...Lancôme Jill Rose Lauren Ruegemer Solution We suggest: Lancôme follow a differentiated market coverage strategy by introducing Lancôme Hyp. Lancôme change consumers’ perceptions and preferences for higher quality consultation service and a wider product line, while only changing consumers to prefer higher innovative technologies. The Problem Solving Format allowed us to analyze Lancôme's current business plan. We determined that Lancôme should switch from an undifferentiated market coverage strategy to a differentiated strategy. This differentiated approach will potentially increase consumer preferences for wider product lines, higher consultation quality and innovative technologies. Lancôme will accomplish this by focusing on advertising and promotional campaigns that address the product and brand benefits described in the core benefit proposition. In addition, our recommended MAGIC strategy will help Lancôme defend itself strongly against competitors. Market Overall Market: Cosmetics and Skin care Focus Market: Skin care We began our Lancôme analysis by defining the market which is cosmetics and skin care. This market can be further divided into the following categories: body care, makeup, hair care, and fragrances. Since Lancôme focuses on keeping women looking healthy and young, we chose skin care as the focus market, which enables us to eliminate brands that are not substitutes for skin care, such as L'Oreal and Almay. Within this skin care focus market...
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...Company History: L'Oréal, one of the largest companies in France, is the world's largest manufacturer of high-quality cosmetics and perfumes, producing such well-known brands as Lancôme, Ambre Solaire, and Cacharel. Its total sales are &Dollar;2.4 billion ahead of those of its closest competitor, Unilerver, an more than double those of Revlon and Shiseido. It boasts a world-wide distribution network as well as the industry's highest research-and-development budget and the largest cosmetological laboratories in the world. L'Oréal's story begins in turn-of-the-century Paris, at a time when women of the demi-monde dyed their hair, their choice restricted to fiery red or coal black. In 1907, Eugène Schueller, 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 Auréole. His strategy was successful; within two years he established the Société Francaise des Teintures Inoffensives 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 three research chemists and ten sales representatives. Schueller's timing had been singularly fortunate. The end of World War I was celebrated by the Jazz Age, when short hairstyles...
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...Centred Organisation 4 4.0 Customer Pyramid 6 5.0 Customer Relationship Marketing and CRM programs applied by L’Oreal. 8 6.0 Service Quality Gap in L’Oreal 9 6.1 Knowledge Gap 10 6.2 Policy Gap 10 6.3 Delivery Gap 11 6.4 Communication Gap 12 6.5 Customer Gap 12 7.0 Conclusion 13 8.0 Recommendation 13 9.0 Referencing 14 Executive summary As the corporate world is expanding itself throughout the globe it is also evolving at the same time. Expectations toward customers today have increase and the company have to adapt themselves in the ever changing environment of the 21st century. The challenges that are being placed in front of the business have also become more complex compare to previous centuries. This is because of globalization that has open up so much possibility in every aspect of the corporate world. This assignment is overall about Customer Value and Organisation has enabled them to understand the needs and wants. This report also highlights how the organisation can improve in terms of making more delighted customers. Through this way organisation will be able to retain customer loyalty for the long run. The report also evaluates the range and concludes that L’Oreal’s challenge in the current market needs to be able to understand the demand for a certain product. The major shortcomings are not being able to understand what are consumer needs, the wrong type of marketing strategic and overpromising consumers. It is recommended that L’Oreal should...
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...The most significant factors in macro environment are economic, cultural and demographic forces. In this case, it will be also providing the reason and some evidence that explain how these factors are affecting L’Oreal Paris. Otherwise, for, micro environment, this report only discuss between customer and competitors. Next, there is a significant evaluation of the product analyse with reference to the type of products, the three level of products, the branding strategies, and what types of packing and labelling that L’Oreal Paris provided. In addition, a complete analysis of target segment and how current product influence buyer behaviour and meet difference needs and wants. Later on, L’Oreal Paris needs to consider and build the marketing mix to attract more consumers. It includes a brief evaluation of the price, place, promotion and products. Some recommendations associated with several aspects are also provided at the end of this report. The sources of information were collected from academic journals and text book as secondary data. 1.0 Introduction 1.1 Purpose The goal of this report is to demonstrate the market environment and examine whether the product of L’Oreal Paris has satisfied its...
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...over 150 countries and territories and employs over 31,200 people worldwide. The company is managed using the strategic business unit-type structure where three of the top 12 executives are Mrs Estee Lauder family members. The company has a manufacturing facilities, R&D operation and business offices and for each group of vice presidents, there are four division such as skin care, makeup, fragrance and hair care. The company sell its products through upscale department stores, specialty retailers, upscale perfumeries and pharmacies, professional hair free shops in airports and cities, the internet and social marketing channel. Up to date, there are 27% distribution channels, 28% department stores, 13% perfumeries, 9% retail stores, 9% travel retail, 5% salons and spas and 9% other sources. Estee Lauder promotes its products through free samples and gift-with purchase plans. It also uses celebrities as endorses in testimonial advertising for commercials on TV and...
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...GLOBAL COMPETITORS: Premium men.s bath and shower: - Hugo Boss - Procter & Gamble Co, The - Vichy - L'Oréal Groupe - Axe/Lynx/Ego - Unilever Group - Clinique - Estée Lauder Cos Inc - Calvin Klein - Coty Inc Premium men.s deodorants: - Vichy - L'Oréal Groupe - Biotherm - L'Oréal Groupe - Kenzo – LVMH Moet Hennessy Louis Vuitton SA - Giorgio Armani - L'Oréal Groupe - Clarins - Clarins SA Premium men.s hair care: - American Crew - Colomer Group, The - Redken - L'Oréal Groupe - Aveda - Estée Lauder Cos Inc - Matrix - L'Oréal Groupe - Shiseido - Shiseido Co Ltd Premium men.s skin care: - Biotherm - L'Oréal Groupe - Hera - AmorePacific Corp - Clinique - Estée Lauder Cos Inc - Clarins - Clarins SA - Lancome - L'Oréal Groupe Men.s shaving: - Gillette – Procter & Gamble Co, The - Schick Wilkinson Sword – Energizer Holdings Inc - Bic - Sté Bic SA - Nivea - Beiersdorf AG - Edge - Energizer Holdings Inc Men.s post-shave: - Nivea - Beiersdorf AG - Gillette - Procter & Gamble Co, The - Natura - Natura Cosméticos SA - O Boticario - Botica Comercial Farmaceutica Ltda - Avon - Avon Products Inc Men.s pre-shave: - Gillete - Procter & Gamble Co, The - Nivea - Beiersdorf AG - Edge - Energizer Holdings Inc - Palmolive - Colgate-Palmolive Co - Schick - Energizer Holdings Inc Procter&Gamble Competitive Positioning: P&G trails slightly behind global beauty BPC market dynamics unchanged Brand strategy: Gillette brand enjoys broad geographic...
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...L'ORÉAL COMPANY PROFILE – SWOT ANALYSIS December 2012 SCOPE OF THE REPORT Scope All values expressed in this report are in US dollar terms, using a fixed exchange rate (2011). 2011 figures are based on part-year estimates. All forecast data are expressed in constant terms; inflationary effects are discounted. Conversely, all historical data are expressed in current terms; inflationary effects are taken into account. Disclaimer Much of the information in this briefing is of a statistical nature and, while every attempt has been made to ensure accuracy and reliability, Euromonitor International cannot be held responsible for omissions or errors. Figures in tables and analyses are calculated from unrounded data and may not sum. Analyses found in the briefings may not totally reflect the companies’ opinions, reader discretion is advised. Beauty and Personal Care Baby and ChildSpecific Products Bath and Shower Colour Cosmetics Deodorants Depilatories Fragrances Hair Care Men's Grooming Oral Care Skin Care L'Oréal has performed well thanks to a segmented portfolio lending it the flexibility to address diverse consumer groups across the world. However, competitive intensity is increasing, which L'Oréal needs to heed to retain its market position in the long run. Sun Care Set/Kits Premium Cosmetics Mass Cosmetics © Euromonitor International BEAUTY AND PERSONAL CARE: L'ORÉAL GROUPE PASSPORT 2 STRATEGIC EVALUATION...
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...MA Design Management for Fashion Industries Name: Leong Ruoh Shiang Course: Fashion Brand Marketing Course Leader: Anna Watson Case Study: Chinese Herbal Medicine Cosmetics brand, Herborist Topic A International Marketing Strategies of Herborist Abstract This paper attempts to investigate the internationalization process of a Chinese domestic cosmetics brand, Herborist by making a comparison of marketing strategies applied for different countries as a case study. In addition, by gaining understanding on the development of a local brand and analyzing the issues, which block the way for business expansion, suggestions are made for the exploration of future potential market. This case study is mainly based on quantitative research, which was carried out in the form of a questionnaire conducted by 100 local and Malaysian Chinese. Besides from that, secondary data are taken from Internet and based on literatures published in English and Mandarin. The crucial steps for a domestics brand to enter the international arena is by utilizing different or undifferentiated strategy, reinforcing the innovation of Chinese oriental essence and also enhancement on brand awareness. Keywords- Oriental, Domestic cosmetics, International marketing strategy, Market entry, Brand story, France, International business, Marketing Channels 1. Introduction In recent years, it is obviously seen that there is a thriving and robust...
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...Avenue in New York City, Joseph Campinell, President of L’Oréal’s U.S. Retail Division explained L’Oréal’s strategy for the mass market: “We sell product in the department store and specialty store channels. The research and development we do in support of those brands like Lancôme and Biotherm can be leveraged into mass market outlets as well. We call this ‘trickle down and fire up.’ We trickle the technology down to the mass markets where the high volumes are and that fires up our next generation of products by funding the research and development. In the retail division we do what the company always does: drive sales with product technology. But, since the drugstores, mass merchants and grocery stores we sell through are “selfservice” types of outlets, we have to support that technology with strong advertising, merchandising and promotions. We have been very successful with this in hair colorings. Our Preference by L’Oréal brand, with the famous advertising tag-line “Because I’m worth it,” has become the market leader. I’m sure we will get there with the Plénitude skincare line as well, though we clearly have some things to work out there.” HE Carol Hamilton, Senior Vice President of Marketing for the L’Oréal Retail Division had assumed...
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...L'ORÉAL COMPANY PROFILE – SWOT ANALYSIS December 2012 SCOPE OF THE REPORT Scope All values expressed in this report are in US dollar terms, using a fixed exchange rate (2011). 2011 figures are based on part-year estimates. All forecast data are expressed in constant terms; inflationary effects are discounted. Conversely, all historical data are expressed in current terms; inflationary effects are taken into account. Disclaimer Much of the information in this briefing is of a statistical nature and, while every attempt has been made to ensure accuracy and reliability, Euromonitor International cannot be held responsible for omissions or errors. Figures in tables and analyses are calculated from unrounded data and may not sum. Analyses found in the briefings may not totally reflect the companies’ opinions, reader discretion is advised. Beauty and Personal Care Baby and ChildSpecific Products Bath and Shower Colour Cosmetics Deodorants Depilatories Fragrances Hair Care Men's Grooming Oral Care Skin Care L'Oréal has performed well thanks to a segmented portfolio lending it the flexibility to address diverse consumer groups across the world. However, competitive intensity is increasing, which L'Oréal needs to heed to retain its market position in the long run. Sun Care Set/Kits Premium Cosmetics Mass Cosmetics © Euromonitor International BEAUTY AND PERSONAL CARE: L'ORÉAL GROUPE PASSPORT 2 STRATEGIC EVALUATION COMPETITIVE...
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...those of their mass-market middle-class counterparts.2 As China’s new upper middle class swells to include more than half of the country’s urban households by 2020—up from just 14 percent in 2012—it will strain many of today’s business models. Companies that have long catered to consumers trying to meet basic needs at affordable prices will face a shrinking market and risk losing millions of customers looking to trade up. Simultaneously serving a familiar but declining mass market and an uncertain but promising new upper-middle-class one will require novel approaches. This article is a report from the front lines: how consumer-goods companies can craft brands that appeal to the rising middle class, develop “dual strategies” and transition plans...
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...Marketing Manager Amy Stalker (Wiley) BUS 330: Principles of Marketing Instructor Rizzo November 19, 2012 The initial marketing campaign needs to communicate very specifically with target market, which is the woman between 40 to 55 years of age. The initial campaign has to design a copy for advertisement before releasing the product in the market. Since the product is cosmetic as well as something that is going to be symbolized as improved health. But, before that Personal Selling effort to “Test Market” the commercial viability of the anti aging cream for middle aged women would be a better proposition. The company needs to differentiate the product from simply providing cosmetic value to providing nourishment to skin apart from hiding wrinkles. So, the product needs to highlight on twin benefits of providing nourishment to the skin and making the skin look and feel fresh and soft, reducing the sign of aging. Good introduction and thesis. Personal Selling is the marketing strategy, which should be launched before the full on advertisements in different media. A personal selling campaign should be carried out in the selected large cities of the UK, which can represent the other cities of the country. The purpose of Personal Selling (PS) is to assess the actual needs and requirements of the ideal target audience (Middle- aged women) and reinforce its effect further in the minds of target audience. Through PS, the company could have...
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...SISTEMA UNIVERSITARIO ANA G. MENDEZ, METRO ORLANDO CAMPUS MARK 511 / BUSG 510 MARKETING MANAGEMENT WORKSHOP IV MARKETING MANAGEMENT PLAN GUIDELINE “BOMBSHELL IN A BOTTLE” KARLA DIAZ MARY DURAND JENIFFER GREMLI VALENTINA RODRIGUEZ RESUMEN EJECUTIVO Nombre del Plan: “Bombshell in a Bottle”, Makeup Brush Cleaners Autor: Rebecca Hatfield, Makeup Artist Telefono: 1-877-748-1856 1-386-232-7035 / 1-321-662-9068 E-mail: beckaz7@aol.com Web Site: www.bombshellinabottle.com La creadora de este excelente producto es la Sra. Rebecca Hatfield was born in West Virginia and at a young age moved with her family to Canton, Ohio. Several years later she began studying voice, modeling and participated in the "Football Hall of Fame Pageant". Her first job, at the age of 17, was at a cosmetics counter in a local department store in Canton, Ohio. Never far away, either behind the retail counter or behind a camera of any kind, she began studying acting. Not long after, she moved to N. Y. City to further her studies working as a model in commercials, runway and print. Rebecca later moved to Madrid, Spain and continued her acting and vocal studies while learning a new language, Spanish. She worked actively in film with persons such as Glenda Jackson, George Segal, Timothy Bottoms, Richard Roundtree, Telly Savalas, Paul Sorvino, Gene Hackman, Erik Estrada, Maggie...
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...and soaps. From the very beginning, L’Oreal decided to export its product to other countries such as Holland, Italy and so on. It entered the US market at 1953. Schueller was died in 1957 and Francois Dalle replaces his post. Although the boss has been change but L’Oreal expanded into overseas markets continuity. In 2004, L’Oreal had 52,000 employees over the world and portfolio of 17 international brands. As shown in the L’Oreal group annual report, the largest market for L’Oreal is still Western Europe which occupied 51.4% of total sales. The second place is North America. Moreover, Eastern Europe, Asia and Latin America could be the three potentially growth markets. Mininurse’s & Yue-Sai’s background As a result of L’Oreal plans to explore Asia market, one of the important issues is increase the market share in China could become. It is because China has a huge population...
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...1. What are L'Oreal's key issues for Garnier in the Dutch market? • Whether to introduce both Synergie and Belle Couleur into the Dutch market, only one of the ranges or none at all. • Synergie: Finding the right price for the products and whether they should introduce the antiaging cream (didn’t score as highly) • Garnier is a new entrant into the Dutch market and as such is a relatively unknown quantity with neither positive nor negative brand perceptions. • To build the brand, L’Oreal will need to start from scratch although they already have the distribution channels - sales people, retailers, logistics, and back office operations in place to give the new brand a head start. • The brand is highly successful in neighbouring French and German markets however Dutch consumers are seen as having their own unique requirements and preferences for cosmetics and toiletries. • Possible dilution of its own brand or a cannibalisation of its current market leading products Recital and Plenitude. • Market testing has indicated that the product formulation of Belle Colour is darker, preferred by the French consumer, when in fact Dutch consumers have a preference for lighter hair shades. It has been noted that as the Dutch market is considered a minor country, less than 5% of European sales, therefore reformulation will not be possible. • Low market orientation at the R&D level – L’Oreal won’t adapt their Belle product to suit the majority of consumers who prefer lighter shades...
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