Value proposition

Market Solutions

Group 30

Monday, October 11 of 2021

Value proposition

L´oréal Paris is a company of cosmetics and beauty products created in 1909 by

Eugene Shueller, it began with hair dye which he sold in parisian hairdressers. The company

has had many visionaries in their years, people like Armand Petitjean, creator of perfume and
founder of Lancome, Jamie Kern Lima launcher of IT Cosmetics in 2008, Shu Uemura, a

makeup artist that created Shu Uemura Cosmetics and much more visionaries. (L´oreal Paris,

n.d.). The purpose of the company is to create beauty that moves around the world,

meanwhile their goal is to offer everyone in the world the best of beauty in quality, safety,

efficiency, responsibility and sincerity all this to satisfy the need and desires of infinite

diversity (L´oréal Group, n.d.) .

L´oréal is number four in the beauty and personal care industry in México, with a

retail value RSP of 8.2 it is surpassed only by Procter & Gamble Co, Colgate-Palmolive Co

and Unilever Group. L´oréal growth had a constant growth until 2020 when it had a decrease

of 0.2 Retail Value RSP, this is rare because most of the companies had massive growth in

this year (Passport, 2020). Meanwhile in the sun care industry L'oréal Groupe with the brand

La Roche-Posay is number two just after Beiersdorf AG, Nivea , who beat L´oréal by 1.2

Retail Value RSP (Passport, 2020).

The product is an UV protector that was invisible with anti-photoageing fluid of SPF

50+, it can also be seen in light and brown skin color. To see the market segment for these

products, two hypotheses were made and as it was seen the Mexican girls between the ages

15 to 18 use UV protection and the age has to do with the style of life. With these hypotheses

it can be determined that the market segment are Mexican girls from 15 to 18 years old who

play sports, like outdoors and are social. This segment takes care of their body and mind, so

this L´oréal product is important to this segment (Actividad 3, 2021).

With the target market determined it can be done a canvas of a job to be done, where

it can be known what marketing strategies and makes an in depth analysis of their market,

with this canvas they can make the product or service better with upcoming technologies and

trends and how it is marketed to the segment.

Figure 1. Jobs to Be Done Canvas

Note: Jobs to Be Done. Adapted from Gamboa, 2021.

As it can be seen in the figure 1 a good innovation idea that can be done is the app

where it can tell you every time you need to reapply the product with an advanced virtual

assistant, who also tells you where in your face you need to put more or less product with a

scan to the customers face. With the same scan it also recommends other products of the

brand that can benefit your face. This can be done by developing an app where the customers

in case they want it can have this extra for a price and some for free, in the app the advanced

virtual assistant would be installed to help the customers. With the app done a form of

marketing is in the social media most popular to the target market that L´oréal Paris is

looking for. Another mode of promoting this is with the new brand ambassadors that are

directed to the segment, this way they can feel identified with the brand ambassador and they

can be convinced to try the product.

References

Actividad 3 (2021) Excel. Retrieved from:

https://tecmx-my.sharepoint.com/:x:/r/personal/a01634218_itesm_mx/_layouts/15/Do

c.aspx?sourcedoc=%7BA5E20D30-D78D-4758-93B3-BAF2EA072177%7D&file=A
 CTIVITY%203.xlsx&wdOrigin=OFFICECOM-WEB.START.REC&ct=1634005736

614&action=default&mobileredirect=true

Gamboa, N. (2021) Task 2: The importance of JTBD in the development of disruptive

proposals.[PDF]

L´oréal Paris. (n.d.) Our History. Retrieved from:

https://www.loreal.com/en/group/culture-and-heritage/l-oreal-history/

L´oréal Group (n.d.) Our Purpose. Retrieved from:

https://www.loreal.com/en/group/about-loreal/our-purpose/

Passport. (2020). Company Shares of Beauty and Personal Care. Euromonitor.com.

Retrieved from: https://www.portal.euromonitor.com/portal/statisticsevolution/index

Passport. (2020). Brand Shares of Sun Care. Euromonitor.com. Retrieved from:

‌https://www.portal.euromonitor.com/portal/StatisticsEvolution/index