in
the message's exposure and influence. Like viruses, such strategies take
advantage of rapid multiplication to explode the message to thousands, to
millions.

Off the Internet, viral marketing has been referred to as "word-of-mouth'',

"creating a buzz'', "leveraging the media'' and even "network marketing.'' It's
a deceptively simple concept: Create a message, send it via e-mail, and make
it so compelling that recipients want to pass it on to everyone in their
address book. Advertisers are hot on the tactic, and the idea of putting
consumers to work spreading the word about a brand or service seems
sound.

Relying on international ad campaigns:

Increasing its ad spend for the launch of its new products, L'Oreal has been
relying more on its international campaigns to make an impact in the Indian
market. McCann Erickson in Mumbai handles the L'Oreal and Maybelline
account while Publicis India is in charge of Garnier. "The ad accounts have
been aligned according to our international affiliations with these agencies
and we try to have a mix of both the Indian and international ads," says Mr.
Rajgopal.

L'Oreal India currently has three brands in its consumer products portfolio
and there are product overlaps between its hair care, skin care and color
cosmetics brands. Garnier, L'Oreal and Maybelline have been defined by
their price segments and positioning.

Promotional Strategy
The cosmetics giant is using hairdressing schools to stimulate demand
for products many Indians saw as an alien extravagance.

Above a bank in north Bombay, India’s future hairdressers are sculpting the
tresses of volunteer models more willing to let trainees loose on their hair
than a seasoned local stylist wielding a bottle of dye. “Everyone is very
particular about their hair these days,” said Ruchi Khater, from beneath a
stack of silver foil at L’Oréal’s hairdressing academy.

For a customer who needs more than a trim, a visit to a hairdresser in India
has traditionally been something of a hair-raising experience. This was
particularly true for fair-haired Western women with layered styles and
blonde highlights. They learnt the hard way that Indian hairdressers know
little of color beyond a jet-black rinse or a streak of henna.

That is not surprising as 85 per cent of Indian women have long,

straight hair. Their natural tone is dark and they prefer home remedies
recommended by their mothers. Most still use hair oil - vegetable oil, no
less – rather than fancy conditioners.

It is a challenging environment for any company trying to sell packaged

beauty products – to the majority of India’s 1.1 billion people they are not
only alien but also an extravagance.

The solution for L’Oréal, the world’s largest beauty and cosmetics group,
was to create a market from scratch.

Since it opened its first academy in Bombay in 2006, 73 hairdressers have

graduated. The six-month course turns out professionals capable of working
as a junior in one of the select but growing number of international-standard
salons in India’s big cities.

L’Oréal’s distribution network also plays a vital role. Over the past decade
the company has trained more than 30,000 hairdressers in India in the
use of its products.

And it has helped to establish about 300 salons in the past five years. The
theory is simple: If there is no natural demand for your goods, stimulate it.
“We have created a profession and a market,” Didier Villanueva, L’Oréal
India’s country manager, said. “If you train people they will use your
products.”

The students, who pay 200,000 rupees (£2,440) each, are green to say the
least. “Most who come do not know how to hold scissors or use a blow
dryer,” Caroline Lannuzel, academy director, said.

Competition is strong with more than 50 applications for 15 places. Sohini

Rohra, 24, a former model, got in. “People did not know what a bad haircut
was. My mother’s generation did not have a clue because there was no
exposure to these things,” she said.

In a media-driven culture obsessed with Bollywood, urban consumers

are very demanding and image is everything. They read glossy
magazines such as Vogue, which launched an Indian edition in
September, and follow the changing fashions of their favourite
celebrities.
Much like Britain’s tabloid fascination with David Beckham’s changing
hairstyles, the recent decision by Mahendra Singh Dhoni, the 26-year-old
captain of the one-day cricket team and the face of Brylcreem in India, to
chop his long locks made front-page news.

Unprecedented economic growth in India, which is forecast by McKinsey to

become the world’s fifth-biggest consuming nation by 2025, has created a
raft of opportunities for international lifestyle brands.

Emerging markets such as India are driving the growth of the cosmetics
industry. L’Oréal, which uses Aishwarya Rai, the Bollywood star and former
Miss World, as one of its international faces, estimates there are 70 million
potential consumers being created every year.

Its sales in India, where it is No 2 behind Unilever, are growing at 35 per

cent a year. This year, they are about €100 million (£71 million).

Although L’Oréal’s professional products division represents only 17

per cent of total revenues, hair color was the Paris-based group’s genesis
and remains the creative heart of the business. Money-spinning mass-
market brands such as Garnier are being pushed hard in India, where
the company estimates there is a market of 50 million people.

Its rivals agree. Franck Provost, the beauty salon group, also has a
hairdressing academy in Bombay and Toni & Guy opened a salon this year.

Two thirds of the population is under 35: youth will drive growth. In the
L’Oréal academy, it has at least two new potential customers.

L’Oréal hopes that very soon it will be because they think they’re worth it.
In India, advertisements for L'Oréal-branded products and the company's
Garnier line generally feature a pale model and focus on the ingredients in
the product, using take-action language like "YES to fairer and younger
looking skin" or "Against inside cell damages."
PRICE

The target segment for any product is that homogeneous group of people
which is purported to be the most potential customer for the product. The
market follows the Pareto Principle, which says that 80 per cent of the sales
come from 20 per cent of the people. Thus, for any product, one of the major
tasks of marketers is to identify the group of 20 per cent that gives 80 per
cent revenue of that product’s sale to the company. No surprise then that
major marketing efforts of companies attempt to attract the most potential
group. In the present stage of immense competition, companies are required
to effectively plan their pricing strategies to not only retain current
customers but to also expand the customer base by targeting new segments
with an aim to convert them into loyal customers.

Trying to strike a balance in its pricing strategy for the Indian market,
`L'Oreal India Private Ltd believes that by introducing more stock
keeping units (SKU's) it will be able to tide over the steep pricing of its
products.

Mr. Ashwin Rajgopal, Marketing Manager, L'Oreal Consumer Products, told

Business Line that, "We are looking at pricing in the Indian context and
there is a kind of balance we have struck. Considering the large number of
SKU's that we already have worldwide, it is possible to market the products
at an almost comparable pricing."
Considering the company has set up its manufacturing facilities in Pune and
has also been sub-contracting its products, it has been easier for it to control
its prices in the Indian market.

For aspirational products Garnier has adopted an international pricing

strategy, which may not be the case for the rest of the products. However
there is no hard and fast rule

Besides, the company has also been customizing its products for the
Indian market and there is expected to be a blend of both international
as well as Indian formulations for its products. For instance its Garnier
brand of Color Naturals is an `Indianised' product.

L'Oreal’s innovations always start from its luxury brands then

penetrate to the brands in different price level and different markets
eventually implemented in its consumer brands. The innovations based
on the same technology platform will reduce the cost. The knack for L'Oreal
to create the advantages is to spread around strategic investment by sharing
the production of innovation between different product divisions. L'Oreal
not only focuses on the single brand but also pays attention to the
technology relevancy in the series of brands. For example, L'Oreal first
introduced a break through anti-aging composite by using Lancôme brand.
Subsequently, it was implemented in Vichy brand and brought into the
consumer product division eventually. The broad distribution channel of
consumer products was used to promote this technology at last. In term of
same products in the different market, L'Oreal also exerts the technology
platform to meet the specific needs of consumers. From L'Oreal’s
experiences, the core technology platform is a key component to the success
of an international company with complicated brand house. Without
leveraging the resources between brands, it will cause increase of
operational cost and waste of resources and will be very hard to manage the
L'Oreal’s sophisticated brand architecture. Other than building the brand
structure according to the product identity, L'Oreal relied on distribution
channel to carry out its strategy of brand structure. There are four product
departments in L'Oreal’s structure. Every department has several brands and
each brand has many names. They are conspicuously different in packages
and with distinct image and advertising. The different brands share the
resources of distribution channel and have high integration effect on
management. The luxury brands of Garnier are sold in strictly selected
distribution channel like department store, perfumeries and tax free shop.
Professional products are provided to the hairdressers. Active cosmetic
products are sold in pharmacists. The most important sector consumer
products are distributed through mass consumption channel like department
store and supermarket.

L'Oreal has formed a brand matrix with great power of integration. Any new
brand merged into the relevant channel will fully utilize the resources in
existing channel as well as expand L'Oreal’s whole distribution channel by
integrating its original channel. The dissemination of brand will improve
company’s overall influential power.
L'Oreal recognized the leverage effect of it brand and focus its propagandas
on brand rather than propagandas on particular product. It is dedicated in
building the relationship between its brand and the market. It aims to
enhance brand power by maintaining the good image in publicities.
L'Oreal’s efforts were also embodied on its marketing strategy. It always
concentrates on supporting those brands which can mostly represent its
advantages and leverage resources to those premium products.

Firms that aim to expand internationally or strengthen market position tend

to acquire new brand into the brand architecture. Acquiring influential and
well positioned brand is an important strategy of L'Oreal in developing its
brand architecture. It achieves rapid growth by acquiring brand in same or
related business and is continually seeking these opportunities in the
worldwide scope. L'Oreal expanded its brand architecture by acquiring
Maybelline brand in 1996, which was a very successful transaction. The
Maybelline’s image was enhanced by branded L'Oreal while L'Oreal got
complementary in its brand architecture. Recent years in Asia, it acquired the
third skincare brand Mininurse in China and Japanese top luxury brand Shu
Uemura. These acquisitions represent L'Oreal’s ambition to Asian market.
They have the same product business with L'Oreal. In China the acquisition
will enhance L'OrealÂ’s market position in skincare and acquire distribution
channels Mininurse had. It is also a preparation for the future expansion in
the most fast-growing market China. By acquiring Shu Uemura, L'Oreal
want to use this Japanese brand to compete with SK-…¡which was a
competitor in the same level, in order to meet the trend of prevalence of
Japanese cosmetic brand in Asia. This is considered to be an effective and
cost-efficient strategy which is consistent with L'Oreal’s overall brand
architecture
PLACE

To run a company in profit the place factor out of the 4p’s of marketing mix
plays a very crucial role. This includes decisions about where to sell the
product or concerns about where the customers are, and how to get to them.
It also includes the "channel of distribution" - meaning, all the different
middlemen a company use to get the product out to the customer. Garnier
runs a massive worldwide operation employing nearly 62,000 men and
women of various races, backgrounds and religions across nearly 60
countries. Part of the reason for the corporation’s success has been its
sensitivity not only to its consumers but also to each and every one of its
employees. The corporation has made sure that all their employees have
opportunities to develop themselves both personally and professionally. This
commitment by the corporation to take care of their own employees has
resulted in Garnier being rated by the European business school students as
The Employer of Choice for the year 2006. With over a century of
experience in the cosmetics industry, Garnier has established 19 global
brands and produces them in 40 factories across the world. These factories
are all state of the art and ISO 140001 certified and all of their industrial
sites are audited with the standard SA 8000 (Garnier Corporation). The
corporation makes sure that every product that rolls out from their factories
complies with their own high standards and meets or exceeds quality and
safety standards set by local governmental agencies such as the Food &
Drug Administration of the United States of America. Garnier’s success in
the cosmetic industry is due not only to their high quality, but also to the
corporation’s marketing efforts to make sure their various brands have a
strong market presence. In past 100 years that it has expanded, it has
supplied to 130 countries with offices in 58 different countries. To make its
presence feel in different parts of the world Garnier has acquired many
different companies like “The Body Shop International plc”, known as The
Body Shop, which has over 2,000 stores in more than 50 countries.

ANALYSIS OF INDIAN MARKET

Garnier being an important brand of Garnier in both hair care and skin care
is available all round the globe easily. In Indian market the hair care
products of garnier like “garnier fructis”, “ultra doux” etc is available in both
organised and unorganized retail shops in India. The high end skin care
products like “Nutritionsite” are available only in selected retail outlets in
country. In India Garnier manufactures its products in Pune whereas it’s
registered office is in Mumbai. To popularize its product line Garnier has
occupied brand corners in many big malls and retail outlets in which garnier
products get a major chunk. Garnier has tie ups with many big beauty salons
and parlors who can promote and sell its products. Over the past decade the
company has trained more than 30,000 hairdressers in India in the use of its
products. And it has helped to establish about 300 salons in the past five
years. The theory is simple: If there is no natural demand for your goods,
stimulate it. “We have created a profession and a market,” Didier Villanueva,
L’Oréal India’s country manager, said. “If you train people they will use
your products.” Its sales in India, where it is No 2 behind Unilever, are
growing at 35 per cent a year. This year, they are about €100 million (£71
million). Although L’Oréal’s professional products division represents only
17 per cent of total revenues, hair color was the Paris-based group’s genesis
and remains the creative heart of the business. Money-spinning mass-market
brands such as Garnier are being pushed hard in India, where the company
estimates there is a market of 50 million. Garnier products are easily
available for sale on many websites in India.

SWOT ANALYSIS OF GARNIER PRODUCTS

Strengths
 Strong and Focused Brand Portfolio.
 Presence in Emerging Markets.
 Strong R&D Capability.
 Variants available.
 Geographical Coverage.

Weaknesses

 Dependence on Western European Markets

 Late Entry into Asian markets.
  Unable to gain much of market share.

Opportunities

 M&A Opportunities.
 Growth in Adjacent Categories.
 Demand for Natural Cosmetics.
 Growth of Direct Sales Channels
 Changing Consumer Lifestyles.
 Rural market growth.
 Beauty products market growing with a significant rate.

Threats

 Competition from Private Labels.

 Price Competition among Branded Manufacturers.
 DATA ANALYSIS & INTERPRETATION

TOTAL NUMBER OF WORKING AND NON WORKNG

RESPONDENTS

Figure 5

The above pie diagram indicates that out of the total 100 respondents
surveyed, 43% are working and the remaining 57% are not working and are
mostly students.
GARNIER USAGE AMONG WORKING RESPONDENTS

Figure 6

Out of the total 43 working respondents surveyed, only 30% of them don’t
use any of the Garnier products, the remaining 70% of the working
respondents use Garnier products. This indicates that the brand is popular
amongst the working people. The respondents so surveyed were well aware
about the brand and were also aware about almost all the product lines being
offered by Garnier, be it in skin care or hair care. This result indicates that
Garnier has a well defined target market catering mainly to upper middle
class consumers which is mainly why the working respondents are frequent
users of different products of Garnier.

GARNIER USAGE AMONG NON WORKING

RESPONDENTS

Figure 7

Out of the 57 non working respondents surveyed, about 84% of the

respondents use Garnier products which means about 47 out of 57 people
use Garnier products and 16% of the respondents don’t use any of the
Garnier products. This again indicates that the brand is popular among even
the non working respondents who are majorly students in our survey.
The inference that can be drawn from the above two pie charts is that
irrespective of whether the consumers are working or are students, the brand
has a good popularity. This means that the brand has successfully caters to
the needs of the youth as well as people falling in the age bracket of 35 to
55.

PREFERENCE FOR SKIN CARE OR HAIR CARE AMONG

WORKING RESPONDENTS

Figure 8
Out of the 43 people who are working, about 29 of them use Garnier
products and out of these 29 people, only 4% of the respondents use only
skin care products and 18% of them use only hair care products while a
major chunk of 78% of the respondents use both skin care and hair care
products of Garnier.
This indicates that the customers are regular and loyal users of almost all the
product lines of Garnier.

PREFERENCE OF SKIN CARE OR HAIR CARE

PRODUCTS AMONG NON WORKING RESPONDENTS
Out of the 57 non working respondents, about 36 of them use Garnier
products. Out of these 36 respondents, 25% use only Garnier hair care
products, 28% of them use Garnier skin care products and 47% of them use
both hair care and skin care products of Garnier. This again indicates that
majority of people like both the segments of Garnier but unlike the working
consumers the non working consumers prefer Garnier skin care products
over its hair care products.

PRODUCTS USAGE

Figure 16
Out of the 100 people surveyed, 77 answered that they use Garnier products.
The chart above depicts the usage of different products by these 77 people.
Shampoo & conditioner is used by 57 people, Facewash by 39 people, Acne
Removal Cream by 8 people, Hair Color by 20 people, Anti-Ageing Cream
by 3 people, Fairness Cream by 23 people, Anti Wrinkle Cream by 2 people,
Dark Circle Removal Cream by 4 people, Moisturiser by 14 people and
Body Lotion by 28 people. This data suggests that Shampoos & Conditioner
are the most popular of Garnier products.

AWARENESS
 Figure 17

Out of the 100 people surveyed, 77 answered that they use Garnier products.
We gathered information through our survey that how a respondent came to
know about Garnier products. 74 respondents answered that they came to
know about Garnier products through television, 21 by newspaper and
magazines, 20 by word of mouth and 7 through internet. This data suggests
that TV is the most popular source of information and awareness regarding
Garnier products.
AWARENESS

Conclusion

Following are the few key findings of the study:

 70% of the total working respondents use Garnier products.
 84% of the total non working respondents use Garnier product.
 78% of the working respondents users use both hair and skin care
products, whereas 18% uses only hair care products by Garnier and
4% only skin care products.
 In non working respondents 47% uses both skin and hair care
products by Garnier, 25% only hair care and 28% skin care products.
 Among the non users of the Garnier products 64% are happy with
their current brand, 18% find Garnier products ineffective and 14%
people find the price of the products a major concern.
 TV is the most popular source of information and awareness regarding
Garnier products.
 Shampoos & Conditioner are the most popular Garnier products.
 Only 40% of the users said that garnier products are available at every
store.
 82% of the Garnier users are satisfied with the products.
SUGGESTION AND RECOMMENDATION

It needs to improve the availability network of the product so as to

reach a large customer base because 60% of the respondents feel that
it is available at selective
stores only.

Almost 64% people are happy with their current brand and do not
want to switch to Garnier products thus it needs to make the
customers aware of the products.

Garnier need to adopt different promotional mediums like internet,

magazines, product binding schemes and even surrogative marketing.

Introducing a low price product line for the rural market.

Introduce herbal product lines as the customer is getting more inclined

towards herbal products.

As boys are also becoming looks conscious so the male beauty

segment can be one area of focus.
BIBLIOGRAPHY

1. www.garnier.com
2. www.equitymasters.com
3. www.managementparadise.com
4. www.hindubusinessline.com
5. www.Garnier.com
6. www.scribd.com
7. www.google.com
 QUESTIONNAIRE

Dear Respondent,
This is a survey regarding the product analysis of Garnier by Garnier, so
kindly furnish the correct information. The information given will only be
utilized for the research purpose only and not any other purpose.

RESPONDENT PROFILE

Area of Residence:

Age :

Gender : Male____ Female____

Your monthly household income:

a) Below 10000 b) 10000-25000 c) 25000-50000 d)
Above 50000

1. You use Garnier products.

Regularly_____ Sometimes____
Rarely _____ Never ____

If “No” go to question number 10.

2. If Yes, You use :

a) Hair Care Products ____
b) Skin Care Products ____
c) Both ____

3. You buy Garnier products:

 Weekly
 Fortnightly
 Monthly
 Once in 3 months
4. What product(s) of Garnier you purchase?
 Shampoos & Conditioners
 Face wash
 Acne Removal Ointments
 Serum
 Gel
 Mousse
 Hair Colors
 Anti ageing Cream
 Fairness Cream
 Anti Wrinkle Cream
 Moisturizer
 Body Lotion
 Anti Dark Circle Cream
 Any Other___________________

5. The variant of Garnier that you use is available at:

 Every store.
 Selective stores.
 Not available in your area.

6. The price you pay for the Garnier products is:

 Highly overpriced
 Slightly overpriced
 Perfectly priced
 Under priced

7. How did you get to know about Garnier products?

 TV
 Newspaper/Magazines
 Word of Mouth
 Internet
 Any Other___________

8. How do you find Garnier products?

  Highly satisfactory
 Satisfactory
 Not satisfactory.

9. Your purpose for purchasing Garnier products is for:

 Cosmetics Use ____

 Medical Use ____
 Both ____

10.A You do not use Garnier because of:

a) Price b) Effectiveness c) Happy with
current brand
d) Availability e) Unaware of the product f) Any other
reason__________

(1) Which product to you prefer mostly ?

(a) Garnier (b) Ponds (c) Lakme (d) Nivea

(2) Which type of garnier Product do you prefer

(a) Skin Care (b) Hair care (c)facewash (d) both

(3) How did you get to know about garnier Product ?

(a) Magizine (b) T.V (c) word of Mouth (d) Internet

(4) What percentage of garnier is used by working respondents?

(a) 30% (b) 70% (c) 40% (d) 90%

Thanking you