Marketing Management Strategy of L’Oreal Groups
Introduction
Many cosmetic brands are popping up recently, perhaps, due to the increasing consumers of products that beautify and enhance the physical appearance of a person. Even though the market is already full of the said cosmetic brands, the company L’Oreal Groups could still be considered as the leading supplier of cosmetics and hair-color. This study is a brief overview of the marketing concepts and strategy of the said company. The company profile will be presented to be able to give a clear view of the market to which the company belongs to. An internal and external (SWOT) analysis of the company will also be provided in this paper. Another area will be specifically devoted to
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The pharmaceutical activities of L’Oreal are also handled by Sanofi-Aventis. These divisions and subdivisions ensure the quality that the L’Oreal Group offers to its customers. To further add to the enumerated strengths of the company, L’Oreal’s advertising strategy also plays a major part to its growth. Through adapting to the culture of their target market as the main tool of their advertisement, the Company brought L’Oreal products within reach of other women from different parts of the world.
2. Weaknesses
Perhaps one of the weaknesses that a big company faces is the decentralized organizational structure. This is also part of the difficulties that L’Oreal is facing. Due to the many subdivisions of the Company, there is also the difficulty in the control of L’Oreal. This slows down the production of the Company because of the need of giving reference to the other Board members and directors of the Company. L’Oreal will also have a difficulty in finding out what division is accountable for the possible pitfalls of the Company. Another weakness that L’Oreal faces is their profit. The profit margin of L’Oreal is comparably low than that of the other smaller rivals. While L’Oreal projects certain rise in digits as their profit, the result does not usually meet the expectations (Sang, 2003). Perhaps, this is also due to the high-end advertising and marketing as well as the width of the Company. Finally, the coordination and the control of the activities
The main purpose of this business report is to review the appropriateness of Jurlique cosmetic products for the Australian target market. The key findings are: Australia is a huge market for cosmetic and toiletry industry, while it is full of competition due to the zero duty on American cosmetics; Jurlique is a well established brand for most Australia customers, however, it still needs unique selling points other than natural ingredient to expand its market share. This is mostly based on the product research and development.
In the primary stage companies like L’ORÉAL is maintaining competitive advantage would be product development, and with the expanding of the product range company is getting advantage. Quality between local and international standard may differ. L’ORÉAL also can produce a regional version of its product such as a western European version and getting a competitive advantage. Although invention of new product is tougher rather it is maintain the international market in a competitive advantage to maintain the international marketing strategy. There is enormous need in less developed countries for low cost high proteins foods. L’ORÉAL can offer its consumers a one-stop shop opportunity by providing majority of the products that they are looking for in one area. So that they could easily motivate their customers to buy their products. If the quality of the products bought satisfied the needs and preference of the consumer then the L’ORÉAL will lead to consumer loyalty and retain the customers and repeated consumption. Mainly L’ORÉAL finds success by focusing the product aspect of their marketing mix on what people need and want.
L’Oréal operated on the principle of “research and innovation in the interest of beauty”; it
Cosmetics fall into their own marketing arena. It is the only other product, besides food, that consumers are in constant need of because cosmetics are used in our everyday lives. Cosmetics, in order to have any type of customer base, are made with great quality in mind. With all these different brands offering the same types and qualities of products, Dove had to branch out into another important segment of this cosmetics market. Cosmetics are being used just as much by men as they are used by women, and it is important that a cosmetics product line can compete in the market of men’s products as well. Dove’s main competitors, Nivea, L’Oreal, and Garnier, have not crossed into making men’s products. The lack of men’s products gives Dove a competitive advantage in their arena. Dove has dominated in this category through their marketing and different direction.
Since its founding in 1909, L’Oréal tightly couple d innovation and speed to market with
In today 's’ world women are bombarded with cosmetic products, only to emulate the celebrities promoting the products. Women are constantly criticizedcritizied, leading some women to feel completelycomplety atrocious of their physical appearance. This is where cosmetic companies promote their extravagant products, mainly to the low-self esteem women. There are many cosmetic companies out there, that are fighting to earn a spot on a woman 'swomens beauty cabin. However, L’Oreal really set themselves apart from the competition. Talk about customer appreciation, L’Oreal absolutelyabsolultly endeavours this aspect. That is why customers need to ask themselves if the product they are buying live up to their name, end if they actually going to need it. L’Oreal’s is very meticulousmeticuious when it comes to their commercial. Not only do they use supermodels such as Christy Turlington and Julia Roberts to get customers attention, but they developed precisely fabricated slogan. Consider L’Oreal’s famous slogan “Because We 're Worth It” this is the result of tremendous hours put forth just to manipulate the customer. This is absolutely a perfectly engineered slogan, and its sales speak for themselves if we take a step back and dig a little into L 'Oreal 's history will find that some of their products didn’t live up to their name. L 'Oreal 's “Telescopic” mascara and foundation are, a few products that came short in delivering their potential. I believe, therefore, that all L’Oreal
It operates in over 125 countries and markets in access of 16 brands which can be categorized under dermatology and cosmetics. The cosmetics division of L’OREAL has four segments: professional products, consumer products, luxury products and active cosmetics. The dermatology
Not very many groups and even fewer brands have administrated to develop into indistinguishable with famous taste in the twentieth century. Be that as it may, in the last couple of decapod, Nike has had a place with a titan of the romping domain/ and in addition other individuals of the world. Nike is weighted to swing the larger American intercontinental society, whichever conduct a compose, situation, erection, and sales of shoes, apparels, equipment, and services. This group lies on January 25, 1964, as a Blue Ribbon Sports by a Bill Bowerman and Phill Knight. (Nike Inc.,2016) After 7 years, its name adapted and became Nike on May 30, 1971. The group takes its name from Nike, the Greek divinity of hit. Nike is repeatedly depicted with wings, bring about her formation “Winged Victory”. In 1971, in as much as raise in their sales, Nike bolster there peddle and transportation operations and started an original logo ad “There is no do line” to which no any Nike output had demonstrated. By this, their acquisition boundary also ascends day to day. Today, the Swoosh logo and the “Just Do it” jingle are in connection with the worlds greatest and pronounced trademarks. (Directory,2001)
Is marketing important? If you ask most business professionals, they would say “Yes”. If you do not know, marketing consists of the activities that businesses partake in to direct the exchange of goods and services from a company to a consumer. Advertising is one of the many activities that a business can use in order to spread awareness and information about a specific product. Companies develop marketing campaigns, which is the course of action the company will take to promote the product or service. Nike’s “Just Do It” is an example of a very effective marketing campaign. It jumped Nike’s sales from $800 million a year to over $9.2 billion a year (Kolowich, n.d.). However, not every marketing campaign is as successful as Nike’s. Some campaigns are not even successful and end up costing the company behind the idea millions of dollars and tarnishing its reputation to an unrepairable point. In this report, I will be analyzing American Airlines and their AAirpass. I will go over what the AAirpass campaign was, the reactions of both the consumer and the company, and then I will go over the cost of the campaign.
L’Oréal has set itself the mission of offering all women and men worldwide the best of cosmetics innovation in terms of quality, efficacy and safety. By meeting the infinite diversity of beauty needs and desires all over the world. Beauty is a language. Beauty is universal. Beauty is a science. Beauty is a commitment. L’Oréal, offering beauty for all.
“The case continues with an insight into L’Oreal’s innovations that have been a success among the diverse segments of the global
Cosmetics are products which are used to enhance one’s appearance and odour. It is this human need to be liked and accepted by people around us that makes the cosmetics industry a truly universal market both in terms of influence and overall sales with only a few exceptions, mainly religious, cultural and belief based. In fact, the cosmetics industry is among the largest in the world with an annual turnover upwards of 17(0) billion dollars (Eurostaf – May 2007), whilst Worldwatch reports that worldwide annual expenditures for cosmetics total U.S. $18 billion; the
The continuous innovation has helped L’oreal gain its competitive advantage and kept on escalation of its competitive position, from a French leader to be a European Leader and now the world leader. L’oreal regards research as the heart of the business. The investment in research is much higher than that of its rivals.
The population of the United Kingdom has been healthily rising, with an increased annual rate of between 0.6% and 0.8% between 2009 all the way to 2013, hence reaching a projected target of 64.1 million. This increment in population was realized in the UK, mainly because of UK’s high birth rate as well as the ageing population. The growth of population will consequently boost consumer spending, which means that more toys will be on demand. The result of this is high sales of the building and Construction Company and the growth of the whole economy. Practically, the increment in population in the UK means that there will be a consistent number of children in the UK, which is a positive
Product user: As previously mentioned, L’Oréal can position these products using a brand ambassador that the target market identifies with.