The Universalization of L'Oreal

Case Study The Universalizaton of LOral

Marketng Planning - Anne 2014-2015
Situaton Analysis : Industry
Grooming Market : 91% shaving / 8% masks & scrubs
Face Care Market : 28.8 billion in 2010 (25%)
Skin Care Market : 1,7 billion (41%)
The mens beauty segment in India is growing twice the rate as the overall market
When I look good, I can concentrate and get more work done
Situaton Analysis : Industry
Situaton Analysis : Compettors
N1 Emami Limited (37,5%)

N2 Garnier Men (25,4%)

12 million unit sales 50% of growth 2 main segments : - Skin care : Small pockets
sachet (35% of value) - Deodorant : growing at 48% in value and 40% in volume
Many brands : - Fair and Handsome - Navratna - Vasocare

Local company Cheaper

Others actors (market share 37,1%)

Procter & Gamble Unilever

Situaton Analysis : compettors

Porter External Analysis
Goals and Objectve

Goal : Becoming the leader of the beauty sector in India Objectves :

Obtaining a 30% growth in 2020 compared to the 2010s results in the beauty sector
in India to place the country among lOrals top 10 countries. To double its consumer
base to two billion

Marketng Strategy

Market Segmentaton Strategy >> Geographic Segmentaton, Product-User

Segmentaton, Lifestyle Segmentaton, etc. Targetng Strategy :

Mass Marketng: go afer the market as a whole with one ofer that answers common
needs Diferentated Marketng: go afer several market segments with ofers tailored to
each Target Marketng: go afer a small segment or sub-segment with a tailored ofer

Marketng Programs
Marketng Mix PRODUCT
Garnier Men range of 3 skin products focused on whitening Moisturizer with SPF or
oil control and Face wash Atributes: simplicity and efcacy (fairer),light texture,
naturalness good quality and good smell Sachets format (small packs)
PRICE
- Accessible - Higher than Fair & Handsome (the cheaper on the market)
PROMOTION
- A brand imagery: dynamic, trendy, modern, healthy, ultraconfdent, accessible and
energic real guys guy - 1 endorser: Indian actor and model John Abraham (39 years
old) Athletc, young and edgy - 360 launch : TV, prints, outdoor advertsing (metro
staton and cabs), in-store display, banner, cover and airlines boarding pass.
PLACE
Small stores Modern distributon
Marketng Programs

Loyalty programs
- No Loyalty program developed. - Natural loyalty because of the quality of the
product and the reality of the brand promise
Customer Service and Support
No customer service and support for that product
Market Research
- The mens beauty segment in India was growing at twice the rate as the overall
market - Mens face care accounted for 4% of Indians total skin care market. - Indian
face care market was about Rs 28,8 billion in 2010 growing at 25% (out of which Rs.
17 billion represented the mens skin care, growing at 41%) The penetraton of modern
hair color was slightly higher among men than women Indian men ideal skin is fair,
glowing, clean and fresh, smooth. Worried about oilness
Implementaton
HOW?
Recruit new customers in India by adaptng the global strategy: With strong and
reliable Indian market, behavior and consumton studies With the development of
small packs (sachets) With an accessible prices policy With strong management and
relatonships with the retailers (especially the litle ones) With an appropriate
communicaton Without reducing the quality (risk of diluton)
WHO? WHEN? WITH WHAT?
Scientsts Global people for studies and the development of the global strategy Local
people to manage well the local adpataton in India Commercial agents to sell the
products to all the litle store
Afer having tried the product and analized its results on similar markets
A contnued innovaton ( new news to the franchise ) LOreal standards of
technology and quality A geographic zone approach The novelty factor (be quick)